Agenda packet — WestLight Energy Board of Directors, July 28, 2022 (part 1 of 4)

2075 Woodside Road | Redwood City, CA 94061
(650) 260-0005 | peninsulacleanenergy.com
Regular Meeting of the Board of Directors of the
Peninsula Clean Energy Authority (PCEA)
AGENDA
Thursday, July 28, 2022
6:30 p.m.

Zoom Link: https://pencleanenergy.zoom.us/j/82688645399 Meeting ID: 826-8864-5399 Passcode: 2075 Phone: +1(346)248-7799 NOTE: Please see attached document for additional detailed teleconference instructions.

In accordance with AB 361, the Board will adopt findings that meeting in person would present imminent risks to the health or safety of attendees of in-person meetings. Consistent with those findings, this Board Meeting will be held remotely. PCEA shall make every effort to ensure that its video conferenced meetings are accessible to people with disabilities as required by Governor Newsom’s March 17, 2020 Executive Order N-29-20. Individuals who need special assistance or a disability-related modification or accommodation to participate in this meeting, or who have a disability and wish to request an alternative format for the meeting materials should contact Nelly Wogberg, Board Clerk, at least 2 working days before the meeting at [email protected]. Notification in advance of the meeting will enable PCEA to make best efforts to reasonably accommodate accessibility to this meeting and the materials related to it.

If you wish to speak to the Board of Directors, please use the “Raise Your Hand” function in the Zoom platform or press *6 if you phoned into the meeting. If you have anything that you wish to be distributed to the Board of Directors and included in the official record, please send to [email protected].

CALL TO ORDER / ROLL CALL

PUBLIC COMMENT
This item is reserved for persons wishing to address the Committee on any PCEA-related matters that are not otherwise on this meeting agenda. Public comments on matters listed on the agenda shall be heard at the time the matter is called. Members of the public who wish to address the Board are customarily limited to two minutes per speaker. The Board Chair may increase or decrease the time allotted to each speaker.

ACTION TO SET AGENDA AND TO APPROVE CONSENT AGENDA ITEMS

1. Adopt Findings Pursuant to AB 361 to Continue Fully Teleconferenced Board Meetings Due to Health Risks Posed by In-Person Meetings

2. Approval of the Minutes for the June 23, 2022 Board of Directors Meeting

3. Approval of An Amendment to The Existing Retention Agreement with the Law Firm of Keyes & Fox LLP Increasing the Amount By $250,000 for a Total Not-To-Exceed Amount of $650,000

4. Approval of a Modification of the E-Bikes For Everyone Program Budget, Increasing the Amount by $150,000 for a Total Not-to-Exceed Amount of $690,000 1 5. Approval of the Revised Employee Handbook

6. Authorize Execution of an Agreement Between Peninsula Clean Energy and Maher Accountancy for the Period of July 1, 2022 Through June 30, 2023 in an Amount Not-to-Exceed $243,750

REGULAR AGENDA

7. Chair Report (Discussion)

8. CEO Report (Discussion)

9. Citizens Advisory Committee Report (Discussion)

10. Update on the Diversity, Equity, Accessibility and Inclusion (DEAI) project (Discussion)

11. Authorize the Chief Executive Officer to Execute Necessary Agreements with California Community Power and Participating Community Choice Aggregators for Renewable Resources from Ormat Nevada Inc. and Open Mountain Energy, LLC in amounts not to exceed and terms as follows: (a) Ormat (term 20 years and not to exceed 405 million dollars); and (b) Open Mountain (term 20 years and not to exceed 41 million dollars) (Action)

12. Summary of Findings from Annual Awareness/Perception Research (Discussion)

13. Electrification Messaging: Update on Research and Implications (Discussion)

14. Board Members’ Reports (Discussion)

INFORMATIONAL REPORTS

15. Update on Marketing, Outreach Activities, and Account Services

16. Q2 Media Relations Report

17. Update on Regulatory Policy Activities

18. Update on Legislative Activities

19. Update on Community Energy Programs

20. Update on Energy Supply Procurement
2 21. Industry Acronyms and Terms

ADJOURNMENT
Public records that relate to any item on the open session agenda are available for public inspection. The records are available at the Peninsula Clean Energy offices or on PCEA’s Website at: https://www.peninsulacleanenergy.com. 3 Instructions for Joining a Zoom Meeting via Computer or Phone Best Practices:
• Please mute your microphone when you are not speaking to minimize audio feedback • If possible, utilize headphones or ear buds to minimize audio feedback • If participating via videoconference, audio quality is often better if you use the dial-in option (Option 2 below) rather than your computer audio
Options for Joining
A. Videoconference with Computer Audio – see Option 1 below B. Videoconference with Phone Call Audio– see Option 2 below C. Calling in via Telephone/Landline – see Option 3 below Videoconference Options:

Prior to the meeting, we recommend that you install the Zoom Meetings application on your computer by clicking here https://zoom.us/download.

If you want full capabilities for videoconferencing (audio, video, screensharing) you must download the Zoom application.

Option 1 Videoconference with Computer Audio:

1. From your computer, click on the following link that is also included in the Meeting Calendar Invitation: https://pencleanenergy.zoom.us/j/82688645399

2. The Zoom application will open on its own or you will be instructed to open Zoom.

3. After the application opens, the pop-up screen below will appear asking you to choose ONE of the audio conference options. Click on the Computer Audio option at the top of the pop-up screen.

4. Click the blue, “Join with Computer Audio” button.

5. In order to enable video, click on “Start Video” in the bottom left-hand corner of the screen. This menu bar is also where you can mute/unmute your audio.

Option 2 Videoconference with Phone Call Audio:
4 1. From your computer, click on the following link that is also included in the Meeting Calendar Invitation: https://pencleanenergy.zoom.us/j/82688645399

2. The Zoom Application will open on its own or you will be instructed to Open Zoom.

3. After the application opens, the pop-up screen below will appear asking you to choose ONE of the audioconference options. Click on the Phone Call option at the top of the pop-up screen.

4. Please dial +1(346)248-7799

5. You will be instructed to enter the meeting ID: 826-8864-5399 followed by #

6. You will be instructed to enter in your participant ID. Your participant ID is unique to you and is what connects your phone number to your Zoom account

7. After a few seconds, your phone audio should be connected to the Zoom application on your computer

8. In order to enable video, click on “Start Video” in the bottom left-hand corner of the screen. This menu bar is also where you can mute/unmute your audio
Audio Only Options:

Please note that if you call in/use the audio only option, you will not be able to see the speakers or any presentation materials in real time.

Option 3: Calling in via Telephone/Landline:

1. Dial +1(346)248-7799

2. You will be instructed to enter the meeting ID: 826-8864-5399 followed by #

3. You will be instructed to enter your Participant ID followed by #. If you do not have a participant ID or do not know it, you can press # to stay on the line

4. You will be instructed to enter the meeting passcode 2075 followed by # 5 Item No. 1

PENINSULA CLEAN ENERGY AUTHORITY
JPA Board Correspondence
DATE: July 15, 2022
BOARD MEETING DATE: July 28, 2022
SPECIAL NOTICE/HEARING: None
VOTE REQUIRED: Majority Present
TO: Honorable Peninsula Clean Energy Authority Board of Directors FROM: Jan Pepper, Chief Executive Officer, Peninsula Clean Energy Authority SUBJECT: Resolution to Make Findings Allowing Continued Remote Meetings Under Brown Act
RECOMMENDATION: ..titl e
Adopt a resolution finding that, as a result of the continuing COVID-19 pandemic state of emergency declared by Governor Newsom, meeting in person would present imminent risks to the health or safety of attendees.
..body
BACKGROUND:

On June 11, 2021, Governor Newsom issued Executive Order N-08-21, which rescinded his prior Executive Order N-29-20 and set a date of October 1, 2021 for public agencies to transition back to public meetings held in full compliance with the Brown Act. The original Executive Order provided that all provisions of the Brown Act that required the physical presence of members or other personnel as a condition of participation or as a quorum for a public meeting were waived for public health reasons..

On September 16, 2021, the Governor signed AB 361, a bill that formalizes and modifies the teleconference procedures implemented by California public agencies in response to the Governor’s Executive Orders addressing Brown Act compliance during shelter-in-place periods. AB 361 allows a local agency to continue to use teleconferencing under the same basic rules as provided in the Executive Orders when certain circumstances occur or when certain findings have been made and adopted by the local agency.

AB 361 requires that, if the state of emergency remains active for more than thirty (30) days, the agency must make findings by majority vote to continue using the bill’s exemption to the Brown Act teleconferencing rules. The findings are to the effect that the need for teleconferencing persists due to the nature of the ongoing public health emergency and the social distancing recommendations of local public health officials.

Effectively, this means that agencies, including PCEA, must agendize a Brown Act 6 Item No. 1
meeting and make findings regarding the circumstances of the emergency on a thirty (30) day basis. If at least thirty (30) days have transpired since its last meeting, the Boards must vote whether to continue to rely upon the law’s provision for teleconference procedures in lieu of in-person meetings.

AB 361 allows for meetings to be conducted virtually as long as there is a gubernatorially-proclaimed public emergency in combination with (1) local health official recommendations for social distancing or (2) adopted findings that meeting in person would present risks to health. AB 361 will sunset on January 1, 2024.

