Agenda packet, regular meeting — Capitola City Council, June 25, 2026 (part 1 of 2)

REVISED 6/25/2026 AT 3:00 PM
City of Capitola
City Council Meeting Agenda
Thursday, June 25, 2026 – 4:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Margaux Morgan
Vice Mayor: Gerry Jensen
Council Members: Joe Clarke, Melinda Orbach, Susan Westman Regular Meeting of the Capitola City Council – 4 PM

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

2. Additions and Deletions to the Agenda

3. Presentations
Presentations are limited to eight minutes.

A. Proclamation Honoring July 2026 as "Parks Make Life Better" Month B. Presentation from United Way Youth Liaison Program Participant, Josephine McGinty

4. 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 8A - Correspondence Received
B. Item 8C - Presentation from the Capitola Police Officers Association C. Item 8E - Correspondence Received
D. Item 8F - Correspondence Received

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

6. Staff / City Council Comments
1 City Council Meeting Agenda – June 25, 2026
City of Capitola Page 2
Comments are limited to three minutes.

A. Staff Introductions

7. 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 regular meeting on June 11, 2026.

B. 2026 Reposa Avenue Pavement Rehabilitation Project – Construction Contract Award Recommended Action: Award a construction contract to Betz Works for the 2026 Reposa Avenue Pavement Rehabilitation Project in the amount of $134,800 and authorize the City Manager to execute the contract.

C. State of California Office of Traffic Safety Grant Program Recommended Action: Adopt a resolution accepting a California Office of Traffic Safety Selective Traffic Enforcement Program (STEP) Grant in the amount of $60,000 and amending the FY 2026-27 General Fund operating budget to increase revenues and expenditures by $60,000.

D. Beach Lifeguard Service Organizational Study
Recommended Action: Authorize the City Manager to enter a professional services agreement with Richard Gould in the amount of $5,000 for a Beach Lifeguard Service Organizational Study, the results of which will be presented to City Council.

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

A. Monterey Park Play Space Community Outreach Results and Next Steps Recommended Action: Receive the Monterey Park Play Space outreach results and direct staff to develop a conceptual play space plan on the west side of the park, consistent with the survey outreach results.

B. FY 2026–27 Salary Schedule
Recommended Action: Adopt a resolution approving the Fiscal Year 2026-27 annual salary adjustments, consistent with the following employment agreements: Association of Capitola Employees, Police Officers Association, Confidential Employees, Mid-Management Employees, Police Captains, the Department Head Compensation Plan, and City Manager Employment Agreement.

C. Compliance with Assembly Bill 2561/Government Code Section 3502.3 regarding Vacancies, Recruitment, and Retention Efforts
Recommended Action: Conduct the duly noticed public hearing and receive a report on the City of Capitola’s recruitment and retention efforts.

D. Capitola Village and Wharf Business Improvement Area Assessments for Fiscal Year 2026-27 2 City Council Meeting Agenda – June 25, 2026
City of Capitola Page 3
Recommended Action: Conduct the duly noticed public hearing and adopt a resolution levying the Fiscal Year 2026-27 Capitola Village and Wharf Business Improvement Area (CVWBIA) Assessments and accepting the CVWBIA Annual Plan and budget.

E. City-Owned Property Leasing Policy
Recommended Action: Consider a policy to establish a standard frequency to issue requests for proposals for the lease of City-owned property and outlining the process for the lease of Cityowned property.

F. Draft Council District Maps
Recommended Action: 1) Conduct a time-certain duly noticed public hearing at 6:15 PM; 2) receive public input; 3) provide feedback to the demographic consultant regarding the draft Council district boundary maps; and 4) consider designating a preferred map for inclusion in the ordinance that is to be drafted and brought to the Council for possible introduction following the public hearing on this topic on July 23, 2026.

G. Presentation Regarding California Public Records Act Requirements and Managing Related Costs
Recommended Action: Receive and file the informational presentation.

H. FY 2026-27 City Fee Schedule
Recommended Action: Conduct the duly noticed public hearing on the proposed changes to the City’s Fee Schedule and adopt a resolution approving the Fiscal Year 2026-27 Fee Schedule. (Continued from May 14, 2026)

9. Adjournment
The next regularly scheduled City Council meeting is on July 23, 2026, 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
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.

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.
3 City Council Meeting Agenda – June 25, 2026
City of Capitola Page 4
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 FAMILY WHARF SWIM — July 9 — 4:30pm
FOOD TRUCK FRIDAY — July 10 —
Monterey Ave park
CARNIVAL AT JADE ST PARK — July 16 —
4:30pm
TWILIGHT CONCERTS: JULY EDITION ALL FIVE
WEDNESDAYS IN JULY— 6-8pm —
July Is Parks and Rec Month!
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Jo McGinty and Cozette
Molanchon
YOUTH LIASIONS 2026
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Our project was to survey high school
students in the area via a Google
Form in order to determine their
attitudes towards the Santa Cruz
Metro. We had 50+ respondents
Project
Overview
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We brainstormed questions with
Santa Cruz Metro employees,
Council Member Orbach, and
Sookie from United Way. We
came up with 10 questions some
mutliple choice, a 5 point scale,
and open ended questions.

Our Process
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0022
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Why this
Matters
We want youth voices to be heard and
for decions makers to understand what
we feel. Youth want to feel safe and
connected to their community and we
wanted to hear their concers
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Youth Metro
Survey Overview
58 student respondents
Grades represented:
8th Grade: 22
Sophomores: 18
Juniors: 10
Freshmen: 6
Seniors: 2
All Students from across Santa Cruz County
05 -
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Current Usage
Only 47% of students had heard of the Youth
Cruz Free (K-12) program.
53% had either never heard of it or had never
used it.

How Students Travel
Car: 52%
Bus: 19%
Bike: 16%
Walking: 12%
06 -
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Most used
Routes
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Biggest Barriers
to Bus Use
-
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What Would Make
Students Ride
More?
More frequent buses (33%)
Better routes and bus stop locations (24%)
Safer environment (22%)
Cleaner buses (10%)
Easier schedules to understand (9%)
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Some ideas resulting from the survey
were:

Increase Youth Cruz Free outreach
Youth Cruz Free awareness
More frequent and reliable service
Improved route and stop accessibility
Easier-to-understand schedules
Continued focus on safety and
cleanliness
-
10 Recommendations
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Our Refelction
Jo McGinty:

During this process I learned more about: qualitative and quantitative data, youth outreach, City Council meetings, and the inner workings of the Santa Cruz Metro. I want to thank Sookie for being the foundation of this whole process, Council Member Orbach for taking me under her wing, and the Metro for helping me and many other students thrive.

Cozzette: My experience for the 2025-2026 academic year as a City Council Youth Liaison member has deepened my understanding of civic responsibility. First, I understand what it means to be active in my community. I attended many city council meetings where I listened to passionate people talk about human sex trafficking, offshore oil drilling, open mic topics, and many future projects. I also gained valuable skills in public speaking, leadership, and confidence in my opinions.

The project I was involved in this year was the Metro Bus system which connected me to the community through creating a survey for my peers to complete and getting to collaborate with others on improvements.
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Thank You
Council Member Melinda
Orbach, City of Capitola, and
Santa Cruz Metro
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Refrences
Santa Cruz Metropolitan Transit District. (n.d.). Routes & schedules. Santa Cruz METRO. Retrieved June 24, 2026, from Routes & Schedules Santa Cruz Metropolitan Transit District. (n.d.). Santa Cruz METRO. Retrieved June 24, 2026, from Santa Cruz METRO Homepage
Google Forms. (n.d.). Metro youth transportation survey [Google Form]. Retrieved June 24, 2026, from Google Form Survey
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1 Gautho, Julia
From: Sandra Wallace <[email protected]>
Sent: Monday, June 22, 2026 10:42 AM
To: City Council
Subject: Monterey Park Play Space, Agenda Item 8.A
To Capitola City Council Members:

I completed the survey regarding Monterey Park and have since read the comments made in the agenda item for the June 25th meeƟng.

I noƟced a number of people suggested renovaƟng/upgrading “Hidden Park” instead of building something more at Monterey Park.

I would agree with this. The play structures at Hidden Park are old and certainly need upgrading. The park is very aƩracƟve for people with children because is mostly enclosed, has a large space to move/run, and structures for climbing and swinging.

Monterey Park is more uƟlized by people playing ball, lots of seniors who use it for walking and exercising and the occasional food truck Fridays. In my opinion, it should be leŌ as is instead of adding another element.

I’m sure there are those of you who remember that the neighbors were told when it was built that there would be no bathrooms nor lights. I hope this “promise” is kept.

I live across from the park and enjoy seeing it used and enjoyed. I do not think there is too much noise and parking seems ample. Best leave it as is.

Thank you,
Sandra Wallace
19 Item 4 A.
1 Gautho, Julia
From: Kevin Maguire <[email protected]>
Sent: Tuesday, June 23, 2026 3:53 PM
To: City Clerk; City Council
Subject: Agenda 8 A. Monterey Park Play Space Community Outreach Results and Next Steps Mayor and Council Members,
After reviewing the survey results, I believe the staff report accurately notes that community opinion is mixed. However, I am concerned that the recommendation to proceed with a conceptual play space plan may overstate the level of community support reflected in the survey.

The survey results show:
• 35% of respondents opposed adding play features to Monterey Park. • Approximately 37% did not support the any of preferred play concept. • Approximately 39.5% did not support the any of the proposed location. • The most frequently identified concern was loss of field space, selected by 56 of 115 respondents (48.7%).
• Other significant concerns included project cost, parking impacts, noise, safety, and maintenance obligations.

In addition, the 63 written comments reveal broader community priorities that extend beyond playground equipment. Many respondents expressed support for preserving open space, maintaining recreational field capacity, improving existing parks, adding restrooms, restoring neighborhood access, enhancing traffic safety, and providing amenities for adults and seniors such as fitness equipment or bocce courts.

Based on the survey results, I do not see evidence of a clear community consensus supporting a new play space at Monterey Park. Rather, the data suggests substantial community concern regarding the loss of open space and competing priorities for park improvements.

I grew up playing in this field when it was just a swamp and only had Eucalyptus trees. We have a great Cortez "Hidden Park" and the millions of dollars being spent on Jade Street.

We need to be mindful of our open space, and not let one friday food trucks change the character of our neighborhood parks. Lots of community sports takes place here, and there is value in simplicity and open fields to run in.

I encourage the Council to carefully consider the full survey results, including the written comments and concerns expressed by residents, before directing staff to advance a specific play space concept or location.

Kevin Maguire
Capitola Since 74'
20 Item 4 A.
1 Gautho, Julia
From: John <[email protected]>
Sent: Wednesday, June 24, 2026 5:02 PM
To: City Council; City Clerk; Goldstein, Jamie
Subject: To be added to agenda materials
Follow Up Flag: Follow up
Flag Status: Flagged
Such nice leƩers from folks asking that nothing ever have and no progress be made on a slew of issues.

Upgrade Monterey Park/ Hidden too could use a bathroom. The play structure there is great though.

Let boat and bait stay seems fine, just charge them market rate since it’s a public facility. Our city is spiraling. We somehow lose money having the wharf which blows my mind the incompetent.

Also fire Jamie.

Warmly JM
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Regional Police Compensation Comparison (2026)
Top-step officer salary comparison among regional agencies; lateral incentives shown where offered. *Santa Cruz County SO is currently in negotiations.

Redwood City PD $188,832 Bay Area peer
Morgan Hill PD $173,264 Over the hill
Campbell PD $160,076
Santa Cruz PD $152,076 +$20K lateral
Watsonville PD $141,312 +$50K lateral
Santa Cruz County SO $138,840 +$25K lateral*
Scotts Valley PD $135,732
Capitola PD $126,734 Lowest
#1

LOWEST PAY IN COUNTY
Falling Behind Our Neighbors
An honest conversation: Capitola is currently the
lowest-paid municipal police agency in Santa
Cruz County.

When nearby agencies offer higher starting wages,
faster salary progression, and more competitive
benefits, we inevitably act as an expensive training
grounds for talent that exits as soon as they gain
experience.
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We call on the City Council to partner
with the POA to ensure a long-term
public safety strategy to increase
retention, secure our recruiting
pipeline, and protect our streets.

PRESENTED UNDER LABOR UNION PROTECTIONS BY

THE CAPITOLA POLICE OFFICERS ASSOCIATION
36 Item 4 B.
1 Gautho, Julia
From: Lance Treiber <[email protected]>
Sent: Saturday, June 20, 2026 11:08 AM
To: City Council
Subject: Capitola boat and bait
To elected officials, I live in Sacramento and vacation in Santa Cruz/Capitola. This shop has ALWAYS been my goto for skiff rentals and tackle or just pier fishing with my grandsons. I don't believe you are even considering allowing bids for this space as the only thing you can accomplish is to make it more expensive for people to enjoy capitola, If you are like all other elected officials whose only concern is revenue and not about the welfare of the people you vote for then you will do what is wrong for everyone who enjoys capitola
Lance Treiber
37 Item 4 C.
1 Gautho, Julia
From: CoolBreeze Surfer <[email protected]>
Sent: Saturday, June 20, 2026 11:09 AM
To: City Council
Subject: Capitola bait and tackle
Please Save capitola bait and tackle .

So many great memories have been had with the friendly staff and our family fishing trips… Coming from a line of fisherman in Portugal. It’s been a tradiƟon of our family to rent some boats a few Ɵmes a year and teaching our younger ones the same tradiƟon. It would be such a loss to longer be greeted by the great and helpful staff. We conƟnue to look forwards to enjoying the experience of our beauƟful Monterey bay .

Thank you , Ruben Machado
38 Item 4 C.
1 Gautho, Julia
From: Ciara Ruane <[email protected]>
Sent: Saturday, June 20, 2026 12:42 PM
To: City Council
Subject: Keep Capitola Boat & Bait on the Wharf
Dear Capitola City Council Members,
I am unable to attend the city council meeting on June 25, so I am writing to express my strong support for keeping Capitola Boat & Bait on the Capitola Wharf. This business is an important part of the character and history of the wharf, proudly serving the Capitola community for over 30 years. It provides a connection to Capitola’s maritime heritage and offers both residents and visitors a local experience that is unique to our coastal community.

Preserving small, local businesses like Capitola Boat & Bait helps maintain the charm and identity that make Capitola special. The wharf should continue to be a place that supports local traditions, fishing, recreation, and community access.

Thank you for your time and for your commitment to protecting the character of our community.

Sincerely,
Ciara Ruane
39 Item 4 C.
1 Gautho, Julia
From: Simon Silver <[email protected]>
Sent: Saturday, June 20, 2026 2:32 PM
To: City Council
Subject: Capitola bait shop
As a longtime Santa Cruz County resident, I strongly support keeping Capitola Boat & Bait as the operator on the Capitola Wharf. Businesses like this are more than commercial tenants—they are part of the character, history, and culture of our coastline.

For over 30 years, Capitola Boat & Bait has provided access to fishing, boating, local knowledge, and family traditions that cannot easily be replaced.

While competitive bidding has its place, there is significant value in continuity, proven stewardship, and deep community ties. Capitola Boat & Bait has demonstrated its commitment to residents, visitors, and the local fishing community for decades.

Replacing a trusted local operator with an outside bidder risks losing the authenticity and community connection that make Capitola special.

I encourage the Council to recognize the shop’s long record of service, its contribution to tourism and recreation, and its role as a gathering place for generations of residents.

Preserving successful local businesses helps preserve the unique identity of Capitola itself.

Please support renewing Capitola Boat & Bait’s relationship with the Wharf and allow this community institution to continue serving Capitola for years to come. -Simon
831.840.8196
40 Item 4 C.
1 Gautho, Julia
From: Sharon Shriver-Bell <[email protected]>
Sent: Saturday, June 20, 2026 4:29 PM
To: City Council
Subject: Please let the Boat and Bait stay
They provide a great service and have been loyal to the village. They deserve to stay in the community.

Best regards,
Sharon Bell
Capitola, CA
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1 Gautho, Julia
From: Kristi Jud <[email protected]>
Sent: Saturday, June 20, 2026 6:30 PM
To: City Council
Subject: Keeps Capitola Boat & Bait
Hi,
Sending our family’s support to conƟnue contracƟng with Capitola Boat & Boat. They are a long term, local business and aren’t we about supporƟng our local businesses to keep our local flavor.

Please keep them under contract. They are an anchor (pun intended), to our community and have user ed generaƟons of us, from locals to visitors.

With so much change, we are a community that strives to keep our roots and our idenƟty and not sell out to some strip mall stores. Keep CB&B where they’ve been serving us for over 30 years. Help us keep what we can of our community! Thank you for supporƟng our local businesses and keeping our town rooted in our idenƟty! Regards,
The Jud, Quinn and Porter families.

Have a fabulous day뇤뇪뇫뇥뇦
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1 Gautho, Julia
From: Marlee Lynn Mayfield <[email protected]>
Sent: Sunday, June 21, 2026 9:48 AM
To: City Council
Subject: Keep Capitola boat and bait open!
Dear Capitola City Council,
Hello, my name is Marlee Mayfield. I am 19 years old and was born and raised in Santa Cruz, California.

Some of my favorite memories growing up have been spent with my dad fishing on the Capitola Wharf.

Capitola Boat and Bait is so much more than just a bait shop—it is a gathering place filled with some of the most amazing people and a strong community that truly makes Capitola special.

The wharf and Boat and Bait have brought together generations of families, locals, and visitors who share a love for fishing and the ocean. It is a place where friendships are made, traditions are passed down, and lifelong memories are created.

The community would be devastated if something happened to Capitola Boat and Bait. I respectfully ask that you do everything possible to keep it going and preserve this special part of Capitola's history and culture.

Thank you for your time, consideration, and dedication to our community.

Sincerely,
Marlee Mayfield
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1 Gautho, Julia
From: alethea rebman <[email protected]>
Sent: Sunday, June 21, 2026 10:05 AM
To: City Council
Subject: In support of keeping Capitola Boat & Bait
Dear City Council,
Having grown up in Capitola, with my family sƟll there, I ask you to consider the value of long-standing small business in the community. An RFP to replace a well-loved business should not be sent out.

Replacing small businesses also means that other such businesses cannot count on Capitola to keep their contracts in place no maƩer how successful and how much the community wants them to conƟnue. It impacts this small business and it impacts others, with real effects on families earning a living which is hard enough these days.

Please keep the sense of community, the great service, and the families employed there in place.

Thank you for your Ɵme,
Alethea Rebman
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1 Gautho, Julia
From: Bryan Aronson <[email protected]>
Sent: Sunday, June 21, 2026 10:09 AM
To: City Council
Subject: Save the boat and bait shop!
To whom it my concern,
I am wriƟng to let you know how special the capitola boat and bait shop is. I am a local born and raised here. Fishing has been an amazing way for any ages to spend Ɵme out in nature. It is important to keep Santa Cruz and Capitola from changing so dramaƟcally and fast. This is sƟll a small town and this local shop has so much history here. Please do what you can to save the Capitola Bait and Tackle.

Thank you,
Sincerely Bryan Aronson
Sent from my iPhone
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1 Gautho, Julia
From: Victor Valladares <[email protected]>
Sent: Sunday, June 21, 2026 10:31 AM
To: City Council
Subject: Community Concern Regarding June 25 RFP for Capitola Boat & Bait Dear Capitola City Council,
I am writing as a local resident and fisherman to express my support for Capitola Boat & Bait and to respectfully ask that the proposed RFP regarding its future be removed from the June 25 agenda.

Capitola Boat & Bait is an important part of our community. It provides affordable access to fishing, supports local tourism and small businesses, and serves as a gathering place for residents and visitors alike. For many people, including myself, it is one of the few ways to safely access Monterey Bay and enjoy our local marine resources.

The boat rental and bait shop have been a longstanding part of Capitola’s identity and waterfront culture.

I believe any decision that could impact its future deserves careful consideration and meaningful community input before moving forward.

Please protect this valuable community resource and keep Capitola Boat & Bait operating for future generations to enjoy.

Thank you for your time and consideration.

Sincerely,
Victor Valladares
Aptos, CA
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1 Gautho, Julia
From: Gigi Venezia <[email protected]>
Sent: Sunday, June 21, 2026 10:46 AM
To: City Council
Subject: Please Remove Capitola Boat & Bait RFP from the Agenda Dear Capitola City Council,
I’m writing to respectfully ask that you remove the proposed RFP regarding Capitola Boat & Bait from the June 25 agenda.

Capitola Boat & Bait is more than just a business, it’s a vital part of the harbor community and local fishing culture. It provides a safe haven for people of all ages to enjoy the water, connect with nature, and engage their hands and minds in a meaningful way in an increasingly technology-driven world.

Places like this are becoming rare. They offer opportunities for learning, recreation, and community connection that can’t be replaced. For many, it’s an accessible way to fish, boat, and experience the ocean safely while building practical skills and appreciation for the marine environment.

Opening this space to an RFP creates unnecessary uncertainty for a longstanding community institution that so many people rely on and value deeply. I believe any decisions about its future should involve greater community discussion and careful consideration.

Please protect this unique local resource and preserve Capitola Boat & Bait for future generations.

Thank you for your time and consideration.

Gigi Venezia
SF Bay Area local
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1 Gautho, Julia
From: Jeff & Karla <[email protected]>
Sent: Sunday, June 21, 2026 10:53 AM
To: City Council
Subject: Capitola Boat and Bait
Please remove the possibility of boat rental services going to an open bid. I have been going to the wharf to fish from rental boats for over 50 years, along with my sons and many friends. The small town feel of the wharf and boat and bait operation is what gives the experience a special feel.

Please keep the Capitola Boat and Bait a part of Capitola.

Thanks
Jeff Garcia
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1 Gautho, Julia
From: Bilal Mokrani <[email protected]>
Sent: Sunday, June 21, 2026 11:02 AM
To: City Council
Subject: RFP Capitola Boat ne Bait
Dear Members of the Capitola City Council,
I am writing to express my concerns regarding the issuance of a Request for Proposals (RFP) for the Capitola Wharf and the Boat and Bait store.

I believe that opening this process to new management puts the current owners at significant risk and could negatively impact the overall user experience. Any change in management would likely lead to modifications in how the facilities are run, potentially disrupting the high quality of service that visitors currently enjoy.

The actual owners are doing an excellent job, providing the community with affordable access to boat fishing and consistently delivering great service. I urge the Council to consider the value they bring to our city before moving forward with any plans that might jeopardize their continued operation.

Thank you for your time and for considering my perspective on this matter.

Best regards,
Bilal Mokrani
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1 Gautho, Julia
From: Maureen Brandi <[email protected]>
Sent: Sunday, June 21, 2026 11:13 AM
To: City Council; City Council
Subject: Please keep the Capitola wharf bait shop open
We love the bait shop, it is part of what makes Capitola so wonderful. It is part of our history. Please keep it open and remove anything from the agenda that could put it at risk. -Maureen
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1 Gautho, Julia
From: BMenges <[email protected]>
Sent: Sunday, June 21, 2026 1:09 PM
To: City Council
Subject: Capitola boat and bait
To whom it may concern,
I am writing to respectfully request that you remove the RFP from the upcoming June 25th agenda.

Capitola Boat and Bait is a valuable community resource and needs to be protected. I thank you very much for your consideration in this matter.

Respectfully,
Brian Menges
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1 Gautho, Julia
From: Edward L Martinez III <[email protected]> Sent: Sunday, June 21, 2026 1:13 PM
To: City Council
Subject: Do not shutter Capitola Boat and Bait
I can't even believe we are having this conversation. Closing Cap Boat and Bait is 100% the wrong move.

You have one of the most magnificent bodies of water on the planet, with one of the best managed sustainable fisheries on the west coast, and the city council wants to make sure that the people that visit Capitola (the people that fund us right) can't go out on it ??? David has been incredibly effective at managing this vital component of the wharf community for a very long time (and it is a community). I know that he is rough around the edges, but it's precisely that roughness that makes him perfect for the role he fills in the wharf community. David is really good at serving the city,,, whether or not you know it.

After the wharf broke 3 years ago, David was the ONLY business owner that stepped up and started fundraising for the displaced workers. Others eventually followed but he was the first to move. He has proven himself time and time again to be one of those people that We (locals) count on to do the right thing at the right time. It makes ZERO sense to shut him down. He has earned the right to be there a million times over, and we support him.

Applying the same logic elsewhere, let's shut down the surfboard rentals as well.... maybe outlaw Stand up paddleboards... this is just non-sense. please return to logic people - to coin a phrase "don't it always seem to go - that you don't know what you got till it's gone" --- Sincerely,
Edward and Nanci Martinez
Sunset Dr, Capitola CA 95010
52 Item 4 C.
1 Gautho, Julia
From: Denise W <[email protected]>
Sent: Sunday, June 21, 2026 1:21 PM
To: City Council
Subject: Capitola Boat & Bait
As a pre-capitala for 60 years I can say that my family has started many businesses here and some are still active here Zelda's on the beach is one of them also my aunt and uncle and father started capitola boat and baits . I'm not just saying this because my family was part of it I am saying this because I believe that it's like in the historic monument Capital has had that butt shop and that war for so long there's so many people's lives that it has touched so many people that has employed and so many people near and far that have enjoyed launching their boats there fishing there and having every employee there be a part of their lives It would be a horrible horrible incident if they were not there they would be missed greatly by most capitalians I know that for a fact I am deeply saddened that it would be considered even getting rid of it It is like a landmark It should be one of those places that is protected not only by the city of capitola but of Santa Cruz County You can't change everything in our small little town like it has been already It used to be a place as a child where I used to go and run on the beach and enjoyed the safety of everything Santa Cruz has changed so much that this is one of those things that should not change It is part of the history, part of the attraction of capitola in general. Yes new faces and new people moving to our city and think oh let's change all these things but they don't know the history behind it they don't know the deep embedded roots of which stands for and that's a sad and thing that everything that we once knew and wants lived for and that still live here and honor would be gone I stand against anything happening to this business It deserves to be there it should be there. And you can't take away certain things from people's lives You can't take away the memories and the joy that that place is brought some so many families so many children I can remember as a child playing on the wharf with old Jojo who's still around He's still cracks me up and tells me stories about when I was a kid and he has touched many many kids lives just has capitola boat and bait Please consider keeping this business or even making it part of our historical landmarks It should be. It sends me to see that the Pier 2 the cement ship was demolished but I needed it had to be for safety but it was like as if you had taken out the cement ship itself. If you were to get rid of Capitola Boat ,& Bait.

Thank you for letting me speak and thank you for listening and reading and thank you for considering making capsule a boat and bait a place that will stay forever If you had the memories that most of us had if you were part of it like most of us have been or all the people from all over the world have been you would not say let's get away with it You would say let's make it a historical landmark sincerely Denise Dickson Wiscowiche
53 Item 4 C.
1 Gautho, Julia
From: Family Pasler <[email protected]>
Sent: Sunday, June 21, 2026 4:34 PM
To: City Council
Subject: Capitola Boat & Bait
To whom it may concern,
Please do not get rid of the historical business Capitola Boat and Bait. This is a much loved business that is kind, affordable and contributes to our community in many posiƟve ways. As a widow and now single Mother I value the memories and Ɵmes my children and I have spent at this business. It would really do the community a disservice to replace this business with another restaurant. We have plenty of those in the Village. I implore you to keep Capitola Boat and Bait for many generaƟons to come and enjoy!
Sincerely,
Tina, Nolan and Avery Pasler
Aptos residents
54 Item 4 C.
1 Gautho, Julia
From: Santiago Hart <[email protected]>
Sent: Sunday, June 21, 2026 5:27 PM
To: City Council
Subject: Please Protect Capitola Boat & Bait
Dear Capitola City Council,
I am writing to respectfully ask that the proposed RFP regarding Capitola Boat & Bait be removed from the June 25 agenda.

Capitola Boat & Bait is much more than a business. It is a cornerstone of our coastal community and a place that has connected generations of fishermen, boaters, families, and visitors to the ocean. For many of us in Santa Cruz County, it is one of the last remaining pieces of authentic waterfront culture that makes Capitola unique.

As someone who spends a great deal of time on the water, I have seen firsthand how important Capitola Boat & Bait is to the local fishing community. The Capitola Wharf fishing crew relies on it, and it serves as a gathering place where people share knowledge, support local recreation, and build community. Once a resource like this is lost, it is extremely difficult—if not impossible—to replace.

I respectfully ask the Council to consider the value that Capitola Boat & Bait provides beyond simple economics. Its contribution to the character, history, and culture of Capitola is significant, and preserving it should be a priority.

Thank you for your time, consideration, and service to our community.

Sincerely,
Santiago Hart
Santa Cruz County Resident
Sent from my iPhone
55 Item 4 C.
1 Gautho, Julia
From: Ron Compton <[email protected]>
Sent: Sunday, June 21, 2026 6:37 PM
To: City Council
Subject: Capitola Boat and Bait
This business has been a vital enterprise for many decades, serving residents and tourists in fishing, which has been a staple of business and leisure activity in Capitola for over a hundred years.

Ron Compton
Resident of Capitola since 1975
56 Item 4 C.
1 Gautho, Julia
From: Anthony Guajardo <[email protected]>
Sent: Sunday, June 21, 2026 9:52 PM
To: City Council
Subject: Re: Item 8E – City-Owned Property Leasing Policy Capitola City Council,
While we recognize that this is a city-wide policy, we note that all three existing City-owned leases are located within the Capitola Village & Wharf Business Improvement Area (CVWBIA). We respectfully request that our organization be included in any discussions or decisions regarding this policy that could positively or negatively impact the viability of the business district.

This item has not been raised during our regular monthly meetings between City Staff and BIA officers, nor have we been afforded the opportunity to provide input, data, or economic analysis.

Many business owners, property owners, and real estate professionals within the CVWBIA possess extensive expertise in lease drafting, lease term lengths, mixed-use developments, and tenant mix strategies. We stand ready to offer informed guidance and recommendations to support the City’s efforts.

We remain committed to collaborating closely with the Capitola City Council and City Staff on all projects affecting the CVWBIA and welcome the opportunity to contribute constructively to this important initiative.

Thank you for your consideration.

Best regards,
Anthony Guajardo
BIA Chair
Mijo’s Taqueria
831.465.0228 | c: 408.824.4928
[email protected]
www.mijostaqueria.com
For catering requests: [email protected]
57 Item 4 C.
1 Gautho, Julia
From: mike lelieur <[email protected]>
Sent: Monday, June 22, 2026 7:14 AM
To: City Council
Subject: Keep Capitola Boat and Bait
Council members,
Capitola Boat & Bait has been an important part of the Capitola Wharf for generations and deserves to remain there. For decades, it has served recreational anglers, commercial fishermen, boat owners, and visitors who come to enjoy one of Capitola's most treasured landmarks.

The business provides essential services that support boating and fishing activities in Monterey Bay, including bait, tackle, supplies, and assistance for those using the harbor's moorings. Without these services, maintaining a vibrant boating and fishing community becomes much more difficult.

Fishing is not only a cherished recreational pastime for local families and tourists, but it also supports commercial fishermen who contribute to our local economy and coastal heritage. Capitola Boat & Bait helps sustain both.

The business also generates revenue for the City of Capitola through lease payments, visitor traffic, and the economic activity it brings to nearby restaurants and shops. Losing it would diminish the character and utility of the wharf.

Capitola should preserve this long-standing local institution and the valuable services it provides to residents, fishermen, and visitors alike.

Mike Lelieur
Pleasure Point
58 Item 4 C.
1 Gautho, Julia
From: Rose Dooling <[email protected]>
Sent: Monday, June 22, 2026 8:47 AM
To: City Council
Subject: Capitola Boat & Bait
To the City Council,
Please keep your lease going with Capitola Boat & Bait, they are a valued small local business that have been with us for decades and an integral part of Capitola fishing culture. We need to support our small local businesses, especially anyone that's made it this long! Thanks for your time, Rose Dooling, Capitola local
59 Item 4 C.
1 Gautho, Julia
From: Steven Fannell <[email protected]>
Sent: Monday, June 22, 2026 9:22 AM
To: City Council
Subject: Regarding 8E/
Capitola Boat & Bait
Dear Capitola City Council,
I am local and believe that this business is vital to our local community. The owner of this business and his family live locally and spend their money in this community.

It is extremely important that we keep THIS particular business locally owned and managed by our OWN Community members.

Please reconsider your thoughts on putting this elsewhere than on the shoulders of our own community.

Keep Capitola Boat & Bait in LOCAL Ownership,so that other members of our community can continue to thrive and return some of their profits back into our own City.

Use your heads and Keep it in Capitola!!
The Wharf rebuild was tough enough!
Let's keep Capitola Boat & Bait in business!
Thank you,
Steven Fannell
60 Item 4 C.
1 Gautho, Julia
From: Debbie Dill <[email protected]>
Sent: Monday, June 22, 2026 3:28 PM
To: City Council; City Council
Subject: Capitola Boat and Bait - June 25th meeting
Greetings council members,
I respectfully request that the RFP (Request for Proposals) be removed from your agenda on June 25th. The Capitola Boat and Bait business is a valued community resource and should be protected.

Sincerely,
Debra Dill
(831) 462-6776
61 Item 4 C.
1 Gautho, Julia
From: Jill Hadsell <[email protected]>
Sent: Monday, June 22, 2026 12:41 PM
To: City Council
Subject: Capitola Boat and Bait
Please help me to understand why the City of Capitola would solicit outside bids to operate the exisƟng long-Ɵme business of Capitola Boat and Bait? We are such a close-knit community. We have hard working people, doing their best to operate a small business in a town that they love. This must be causing them and their families, who have lived, shopped and paid taxes here for many years, extreme stress and concern. I cannot help but believe that most of our community even knows what is going on. I just found out myself. Please reconsider and remove this item from your agenda unƟl the community is aware of this and seek their input. We live here, love our community and our neighbors.

Please do the right thing. Thank you for your consideraƟon.