On September 25, 2021, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361. Out of an abundance of caution given AB 361’s narrative that describes each legislative body’s responsibility to reauthorize remote meetings, staff and counsel brings this memo and corresponding resolution to the attention of the Board of Directors.

On October 28, 2021, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On November 18, 2021 the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On December 16, 2021 the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On January 27, 2022 the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On February 24, 2022 the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On March 24, 2022 the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On April 28, 2022 the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On May 26, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

On June 23, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361.

DISCUSSION:

Because of continuing concerns regarding COVID-19 transmission, especially when individuals are grouped together in close quarters, it is recommended that the Peninsula Clean Energy Board of Directors avail itself of the provisions of AB 361 allowing 7 Item No. 1
continuation of online meetings by adopting findings to the effect that conducting in-person meetings would present risk to the health and safety of attendees. A resolution to that effect and directing staff to agendize the renewal of such findings in the event that thirty (30) days has passed since the Board’s last meeting, is attached hereto. ..titl e
8 28637147v1
RESOLUTION NO. _____________

PENINSULA CLEAN ENERGY AUTHORITY, COUNTY OF SAN MATEO,

STATE OF CALIFORNIA
* * * * * *
RESOLUTION FINDING THAT, AS A RESULT OF THE CONTINUING COVID-19

PANDEMIC STATE OF EMERGENCY DECLARED BY GOVERNOR NEWSOM,

MEETING IN PERSON FOR MEETINGS OF THE PENINSULA CLEAN ENERGY

BOARD OF DIRECTORS WOULD PRESENT IMMINENT RISKS TO THE HEALTH

OR SAFETY OF ATTENDEES
______________________________________________________________ WHEREAS, on March 4, 2020, the Governor proclaimed pursuant to his authority under the California Emergency Services Act, California Government Code section 8625, that a state of emergency exists with regard to a novel coronavirus (a disease now known as COVID-19); and
WHEREAS, on June 4, 2021, the Governor clarified that the “reopening” of California on June 15, 2021 did not include any change to the proclaimed state of emergency or the powers exercised thereunder, and as of the date of this Resolution, neither the Governor nor the Legislature have exercised their respective powers pursuant to California Government Code section 8629 to lift the state of emergency either by proclamation or by concurrent resolution in the state Legislature; and WHEREAS, on March 17, 2020, Governor Newsom issued Executive Order N-29-20 that suspended the teleconferencing rules set forth in the California Open Meeting law, Government Code section 54950 et seq. (the “Brown Act”), provided certain requirements were met and followed; and
9 28637147v1
WHEREAS, on September 16, 2021, Governor Newsom signed AB 361 that provides that a legislative body subject to the Brown Act may continue to meet without fully complying with the teleconferencing rules in the Brown Act provided the legislative body determines that meeting in person would present imminent risks to the health or safety of attendees, and further requires that certain findings be made by the legislative body every thirty (30) days; and,
WHEREAS, on January 5, 2022, Governor Newsom extended the sunset provision of AB361 and Government Code Section 11133(g) to January 1, 2024 due to surges and instability in COVID-19 cases; and,
WHEREAS, California Department of Public Health (“CDPH”) and the federal Centers for Disease Control and Prevention (“CDC”) caution that COVID-19 continues to be highly transmissible and that even fully vaccinated individuals can spread the virus to others; and,
WHEREAS, the Board has an important governmental interest in protecting the health, safety and welfare of those who participate in its meetings; WHEREAS, on September 25, 2021, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361. Out of an abundance of caution given AB 361’s narrative that describes each legislative body’s responsibility to reauthorize remote meetings, staff and counsel bring this resolution to the attention of the Board of Directors, and; WHEREAS, on October 28, 2021, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and; 10 28637147v1
WHEREAS, on November 18, 2021, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and;
WHEREAS, on December 16, 2021, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and;
WHEREAS, on January 27, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and; WHEREAS, on February 24, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and;
WHEREAS, on March 24, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and; WHEREAS, on April 28, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and; WHEREAS, on May 26, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and; WHEREAS, on June 23, 2022, the Peninsula Clean Energy Board of Directors approved a thirty (30) day extension of remote meetings in accordance with AB 361, and; WHEREAS, in the interest of public health and safety, as affected by the emergency caused by the spread of COVID-19, the Board deems it necessary to find that 11 28637147v1
meeting in person would present imminent risks to the health or safety of attendees, and thus intends to invoke the provisions of AB 361 related to teleconferencing.

NOW, THEREFORE, IT IS HEREBY DETERMINED AND ORDERED that

1. The recitals set forth above are true and correct.

2. The Board finds that meeting in person would present imminent risks to the health or safety of attendees.

3. Staff is directed to return no later than thirty (30) days, or, alternatively, at the next scheduled meeting of the Board, after the adoption of this resolution with an item for the Board to consider making the findings required by AB 361 in order to continue meeting under its provisions.

4. Staff is directed to take such other necessary or appropriate actions to implement the intent and purposes of this resolution.
* * * * * *
12 Item No. 2
Regular Meeting of the Board of Directors of the
Peninsula Clean Energy Authority (PCEA)
Minutes
Thursday, June 23, 2022
6:30 p.m.

Zoom Video Conference and Teleconference

CALL TO ORDER
Meeting was called to order at 6:33 p.m. in virtual teleconference.

ROLL CALL
Participating Remotely:

Dave Pine, San Mateo County
Warren Slocum, San Mateo County
Rick DeGolia, Atherton, Chair
Julia Mates, Belmont
Donna Colson, Burlingame, Vice Chair
Raquel Gonzalez, Colma
Roderick Daus-Magbual, Daly City
Carlos Romero, East Palo Alto
Sam Hindi, Foster City arrived at 7:09 p.m.

Harvey Rarback, Half Moon Bay
Tom Faria, Los Banos
Betsy Nash, Menlo Park
Anne Schneider, Millbrae arrived at 6:40 p.m.

Tygarjas Bigstyck, Pacifica
Marty Medina, San Bruno
Rick Bonilla, San Mateo
James Coleman, South San Francisco
Pradeep Gupta, Director Emeritus
John Keener, Director Emeritus

Absent:

Coleen Mackin, Brisbane
Laurence May, Hillsborough
Jeff Aalfs, Portola Valley
Giselle Hale, Redwood City
Laura Parmer-Lohan, San Carlos
Jennifer Wall, Woodside

A quorum was established.

PUBLIC COMMENT
Jeremy
13 Item No. 2

SWEARING IN OF NEW BOARD MEMBERS
Jennifer Stalzer, Associate General Counsel, presided over the official swearing-in of new Board Member Warren Slocum from the County of San Mateo.

ACTION TO SET THE AGENDA AND APPROVE REMAINING CONSENT AGENDA ITEMS MOTION: Director Bonilla moved, seconded by Director Mates to set the Agenda, and approve Agenda Item Numbers 1-3.

1. Adopt Findings Pursuant to AB 361 to Continue Fully Teleconferenced Committee Meetings Due to Health Risks Posed by In-Person Meetings

2. Approval of the Minutes for the May 26. 2022 Meeting

3. Delegate Authority to the Chief Executive Officer to Decide Whether to Accept an Allocation of the PG&E Voluntary Allocation and Market Offer Renewable Energy Credit Solicitation (Action) MOTION PASSED: 16-0 (Absent: Brisbane, Foster City, Hillsborough, Portola Valley, Redwood City, San Carlos, Woodside)

JURISDICTION BOARD MEMBER YES NO ABSTAIN ABSENT
San Mateo County Director Pine X
San Mateo County Director Slocum X
Atherton Director DeGolia X
Belmont Director Mates X
Brisbane Director Mackin X
Burlingame Director Colson X
Colma Director Gonzalez X
Daly City Director Daus-Magbual X
East Palo Alto Director Romero X
Foster City Director Hindi X
Half Moon Bay Director Rarback X
Hillsborough Director May X
Los Banos Director Faria X
Menlo Park Director Nash X
Millbrae Director Schneider X
Pacifica Director Bigstyck X
Portola Valley Director Aalfs X
Redwood City Director Hale X
San Bruno Director Medina X
San Carlos Director Parmer-Lohan X
San Mateo Director Bonilla X
South San Francisco Director Coleman X
Woodside Director Wall X
Totals 16 7
14 Item No. 2

REGULAR AGENDA

4. Chair Report
Chair DeGolia reported that a Board Subcommittee has been created for the Annual CEO Review including Board Members Colson, Mates and Aalfs.

5. CEO Report
Jan Pepper, CEO, gave a presentation including a staffing update, an update on California Community Power (CC Power), an update on the RFP for Local Government PV Systems, and a Legislative Update.

6. Citizens Advisory Committee Report
Cheryl Schaff, Citizens Advisory Committee (CAC) Vice Chair, gave a presentation recapping the June 9, 2022 CAC Meeting.

7. Approval of Fiscal Year 2022-2023 Budget (Action)
Andy Stern, Chief Financial Officer, gave a presentation on the Fiscal Year 2022-2023 Budget including key budget assumptions, the PG&E and Power Charge Indifference Adjustment (PCIA) rate change summary, the forecast, budget summary, and the 5-year plan.

Vice Chair Colson asked for clarification on what happens if Peninsula Clean Energy exceeds the operating budget. Andy explained that the board would need to approve spending over the budgeted amount and that the Audit and Finance Committee monitors expenses as part of the quarterly package.

Public Comment: Drew
Vice Chair Colson commended Staff’s efforts in controllable areas such as the cost of energy and contracts for future demand in a time where the forecasts in the energy market have become increasing unpredictable.

Director Romero shared his appreciation for Andy Stern’s thoroughness and offered suggestions for the use of Peninsula Clean Energy’s excess cash on hand.

Chair DeGolia suggested to keep an eye on cash on hand over the next year due to the fluctuating market before making any decisions.

Public Comment: Jeremy
MOTION: Director Bonilla moved, seconded by Director Romero to approve the proposed Fiscal Year 2022-2023 Budget and 5-year projections.

MOTION PASSED: 16-0 (Absent: San Mateo County, Brisbane, Hillsborough, Portola Valley, Redwood City, San Carlos, Woodside)
15 Item No. 2

8. Approval of New Peninsula Clean Energy Rates to be Effective July 1, 2022 with a Net 5% Discount in Generation Charges for ECOplus Compared to PG&E Generation Rates (Action) Leslie Brown, Director of Account Services, gave a presentation on the proposed new energy rates for Peninsula Clean Energy including the June 2022 PG&E Rate Change, a recap of the Peninsula Clean Energy rate making methodology, information on the 2016 vintage and 2021 vintage Power Charge Indifference Adjustment (PCIA).

Public Comment: Kathleen Goforth
Chair DeGolia explained that the proposed rate change is to the ECOplus rates which in turn will change the ECO100 rate which equates to the ECOplus rate plus one cent.

MOTION: Director Rarback moved, seconded by Director Colson to Approve a Resolution to implement new Peninsula Clean Energy ECOplus rates effective July 1, 2022 to reflect a net 5% discount relative to June 1, 2022 PG&E rates.

MOTION PASSED: 16-0 (Absent: San Mateo County, Brisbane, Hillsborough, Portola Valley, Redwood City, San Carlos, Woodside)
16 Item No. 2

9. Calpine Master Services Agreement Amendment for FlexMarket (Action) Peter Levitt, Associate Manager, Distributed Energy Resources, gave a presentation on the Calpine Master Services Agreement Amendment for FLEXMarket including an overview of FLEXMarket including the structure of the program, the history, schedule and key points.

Public Comment: Jeremy
MOTION: Director Pine moved, seconded by Director Romero to delegate authority to the CEO to execute the First Amendment to the Master Services Agreement between Peninsula Clean Energy and Calpine, and approve a three-year, $4,678,563 budget for the FLEXmarket program, all reimbursable by the CPUC.

MOTION PASSED: 16-0 (Absent: San Mateo County, Brisbane, Hillsborough, Portola Valley, Redwood City, San Carlos, Woodside)

JURISDICTION BOARD MEMBER YES NO ABSTAIN ABSENT
San Mateo County Director Pine X
San Mateo County Director Slocum X
Atherton Director DeGolia X
17 Item No. 2
Belmont Director Mates X
Brisbane Director Mackin X
Burlingame Director Colson X
Colma Director Gonzalez X
Daly City Director Daus-Magbual X
East Palo Alto Director Romero X
Foster City Director Hindi X
Half Moon Bay Director Rarback X
Hillsborough Director May X
Los Banos Director Faria X
Menlo Park Director Nash X
Millbrae Director Schneider X
Pacifica Director Bigstyck X
Portola Valley Director Aalfs X
Redwood City Director Hale X
San Bruno Director Medina X
San Carlos Director Parmer-Lohan X
San Mateo Director Bonilla X
South San Francisco Director Coleman X
Woodside Director Wall X
Totals 16 7

10. 2022 Reach Code Update (Discussion)
Blake Herrschaft, Programs Manager, gave an update on 2022 Reach Codes including background on Reach Codes, 2019 adopters, proposed 2022 Reach Codes and timeline, proposed 2022 Electric Vehicle (EV) Reach Codes, and information on opportunities within existing buildings. Blake also presented information on timing and sample costs.

Director Romero asked for clarification on the difference between high and low power Level 2 EV chargers. Phillip Kobernick, Programs Manager, explained that the difference between the high and low power EV chargers is in the amperage with the high-power charger requiring a 40 amp circuit.

Director Bonilla asked if the lower amperage means that it takes longer to charge the EV. Phillip answered yes, and explained that high power chargers produce about 6.6 kW while the low power chargers produce 3.3kW. Rafael Reyes, Director of Power Resources, added that this primarily affects residential multifamily dwellings.

Public Comment: Drew, Zachary Meyer, Saman de Silva, Claire Shintani, Russell Chiu, Robert Whitehair, Libby Traubman, Vivienne Scott, Suzanne Emerson Director Schneider shared that the city of Millbrae included a carve out for biotech in the updated new building codes and they have seen success with biotech companies going all-electric. Director Schneider asked Staff to look into existing building Reach Codes in relation to restaurants and housing laws in relation to new building Reach Codes.
18 Item No. 2
Director Rarback shared that when Half Moon Bay was considering existing building Reach Codes there was pushback from the community which resulted in the inclusion of exceptions. Director Rarback believes that public education should begin as soon as possible to make a dent in methane emissions in existing buildings.

Director Bonilla shared that the city of San Mateo has set a goal of eliminating the use of methane by 2030 and that existing building Reach Codes are needed as soon as possible to help achieve that goal.

Director Nash suggested looking into watt diets to avoid panel upgrades and shared that Menlo Park has a partnership with BlocPower to build a workforce training program to help with contractors that are knowledgeable about electrification.

Director Romero shared support for existing residential building electrification in concept but shares a concern for low-income and fixed-income residents to afford upgrades.

Director Hindi shared that most of the power lines in Foster City are underground creating large financial barriers to electrifying existing structures.

Blake Herrschaft shared that Peninsula Clean Energy staff is working on guidelines to work though panel upgrades including working with Electrify My Home.

Director Nash asked about the downside of releasing existing building Reach Codes today. Blake explained that the Reach Codes are still in draft form, and that staff would like feedback from Board Members.

Director Bonilla asked when the Reach Codes will be prepared for use by the cities. Blake explained that the Reach Codes are nearing completion. Rafael added that following a review from CEO, Jan Pepper, these Codes could be available for distribution next week.

11.Board Members’ Reports
Vice Chair Colson expressed gratitude to Jan Pepper for attending the ribbon cutting for the Burlingame Community Center and the Green Building Award.

Director Emeritus Keener expressed gratitude to Siobhan Doherty, Director of Power Resources, and Andy Stern, Chief Financial Officer, for their years of service.

Director Faria expressed gratitude to Marc Hershman for attending a retirement celebration as Director Faria retires from teaching.

Chair DeGolia shared that Atherton recently opened their new town center that is 100% electric.

ADJOURNMENT
Meeting was adjourned at 8:44 p.m.
19 Item No. 3
1 PENINSULA CLEAN ENERGY
JPA Board Correspondence
DATE: July 7, 2022
BOARD MEETING DATE: July 28, 2022
SPECIAL NOTICE/HEARING: None
VOTE REQUIRED: Majority Present
TO: Honorable PCE Joint Powers Board
FROM: Jan Pepper, Chief Executive Officer, Peninsula Clean Energy SUBJECT: Approval of An Amendment To The Existing Retention Agreement With The Law Firm Of Keyes & Fox LLP Increasing The Amount By $250,000 For A Total Not-To-Exceed Amount Of $650,000

RECOMMENDATION
Adopt a Resolution authorizing the CEO to execute with the law firm of Keyes & Fox LLP an amendment to the existing retention agreement in substantially the same form as the original agreement previously authorized by the Board on October 27, 2016, and then later amended with approval by the Board on October 25, 2018 and December 16, 2021.

BACKGROUND
Peninsula Clean Energy (PCE) Authority has had a continuing relationship with outside counsel, Keyes and Fox. Over the last five years, Keyes and Fox has provided PCE with broad support with its litigation of complicated regulatory proceedings before the California Public Utilities Commission (“CPUC”) on topics ranging from PG&E annual PCIA rate adjustments to PG&E’s general rate cases to the Commission’s exploration of transportation electrification policy.

The PCE Board originally authorized on October 27, 2016, the retention agreement with Keyes & Fox at an amount not to exceed $100,000. Subsequently, on October 25. 2018 the PCE Board authorized the amendment of this retention agreement to increase the amount not to exceed to $300,000 and later amended this retention agreement again to increase the not to exceed by an additional $100,000 to $400,000 authorized overall.

DISCUSSION
Peninsula Clean Energy retained the services of Keyes & Fox to draft legal contracts and provide other legal counsel in support of advancing the Local Government Solar and Storage Program.

Work to date includes:
20 Item No. 3
2 • Adaptation of the standard Solar Energy Industry Association Power Purchase Agreement (PPA) to a Customer PPA template between Peninsula Clean Energy and local government customers that accounts for the various requirements specific to the procurement model Peninsula Clean Energy is pursuing; • Drafting of an Engineer, Procure, and Construct Agreement (EPC Agreement) between Peninsula Clean Energy and a qualified counterparty that can deploy, commission, and maintain solar and solar + storage systems so as to meet Peninsula Clean Energy’s obligations under the Customer PPA; • Legal adivce relating to proposed deal structures and other consultations as required to develop the program
To date, the Local Government Solar and Storage Program has made use of an existing budget authorization for Keyes and Foxintended for general regulatory support.