Jill Hadsell
62 Item 4 C.
1 Gautho, Julia
From: Jill Hadsell <[email protected]>
Sent: Monday, June 22, 2026 12:27 PM
To: City Council
Subject: Capitola Boat and Bait
Please help me to understand why the City of Capitola would solicit outside bids to operate the exisƟng long-Ɵme business of Capitola Boat and Bait? We are such a close-knit community. We have hard working people, doing their best to operate a small business in a town that they love. This must be causing them and their families, who have lived, shopped and paid taxes here for many years, extreme stress and concern. I cannot help but believe that most of our community even knows what is going on. I just found out myself. Please reconsider and remove this item from your agenda unƟl the community is aware of this and seek their input. We live here, love our community and our neighbors.

Please do the right thing. Thank you for your consideraƟon.

Jill Hadsell
63 Item 4 C.
1 Gautho, Julia
From: Darren & Connie Bernasconi <[email protected]> Sent: Monday, June 22, 2026 5:02 PM
To: City Council
Subject: Capitola Boat and Bait RFP
Follow Up Flag: Follow up
Flag Status: Completed
Connie
Bernasconi
1034 Elk
St.

Altus, Ok 73521
June 22, 2026
Capitola City Council 420 Capitola Avenue Capitola, CA 95010 Re: Urgent Request to Refrain from Issuing a Request for Proposals (RFP) for the Capitola Wharf – Support for Capitola Boat and Bait
Dear Members of the Capitola City Council,
I am writing to you as a longtime patron and supporter of Capitola Boat and Bait to strongly urge you not to issue a Request for Proposals for the Capitola Wharf. This family-owned business has been a cornerstone of the community for decades and replacing it through an RFP process would do irreparable harm to the local character, economy, and spirit of Capitola.

Capitola Boat and Bait is far more than just a business—it is a true community institution. For over 30 years, the owners have organized a Community Thanksgiving dinner that welcomes not only the homeless but anyone in Capitola who might otherwise be alone or during the holiday. They serve hundreds of community members each year with warmth and generosity. Every Christmas, they run the Angel Tree program, providing gifts to children in need. These efforts reflect the deep commitment this family has always had to Capitola’s residents.

Their dedication was never more evident than after the devastating storm that damaged the Wharf and their business and left employees unemployed. Rather than abandon their staff, like a corporation would, the owners organized raffles, sold hot dogs and burgers, hosted a Spaghetti dinner and auction, and participated in street fairs to sell wares, all to ensure their employees were supported. The owners themselves went without income during this time so they could take care of their teams. You cannot put a price on that kind of integrity and loyalty.

Visitors come from across the United States to experience the joy of boating and fishing in Capitola’s waters. As someone who moved to Oklahoma from California, I now travel from Oklahoma to rent boats from Capitola Boat and Bait; I can personally attest to their value. I have rented boats there successfully and have caught several different species of fish, thanks to their advice. The owners are incredibly knowledgeable about the boats, the local waters, fishing regulations, and safety. Their helpfulness and 64 Item 4 C.
2 kindness make every visit memorable. It is hard to imagine the Capitola waterfront without this long-time family business being there.

Beyond tourism, Capitola Boat and Bait provide meaningful work experience for the local youth in a unique boating and maritime environment. Many former employees have gone on to successful careers in commercial fishing, boat repair, fiberglass work, electrical systems, and engine maintenance. This business is actively building the next generation of skilled maritime professionals in your coastal community. That is something that should be celebrated, not punished.

The Wharf area should prioritize established, community-rooted businesses like Capitola Boat and Bait that have proven their value through decades of service, resilience, and generosity. An RFP process risks displacing this irreplaceable family operation in favor of unknown bidders who may lack the same commitment to Capitola’s residents and visitors.

I respectfully ask that you protect Capitola Boat and Bait and reject any proposal to issue an RFP that could threaten their continued operation. The community benefits they provide—economic, social, and cultural—are priceless and deserve your full support.

Thank you for your time and consideration.

Sincerely,
Connie
Bernasconi
209-993-0871
65 Item 4 C.
3 Gautho, Julia
From: Douglas Harriman <[email protected]>
Sent: Monday, June 22, 2026 5:35 PM
To: City Council
Subject: In support of Capitola Boat & Bait
To whom it may concern,
I'm writing to share my support of Capitola Boat & Bait and my deep hope that they can continue operating on the pier for decades to come.

I learned to fish from those boats. Staff like Ed and Myron have been seminal figures in my life for decades.

Even though I now live much farther away, I still come down multiple times per year just to go out on the boats, and when I do, I always frequent Capitola restaurants and businesses. My family often books vacation rentals and hotels in Capitola just so we can go out on the boats multiple days per visit.

The rental boats are an incredible gift Capitola gives the Bay Area/Northern California. We'd have no reason to visit if it wasn't for them, and it wouldn't be the same for some other operation to take over the boat rental business.

Please let Capitola Boat & Bait continue operating on the pier! Thank you,
Douglas Harriman
66 Item 4 C.
4 Gautho, Julia
From: Susie Sosebee <[email protected]>
Sent: Monday, June 22, 2026 8:07 PM
To: City Clerk
Subject: Public Comment: June 25 Meeting – Item 8E: Support for Capitola Boat & Bait Subject: Public Comment: June 25 Meeting – Item 8E: Support for Capitola Boat & Bait Please confirm receipt of this email.

Dear Mayor and Members of the City Council,
Our name is Susie and Bob Moles, and we are full time residents of Capitola. We are in the business of Commercial and Residential Real Estate and Development. Semi-Retired. We live on Depot Hill, we used to walk the Wharf every morning. Then, the City Council decided that the Wharf House shall no longer have a lease and furthermore, tear it down after the storms. If the City would have gone into the Wharf House and cleaned it out, dried it out immediately, it would have only required remodeling. But you wanted Grant money. They were the sacrificial lamb and you never built, even a temporary restaurant for them. Please note, the situation Aldo’s was in when their restaurant was taken down, Santa Cruz Wharf provided a new home for them.

Now, the only thing interesting on the Capitola Wharf is the Capitola Boat & Bait. The City Council made very poor and costly decisions on restrooms. On demolition of the existing restaurant and never followed through with interim plans to keep the Wharf lively, ie.. weekly Food trucks and music. Please do not destroy the only thing left!!!
There is absolutely NO reason at all that you cannot keep Capitola Boat & Bait on a lease with an “out clause” upon commencement of demolition. Or, have Capitola Boat & Bait as a required part of the Master Plan. It is time for redemption. I am writing to strongly urge the City Council to protect and preserve Capitola Boat & Bait during the upcoming discussion on Item 8E at the June 25th meeting. You can continue with the Open Bidding Process for the remodel as well. There are plenty of options to do the right thing in this situation.

To be Candid, in my Professional opinion and experience, it will be years by the time City Council goes through the bidding process. Then Architectural review. City and Coastal Commission Approvals. Realistically, 3-5 years!!
Capitola Boat & Bait is not just a concession; it is a vital part of our community's identity and maritime history. Since the 1980s, the operators have provided essential services to locals and visitors alike, from managing moorings and water taxis to supporting local fishers. Creating lifetime memories for the young and old. Family traditions. Even after the devastating 2023 storms, their resilience and dedication to serving Capitola from temporary structures proved their deep commitment to our town.

Keep Capitola Boat & Bait on a Lease and if they are interested in it, part of the Master Plan. That shall be one of the requirements for the Open Bidding Process. Not "Either / Or".

Thank you for your time, leadership, and consideration of the community's voice. 67 Item 4 C.
5 Sincerely,
Bob and Susie Moles

--
Susie Moles, Managing Director
South 1st Associates, Inc.

Entitlement, Leasing and Sales, Asset Manager, Development To help protect your priv acy, Microsoft Office prevented automatic download of this picture from the Internet. cell or text 408-482-3800
[email protected]
68 Item 4 C.
6 Gautho, Julia
From: [email protected]
Sent: Tuesday, June 23, 2026 2:04 AM
To: City Council
Subject: Capitola Boat and Bait
As a young kid I grew up on Riverview Drive in Capitola. The Capitola wharf and Capitola Boat & Bait had a huge impact on my life growing up. I never played sports so going to the wharf and fishing was my only outlook. Having capital Boat & Bait as the tackle shop on the wharf was great not only for the shop, but the people and crew who run it. They all taught me so much about life and how to fish and how to have proper eƟqueƩe.

I just want kids like me to have the same outlook as I had. It’s very important. please support Capitola Boat and Bait in any way possible. -Zac Proctor
69 Item 4 C.
7 Gautho, Julia
From: James Johnson <[email protected]>
Sent: Tuesday, June 23, 2026 8:27 AM
To: City Council
Subject: Capitola boat and bait (8E)
Hello, my name is James and I’m writing in concern of the future of the Capitola Boat And Bait Shop.

Im not sure what the bidding plans are, it sounds like we could potentially be losing this business to possibly another cafe, bar or restaurant.

This is extremely concerning for a number of reasons. The Capitola boat and bait assists in making something that is normally inaccessible for the majority of people accessible. The ability to rent a skiff and get in the water is one of the most beautiful things in Santa Cruz. It allows everyone the opportunity to get in the water and fish without having a boat of your own.

Another concern for losing this business is simply the fact that losing this business is like losing The Catalyst on pacific avenue. This place means a lot to a lot of people. It may not be the most profitable for Capitola or Santa Cruz, but it has heart and helps make Santa Cruz a special place.

I’m not expecting an email back, but I would love to hear your thoughts on this matter and what the actual plan is. Should we be concerned with losing this business? 70 Item 4 C.
8 Gautho, Julia
From: Cindy Chapman <[email protected]>
Sent: Tuesday, June 23, 2026 9:01 AM
To: City Council
Subject: Save Capitola Bait shop
I’m wriƟng to you to urge you to leave Capitola Boat and Bait as is. It’s a desƟnaƟon for me every Ɵme I visit from Fresno.

I’ve been vacaƟoning in Capitola since my childhood (I’m now 70).

I plan to take my grandson to day fish on the pier next week. The staff are always so helpful and paƟent with us. They even put the bait we buy on our hooks and give us Ɵps, etc. if the bait shop leaves, so will we.

I hope you consider all the comments from supporters and leave the wonderful piece of Capitola history as is.

Thank you,
Cindy Chapman
71 Item 4 C.
9 Gautho, Julia
From: Is_This_ Dez <[email protected]>
Sent: Tuesday, June 23, 2026 9:02 AM
To: City Council
Subject: Capitola boat and bait
Hello,
As a long Ɵme resident I can deeply saddened by the prospect of the lease for capitola boat and bait being given to the highest bidder. I grew up on that wharf and worked there for a brief period of Ɵme. Most members of our community have a strong aƩachment to that business and locaƟon. It is a cornerstone of our community. I cannot aƩend the meeƟng on Thursday so I am wriƟng this email. So many lives have been shaped there and innumerable core memories have been formed at that business. Capitola is a growing and Ɵght knit community and if it wants to stay a place where people want to go that business MUST stay. People come from all over the world to visit our liƩle town and many of them rent a boat to enjoy our beauƟful bay and that wouldn’t be possible without capitola boat and bait. Please consider the community above the money. Thank you.
72 Item 4 C.
10 Gautho, Julia
From: Carl Olin <[email protected]>
Sent: Tuesday, June 23, 2026 9:20 AM
To: City Council
Cc: Grace Olin
Subject: Capitola Boat & Bait - a Capitola Institution and Local Wharf Anchor Dear Capitola City Council:

We have heard that the Council will be reviewing options to accepting bids that could possibly end the relationship with Capitola Boat & Bait.

We understand the due diligence and protocol must be done and followed in City Government.

So in this particular case when you do deliberate, we request that you please acknowledge that you already (30+ ) have a beloved and solid contributor to the 'local feel' on the wharf with Capitola Boat & Bait. The company is local and feels like an anchor to the community - because it is. Sometimes in this ever-changing world keeping things as is - is a positive thing.

Thank you for your consideration and keep Capitola Boat & Bait on our wharf.

Carl & Grace Olin (30+ years as residents)
130 Wesley St.

Capitola, CA 95010
408-234-8529
73 Item 4 C.
1 Gautho, Julia
From: Darren & Connie Bernasconi <[email protected]> Sent: Monday, June 22, 2026 5:02 PM
To: City Council
Subject: Capitola Boat and Bait RFP
Follow Up Flag: Follow up
Flag Status: Flagged
Connie
Bernasconi
1034 Elk
St.

Visitors come from across the United States to experience the joy of boating and fishing in Capitola’s waters. As someone who moved to Oklahoma from California, I now travel from Oklahoma to rent boats from Capitola Boat and Bait; I can personally attest to their value. I have rented boats there successfully and have caught several different species of fish, thanks to their advice. The owners are incredibly knowledgeable about the boats, the local waters, fishing regulations, and safety. Their helpfulness and 74 Item 4 C.
1 Gautho, Julia
From: Christopher Harris <[email protected]>
Sent: Tuesday, June 23, 2026 11:41 AM
To: City Council
Subject: Capitola Boat and Bait must stay!
Dear Capitola City Council,
Capitola Boat and Bait is a long standing staple of our community and must be allowed to stay as long as they want! I must say, I find it more than a little concerning that this is even up for debate.

I will be watching this decision very closely.

Chris Harris
Account Executive
Sunridge Farms
831.227.4013
[email protected]
75 Item 4 C.
1 Gautho, Julia
From: Sue Stewart <[email protected]>
Sent: Tuesday, June 23, 2026 11:38 AM
To: City Council
Subject: Capitola Boat and bait shop.

I would like to request you remove Capitola boat and bait shop from your agenda on June 25th. I am writing as a concerned frequent vistor to Capitola. The Capitola wharf and the Capitola boat and bait shop is what brings us to Capitola. It is very unique. A perfect place to spend days, evenings in town and restaurants. I ask you to please remove the Capitola boat and bait shop from your agenda. Thank you very much.
76 Item 4 C.
1 Gautho, Julia
From: Barbro Lindblom <[email protected]>
Sent: Tuesday, June 23, 2026 12:06 PM
To: City Council
Subject: Capitola Boat and Bait
Capitola City Council,
I am writing to give my strong support for allowing Capitola Boat and Bait continue their business and service on the wharf.

It’s a well run business by local residents and it’s used and loved by many locals and visitors.

Barbro Lindblom
Capitola
77 Item 4 C.
1 Gautho, Julia
From: Thomas Beutel <[email protected]>
Sent: Tuesday, June 23, 2026 4:16 PM
To: City Council
Subject: Please Support Capitola Boat & Bait – Agenda Item 8E, June 25 Dear Members of the Capitola City Council,
I'm wriƟng to ask that you support the conƟnued operaƟon of Capitola Boat & Bait at the Wharf, and to urge you to remove Item 8E from Thursday's agenda.

I've been visiƟng Capitola Boat & Bait several Ɵmes a year for the past five years, and every visit has been a genuinely wonderful experience. What makes it so special is how rare it is. For most people who don't own a boat, the opƟons for ocean fishing are limited to expensive charter trips or simply going without. Capitola Boat & Bait fills a unique and important niche by offering accessible, affordable access to some of the most beauƟful water in Monterey Bay.

The fishing there has been consistently great, and I've come home with not just fish but real memories. That's not something you can manufacture, and it's not something an outside operator with no history in this community is likely to replicate.

Thirty-plus years of service to Capitola is a record that speaks for itself. I hope the Council will weigh that history seriously before opening the door to outside bids.

Thank you for your Ɵme and your service to the community.

Sincerely,
Thomas Beutel
San Francisco, CA
78 Item 4 C.
1 Gautho, Julia
From: Susie Sosebee <[email protected]>
Sent: Tuesday, June 23, 2026 8:12 PM
To: City Council
Subject: Fwd: Public Comment: June 25 Meeting – Item 8E: Support for Capitola Boat & Bait Please accept this letter as a timely submission. The online instructions gave me the city clerk email address.
---------- Forwarded message ---------
From: Susie Sosebee <[email protected]>
Date: Mon, Jun 22, 2026 at 8:06 PM
Subject: Public Comment: June 25 Meeting – Item 8E: Support for Capitola Boat & Bait To: <[email protected]>
Subject: Public Comment: June 25 Meeting – Item 8E: Support for Capitola Boat & Bait Please confirm receipt of this email.

To be Candid, in my Professional opinion and experience, it will be years by the time City Council goes through the bidding process. Then Architectural review. City and Coastal Commission Approvals. Realistically, 3-5 years!!
79 Item 4 C.
2 Capitola Boat & Bait is not just a concession; it is a vital part of our community's identity and maritime history. Since the 1980s, the operators have provided essential services to locals and visitors alike, from managing moorings and water taxis to supporting local fishers. Creating lifetime memories for the young and old. Family traditions. Even after the devastating 2023 storms, their resilience and dedication to serving Capitola from temporary structures proved their deep commitment to our town.

Keep Capitola Boat & Bait on a Lease and if they are interested in it, part of the Master Plan. That shall be one of the requirements for the Open Bidding Process. Not "Either / Or".

Thank you for your time, leadership, and consideration of the community's voice.

Sincerely,
Bob and Susie Moles

--
Susie Moles, Managing Director
South 1st Associates, Inc.

Entitlement, Leasing and Sales, Asset Manager, Development To help protect your priv acy, Microsoft Office prevented automatic download of this picture from the Internet. 80 Item 4 C.
3 cell or text 408-482-3800
[email protected]
81 Item 4 C.
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From: Alyssa Humphrey <[email protected]>
Sent: Tuesday, June 23, 2026 10:17 PM
To: City Council
Subject: Capitola boat & bait RFP
please remove this item from the agenda. Capitola boat & bait is a pillar of the Capitola community. It breathes life and prosperity into the quaint community we locals have helped create. They provide jobs for youths entering the work force. They cultivate a family like atmosphere that helps keep the wharf lively with fishing families of locals and tourists alike. To even consider changing anything about Capitola Boat & bait is an absolute shame.

REMOVE THIS ITEM FROM THE AGENDA
- the Pastor family
Capitola locals
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From: Sydney Nguyen <[email protected]>
Sent: Wednesday, June 24, 2026 1:19 AM
To: City Council
Subject: Request For Proposals
Dear Members of the Capitola City Council,
I am writing to respectfully ask the City Council to reconsider issuing a Request for Proposals (RFP) for the City-owned leased properties in Capitola Village when the current leases expire and instead give strong consideration to renewing the leases of the existing tenants who have demonstrated long-term success and commitment to our community.

The three businesses currently operating on City-owned leased properties—Capitola Boat & Bait, Capitola Beach Company, and Britannia Arms Patio Dining—have all become important parts of the Capitola Village experience. These businesses have established themselves as reliable operators, contributed to the local economy, supported tourism, and helped create the unique character that residents and visitors enjoy today.

These businesses are not untested ventures. They are proven, successful operators with years of experience serving the Capitola community. They have invested substantial time, resources, and effort into building their businesses and maintaining the high standards expected in Capitola Village. Their success has helped attract visitors, generate tax revenue, and support neighboring businesses throughout the Village.

As the operator of Britannia Arms, I can personally speak to the commitment we have made to Capitola. For the past 15 years, Britannia Arms has been a reliable and consistent presence in Capitola Village. We bring visitors to Capitola year-round, not just during the summer season. Through our marketing and social media efforts, we continuously promote both our business and Capitola Village as a destination.

Beyond operating a successful business, we actively support local organizations, sponsor community events, employ local residents, and contribute to the local economy. Britannia Arms has become more than a restaurant and pub—it serves as a community gathering place where residents and visitors come together during celebrations, sporting events, fundraisers, holidays, and times of need.

The current tenants have already demonstrated their financial stability, operational experience, and commitment to the community. Requiring an RFP process creates uncertainty for businesses that have spent years helping make Capitola Village a vibrant 83 Item 4 C.
2 and successful destination. Continuity and stability are important to maintaining the character and economic health of the Village.

I respectfully ask the City Council to recognize the value that these long-standing businesses bring to Capitola and to give serious consideration to renewing the leases of existing tenants who have proven themselves responsible stewards of these City-owned properties.

Thank you for your time, consideration, and continued service to the Capitola community.

Sincerely,
Xuan-Lan Sydney Nguyen
Britannia Arms of Capitola
Cell (408) 513-5399
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From: Peter Kellison <[email protected]>
Sent: Wednesday, June 24, 2026 7:01 AM
To: City Council
Subject: 6/25; Oppose Agenda Item 8E — RFP Requirement Undermines Community Stewardship
Dear Mayor and Members of the City Council:

I'm writing to oppose the mandatory RFP requirement contained in Agenda Item 8E.

The most important question before the Council is a simple one: What problem is this proposal intended to solve?
The City already possesses the authority to issue a Request for Proposals whenever circumstances warrant it. That discretion exists today. What has not been demonstrated is why every lease, regardless of the tenant, location, history, or public benefit provided, should be subject to mandatory competitive bidding at the end of its term.

If the Council's goal is greater transparency and consistency in the management of public assets, then it should say so plainly and develop a policy tailored to accomplish that purpose. But Item 8E goes further.

It would replace discretion with a requirement and create a standing mechanism under which existing tenants must periodically compete to remain in place, regardless of performance or community value.

In other words, this proposal does not provide the City with a tool it lacks. It imposes a mandate it has not shown to be necessary.

It is also worth noting that nothing in law requires the City to adopt this approach. Competitive bidding requirements typically exist to govern how public agencies spend public funds, not how they manage lease relationships where the City is the landlord. This proposal is therefore not about legal compliance.

It is a policy choice, and before making that choice the Council should be clear about the problem it is trying to solve.

That distinction matters because the City's tenants are not interchangeable. Many have spent decades building businesses that serve Capitola residents and visitors alike. They have invested capital, trained employees, built customer relationships, survived economic downturns, and become part of the character of the community. A mandatory RFP process treats those investments as irrelevant and replaces predictability with uncertainty.

That is not a formula for encouraging long-term stewardship of public assets. It is a formula for discouraging long-term investment in them. A tenant's record of performance, contribution to the community, and compliance with its lease obligations should matter more than whether someone else is willing to submit a competing proposal.

The timing of this proposal also raises concerns. Capitola Boat and Bait's lease expires on December 31, making this concept immediately consequential for a business that had roughly one week's notice that it 85 Item 4 C.
2 was even under consideration. Further, the item has been scheduled for 4:00 p.m., when many small business owners and members of the public are still at work and least able to participate.

Before adopting a policy with consequences this significant, the burden should be on its proponents to explain not only why it is fair, but why it is necessary.

I ask the Council to reject the mandatory RFP component of Item 8E and instead direct staff to return with a leasing policy that promotes transparency while preserving the flexibility to recognize demonstrated community value and reward responsible long-term stewardship of public assets.

Respectfully,
Peter Kellison
Fanmar Way
Capitola, CA

Kellison Company, Inc.

(916) 441-1011 (o)
(916) 541-9959 (m)

www.kellisoncompany.com
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From: Suzanne Cochran <[email protected]>
Sent: Wednesday, June 24, 2026 9:16 AM
To: City Council
Cc: Suzanne Cochran
Subject: Capitola Bait Lease Renewal
Dear City Council Members,
Please keep Capitola Boat and Bait as part of our community by renewing the lease. They have been a huge supporter of the community, given decades of service and knowledge that they share with customers. Please renew lease.

Regards,
Suzanne Cochran
Full time Resident and Property Owner in the Jewel Box
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From: Clark Cochran <[email protected]>
Sent: Wednesday, June 24, 2026 2:02 PM
To: City Council
Cc: Suzanne Cochran
Subject: City Leases
Dear Mayor and Council Members,
Leases of Capitola city owned land should consider more than just revenue. The ambience of our community, especially in the Esplanade, beach, and wharf areas depends on them remaining the heart of our identity, and as such leases should be selected on the lessees intrinsic community value. To allow a t-shirt stand in front of the Britt because they pay more would be a huge mistake in council judgment.

Just as not giving special consideration to retaining Capitola Boat and Bait as an historic part or our community spirit would also be a huge mistake. Selling out to the highest bidder leads to chain stores and the loss of what makes Capitola special. I strongly urge you to make necessary considerations to keep the Boat and Bait on the wharf.

Sincerely,
Clark Cochran
Resident, home owner, and voter
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From: John <[email protected]>
Sent: Wednesday, June 24, 2026 5:02 PM
To: City Council; City Clerk; Goldstein, Jamie
Subject: To be added to agenda materials
Follow Up Flag: Follow up
Flag Status: Flagged
Such nice leƩers from folks asking that nothing ever have and no progress be made on a slew of issues.

Upgrade Monterey Park/ Hidden too could use a bathroom. The play structure there is great though.

Let boat and bait stay seems fine, just charge them market rate since it’s a public facility. Our city is spiraling. We somehow lose money having the wharf which blows my mind the incompetent.

Also fire Jamie.

Warmly JM
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From: Woodmansee, Chloe
Sent: Wednesday, June 24, 2026 5:06 PM
To: City Council
Subject: Fw: KSBW Media: Capitola Boat and Bait Questions for Statement Follow Up Flag: Follow up
Flag Status: Flagged
Honorable Mayor and Council,
Please see my reply to Jazmon, below. Thank you!
Warmly,
Chloé
Get Outlook for iOS
From: Woodmansee, Chloe <[email protected]> Sent: Wednesday, June 24, 2026 12:37 PM
To: DeJarnette, Jazmon <[email protected]>
Subject: RE: KSBW Media: Capitola Boat and Bait Questions for Statement

Hi Jazmon,
So nice chatting with you over the phone earlier. Thank you for reaching out with a heads up about your story, we appreciate the opportunity to provide clarification. Here is a general summary, and I’ve also answered your specific questions below in bold.

Item 8.E on tomorrow's agenda is a draft City-Owned Property Leasing Policy, which, if adopted by the Council, would establish a framework for how the City manages leases of City-owned property going forward. The intent of the policy is to bring greater transparency and consistency to a method that currently has no formal process. The policy does recommend competitive processes, such as Requests for Proposals, as a general standard (and best practice) on a yetto-be determined recurring cycle. However, the draft also preserves significant Council discretion. The City Council has the authority to determine when a direct negotiation is more appropriate, and the draft policy explicitly includes situations where that flexibility applies. No decisions about any specific lease, including Capitola Boat and Bait, whose current lease runs through the end of 2026, are being made at this meeting. Tomorrow's action is the chance for the City Council to adopt a policy framework, or not. As always, future lease renewals or approvals would come back to Council separately, with full opportunity for public input. The City values its long-standing relationships with the businesses that call Capitola home, including those that operate on City-owned property. Capitola Boat and Bait has been a beloved part of the Wharf and the broader community for a long time, and that history matters.

1. Can you clarify whether this policy would have any immediate impact on existing leases, including Capitola Boat and Bait’s current lease? It would have no immediate impact on existing leases.

2. 90
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2 What problem is the city trying to solve by creating a formal leasing policy now? In April, when discussing the Capitola Wharf Master Plan, the City Council requested that staff bring a draft cityowned property leasing policy for their consideration. The RFP process, rather than direct negotiating, is generally considered more transparent and helps ensure responsible stewardship of public property/resources, qualities our Council is invested in for this community.

3. How would council balance community value and local history against financial considerations during a future RFP process? Ultimately, this is a City Council decision, and I can’t answer for them. When staff reviews proposals, we routinely consider business experience and ability to complete the work successfully, alongside fiscal implications.

4. If an RFP process were required, would existing operators receive any consideration for their years of service and investment in the community? Yes, past successful experience in the desired operation would be a significant benefit under an RFP process.

Please note that my email address has changed. It is now: [email protected] Warmly,
Chloé Woodmansee (she/her)
Assistant to the City Manager - City of Capitola
831.475.7300 x220

From: DeJarnette, Jazmon <[email protected]> Sent: Wednesday, June 24, 2026 11:32 AM
To: Woodmansee, Chloe <[email protected]>
Subject: KSBW Media: Capitola Boat and Bait Questions for Statement

Hi,
It was great talking to you! Here's some of my questions for the statement. Please feel free to add anything else! Thank you so much!

Questions for the city

1. Can you clarify whether this policy would have any immediate impact on existing leases, including Capitola Boat and Bait’s current lease?

2. What problem is the city trying to solve by creating a formal leasing policy now?

91 Item 4 C.
3 3.

How would council balance community value and local history against financial considerations during a future RFP process?

4. If an RFP process were required, would existing operators receive any consideration for their years of service and investment in the community?

Jazmon DeJarnette | Reporter
KSBW Television • Monterey • Salinas • Santa Cruz
O: 831-758-7768 C: 831-788-3443
[email protected]

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From: Tricia Proctor <[email protected]>
Sent: Wednesday, June 24, 2026 5:12 PM
To: City Council
Subject: Council Meeting June 25th 2026 Item 8E Capitola Boat and Bait Follow Up Flag: Follow up
Flag Status: Flagged
Dear Capitola City Council Members,
I am writing to respectfully request that you reconsider and remove the item 8E regarding the potential bidding out of the Capitola Boat and Bait business location from your agenda until the community has had a chance to be fully informed and to provide their input on this matter.

Capitola Boat and Bait has been a beloved fixture in our community for many years, providing cherished memories for families, including my own. Growing up in Capitola, my sons learned to fish from the wharf, and we have seen firsthand the positive impact this longstanding business has on our community and its tourism.

Before making any decisions about introducing new business opportunities at this iconic location, I urge the council to engage with the community and consider the significance of Capitola Boat and Bait. It is important that the voices of the residents are heard and that we preserve the character and history of our treasured wharf.

Thank you for your attention to this matter. I hope you will take the time to seek community input before proceeding.

Tricia Proctor
505A Riverview Dr
Capitola, CA
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From: Lori Lelieur <[email protected]>
Sent: Wednesday, June 24, 2026 10:21 PM
To: City Council
Subject: I Support Keeping Capitola Boat and Bait
Dear Councilmembers,
I'm writing on behalf of Tiina Williams and the boat and bait shop on the wharf. As a relatively new employee there (I only work 10-15 hours/week) I see first hand the value of Tina's business. This is a place of commerce but also of community. The staff has years-long relationships with so many of the locals as well as the boaters and anglers. People come daily to just hang out, buy a soda or chips, visit with Tina (and JoJo!) and the other staff and locals, and of course, rent the skiffs and buy fishing supplies.

The notion of disrupting or removing a business of 30 years in favor of other bids where there is no longstanding relationship with the owner/city is not fair to Tina or the residents of the area. Capitola Boat and Bait serves Capitola with quality, friendship and is a quiet and precious addition to an existing peaceful atmosphere. It just fits.

Please reconsider and choose relationships over profit! Save Capitola Boat Bait! Thank you for considering my opinion and for serving Capitola so well.

Lori Lelieur
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From: Kelly Gavin <[email protected]>
Sent: Thursday, June 25, 2026 11:06 AM
To: City Council
Subject: Preserve a Beloved Capitola Tradition
Dear Mayor and City Council Members,
I am writing to respectfully urge you to keep Capitola Boat and Bait on the Capitola Wharf. I am from Capitola & still live here, I grew up on that wharf, learned to fish there with my father, I celebrated it when it reopened and implore the council to preserve community connection over financial gain.

This small business is far more than a bait shop. It is a cherished part of Capitola’s identity and coastal character. For generations, families, visitors, and local anglers have been drawn to the wharf not just for the view, but for the authentic experience this business provides. It represents the spirit of a working waterfront, something increasingly rare along the California coast.

Capitola Boat and Bait supports tourism, encourages outdoor recreation, and creates meaningful, accessible experiences for people of all ages. It is often a child’s first introduction to fishing, a visitor’s memorable stop, and a local tradition that connects our community to the ocean in a tangible way.

Removing it would risk losing an irreplaceable piece of what makes Capitola special. Once gone, that authenticity is difficult, if not impossible, to restore.

I respectfully ask that you consider the cultural, historical, and economic value this business brings and take action to ensure Capitola Boat and Bait remains part of the Wharf’s future.

Thank you for your time, your leadership, and your commitment to preserving the unique character of Capitola.

Sincerely,
Kelly Gavin
Kelly Gavin
Executive Director
Scotts Valley Chamber of Commerce
[email protected]
Office: 831-438-1010
Leadership Santa Cruz County, Board member
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From: Gerald Donoghue <[email protected]>
Sent: Thursday, June 25, 2026 3:19 PM
To: City Council
I am writing to voice my support of keeping the capitola boat and bait on the capitola wharf. My 15 y.o. son is one of the many teens who loves to ride his bike down to the wharf with his pole and spend hours fishing. He buys his bait and tackle there and talks to the other fishermen who gather there. He is currently saving up money from his job to be able to rent a skiff for him and I to get out to deeper waters and catch some halibut.

He is one of many teens down there fishing and not home scrolling on a phone or somewhere else getting in trouble. The capitola boat and bait is an integral part of keeping people connected to the ocean in a positive manner. It would break my son's heart if it were to dissappear and be replaced by another overpriced restaurant or trinket shop. Please respect the fishermen/women who are stewards to the Monterey Bay.

Sincerely, Gerald Donoghue and Slater Donoghue
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From: Kevin Maguire <[email protected]>
Sent: Tuesday, June 23, 2026 3:33 PM
To: Districts; City Clerk; City Council
Subject: 6/25/26 Agenda 8 F.Draft Council District Maps Mayor and Council, and Doug the demographer.

Thank you for the extensive discussion regarding the transition to district elections. After reviewing the meeting and the approved direction of four districts plus an elected mayor beginning in 2028, I believe several important implementation questions remain unanswered.

My purpose is not to revisit the decision itself, but rather to better understand how the transition will work in a fair and transparent manner.

First, there is the question of district sequencing. Once district boundaries are established, the two council seats scheduled for election in 2028 will likely correspond to only two of the four new districts. If current council members whose terms expire in 2028 happen to reside in those districts, those residents would receive the first opportunity to elect district representatives, while residents in the other two districts would wait until 2030.

Is that the intended approach?
If not, should the city consider a random drawing process to determine which districts are first in the election cycle, similar to how some jurisdictions establish staggered terms after redistricting? This would help ensure that no district receives a perceived advantage simply because of where current council members reside.

Second, I remain unclear on how the elected mayor position will be phased in while maintaining the existing staggered election schedule.