However, the existing authorization is insufficient to support both continued regulatory support and assistance with the Local Government Solar and Storage Program, and staff is requesting an increase in the authorization to account for the additional scope.

As the Local Government Solar and Storage Program progresses, we expect significant additional legal support will be required, including:
• Negotiations and finalization of Customer PPA following review by cities and County
• Negotiations and finalization of EPC or Master PPA contract with equipment installers
• Advice/support as needed in any agreements with tax financing partner(s) or master PPA providers
• Negotiations and finalization of a site lease/license with site hosts for placement of solar system
• Conforming all documents so that they sync with one another • Ad hoc legal support as needs arise
To support this work and program, staff is requesting an increase of $250,000 to the existing budget authorization for Keyes and Fox. Funds will only be expended as Keyes and Fox services are utilized.
21 1
RESOLUTION NO. _____________

PENINSULA CLEAN ENERGY AUTHORITY, COUNTY OF SAN MATEO, STATE OF

CALIFORNIA
* * * * * *

RESOLUTION AUTHORIZING PENINSULA CLEAN ENERGY AUTHORITY CEO TO

EXECUTE AN AMENDMENT TO THE EXISTING RETENTION AGREEMENT WITH THE LAW FIRM OF KEYES & FOX LLP INCREASING THE AMOUNT BY $250,000 FOR A TOTAL NOT-TO-EXCEED AMOUNT OF $650,000.
______________________________________________________________ RESOLVED, by the Peninsula Clean Energy Authority of the County of San Mateo, State of California, that
WHEREAS, the Peninsula Clean Energy Authority (“Peninsula Clean Energy) was formed on February 29, 2016; and
WHEREAS, the JPA Agreement forming the Authority delegates to the Board the power to hire a General Counsel pursuant to Paragraph 3.3.2; and WHEREAS, the San Mateo County Counsel’s Office has been appointed General Counsel and has been delegated authority to retain outside legal services in amounts not to exceed $25,000; and
WHEREAS, the General Counsel has determined it necessary to seek outside legal services related to state regulatory oversight and policy and on October 27, 2016 this Board authorized the General Counsel to retain Keyes & Fox LLP on behalf of 22 2
Peninsula Clean Energy for that purpose in an amount not to exceed $100,000 and to execute the retention agreement then presented to the Board; and WHEREAS, the Board authorized an increased the retention amount by $300,000 on October 25, 2018; and
WHEREAS, the Board authorized an increased the retention amount by $100,000 on December 16, 2021; and
WHEREAS, Keyes & Fox LLP has been providing assistance to PCE to support the Local Government Solar and Storage Program and the cost of its legal services will exceed the amount already authorized and staff is requesting an increase in the retention amount of $250,000 for a total amount not to exceed $650,000.

NOW, THEREFORE, IT IS HEREBY DETERMINED AND ORDERED that the CEO is authorized to execute with the law firm of Keyes & Fox LLP amendment to the existing retention agreement already approved by the Board as long as the total amount of all amendments or agreements do not exceed an increase in retention of more than $650,000.
* * * * * *
[CCO-113499]
23 AMENDMENT “B” TO ENGAGEMENT LETTER BETWEEN PENINSULA CLEAN

ENERGY AND KEYES & FOX LLP
This Amendment applies to that specific engagement letter entitled “Engagement Letter – Peninsula Clean Energy Authority” (the “Agreement”) between Keyes & Fox LLP and Peninsula Clean Energy dated January 23, 2019 regarding regulatory proceedings at the California Public Utilities Commission and other legal issues Keyes & Fox LLP and Peninsula Clean Energy both mutually agree to undertake. This Amendment is made to increase the not-to-exceed compensation limit in the Agreement from $400,000 (as detailed in Section 3.a to the Agreement) to $650,000. The Agreement is amended as follows:

The fifth paragraph of Section 3.a of the Agreement is amended to read:
“This letter authorizes payment of fees of up to $650,000 in connection with the Legal Services. Unless otherwise agreed to in writing, PCE will not be obligated for fees in excess of this amount.”
By: ______________________
Tim Lindl
Partner
Keyes & Fox LLP
Date: ___________________
By: ______________________
Janis C. Pepper
Chief Executive Officer
Peninsula Clean Energy
Date: _____________________
24 Item No. 4

PENINSULA CLEAN ENERGY
JPA Board Correspondence
DATE: July 13, 2022
BOARD MEETING DATE: July 28, 2022
SPECIAL NOTICE/HEARING: None
VOTE REQUIRED: Majority Present
TO: Honorable Peninsula Clean Energy Authority Executive Committee FROM: Jan Pepper, Chief Executive Officer, Peninsula Clean Energy Rafael Reyes, Director of Energy Programs
SUBJECT: Approval of E-Bikes for Everyone Program Additional Budget (Action)

RECOMMENDATION
Board approval of a modification of the E-Bikes for Everyone program budget, increasing the among by $150,000 for a total not to exceed amount of $690,000.

BACKGROUND
Peninsula Clean Energy’s mission is to reduce greenhouse gas (GHG) emissions and support the target of carbon neutrality by 2035, which Peninsula Clean Energy aims to support through investment in local community programs. Transportation emissions are one of the most significant challenges to decarbonization in San Mateo County, accounting for about 50% of direct emissions.

To support decarbonization efforts, the Board approved the Peninsula Clean Energy Program Roadmap in September 2018. As part of the implementation of the Roadmap in July 2020, the Board approved $300,000 in funds for a low-income e-bike rebate program, named the “E-Bikes for Everyone” program, including $240,000 in incentives (up to 300 e-bikes) and $60,000 for a partnership with Silicon Valley Bicycle Coalition to provide bike safety workshops and outreach. The E-Bikes for Everyone rebate program formally opened on May 26, 2021 and 275 rebates were provided, nearly exhausting the funding.

In January 2022, the Board approved an additional $300,000 in incentives for the E-Bikes for Everyone Program (up to a total of 320 e-bikes when combined with leftover funding from the prior round). The second round of funding opened on June 6, 2022. As of mid-July, over 150 rebates have been provided, with approximately 180 additional residents who have had their applications approved and are in the process of shopping for an e-bike. In addition, there are 150 residents who are on the waitlist for a rebate. 25 Item No. 4

DISCUSSION
Due to the ongoing high demand and popularity of the E-Bikes for Everyone program, staff is proposing increasing the incentives budget by $150,000 to accommodate the 150 residents who are on the waitlist. With this budget increase, the number of e-bike rebates to be provided in this round of the program will increase from 320 to 470 rebates.

Combined with the prior round, the total program will be on track to provide 745 total rebates since the program first launched in May 2021.

Silicon Valley Bicycle Coalition remains on contract with Peninsula Clean Energy to provide outreach and education events and 4 bike shops are under contract to provide the rebate to customers as a point of sale discount (the list of bike shops is available at https://www.peninsulacleanenergy.com/program/ebikes-participating-shops/). These contracts would continue without modifications.

FISCAL IMPACT: The added funding for the E-Bikes for Everyone program would be within the already approved FY22 Community Energy Programs budget.

Strategic Plan:

Goal 3 – Community Energy Programs
Objective A: Decarbonization Programs: Develop market momentum for electric transportation, and initiate the transition to clean energy buildings • Key Tactic 1: Drive personal electrified transportation to majority adoption Objective B: Community Benefits: Deliver tangible benefits throughout our diverse communities
• Key Tactic 1: Invest in programs that benefit underserved communities 26 1
RESOLUTION NO. _____________

PENINSULA CLEAN ENERGY AUTHORITY, COUNTY OF SAN MATEO, STATE OF

CALIFORNIA
* * * * * *

RESOLUTION APPROVING A MODIFICATION OF THE E-BIKES FOR
EVERYONE PROGRAM BUDGET, INCREASING THE AMOUNT BY $150,000 FOR A TOTAL NOT TO EXCEED AMOUNT OF $690,000
______________________________________________________________ RESOLVED, by the Peninsula Clean Energy Authority of the County of San Mateo, State of California, that
WHEREAS, PCE was formed on February 29, 2016; and
WHEREAS, E-Bikes are a demonstrated method to reduce greenhouse gas emissions, which also reduce cost, especially for low-income community members; and WHEREAS, the Board of Directors approved the E-Bikes for Everyone Program on July 23, 2020 with an incentives budget of $240,000; and WHEREAS, PCE has contracted with multiple bicycle stores to administer e-bike rebates as a point-of-sale discount to qualified customers; and WHEREAS, the E-Bikes for Everyone program opened in May 2021, and was extremely popular and immediately exhausted the existing budget, providing 275 rebates; and
27 2
WHEREAS, the Board of Directors approved a $300,000 budget increase for the E-Bikes for Everyone Program on January 21, 2022; and
WHEREAS, the E-Bikes for Everyone program reopened in June 2022, and has provided over additional 150 rebates, with approximately additional 180 residents with approved rebates who are in the process of shopping for e-bikes, and a further additional 150 residents on the waitlist; and
WHEREAS, Peninsula Clean Energy staff recommends increasing the budget to provide rebates to the 150 residents on the waitlist; and WHEREAS, rebates in the E-Bikes for Everyone Program are for up to 80% of the purchase price of the e-bike with a maximum value of $1,000; and WHEREAS, the budget increase required to provide rebates to all residents on the waitlist would be up to $150,000.