Under the current schedule:
 2026: Three council seats
 2028: Two council seats
 2030: Three council seats
 2032: Two council seats
If four districts and an elected mayor begin in 2028, it appears there are only a few possible transition paths:

Option A - Delay the first elected mayor until 2030 (this seems to be the best for cadance of two distrcits, then two distrcits plus mayor, every two years...) 2028:
97 Item 4 D.
2  District 1
 District 2
2030:
 Mayor
 District 3
 District 4
Option B – Mayor begins in 2028
2028:
 * Mayor (create 6 council seat for two years)
 District 1
 District 2
2030:
 Districts 3
 Districts 4
 Mayor
2032:
 Mayor
 District 1
 District 2
This appears to temporarily create six elected positions until 2030 unless an existing term is shortened.

Option C – Mayor begins in 2028 using only the two available seats 2028:
 Mayor
 District 1
2030:
 Districts 2, 3, and 4
 Mayor
2032:
 Mayor
 District 1
2034:
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3  Districts 2, 3, and 4
 Mayor
This creates an uneven election cycle where only one district gets a new council member, plus at-large mayor, and then three districts plus a mayor. Only way to break that cycle is to change term limits for one of the districts.

Here are two charts to help visualize this:
99 Item 4 D.
4 Option A appears to preserve the existing staggered structure while avoiding a temporary increase in council membership.

I would appreciate seeing a transition chart prepared by staff showing exactly how the city intends to move from five at-large seats to four district seats and one elected mayor while preserving existing terms and maintaining fair representation across all districts.

These are important governance details that will affect every voter in Capitola, and I believe the public would benefit from a clear explanation before the final implementation decisions are made.

Thank you for your consideration.

Kevin Maguire
100
Item 4 D.
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From: Linda Smith <[email protected]>
Sent: Wednesday, June 24, 2026 3:24 PM
To: City Council
Subject: Input for Item 8F on the Agenda, Districting
As you know, I have tried to participate in this process all along, and I can tell you - this redistricting process is challenging! Thank you to Staff and Council for getting us a good Demographer and tools to help us through the process!
I looked for the Draft maps in the Interactive Review Map section of the mapping tool and could not find them in Layers; after rebooting my computer and clearing my cache, I saw them listed, but they seemed to disappear as it loaded. (Is there a glitch in the system?) In an effort to not waste the opportunity to provide feedback, I did some of my own analysis. I am hoping for some guidance on how to look at the draft maps we have now and will be receiving in the future, so we can give you input into this very critical decision. Since some maps label Districts 1, 2, 3, & 4 differently, I will use the General Plan labels of West/41st, JewelBox, Cliffwood Heights, and ‘Combo’ (representing the Depot Hill/Village/Upper Village/Riverview Terrace neighborhoods).

Here are my thoughts after attempting to analyze the 9 4-District maps posted:
 Map 406 balances the population amongst the 4 districts the best. By far. Less than 50 difference between the highest and lowest populated district.  Looking strictly at population balance, the rest differed by hundreds, with 4 maps tying for 5 th place at just under 400 difference between highest and lowest population districts.  Looking at which district had the highest population result across all 9 maps, 4 had the West/41st district at the top. 2 led with the Jewelbox, and 3 placed the combo of Village/RiverviewTerrace/Depot Hill at the top. None of the 9 maps listed top population in Cliffwood Heights. Most of the adjustments were in the middle, with Wharf Rd and Soquel Creek alternating as the barrier, and adjusting which district the Village was attached to.  2 maps were identical, so I would think eliminating one of them would get rid of some clutter.  With the goal of not cutting through neighborhood ‘communities of interest’, population shouldn’t be our only defining metric, but I do think it is important. Will the interactive review tool include any insight received by the Demographer from the Public outlining their neighborhoods? (This was asked of the attendees to ‘draw your neighborhood’)
In closing, how does the Public help to refine the mapping process? I am looking to Council for guidance. I am also looking to the Demographer and Staff to confirm when the submitted maps will be available to the Public in the interactive review section, and what comparisons will be available there for fine tuning our submissions.
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2 Thank you!
Linda Smith [email protected]
Life is short -- Break the rules!
Forgive quickly..

Kiss slowly..

Love truly..

Laugh uncontrollably..

And never regret anything that make you smile!
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Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: City Manager Department
Subject: City Council Meeting Minutes
Recommended Action: Approve minutes from the regular meeting on June 11, 2026.

Background: Attached for City Council review and approval are the draft minutes from the regular meeting on June 11, 2026.

Alignment with 2025-2029 Strategic Plan Priority: Accountable Government Attachments:

1. Regular Meeting 6/11/2026
Report Prepared By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
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Item 7 A.

City of Capitola
City Council Meeting Minutes
Thursday, June 11, 2026 – 6:00 PM
City Council Chambers
420 Capitola Avenue, Capitola, CA 95010
Mayor: Margaux Morgan
Vice Mayor: Gerry Jensen
Council Members: Joe Clarke, 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 Clarke, Orbach, Westman, Vice Mayor Jensen, and Mayor Morgan.

2. Additions and Deletions to the Agenda – None

3. Presentations
A. The Mayor presented a proclamation to County of Santa Cruz staff declaring June 2026 as Older Americans Month

4. Additional Materials
A. Item 7C – One staff memorandum with updated attachment received after publication of the agenda packet.

B. Item 8A –Thirteen emails received after publication of the agenda packet.

5. Oral Communications by Members of the Public
 Carin Hanna
 Speaker
The City Council discussed Item 8A at 6:12 PM, as it was a time-certain public hearing beginning at 6:15 PM. Following Item 8A, the Council took a recess at 7:41 PM and reconvened at 7:45 PM before returning to Item 6.

6. Staff / City Council Comments
 City Manager Goldstein updated the Council and the public that the grand opening for the Jade Street Community Center and Treasure Cove Playground is postponed to mid-August.

In the meantime, City staff will begin selling commemorative bricks for the Park at the Rispin Mansion on June 12th.
 Police Chief Ryan provided updates on upcoming Highway 1 closures of the Bay Avenue onramp and offramp due to construction by the RTC and shared that closures will be postponed til after the Wharf to Wharf Race.
 Council Member Clarke reminded the public that the Capitola Classic Car Show will be held on June 13th.
 Council Member Westman provided updates from a recently attended AMBAG meeting.  Vice Mayor Jensen requested that new staff members be introduced at a Council meeting and provided updates from a recently attended RTC meeting. Vice Mayor Jensen requested that staff return to the Council to provide a “master plan” of traffic projects to outline how 108
Item 7 A.

City Council Meeting Minutes – June 11, 2026
City of Capitola Page 2
Citywide traffic projects interplay with each other. Council Member Westman seconded his request and added that a timeline should also be incorporated to discuss project phasing.  Mayor Morgan requested that staff contact the City’s contracted vendor for Village sidewalk cleaning to investigate claims made during public comment and requested that the Police Department engage with the junior guard participants to ensure safety in the Village.

7. Consent Items
A. City Council Meeting Minutes
Recommended Action: Approve minutes from the regular meeting on May 28, 2026.

B. City Of Capitola Military Equipment Use
Recommended Action: Adopt a resolution renewing Chapter 2.60 of the Capitola Municipal Code entitled Military Equipment Use Ordinance, Capitola Military Equipment Use Policy 706 with no changes from the prior year, and finding that the annual Military Equipment Report complies with the standards of approval outlined in Government Code Section 7071(d). (Resolution No. 4492)
C. Business Improvement Assessments for Fiscal Year 2026-27 Recommended Action: Adopt a resolution providing notice of the City’s intent to levy business improvement assessments for Fiscal Year 2026-27, receiving the annual report and proposed budget of the Capitola Village and Wharf Business Improvement Area, setting the date for a public hearing to be held on Thursday, June 25, 2026; and outlining noticing requirements. (Resolution No. 4493)
D. City Investment Policy Amendment
Recommended Action: Adopt a resolution affirming the City's Administrative Policy Number III1, Investment Policy, as recommended by the Finance Advisory Committee. (Resolution No. 4494)
Motion to approve the Consent Calendar: Council Member Orbach Second: Council Member Westman
Voting Yea: Council Members Clarke, Orbach, Westman, Vice Mayor Jensen, and Mayor Morgan

8. General Government / Public Hearings
A. Transition to Districts – Second Public Hearing
Recommended Action: 1) Conduct a duly noticed time-certain public hearing at 6:15 PM and receive public input regarding the composition of the potential Council election districts; 2) provide direction on Council’s preference for five Council districts with a rotating Mayor, or for four Council districts with a Citywide-elected Mayor; and 3) if a Citywide-elected Mayor is preferred, provide guidance on whether the Mayoral term should be two years or four years.

City Clerk Gautho and Doug Johnson, the City’s demographer, provided the staff report.

The City responded to three questions from the public concerning the selection of the Vice Mayor, how renters and mobile home park residents are considered in census data, and how multiple Council Members elected in 2026 would be handled if they lived in the same district.

Public Comment:
 Speaker
 Marc Warshaw
 Cami Corvin
 Cheryl Ban
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City of Capitola Page 3
 Mark Esquibel
 Alla Mia Basaldua
 Speaker
The Council discussed their preferences for the number of electoral districts in Capitola and their preference for the term for the Mayor and when the Mayor’s role should be sequenced.

Motion to direct the demographer to compose draft maps to include four electoral districts and a Citywide elected Mayor, with the Mayor to have a two-year term beginning in 2028: Council Member Clarke
Second: Council Member Westman
Voting Yea: Council Members Clarke, Orbach, Westman, Vice Mayor Jensen, Mayor Morgan
The City Council took a recess at 7:41 PM and reconvened at 7:45 PM. Following discussion of Item 8A, the Council returned to the regular agenda order and addressed items beginning with Item 6.

B. Fiscal Year 2026-27 Operating Budget and Five-Year Capital Improvement Program Recommended Action: Adopt a resolution adopting the Fiscal Year 2026-27 City Budget and Five -Year Capital Improvement Program.

Administrative Services Director Malberg provided the staff report.

Public Comment:
 Peter Wilk
 Speaker
The City Council the City’s proposed budget and upcoming opportunities for the Council to reassess allocations of funding.

Motion to adopt Resolution No. 4495: Council Member Westman Second: Council Member Orbach
Voting Yea: Council Members Clarke, Orbach, Westman, Vice Mayor Jensen, and Mayor Morgan
C. 2026 General Municipal Election
Recommended Action: Adopt a resolution ordering the 2026 General Municipal Election, requesting the Santa Cruz County Department of Elections conduct the election, and requesting consolidation of the General Municipal Election in the City of Capitola on Tuesday, November 3, 2026.

City Clerk Gautho provided the staff report.

Public Comment: None
Motion to adopt Resolution No. 4496: Council Member Orbach Second: Vice Mayor Jensen
Voting Yea: Council Members Clarke, Orbach, Westman, Vice Mayor Jensen, and Mayor Morgan
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City Council Meeting Minutes – June 11, 2026
City of Capitola Page 4

9. Adjournment – The meeting adjourned at 8:35 PM. The next regularly scheduled City Council meeting is on June 25, 2026, at 6:00 PM.
________________________
Margaux Morgan, Mayor
ATTEST:
______________________
Julia Gautho, City Clerk
111
Item 7 A.

Capitola City Council
Agenda Report
Meeting: June 28, 2026
From: Public Works Department
Subject: 2026 Reposa Avenue Pavement Rehabilitation Project – Construction Contract Award
Recommended Action: Award a construction contract to Betz Works for the 2026 Reposa Avenue Pavement Rehabilitation Project in the amount of $134,800 and authorize the City Manager to execute the contract.

Background: On May 28, 2026, the City Council adopted the FY 2026-27 SB 1 Project List and Measure D Five-Year Program of Projects. As part of that action, the Council identified Reposa Avenue as the City's primary pavement rehabilitation project for FY 2026-27.

The project will rehabilitate Reposa Avenue between 38th Avenue and 41st Avenue. Work includes localized pavement dig-outs, placement of an asphalt concrete overlay, replacement of pavement striping and markings, and related improvements.

The project is funded through a combination of SB 1 Road Maintenance and Rehabilitation Account (RMRA) revenues and Measure D transportation funds and is consistent with the City's Pavement Management Program.

Discussion: The project was advertised for informal bids in accordance with Chapter 3.16 of the Capitola Municipal Code and the California Uniform Public Construction Cost Accounting Act (CUPCCAA). A notice inviting bids was distributed to contractors on the City's informal bidders list and applicable construction trade journals. Bids were opened on June 17, 2026, and the City received four bids, summarized below.

Bidder Bid Amount
Betz Works $134,800
Monterey Peninsula Engineering $144,736
Granite Rock $154,190
McKim Corporation $180,211
Staff reviewed the bids for responsiveness and contractor qualifications. The lowest responsive and responsible bidder is Betz Works with a bid of $134,800.

The project consists of targeted pavement repairs followed by pavement preservation treatments designed to extend the useful life of the roadway and improve overall pavement condition. Construction is anticipated to occur during Summer 2026 and is expected to require approximately fifteen (15) working days to complete.

Fiscal Impact: The Engineer's Estimate for construction was approximately $230,000. Funding for the project is available within the FY 2026-27 Pavement Rehabilitation Program budget utilizing SB 1 RMRA and Measure D revenues.

Attachments:

1. Draft Construction Contract
Alignment with 2025-2029 Strategic Plan Priority: Sustainable Infrastructure 112
Item 7 B.

Report Prepared By: Jessica Kahn, Public Works Director Reviewed By: Julia Gautho, City Clerk; Marc Tran, City Attorney Approved By: Jamie Goldstein, City Manager
113
Item 7 B.

City of Capitola
2026 Pavement Management Project – Reposa Avenue INCLUDE IN BID PACKET Part 1 | Contract Documents – BID PACKET
1 AGREEMENT
THIS AGREEMENT, made and entered into this 25th day of June, 2026, by and between the CITY OF CAPITOLA, a municipal corporation, hereinafter called “City,” and ________________, hereinafter called “Contractor;”
WITNESSETH, that the parties hereto do mutually agree as follows:

ARTICLE I
That for and in consideration of the covenants and agreements herein contained and the payments at the prices stated in the bid proposal attached hereto, and by this reference made a part hereof, the Contractor hereby covenants and agrees to furnish any and all required supervision, labor, equipment, “Standard Provisions" as hereinafter defined, and will bear any and all other expense necessary or incidental to the performance of certain work hereinafter specified, and to build, construct, reconstruct, pave or repave and complete improvements for:
2026 PAVEMENT MANAGEMENT PROJECT – REPOSA AVENUE
General work description: The work generally consists of traffic control, pavement digouts, asphalt rubber cape seal, Type III microsurfacing, pavement striping and markings, retroreflective pavement markers, and related work on Reposa Avenue.

In strict conformity and compliance with the City’s Special Project Specifications, the Plans, and Drawings, and to do everything required by this agreement, and by said Standard Specifications as hereinafter defined.

ARTICLE II
It is expressly agreed and understood by the Contractor that the City’s Special Project Specifications consists of the documents on file at the Office of the Director of Public Works of the City of Capitola, entitled:
“City of Capitola Special Project Specifications”
All sections of the Standard Specifications of the State of California, Department of Transportation, dated 2018 with most recent revisions, (“State Specifications”), shall apply. Where conflicts arise between the City’s Special Project Specifications and the State Specifications, the City’s Special Project Specifications shall control and apply.

ARTICLE III
It is expressly agreed and understood by each and every party to this agreement that the Notice to Contractors/Notice Inviting Sealed Proposals or Bids, Instructions to Bidders, the City’s Special Project Specifications, including the Standard Provisions, Technical Provisions, and Special Provisions, the City’s Standard Details, the State Specifications, the Bid Proposal including all required forms and bonds, the Plans, and the Drawings are hereby incorporated and made a part of this contract (hereinafter the “Contract Documents”). The parties to this agreement do hereby expressly acknowledge that they have read, understand, and promise to comply with each and every provision of Contract Documents.
114
Item 7 B.

City of Capitola
2026 Pavement Management Project – Reposa Avenue INCLUDE IN BID PACKET Part 1 | Contract Documents – BID PACKET
2 ARTICLE IV
Contractor shall conform to all laws and regulations of the United States and the State of California, as well as laws of Capitola, as may be applicable to the project.

ARTICLE V
The City hereby contracts to pay said Contractor the prices provided for in the Bid Proposal in the manner, to the extent, and at the times set forth in the Contract Documents.

ARTICLE VI
It is agreed by the parties hereto that the acceptance of the Contractor's performance will be made only by an affirmative action of the City of Capitola, by approval of a Notice of Completion, and upon the filing by the Contractor of a Release of all Claims of every nature on account of work done under this contract, together with an affidavit that all claims have been fully paid. The acceptance by the Contractor of said final payment shall constitute a waiver of all claims against the City arising out of or in connection with this contract.

IN WITNESS WHEREOF, this contract is executed by the City Manager of the City of Capitola, and the Contractor has affixed his/her signature hereto the day and year first hereinabove written.

CITY OF CAPITOLA CONTRACTOR:

A Municipal Corporation
By: By:

Benjamin Goldstein
City Manager Title:

Date: Date:

Approved by the City Council on June 25, 2026
ATTEST:

City Clerk
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Item 7 B.

City of Capitola
2026 Pavement Management Project – Reposa Avenue INCLUDE IN BID PACKET Part 1 | Contract Documents – BID PACKET
3 FAITHFUL PERFORMANCE & MAINTENANCE BOND
WHEREAS, the City of Capitola, a municipal corporation, in the County of Santa Cruz, State of California, has awarded to ____________________, hereinafter designated as the "Principal," a contract for constructing the work or improvement described in the contract documents entitled:
2026 Pavement Management Project – Reposa Avenue
WHEREAS, said Principal is about to enter into the contract with the City of Capitola:

NOW, THEREFORE, we, the Principal, and ____________________________________, a corporation organized and existing under and by virtue of the laws of the State of California, as surety, are held and firmly bound unto the City of Capitola, a municipal corporation in the County of Santa Cruz, State of California, in the sum of _____________________________ ______________________________dollars ($____________) being not less than one hundred percent (100%) of the estimated contract costs of the work, to be paid to the City of Capitola, for the payment of which sum, well and truly to be paid, we hereby jointly and severally bind ourselves, our heirs, administrators, executors, successors and assigns; NOW, THEREFORE THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Principal, his/her heirs, executors, administrators, successors, or assigns shall in all things abide by and well and truly keep and perform the covenants, conditions and agreements in the said contract and any alteration thereof made as herein provided, on his/her or their part, to be kept and performed at the time and in the manner therein specified, and in all respects according to the true intent and meaning, and shall indemnify and save harmless the City of Capitola, its officers and agents as therein stipulated, that this obligation shall be discharged, otherwise it shall be and remain in full force and effect.

As a condition precedent to the satisfactory completion of the said contract, the above obligation in the amount of dollars ___________________________________________dollars ($_________), being not less than 10 percent of the estimated contract cost, shall remain in force for a period of one (1) year after the completion and acceptance of the said work, during which time if the Principal, his/her or its heirs, executors, administrators, successors or assigns shall fail to make full, complete and satisfactory repairs and replacements or totally protect the City of Capitola from loss or damage made evident during said period of one (1) year from the date of official acceptance of said work and resulting from or caused by defective materials or faulty workmanship in the prosecution of the work done, the above obligation in the sum of ___________________________________________________________________ dollars ($_________), shall remain in full force and effect, otherwise the obligation shall be discharged.

However, notwithstanding any other provisions of this paragraph, the obligation of the surety hereunder shall continue so long as any obligation of the Principal remains.

The surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration, or addition to the terms of the contract or to the work to be performed thereunder or the specifications shall in any way effect its obligation on this bond, and it does hereby waive notice of any such changes, extensions of time, alterations, or additions to the terms of the contract or to the work or to the specifications, and the surety does hereby waive its rights under California Civil Code Section 2819.
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Item 7 B.

City of Capitola
2026 Pavement Management Project – Reposa Avenue INCLUDE IN BID PACKET Part 1 | Contract Documents – BID PACKET
4 IN WITNESS whereof, the parties have executed this instrument under their seals, this____day of__________________, 20____, by its undersigned representative, pursuant to the authority of its governing body, the day and year first hereinabove written. ________________________________

PRINCIPAL
________________________________
SURETY
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Item 7 B.

City of Capitola
2026 Pavement Management Project – Reposa Avenue INCLUDE IN BID PACKET Part 1 | Contract Documents – BID PACKET
5 LABOR AND MATERIAL BOND
WHEREAS, the City of Capitola, a municipal corporation in the County of Santa Cruz, State of California, has awarded to _____________________, hereinafter designated as the "Principal," a contract for constructing the work or improvement described in the contract documents entitled:
2026 Pavement Management Project – Reposa Avenue
WHEREAS, said Principal is required under the terms of said contract to furnish a Labor and Material Bond, the surety of this bond will pay the same to the extent hereinafter set forth; and WHEREAS, the said Principal is about to enter into the annexed contract with the City of Capitola to complete the work or improvement referred to above for the City of Capitola, County of Santa Cruz, State of California, all as more particularly and in detail as shown upon the Special Project Specifications and Contract Documents filed in the Public Works Department of the City of Capitola;
NOW, THEREFORE, we the Principal, and a corporation
organized and existing under and by virtue of the laws of the State of California, as surety, are held and firmly bound unto the City of Capitola in the sum of _________________________________dollars ($________) such sum being not less than one hundred percent (100%) of the estimated contract cost of the work, lawful money of the United States of America, to be paid to the City of Capitola, for the payment of which sum, well and truly to be made, we hereby bind ourselves, our heirs, administrators, executors, successors and assign jointly and severally.

THE CONDITION OF THIS OBLIGATION IS SUCH, that if said Principal or its heirs, executors, administrators, successors or assigns, shall fail to pay for any materials, provisions, vendor supplies, or equipment as provided in the contract documents, upon, for, or about the performance of the work contracted to be done, or for any work or waiver thereon of any kind, or for amounts due under the Unemployment Insurance Code with respect to work or labor performed by any such claimant, or fails to pay any of the persons authorized under Civil Code Section 9100 to assert a claim against a payment bond, or fails to pay for any amounts required to be deducted, withheld, and paid over to the Franchise Tax Board for the wages of employees of the Principal or his/her subcontractor pursuant to Section 18806 of the Revenue and Taxation Code, or fails to pay for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the principal and all subcontractors with respect to such work and labor that the surety or sureties will pay for the same, in an amount not exceeding the sum specified in this bond, and also, in case suit is brought upon the bond, will pay, in addition to the face amount hereof, a reasonable attorney's fee, to be fixed by the Court.

The condition of this obligation is such that its terms inure to the benefit of any of the persons and entities authorized in Civil Code Section 9100 to assert a claim against a payment bond so as to give a right of action to such persons or entities or their assigns in any suit brought upon or action to enforce liability on the bond.

City of Capitola
2026 Pavement Management Project – Reposa Avenue INCLUDE IN BID PACKET Part 1 | Contract Documents – BID PACKET
6 in any manner affect its obligation upon this bond, and it does hereby explicitly waive notice of any such change, extension of time, alteration or addition to the terms of the contract or to the work to be performed thereunder, and further explicitly hereby waives its rights under Civil Code Section 2819.

IN WITNESS WHEREOF, the above parties have executed this instrument under their seals this_____ day of____________________, 20__, and duly signed by its undersigned representation, pursuant to authority of its governing body. __________________________________

PRINCIPAL
__________________________________
SURETY
119
Item 7 B.

City of Capitola
2026 Pavement Management Project – Reposa Avenue INCLUDE IN BID PACKET Part 1 | Contract Documents – BID PACKET
7 120
Item 7 B.

Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: Police Department
Subject: State of California Office of Traffic Safety Grant Program Recommended Action: Adopt a resolution accepting a California Office of Traffic Safety Selective Traffic Enforcement Program (STEP) Grant in the amount of $60,000 and amending the FY 2026-27 General Fund operating budget to increase revenues and expenditures by $60,000.

Background: The California Office of Traffic Safety (OTS), through the National Highway Traffic Safety Administration, has allocated $60,000 to the City of Capitola to support traffic safety education and enforcement programs. These grants are designed to assist local law enforcement agencies in reducing traffic collisions, injuries, and fatalities through education, prevention, and enforcement efforts.

Staff has actively pursued state grant funding to enhance public safety and has previously received OTS grant awards for traffic safety programs. This grant award covers the period from October 1, 2026, through September 30, 2027.

Discussion: Under the terms of this grant, the awarded funds will be used exclusively for traffic safety enforcement, education, and equipment within the City. The grant supports DUI checkpoints, DUI saturation patrols, distracted driving enforcement, pedestrian and bicycle safety operations, and traffic enforcement focused on primary collision factors. The grant also supports community outreach and educational efforts aimed at increasing traffic safety awareness.

The $60,000 award is allocated as follows:

Enforcement Staffing $43,505
Training and Travel Expenses $3,495
Equipment and Supplies $13,000
These activities align with the grant's scope and the City's ongoing efforts to reduce traffic collisions and improve safety for motorists, bicyclists, and pedestrians throughout the community.

Fiscal Impact: There is no fiscal impact to the General Fund. Acceptance of the grant will increase both revenues and expenditures by $60,000. All grant funds must be used for traffic safety enforcement operations, education, training, equipment, and related traffic safety activities.

Attachments:

1. Resolution

2. Budget Amendment

3. Grant Agreement
Report Prepared By: Leo Moreno, Police Captain
Reviewed By: Julia Gautho, City Clerk; Sarah Ryan, Chief of Police; Jim Malberg, Administrative Services Director
Approved By: Jamie Goldstein, City Manager
121
Item 7 C.

RESOLUTION NO.

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPITOLA ACCEPTING

GRANT FUNDING FROM THE CALIFORNIA OFFICE OF TRAFFIC SAFETY SELECTIVE

TRAFFIC ENFORCEMENT PROGRAM (STEP) TO SUPPORT TRAFFIC SAFETY EDUCATION AND ENFORCEMENT AND AMENDING THE FISCAL YEAR 2026-27 BUDGET WHEREAS, the California Office of Traffic Safety (OTS), through the National Highway Traffic Safety Administration, provides grant funding to local law enforcement agencies to support programs that reduce traffic collisions, injuries, and fatalities through education, prevention, and enforcement efforts; and
WHEREAS, the Capitola Police Department has been awarded $60,000 through the OTS Selective Traffic Enforcement Program (STEP) Grant to support traffic safety enforcement and education efforts within the City of Capitola during the 2026-27 fiscal year; and WHEREAS, the grant award includes funding for DUI checkpoints, DUI saturation patrols, distracted driving enforcement, pedestrian and bicycle safety operations, traffic enforcement focused on primary collision factors, community outreach, training, equipment, and related traffic safety activities; and
WHEREAS, the grant funds will be used exclusively for authorized traffic safety enforcement, education, training, equipment, and operational expenses, with no local match required and no fiscal impact to the City's General Fund; and WHEREAS, it is necessary to amend the Fiscal Year 2026-27 Adopted Budget to accept and appropriate the grant funds according to the grant agreement; and NOW, THEREFORE, BE IT HEREBY RESOLVED that the City Council of the City of Capitola hereby accepts the $60,000 award from the California Office of Traffic Safety Selective Traffic Enforcement Program (STEP) Grant and authorizes an amendment to the FY 2026-27 General Fund operating budget to increase revenues and expenditures by $60,000 for the purpose of traffic safety education and enforcement activities.

BE IT FURTHER RESOLVED by the City Council of the City of Capitola that the 2026-27 Fiscal Year Budget is hereby amended, including Exhibit A (Budget Amendment) to this Resolution and that the Finance Director is directed to enter the budget into the City's accounting records in accordance with appropriate accounting practices, and the City Manager, with the Finance Director's assistance, shall assure compliance therewith.

I HEREBY CERTIFY that the above and foregoing resolution was passed and adopted by the City Council of the City of Capitola at its regular meeting held on the 25th day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Margaux Morgan, Mayor
122
Item 7 C.

ATTEST:
____________________________
Julia Gautho, City Clerk
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Item 7 C.
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State of California – Office of Traffic Safety

GRANT AGREEMENT

GRANT NUMBER
PT27025

1. GRANT TITLE
Selective Traffic Enforcement Program (STEP)

2. NAME OF AGENCY 3. Grant Period
Capitola From:

To:
10/01/2026
09/30/2027 4. AGENCY UNIT TO ADMINISTER GRANT
Capitola Police Department

5. GRANT DESCRIPTION
Best practice strategies will be conducted to reduce the number of persons killed and injured in crashes involving alcohol and other primary crash factors. The funded strategies may include impaired driving enforcement, enforcement operations focusing on primary crash factors, distracted driving, night-time seat belt enforcement, special enforcement operations encouraging motorcycle safety, enforcement and public awareness in areas with a high number of bicycle and pedestrian crashes, and educational programs. These strategies are designed to earn media attention thus enhancing the overall deterrent effect.

6. Federal Funds Allocated Under This Agreement Shall Not Exceed:

Allocation is contingent upon availability of federal funds. $60,000.00

7. TERMS AND CONDITIONS: The parties agree to comply with the terms and conditions of the following which are by this reference made a part of the Agreement:
• Schedule A – Problem Statement, Goals and Objectives and Method of Procedure • Schedule B – Detailed Budget Estimate and Sub-Budget Estimate (if applicable) • Schedule B-1 – Budget Narrative and Sub-Budget Narrative (if applicable) • Exhibit A – Certifications and Assurances
• Exhibit B* – OTS Grant Program Manual
• Exhibit C – Grant Electronic Management System (GEMS) Access *Items shown with an asterisk (*), are hereby incorporated by reference and made a part of this agreement as if attached hereto. These documents can be viewed at the OTS home web page under Grants: www.ots.ca.gov.

We, the officials named below, hereby swear under penalty of perjury under the laws of the State of California that we are duly authorized to legally bind the Grant recipient to the above described Grant terms and conditions.

IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto.

8. Approval Signatures
A. GRANT DIRECTOR B. AUTHORIZING OFFICIAL
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Leo Moreno
Captain
[email protected]
(831) 212-4060
422 Capitola Avenue
Capitola, CA 95010
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Sarah Ryan
Chief of Police
[email protected]
(831) 212-4041
422 Capitola Avenue
Capitola, CA 95010
(Signature) (Date) (Signature) (Date)
C. FISCAL OFFICIAL D. AUTHORIZING OFFICIAL OF OFFICE OF TRAFFIC SAFETY NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Jim Malberg
Finance Director
[email protected]
(831) 475-7300 , ext 224
422 Capitola Avenue
Capitola, CA 95010
NAME:

TITLE:

EMAIL:

PHONE:

ADDRESS:

Stephanie Dougherty
Director
[email protected]
(916) 509-3030
2208 Kausen Drive, Suite 300
Elk Grove, CA 95758
(Signature) (Date) (Signature) (Date)
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10. PROJECTED EXPENDITURES
FUND CFDA ITEM/APPROPRIATION F.Y. CHAPTER STATUTE PROJECTED

EXPENDITURES

AGREEMENT
TOTAL $60,000.00

AMOUNT ENCUMBERED BY THIS DOCUMENT
I CERTIFY upon my own personal knowledge that the budgeted funds for the current budget year are available for the period and purpose of the expenditure stated above.
$60,000.00

PRIOR AMOUNT ENCUMBERED FOR THIS

AGREEMENT
$ 0.00
OTS ACCOUNTING OFFICER’S SIGNATURE DATE SIGNED TOTAL AMOUNT ENCUMBERED TO DATE $60,000.00
E. ACCOUNTING OFFICER OF OFFICE OF TRAFFIC SAFETY 9. SAM INFORMATION NAME: Jessica Chan SAM #:

REGISTERED
ADDRESS:

CITY:

ZIP+4:
121387393
420 Capitola Avenue
Capitola
95010-3399
ADDRESS: 2208 Kausen Dr. Suite 300
Elk Grove, CA 95758
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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule A

GRANT NUMBER
PT27025

1. PROBLEM STATEMENT
Describe the city, county, or jurisdiction this grant will impact.

The City of Capitola functions as a primary economic and tourism engine for Santa Cruz County, packeting an outsized regional impact into just 1.6 square miles. Although the permanent residential population sits at approximately 9,500, the city’s status as a premier seaside resort and major retail destination causes a massive daily influx that routinely exceeds 30,000 people. This population tripling creates a unique set of traffic safety challenges, as the roadway network must accommodate a dense mix of local residents and a high volume of visitors who are often unfamiliar with the city’s compact street layout and high-density pedestrian zones. The prevalence of numerous restaurants and entertainment venues further complicates this environment, as the surge in visitors correlates with higher levels of alcohol and controlled substance consumption, significantly increasing the risk of impaired driving and alcohol-related crashes throughout the city.

The roadway infrastructure is anchored by high-volume corridors that act as regional feeders from State Route 1. The 41st Avenue corridor, in particular, serves as the principal shopping destination for the entire county, housing a regional mall and several large-scale supermarkets that draw consumers from well beyond Capitola’s borders. This corridor experiences a constant flow of regional traffic, commercial delivery vehicles, and out-of-area visitors staying at nearby hotels. Because these drivers are often focused on navigating to unfamiliar retail locations, the 41st Avenue corridor has become a consistent focus of traffic safety concerns, specifically regarding the interaction between heavy vehicle volumes and the dense pedestrian activity surrounding these commercial hubs.

Similarly, the Bay Avenue corridor serves as a critical artery connecting the highway to the city’s residential core and beachfront. This route is unique because it services high-density housing and a senior center, resulting in a significant presence of older pedestrians and drivers. These vulnerable road users are at an increased risk, particularly during peak hours when regional commuters and tourists are transitioning through the city. The risk to these populations is further magnified by the presence of nearby dining and entertainment districts, where alcohol-related travel patterns often intersect with residential traffic, creating a clear need for targeted impaired driving and traffic enforcement to protect the city’s most vulnerable populations.

The Capitola Village (Downtown business district) area presents perhaps the most complex environment for traffic safety within the city. As a compact beachfront district, it draws thousands of beachgoers, cyclists, and pedestrians into a constrained space characterized by narrow roadways and limited parking. The rapid proliferation of e-bikes has introduced a new layer of danger to this area, as traditional motorists must now share the road with high-speed electric bicycles often operated by unlicensed juveniles or visitors unfamiliar with local traffic laws. Recent serious injury crashes involving e-bikes highlight an urgent need for enhanced pedestrian and bicycle safety initiatives. When the micro-mobility crisis is combined with the village's nightlife and alcohol consumption, the potential for multi-modal crashes involving impaired drivers and vulnerable cyclists increases exponentially.

The Capitola Police Department maintains a high standard of operational readiness, with personnel holding specialized certifications in Advanced Roadside Impaired Driving Enforcement (ARIDE), Standardized Field Sobriety Testing, and Accident Reconstruction. While the department remains aggressive in its efforts to curb impaired driving and improve roadway safety, the reality of a service population that triples daily places an extraordinary strain on existing resources. Current staffing levels are optimized for the city’s residential footprint, but the influx of over 20,000 additional visitors daily—drawn by regional retail hubs and beach attractions—requires a level of specialized, high-visibility enforcement that exceeds standard patrol capacity.

Grant-funded resources are essential to bridge this gap, allowing the department to deploy targeted safety operations and pedestrian-specific initiatives that effectively address the specific threats posed by regional traffic surges, impaired driving, and the evolving e-bike safety crisis. 126
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Describe the problem(s) to be addressed, supported by current and relevant crash data. (most recent calendar year data/stats).

The City of Capitola functions as a primary economic and tourism engine for Santa Cruz County, packing an outsized regional impact into just 1.6 square miles. Although the permanent residential population sits at approximately 9,500, the city’s status as a premier seaside resort and major retail destination causes a massive daily influx that routinely exceeds 30,000 people. This population surge is further intensified by several major annual events that draw tens of thousands of additional visitors into the city's constrained roadway network. These include the Wharf to Wharf Race, which brings 16,000 runners and thousands of spectators through the village; the Capitola Art and Wine Festival, which draws several thousand visitors over a single weekend; and the Monte Foundation Fireworks show, which attracts approximately 10,000 attendees annually. Other high-capacity events such as the Capitola Beach Festival, the Capitola Classic Car Show, and the Mermaid Triathlon further strain the city's infrastructure. This population tripling creates a unique set of traffic safety challenges, as the roadway network must accommodate a dense mix of local residents and a high volume of visitors who are often unfamiliar with the city’s compact street layout and high-density pedestrian zones. The prevalence of numerous restaurants and entertainment venues further complicates this environment, as the surge in visitors correlates with higher levels of alcohol and controlled substance consumption, significantly increasing the risk of impaired driving and alcohol-related crashes throughout the city.

The City of Capitola is experiencing a significant upward trend in traffic-related injuries and an increase in crash severity. Analysis of data from 2023 through 2025 reveals that the primary problems to be addressed are a 38.4 percent increase in total injury victims, a 100 percent rise in alcohol-involved injury crashes, and a growing safety crisis involving juvenile e-bike operators and senior pedestrians. In 2023, the city recorded 25 injury crashes resulting in 26 victims. By 2025, while the number of injury crashes reached 29, the number of injury victims rose to 36. This 38.4 percent increase in victims over a three-year period indicates that crashes are becoming more dangerous, involving more individuals per incident.

The primary crash factors contributing to these injuries are clearly defined by the most recent calendar year statistics: Unsafe Speed (22350 CVC) remains the most prevalent cause of crashes within the jurisdiction. In 2023, there were 27 speed-related injury crashes; by 2025, this increased by 18.5 percent to a three-year high of 32 injury crashes. Unsafe Turning (22107 CVC) also showed a significant increase, rising 25 percent from 16 injury crashes in 2023 to 20 in 2025. These two factors represent the majority of injury-producing events in our primary commercial and regional retail corridors. Impaired driving has emerged as a growing threat to public safety. After recording zero alcohol-involved injury crashes in 2023, the city saw a 100 percent increase as that number rose to two injury crashes in 2024 and stayed at that level in 2025. This rise, combined with a re-emergence of nighttime injury crashes (2100–0259 hours) in 2025, underscores a critical need for targeted intervention. Furthermore, the safety of pedestrians remains a priority; injury crashes involving 21950(a) CVC (Failure to Yield to Pedestrians) increased by 20 percent, from 5 incidents in 2023 to 6 in 2025.

Finally, the city is facing a localized crisis regarding juvenile e-bike operation. The department has identified a persistent lack of compliance with 21212 CVC (Helmet Requirements) and 21213 CVC (Class 3 E-bike Age Restrictions) among riders under the age of 18. The surge in e-bike use has introduced high-speed operators into pedestrian-heavy zones like the Capitola Village, where narrow roadways and high foot traffic increase the likelihood of multi-modal crashes. Without additional resources to address these rising percentages and specific primary crash factors, the City of Capitola remains at risk for further increases in traffic-related fatalities and serious injuries.

Define the target population the grant intends to serve and how they are affected by the problem(s).

The grant efforts proposed by the Capitola Police Department are intended to serve the entire Capitola community, with attention to populations that crash and citation data show are disproportionately impacted by traffic safety issues. Capitola has a population of approximately 9,503 residents, with 16.5 percent under the age of 18 and 24.5 percent aged 65 or older. This means that nearly one in four residents is a senior adult and more than one in six is a child or youth, both of whom are more vulnerable to serious injury in traffic crashes involving pedestrians and bicyclists.

Capitola’s demographic profile includes a mix of long-term residents, families, young drivers, and older adults. The city’s median age is higher than regional and state averages, reflecting a significant senior population that may be more at risk in traffic environments due to mobility challenges, slower reaction times, and increased susceptibility to injury. Children and juveniles, while representing a smaller portion of the 127
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population, remain a priority in traffic safety efforts, especially given the number of bicycle-related crashes and pedestrian exposures near schools and neighborhoods.

The racial and ethnic composition of Capitola includes residents identifying as White and Hispanic or Latino, among other groups, representing a range of cultural, economic, and language backgrounds. This diversity highlights the importance of education, enforcement, and outreach strategies that effectively reach and resonate with all segments of the community.

All residents of Capitola are affected by unsafe driving behaviors such as speeding, failure to yield, impaired driving, and distracted driving. These behaviors contribute to crashes that injure pedestrians, bicyclists, and motorists, and create concern around walking and biking in neighborhoods, near schools, and along major roadways. Seniors and juveniles, in particular, are more likely to be injured in crashes and are more vulnerable to serious injury due to these behaviors.

The target population for this grant includes all drivers, pedestrians, and bicyclists in Capitola, while recognizing that certain segments of the community, such as young drivers, teens, senior adults, pedestrians, and bicyclists, face higher risks of injury due to traffic crashes. This grant will support initiatives that enhance safety for everyone, including education, enforcement, and community outreach, with the goal of reducing injury crashes and creating a safer transportation environment across the city for all residents, visitors, and road users.

2. PERFORMANCE MEASURES
A. Goals:

1. Reduce the number of persons killed in traffic crashes.

2. Reduce the number of persons injured in traffic crashes.

3. Reduce the number of pedestrians killed in traffic crashes.

4. Reduce the number of pedestrians injured in traffic crashes.

5. Reduce the number of bicyclists killed in traffic crashes.

6. Reduce the number of bicyclists injured in traffic crashes.

7. Reduce the number of persons killed in alcohol-involved crashes.

8. Reduce the number of persons injured in alcohol-involved crashes.

9. Reduce the number of persons killed in drug-involved crashes.

10. Reduce the number of persons injured in drug-involved crashes.

11. Reduce the number of persons killed in alcohol/drug combo-involved crashes.

12. Reduce the number of persons injured in alcohol/drug combo-involved crashes.

13. Reduce the number of motorcyclists killed in traffic crashes.

14. Reduce the number of motorcyclists injured in traffic crashes.

15. Reduce hit & run fatal crashes.

16. Reduce hit & run injury crashes.

17. Reduce nighttime (2100 - 0259 hours) fatal crashes.

18. Reduce nighttime (2100 - 0259 hours) injury crashes.

B. Objectives: Target Number

1. Issue a news release announcing the kick-off of the grant by December 31st. The kick-off news releases and media advisories, alerts, and materials must be emailed to the OTS Public Information Officer at [email protected], and copied to your OTS Coordinator, for approval 7 days prior to the issuance date of the release.
1 2. Participate and report data (as required) in the following campaigns; Quarter 1:

National Pedestrian Safety Month, National Walk to School Day, National Teen Driver Safety Week, NHTSA Winter Mobilization; Quarter 3: National Distracted Driving Awareness Month, National Motorcycle Safety Month, National Bicycle Safety Month, National Click it or Ticket Mobilization; Quarter 4: National Speed Prevention Campaigns, NHTSA Summer Mobilization, National Child Passenger Safety Week, and California's Pedestrian Safety Month.
12 3. Develop (by December 31) and/or maintain a “DUI BOLO” program to notify patrol and traffic officers to be on the lookout for identified repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. Updated DUI BOLOs should be distributed to patrol and traffic officers monthly. Report on the outcomes of the “DUI BOLO” program.
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4. Send law enforcement personnel to the NHTSA Standardized Field Sobriety Testing (SFST) (minimum 16 hours) POST-certified training. 2 5. Send law enforcement personnel to the NHTSA Advanced Roadside Impaired Driving Enforcement (ARIDE) 16 hour POST-certified training. 2 6. Conduct DUI/DL Checkpoints. A minimum of 1 checkpoint should be conducted during the NHTSA Winter Mobilization and 1 during the Summer Mobilization. To enhance the overall deterrent effect and promote high visibility, it is recommended the grantee issue an advance press release and conduct social media activity for each checkpoint. For combination DUI/DL checkpoints, departments should issue press releases that mention DL's will be checked at the DUI/DL checkpoint. Signs for DUI/DL checkpoints should read "DUI/Driver's License Checkpoint Ahead." OTS does not fund or support independent DL checkpoints. Only on an exception basis and with OTS pre-approval will OTS fund checkpoints that begin prior to 1800 hours. When possible, DUI/DL Checkpoint screeners should be DRE- or ARIDE-trained.
2 7. Conduct DUI Saturation Patrol operation(s). 3

8. Conduct Traffic Enforcement operation(s), including but not limited to, primary crash factor violations.
3 9. Conduct highly publicized Distracted Driving enforcement operation(s) targeting drivers using hand held cell phones and texting.
2 10. Conduct highly publicized pedestrian and/or bicycle enforcement operation(s) in areas or during events with a high number of pedestrian and/or bicycle crashes resulting from violations made by pedestrians, bicyclists, and drivers. 1 11. Conduct Traffic Safety educational presentation(s) with an effort to reach community members. Note: Presentation(s) may include topics such as distracted driving, DUI, speed, bicycle and pedestrian safety, seat belts and child passenger safety.
2 12. Participate in highly visible collaborative DUI Enforcement operations. 2

13. Participate in highly visible collaborative Traffic Enforcement operations. 2

14. Participate in community collaboration and engagement activities to engage in conversations regarding traffic safety to both share information and receive input from the community members.
2 3. METHOD OF PROCEDURE
A. Phase 1 – Program Preparation (1st Quarter of Grant Year) • The department will develop operational plans to implement the “best practice” strategies outlined in the objectives section.
• Conduct all training needed to implement the program, in the first quarter. • Purchase all grant related supplies and materials to implement the program, in the first quarter. • Items with a unit cost of $5,000 more (including tax and shipping) must comply with the Buy America Act.
• In order to develop/maintain the “DUI BOLOs,” research will be conducted to identify repeat DUI offenders with a suspended or revoked license as a result of DUI convictions. The DUI BOLO may include the driver’s name, last known address, DOB, description, current license status, and the number of times suspended or revoked for DUI. DUI BOLOs should be updated and distributed to traffic and patrol officers at least monthly. • Implementation of the STEP grant activities will be accomplished by deploying personnel at high crash locations.

Media Requirements
Issue a news release approved by the OTS PIO announcing the kick-off of the grant by December 31 and after the grant is signed and executed, but no sooner than October 1, the start of the grant year. The kick-off release must be approved by the OTS PIO. If you are unable to meet the December 31 deadline to issue a kick-off press release, communicate the reasons to your OTS grant coordinator and OTS PIO.

B. Phase 2 – Program Operations (Throughout Grant Year) Media Requirements
The following requirements are for all grant-related activities:
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• Send all media advisories, alerts, videos, graphics, artwork, posters, radio/PSA/video scripts, storyboards, digital and/or print educational materials for grant-related activities to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator. Optimum lead time would be 7 days before the scheduled release but at least 3 business days prior to the scheduled release date for review and approval is appreciated.
• Send all PowerPoint presentations, online presentations and trainings for grant-related activities to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator. Certified training courses are EXEMPT from the approval process.
• The OTS PIO is responsible for the approval of the design and content of materials. The agency understands OTS PIO approval is not authorizing approval of budget expenditure or cost. Any cost approvals must come from the OTS grant coordinator. • Pre-approval is not required when using any OTS-supplied template for media advisories, news releases, social media graphics, videos or posts, or any other OTS-supplied educational material.

However, copy the OTS PIO at [email protected] and your OTS grant coordinator when any material is distributed to the media and public, such as a news release, educational material, or link to social media post.
• If an OTS-supplied template, educational material, social media graphic, post or video is substantially changed, the changes shall be sent to the OTS PIO at [email protected] for approval and copy your OTS grant coordinator.
• News releases, social media posts and alerts on platforms such as NextDoor and Nixle reporting immediate and time-sensitive grant activities (e.g. enforcement operations, day of event highlights or announcements, event invites) are EXEMPT from the OTS PIO approval process.

The OTS PIO and your OTS grant coordinator should still be notified when the grant-related activity is happening (e.g. car seat checks, bicycle rodeos, community presentations, DUI checkpoints, etc.).
• Enforcement activities such as warrant and probation sweeps, court stings, etc. that are embargoed or could impact operations by publicizing in advance are EXEMPT from the PIO approval process. However, announcements and results of activities should still be copied to the OTS PIO at [email protected] and your OTS grant coordinator with the embargoed date and time or with “INTERNAL ONLY: DO NOT RELEASE” message in subject line of email. • Any earned or paid media campaigns for TV, radio, digital or social media that are part of a specific grant objective, using OTS grant funds, or designed and developed using contractual services by a subgrantee, requires prior approval.
• Social media posts highlighting state or national traffic safety campaigns (Distracted Driving Month, Motorcycle Safety Awareness Month, etc.), enforcement operations (DUI checkpoints, etc.), or any other grant-related activity such as Bicycle rodeos, presentations, or events, are highly encouraged but do not require prior approval.
• Submit a draft or rough-cut of all digital, printed, recorded or video material (brochures, posters, scripts, artwork, trailer graphics, digital graphics, social posts connected to an earned or paid media campaign grant objective) to the OTS PIO at [email protected] and copy your OTS grant coordinator for approval prior to the production or duplication. • Use the following standard language in all press, media, and printed materials, space permitting:

Funding for this program was provided by a grant from the California Office of Traffic Safety, through the National Highway Traffic Safety Administration. • Space permitting, include the OTS logo on all grant-funded print materials, graphics and paid or earned social media campaign grant objective; consult the OTS PIO and copy your OTS grant coordinator for specifics, format-appropriate logos, or if space does not permit the use of the OTS logo.
• Email the OTS PIO at [email protected] and copy your OTS grant coordinator at least 21 days in advance, or when first confirmed, a short description of any significant grant-related traffic safety event or program, particularly events that are highly publicized beforehand with anticipated media coverage so the OTS has sufficient notice to arrange for attendance and/or participation in the event. If unable to attend, email the OTS PIO at [email protected] and your OTS grant coordinator brief highlights and/or results, including any media coverage (broadcast, digital, print) of the event within 7 days following significant grant-related event or program. The OTS PIO and your OTS grant coordinator should still be notified in advance when the grant-related activity is 130
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happening (e.g. car seat checks, bicycle rodeos, community presentations, DUI checkpoints, etc.).
• Any news releases, work plans, scripts, storyboards, artwork, graphics, videos or any educational or informational materials that received OTS PIO approval in a prior grant year must be resubmitted for approval in the current grant year.
• For additional guidance, refer to the OTS Grants Materials Approval Process Guidelines and FAQs .
• Email the OTS PIO at [email protected] or your OTS grant coordinator for consultation when changes from any of the above requirements might be warranted.

C. Phase 3 – Data Collection & Reporting (Throughout Grant Year)

1. Prepare and submit grant claim invoices (due January 30, April 30, July 30, and October 30)

2. Prepare and submit Quarterly Performance Reports (QPR) (due January 30, April 30, July 30, and October 30)
• Collect and report quarterly, appropriate data that supports the progress of goals and objectives. • Provide a brief list of activity conducted, procurement of grant-funded items, and significant media activities. Include status of grant-funded personnel, status of contracts, challenges, or special accomplishments.
• Provide a brief summary of quarterly accomplishments and explanations for objectives not completed or plans for upcoming activities.
• Collect, analyze and report statistical data relating to the grant goals and objectives.

4. METHOD OF EVALUATION
Using the data compiled during the grant, the Grant Director will complete the “Final Evaluation” section in the fourth/final Quarterly Performance Report (QPR). The Final Evaluation should provide a brief summary of the grant’s accomplishments, challenges and significant activities. This narrative should also include whether goals and objectives were met, exceeded, or an explanation of why objectives were not completed.

5. ADMINISTRATIVE SUPPORT
This program has full administrative support, and every effort will be made to continue the grant activities after grant conclusion.
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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B

GRANT NUMBER
PT27025

FUND NUMBER CATALOG

NUMBER (CFDA)

FUND DESCRIPTION TOTAL AMOUNT
1906-27 20.611 Racial Profiling Prohibition Grants $3,400.00 405c TR-27 20.616 State Traffic Safety Information
System Improvements
$3,600.00
405e DDA-27 20.616 Distracted Driving Awareness $4,000.00 402PT-27 20.600 State and Community Highway
Safety
$16,000.00
164ID-27 20.608 Minimum Penalties for Repeat
Offenders for Driving While
Intoxicated
$33,000.00

COST CATEGORY FUND
NUMBER

UNIT COST OR
RATE

UNITS TOTAL COST TO
GRANT
A. PERSONNEL COSTS
Straight Time
$0.00
Overtime
DUI/DL Checkpoints 164ID-27 $7,550.00 2 $15,100.00
DUI Saturation Patrols 164ID-27 $1,700.00 3 $5,100.00
Collaborative DUI Enforcement 164ID-27 $1,700.00 2 $3,400.00 Traffic Enforcement 402PT-27 $1,975.00 3 $5,925.00
Pedestrian and Bicycle Enforcement 402PT-27 $2,180.00 1 $2,180.00 Collaborative Traffic Enforcement 402PT-27 $1,700.00 2 $3,400.00 Traffic Safety Educational Presentations 402PT-27 $500.00 2 $1,000.00 Distracted Driving Enforcement 405e DDA27$2,000.00 2 $4,000.00 Community Collaboration Engagement 1906-27 $1,700.00 2 $3,400.00 Category Sub-Total $43,505.00
B. TRAVEL EXPENSES
In State Travel 402PT-27 $3,495.00 1 $3,495.00
$0.00
Category Sub-Total $3,495.00
C. CONTRACTUAL SERVICES
$0.00
Category Sub-Total $0.00
D. EQUIPMENT
$0.00
Category Sub-Total $0.00
E. OTHER DIRECT COSTS
DUI Checkpoint Supplies 164ID-27 $5,000.00 1 $5,000.00
Portable Light Tower 164ID-27 $2,200.00 2 $4,400.00
Mobile Printer 405c TR27$1,200.00 3 $3,600.00
Category Sub-Total $13,000.00
F. INDIRECT COSTS
$0.00
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Category Sub-Total $0.00
GRANT TOTAL $60,000.00
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State of California – Office of Traffic Safety

GRANT AGREEMENT
Schedule B-1

GRANT NUMBER
PT27025

BUDGET NARRATIVE

PERSONNEL COSTS
DUI/DL Checkpoints - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

DUI Saturation Patrols - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Collaborative DUI Enforcement - Overtime for grant funded Collaborative DUI Enforcement operations conducted by appropriate department personnel
Traffic Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Pedestrian and Bicycle Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Collaborative Traffic Enforcement - Overtime for grant funded Collaborative Traffic Enforcement operations conducted by appropriate department personnel
Traffic Safety Educational Presentations - Overtime for grant funded traffic safety educational presentations conducted by appropriate department personnel.

Distracted Driving Enforcement - Overtime for grant funded law enforcement operations conducted by appropriate department personnel.

Community Collaboration Engagement - Overtime for grant funded community collaborative engagement conducted by appropriate department personnel.

TRAVEL EXPENSES
In State Travel - Costs are included for appropriate staff to attend conferences and training events supporting the grant goals and objectives and/or traffic safety. Local mileage for grant activities and meetings is included. Anticipated travel may include the OTS Traffic Safety Summit, OTS Traffic Safety Law Enforcement Forum, and the GHSA Annual Meeting. All conferences, seminars or training not specifically identified in the Budget Narrative must be approved by OTS. All travel claimed must be at the agency approved rate. Per Diem may not be claimed for meals provided at conferences when registration fees are paid with OTS grant funds.

CONTRACTUAL SERVICES
-

EQUIPMENT
-

OTHER DIRECT COSTS
DUI Checkpoint Supplies - On-scene supplies needed to conduct sobriety checkpoints. Costs may include 28" traffic cones, MUTCD compliant traffic signs, MUTCD compliant high visibility vests (maximum of 10), traffic counters (maximum of 2), generator, gas for generators, lighting, reflective banners, electronic flares, PAS Device Supplies, PAS Calibration Supplies, heater, propane for heaters, fan, anti-fatigue mats, and canopies. Additional items may be purchased if approved by OTS. The cost of food and beverages will not be reimbursed.

Portable Light Tower - High intensity LED light on a telescoping shaft and stabilized platform to illuminate a wide area for greater visibility during nighttime operations. Costs may include a generator, battery, cart, and accessories.

Mobile Printer - Mobile printers to be used with electronic citation devices for traffic officers to print the citation in the field. Costs include the purchase of the printer, accessories, and associated shipping and taxes.

INDIRECT COSTS
-

STATEMENTS/DISCLAIMERS
There will be no program income generated from this grant. 134
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Salaries may include wages, salaries, special compensations, or authorized absences such as annual leave and sick leave provided the cost for the individual employee is (a) reasonable for the services rendered, and (b) follows an appointment made in accordance with state or local laws and rules and meets federal requirements.

Any non-grant funded vacancies created by reassignment to a grant-funded position must be filled at the expense of the grantee agency.

Nothing in this agreement shall be interpreted as a requirement, formal or informal, that a particular law enforcement officer issue a specified or predetermined number of citations in pursuance of the goals and objectives here under.

The OTS grant funded activities must be separate from other grant funded program activities and maintained under separate accounting tracking codes (example: the same DUI checkpoint may not be funded by both the CHP Cannabis Tax Fund and the OTS).

Benefits for personnel costs can only be applied to straight time or overtime hours charged to the grant. 135
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Appendix A to Part 1300—Certifications and Assurances for Highway Safety Grants (23 U.S.C. Chapter 4 or Section 1906, Public Law 109-59, as amended by Section 25024, Public Law 117- 58)
The officials named on the grant agreement, certify by way of signature on the grant agreement signature page, that the Grantee Agency complies with all applicable Federal statutes, regulations, and directives and State rules, guidelines, policies, and laws in effect with respect to the periods for which it receives grant funding.

Applicable provisions include, but are not limited to, the following:

GENERAL REQUIREMENTS
The State will comply with applicable statutes and regulations, including but not limited to:
• 23 U.S.C. Chapter 4—Highway Safety Act of 1966, as amended; • Sec. 1906, Public Law 109-59, as amended by Sec. 25024, Public Law 117-58; • 23 CFR part 1300—Uniform Procedures for State Highway Safety Grant Programs; • 2 CFR part 200—Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards;
• 2 CFR part 1201—Department of Transportation, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.

NONDISCRIMINATION
(applies to subrecipients as well as States)
The State highway safety agency [and its subrecipients] will comply with all Federal statutes and implementing regulations relating to nondiscrimination (“Federal Nondiscrimination Authorities”). These include but are not limited to:
• Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq., 78 stat. 252), (prohibits discrimination on the basis of race, color, national origin);
• 49 CFR part 21 (entitled Non-discrimination in Federally-Assisted Programs of the Department of Transportation—Effectuation of Title VI of the Civil Rights Act of 1964); • 28 CFR 50.3 (U.S. Department of Justice Guidelines for Enforcement of Title VI of the Civil Rights Act of 1964);
• The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42 U.S.C. 4601), (prohibits unfair treatment of persons displaced or whose property has been acquired because of Federal or Federal-aid programs and projects);
• Federal-Aid Highway Act of 1973, (23 U.S.C. 324 et seq.), and Title IX of the Education Amendments of 1972, as amended (20 U.S.C. 1681-1683 and 1685-1686) (prohibit discrimination on the basis of sex);
• Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. 794 et seq.), as amended, (prohibits discrimination on the basis of disability) and 49 CFR part 27; • The Age Discrimination Act of 1975, as amended, (42 U.S.C. 6101 et seq.), (prohibits discrimination on the basis of age);
• The Civil Rights Restoration Act of 1987, (Pub. L. 100-209), (broadens scope, coverage, and applicability of Title VI of the Civil Rights Act of 1964, The Age Discrimination Act of 1975 and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms “programs or activities” to include all of the programs or activities of the
Federal aid recipients, subrecipients and contractors, whether such programs or activities are Federallyfunded or not); • Titles II and III of the Americans with Disabilities Act (42 U.S.C. 12131-12189) (prohibits discrimination on the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing) and 49 CFR parts 37 and 38
State of California – Office of Traffic Safety

GRANT AGREEMENT
Exhibit A

GRANT NUMBER
PT27025
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The preceding statutory and regulatory cites hereinafter are referred to as the “Acts” and “Regulations,” respectively.

GENERAL ASSURANCES
In accordance with the Acts, the Regulations, and other pertinent directives, circulars, policy, memoranda, and/or guidance, the Recipient hereby gives assurance that it will promptly take any measures necessary to ensure that:
“No person in the United States shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity, for which the Recipient receives Federal financial assistance from DOT, including NHTSA.”
The Civil Rights Restoration Act of 1987 clarified the original intent of Congress, with respect to Title VI of the Civil Rights Act of 1964 and other non-discrimination requirements (the Age Discrimination Act of 1975, and Section 504 of the Rehabilitation Act of 1973), by restoring the broad, institutional-wide scope and coverage of these nondiscrimination statutes and requirements to include all programs and activities of the Recipient, so long as any portion of the program is Federally assisted.

SPECIFIC ASSURANCES
More specifically, and without limiting the above general Assurance, the Recipient agrees with and gives the following Assurances with respect to its Federally assisted Highway Safety Grant Program:

1. The Recipient agrees that each “activity,” “facility,” or “program,” as defined in 49 CFR part 21 will be (with regard to an “activity”) facilitated, or will be (with regard to a “facility”) operated, or will be (with regard to a “program”) conducted in compliance with all requirements imposed by, or pursuant to the Acts and the Regulations.

2. The Recipient will insert the following notification in all solicitations for bids, Requests For Proposals for work, or material subject to the Acts and the Regulations made in connection with all Highway Safety Grant Programs and, in adapted form, in all proposals for negotiated agreements regardless of funding source:
“The [name of Recipient], in accordance with the provisions of Title VI of the Civil Rights Act of 1964 (78 Stat. 252, 42 U.S.C 2000d to 2000d-4) and the Regulations, hereby notifies all bidders that it will affirmatively ensure that in any contract entered into pursuant to this advertisement, disadvantaged business enterprises will be afforded full and fair opportunity to submit bids in response to this invitation and will not be discriminated against on the grounds of race, color, or national origin in consideration for an award.”

3. The Recipient will insert the clauses of appendix A and E of this Assurance (also referred to as DOT order 1050.2A) [1]in every contract or agreement subject to the Acts and the Regulations.

4. The Recipient will insert the clauses of appendix B of DOT Order 1050.2A, as a covenant running with the land, in any deed from the United States effecting or recording a transfer of real property, structures, use, or improvements thereon or interest therein to a Recipient.

5. That where the Recipient receives Federal financial assistance to construct a facility, or part of a facility, the Assurance will extend to the entire facility and facilities operated in connection therewith.

6. That where the Recipient receives Federal financial assistance in the form of, or for the acquisition of, real property or an interest in real property, the Assurance will extend to rights to space on, over, or under such property.

7. That the Recipient will include the clauses set forth in appendix C and appendix D of this DOT Order 1050.2A, as a covenant running with the land, in any future deeds, leases, licenses, permits, or similar instruments entered into by the Recipient with other parties:
a. for the subsequent transfer of real property acquired or improved under the applicable activity, project, or program; and
b. for the construction or use of, or access to, space on, over, or under real property acquired or improved under the applicable activity, project, or program.

8. That this Assurance obligates the Recipient for the period during which Federal financial assistance is extended to the program, except where the Federal financial assistance is to provide, or is in the 137
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form of, personal property, or real property, or interest therein, or structures or improvements thereon, in which case the Assurance obligates the Recipient, or any transferee for the longer of the following periods:
a. the period during which the property is used for a purpose for which the Federal financial assistance is extended, or for another purpose involving the provision of similar services or benefits; or
b. the period during which the Recipient retains ownership or possession of the property.

9. The Recipient will provide for such methods of administration for the program as are found by the Secretary of Transportation or the official to whom he/she delegates specific authority to give reasonable guarantee that it, other recipients, sub-recipients, sub- grantees, contractors, subcontractors, consultants, transferees, successors in interest, and other participants of Federal financial assistance under such program will comply with all requirements imposed or pursuant to the Acts, the Regulations, and this Assurance.

10. The Recipient agrees that the United States has a right to seek judicial enforcement with regard to any matter arising under the Acts, the Regulations, and this Assurance.

By signing this ASSURANCE, the State highway safety agency also agrees to comply (and require any subrecipients, sub-grantees, contractors, successors, transferees, and/or assignees to comply) with all applicable provisions governing NHTSA's access to records, accounts, documents, information, facilities, and staff. You also recognize that you must comply with any program or compliance reviews, and/or complaint investigations conducted by NHTSA. You must keep records, reports, and submit the material for review upon request to NHTSA, or its designee in a timely, complete, and accurate way. Additionally, you must comply with all other reporting, data collection, and evaluation requirements, as prescribed by law or detailed in program guidance.

The State highway safety agency gives this ASSURANCE in consideration of and for obtaining any Federal grants, loans, contracts, agreements, property, and/or discounts, or other Federal-aid and Federal financial assistance extended after the date hereof to the recipients by the U.S. Department of Transportation under the Highway Safety Grant Program. This ASSURANCE is binding on the State highway safety agency, other recipients, sub-recipients, sub-grantees, contractors, subcontractors and their subcontractors', transferees, successors in interest, and any other participants in the Highway Safety Grant Program. The person(s) signing below is/are authorized to sign this ASSURANCE on behalf of the Recipient.

THE DRUG-FREE WORKPLACE ACT OF 1988 (41 U.S.C. 8103)
The Subgrantee will provide a drug-free workplace by:
a. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the grantee's workplace, and specifying the actions that will be taken against employees for violation of such prohibition; b. Establishing a drug-free awareness program to inform employees about:

1. The dangers of drug abuse in the workplace;

2. The grantee's policy of maintaining a drug-free workplace;

3. Any available drug counseling, rehabilitation, and employee assistance programs;

4. The penalties that may be imposed upon employees for drug violations occurring in the workplace;

5. Making it a requirement that each employee engaged in the performance of the grant be given a copy of the statement required by paragraph (a); c. Notifying the employee in the statement required by paragraph (a) that, as a condition of employment under the grant, the employee will—

1. Abide by the terms of the statement;

2. Notify the employer of any criminal drug statute conviction for a violation occurring in the workplace no later than five days after such conviction; d. Notifying the agency within ten days after receiving notice under subparagraph (c)(2) from an employee or otherwise receiving actual notice of such conviction; e. Taking one of the following actions, within 30 days of receiving notice under subparagraph (c)(2), with respect to any employee who is so convicted—

1. Taking appropriate personnel action against such an employee, up to and including termination;

2. Requiring such employee to participate satisfactorily in a drug abuse assistance or 138
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rehabilitation program approved for such purposes by a Federal, State, or local health, law enforcement, or other appropriate agency;
f. Making a good faith effort to continue to maintain a drug-free workplace through implementation of all of the paragraphs above.

POLITICAL ACTIVITY (HATCH ACT)
(applies to subrecipients as well as States)
The State will comply with provisions of the Hatch Act (5 U.S.C. 1501-1508), which limits the political activities of employees whose principal employment activities are funded in whole or in part with Federal funds.

CERTIFICATION REGARDING FEDERAL LOBBYING
(applies to subrecipients as well as States)

CERTIFICATION FOR CONTRACTS, GRANTS, LOANS, AND COOPERATIVE AGREEMENTS The undersigned certifies, to the best of his or her knowledge and belief, that:

1. No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement;

2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions;

3. The undersigned shall require that the language of this certification be included in the award documents for all sub-awards at all tiers (including subcontracts, subgrants, and contracts under grant, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly.

This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.

RESTRICTION ON STATE LOBBYING
(applies to subrecipients as well as States)
None of the funds under this program will be used for any activity specifically designed to urge or influence a State or local legislator to favor or oppose the adoption of any specific legislative proposal pending before any State or local legislative body. Such activities include both direct and indirect (e.g., “grassroots”) lobbying activities, with one exception. This does not preclude a State official whose salary is supported with NHTSA funds from engaging in direct communications with State or local legislative officials, in accordance with customary State practice, even if such communications urge legislative officials to favor or oppose the adoption of a specific pending legislative proposal.