NOW, THEREFORE, IT IS HEREBY DETERMINED AND ORDERED that the Board approves a budget increase for the E-Bikes for Everyone Program in an amount of $150,000 for a total net to exceed amount for the E-Bikes for Everyone Program of $690,000.
* * * * * *
28 Item No. 05
1 PENINSULA CLEAN ENERGY AUTHORITY
JPA Board Correspondence
DATE: July 8, 2022
BOARD MEETING DATE: July 28, 2022
SPECIAL NOTICE/HEARING: None
VOTE REQUIRED: Majority Vote
TO: Honorable Peninsula Clean Energy Authority Board of Directors FROM: Andy Stern, Chief Financial Officer
SUBJECT: Approval of the Revised Employee Handbook
RECOMMENDATION:

Approve the revised Peninsula Clean Energy Employee Handbook.

BACKGROUND AND DISCUSSION:

The PCE Employee Handbook is a summary/overview of PCE policies and guidelines. It provides guidance to PCE Staff on policies including Employment, Employee Conduct, Working Conditions, Benefits, Payroll, Leaves of Absences, along with other related issues.

Significant effort was expended to develop the original version of the Handbook, including receiving earlier review from the PCE Executive Committee and input from PCE Staff. The revised Handbook presented to the Board for approval has been reviewed by PCE’s legal counsel. The most recent version of the handbook was last approved by the Board of Directors on June 25, 2020.

A copy of the current version and a redline showing edits and changes are both attached to this memo. The revised Handbook incorporates a number of corrections and edits along with several significant changes which are listed below. • Improved organization for readability and accessibility and/or references o Minor corrections for grammar and typos
o Added references to Los Banos added to PCE after last Handbook was released
o Renamed Columbus Day to Indigenous People’s Day
• Policy additions/deletions/clarifications
o Added Work-from-Home Policy and Guidelines
29 Item No. 05
2 o Elimination of monthly auto allowance for employees (managers and above)
o Clarity on the already existing process of receiving final paychecks upon employee terminations
o Revised policy to require all employees to complete one (1) hour of workplace harassment training every year
o Clarify already existing policy describing the effective day that benefits start for new employees
o Addition of language clarifying options for employee retirement contributions; specifically describing Roth after-tax contributions as an option
o Clarification of maximum vacation accrual per employee o Clarification of already existing Baby Bonding Leave policy o Added policy describing the adjustment of the annual review/merit increase date following an employee leave that extends longer than 60 days Upon approval of this Handbook by the Board, PCE will distribute it for use by all PCE employees.

ATTACHMENTS:

1. Redline (showing changes from the prior Version 3) and

2. Clean version of the Employee Handbook (Version 4): - Issue Date July 1, 2022. 30 1
28637147v1
RESOLUTION NO. _____________

PENINSULA CLEAN ENERGY AUTHORITY, COUNTY OF SAN MATEO, STATE OF

CALIFORNIA
* * * * * *

RESOLUTION BY THE BOARD OF DIRECTORS TO APPROVE ADOPTION OF THE

REVISED EMPLOYEE HANDBOOK
______________________________________________________________ RESOLVED, by the Board of Directors of the Peninsula Clean Energy Authority of the County of San Mateo, State of California, that
WHEREAS, the Board of Directors approved Version 3 of the PCE Employee Handbook on June 25, 2020, and
WHEREAS, the current Employee Handbook requires updating to reflect changes in laws, modifications to current policies, and adoption of new employee-related policies all of which have been incorporated into Version 4. .

NOW, THEREFORE, IT IS HEREBY RESOLVED that the Board of Directors approves the adoption of the revised Employee Handbook. * * * * * *
31 EMPLOYEE HANDBOOK
Issue Date (Version 4): July 1, 2022
Peninsula Clean Energy
2075 Woodside Road,
Redwood City, CA 94061
32 2
Table of Contents
SECTION 1: INTRODUCTION TO PENINSULA CLEAN ENERGY................................ 5

1.101 Welcome to Peninsula Clean Energy!................................................................ 6

1.101 About this Handbook.......................................................................................... 7

1.102 New Employee Onboarding ............................................................................... 7 SECTION 2: EMPLOYMENT .......................................................................................... 8

2.101 Nature of Employment ....................................................................................... 9

2.102 Job Postings ...................................................................................................... 9

2.103 Equal Opportunity Employer ............................................................................ 10

2.104 Nepotism Prohibited......................................................................................... 11

2.105 Immigration Reform and Control Act................................................................ 11

2.106 Supplemental Employment .............................................................................. 11

2.107 Americans with Disabilities Act ........................................................................ 12

2.108 Access to Personnel Files................................................................................ 12

2.109 Employment Reference and Background Checks............................................ 13

2.110 Changes in Personal Data ............................................................................... 13

2.111 Separation from Employment........................................................................... 14

2.112 Social Security Number Privacy....................................................................... 14 SECTION 3: EMPLOYEE CONDUCT........................................................................... 16

3.101 Conflict of Interest/Code of Ethics.................................................................... 17

3.101 Standards of Conduct ...................................................................................... 17

3.103 No Harassment ................................................................................................ 18

3.104 Protecting PCE Information.............................................................................. 22

3.105 Use of Personal Devices, including PCE Issued Devices ................................ 23

3.106 Smoking in the Workplace ............................................................................... 23

3.107 Drug and Alcohol Use ...................................................................................... 24

3.108 Drug Testing .................................................................................................... 25

3.109 Attendance and Punctuality ............................................................................. 27

3.110 Personal Appearance....................................................................................... 27

3.111 Non-Solicitation................................................................................................ 27

3.112 Acceptable Use of Electronic Communications/Workplace Monitoring ........... 28

3.113 Company Document Management .................................................................. 30

3.114 Social Media .................................................................................................... 30 33 3

3.115 Contact with PCE............................................................................................. 31

3.116 Customer and Public Relations........................................................................ 32 SECTION 4: WORKING CONDITIONS ........................................................................ 33

4.101 Expectation of Privacy...................................................................................... 34

4.102 Performance Reviews...................................................................................... 34

4.103 Coaching, Counseling, and Progressive Discipline.......................................... 34

4.104 Talk to Us......................................................................................................... 35

4.105 Safety............................................................................................................... 35

4.106 Visitors ............................................................................................................. 36

4.107 Workplace Violence ......................................................................................... 36

4.108 Travel/Expense Accounts ................................................................................ 37 SECTION 5: BENEFITS................................................................................................ 38

5.101 Employee Benefits ........................................................................................... 39

5.101(a) Health Insurance (Medical, Dental, and Vision)........................................... 39

5.101(b) Long Term Disability Insurance ................................................................... 40

5.101(c) Social Security and Unemployment Insurance ............................................ 40

5.101(d) Life Insurance .............................................................................................. 40

5.101(e) Section 125 Plan.......................................................................................... 41

5.101(f) Retirement Plans .......................................................................................... 41

5.101(g) State Disability Insurance ............................................................................ 42

5.101(h) California Paid Family Leave Insurance ...................................................... 42

5.102 Workers’ Compensation................................................................................... 43

5.103 Lactation Breaks .............................................................................................. 43

5.104 No Pets in the Workplace................................................................................. 44

5.105 COBRA ............................................................................................................ 44 SECTION 6: PAYROLL................................................................................................. 45

6.101 Categories of Employment............................................................................... 46

6.101(a) Anniversary Date ......................................................................................... 46

6.102 Licensing Requirements................................................................................... 46

6.103 Payday............................................................................................................. 47

6.104 Pay Advances .................................................................................................. 47

6.105 Timekeeping .................................................................................................... 47

6.106 Overtime (Non-Exempt Only)........................................................................... 48

6.107 Meal, Rest, and Recovery Time (Non-Exempt Only) ....................................... 49 34 4

6.108 Paycheck Deductions and Set-Offs.................................................................. 50

6.109 Work Location and Schedules ......................................................................... 51

6.112 Garnishment/Child Support.............................................................................. 52 SECTION 7: LEAVES OF ABSENCE ........................................................................... 53

7.101 Vacation/Management Leave/Comp Time....................................................... 54

7.102 Paid Sick Leave ............................................................................................... 56

7.103 Bereavement Leave......................................................................................... 57

7.104 Family Medical Leave ...................................................................................... 58

7.105 New Parent Leave ........................................................................................... 58

7.106 Pregnancy Disability Leave.............................................................................. 59

7.106 Holidays ........................................................................................................... 61

7.106 Voting Leave.................................................................................................... 62

7.107 Jury Duty.......................................................................................................... 62

7.108 Military Leave and Civil Air Patrol .................................................................... 63

7.109 Personal Leave ................................................................................................ 63

7.110 Bone Marrow and Organ Donation Leave........................................................ 64

7.111 Domestic Violence Leave................................................................................. 65

7.112 Victims of Felony Crimes Leave....................................................................... 65

1.101 Welcome to Peninsula Clean Energy!
Dear Staff,
On behalf of everyone at Peninsula Clean Energy (PCE), welcome to the team! You are joining PCE at a very exciting time, for PCE, the industry, and our state. Community Choice Aggregators are challenging communities, states, and countries to make clean, renewable, greenhouse gas-free energy the standard. We are proud to be part of this wave of progress.