CERTIFICATION REGARDING DEBARMENT AND SUSPENSION
(applies to subrecipients as well as States)

INSTRUCTIONS FOR PRIMARY TIER PARTICIPANT CERTIFICATION (STATES) 139
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1. By signing and submitting this proposal, the prospective primary tier participant is providing the certification set out below and agrees to comply with the requirements of 2 CFR parts 180 and 1200.

2. The inability of a person to provide the certification required below will not necessarily result in denial of participation in this covered transaction. The prospective primary tier participant shall submit an explanation of why it cannot provide the certification set out below. The certification or explanation will be considered in connection with the department or agency's determination whether to enter into this transaction. However, failure of the prospective primary tier participant to furnish a certification or an explanation shall disqualify such person from participation in this transaction.

3. The certification in this clause is a material representation of fact upon which reliance was placed when the department or agency determined to enter into this transaction. If it is later determined that the prospective primary tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency may terminate this transaction for cause or default or may pursue suspension or debarment.

4. The prospective primary tier participant shall provide immediate written notice to the department or agency to which this proposal is submitted if at any time the prospective primary tier participant learns its certification was erroneous when submitted or has become erroneous by reason of changed circumstances.

5. The terms covered transaction, civil judgment, debarment, suspension, ineligible, participant, person, principal, and voluntarily excluded, as used in this clause, are defined in 2 CFR parts 180 and 1200. You may contact the department or agency to which this proposal is being submitted for assistance in obtaining a copy of those regulations.

6. The prospective primary tier participant agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by the department or agency entering into this transaction.

7. The prospective primary tier participant further agrees by submitting this proposal that it will include the clause titled “Instructions for Lower Tier Participant Certification” including the “Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion—Lower Tier Covered Transaction,” provided by the department or agency entering into this covered transaction, without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions and will require lower tier participants to comply with 2 CFR parts 180 and 1200.

8. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart

9.4, debarred, suspended, ineligible, or voluntarily excluded from the covered transaction, unless it knows that the certification is erroneous. A participant is responsible for ensuring that its principals are not suspended, debarred, or otherwise ineligible to participate in covered transactions. To verify the eligibility of its principals, as well as the eligibility of any prospective lower tier participants, each participant may, but is not required to, check the System for Award Management Exclusions website
( https://www.sam.gov/).

9. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings.

10. Except for transactions authorized under paragraph 6 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency may terminate the transaction for cause or default.

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, AND OTHER RESPONSIBILITY MATTERS—PRIMARY TIER

COVERED TRANSACTIONS

1. The prospective primary tier participant certifies to the best of its knowledge and belief, that it and 140
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its principals:
a. Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participating in covered transactions by any Federal department or agency;
b. Have not within a three-year period preceding this proposal been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction or contract under a public transaction; violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property; c. Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal, State, or local) with commission of any of the offenses enumerated in paragraph (1)(b) of this certification; and d. Have not within a three-year period preceding this application/proposal had one or more public transactions (Federal, State, or local) terminated for cause or default.

2. Where the prospective primary tier participant is unable to certify to any of the Statements in this certification, such prospective participant shall attach an explanation to this proposal.

INSTRUCTIONS FOR LOWER TIER PARTICIPANT CERTIFICATION

1. By signing and submitting this proposal, the prospective lower tier participant is providing the certification set out below and agrees to comply with the requirements of 2 CFR parts 180 and 1200.

2. The certification in this clause is a material representation of fact upon which reliance was placed when this transaction was entered into. If it is later determined that the prospective lower tier participant knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension or debarment.

3. The prospective lower tier participant shall provide immediate written notice to the person to which this proposal is submitted if at any time the prospective lower tier participant learns that its certification was erroneous when submitted or has become erroneous by reason of changed circumstances.

4. The terms covered transaction, civil judgment, debarment, suspension, ineligible, participant, person, principal, and voluntarily excluded, as used in this clause, are defined in 2 CFR parts 180 and 1200. You may contact the person to whom this proposal is submitted for assistance in obtaining a copy of those regulations.

5. The prospective lower tier participant agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by the department or agency with which this transaction originated.

6. The prospective lower tier participant further agrees by submitting this proposal that it will include the clause titled “Instructions for Lower Tier Participant Certification” including the “Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion—Lower Tier Covered Transaction,” without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions and will require lower tier participants to comply with 2 CFR parts 180 and 1200.

7. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart

8. Nothing contained in the foregoing shall be construed to require establishment of a system of 141 Item 7 C.
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records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings.

9. Except for transactions authorized under paragraph 5 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or voluntarily excluded from participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension or debarment.

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY AND VOLUNTARY EXCLUSION—LOWER TIER

COVERED TRANSACTIONS

1. The prospective lower tier participant certifies, by submission of this proposal, that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participating in covered transactions by any Federal department or agency.

2. Where the prospective lower tier participant is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this proposal.

BUY AMERICA
(applies to subrecipients as well as States)
The State and each subrecipient will comply with the Buy America requirement (23 U.S.C. 313) when purchasing items using Federal funds. Buy America requires a State, or subrecipient, to purchase with Federal funds only steel, iron and manufactured products produced in the United States, unless the Secretary of Transportation determines that such domestically produced items would be inconsistent with the public interest, that such materials are not reasonably available and of a satisfactory quality, or that inclusion of domestic materials will increase the cost of the overall project contract by more than 25 percent. In order to use Federal funds to purchase foreign produced items, the State must submit a waiver request that provides an adequate basis and justification for approval by the Secretary of Transportation.

CERTIFICATION ON CONFLICT OF INTEREST
(applies to subrecipients as well as States)

GENERAL REQUIREMENTS
No employee, officer, or agent of a State or its subrecipient who is authorized in an official capacity to negotiate, make, accept, or approve, or to take part in negotiating, making, accepting, or approving any subaward, including contracts or subcontracts, in connection with this grant shall have, directly or indirectly, any financial or personal interest in any such subaward. Such a financial or personal interest would arise when the employee, officer, or agent, any member of his or her immediate family, his or her partner, or an organization which employs or is about to employ any of the parties indicated herein, has a financial or personal interest in or a tangible personal benefit from an entity considered for a subaward. Based on this policy:

1. The recipient shall maintain a written code or standards of conduct that provide for disciplinary actions to be applied for violations of such standards by officers, employees, or agents. a. The code or standards shall provide that the recipient's officers, employees, or agents may neither solicit nor accept gratuities, favors, or anything of monetary value from present or potential subawardees, including contractors or parties to subcontracts. b. The code or standards shall establish penalties, sanctions, or other disciplinary actions for violations, as permitted by State or local law or regulations.

2. The recipient shall maintain responsibility to enforce the requirements of the written code or standards of conduct.

DISCLOSURE REQUIREMENTS
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No State or its subrecipient, including its officers, employees, or agents, shall perform or continue to perform under a grant or cooperative agreement, whose objectivity may be impaired because of any related past, present, or currently planned interest, financial or otherwise, in organizations regulated by NHTSA or in organizations whose interests may be substantially affected by NHTSA activities. Based on this policy:

1. The recipient shall disclose any conflict of interest identified as soon as reasonably possible, making an immediate and full disclosure in writing to NHTSA. The disclosure shall include a description of the action which the recipient has taken or proposes to take to avoid or mitigate such conflict.

2. NHTSA will review the disclosure and may require additional relevant information from the recipient.

If a conflict of interest is found to exist, NHTSA may (a) terminate the award, or (b) determine that it is otherwise in the best interest of NHTSA to continue the award and include appropriate provisions to mitigate or avoid such conflict.

3. Conflicts of interest that require disclosure include all past, present, or currently planned organizational, financial, contractual, or other interest(s) with an organization regulated by NHTSA or with an organization whose interests may be substantially affected by NHTSA activities, and which are related to this award. The interest(s) that require disclosure include those of any recipient, affiliate, proposed consultant, proposed subcontractor, and key personnel of any of the above. Past interest shall be limited to within one year of the date of award. Key personnel shall include any person owning more than a 20 percent interest in a recipient, and the officers, employees or agents of a recipient who are responsible for making a decision or taking an action under an award where the decision or action can have an economic or other impact on the interests of a regulated or affected organization.

PROHIBITION ON USING GRANT FUNDS TO CHECK FOR HELMET USAGE (applies to subrecipients as well as States)
The State and each subrecipient will not use 23 U.S.C. Chapter 4 grant funds for programs to check helmet usage or to create checkpoints that specifically target motorcyclists.

POLICY ON SEAT BELT USE
In accordance with Executive Order 13043, Increasing Seat Belt Use in the United States, dated April 16, 1997, the Grantee is encouraged to adopt and enforce on-the-job seat belt use policies and programs for its employees when operating company-owned, rented, or personally-owned vehicles. The National Highway Traffic Safety Administration (NHTSA) is responsible for providing leadership and guidance in support of this Presidential initiative. For information and resources on traffic safety programs and policies for employers, please contact the Network of Employers for Traffic Safety (NETS), a public-private partnership dedicated to improving the traffic safety practices of employers and employees. You can download information on seat belt programs, costs of motor vehicle crashes to employers, and other traffic safety initiatives at www.trafficsafety.org. The NHTSA website ( www.nhtsa.gov) also provides information on statistics, campaigns, and program evaluations and references.

POLICY ON BANNING TEXT MESSAGING WHILE DRIVING
In accordance with Executive Order 13513, Federal Leadership On Reducing Text Messaging While Driving, and DOT Order 3902.10, Text Messaging While Driving, States are encouraged to adopt and enforce workplace safety policies to decrease crashes caused by distracted driving, including policies to ban text messaging while driving company-owned or rented vehicles, Government-owned, leased or rented vehicles, or privately-owned vehicles when on official Government business or when performing any work on or behalf of the Government. States are also encouraged to conduct workplace safety initiatives in a manner commensurate with the size of the business, such as establishment of new rules and programs or reevaluation of existing programs to prohibit text messaging while driving, and education, awareness, and other outreach to employees about the safety risks associated with texting while driving. 143
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Budget Adjustment Request
Date
06/05/2026
Requesting Department *
Police
Type of Adjustment
Administrative
Council
Item #
Council Date
June 25, 2026
Council Approval
Revenues
Account Number Account Description Increase/Decrease
1000-20-20-000-3700.001 Other revenue, grants $60,000.00 Total Revenues
$60,000.00
Expenditures
Account Number Account Description Increase/Decrease
1000-20-20-000-4130.200 OT - Grant funded $43,505.00
1000-20-20-000-4400.500 Training & Travel-Other $3,495.00 1000-20-20-000-4450.100 Supplies - Grant funded $13,000.00 Total Expenditures
$60,000.00
Net Impact
$0.00
Purpose
To accept and appropriate funds for Selective Traffic Enforcement Program. 144
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Department Head Approval
Finance Director Approval
City Manager Approval
145
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Action History (all history times shown in Pacific Standard Time) Submit by Jim Malberg 6/5/2026 10:38:56 am (Budget Amendment Request Submitted) Approve by Sarah Ryan 6/5/2026 1:52:39 pm (Routed to PD) Sarah Ryan assigned the task to Sarah Ryan
6/5/2026 1:52:32 pm
The task was assigned to Leo Moreno, Pedro Zamora & Sarah Ryan 6/5/2026 10:38:56 am
Approve (send to CM
for approval)
by Jim Malberg 6/8/2026 9:12:50 am (Routed to Finance Director) Jim Malberg assigned the task to Jim Malberg
6/8/2026 9:12:42 am
The task was assigned to Jim Malberg & Luis Ruiz
6/5/2026 1:52:39 pm
Approve (return to
Finance for
processing)
by Jamie Goldstein 6/8/2026 10:18:02 am (Routed to CM for final approval) The task was assigned to Jamie Goldstein
6/8/2026 9:12:50 am
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Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: City Manager Department
Subject: Beach Lifeguard Service Organizational Study
Recommended Action: Authorize the City Manager to enter a professional services agreement with Richard Gould in the amount of $5,000 for a Beach Lifeguard Service Organizational Study, the results of which will be presented to City Council.

Background: Before 2012, the City of Capitola had an in-house beach lifeguard program supervised by the Capitola Police Department. In 2012, the City eliminated in-house lifeguard services and contracted with the City of Santa Cruz for lifeguard services on Capitola Beach.

The City ended its contract with the City of Santa Cruz in 2023 and the Community Services and Recreation was tasked with supervising the newly established beach lifeguard program.

Earlier this spring, the City established a 2026-2027 year goal to study the beach lifeguard program to ensure the organization is structured optimally.

In California, beach lifeguard programs are primarily managed by municipal fire safety departments and California State Parks. As Capitola does not have a fire department this study is intended to evaluate viable options for a beach lifeguard program, and best practices based on experiences at other California jurisdictions and nationwide.

Discussion: Municipal beach lifeguard services are a specialized and highly regulated field. In California, the California Surf Lifesaving Association (CSLSA) is the primary regional non-profit for professional open-water lifeguards, junior lifeguards, and rescue professionals. Nationally, the United States Lifesaving Association (USLA) works to reduce the incidence of death and injury in aquatic environments through public education, national lifeguard standards, and training opportunities. The City of Capitola lifeguarding program is recognized under both agencies as a certified program.

On June 5, 2026, the City published a Request for Proposals (RFP) for a beach lifeguard service organization study. The RFP closed on June 15, and the City received one proposal during the allotted time. While from a reputable public agency consulting firm, the proposal was for a $38,000 study. The firm had no experience with ocean lifeguard programs, did not include any staff on the study with marine safety experience, or show an understanding of ocean safety practices.

The City has identified Richard Gould as a qualified individual willing to conduct an organizational study for the City for a flat rate of $5,000 to cover his work time and travel costs. Mr. Gould has a long career in public service, a background in lifeguarding, and is professionally aligned to both CSLSA and USLA.

His resume and biography are attached to this report. In partnership with Mike Beuerlein, past president and current advisor for CSLA, and an individual with local fire-marine safety experience. Mr. Gould will review the Capitola beach lifeguard service and report his findings to the City Council during a public meeting.

Both Mr. Gould and Mr. Beuerlein are representatives of the California Surf Life Saving Association, a 501c(3) tax-exempt organization chartered to promote beach safety awareness and professional openwater lifesaving standards. The 30 CSLSA Chapters/Agencies share the mission, goals, and objectives of the CSLSA. The CSLSA (Southwest Region) is one of the nine regions of the United States Lifesaving Association (USLA), which in turn is affiliated with the International Lifesaving Federation (ILS).

Mr. Gould’s resume and a brief bio are attached to his report.

Fiscal Impact: The total cost to authorize the agreement with Mr. Gould is $5,000. This funding is available in the adopted FY 2026-27 budget.
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Attachments:

1. Rick Gould Resume and Bio
Alignment with 2025-2029 Strategic Plan Priority: Accountable Government; Community Safety; Healthy Families, Community, and Environment
Report Prepared By: Chloé Woodmansee, Assistant to the City Manager Reviewed By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
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Rick Gould
Bio in Brief
Rick retired in December 2017 after 17 years as the Director of the City of Santa Clarita’s Parks, Recreation, and Community Services Department, overseeing over 110 full-time and 400 part-time employees, an operating budget of approximately $22 million, and a significant capital budget for new facility development in Los Angeles County’s third largest city.

Rick sat on the boards of a number of government and non-profit organizations including the Santa Monica Mountains Conservancy Advisory Council, the United States Lifesaving Association and the Boys and Girls Club of the Santa Clarita Valley. He remains as a representative of the Santa Monica Mountains Conservancy on a joint powers agency board.

In March of 2018, California Parks and Recreation Society (CPRS) honored him with the Award of Excellence for Professional Service. He is now included in the Fellowship/Hall of Fame for CPRS. In April 2018, the United States Lifesaving Association recognized his over 30 years of contributions to the national organization, rip current studies and drowning prevention.

Rick has over 40 years of Parks and Recreation experience, including Community Services Manager for the City of Pleasanton; Parks and Community Services Commissioner for the City of San Ramon; and the City of Santa Cruz, responsible for the Ocean Beaches and Aquatics programs.

Rick worked as the Executive Director of One Arroyo since its inception and transitioned to Managing Director in 2024, focusing on projects and other tasks for the organization. He lives with his family in Pasadena and is looking forward to the growth of the One Arroyo Foundation. 149
Item 7 D.

RICHARD E. GOULD
1073 Linda Vista Way
Pasadena, California 91103
626.796.7499
[email protected]

EDUCATION
University of Southern California - Masters degree in Public Administration, May 1996, emphasis in Local Government Finance, Policy Analysis and Organizational Theory.

University of Redlands - Bachelor of Arts degree in Political Science and History, May 1979.

PROFESSIONAL EXPERIENCE

EXECUTIVE DIRECTOR/MANAGING DIRECTOR
One Arroyo Foundation, Pasadena, California
January 2018-Present
Create, Develop and Manage a new non-profit to protect, enhance and restore the Arroyo Seco Parkland in Pasadena. This park foundation is an award winning foundation dedicated to developing private funding to supplement public parkland and improve the quality of the precious Arroyo Seco regional open space and parks around the Rose Bowl and it’s surrounding neighborhoods and communities.

Responsibilities and Accomplishments:

Executive Management and Administration of Programs, Facilities and Services • Direct a department of over 110 full time and 400 part-time employees. • Manage a $22 million operating budget and multi-million dollar capital improvement budget serving a valley wide population of over 250,000 people. • Spearheaded the movement to pass and implement a City-wide regional Open Space District.

Negotiated property acquisitions of over 9000 acres of open space and trails to date. Procured multiple State grants in excess of $5 million for the conservation of land. Negotiated all major property acquisitions. Member of the Santa Monica Mountains Conservancy Advisory Council since 2001.
• Oversight of a major expansion of parks and recreation facilities in the City’s Capital Improvement Program including a $10 million Aquatic Center, $15 million Sports Complex expansion, $3 million Central Park expansion, new regional Community Centers, and multiple new park construction projects.
• Established the City’s Arts and Events Office to promote the arts, events, and cultural efforts in the City. Oversight of the development of a valley wide Arts Master Plan focused on the growth and expansion of cultural arts in the Santa Clarita area.
• Developed an aggressive Sports and Events Tourism program which continues to support the City’s economic development, marketing and healthy community goals. Personally attracted and secured

DIRECTOR
Parks, Recreation & Community Services Department, City of Santa Clarita, California March 2001 to July 2016. Recreation, Community Services, Arts and Open Space, (Internal Title Change), July 2016 to December 2017, Retired.
1 150
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events like the Tour of California cycling race and the USA Swimming Junior Olympics, resulting in millions of dollars annually to the City in economic impact. • Principal staff representative to the City Council, Arts Commission and Parks, Recreation and Community Services Commission.
• Leadership and participation in the Los Angeles County coalition for community issues, a collaborative effort to further regional community development. • Member of the City’s Executive Management Team for strategic and tactical planning and operational decision making. Leadership of City-wide Strategic Planning and Customer Service Initiatives.

COMMUNITY SERVICES MANAGER
Parks and Community Services Department, City of Pleasanton, California December 1998 to March 2001
Responsibilities and Accomplishments:

Management and Administration of Programs, Facilities and Golf Development. • Responsible for direction and management of recreation programs, facilities, and community organization relations.
• Legislative analysis for the City of Pleasanton for Propositions 12 and 13, the Park Bond Act and the Safe Drinking Water Act. Obtained Park Bond Act per capita funds and competitive grants. • Participated in the design and operation of the City’s new municipal golf course • Responsible for Department participation in Capital improvement projects that exceeded $15 million in total expenditures.
• Managed the 105-acre Pleasanton Sports and Recreation Park, the new Pleasanton Aquatic Center, the Pleasanton Tennis Center, three city gymnasiums, the Pleasanton Softball Complex and numerous other park facilities.

Responsibilities and Accomplishments:

Policy Analysis of Programs, Initiatives and Management of City wide Programs. • Provided executive level analysis to the City Manager, Director of Parks and Recreation and Fire Chief, including city emergency preparedness.

SAFETY MANAGER 1993-1998
BEACHES AND AQUATICS SUPERVISOR 1987-1993

PROFESSIONAL AFFILIATIONS
Inducted into California Parks and Recreation Society Hall of Fame for Professional Excellence, 2018 Board Member, Santa Monica Mountains Conservancy Advisory Council Board Member, Santa Clarita Watershed and Recreation Conservation Authority Board Member, Newhall High Country Watershed and Recreation Conservation Authority Board Member, Desert and Mountains Recreation Conservation Authority United States Lifesaving Association, National Statistics Coordinator and Certification Officer PRINCIPAL ADMINISTRATIVE ANALYST, Acting
Department of Parks and Recreation, City of Santa Cruz, California October 1996 to December 1998
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Member, College of the Canyons Recreation Management Program Advisory Board Member, League of California Cities Policy Committees, Community Services, 2006 to 2010 and Housing and Economic Development, 2005
Member, Boys and Girls Club of Santa Clarita Valley Governing Board Member, Santa Clarita Valley Senior Center Advisory Council Commissioner, City of San Ramon Parks and Community Services Commission 2000-2001 Member, National Recreation and Parks Association
Member, California Parks and Recreation Society
Mentor, USC School of Policy, Planning and Development Professional Mentoring Program since 2005.

Graduate of National Recreation and Parks Association’s Golf Management Institute.

PUBLICATIONS
Estimations of rip current rescues and drowning in the United States. B. Chris Brewster, Richard E.

Gould, and Robert W. Brander, Natural Hazards and Earth System Sciences, 22 February 2019, https:// nhess.copernicus.org/articles/19/389/2019/
Lifeguard Effectiveness: A Report of the Working Group, is a publication of the National Center for Injury Prevention and the Centers for Disease Control and Prevention, Contributing Author, 2001 Better Beaches: Management and Operation of Safe and Enjoyable Swimming Beaches, Tom Griffiths, Ed.D., National Parks and Recreation Association, Contributing Author, 1999 Open Water Lifesaving, B. Chris Brewster, United States Lifesaving Association, First, Second, and Third Editions, 1995-2017, Contributing Author.
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Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: Public Works Department
Subject: Monterey Park Play Space Community Outreach Results and Next Steps
Recommended Action: Receive the Monterey Park Play Space outreach results and direct staff to develop a conceptual play space plan on the west side of the park, consistent with the survey outreach results.

Background: Exploration of a neighborhood play space at Monterey Park was identified as a Fiscal Year 2025-26 City Council Goal. The adopted budget included $10,000 for initial evaluation and community outreach.

To better understand community interest and preferences, staff conducted public outreach. Outreach efforts included a public survey, a postcard mailer to adjacent property owners, signage posted at Monterey Park, and notices on City social media channels. The survey was available from May 1 through June 15, 2026.

Discussion: A total of 125 survey responses were received. The survey results indicate that community opinion is mixed. Approximately 44% of respondents supported adding play features to Monterey Park, 21% indicated they might support a play space depending on the concept, and 35% opposed adding play features. Respondents who were supportive or potentially supportive of a play space provided relatively consistent feedback regarding preferred play types and locations.

Among respondents supportive of a play space, the “adventure” and “balance-style” play features emerged as the most popular concept. These facilities typically incorporate climbing elements, balance features, boulders, logs, and other less structured play opportunities rather than traditional playground equipment. Natural and sculptural climbing features also received significant support, suggesting a preference for a nature-based play environment over a conventional playground for younger children.

Among respondents who indicated they supported a play space at any location, approximately 46% preferred the area along the west side of the park adjacent to the School District property, large eucalyptus trees, and the new middle school play field. The remaining support was divided relatively evenly among the other locations and respondents with no preference.

The west-side location offers several potential advantages. It is separated from Monterey Avenue, is not immediately adjacent to neighboring residences, and would not directly impact the primary open field area currently used for informal recreation and organized sports. The area also contains varying topography, which could potentially be incorporated into a nature-based or adventure-style play environment while reducing grading requirements and associated site preparation costs.

Survey respondents also identified several concerns associated with a potential play space. The most frequently cited concerns included loss of field area, project cost, parking impacts, maintenance obligations, safety considerations, and noise.

The open-ended survey comments suggest that residents view Monterey Park as both a valued neighborhood open space and a potential location for modest recreational improvements. Supporters generally viewed the park as underutilized and identified a need for additional family-oriented amenities.

Opponents frequently cited the importance of preserving open space, maintaining flexibility for informal recreation and organized sports, and avoiding impacts to adjacent residences. Several respondents also suggested alternative recreational amenities, while outside the original play space scope, including adult fitness equipment, bocce courts, seating areas, and restroom facilities. 153
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Should Council wish to continue evaluating a play space, the existing $10,000 budget allocation is likely sufficient to prepare a conceptual plan, including preliminary site analysis, conceptual layouts, and planning-level cost estimates. This work would allow the City to better understand opportunities, constraints, potential funding sources, and overall project feasibility before any decision regarding implementation.

Following preparation of a conceptual plan, staff would return to the City Council with the draft plan, cost estimates, and potential funding opportunities.

Fiscal Impact: The Fiscal Year 2025-26 budget includes $10,000 for evaluation of a potential Monterey Park play space. No project funds have been expended to date.

Attachments:

1. Monterey Park Play Space Survey Results
Alignment with 2025-2029 Strategic Plan Priority: Healthy Families, Community, and Environment Report Prepared By: Jessica Kahn, P.E., Public Works Director Reviewed By: Julia Gautho, City Clerk
Approved By: Jamie Goldstein, City Manager
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Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
Question 1: Would you support a modest
neighborhood play space if thoughtfully…
Answered 120 Skipped 5 Date range All Submitted by All Exclude skipped values Maybe (20.8%)
No (35%)
Yes (44.2%)
Maybe
No
Yes
1 / 11
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Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
Question 2: How often do you visit
Monterey Park?
Answered 122 Skipped 3 Date range All Submitted by All Exclude skipped values Monthly (16.4%)
Never (3.3%)
Rarely (11.5%)
Weekly (68.9%)
Monthly
Never
Rarely
Weekly
2 / 11
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Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
Question 3: What type of play space would
you most support?
Answered 119 Skipped 6 Date range All Submitted by All Exclude skipped values Adventure ... (19.3%)
Do not supp... (37%)
Natural sc... (16.8%)
Rope / clim... (9.2%)
Traditional ... (5.9%)
Unsure (11.8%)
Adventure / balance ...

Do not support impr...

Natural sculptural cli...

Rope / climbing play ...

Traditional playgrou...

Unsure
3 / 11
159
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
Question 4: Where should play features be
located?
Answered 119 Skipped 6 Date range All Submitted by All Exclude skipped values Along sout... (10.1%)
Along west... (29.4%)
Do not sup... (39.5%)
Near stree... (10.9%)
No prefere... (10.1%)
Along southeast par...

Along west park edg...

Do not support
Near street/frontage...

No preference
4 / 11
160
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
Question 5: What concerns matter most?
(Choose up to 3)
Answered 115 Skipped 10 Date range All Submitted by All Exclude skipped values Appearance Cost Loss of field area Maintenance Noise Parking Safety 0 4
8 12
16 20
24 28
32 36
40 44
48 52
56 28
45 56
37 35
38 37
5 / 11
161
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
Question 6: What age group should be
prioritized?
Answered 92 Skipped 33 Date range All Submitted by All Exclude skipped values 2–5 (12%)
5-12 (27.2%)
Mixed ages (60.9%)
2–5
5-12
Mixed ages
6 / 11
162
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
Question 7: Additional comments
Answered 63 Skipped 62 Date range All Submitted by All Exclude skipped values 1 - 18 of 63
Field value Number of responses
A bocce ball court would be fun! 1 (1.6%)
Add features to Triangle Park if they HAVE to be added…Monterey Park is too heavily used to add this. None of the proposed areas can accommodate any of the options and still have room for sports, dog walkers, picnic, etc.
1 (1.6%)
B. There is no area in all of Capitola for senior activities, we have ample play grounds for children. A Bocce ball court in area B would be a great addition
1 (1.6%)
Before considering adding new structures at Montery Park, I encourage the City to first inspect the play equipment at Hidden Park (Cortez Park).

The current play structures are rusty, the paint is peeling, and there are damaged area exposing sharp rusty edges that could pose a safety hazard to children. The equipment is in need of replacement and repair. There are also ongoing issues with dog waste being left on the lawn, in the bushes, and even within the play area itself. In addition, unleashed dogs continue to be a concern for families using the park. I believe these existing maintenance and safety issues should be addressed before investing in additional new park structures elsewhere.
1 (1.6%)
Bocce ball court on park for seniors 1 (1.6%)
Bocce courts at location B for Seniors like me who are at the park everyday. Chess/checkers tables.
1 (1.6%)
Build a bocci court in Section B. 1 (1.6%)
Can you please open the Gate to the Cul de Sac on Orchid drive please and finish that up Alot of Kids and adults use that path . Thanks , GLenn 1 (1.6%)
Climbing wall as well 1 (1.6%)
Continue improving Hidden Park 1 (1.6%)
Definitely wouldnt support if a new bond would be added to property taxes.
1 (1.6%)
Don’t remove the walking path 1 (1.6%)
Finish the access to the Cliffwood neighborhood, provide seating for parents and friends and have park & rec organize sports activities 1 (1.6%)
From Zoë Wulf 1 (1.6%)
Great idea, 1 (1.6%)
Have bathrooms been a consideration? 1 (1.6%)
Hidden, Jade St is enough play grounds. A bocce ball court would be perfect fit at park and school fence line. I feel it’s time to accommodate senior citizens so they can enjoy the park also
1 (1.6%)
I am an elderly woman who walks with several groups of older folks daily.

These “improvements” would create a space that is not safe to be used by older people who need this recreation. Children use the field area for games and baseball/soccer/frisby and enjoy it- adding these spaces would create a flow of traffic too large for the size of the park. The noise will be increased significantly for neighbors. Please utilize this money to fund a bathroom and possible solar lights around the track (lots of people come in the evening to walk) we need a bathroom!
1 (1.6%)
7 / 11
163
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
19 - 26 of 63
Field value Number of responses
I am really concerned that the Parks and Recreation department has NOT focused on getting the public access to Orchid Street that existed for decades open again. It seems completely irresponsible as your major job is managing this city owned land. In terms of equipment in the park, I would like the city to finally install one set of equipment for the health and fitness use of adults. We have equipment for children in Hidden Park and Jade Street. The majority of citizens are seniors and adults and NO equipment has been provided for them anywhere in Capitola parks like can be found even in SC County parks up in Boulder Creek. Let’s think EQUITY.
1 (1.6%)
I feel we should prioritize keeping the trees and nature space that we have now, that is already used for a variety of things. Increased children of small ages would likely be a risk as many people already use this park for dogs and walking the track. An addition of a small bathroom would be amazing! I see a lot of children (baseball and soccer) and older people who walk need a bathroom quite often
1 (1.6%)
I just walk my dog here but I also want to mention to keep mindful of people and children with disabilities that can enjoy the park as well. Thank you!
1 (1.6%)
I live across from the park so would not support location A. In addition to the loss of green space, it is too close to the street for safety. In theory I would support something for young children only in area B or C. I hope those of us who live nearby will be kept informed. Thank you for sending the postcard.
1 (1.6%)
I live directly across from Monterey Park. I would love to see the park put to more use for neighborhood children. I feel that there is unmet need for kids who aren’t quite ready to be out on their bikes alone, but old enough to have some equipment to play on that isn’t geared to the younger set as most playgrounds are… which is my reason for choosing the ropes course.

Thank you!!! **** however I cannot stress enough how unsafe traffic Monterey avenue is.. All day, every day the speed of vehicles here is shocking - it’s a miracle there have been no life altering accidents here in recent years -something to consider irregardless of structure type to be constructed*****
1 (1.6%)
I live directly across the street and am so excited about the prospect of play equipment being added to the park! It’s already a very noisy park with the field and baseball area, so any marginal increase doesn’t concern me. I would definitely want swings to be included with whatever other type(s) of play equipment is selected. If location A is selected, the play area would need to be full enclosed and gated for safety on a moderately busy road.

Thank you for prioritizing this project! My kids and I are excited to support and enjoy!!
1 (1.6%)
I think I would rather see improvements made on the baseball field. I feel like a play structure wouldn’t be utilized. We need more baseball fields that are in decent shape. I think putting a play structure anywhere will practically make the baseball field unavailable. Option A wouldn’t but it’s too close to the road. A play structure in option c would create noise and privacy issues for the surrounding homes. I do not support this. If you want to invest in a park play structure you could upgrade the structure at Cortez park.
1 (1.6%)
I think it would be a lovely addition 1 (1.6%)
8 / 11
164
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
27 - 36 of 63
Field value Number of responses
I was very excited to see a survey for the future of Monterey park and was saddened to find a brief and incredibly biased survey. It is written as if installing play areas is a forgone conclusion. Non-playground options weren’t even a possibility. Equally, the survey didn’t allow for a more granular analysis of park use. Example - I personally visit the park daily, sometimes multiple times a day. I run laps on the track, read books in the shade on this hill, walk my dog there. The most frequent visiting option in the survey was weekly. As stated, I utilize the park daily. What I would love to see it: 1. The neighborhood walking path/easement restored, it’s been closed for nearly TWO years and it is frankly ridiculous how the City has ignored this. 2. Installations that benefit ADULTS, Hidden park is less than a half mile away and has a playground, Jade St. Park is currently under massive, costly upgrades all geared towards kids. These are fantastic things, but what is being built for adults. 3. Improvements to traffic safety such as a raised crosswalk and or speed bumps. Vehicles treat the road as a frontage road driving at reckless speeds, anyone crossing the street to visit the park is at risk or being run over. 4. Parking - the middle school has been renting the field out to local and not-local sports teams. The weekend tournaments in particular bring in large crowds and have greatly impacted street parking. The school doesn’t consistently open the gate to the enclosed parking resulting in homeowners having to park far away from their home. It’s compounded when one of the two churches located on Monterey Ave is in service. Installations that I put forward to be considered: Location A: planting replacement redwood(s) for the trees removed for the PG&E gas vault project. Installing a wheelchair accessible picnic table, installing a bike storage rack, installing a bike pump. Location B - keep as field, this is activity used playing field. Location C - install something adult friendly, exercise equipment (the middle school project removed the pull-up bars and dip bars as part of their project), benches with shade trees & native plants. Potentially a botchy ball court. Something that meets the needs of the age groups that make up the majority of capitola’s population. I hope more thought is put into this before any plans are moved forward. No to a play ground.
1 (1.6%)
I would like to see a bocce ball court. There are many play areas in Capitola area for example, Jade Street, Hidden Park, and the play area near Seacliff skate park. It would be nice to have something for seniors. 1 (1.6%)
If something is created that will attract the students from New Brighton to hang out after school it would change the quiet environment of this park.

It is nice that it is usually peaceful there.
1 (1.6%)
Keep open space, kids can run and play and we have lots of youth sports.

Also no bathroom.
1 (1.6%)
keep our greenspace! 1 (1.6%)
Keep our open spaces! Kids need a place to just RUN! and all the sports teams that use the field
1 (1.6%)
Leave Monterey park as is. Open entry from orchid Avenue to Monterey Park.
1 (1.6%)
Local people including those with disabilities often use the sports fields especially the baseball field
1 (1.6%)
My biggest concern is the safety from baseballs being hit from the baseball field. Location C is out because of that. Location A would be the best from that perspective, but it's right along the road which parents of young kids might not like. Location B is a nice spot and would probably be fine from the baseballs, although parents who hit fly balls out to their kids would have to be careful.
1 (1.6%)
My family and I use the park daily. A play feature would be a great upgrade. A mixed age play structure would be best as it will allow the most kid’s opportunity to play
1 (1.6%)
9 / 11
165
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
37 - 54 of 63
Field value Number of responses
No PARK 1 (1.6%)
parking is already challenge with baseball and soccer games 1 (1.6%) Parking, traffic, congestion, speed of travel and corresponding improvement of home values are of most concern
1 (1.6%)
Pickle Ball Court at location B 1 (1.6%)
play structure will lead to bathrooms which will lead to homeless moving to park area.
1 (1.6%)
Please allow well behaved dogs to utilize this area 1 (1.6%) Please leave Monterey Park as an open space. 1 (1.6%)
Please remove the unsightly construction fencing. 1 (1.6%) Please renovate the park! 1 (1.6%)
Prioritize the many people who now use this space for walking and exercising, as well as practicing and playing sports and exercising their dogs. Keep this park as the green oasis that it is. There is a new playground at Jade St Park which is not that far from Monterey Park. There are play structures at the hidden park in this area. Let’s keep Monterey Park green, beautiful and natural with some shade trees and grass. If you build play structures you add plastic and lose green space and shade (attention: global warming.) Monterey Park users NEED this quiet, calm green space. Please do not add more structures. Add a few more picnic tables here and there, but keep the grass and the shade trees. 1 (1.6%)
Restrooms are more important than a play area. Any project must include them.
1 (1.6%)
So excited for this! 1 (1.6%)
Thanks for asking for community input. I am very concerned that adding the play structure will increase traffic. Additionally, the proposed walkway behind homes is opportunity for shady activities anyway and then if you ad kids to the mix it is a recipe for disaster.
1 (1.6%)
The baseball field and open space are great addition to the school. There is already a park with play structures in the neighborhood a couple blocks away.
1 (1.6%)
The best part of this park is the open field. Thus option C is the worst option. Put the play structure at Noble Gulch.
1 (1.6%)
The hidden park off of Cortez already has a sweet little playground. We don’t need another in such close proximity. The openness of Monterey Park allows may people to use the park in many ways. I especially do not support a play structure of any kind close to the fences that are shared with neighbors. My house is just on the other side of the location c proposal. Having a play structure on the other side of the fence could create unwanted noise, if there’s a climbing structure it would invade neighbors’ privacy by having people looking over the fence. Please keep Monterey Park as an open space and as one of the few baseball/softball fields in the area
1 (1.6%)
There are already play features (jungle gym, slides, swings, etc.) located in Cortez Park—just a five minute walk from Monterey Park!—which are already hardly ever used. So what is the point of setting up another play site just a few blocks away? Monterey Park is lovely and peaceful just as it is, where people can walk in peace and quiet, picnic on the lawn, etc. No changes are needed, nor wanted.
1 (1.6%)
There are few open spaces available for open space athletics, more limited fields now that Cabrillo has eliminated their open soccer fields and fences are up from New Brighton Middle School.
1 (1.6%)
10 / 11
166
Item 8 A.

Monterey Park Play Space Survey, 06/15/26 - 09:51 AM
55 - 63 of 63
Field value Number of responses
There are plenty of other playgrounds not far away. Leave Monterey Park alone.
1 (1.6%)
This is a completely underutilized space in my opinion. Lion St park or Frederick St park are beautiful spaces to model after
1 (1.6%)
This is a great idea for are B! 1 (1.6%)
We already have hidden park and Jade Street Park Not sure if this is necessary I wouldn't want it to be a hangout place for teens when it is meant for little ones. Police would need to monitor Also worry about trash and bathroom use and keeping that going
1 (1.6%)
We live directly behind C and this would be totally unacceptable becuse of noise, privacy and people already use the tree and bush area there which is not well maintained as toilets. Would there be any restroom facilities in the plan Othrwise seems like a great idea. As for the type playground i woykd wan to see what would get the most use by ypunger kids 1 (1.6%)
where is the money coming from? If out of general fund I would rather see the money going to street improvements. Capitola is broke and can not afford additional projects need to complete other priorities first. 1 (1.6%)
Would also love to see a zip line 1 (1.6%)
Would love a bocce ball court 1 (1.6%)
Would support traditional playground and adventure or rope style together
1 (1.6%)
11 / 11
167
Item 8 A.

Monterey Park
Play Space
City Council
June 25, 2026
168
Item 8 A.
• Identified by Council as a potential
recreation opportunity
• $10,000 in FY25/26
• Community outreach
• May 1 – June 15, 2026
• Online survey
• Park signage
• City social media
• Postcard mailer
Background
Monterey Park Play Space
169
Item 8 A.
125 Survey Responses
Park Use
Weekly Monthly Rarely Never
Support Play Space
Yes Maybe No
Survey Results: Participation
and Support
Monterey Park Play Space
170
Item 8 A.

Survey Results: Type of Play
Space
Monterey Park Play Space
• Most Preferred Concepts:
• Adventure / Balance Play Features
• Natural Sculptural Climbing Features
• Least Preferred: Traditional playground
structures
171
Item 8 A.

Survey Results: Preferred
Location
Monterey Park Play Space
• Preferred Location: West side
of park
• Away from Monterey Avenue
• Not immediately adjacent to
residences
• Preserves primary field area
• Existing trees and
topography create
opportunities for naturebased design
172
Item 8 A.

Survey Results: Community
Concerns
Monterey Park Play Space
Parking
impacts
Safety Maintenanc
e
Noise
Loss of
field area
Project cost
173
Item 8 A.

Survey Results: Comment Themes
Monterey Park Play Space
• Additional family-oriented amenities
• Underutilized area of the park
Supportive
• Preserve open space/informal recreation areas
• Parking and neighborhood impacts
• Existing playgrounds
Opposing
• Bocce courts
• Adult fitness equipment
• Seating areas
• Restrooms
Additional Suggestions
174
Item 8 A.

Key Findings
Monterey Park Play Space
• Survey does not
demonstrate
consensus
• Clear preferences
among supportive
respondents
• West-side
location
• Adventure/nature
-based concepts
• Additional
evaluation would
help determine
feasibility and
costs 175
Item 8 A.

Recommend Action
Monterey Park Play Space
•Receive outreach results and direct
staff to prepare a conceptual play
space plan for the west side of the
park.

Recommendation
•Site analysis
•Preliminary layout options
•Planning-level cost estimates
•Opportunities and constraints
•Potential funding sources
Concept Plan Includes
176
Item 8 A.

Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: Administrative Services Department
Subject: FY 2026–27 Salary Schedule
Recommended Action: Adopt a resolution approving the Fiscal Year 2026-27 annual salary adjustments, consistent with the following employment agreements: Association of Capitola Employees, Police Officers Association, Confidential Employees, Mid-Management Employees, Police Captains, the Department Head Compensation Plan, and City Manager Employment Agreement.

Background: City Council adoption of a salary resolution establishes the legal current salary schedule for each permanent regular employee position. The City Council should adopt a salary resolution annually, upon review and recommendation of the City Manager. California Public Employee’s Retirement Law and Section 570.5 of the California Code of Regulations Title 2 require the “City Pay Rates and Ranges” to be approved by the City Council in an open meeting and be publicly posted, which is done annually on the City’s website.

Additionally, as required by California Government Code Section 54953(c)(3), an oral report must be made before the City Council takes final action on the salaries, salary schedules, and fringe benefit compensation for the City’s management employees, which includes department heads and the City Manager. The City of Capitola and its bargaining units have existing labor agreements that run through June 30, 2027. Cost-of-living adjustments (COLAs) are included in the agreements.

Discussion: The attached salary schedule will go into effect the first full pay period after July 1, 2026.

This year, the salary changes will be effective July 5, 2026, through June 30, 2027.

The following table shows increases for groups and positions:

Group COLA %
Increase
Healthcare
Contribution
Increase
Employee only
Healthcare
Contribution
Increase
Employee +1
Healthcare
Contribution
Increase
Employee +2
ACE
3%
$50/month $75/month $100/month
Police Captains
Confidential
Mid-Management
Management & CM
POA:

Sworn (Sergeants
& Officers),
Records Manager
3%
CSOs 1%
177
Item 8 B.

Fiscal Impact: The fiscal impact of the previously agreed-upon FY 2026-27 cost of living salary increases is $158,000 and healthcare contribution increases is $42,000, resulting in a total impact of $200,000, which is included as part of the budget adopted on June 11, 2026.

Attachments:

1. Resolution

2. Exhibit A: City Salary Schedule
Report Prepared By: Leda Laidlaw-Hunter, Accountant II
Reviewed By: Jim Malberg, Administrative Services Director; Julia Gautho, City Clerk; Approved By: Jamie Goldstein, City Manager
178
Item 8 B.
1 RESOLUTION NO. ____

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPITOLA
AUTHORIZING AND APPROVING THE FISCAL YEAR 2026-2027

PAY RATES AND RANGES (SALARY SCHEDULE)
WHEREAS, the City Council establishes the current salary range from the salary schedule for each class of position; and
WHEREAS, the California Public Employee’s Retirement Law, at Section 570.5 of the California Code of Regulations Title 2, requires the City to publish pay rates and ranges on the City’s website and the City Council to approve the pay rates and range in its entirety each time a modification is made; and
WHEREAS, the City and its employee groups have existing agreements that include Cost of Living Adjustments beginning the first full pay period of July 2026; and WHEREAS, a salary resolution is adopted annually by the City Council upon review and recommendation of the City Manager.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Capitola does hereby authorize and approve City of Capitola pay rates and ranges (Salary Schedule, Exhibit A) for permanent employees from July 5, 2026, through June 30, 2027.

I HEREBY CERTIFY that the above and foregoing resolution was passed and adopted by the City Council of the City of Capitola on the 25
th day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_______________________
Margaux, Morgan, Mayor
ATTEST:
_______________________
Julia Gautho, City Clerk
179
Item 8 B.

Position Bargaining Unit Step A Step B Step C Step D Step E Step F Step A Step B Step C Step D Step E Step F Step A Step B Step C Step D Step E Step F ACCOUNT TECHNICIAN ACE $ 32.31 $ 33.92 $ 35.62 $ 37.40 $ 39.28 N/A $ 5,600.40 $ 5,879.47 $ 6,174.13 $ 6,482.67 $ 6,808.53 N/A $ 67,204.80 $ 70,553.60 $ 74,089.60 $ 77,792.00 $ 81,702.40 N/A ACCOUNTANT I ACE $ 39.03 $ 41.00 $ 43.04 $ 45.19 $ 47.44 N/A $ 6,765.20 $ 7,106.67 $ 7,460.27 $ 7,832.93 $ 8,222.93 N/A $ 81,182.40 $ 85,280.00 $ 89,523.20 $ 93,995.20 $ 98,675.20 N/A ACCOUNTANT II ACE $ 43.05 $ 45.20 $ 47.47 $ 49.84 $ 52.31 N/A $ 7,462.00 $ 7,834.67 $ 8,228.13 $ 8,638.93 $ 9,067.07 N/A $ 89,544.00 $ 94,016.00 $ 98,737.60 $ 103,667.20 $ 108,804.80 N/A ACCOUNTS CLERK ACE $ 29.30 $ 30.80 $ 32.31 $ 33.93 $ 35.63 N/A $ 5,078.67 $ 5,338.67 $ 5,600.40 $ 5,881.20 $ 6,175.87 N/A $ 60,944.00 $ 64,064.00 $ 67,204.80 $ 70,574.40 $ 74,110.40 N/A ADMINISTRATIVE RECORDS ANALYST ACE $ 34.49 $ 36.20 $ 38.01 $ 39.91 $ 41.92 N/A $ 5,978.27 $ 6,274.67 $ 6,588.40 $ 6,917.73 $ 7,266.13 N/A $ 71,739.20 $ 75,296.00 $ 79,060.80 $ 83,012.80 $ 87,193.60 N/A ASSIST TO CITY MGR CONFIDENTIAL $ 59.66 $ 62.64 $ 65.76 $ 69.06 $ 72.51 N/A $ 10,340.36 $ 10,856.90 $ 11,399.18 $ 11,970.43 $ 12,569.03 N/A $ 124,084.37 $ 130,282.83 $ 136,790.19 $ 143,645.16 $ 150,828.40 N/A ASSISTANT PLANNER ACE $ 37.72 $ 39.56 $ 41.57 $ 43.63 $ 45.81 N/A $ 6,538.13 $ 6,857.07 $ 7,205.47 $ 7,562.53 $ 7,940.40 N/A $ 78,457.60 $ 82,284.80 $ 86,465.60 $ 90,750.40 $ 95,284.80 N/A ASSOCIATE PLANNER MID-MANAGEMENT $ 44.78 $ 47.02 $ 49.37 $ 51.84 $ 54.43 N/A $ 7,761.39 $ 8,149.88 $ 8,556.95 $ 8,985.44 $ 9,435.35 N/A $ 93,136.65 $ 97,798.60 $ 102,683.40 $ 107,825.30 $ 113,224.23 N/A BUILDING INSPECTOR I ACE $ 33.75 $ 35.46 $ 37.21 $ 39.07 $ 41.05 N/A $ 5,850.00 $ 6,146.40 $ 6,449.73 $ 6,772.13 $ 7,115.33 N/A $ 70,200.00 $ 73,756.80 $ 77,396.80 $ 81,265.60 $ 85,384.00 N/A BUILDING INSPECTOR II ACE $ 39.39 $ 41.35 $ 43.42 $ 45.60 $ 47.87 N/A $ 6,827.60 $ 7,167.33 $ 7,526.13 $ 7,904.00 $ 8,297.47 N/A $ 81,931.20 $ 86,008.00 $ 90,313.60 $ 94,848.00 $ 99,569.60 N/A BUILDING OFFICIAL MID-MANAGEMENT $ 61.82 $ 64.92 $ 68.16 $ 71.57 $ 75.15 N/A $ 10,715.45 $ 11,252.25 $ 11,814.78 $ 12,404.74 $ 13,025.59 N/A $ 128,585.36 $ 135,027.02 $ 141,777.41 $ 148,856.93 $ 156,307.06 N/A CITY CLERK CONFIDENTIAL $ 56.07 $ 58.88 $ 61.82 $ 64.91 $ 68.16 N/A $ 9,719.19 $ 10,205.65 $ 10,715.03 $ 11,250.61 $ 11,814.05 N/A $ 116,630.32 $ 122,467.74 $ 128,580.31 $ 135,007.37 $ 141,768.54 N/A CIVIL ENGINEER/PROJECT MANAGER MID-MANAGEMENT $ 52.96 $ 55.62 $ 58.40 $ 61.31 $ 64.38 N/A $ 9,180.35 $ 9,640.25 $ 10,122.19 $ 10,627.64 $ 11,159.53 N/A $ 110,164.22 $ 115,683.01 $ 121,466.26 $ 127,531.63 $ 133,914.41 N/A COMMUNITY SERVICES & RECREATION ASSISTANT ACE $ 22.15 $ 23.25 $ 24.43 $ 25.62 $ 26.91 N/A $ 3,839.33 $ 4,030.00 $ 4,234.53 $ 4,440.80 $ 4,664.40 N/A $ 46,072.00 $ 48,360.00 $ 50,814.40 $ 53,289.60 $ 55,972.80 N/A COMMUNITY SERVICES & RECREATION COORDINATOR ACE $ 32.91 $ 34.58 $ 36.32 $ 38.14 $ 40.01 N/A $ 5,704.40 $ 5,993.87 $ 6,295.47 $ 6,610.93 $ 6,935.07 N/A $ 68,452.80 $ 71,926.40 $ 75,545.60 $ 79,331.20 $ 83,220.80 N/A CUSTOMER SERVICE - OFFICE COORDINATOR ACE $ 25.62 $ 26.91 $ 28.26 $ 29.66 $ 31.18 N/A $ 4,440.80 $ 4,664.40 $ 4,898.40 $ 5,141.07 $ 5,404.53 N/A $ 53,289.60 $ 55,972.80 $ 58,780.80 $ 61,692.80 $ 64,854.40 N/A DEPUTY CITY CLERK ACE $ 37.13 $ 39.01 $ 40.94 $ 42.99 $ 45.16 N/A $ 6,435.87 $ 6,761.73 $ 7,096.27 $ 7,451.60 $ 7,827.73 N/A $ 77,230.40 $ 81,140.80 $ 85,155.20 $ 89,419.20 $ 93,932.80 N/A DEVELOPMENT SERVICES TECHNICIAN ACE $ 33.28 $ 34.96 $ 36.69 $ 38.52 $ 40.46 N/A $ 5,768.53 $ 6,059.73 $ 6,359.60 $ 6,676.80 $ 7,013.07 N/A $ 69,222.40 $ 72,716.80 $ 76,315.20 $ 80,121.60 $ 84,156.80 N/A ENVIRONMENTAL PROJECTS MANAGER MID-MANAGEMENT $ 48.83 $ 51.27 $ 53.83 $ 56.53 $ 59.36 N/A $ 8,463.38 $ 8,887.01 $ 9,330.90 $ 9,798.15 $ 10,288.75 N/A $ 101,560.54 $ 106,644.17 $ 111,970.80 $ 117,577.75 $ 123,465.01 N/A EQUIPMENT OPERATOR ACE $ 30.55 $ 32.09 $ 33.68 $ 35.39 $ 37.15 N/A $ 5,295.33 $ 5,562.27 $ 5,837.87 $ 6,134.27 $ 6,439.33 N/A $ 63,544.00 $ 66,747.20 $ 70,054.40 $ 73,611.20 $ 77,272.00 N/A HUMAN RESOURCES ANALYST CONFIDENTIAL $ 43.86 $ 46.03 $ 48.35 $ 50.78 $ 53.33 N/A $ 7,602.40 $ 7,978.53 $ 8,380.67 $ 8,801.87 $ 9,243.87 N/A $ 91,228.80 $ 95,742.40 $ 100,568.00 $ 105,622.40 $ 110,926.40 N/A INFORMATION SYSTEMS SPECIALIST CONFIDENTIAL $ 38.32 $ 40.24 $ 42.24 $ 44.36 $ 46.57 N/A $ 6,642.29 $ 6,974.12 $ 7,321.88 $ 7,688.49 $ 8,072.47 N/A $ 79,707.50 $ 83,689.43 $ 87,862.57 $ 92,261.83 $ 96,869.68 N/A MAINTENANCE WORKER I ACE $ 22.71 $ 23.88 $ 25.05 $ 26.31 $ 27.62 N/A $ 3,936.40 $ 4,139.20 $ 4,342.00 $ 4,560.40 $ 4,787.47 N/A $ 47,236.80 $ 49,670.40 $ 52,104.00 $ 54,724.80 $ 57,449.60 N/A MAINTENANCE WORKER II ACE $ 30.44 $ 31.93 $ 33.55 $ 35.25 $ 37.02 N/A $ 5,276.27 $ 5,534.53 $ 5,815.33 $ 6,110.00 $ 6,416.80 N/A $ 63,315.20 $ 66,414.40 $ 69,784.00 $ 73,320.00 $ 77,001.60 N/A MAINTENANCE WORKER III ACE $ 33.55 $ 35.25 $ 37.02 $ 38.88 $ 40.81 N/A $ 5,815.33 $ 6,110.00 $ 6,416.80 $ 6,739.20 $ 7,073.73 N/A $ 69,784.00 $ 73,320.00 $ 77,001.60 $ 80,870.40 $ 84,884.80 N/A MECHANIC ACE $ 34.22 $ 35.93 $ 37.73 $ 39.59 $ 41.60 N/A $ 5,931.47 $ 6,227.87 $ 6,539.87 $ 6,862.27 $ 7,210.67 N/A $ 71,177.60 $ 74,734.40 $ 78,478.40 $ 82,347.20 $ 86,528.00 N/A MULTI-SERVICE OFFICER POA $ 32.25 $ 33.87 $ 35.55 $ 37.33 $ 39.20 $ 41.18 $ 5,590.00 $ 5,870.80 $ 6,162.00 $ 6,470.53 $ 6,794.67 $ 7,137.87 $ 67,080.00 $ 70,449.60 $ 73,944.00 $ 77,646.40 $ 81,536.00 $ 85,654.40 MUSEUM CURATOR ACE $ 30.32 $ 31.86 $ 33.48 $ 35.12 $ 36.87 N/A $ 5,255.47 $ 5,522.40 $ 5,803.20 $ 6,087.47 $ 6,390.80 N/A $ 63,065.60 $ 66,268.80 $ 69,638.40 $ 73,049.60 $ 76,689.60 N/A OPERATIONS MAINTENANCE SUPERVISOR MID-MANAGEMENT $ 44.61 $ 46.87 $ 49.19 $ 51.63 $ 54.23 N/A $ 7,732.40 $ 8,124.13 $ 8,526.27 $ 8,949.20 $ 9,399.87 N/A $ 92,788.80 $ 97,489.60 $ 102,315.20 $ 107,390.40 $ 112,798.40 N/A PARKING ENFORCEMENT OFFICER ACE $ 27.31 $ 28.62 $ 30.08 $ 31.59 $ 33.17 N/A $ 4,733.73 $ 4,960.80 $ 5,213.87 $ 5,475.60 $ 5,749.47 N/A $ 56,804.80 $ 59,529.60 $ 62,566.40 $ 65,707.20 $ 68,993.60 N/A POLICE CAPTAIN POLICE CAPTAINS $ 71.40 $ 74.97 $ 78.72 $ 82.66 $ 86.80 $ 91.14 $ 12,375.31 $ 12,994.53 $ 13,643.94 $ 14,327.88 $ 15,045.06 $ 15,798.37 $ 148,503.68 $ 155,934.33 $ 163,727.22 $ 171,934.61 $ 180,540.71 $ 189,580.39 POLICE OFFICER POA $ 49.17 $ 51.64 $ 54.17 $ 56.91 $ 59.76 $ 62.76 $ 8,522.80 $ 8,950.93 $ 9,389.47 $ 9,864.40 $ 10,358.40 $ 10,878.40 $ 102,273.60 $ 107,411.20 $ 112,673.60 $ 118,372.80 $ 124,300.80 $ 130,540.80 POLICE OFFICER TRAINEE POA $ 44.18 $ - $ - $ - $ - $ - $ 7,657.87 $ - $ - $ - $ - $ - $ 91,894.40 $ - $ - $ - $ - $ - POLICE RECORDS TECHNICIAN ACE $ 29.86 $ 31.35 $ 32.92 $ 34.58 $ 36.31 N/A $ 5,175.73 $ 5,434.00 $ 5,706.13 $ 5,993.87 $ 6,293.73 N/A $ 62,108.80 $ 65,208.00 $ 68,473.60 $ 71,926.40 $ 75,524.80 N/A POLICE SERGEANT POA $ 58.50 $ 61.46 $ 64.52 $ 67.74 $ 71.14 $ 74.69 $ 10,140.00 $ 10,653.07 $ 11,183.47 $ 11,741.60 $ 12,330.93 $ 12,946.27 $ 121,680.00 $ 127,836.80 $ 134,201.60 $ 140,899.20 $ 147,971.20 $ 155,355.20 RECORDS MANAGEMENT CLERK ACE $ 28.55 $ 29.99 $ 31.52 $ 33.08 $ 34.73 N/A $ 4,948.67 $ 5,198.27 $ 5,463.47 $ 5,733.87 $ 6,019.87 N/A $ 59,384.00 $ 62,379.20 $ 65,561.60 $ 68,806.40 $ 72,238.40 N/A RECORDS MANAGER POA $ 40.77 $ 42.83 $ 44.96 $ 47.19 $ 49.59 $ 52.06 $ 7,066.80 $ 7,423.87 $ 7,793.07 $ 8,179.60 $ 8,595.60 $ 9,023.73 $ 84,801.60 $ 89,086.40 $ 93,516.80 $ 98,155.20 $ 103,147.20 $ 108,284.80 RECREATION FACILITY CUSTODIAN ACE $ 21.38 $ 22.46 $ 23.59 $ 24.77 $ 26.00 N/A $ 3,705.87 $ 3,893.07 $ 4,088.93 $ 4,293.47 $ 4,506.67 N/A $ 44,470.40 $ 46,716.80 $ 49,067.20 $ 51,521.60 $ 54,080.00 N/A SENIOR ACCOUNTANT MID-MANAGEMENT $ 49.79 $ 52.29 $ 54.90 $ 57.64 $ 60.53 N/A $ 8,630.58 $ 9,062.94 $ 9,516.02 $ 9,991.20 $ 10,491.24 N/A $ 103,566.99 $ 108,755.30 $ 114,192.22 $ 119,894.37 $ 125,894.90 N/A SENIOR MECHANIC MID-MANAGEMENT $ 40.28 $ 42.31 $ 44.43 $ 46.65 $ 48.97 N/A $ 6,981.87 $ 7,333.73 $ 7,701.20 $ 8,086.00 $ 8,488.13 N/A $ 83,782.40 $ 88,004.80 $ 92,414.40 $ 97,032.00 $ 101,857.60 N/A SENIOR PLANNER MID-MANAGEMENT $ 51.48 $ 54.06 $ 56.77 $ 59.60 $ 62.58 N/A $ 8,924.02 $ 9,371.08 $ 9,839.56 $ 10,330.90 $ 10,847.94 N/A $ 107,088.27 $ 112,452.98 $ 118,074.75 $ 123,970.78 $ 130,175.32 N/A CITY MANAGER MANAGEMENT RANGE: $ 121.88 TO $ 121.88 RANGE: $ 21,125.40 TO $ 21,125.40 RANGE: $ 253,504.83 TO $ 253,504.83 CHIEF OF POLICE MANAGEMENT RANGE: $ 86.05 TO $ 109.74 RANGE: $ 14,915.62 TO $ 19,021.14 RANGE: $ 178,987.40 TO $ 228,253.70 DEPARTMENT HEADS MANAGEMENT RANGE: $ 80.90 TO $ 98.65 RANGE: $ 14,022.64 TO $ 17,100.17 RANGE: $ 168,271.71 TO $ 205,202.05 CITY OF CAPITOLA - SALARY SCHEDULE PROPOSED JUNE 25, 2026 - EFFECTIVE JULY 5, 2026 Hourly Monthly Annual
180
Item 8 B.

POA
JULY 5, 2026 - JUNE 30, 2027
Step A Step B Step C Step D Step E Step F Step A Step B Step C Step D Step E Step F Step A Step B Step C Step D Step E Step F Step A Step B Step C Step D Step E Step F POLICE OFFICER TRAINEE $ 42.89 $ 44.18 $ 7,657.87 $ 91,894.40 POLICE OFFICER $ 47.74 $ 50.14 $ 52.59 $ 55.25 $ 58.02 $ 60.93 $ 49.17 $ 51.64 $ 54.17 $ 56.91 $ 59.76 $ 62.76 $ 8,522.80 $ 8,950.93 $ 9,389.47 $ 9,864.40 $ 10,358.40 $ 10,878.40 $ 102,273.60 $ 107,411.20 $ 112,673.60 $ 118,372.80 $ 124,300.80 $ 130,540.80 POLICE SERGEANT $ 56.80 $ 59.67 $ 62.64 $ 65.77 $ 69.07 $ 72.51 $ 58.50 $ 61.46 $ 64.52 $ 67.74 $ 71.14 $ 74.69 $ 10,140.00 $ 10,653.07 $ 11,183.47 $ 11,741.60 $ 12,330.93 $ 12,946.27 $ 121,680.00 $ 127,836.80 $ 134,201.60 $ 140,899.20 $ 147,971.20 $ 155,355.20 RECORDS MANAGER $ 39.58 $ 41.58 $ 43.65 $ 45.82 $ 48.15 $ 50.54 $ 40.77 $ 42.83 $ 44.96 $ 47.19 $ 49.59 $ 52.06 $ 7,066.80 $ 7,423.87 $ 7,793.07 $ 8,179.60 $ 8,595.60 $ 9,023.73 $ 84,801.60 $ 89,086.40 $ 93,516.80 $ 98,155.20 $ 103,147.20 $ 108,284.80 MULTI-SERVICE OFFICER $ 31.93 $ 33.53 $ 35.20 $ 36.96 $ 38.81 $ 40.77 $ 32.25 $ 33.87 $ 35.55 $ 37.33 $ 39.20 $ 41.18 $ 5,590.00 $ 5,870.80 $ 6,162.00 $ 6,470.53 $ 6,794.67 $ 7,137.87 $ 67,080.00 $ 70,449.60 $ 73,944.00 $ 77,646.40 $ 81,536.00 $ 85,654.40 COLA
Position
POLICE OFFICER TRAINEE 3.00%
POLICE OFFICER 3.00%
POLICE SERGEANT 3.00%
RECORDS MANAGER 3.00%
MULTI-SERVICE OFFICER 1.00%
2025-2026 Hourly Rate (for calculations) Hourly Monthly Annual 181
Item 8 B.

POLICE CAPTAINS
JULY 5, 2026 - JUNE 30, 2027
3%
Step A Step B Step C
POLICE CAPTAIN $144,178.33 $151,392.55 $158,958.47
COLA
July 1 2025
Position
POLICE CAPTAIN 3.00%
2025-2026 Hourly Rate (for calculations)
182
Item 8 B.

Step D Step E Step F Step A Step B Step C Step D Step E $166,926.81 $175,282.24 $184,058.63 $71.40 $74.97 $78.72 $82.66 $86.80 6 Hourly Rate (for calculations) Hourly
183
Item 8 B.

Step F Step A Step B Step C Step D Step E Step F
$91.14 $12,375.31 $12,994.53 $13,643.94 $14,327.88 $15,045.06 $15,798.37 Monthly
184
Item 8 B.

Step A Step B Step C Step D Step E Step F
$148,503.68 $155,934.33 $163,727.22 $171,934.61 $180,540.71 $189,580.39 Annual
185
Item 8 B.

ACE
JULY 5, 2026 - JUNE 30, 2027
Step A Step B
ACCOUNT TECHNICIAN $ 31.37 $ 32.93
ACCOUNTANT I $ 37.89 $ 39.81
ACCOUNTANT II $ 41.80 $ 43.88
ACCOUNTS CLERK $ 28.45 $ 29.90
ADMINISTRATIVE RECORDS ANALYST $ 33.49 $ 35.15
ASSISTANT PLANNER $ 36.62 $ 38.41
BUILDING INSPECTOR I $ 32.77 $ 34.43
BUILDING INSPECTOR II $ 38.24 $ 40.15
DEPUTY CITY CLERK $ 36.05 $ 37.87
DEVELOPMENT SERVICES TECHNICIAN $ 32.31 $ 33.94
EQUIPMENT OPERATOR $ 29.66 $ 31.16
MAINTENANCE WORKER I $ 22.05 $ 23.18
MAINTENANCE WORKER II $ 29.55 $ 31.00
MAINTENANCE WORKER III $ 32.57 $ 34.22
MECHANIC $ 33.22 $ 34.88
MUSEUM CURATOR $ 29.44 $ 30.93
PARKING ENFORCEMENT OFFICER $ 26.51 $ 27.79
CUSTOMER SERVICE - OFFICE COORDINATOR $ 24.87 $ 26.13
RECORDS MANAGEMENT CLERK $ 27.72 $ 29.12
POLICE RECORDS TECHNICIAN $ 28.99 $ 30.44
COMMUNITY SERVICES & RECREATION ASSISTANT $ 21.50 $ 22.57 COMMUNITY SERVICES & RECREATION COORDINATOR $ 31.95 $ 33.57 RECREATION FACILITY CUSTODIAN $ 20.76 $ 21.81
COLA 3%
Position
ACCOUNT TECHNICIAN 3.00%
ACCOUNTANT I 3.00%
ACCOUNTANT II 3.00%
ACCOUNTS CLERK 3.00%
ADMINISTRATIVE RECORDS ANALYST 3.00%
ASSISTANT PLANNER 3.00%
BUILDING INSPECTOR I 3.00%
BUILDING INSPECTOR II 3.00%
DEPUTY CITY CLERK 3.00%
DEVELOPMENT SERVICES TECHNICIAN 3.00%
EQUIPMENT OPERATOR 3.00%
MAINTENANCE WORKER I 3.00%
MAINTENANCE WORKER II 3.00%
MAINTENANCE WORKER III 3.00%
MECHANIC 3.00%
MUSEUM CURATOR 3.00%
PARKING ENFORCEMENT OFFICER 3.00%
2025-2026 Hourly Rate (for calculat
186
Item 8 B.

CUSTOMER SERVICE - OFFICE COORDINATOR 3.00%
RECORDS MANAGEMENT CLERK 3.00%
POLICE RECORDS TECHNICIAN 3.00%
RECREATION ASSISTANT 3.00%
RECREATION COORDINATOR 3.00%
RECREATION FACILITY CUSTODIAN 3.00%
187
Item 8 B.