Starting a new job is exciting, but at times can be overwhelming. This Employee Handbook has been developed to help you become acquainted with PCE and answer many of your initial questions.

As an employee of Peninsula Clean Energy, you are very important. Your contribution cannot be overstated. We are a mission driven organization, and your role is an important part of achieving our mission – to reduce greenhouse gas emissions in California. We do that by providing cleaner and greener electricity at lower rates than PG&E. We also offer energy related programs that use PCE’s clean electricity to reduce greenhouse gas emissions by moving to electric transportation methods. And finally, we will offer electrification programs to reduce GHG emissions in buildings by converting from natural gas use to PCE’s clean electricity. We hope the success we have had in our parts of California provides a model for other parts of the state, country, and world to also move toward a clean electric economy!
You are an important part of this process, and your work directly influences PCE's reputation.

We are glad you have joined us, and we hope you will find your work to be both challenging and rewarding.

Sincerely,
Jan Pepper
CEO
Employee Handbook Version 4
37 7

1.101 About this Handbook
This Employee Handbook contains information about the employment policies and practices of PCE. We expect each employee to read, understand, and comply with all provisions of this Employee Handbook. It describes many of your responsibilities as an employee and outlines the programs developed by PCE to benefit you as an employee.

One of our objectives is to provide a work environment that is conducive to both personal and professional growth.

PCE is a Joint Powers Authority (JPA), an independent California public agency that was created separate from any other public agency. The employment laws that apply in the public sector are sometimes different from those in the private sector. If you have previously worked for a for-profit or not-for-profit organization, you may notice some differences.

PCE complies with federal and state law which is in part reflected in this handbook.

PCE also complies with any applicable local laws, even though there may not be an express written policy contained in the handbook.

Violations of the policies and procedures outlined in the handbook, as well as violations of any applicable state and/or federal law, may be grounds for discipline up to and including immediate termination.

1.102 New Employee Onboarding
Upon joining PCE, you should have received an e-copy of our Employee Handbook.

After reading this Employee Handbook, please sign the receipt page and return it to the Chief Financial Officer (CFO). You will be asked to complete personnel, payroll and if applicable, benefit forms which will need to be provided to the CFO.

2.101 Nature of Employment
Except for the policy of at-will employment, PCE reserves the right to revise, delete, and add to the provisions of this Employee Handbook at any time without notice. All such revisions, deletions or additions to the Employee Handbook must be in writing and must be signed by the CEO of PCE. No oral statements or representations can change the provisions of this Employee Handbook.

The provisions of this Employee Handbook are not intended to create contractual obligations with respect to any matters it covers nor is this Employee Handbook intended to create a contract guaranteeing that you will be employed for any specific period of time. Any agreement of employment for a specified time period shall be put into writing and signed by the CEO.

Nothing in this Employee Handbook is intended to unlawfully restrict an employee's right to engage in any of the rights guaranteed them by Section 7 of the National Labor Relations Act, including but not limited to, the right to engage in concerted protected activity for the purposes of their mutual aid and/or protection. Nothing in this Employee Handbook will be interpreted, applied or enforced to interfere with, restrain or coerce employees in the exercise of Section 7 rights.

PCE is an at-will employer. This means that regardless of any provision in this Employee Handbook, either PCE or you may terminate the employment relationship at any time, for any reason, with or without cause or notice. Nothing in this employee handbook or in any document or statement, written or oral, shall limit the right to terminate employment at-will. No officer, employee, or representative of PCE is authorized to enter into an agreement, express or implied, with any employee for employment for a specified period of time unless such an agreement is in a written contract signed by the CEO of PCE.

This Employee Handbook refers to current benefit plans maintained by PCE as of the date of release of this version of the Employee Handbook. Refer to the actual plan documents and summary plan descriptions if you have specific questions regarding the benefit plan. Those documents are controlling.

Likewise, if a written employment contract is inconsistent with the Employee Handbook, the written contract is controlling.

2.102 Job Postings
PCE strives to maintain a current job description for each position in PCE. The job description outlines the essential duties and responsibilities of the position. When the duties and/or responsibilities of a position change, the job description should be revised 40 10
to reflect those changes. If you have any questions or wish to obtain a copy of your position's job description, please see your supervisor.

PCE provides employees an opportunity to indicate their interest in open positions and advance within PCE according to their skills and experience. In general, notices of all regular, full-time job openings are posted, although PCE reserve its sole discretionary right not to post a particular opening.

Posted job openings will be added to PCE’s website and normally remain open for at least two to three weeks but will stay open until filled. Each job posting notice will include the dates of the posting period (if applicable), job title, job summary, essential duties, and qualifications.

To be eligible to apply for a posted job, employees must have performed competently in their current position. PCE reserves the right not to accept applications for open positions from an employee who is currently on any type of disciplinary action.

Job posting is a way to inform employees of openings and to identify qualified and interested applicants whose interest might not otherwise be known to PCE. Other recruiting sources may also be used to fill open positions in the best interest of PCE.

2.103 Equal Opportunity Employer
PCE is committed to equal employment opportunity. We will not permit discrimination or harassment against employees or applicants for employment on the basis of race, religion, color, sex (including gender, gender identity, gender expression, transgender, pregnancy, and breastfeeding), national origin, ancestry, disability, medical condition, genetic characteristics or information, marital status, age, sexual orientation (including homosexuality, bisexuality, or heterosexuality, or any other protected class under federal, state, or local law), physical or mental disability (the term disabled or disability shall be construed to apply to those individuals covered by Title 2 California Administrative Code, Sec. 7293.6(c) et seq. and 42 U.S. Code Sec. 12102 and the regulations promulgated pursuant to that section), military or veteran status, or any other basis protected by law,
PCE will afford equal employment opportunity to all qualified employees and applicants as to all terms and conditions of employment, including compensation, hiring, training, promotion, transfer, discipline, and termination.

It is the obligation of every employee to comply with this policy in substance, practice, and in spirit.

You may discuss equal employment opportunity related questions with your supervisor or any other designated member of management.
41 11

2.104 Nepotism Prohibited
It is the policy of PCE to recruit, hire, and assign all employees based on merit and performance. Nepotism, the employment of relatives within an organization, Is expressly prohibited as it may cause serious conflicts and problems with favoritism and employee morale.

For purposes of this policy, a relative is any person who is related by blood or marriage, or whose relationship with an employee is like that of persons who are related by blood or marriage, such as those who are living together.

This policy applies to all employees regardless of gender or sexual orientation.

2.105 Immigration Reform and Control Act
In compliance with the federal Immigration Reform and Control Act of 1986 (IRCA), as amended, and any state law requirements, if applicable, PCE is committed to employing only individuals who are authorized to work in the United States.

Each new employee, as a condition of employment, must complete the Employment Eligibility Verification Form I-9 and present documentation establishing identity and employment eligibility. Former employees who are rehired may also be required to re-complete the form.

If an employee is authorized to work in this country for a limited period of time, the individual will be required to submit proof of renewed employment eligibility prior to expiration of that period to remain employed by PCE.

2.106 Supplemental Employment
Employees may hold supplemental jobs if they are able to continue to meet the performance standards of their job with PCE and those jobs do not create a conflict of interest. All employees will be judged by the same performance standards and will be subject to PCE’s scheduling demands, regardless of any existing supplemental work requirements.

If PCE determines that an employee’s supplemental work interferes with performance or the ability to meet the requirements of PCE as they are modified from time to time, the employee may be asked to terminate the supplemental employment if he or she wishes to remain employed by PCE.
42 12
An employee who wishes to engage in supplemental employment must complete the Attachment A. Request to Engage in Supplemental Employment Form. The form must be signed by the employee’s supervisor and the CEO.

Supplemental employment that constitutes a conflict of interest is strictly prohibited. If you have a concern regarding a potential or actual conflict, please discuss it with the CEO.

2.107 Americans with Disabilities Act
PCE is committed to complying fully with the Americans with Disabilities Act (“ADA”) and the California Fair Employment and Housing Act (“FEHA”) and ensuring equal employment opportunities to qualified individuals with disabilities. This may include providing reasonable accommodation where appropriate for an otherwise qualified individual to perform the essential functions of the job. All employment practices and activities are conducted on a non-discriminatory basis. Hiring procedures are designed to provide persons with disabilities meaningful employment opportunities. Post-offer pre-employment inquiries are made only regarding an applicant’s ability to perform the duties of the position.

It is your responsibility to notify your supervisor of the need for accommodation. Upon doing so, your supervisor may ask you for your input or the type of accommodation you believe may be necessary or the functional limitations caused by your disability. Also, when appropriate, we may need your permission to obtain additional information from your physician or other medical or rehabilitation professionals. PCE will not seek genetic information in connection with requests for accommodation. All medical information received by PCE in connection with a request for accommodation will be treated as confidential.

Reasonable accommodations for qualified individuals with known disabilities will be made unless doing so would be an undue hardship. All employment decisions are based on the merits of the situation in accordance with defined criteria, not the disability of the individual.