Step C Step D Step E Step A Step B Step C Step D Step E $ 34.58 $ 36.31 $ 38.14 $ 32.31 $ 33.92 $ 35.62 $ 37.40 $ 39.28 $ 41.79 $ 43.87 $ 46.06 $ 39.03 $ 41.00 $ 43.04 $ 45.19 $ 47.44 $ 46.09 $ 48.39 $ 50.79 $ 43.05 $ 45.20 $ 47.47 $ 49.84 $ 52.31 $ 31.37 $ 32.94 $ 34.59 $ 29.30 $ 30.80 $ 32.31 $ 33.93 $ 35.63 $ 36.90 $ 38.75 $ 40.70 $ 34.49 $ 36.20 $ 38.01 $ 39.91 $ 41.92 $ 40.36 $ 42.36 $ 44.48 $ 37.72 $ 39.56 $ 41.57 $ 43.63 $ 45.81 $ 36.13 $ 37.93 $ 39.85 $ 33.75 $ 35.46 $ 37.21 $ 39.07 $ 41.05 $ 42.16 $ 44.27 $ 46.48 $ 39.39 $ 41.35 $ 43.42 $ 45.60 $ 47.87 $ 39.75 $ 41.74 $ 43.84 $ 37.13 $ 39.01 $ 40.94 $ 42.99 $ 45.16 $ 35.62 $ 37.40 $ 39.28 $ 33.28 $ 34.96 $ 36.69 $ 38.52 $ 40.46 $ 32.70 $ 34.36 $ 36.07 $ 30.55 $ 32.09 $ 33.68 $ 35.39 $ 37.15 $ 24.32 $ 25.54 $ 26.82 $ 22.71 $ 23.88 $ 25.05 $ 26.31 $ 27.62 $ 32.57 $ 34.22 $ 35.94 $ 30.44 $ 31.93 $ 33.55 $ 35.25 $ 37.02 $ 35.94 $ 37.75 $ 39.62 $ 33.55 $ 35.25 $ 37.02 $ 38.88 $ 40.81 $ 36.63 $ 38.44 $ 40.39 $ 34.22 $ 35.93 $ 37.73 $ 39.59 $ 41.60 $ 32.50 $ 34.10 $ 35.80 $ 30.32 $ 31.86 $ 33.48 $ 35.12 $ 36.87 $ 29.20 $ 30.67 $ 32.20 $ 27.31 $ 28.62 $ 30.08 $ 31.59 $ 33.17 $ 27.44 $ 28.80 $ 30.27 $ 25.62 $ 26.91 $ 28.26 $ 29.66 $ 31.18 $ 30.60 $ 32.12 $ 33.72 $ 28.55 $ 29.99 $ 31.52 $ 33.08 $ 34.73 $ 31.96 $ 33.57 $ 35.25 $ 29.86 $ 31.35 $ 32.92 $ 34.58 $ 36.31 $ 23.72 $ 24.87 $ 26.13 $ 22.15 $ 23.25 $ 24.43 $ 25.62 $ 26.91 $ 35.26 $ 37.03 $ 38.84 $ 32.91 $ 34.58 $ 36.32 $ 38.14 $ 40.01 $ 22.90 $ 24.05 $ 25.24 $ 21.38 $ 22.46 $ 23.59 $ 24.77 $ 26.00 5-2026 Hourly Rate (for calculations) Hourly
188
Item 8 B.
189
Item 8 B.

Step A Step B Step C Step D Step E Step A
$ 5,600.40 $ 5,879.47 $ 6,174.13 $ 6,482.67 $ 6,808.53 $ 67,204.80 $ 6,765.20 $ 7,106.67 $ 7,460.27 $ 7,832.93 $ 8,222.93 $ 81,182.40 $ 7,462.00 $ 7,834.67 $ 8,228.13 $ 8,638.93 $ 9,067.07 $ 89,544.00 $ 5,078.67 $ 5,338.67 $ 5,600.40 $ 5,881.20 $ 6,175.87 $ 60,944.00 $ 5,978.27 $ 6,274.67 $ 6,588.40 $ 6,917.73 $ 7,266.13 $ 71,739.20 $ 6,538.13 $ 6,857.07 $ 7,205.47 $ 7,562.53 $ 7,940.40 $ 78,457.60 $ 5,850.00 $ 6,146.40 $ 6,449.73 $ 6,772.13 $ 7,115.33 $ 70,200.00 $ 6,827.60 $ 7,167.33 $ 7,526.13 $ 7,904.00 $ 8,297.47 $ 81,931.20 $ 6,435.87 $ 6,761.73 $ 7,096.27 $ 7,451.60 $ 7,827.73 $ 77,230.40 $ 5,768.53 $ 6,059.73 $ 6,359.60 $ 6,676.80 $ 7,013.07 $ 69,222.40 $ 5,295.33 $ 5,562.27 $ 5,837.87 $ 6,134.27 $ 6,439.33 $ 63,544.00 $ 3,936.40 $ 4,139.20 $ 4,342.00 $ 4,560.40 $ 4,787.47 $ 47,236.80 $ 5,276.27 $ 5,534.53 $ 5,815.33 $ 6,110.00 $ 6,416.80 $ 63,315.20 $ 5,815.33 $ 6,110.00 $ 6,416.80 $ 6,739.20 $ 7,073.73 $ 69,784.00 $ 5,931.47 $ 6,227.87 $ 6,539.87 $ 6,862.27 $ 7,210.67 $ 71,177.60 $ 5,255.47 $ 5,522.40 $ 5,803.20 $ 6,087.47 $ 6,390.80 $ 63,065.60 $ 4,733.73 $ 4,960.80 $ 5,213.87 $ 5,475.60 $ 5,749.47 $ 56,804.80 $ 4,440.80 $ 4,664.40 $ 4,898.40 $ 5,141.07 $ 5,404.53 $ 53,289.60 $ 4,948.67 $ 5,198.27 $ 5,463.47 $ 5,733.87 $ 6,019.87 $ 59,384.00 $ 5,175.73 $ 5,434.00 $ 5,706.13 $ 5,993.87 $ 6,293.73 $ 62,108.80 $ 3,839.33 $ 4,030.00 $ 4,234.53 $ 4,440.80 $ 4,664.40 $ 46,072.00 $ 5,704.40 $ 5,993.87 $ 6,295.47 $ 6,610.93 $ 6,935.07 $ 68,452.80 $ 3,705.87 $ 3,893.07 $ 4,088.93 $ 4,293.47 $ 4,506.67 $ 44,470.40 Monthly An
190
Item 8 B.
191
Item 8 B.

Step B Step C Step D Step E
$ 70,553.60 $ 74,089.60 $ 77,792.00 $ 81,702.40
$ 85,280.00 $ 89,523.20 $ 93,995.20 $ 98,675.20
$ 94,016.00 $ 98,737.60 $ 103,667.20 $ 108,804.80
$ 64,064.00 $ 67,204.80 $ 70,574.40 $ 74,110.40
$ 75,296.00 $ 79,060.80 $ 83,012.80 $ 87,193.60
$ 82,284.80 $ 86,465.60 $ 90,750.40 $ 95,284.80
$ 73,756.80 $ 77,396.80 $ 81,265.60 $ 85,384.00
$ 86,008.00 $ 90,313.60 $ 94,848.00 $ 99,569.60
$ 81,140.80 $ 85,155.20 $ 89,419.20 $ 93,932.80
$ 72,716.80 $ 76,315.20 $ 80,121.60 $ 84,156.80
$ 66,747.20 $ 70,054.40 $ 73,611.20 $ 77,272.00
$ 49,670.40 $ 52,104.00 $ 54,724.80 $ 57,449.60
$ 66,414.40 $ 69,784.00 $ 73,320.00 $ 77,001.60
$ 73,320.00 $ 77,001.60 $ 80,870.40 $ 84,884.80
$ 74,734.40 $ 78,478.40 $ 82,347.20 $ 86,528.00
$ 66,268.80 $ 69,638.40 $ 73,049.60 $ 76,689.60
$ 59,529.60 $ 62,566.40 $ 65,707.20 $ 68,993.60
$ 55,972.80 $ 58,780.80 $ 61,692.80 $ 64,854.40
$ 62,379.20 $ 65,561.60 $ 68,806.40 $ 72,238.40
$ 65,208.00 $ 68,473.60 $ 71,926.40 $ 75,524.80
$ 48,360.00 $ 50,814.40 $ 53,289.60 $ 55,972.80
$ 71,926.40 $ 75,545.60 $ 79,331.20 $ 83,220.80
$ 46,716.80 $ 49,067.20 $ 51,521.60 $ 54,080.00
Annual
192
Item 8 B.

MID-MANAGEMENT
JULY 5, 2026 - JUNE 30, 2027
Step A Step B Step C
OPERATIONS MAINTENANCE SUPERVISOR $ 43.31 $ 45.50 $ 47.76 SENIOR MECHANIC $ 39.11 $ 41.08 $ 43.14
ASSOCIATE PLANNER $ 90,423.93 $ 94,950.10 $ 99,692.62
BUILDING OFFICIAL $ 124,840.16 $ 131,094.19 $ 137,647.97 CIVIL ENGINEER/PROJECT MANAGER $ 106,955.55 $ 112,313.60 $ 117,928.41 ENVIRONMENTAL PROJECTS MANAGER $ 98,602.47 $ 103,538.03 $ 108,709.51 SENIOR PLANNER $ 103,969.19 $ 109,177.65 $ 114,635.68
SENIOR ACCOUNTANT $ 100,550.48 $ 105,587.67 $ 110,866.23 COLA
Position
OPERATIONS MAINTENANCE SUPERVISOR 3.00%
SENIOR MECHANIC 3.00%
ASSOCIATE PLANNER 3.00%
BUILDING OFFICIAL (CAPITOLA) 3.00%
CIVIL ENGINEER/PROJECT MANAGER 3.00%
ENVIRONMENTAL PROJECTS MANAGER 3.00%
SENIOR PLANNER 3.00%
SENIOR ACCOUNTANT 3.00%
2025-2026 Hourly Rate (for calculations)
2024-25 Annual Rate (for calculations)
193
Item 8 B.

Step D Step E Step A Step B Step C Step D Step E Step A $ 50.13 $ 52.65 $ 44.61 $ 46.87 $ 49.19 $ 51.63 $ 54.23 $ 7,732.40 $ 45.29 $ 47.54 $ 40.28 $ 42.31 $ 44.43 $ 46.65 $ 48.97 $ 6,981.87 $ 104,684.76 $ 109,926.44 $ 44.78 $ 47.02 $ 49.37 $ 51.84 $ 54.43 $ 7,761.39 $ 144,521.29 $ 151,754.43 $ 61.82 $ 64.92 $ 68.16 $ 71.57 $ 75.15 $ 10,715.45 $ 123,817.12 $ 130,013.99 $ 52.96 $ 55.62 $ 58.40 $ 61.31 $ 64.38 $ 9,180.35 $ 114,153.16 $ 119,868.94 $ 48.83 $ 51.27 $ 53.83 $ 56.53 $ 59.36 $ 8,463.38 $ 120,359.98 $ 126,383.81 $ 51.48 $ 54.06 $ 56.77 $ 59.60 $ 62.58 $ 8,924.02 $ 116,402.30 $ 122,228.06 $ 49.79 $ 52.29 $ 54.90 $ 57.64 $ 60.53 $ 8,630.58 Rate (for calculations) Hourly
Rate (for calculations)
194
Item 8 B.

Step B Step C Step D Step E Step A Step B
$ 8,124.13 $ 8,526.27 $ 8,949.20 $ 9,399.87 $ 92,788.80 $ 97,489.60 $ 7,333.73 $ 7,701.20 $ 8,086.00 $ 8,488.13 $ 83,782.40 $ 88,004.80 $ 8,149.88 $ 8,556.95 $ 8,985.44 $ 9,435.35 $ 93,136.65 $ 97,798.60 $ 11,252.25 $ 11,814.78 $ 12,404.74 $ 13,025.59 $ 128,585.36 $ 135,027.02 $ 9,640.25 $ 10,122.19 $ 10,627.64 $ 11,159.53 $ 110,164.22 $ 115,683.01 $ 8,887.01 $ 9,330.90 $ 9,798.15 $ 10,288.75 $ 101,560.54 $ 106,644.17 $ 9,371.08 $ 9,839.56 $ 10,330.90 $ 10,847.94 $ 107,088.27 $ 112,452.98 $ 9,062.94 $ 9,516.02 $ 9,991.20 $ 10,491.24 $ 103,566.99 $ 108,755.30 Monthly Annual
195
Item 8 B.

Step C Step D Step E
$ 102,315.20 $ 107,390.40 $ 112,798.40
$ 92,414.40 $ 97,032.00 $ 101,857.60
$ 102,683.40 $ 107,825.30 $ 113,224.23
$ 141,777.41 $ 148,856.93 $ 156,307.06
$ 121,466.26 $ 127,531.63 $ 133,914.41
$ 111,970.80 $ 117,577.75 $ 123,465.01
$ 118,074.75 $ 123,970.78 $ 130,175.32
$ 114,192.22 $ 119,894.37 $ 125,894.90
Annual
196
Item 8 B.

CONFIDENTIAL
JULY 5, 2026 - JUNE 30, 2027
A B C
ASSIST TO CITY MGR $ 120,470.26 $ 126,488.18 $ 132,806.01 CITY CLERK $ 113,233.32 $ 118,900.72 $ 124,835.25
INFORMATION SYSTEMS SPECIALIST $ 77,385.92 $ 81,251.87 $ 85,303.47 HUMAN RESOURCES ANALYST $ 42.58 $ 44.69 $ 46.94
COLA
Position
ASSIST TO CITY MGR 3.00%
CITY CLERK 3.00%
INFORMATION SYSTEMS SPECIALIST 3.00%
HUMAN RESOURCES ANALYST 3.00%
Upon FY 2024-25 Budget Adoption, Recreation Division Manager position was eliminated and no longer included in 2025-2026 Hourly Rate (for calculations)
Current Hourly Rate (for calculations)
197
Item 8 B.

D E A B C D
$ 139,461.32 $ 146,435.34 $ 59.66 $ 62.64 $ 65.76 $ 69.06 $ 131,075.12 $ 137,639.36 $ 56.07 $ 58.88 $ 61.82 $ 64.91 $ 89,574.59 $ 94,048.23 $ 38.32 $ 40.24 $ 42.24 $ 44.36 $ 49.30 $ 51.78 $ 43.86 $ 46.03 $ 48.35 $ 50.78
d no longer included in group
Rate (for calculations)
ate (for calculations)
Hourly
198
Item 8 B.

E A B C D
$ 72.51 $ 10,340.36 $ 10,856.90 $ 11,399.18 $ 11,970.43 $ 68.16 $ 9,719.19 $ 10,205.65 $ 10,715.03 $ 11,250.61
$ 46.57 $ 6,642.29 $ 6,974.12 $ 7,321.88 $ 7,688.49
$ 53.33 $ 7,602.40 $ 7,978.53 $ 8,380.67 $ 8,801.87
Monthly
199
Item 8 B.

E A B C
$ 12,569.03 $ 124,084.37 $ 130,282.83 $ 136,790.19
$ 11,814.05 $ 116,630.32 $ 122,467.74 $ 128,580.31
$ 8,072.47 $ 79,707.50 $ 83,689.43 $ 87,862.57
$ 9,243.87 $ 91,228.80 $ 95,742.40 $ 100,568.00
Annual
200
Item 8 B.

D E
$ 143,645.16 $ 150,828.40
$ 135,007.37 $ 141,768.54
$ 92,261.83 $ 96,869.68
$ 105,622.40 $ 110,926.40
ual
201
Item 8 B.

MANAGEMENT
JULY 5, 2026 - JUNE 30, 2027
Min Max
CITY MANAGER $ 246,121.19 $ 246,121.19
CHIEF OF POLICE $ 173,774.17 $ 221,605.53
DEPARTMENT HEADS $ 163,370.59 $ 199,225.29
COLA
Position
CITY MANAGER 3.00%
CHIEF OF POLICE 3.00%
DEPARTMENT HEADS 3.00%
2025-2026 Hourly Rate (for calculations)
202
Item 8 B.

Min Max Min Max Min Max
$ 121.88 $ 121.88 $ 21,125.40 $ 21,125.40 $ 253,504.83 $ 253,504.83 $ 86.05 $ 109.74 $ 14,915.62 $ 19,021.14 $ 178,987.40 $ 228,253.70 $ 80.90 $ 98.65 $ 14,022.64 $ 17,100.17 $ 168,271.71 $ 205,202.05 Hourly Range Monthly Range Annual Range
203
Item 8 B.
removed longevity from range FY26/27
204
Item 8 B.

Salary & Benefit
Adjustments
June 25, 2025
205
Item 8 B.

COLAs & Health Care Contributions
• Each year, Council adopts a resolution establishing the current salary schedule for each position class of permanent employee. • City has existing agreements with employee groups, which require COLAs & healthcare contribution increases starting in July, as outlined below Group COLA % Healthcare Contribution Increase
Employee only Employee +1 Employee +2
ACE
3%
$50 / month $75 / month $100 / month
Police Captains
Confidential
Management & CM
POA: Sgts, Officers,
Records Mgr
POA: MSOs 1% 206
Item 8 B.

Recommended Action
Approve the Resolution authorizing the Fiscal Year 2026-27 salary adjustments and healthcare contribution increases, consistent with existing employee labor agreements.

Will go into effect the first full pay period of July, beginning July 5, 2026. 207
Item 8 B.

Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: Administrative Services Department
Subject: Compliance with Assembly Bill 2561/Government Code Section 3502.3 regarding Vacancies, Recruitment, and Retention Efforts Recommended Action: Conduct the duly noticed public hearing and receive a report on the City of Capitola’s recruitment and retention efforts.

Background: On September 22, 2024, Governor Gavin Newsom signed Assembly Bill 2561 (AB 2561) into law. This bill, effective January 1, 2025, amends the Meyers-Milias-Brown Act (MMBA) by adding Government Code section 3502.3, which creates new transparency and accountability measures for local public agencies related to staffing vacancies and recruitment practices.

The Legislature adopted AB 2561 in response to statewide concerns about job vacancies in local government. Legislative findings noted that these vacancies have created serious challenges in public service delivery, increased workloads for remaining staff, and contributed to burnout and turnover. The legislation emphasizes the public interest in ensuring that local agencies are adequately staffed and that labor relations are not undermined by persistent understaffing.

Under Government Code section 3502.3, the City is required to do the following:

1. Public Hearing – Report on Vacancies: For the calendar year 2025, the City’s annual average percentage of vacancies (i.e., regular, full-time equivalent) is 6.0%. The highest number of vacant positions at one time in 2025 was seven full-time equivalent positions (in October & November).

2. Employee Organization Participation: Allow the recognized employee organizations for each bargaining unit at the City to make presentations during the public hearing concerning vacancies, recruitment, and retention efforts.

3. Additional Reporting for High Vacancy Rates: If vacancies within a single bargaining unit meet or exceed 20% of authorized full-time positions in that bargaining unit, upon request of the recognized employee organization for that bargaining unit, the City must provide additional information during the public hearing, including the following: (1) the total number of vacancies within the bargaining unit; (2) the number of applicants; (3) the average number of days to fill positions; and (4) opportunities to improve compensation and working conditions for employees in the bargaining unit (Gov. Code 3502.3(c).)
Labor Organizations: The City of Capitola has two recognized labor organizations (represented bargaining units): the Association of Capitola Employees (ACE) and the Capitola Police Officers Association (POA). Attachment 1 shows the specific City positions that make up both bargaining units.

In accordance with AB 2561, the City provided advance notice of this public hearing to all recognized labor organizations representing City employees. Both organizations were offered the opportunity to make a presentation regarding job vacancies, hiring practices, or related labor matters. The POA has elected to make a presentation at the meeting.

For the calendar year 2025, there were no vacancy rates that met or exceeded the 20% threshold within the City’s bargaining units with recognized employee organizations. The 2025 vacancies, by month, were as follows:
208
Item 8 C.

Fiscal
Year Month # Separations # Hires # Vacancies
2024/25 January 3 (2 ACE, 1 POA) 5 (3 ACE, 2 POA)
2024/25 February 4 (1 POA, 3 ACE) 1 (1 POA)
2024/25 March 2 (2 POA) 1 (1 POA) 2 (2 POA)
2024/25 April 1 (1 CAPT) 3 (2 POA, 1 Capt.)
2024/25 May 2 (2 ACE)
1 (1 ACE) + 2 POA
promotions 4 (1 ACE, 3 POA)
2024/25 June 1 (1 ACE) 1 (1 ACE) 4 (1 ACE, 3 POA)
2025/26 July 1 (1 MM) 4 (1 POA, 3 ACE*) 3 (2 POA, 1 MM) 2025/26 August 1 (1 POA) 4 (3 POA, 1 MM)
2025/26 September 2 (1 ACE, 1 MM) 6 (3 ACE, 1 POA, 2 MM) 2025/26 October 1 (1 POA) 7 (3 ACE, 2 POA, 2 MM)
2025/26
November
2 (1 POA, 1 Con.
-eliminated) 1 (1 POA) 7 (2 ACE, 3 POA, 2 MM)
2025/26 December 1 (1 ACE) 6 (1 ACE, 3 POA, 2 MM)
TOTAL: 15 13 AVERAGE: 4.3
*2 new ACE positions
Discussion: During the 2025 calendar year, the City maintained a consistent number of 66.2 budgeted full-time equivalent (FTE) positions. This FTE count represents 70.5 regular employees, three of whom are half-time. The City began 2025 with five FTE vacancies, which were quickly filled in February; however, additional vacancies fluctuated, with Capitola maintaining no more than seven at any time. In 2025, Capitola experienced fifteen separations (including four retirements) and hired thirteen new employees, two of which were for newly created positions within ACE.

During 2025 the City intentionally held the Community Service Officer (CSO) positions vacant following the resignation of one CSO in January and the retirement of the 2nd CSO in August in order to update and modernize the job description. The new Multi-Service Officer (MSO) job description was approved in December 2025 and recruitment began shortly thereafter. The City also used one of the vacant CSO FTEs to “overfill” a Police Officer position in September, sending two candidates to the Police Academy in anticipation of an Officer retirement in November.

Additionally, following the retirement of the Information Systems Specialist in November, the City began contracting for those services and eliminated the part-time position. This position is listed under the Confidential Employees’ Memorandum of Understanding (a non-represented bargaining unit). Thus, as of December 31, 2025, the City had six vacancies: 2 MSO’s, 1 Police Officer, 1 Parking Enforcement Officer, 1 Senior Planner, and 1 Building Official. At no time did either of the two city bargaining units exceed a 20% vacancy rate, and therefore the enhanced reporting provisions under AB 2561 do not apply.

In compliance with AB 2561, this report only covers calendar year 2025; however, it is helpful to note that in May 2026, the city filled the Senior Planner position (a vacancy within the Mid-Management employee group) with an Assistant Planner, a position that is part of the ACE bargaining group.

Recruitment Practices: Throughout the COVID-19 Pandemic, Capitola experienced resignations and retirements across all departments. In response, the City hired more frontline, mid-management, and director-level employees than had been necessary in 10 years or more. To meet this need, the City’s Human Resources staff has focused on taking a proactive approach to the City’s recruitment process to allow for quicker hiring upon employee resignations and retirements. In the past, the earliest stages of recruitment (the posting of an available job) often did not begin until after an employee’s last day; now, 209
Item 8 C.
as soon as HR and/or management staff is aware of a pending retirement or resignation notice, HR begins a recruitment strategy specific to the soon-to-be vacant position and corresponding department needs. Additionally, staff implemented an online application process (rather than a fillable PDF) to modernize and speed up an applicant’s experience and to increase the City’s professional reputation as an employer.

Currently, the recruitment and hiring process can take up to a month (for most non-sworn employees); as the process includes opening job postings, garnering applications, reviewing resumes, conducting a panel interview, and an additional one-on-one interview with the hiring manager. Pre-employment practices (ie: reference and/or background checks and drug testing) are position-dependent and can take more time to complete.

In 2025, the City received 649 applications to fill approximately thirteen full-time regular city positions.

The City hires temporary employees as staff for the Community Services and Recreation Department seasonal programming, such as Junior Guards and Camp Capitola, and to provide lifeguard services from May through October. Temporary employee hiring accounts for roughly 26% of all recruitment each year.

Current Employee Retention Efforts (2025)
 Administrative Policy I-39: Down Payment Assistance Program  Administrative Policy II-20: Flexible Remote Work
 Training opportunities and conference attendance, maintained by department budgets  Employee parking permits
 Deferred compensation savings account matching program  Tax-advantaged investment account for education expenses available to employees  Competitive pay, recently reviewed in a salary study
 Seasonal events, including an End-of-Year/Holiday party  Monthly birthday recognition
 Bi-weekly newsletter highlighting City business, emailed to all employees Fiscal Impact: None.

Attachments:

1. Bargaining Units Makeup
Report Prepared By: Jim Malberg, Administrative Services Director Reviewed By: Julia Gautho, City Clerk; Marc Tran, City Attorney Approved By: Jamie Goldstein, City Manager
210
Item 8 C.

City of Capitola: Bargaining Units Make-up
Association of Capitola Employees:

Account Clerk
Accountant I, II
Administrative Records Analyst
Community Services & Recreation Coordinator
Customer Service Office Coordinator
Deputy City Clerk
Development Services Technician
Maintenance Worker I, II, III
Mechanic
Parking Enforcement Officer
Police Records Technician
Capitola Police Officers Association:

Police Officer
Police Officer Trainee
Records Manager
Community Service Officer
Police Sergeant
211
Item 8 C.

Vacancy &
Recruitment Report
Compliance with AB 2561– Calendar Year 2025
212
Item 8 C.

Background
AB 2561: State law requiring annual (calendar year) report started last year

1. Report on Vacancies (average vacancy rate)
A. ACE: 3.9%
B. POA: 10.2%

2. Employee Organization Participation (Bargaining Unit participation allowed) offered, POA to present

3. Additional Reporting for High Vacancy Rate (if 20% or higher vacancy rate) n/a
213
Item 8 C.

Capitola: Employee Makeup
Association of Capitola Employees:
30 Employees; 16 roles
Police Officers Association:
22 Employees; 4 roles
Other Employees: Mid-Management,
Confidential, Captains, Management
City budget includes 70.5 Full Time
Equivalent (FTE) positions 214
Item 8 C.
2025 By The Numbers
• One POA vacancy remained all year
• Seven vacancies or fewer, Citywide
• Fifteen separations
• Thirteen new hires
• Inc. two new positions
• Four internal promotions
• All in the Police Dept.

Average Vacancies:
• ACE: 1.2
• POA: 2.3
• Positions vacant
Average Vacancy Rates:
• ACE: 3.9%
• POA: 10.2%
• Vacancy to budgeted FTE
•649 applications received
•Filled thirteen regular roles
•26% of recruitment = temporary
employees (eight roles)
• 291 applications received
215
Item 8 C.

Recruitment Process
Notice of
coming
vacancy
Job
Posted
City
website
Indeed
LinkedIn
Trade sites
Application
Period
Panel
Interview
Second
Round
Interview
Offer &
Pre-Hire
Checks
• ~ One month to hire non-Sworn employees
• Sworn background investigations can take up to three months • Entry-level positions garner 100s of applications
• Most unsuccessful candidates receive a “no thank-you” • Several great hires are working in jobs they did not initially apply for • Internal Recruitments go through a panel interview 216 Item 8 C.

Retention Efforts
• Flexible Remote Work Policy
•Training & Conference Attendance
o Temporarily suspended
• Employee Parking Permits
• 457 Account Matching Program
• Community Support: Measure Y
• Seasonal Events
• Monthly Birthday Celebration
•Nectar HR an Employee Recognition & Rewards
Platform
•Gym Membership
•25% Recreation Program Discounts
217
Item 8 C.

Elevated City-Wide Standards
• Reduced Time to Hire / Great Partnering & Logistics
• Succession Planning & Proactive Sourcing
• Memorable Panels – up to 10-Interviews a day
• Standardized Internal Recruitment
• Creative Assessments & Competency Based Questions
• Developing a Talent Pool with a LIST for future hires • Cultivating City as Desired Employer with Every Touchpoint • Pre-employment Activities - Connection
• Onboarding – First Day & Introductions
218
Item 8 C.

Recommendation
Receive report and hold public hearing.

No Council action required
219
Item 8 C.

Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: Administrative Services Department
Subject: Capitola Village and Wharf Business Improvement Area Assessments for Fiscal Year 2026-27
Recommended Action: Conduct the duly noticed public hearing and adopt a resolution levying the Fiscal Year 2026-27 Capitola Village and Wharf Business Improvement Area (CVWBIA) Assessments and accepting the CVWBIA Annual Plan and budget.

Background: On June 23, 2005, the City Council adopted Ordinance No. 889 adding Chapter

5.10 to the Capitola Municipal Code establishing the CVWBIA. The CVWBIA assessments are renewed annually and fund various programs that benefit businesses within the CVWBIA district boundaries.

Discussion: On June 11, 2026, the City Council adopted Resolution No. 4493, Resolution of Intention to Levy Business Improvement Assessments for Fiscal Year 2026-27, which set a public hearing for June 25, 2026, in accordance with state law and Chapter 5.10 of the Capitola Municipal Code. Notice of this public hearing was published in the Santa Cruz Sentinel newspaper on June 15, 2026.

The CVWBIA is a business-based, self-imposed City assessment district in which the assessments are paid by business owners within the district boundary for improvements and activities that support and revitalize businesses as well as attract visitors. The assessment amount for each business is based on the business type and may be a flat fee or increasing fee based on the number of full-time equivalent employees. Consistent with the FY 2025-26 adopted assessments, the proposed FY 2026-27 assessments are proposed at the same reduced rates, however, the CVWBIA Advisory Committee has recommended returning to full assessment amounts over the next couple of years. The CVWBIA Non-Profit Board concurs with the recommendation and will be developing a plan to be presented with the FY 2027-28 Annual Plan and Budget.

The billing for City services identified in the CVWBIA plan was based on past agreements. The annual billing rates are $3,000 for Public Works and $4,200 for accounting services. The annual report and budget are included as Exhibit A to Attachment 1.

During the public comment portion of this hearing, written and oral protests may be made pertaining to the proposed levy of assessments, the amount of the proposed assessments, and the proposed improvements and activities in accordance with California Streets & Highways Code §36524 and §36525.

In November 2018, voters approved Measure J, which increased the transient occupancy tax (TOT) from 10 percent to 12 percent. It restricted 20 percent of the TOT increase to be used for local business groups’ marketing and community improvements. In February 2019, City Council directed that restricted TOT funding be split evenly between the Capitola-Soquel Chamber of Commerce and the CVWBIA. City Council also requested that a minimum of 25 percent of restricted TOT revenues be allocated toward community improvements, which may include special events. The proposed CVWBIA budget includes $37,000 of TOT revenues for FY 2026- 27 as well as $10,000 (27%) of the proposed TOT budget is for village enhancement. 220
Item 8 D.

Staff recommends that Council adopt the proposed resolution confirming the Fiscal Year 2026- 27 CVWBIA Assessments and adopting the Annual Plan and Fiscal Year 2026-27 Budget, as received by the Council on June 11, 2026, unless it receives oral and written protests from the owners of businesses that will pay 50 percent or more of the assessments as mandated by state law.

Fiscal Impact: There is no fiscal impact for the City. All administrative costs for billing and collections incurred by the City are reimbursed by the CVWBIA.

Alignment with 2025-2029 Strategic Plan Priority: Accountable Government Attachments:

1. Resolution

2. Exhibit A: BIA
Report Prepared By: Jim Malberg, Administrative Services Director Reviewed By: Julia Gautho, City Clerk; Marc Tran, City Attorney Approved By: Jamie Goldstein, City Manager
221
Item 8 D.

RESOLUTION NO. ___

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPITOLA
CONFIRMING THE FISCAL YEAR 2026-27 CAPITOLA VILLAGE AND WHARF BUSINESS

IMPROVEMENT AREA ASSESSMENTS AND ADOPTING THE ANNUAL PLAN AND FISCAL YEAR 2026-27 CVWBIA BUDGET
WHEREAS, the Capitola Village and Wharf Business Improvement Area (CVWBIA) have prepared a report to the City of Capitola for Fiscal Year 2026-27 pertaining to the Business Improvement Area assessments for the CVWBIA under California Streets and Highways Code §36533; and
WHEREAS, that report was filed with the City Clerk on May 15, 2026; and WHEREAS, Capitola Municipal Code §5.10.050 requires annual assessments to be imposed within the CVWBIA pursuant to a formula set forth in City Council Resolution No. 3453 referenced in Capitola Municipal Code §5.10.030, and later amended by Resolution No. 3546 and Resolution No. 4186; and
WHEREAS, on June 11, 2026, the City Council adopted Resolution No. 4493 stating its intention to levy business improvement assessments for Fiscal Year 2026-27, receiving the Annual Report and Fiscal Year 2026-27 Budget, and approving the CVWBIA Assessment Basis/Business Addresses and Assessment Method; and
WHEREAS, pursuant to Resolution No. 4493 the City Council, in accordance with California Streets and Highways Code Section §36535, held a public hearing on June 25, 2026, as provided for in Streets and Highways Code Sections §36524 and §36525, at which time it considered the annual report, the levy of business improvement assessments for Fiscal Year 2026-27, and received oral and written protests and endorsements to the regularity or sufficiency of the proposed business improvement assessments.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CAPITOLA AS FOLLOWS:

1. The Fiscal Year 2026-27 Capitola Village and Wharf Business Improvement Area Annual Report, including the Fiscal Year 2026-27 budget, as filed with the City Clerk on May 15, 2026, and received by the City Council on June 11, 2026, as part of Resolution No. 4493, is hereby confirmed and adopted.

2. The adoption of this Resolution shall constitute the Fiscal Year 2026-27 levy of assessments provided for in Chapter 5.10 of the Capitola Municipal Code pertaining to the Capitola Village and Wharf Business Improvement Area zone and rate of assessments adopted by the City Council on June 25, 2026.

AYES:

NOES:

ABSENT:

ABSTAIN:
222
Item 8 D.
_____________________________
Margaux Morgan, Mayor
ATTEST:
________________________________
Julia Gautho, City Clerk
223
Item 8 D.

EXHIBIT A
Resolution No.

Annual Report & Proposed Fiscal Year 2026-27 Budget
CVWBIA Assessment Basis
CVWBIA Business Listing and Assessment Method
Mission Statement
The objective of the CVWBIA is to provide a unified organization to promote, stimulate and improve the business conditions in the designated area, primarily during the shoulder season, September – May. The belief is that if the lodging properties and short-term rentals are full, the rest of the businesses in the area will benefit.

This can be achieved by the CVWBIA continuing to fund activities and projects that will:
 Improve access to information regarding the businesses and services provided by the CVWBIA to likely visitors to the area via newsletters, the internet, print and television advertising.
 Provide fun, family-oriented events throughout the year emphasizing the attributes of the Village and Wharf.
 Improve and enhance the appearance of the Village and Wharf in partnership with the City of Capitola.
 Enhance the ability of the CVWBIA to serve as a liaison between the business community and local governments.

In FY 2019-20 CVWBIA began to receive a portion of the Transient Occupancy Tax (TOT) collected by the City and made commitments based on projected TOT revenues. After the Covid closures, CVWBIA dues were reduced by 25%. In January 2023 storm related flooding caused major damage to the wharf and some village businesses. Recovery has moved swiftly and businesses are seeing a return to pre-Covid levels. Assessments will remain at the reduced level for this fiscal year.

As the CVWBIA begins its twenty-first year we will continue to expand successful programs from prior years, which include the following:

1. Website – In 2021-22 the CVWBIA marketing team created a new, up to date, mobile compatible, website (www.capitolavillage.com) for ease of use and connectivity to BIA member’s businesses, lodging and short-term rentals. Each member has a unique page with links to their individual websites. There is a schedule of events and other helpful features. Visitors can sign up on the site to receive newsletters. This process will continue in 2025-26 as technology changes quickly. We will also take advantage of opportunities to direct visitors to our website through QR Codes for special events, parking, and other visitor information.

Visitors can now access members’ website or business phone directly from the BIA website.

Monthly summaries of traffic to the site have shown the businesses the value of the website.

The website is managed by Craig Nunes, Board Member and Volunteer Web Admin.

2. Social Media – Our Communication Team is Opposite of East, Santa Cruz. They create a monthly newsletter, manage all our social media channels and plan new avenues to promote the village. Their blogs and itineraries are shared on social media channels and are available on the website. Our email newsletters are sent to over 24,000 subscribers each month. Our Facebook page has over 29,786 followers with our top 5 cities being: San Jose, Santa Cruz, 224
Item 8 D.

Modesto, Sacramento, and Capitola. This is a 35% increase over last year. Our Instagram has 30,730 active followers, a 24% increase over last year. The purpose of the Communication Team is to collectively promote the Capitola Village businesses and to be a resource for ongoing growth. Our Village Ambassador continues to develop relationships with our members to facilitate sharing their promotions and announcements. She also creates spotlight features of business owners for the website.

3. Advertising – While placing an emphasis on our social media development, there is still a need for carefully placed advertising in quality visitor publications. In addition to our ongoing Hulu campaign, this holiday we launched a campaign on KSBW to capture the local and near local customer. In 2026-27 the BIA will be producing a high-quality video which can be used on social media and modified for TV commercials.

4. Village Brochures – We print 25,000 brochures and distribute them throughout Santa Cruz County. A new addition to the brochure is a QR Code taking the visitor directly to our website.

Many visitors depend on their phones to access information while traveling.

We contract with Certified Display Service. This company has exclusive rights to lobby racks in hotels, resorts, and visitor centers in the county. These brochures are also available in various places of business throughout the Village and Wharf. We feel it is important to make visitors to other areas in the county aware of Capitola Village and Wharf through these brochures. Additionally, there are distribution locations at the Gilroy Visitors Center on Hwy 101, San Jose Airport, and the Monterey Airport.

5. Branding and Logo Development – In 2025-26 a new logo and color palate was created by our marketing team, Opposite of East. These are being integrated into all marking materials, our website and brochure.

6. Sip and Stroll & Cookie Walk – These events benefit all the businesses in the village. We hold Sip and Stroll events in November, February and May. The Cookie Walk is familyoriented and takes place the weekend after Thanksgiving.

7. Winter Festivities – Window decorating contest, lighted wreaths and palm trees are components of the winter festivities, In 2025-26 we held our first Holiday Extravaganza with palm tree lighting accompanied by cookies and hot chocolate from Shadowbrook and Gayles, community caroling throughout the village, the annual VW Christmas parade and late-night shopping.
225
Item 8 D.

8. Public Works and Village Enhancement – The CVWBIA contributes annually to the City of Capitola Public Works Department. Our contribution is used to help maintain the Village and Wharf. This year we are concentrating on landscaping and cleanliness of the village both in public spaces and private planting areas. The BIA has been instrumental in providing and maintaining parking signage for Long Term Parking in Lots 1 & 2. For 2026-27 we are developing a directory to be placed in the village featuring mosaic art by the artists who created the mosaics for the wharf.

Assessment Basis
The method of assessment classifies businesses within the CVWBIA boundaries into nine categories:

1. Retail / Service businesses

2. Restaurant - Full Bar

3. Restaurant - Beer and Wine

4. Restaurant - No Alcohol

5. Wine/Beer Service

6. Seasonal Food Service

7. Office and Professional businesses / Specialty

8. Short-term Rental businesses

9. Hotel / Motel / Inn businesses
Assessment fees are assigned to these nine business categories by the number of full-time equivalent employees, a flat rate, and a per unit amount. Registered non-profits are exempt from assessment fees.

The following table shows the assessment fees for the proposed CVWBIA for FY 2026-27 at same level as last fiscal year.

Number of Full-Time Equivalent
Employees*
Business Category 0 – 5
employees
6 – 10
employees
More than
10 employees
Retail / Service $315 $630 N/A
Restaurant Full Bar N/A $720 $1,080
Restaurant Beer and Wine $367.50 $682.50 $1,042.50
Restaurant No Alcohol $315 $630 N/A
Flat Fee
Wine/Beer Service $315
Office / Professional / Specialty $90
Short-term Rental** $135
Seasonal Food Service $210
Per Unit Fee
Hotel / Motel / Inn $180 per unit
226
Item 8 D.

Footnote* “Full-time employee” is an employee who works 2,000 hours per year or more.

Multiple part-time employees are combined into a single full-time employee for the basis of this assessment calculation. (i.e. “fulltime equivalents”)
Footnote** “Short-term rental” businesses are defined as those dwellings which, at least once per fiscal year, are rented to a tenant for a tenancy of less than thirty days.

Associate Membership. CVWBIA is authorized to accept “associate membership” financial contributions from businesses outside the CVWBIA with approval of the board. The category and assessment will be the same as if the business is within the CVWBIA area.

New Business Assessment. Assessments will be prorated by the quarter in which a business opens.

Business Closing. A business notifying the CVWBIA before the end of the first quarter of the fiscal year (September 30th) that it will close before December 31st will be exempt from paying the assessment for that fiscal year. If the business does not close before December 31st, it must pay the year's assessment in full.

Late Charge. No late charge will be assessed with the FY 20256-26 dues.

Delinquencies. CVWBIA has a clear policy relative to delinquent assessments. Businesses that have not paid their assessment by October 31, 2025, will be removed from the CVWBIA website and brochure. They will be ineligible to participate in any CVWBIA activity. Assessments that have not been paid by January 31, 2026, may be sent to collections. 227
Item 8 D.

Capitola Village & Wharf Business Improvement Area Estimated Actual for FY 2024-25, Adopted FY 2025-26 and Proposed Budget for FY 2026-27 228
Item 8 D.

Capitola Village & Wharf Business Improvement Area
Budget Discussion
The CVWBIA will begin the Fiscal Year 2026-27 with an estimated fund balance of $5,000.

Revenues: The proposed revenue is derived from the CVWBIA business roster and corresponding assessment rates.

Expenditures:

Summary. The proposed expenditures are divided into these categories: Administration $16,800 City Services $7,200, Marketing & Village Enhancement $89,100, and Special Events $32,000.

The following is a roster of open businesses in the assessment area as of June 1, 2026 Capitola Village & Wharf Business Improvement Area
Business Listing and Assessment Method
Business Type Assessment Method Estimate Assessment
AM = Associate Member Associate Member AM $450
F1 = Restaurant Full Bar Per employee category: 6-10 EEs, >10 EEs F1 $7,200 F2 = Restaurant Beer & Wine Per employee category: 0-5 EEs, 6-10 EEs, >10 EEs F2 $2,888 F3 = Restaurant No Alcohol Per employee category: 0-5 EEs, 6-10 EEs F3 $3,465 F4 = Wine & Beer Service Flat fee F4 $1,575
F5 = Seasonal Food Flat fee F5 $210
H = Hotel/Motel/Inn Flat fee per unit or room H $9,360
O = Office/Professional Flat fee O $1,620
R = Retail/Service Per employee category: 0-5 EEs, 6-10 EEs R $12,915 SR = Short Term Rental Flat fee per unit SR $14,175
Total $53,857
Active Members
Business Name Type Est Size FY26-27 Dues
Paradise Beach Grille F1 11+ $1,080.00
Shadowbrook Restaurant F1 11+ $1,080.00
Zelda's F1 11+ $1,080.00
Britannia Arms Pub & Rest. F1 0 - 10 $720.00
Bay Bar and Grill F1 0-10 $720.00
The Sand Bar F1 0 - 10 $720.00
Margaritaville F1 11+ $1,080.00
Pete's Capitola F1 0-10 $720.00
El Toro Bravo F2 0 - 5 $367.50
Thai Basil F2 0 - 5 $367.50
My Thai Beach / Sea Side Siam F2 0 - 5 $367.50
Caruso's Tuscan Cuisine F2 0 - 5 $367.50
Avenue Café F2 0 - 5 $367.50
Tacos Moreno 3 F2 0 - 5 $367.50
Trestles Restaurant F2 6 - 10 $682.50
Mr. Toots Coffee & Tea F3 0 - 5 $315.00
Pizza My Heart F3 6 - 10 $630.00
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Item 8 D.

Castagnola Deli & Café F3 0 - 5 $315.00
Polar Bear Ice Cream F3 6 - 10 $630.00
Mijos Taqueria F3 0 - 5 $315.00
Sandcastle Café F3 0 - 5 $315.00
Schneider Consulting LLC dba Boba Bay F3 0 - 5 $315.00
La Marea Café F3 0-5 $315.00
Sandy Scoops F3 0-5 $315.00
Armida Winery F4 $315.00
Capitola Tap House F4 $315.00
Brewtopia 831 F4 $315.00
Vin Vivant F4 $315.00
Cocoa Vino F4 $315.00
Left Coast Sausage Worx F5 $210.00
Venetian Hotel H 19 $3,420.00
Capitola Beach Suites H 10 $1,800.00
Inn at Depot Hill H 13 $2,340.00
Capitola Hotel H 10 $1,800.00
David Lyng & Associates O $90.00
Katz & Lapides O $90.00
Michael Lavigne Real Estate O $90.00
Newman & Marcus, LLP O $90.00
Suess Insurance Agency O $90.00
Latta O 0 - 5 $90.00
Ted Mendoza and Lisa Salinero Real Estate O $90.00
Law Offices of Sam Storey O $90.00
John H. McSpadden O $90.00
Miles J. Dolinger, Attorney at Law O $90.00
Art of Energy (Visions by Sheena) O $90.00
Capitola Village Massage O $90.00
Yellow Bus O $90.00
Monet Salon O $90.00
Community CPA O $90.00
Bare Skin & Body O $90.00
Andren Homes Property Management O $90.00
Wisemen Construction O $90.00
JFS Inc. dba Capitola Boat & Bait R 0 - 5
Big Kahuna Hawaiian Shirts R 0 - 5 $315.00
Craft Gallery R 0 - 5 $315.00
Craft Gallery Annex R 0 - 5 $315.00
Euphoria Rio Mix R 0 - 5 $315.00
Hot Feet R 0 - 5 $315.00
Kickback R 0 - 5 $315.00
Nubia Swimwear R 0 - 5 $315.00
Oceania R 0 - 5 $315.00
230
Item 8 D.

Phoebe's R 0 - 5 $315.00
Rainbow City Limit R 0 - 5 $315.00
Slap Happy R 0 - 5 $315.00
Super Silver R 0 - 5 $315.00
Sweet Asylum R 0 - 5 $315.00
Yvonne R 0 - 5 $315.00
Parking at the Mercantile R 0 - 5 $315.00
Parking at the Theater R 0 - 5 $315.00
Lumen Gallery R 0 - 5 $315.00
Capitola Reef R 0 - 5 $315.00
Art Inspired R 0 - 5 $315.00
Sea Level T's R 0 - 5 $315.00
Vanity by the Sea R 0 - 5 $315.00
Xandra Swimwear R 0 - 5 $315.00
Quality Market R 0 - 5 $315.00
Capitola Seashells R 0 - 5 $315.00
Pueblo Viejo Imports R 0 - 5 $315.00
Ethos Santa Cruz R 0 - 5 $315.00
Tony Pagliaro Photography R 0 - 5 $315.00
Mercantile Arcade R 0 - 5 $315.00
Carousel Taffy & Treats R 0 - 5 $315.00
Capitola Candy Company R 0 - 5 $315.00
Santa Cruz Apparel R 0 - 5 $315.00
Capitola Paws R 0 - 5 $315.00
Katalina’s Boutique LLC R 0 - 5 $315.00
Clementine & Co. R 0 - 5 $315.00
Sun Drop R 0 - 5 $315.00
Brilliant Stones Jewelry R 0 - 5 $315.00
Surf Haus R 0-5 $315.00
The Chocolate Market Place R 0-5 $315.00
Jules Street Boutique R 0-5 $315.00
Mona Liza Art R 0-5 $315.00
Cove Lifestyle Boutique R 0-5 $315.00
Capitola Pelican House SR 1 $135.00
Capitola Venetian #5 SR 1 $135.00
Capitola Venetian #14 SR 1 $135.00
Capitola Venetian #8 SR 1 $135.00
Capitola Beach Bungalow SR 1 $135.00
Capitola Beach Cottage SR 1 $135.00
Capitola Cliffs Unit 3 SR 1 $135.00
Beach Bliss SR 1 $135.00
Relaxing Family Condo by the River SR 1 $135.00
Bridgepoint Bungalow SR 1 $135.00
Capitola Cliffs Unit 4 / Begonia Beach Cottage SR 2 $270.00 231
Item 8 D.

Capitola Venetian Unit 3 SR 1 $135.00
Capitola Venetian #1 SR 1 $135.00
Capitola Venetian #20 SR 1 $135.00
Capitola Cliffs #4960-2 SR 1 $135.00
Capitola Venetian #11 SR 1 $135.00
Beach Charmer SR 1 $135.00
Capitola Venetian #2 SR 1 $135.00
Castillo Properties SR 2 $270.00
Capitola Cliffs Unit #1 SR 1 $135.00
Deborah Cohen SR 1 $135.00
Bayside Capitola Beach Condo SR 1 $135.00
Capitola Vista #1 SR 1 $135.00
Capitola Vista #2 SR 1 $135.00
Capitola Vista #3 SR 1 $135.00
Capitola Vista #4 SR 1 $135.00
Capitola Sea Spray SR 1 $135.00
Creekside Cottage SR 1 $135.00
Capitola Cherry Ave SR 1 $135.00
Luxurious Historic Windmill Silo House SR 2 $270.00
Grandma's Nest Capitola Venetian #9 SR 1 $135.00
CV Retreat with Garage SR 1 $135.00
Capitola Seashell Sanctuary Units A and B SR 2 $270.00
Vista Cortile Condo SR 1 $135.00
Capitola Village Deco Beach House SR 1 $135.00
Capitola Venetian #16 SR 1 $135.00
Capitola Breeze Condo & Seaview Condo SR 2 $270.00
Capitola Riverview #421 SR 2 $270.00
Capitola Riverview #323 SR 1 $135.00
An Iconic Oceanfront Pink Venetian SR 1 $135.00
114 - 116 Lawn Way LLC SR 2 $270.00
Capitola Village Retreat Units A & B SR 2 $270.00
Capitola Cliff House SR 1 $135.00
208 Monterey Ave #A SR 1 $135.00
James Lin SR 1 $135.00
Urban Chic Living / Life is Better at Capitola Beach SR 2 $270.00 Capitola Oceanside SR 1 $135.00
Capitola Dreamin' SR 1 $135.00
Capitola Riverview #402 SR 1 $135.00
Capitola Riverview #310 SR 1 $135.00
Capitola Riverview #312 SR 1 $135.00
Oceanside Dream Beach House SR 1 $135.00
Capitola Trestles #5 SR 1 $135.00
Paradise Properties Capitola Village #321-B SR 1 $135.00 Bombora LLC Capitola Village #419 SR 2 $270.00
232
Item 8 D.

Colorful Capitola Village Cottage Unit A & Unit B SR 2 $270.00 Capitola Riverfront Home with Parking SR 1 $135.00
Surf Loft SR 1 $135.00
425 Capitola Ave SR 1 $135.00
Beach Getaway in the Heart of CV / Brand New Luxury
CV Home
SR 2 $270.00
CV Condo, Dog Friendly, Free Parking SR 1 $135.00
CV Home with Parking Spot SR 1 $135.00
Riverview Retreat (A) / Oceanview Oasis (B) SR 2 $270.00 Capitola Hideaway SR 1 $135.00
Capitola Sands SR 1 $135.00
Kohala Properties 831 SR 1 $135.00
109 Monterey Avenue#9 SR 1 $135.00
Capitola Village Bungalow SR 1 $135.00
Capitola Village Hideaway SR 1 $135.00
321 Riverview Ave. SR 1 $135.00
Capitola Seaglass Cottage SR 1 $135.00
222 San Jose Ave. SR 1 $135.00
201 Monterey Avenue Suite 2 SR 1 $135.00
Lawn Way SR 1 $135.00
206 1/2 California Ave. SR 1 $135.00
108 Park Place Unit B SR 1 $135.00
1532 Wharf Rd SR 1 $135.00
210 Stockton Ave. Unit B SR 1 $135.00
318 Capitola Ave. #3 SR 1 $135.00
321 Capitola Ave. SR 1 $135.00
327 Riverview Ave. Unit B SR 1 $135.00
4960 Cliff Dr. #1 SR 1 $135.00
502 Beulah Dr. SR 1 $135.00
206 Stockton Ave SR 1 $135.00
306 Riverview Ave. SR 1 $135.00
304 Riverview Ave. SR 1
109 Monterey Avenue#2 SR 1 $135.00
Capitola Monterey 109-3 SR 1 $135.00
109 Monterey Ave. #6 SR 1 $135.00
Capitola Monterey 109-10 SR 1 $135.00
212 Stockton Ave. SR 1 $135.00
The Capitola Cottage SR 1 $135.00
427 Riverview Ave Unit C SR 1 $135.00
Capitola Dreaming SR 1 $135.00
Associate Members
Fuse Architects O $90.00
Surf City Properties O $90.00
O'Neal Properties O $90.00
233
Item 8 D.

Beach Nest Vacation Rentals O $90.00
Kendall and Potter Property Management O $90.00
234
Item 8 D.

CAPITOLA

VILLAGE

AND WHARF

BUSINESS

IMPROVEMENT
AREA

ASSESSMENTS
FY 2026-27
June 25, 2026
235
Item 8 D.

Background
■ June 23, 2005 - City Council adopted Ordinance
No. 889 establishing Capitola Village & Wharf
Business Improvement Area (BIA)
■ BIA is a business-based, self-imposed
assessment district with assessments paid by
businesses within district for improvements &
activities that support, revitalize and attract
tourists to those businesses
■ Assessment amounts are determined by
business classification and number of full-time
equivalent employees
– Assessed at 75% maximum allowable
– Reduced by 50% for Hotels & Lodging
■ Consistent with prior years
236
Item 8 D.

Two Different CVWBIA Groups
Advisory Committee
■ Established May 2005
■ Council adopted bylaws &
appointed members on
July 24, 2025
■ Role: Recommend (to
Council) on the
expenditure of revenues
derived from the levy of the
business assessments and
other matters related to the
assessments
Non-Profit
■ 501c(3) Nonprofit
Organization
■ City last signed contract
with nonprofit BIA in
2019
■ Role: Dedicated to
marketing & improving
Capitola Village
■ Staff recommends new
contract with nonprofit
BIA to carry out services
aligned with the
Advisory Committee
recommended budget
237
Item 8 D.

Annual
Assessment
Process
June 11, 2026 - City Council set a public hearing
for June 25, 2026
• Notice of Public Hearing published in Santa Cruz
Sentinel and mailed to affected business owners
California State Law & the Capitola Municipal
Code require that Council conduct a public
hearing annually prior to approving assessments
• BIA Advisory Body recommends an annual plan and
budget for Council approval
• Recommend returning to full assessment amounts
over the next couple of years
No fiscal impact to the City – all services
provided by City are reimbursed by BIA
• Public Works Dept.: $3,000
• Finance Dept.: $4,200 238
Item 8 D.

Annual Assessment Process (cont.)
■ Recommended nonprofit BIA budget/scope of
work includes Assessment revenue as well as
Restricted Transient Occupancy Tax (TOT)
revenue
– Measure J approved by voters in 2018 dedicated
a portion of TOT revenues for local business
groups
– February 28, 2019, Council directed that TOT
revenues restricted for local business groups be
split evenly between nonprofit BIA and Capitola
Soquel Chamber of Commerce
■ Requiring a minimum of 25% of restricted TOT
revenue be allocated for Village improvements
and/or enhancements
■ Restricted TOT revenue and its uses need to be
presented separately with annual budget
239
Item 8 D.

Annual Assessment Process (cont.)
■ FY 2026-27 Scope of Work (Budget)
– Assessment & TOT Revenue: $91,000
■ Communication Manager: $39,600
■ Village Enhancements: $10,000
■ Website management: $7,000
■ Ambassador: $7,000
■ Directories printing: $3,500
■ Holidays & Events: $4,000
■ Video photo production: $5,000
■ Storage Unit: $2,000
■ City Accounting: $4,200
■ City Public Works: $3,000
240
Item 8 D.

Proposed Assessments
Number of Full-Time Equivalent
Employees*
Business Category 0 – 5
employees
6 – 10
employees
More than
10 employees
Retail / Service $315 $630 N/A
Restaurant Full Bar N/A $720 $1,080
Restaurant Beer and Wine $367.50 $682.50 $1,042.50
Restaurant No Alcohol $315 $630 N/A
Flat Fee
Wine/Beer Service $315
Office / Professional / Specialty $90
Short-term Rental $135
Seasonal Food Service $210
Per Unit Fee
Hotel / Motel / Inn $180 per unit 241
Item 8 D.

Recommended
Action
■ Adopt Resolution levying FY
2026-27 Capitola Village and
Wharf Business Improvement
Area Assessments and
accepting BIA Annual Plan and
Budget
■ Authorize contract with
nonprofit BIA in amount NTE
$91,000
242
Item 8 D.

Capitola City Council
Agenda Report
Meeting: June 25, 2026
From: City Manager Department
Subject: City-Owned Property Leasing Policy
Recommended Action: Consider a policy to establish a standard frequency to issue requests for proposals for the lease of City-owned property and outlining the process for the lease of City-owned property.

Background: Developing an overall policy to help govern City leases was a City Council goal for Fiscal Year 2024-2025. This report and attached draft policy were prepared and published for the June 26, 2025, City Council Meeting. During that meeting, City Council voted to continue the item. On April 23, 2026, the Council deliberated an item approving the Capitola Wharf Master Plan and asked staff to return with the policy for the leasing of City-owned property. The policy draft is the same as originally published on June 20, 2025.

The City of Capitola currently holds three leases with business owners for the commercial use of Cityowned property:

Lease Holder/Business Summary of
Service
Provided
City-Owned Property Expiration
Capitola Boat and Bait Bait and tackle
shop, seasonal
moorings, water
taxi
Temporary structures on
Capitola Wharf
December 31, 2026
Capitola Beach Company Seasonal surf
lessons, beach
equipment rentals
256 square feet of
Esplanade Park
November 30, 2027
Café Lido (Brittania Arms) Patio dining Area adjacent to restaurant and
Esplanade Park
Month-to-month since
2018
The City has also entered a 99-year lease with the County of Santa Cruz (and sublessee Santa Cruz Public Libraries) for the City library building. As the building was purpose-built for library services, provided by the Santa Cruz Public Library system JPA, the City negotiated directly with the County rather than use an RFP process to solicit interest or award a lease.

The general reason to lease City-owned property is to allow purpose-driven and expert business owners to provide public services that the City is unable or unsuited to provide; for example, a restaurant housed in a City-owned building or a recreation activity provider stationed in a public park. All leases of City property must be approved by City Council in open session.

No formal policy currently exists to regulate the process and procedure for leasing City-owned property.

As requested by Council, the proposed policy (Attachment 1) outlines a standard for the advertisement of leasing opportunities and the selection of lessees to ensure transparency, alignment with community interests, and responsible management of public assets. 243
Item 8 E.

Staff reviewed existing policies from the cities of Oceanside and Monterey and the City and County of San Francisco, as well as current and best practices.

The proposed policy includes language to allow Council to approve leases with nonprofits and public agencies without following an RFP process.

Discussion: The draft City-Owned Property Leasing Policy establishes a comprehensive framework to guide the leasing of City-owned properties in a transparent, consistent, and community-aligned manner.  Lease Approval and Selection: All leases must be approved by the City Council. Competitive processes, such as Requests for Proposals (RFPs), are recommended unless otherwise deemed appropriate and in the best interest of the City by the City Council. Situations where the Council may negotiate directly are included in the proposed policy, such as if an investment of $1 million or more is being made in the facility, when considering a lease with a non-profit or partner agency, or when considering property directly adjacent/connected to private property where business is operated.
 Fair Market Value: Lease terms must reflect fair market value and include provisions for rent escalation, maintenance, and insurance, except as authorized by Council.  Lease Duration: Staff is seeking Council direction to determine the regularity of the RFP process for the use of City-owned property. In general staff suggests the Council consider establishing a standard period of between 5-10 years, with exceptions for structures that require an investment of a minimum of $1 million dollars and developed for a specific use, or if a property is physically connected to a commercial use, and any non-affiliated or unrelated use of the property is inconsistent with its intended purpose.
 Auditing and Compliance: Leases will be audited annually by the City Manager’s Office. An inspection schedule and annual reporting to the Council are recommended to monitor lease compliance.

Staff requests that Council provide feedback on the frequency of RFP and minimum investment amount, and align the requirements with Administrative Policy I-36, the Outdoor Dining Program.

Administrative Policy I-36: Village Outdoor Dining Program: Although the Outdoor Dining Program is separate from the City’s formal leasing structure, the City Council requested the program be considered with a City leasing policy, to ensure consistency with the goal of managing public land use equitably and transparently. The Outdoor Dining Program, authorized by the Coastal Commission, allows private businesses to temporarily use public right-of-way or public property (such as parking spaces) for outdoor dining purposes so long as they have a City-issued permit.

Staff recommends that Administrative Policy I-36 be revised (proposed revisions included in Attachment 2) to utilize the same standard number of years as identified in the leasing policy to reallocate spaces if the program reaches the maximum number of permits, with the goal of allowing others the opportunity to participate in the program if all the spaces are eventually filled. The initial three-year period for the Village Outdoor Dining Program will expire in late 2026; staff will bring options to consider a program extension to City Council for consideration in Fall 2026.

Fiscal Impact: There is no fiscal impact associated with the recommended action. In 2025, the City of Capitola received approximately $16,800 in rent due to the leased property detailed in this report.

Attachments:

1. Administrative Policy: City-Owned Property Leasing- Proposed Draft

2. Administrative Policy I-36: Village Outdoor Dining Program- revised December 9, 2021 Report Prepared By: Chloé Woodmansee, Assistant to the City Manager Reviewed By: Julia Gautho, City Clerk;
Approved By: Jamie Goldstein, City Manager
244
Item 8 E.

ADMINISTRATIVE POLICY
Number:

Issued:

Jurisdiction: City Council

CITY-OWNED PROPERTY LEASING
I. PURPOSE
The purpose of this policy is to establish clear guidelines for the leasing of City-owned properties to balance the City’s financial interests with community benefits, ensuring the responsible and equitable management of publicly owned assets.

II. LEASING OBJECTIVES
The City’s objectives in leasing property include:
a. Generating fair market revenue to support City services. b. Supporting economic opportunity and public benefits. c. Ensuring responsible stewardship of public assets.

III. CRITERIA FOR LEASE
City-owned property may be leased when any of the following criteria are met:
a. The property is in a high-demand public location where public services can be provided by a lessee other than the City more efficiently. b. Lease of the property would enhance the growth of long-term revenue sources. c. The City has a future use, but no immediate need, for the property. d. The property is adjacent to commercial use.
e. The property has been explicitly developed or renovated for non-City use. f. The City requires substantial control over development, use, and reuse of the property to enhance the planned development of that particular area. g. The property has the immediate potential of a high return to the City because of its high demand and type of use, such as commercial building. h. The City Council determines it is in the City’s best interest to lease the property.

I. LEASE APPROVAL PROCESS
All leases of City property shall be subject to approval by the City Council. Unless the Council determines otherwise, competitive processes, such as Requests for Proposals (RFPs), shall be used to solicit interest. The City may negotiate leases to non-profits and public agencies directly. The City Council may consider the below factors in selecting a lessee:
a. Rent or improvements that will produce the highest return to the City. b. Whether the lessee possesses the financial ability to develop and maintain the property over the term of the lease at the property’s highest level. c. Whether the lessee possesses a high level of expertise regarding the proposed development and operation.
245
Item 8 E.
d. Proposals for a development whose appearance and design meets the City's land use and development criteria.
e. Public benefits to be derived, including:
i. Services available to the public;
ii. Public open space;
iii. Public infrastructure;
iv. Pedestrian and bicycle facilities;
v. Low-cost visitor-serving amenities; and
vi. Increased transportation options.
f. Other considerations identified by the Council as in the best interest of the City.

II. LEASE TERMS AND CONDITIONS
a. Commercial lease terms shall reflect fair market value, determined through appraisal, comparative market analysis, or RFP process, unless otherwise deemed appropriate and in the best interests of the City by the City Council. b. Standard lease terms shall include property maintenance, applicable insurance requirements and, where appropriate, rent escalations.
c. Leases will not include provisions that allow for automatic extension or renewal without authorization by the City Council.
d. The longest term lease the City will enter is ___ years. Leases shall be subject to an RFP process at least every ___ years , subject to the following exceptions:
i. The property includes a structure of at least $1 million dollars developed for a specific use.
ii. The property is physically connected to a commercial use, and any nonaffiliated or unrelated use of the property is inconsistent with its intended purpose.
iii. Outdoor dining permitted pursuant to the Village Outdoor Dining Program (Policy I-36), which shall be governed by the terms of that policy. iv. This provision shall not affect leases in effect as of the adoption of this policy, during their current terms.

III. COMPLIANCE WITH LEASE PROVISIONS & TRANSPARENCY
The City reserves the right to audit leases as warranted by the City Manager. a. The City Manager or designee, in partnership with the Community Development Department, may establish an inspection schedule to ensure compliance with lease provisions, such as adherence to the lease area.
b. City staff will present an annual report summarizing the status of all City-owned property leases, revenue generated, and audit findings to the City Council. c. Current lease agreements shall be published on the City website.

IV. CONFLICTS OF INTEREST
City staff involved in lease negotiations must adhere to all applicable State laws regarding conflicts of interest.
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Item 8 E.

ADMINISTRATIVE POLICY

VILLAGE OUTDOOR DINING PROGRAM
I. PURPOSE
The purpose of this policy is to define the rules, regulations and conditions of an outdoor dining program on City right of way in the Central Village (MU-V Zoning District). The program allows eligible Village eating and drinking establishments to construct, operate, and maintain outdoor dining areas within on-street parking spaces, designated sidewalk areas, and specific areas on the Capitola Wharf.

This Administrative Policy is authorized under Capitola Municipal Code Section 17.96.170.F II. POLICY
General Requirements. All outdoor dining areas shall be operated in conformance with the regulatory requirements of the Americans with Disability Act (ADA), California Building Code, California Department of Alcoholic Beverage Control, Santa Cruz County Environmental Health Department and all other applicable City, County, State and Federal laws. Capitola Municipal Code Section 17.96.170 Outdoor Dining in the Public Right of Way establishes the standards and permit requirements for outdoor dining within the public right of way. Section III of this policy is an overview of the municipal code requirements.

Authorized Streets & Sidewalk Areas. In Capitola Village (MU-V Zoning District), outdoor dining in the public right of way is permitted in the following areas:

Public Parking Spaces: Esplanade, Monterey Avenue, Capitola Avenue, San Jose Avenue Sidewalk Areas: Monterey Avenue
Capitola Wharf: Immediately adjacent to the restaurant (Code section 17.96.170.C) Maximum Number of On-Street Parking Space. The maximum number of public parking spaces that can be utilized for outdoor dining is 25. (Code section 17.96.170.D) Public parking spaces utilized for the in-lieu bicycle parking shall count toward the maximum of 25 spaces.

Size Limitation of Individual Outdoor Dining Areas. No outdoor dining area shall occupy more than five public parking spaces or 900 square feet of street, sidewalk, or area on Capitola Wharf.

Good Standing. An applicant must be in good standing to apply for a permit for outdoor dining.

For purposes of this section, “good standing” shall mean that within the twenty-four months directly preceding submission of a complete application for an Administrative Permit or Design Number: I-36
Revised: 12/9/2021
Issued: 10/28/2016
Jurisdiction: City Council
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Item 8 E.

Administrative Policy I-36
Village Outdoor Dining Program

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Capitola City CouncilJune 25, 2026

Capitola City Council
June 25, 2026