2.108 Access to Personnel Files
PCE maintains a personnel file on each employee. Such files include, but not limited to, employee’s job application, resume, records of training, documentation of performance appraisals and salary increases, and other employment records.

Personnel files are the property of PCE and access to the information they contain is restricted. Generally, only management-level personnel of PCE and your supervisor who have a legitimate reason to review information in a file are permitted to do so. 43 13
Upon request, current and former employees may inspect their own personnel files at a mutually agreeable time, on PCE premises in the presence of an authorized PCE management team member. A representative of the employee, with written consent from the employee, may also review an employee’s personnel file. You will be permitted to see any records regarding your qualification for employment, promotion, wage increases, earnings and deductions, or discipline. You will also be permitted to respond to anything in writing that is in the personnel file and may request that the response be included in the file. The personnel files are the property of PCE, employees may not remove or add items to their file without approval and the file must remain in the custody of PCE at all times.

Additionally, PCE will provide copies of payroll records within fifteen (15) days after a written request has been received. Exceptions include records regarding criminal investigation and any letters of reference maintained by PCE. You will be allowed to have a copy of any document that relates to your performance or any grievance that concerns you. PCE complies with state law record retention requirements for current and former employees.

For more information, contact the CFO.

2.109 Employment Reference and Background Checks
To ensure that individuals who join PCE are well qualified and have a strong potential to be productive and successful, it is the policy of PCE to check the employment references of all applicants. PCE will also conduct background checks on all potential new employees to verify prior education and employment claims and research other criminal and governmental databases for prior criminal and/or other adverse activity.

Regarding current or former PCE employees, PCE will respond in writing or verbally only to those reference check inquiries that are submitted in writing. Responses to such inquiries will confirm only dates of employment and position(s) held. NO other employment data will be released without a written authorization and release signed by the individual who is the subject of the inquiry. Currently, only the CEO is authorized to respond to reference check inquiries. The CEO has the authority to delegate this responsibility as appropriate.

2.110 Changes in Personal Data
To aid you and/or your family in matters of personal emergency, we strive to maintain up to date information. It is the responsibility of each employee to promptly notify PCE of any changes in personal data. Personal mailing addresses, telephone numbers, 44 14
number and names of dependents who are enrolled in benefit plan(s) or are beneficiaries of benefit plan(s), individuals to be contacted in the event of an emergency, educational accomplishments or credentials, and other such status reports should be accurate and current. If any personal data has changed, please notify your supervisor and the CFO in writing.

Changes that would impact your paycheck or annual reporting documents should be given to the CFO promptly.

2.111 Separation from Employment
The last day worked is the last day of employment for employees who resign or are terminated from PCE employment. All employees will be paid for all accrued and unused vacation and other applicable benefit accruals.

An employee who voluntarily resigns from PCE service will receive his/her final paycheck on the next regularly scheduled payday after the last day of employment..

An employee whose job has been terminated involuntarily will receive the final paycheck on the last day of employment or as soon thereafter as is reasonably practicable.

Should you decide to leave your employment with us, we ask that you provide your immediate supervisor with at least two weeks' advance written notice. Your thoughtfulness is appreciated and will be noted favorably should you ever wish to reapply for employment with PCE.

All voluntary terminating employees should complete a brief exit interview prior to leaving. All terminating employees, either voluntary or involuntary, will be provided information about employee benefits, conversion privileges, repayment of outstanding debts to PCE, and return of PCE-owned property. All employees are required to return all equipment including, but not limited to, keys, ID cards, and other PCE property prior to leaving PCE on the last day of work.

Continuation of Group Health Benefits- C.O.B.R.A.

In accordance with Federal law, employees and their families, at their expense, may have a temporary extension of health coverage at group rates in certain instances where coverage under the plan would otherwise terminate. Contact the CFO for more information regarding this benefit,

2.112 Social Security Number Privacy
45 15
Officers and employees are permitted to access and use certain personal information, such as Social Security Numbers, only as necessary and appropriate for such persons to carry out their assigned tasks for PCE and in accordance with PCE’s policy.

The unauthorized access, viewing, use, disclosure, or the intentionally public display of such information and the unauthorized removal of documents from PCE’s premises that contain social security number information is prohibited.

If you come into contact with Social Security Numbers or other sensitive personal information without authorization from PCE or under circumstances outside of your job duties/assigned tasks, you may not use or disclose the information further, but must contact your supervisor and turn over to him/her all copies of the information in whatever form.

3.101 Conflict of Interest/Code of Ethics
A company's reputation for integrity is its most valuable asset and is directly related to the conduct of its officers and other employees. Therefore, employees must never use their positions with PCE, or any of its customers, for private financial gain, to advance personal financial interests, to obtain favors or benefits for themselves, members of their families or any other individuals, corporations or business entities, or engage in activities, investments or associations that compete with PCE, interferes with an employee's business judgment concerning PCE's best interests, or exploits an employee's position with PCE for personal gain.

PCE strives to adhere to the highest legal and ethical standards applicable in our business. All employees of PCE have an obligation to conduct business within the guidelines that prevent actual or potential conflicts of interest and to comply with Attachment B. PCE Conflict of Interest Code.

Employees of PCE will conduct their personal affairs such that their duties and responsibilities to PCE are not jeopardized and/or legal questions do not arise with respect to their association or work with PCE.

POLITICAL ACTIVITY – PCE employees are public employees because PCE is a JPA under California Government Code Section 6500 et seq. The governing body, the Board of Directors, is comprised of publicly elected representatives of its member jurisdictions.

While California law prohibits public employers from barring its officers and employees from participation in political activities, the law permits PCE to develop guidelines prohibiting officers and employees from engaging in political activity during work hours, on agency premises, or using agency property to do so, including email. For more information, please see Attachment C. Guidelines on Employee Political Activity.

This policy does not prevent employees from discussing their wages or other terms of employment.

3.101 Standards of Conduct
Each employee has an obligation to observe and follow PCE's policies and to maintain proper standards of conduct at all times. Failure to adhere to PCE's policies will result in corrective disciplinary measures.

Disciplinary action may include a verbal warning, written warning, suspension with or without pay, and/or termination of employment. The appropriate disciplinary action imposed will be determined by PCE. PCE does not guarantee that one form of action will necessarily precede another.
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Among other things, the following may result in disciplinary action, up to and including termination of employment:
• Violation of PCE's policies or safety rules;
• Failing to work in a cooperative manner with management, co-workers, customers and others who do business with PCE;
• Unauthorized or illegal possession, use, or sale of alcohol or controlled substances on work premises or during working hours, while engaged in company activities; [Section 3.107]
• Unauthorized possession, use, or sale of weapons, firearms, or explosives on work premises;
• Theft or dishonesty;
• Inappropriate or violent physical contact;
• Harassment; [Section 3.103]
• Discrimination or retaliation in violation of PCE's EEO and No Harassment policies; [Section 3.103]
• Performing outside work or use of company property, equipment, or facilities in connection with outside work while on company time;
• Engaging in unethical or illegal conduct;
• Unauthorized disclosure of business “secrets” or confidential proprietary information; [Section 3.104]
• Poor attendance or poor performance.

These examples are not exhaustive. We emphasize that termination of employment decisions will be based on an assessment of all relevant factors.

Nothing in this policy is designed to limit an employee's rights under Section 7 of the National Labor Relations Act.

Nothing in this policy is designed to modify PCE’s employment-at-will policy.

3.103 No Harassment
We are committed to providing a work environment that is free of unlawful harassment, discrimination and retaliation. In furtherance of this commitment, PCE strictly prohibits all forms of unlawful discrimination and harassment, including: discrimination or harassment on the basis of race, religious creed, color, national origin, ancestry, physical disability, mental disability, protected medical condition (including genetic characteristic), genetic information, marital status, sex (including pregnancy, childbirth or related medical condition, or breast feeding), sexual orientation (including homosexuality, bisexuality, or heterosexuality, or any other protected class under federal, state, or local law), gender, gender identity or expression (including transgender), age for individuals over forty years of age, military or veteran status, 49 19
sexual orientation, citizenship status, or any other category protected by applicable state or federal law.

PCE's policy against unlawful harassment, discrimination and retaliation applies to all employees, including supervisors and managers, as well as to all unpaid interns and volunteers. PCE prohibits managers, supervisors and employees from harassing co-workers as well as PCE's customers, vendors, suppliers, independent contractors, and others doing business with PCE. Any such harassment will subject an employee to disciplinary action up to and including immediate termination. PCE likewise prohibits its customers, vendors, suppliers, independent contractors and others doing business with PCE from harassing, discriminating, or retaliating against our managers, supervisors and employees.

Examples of Prohibited Sexual Harassment: Sexual harassment includes a broad spectrum of conduct including harassment based on sex, gender, gender identity or expression, and sexual orientation. By way of illustration only, and not limitation, some examples of unlawful and unacceptable behavior include:
• Unwanted sexual advances;
• Offering an employment benefit (such as a raise, promotion or career advancement) in exchange for sexual favors, or threatening an employment detriment (such as termination or demotion) for an employee's failure to engage in sexual activity;
• Visual conduct, such as leering, making sexual gestures, and displaying or posting sexually suggestive and/or derogatory objects or pictures, drawings, cartoons or posters;
• Verbal sexual advances, propositions, requests or comments; • Sending or posting sexually-related messages, videos or messages via text, instant messaging, or social media;
• Verbal abuse of a sexual nature, graphic verbal comments about an individual’s body, sexually degrading words used to describe an individual, and suggestive or obscene letter, notes or invitations;
• Physical conduct, such as touching, groping, assault, or blocking movement; • Physical or verbal abuse concerning an individual’s gender, gender identity or gender expression; and
• Verbal abuse concerning a person’s characteristics such as pitch of voice, facial hair or the size or shape of a person’s body, including remarks that a male is too feminine, or a woman is too masculine.

Other Examples of What Constitutes Prohibited Harassment: In addition to the above listed conduct, PCE strictly prohibits harassment concerning any other protected characteristic. By way of illustration only, and not limitation, such prohibited harassment includes:
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• Racial or ethnic slurs, epithets, derogatory comments and any other offensive remarks;
• Jokes, whether written, verbal, or electronic;
• Threats, intimidation, and other menacing behavior;
• Assault, impeding or blocking movement, or any physical interference with normal work or movement;
• Inappropriate verbal, graphic, or physical conduct;
• Sending or posting harassing messages, videos or messages via text, instant messaging, or social media; and
• Other harassing conduct based on one or more of the protected categories identified in this policy.

If you have any questions about what constitutes harassing behavior, ask your supervisor or another member of management.

Prohibition Against Retaliation: PCE is committed to prohibiting retaliation against those who themselves or whose family members report, oppose, or participate in an investigation of alleged unlawful harassment, discrimination, or other wrongdoing in the workplace. By way of example only, participating in such an investigation includes, but is not limited to:
• Making or filing an internal complaint with PCE regarding alleged unlawful activity;
• Providing notice to PCE regarding alleged unlawful activity; • Filing a complaint with a federal or state enforcement or administrative agency; • Participating in or cooperating with a federal or state enforcement agency conducting an investigation of PCE regarding alleged unlawful activity; • Testifying as a party, witness, or accused regarding alleged unlawful activity; and • Assisting another employee who is engaged in any of these activities.

PCE is further committed to prohibiting retaliation against qualified employees who request a reasonable accommodation for any known physical or mental disability and employees who request a reasonable accommodation of their religious beliefs and observances.

Reporting Process – Making a Complaint
Any employee, job applicant, unpaid intern, volunteer, or contractor who believes they been harassed, discriminated against or retaliated against in violation of this policy by another employee, supervisor, manager or third-party doing business with PCE, you should immediately report it orally or in writing to the CEO. In addition, if you observe harassment by another employee, supervisor, manager or non-employee, please report the incident immediately to the CEO. If the CEO is alleged to be involved in the harassment, the Chair of the PCE Board must be notified. 51 21
Supervisors who receive any complaint of harassment, discrimination or retaliation must promptly report such complaint immediately to the CEO so that PCE may resolve the complaint internally. As noted above, if the complaint is against the CEO, the Chair of the PCE board should be notified.

Notification of the problem is essential to us. We cannot help to resolve a harassment problem unless we know about it. Therefore, it is your responsibility to bring your concerns and/or problems to our attention, so we can take whatever steps are necessary to address the situation. PCE takes all complaints of unlawful harassment seriously and will not penalize you or retaliate against you in any way for reporting a harassment problem in good faith.

All complaints of unlawful discrimination, harassment, or retaliation which are reported to the CEO or the Chair of the PCE Board, as applicable, will receive a timely response and will be thoroughly investigated in a fair and prompt manner by impartial and qualified personnel. Investigations will be conducted in a manner which provides all parties with appropriate due process, reaches a reasonable conclusion based on evidence collected and ensures timely closure. In addition, PCE will ensure that the investigation is properly documented and tracked for reasonable progress. Upon conclusion of such investigation, appropriate remedial and corrective action will be taken where warranted, including disciplinary action, up to and including immediate termination. PCE prohibits employees, supervisors, and managers from hindering internal investigations and the internal complaint procedure. All complaints of unlawful misconduct reported to the CEO (or the Chair of the PCE Board) will be treated as confidentially as possible, consistent with PCE's need to conduct an adequate and thorough investigation.

Violation of this policy will subject an employee to disciplinary action, up to and including immediate termination. Moreover, any employee, supervisor or manager who condones or ignores potential violations of this policy will be subject to appropriate disciplinary action, up to and including termination. Additionally, under California law, employees may be held personally liable for harassing conduct that violates the California Fair Employment and Housing Act.

This policy is not intended to prohibit employees, job applicants, unpaid interns, volunteers, or contractors from filing complaints with the California Department of Fair Employment and Housing or the federal Equal Employment Opportunity Commission or to prevent them from pursuing other available judicial remedies. These agencies may be contacted as follows:

California Department of Fair Employment and Housing (DFEH) (800) 884-1684 or www.dfeh.ca.gov
Federal Equal Employment Opportunity Commission (EEOC)
(800) 669-4000 or www.eeoc.gov
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PCE requires that every employee complete a one (1) hour workplace harassment prevention training course every twelve (12) months. The CFO will monitor and maintain records of all required trainings. PCE will provide the training through an on-line course.

3.104 Protecting PCE Information
Protecting PCE’s information is the responsibility of every employee. You are not to discuss PCE's confidential business or proprietary business matters, or share confidential, personal employee information (such as social security numbers, personal banking or medical information) with anyone who does not work for us such as friends, family members, members of the media, or other business entities.

Upon commencement of employment, each PCE employee must sign the Attachment D. PCE Employee Confidentiality Agreement. The protection of confidential business information and trade secrets is vital to the interest and success of PCE. Such confidential information includes, but is not limited to, the following examples:
• Computer programs and codes
• Customer lists and information
• Customer preferences
• Financial information
• Power supply information
• Marketing strategies
• Pending projects and proposals
• Research and development strategies
Employees who improperly use or disclose trade secrets or confidential business information will be subject to disciplinary action, up to and including termination of employment, even if they do not actually benefit from the use or disclosure.

As a public agency, PCE is subject to the California Public Records Act and the open meeting requirements of the Brown Act. Disclosures of information in compliance with these or any other open government requirement is not a violation of this policy.

However, employees with access to PCE information are required to follow applicable policies, procedures, and supervisory direction when disclosing information to the public so that PCE may assure that the information released in complete, accurate and properly presented. For more information, please see Attachment E. Customer Confidentiality Policy.

3.105 Use of Personal Devices, including PCE Issued Devices Upon employment with PCE you will be issued a PCE encrypted laptop. Due to the confidential nature of information at PCE, it is PCE’s policy that you are not to utilize any other laptop or similar device (including but not limited to tablets, laptops, or computers) to conduct PCE business. Employees must physically secure their PCE issued devices against theft, loss or unauthorized use, including the use of password protection. This is especially critical if your job duties require you to use your PCE device outside the office. All PCE issued devices will be provided with a temporary password which you will be able to change upon your first log in. If any PCE device is lost or stolen, you must immediately contact your immediate supervisor who will notify the appropriate level of management so that your laptop is completely deactivated.

PCE’s IT security policy provides that all PCE work product be stored on the cloud storage system, BOX. Work product, even temporary in process files, must all be file saved to BOX. Since BOX is a cloud storage system and your PCE issued laptops are encrypted, you would be able to access files while not in the office in a protected fashion.

Modern communication includes the frequent use of cell/smart phones. PCE does not provide PCE issued cell/smart phones. You will be required to use your personal cell/smart phone for PCE business. A taxable phone allowance will be provided to all employees to compensate them for the use of their personal device for PCE business.

Non-exempt employees may not use their personal devices for work purposes outside of their normal work schedule without authorization in advance from their immediate supervisor. This includes but is not limited to reviewing, sending, and responding to e-mails or text messages, and responding to or making calls. Time spent by non-exempt employees using their own devices to perform work outside of regular working hours must be included on their time sheet.

Employees are expected to exercise the same discretion in using their personal devices while working as is required for using PCE owned devices. This includes, but is not limited to, compliance with PCE policies pertaining to harassment, discrimination, retaliation, trade secrets, proprietary business and confidential information, electronic communications, and ethics. Employees must also comply with all applicable state, federal and local laws governing the use of such electronic devices. Failure to follow policies, procedures and/or applicable laws may result in disciplinary action up to and including termination of employment. Please see Attachment F. Acceptable Use of Electronic Communications Policy and Attachment I. Technology Security Policy for further information.

3.106 Smoking in the Workplace
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PCE is committed to providing a safe and healthy environment for employees and visitors. Smoking, including the use of e-cigarettes, is not permitted. In addition, local ordinances and provisions of our office lease regarding smoking must be adhered to.

Violations of this policy may result in disciplinary action, up to and including termination of employment.

3.107 Drug and Alcohol Use
It is PCE’s desire to provide a drug-free, alcohol-free, healthful, and safe workplace. To comply with the federal Drug-Free Workplace Act of 1988, PCE requires that employees not report to work if their ability to perform their job duties is impaired due to alcohol or drug use. Further, PCE employees may not use alcohol or illegal drugs and/or prescription drugs without a prescription during work hours, breaks, or at any time while on paid status and/or on work premises. Exceptions to the use of alcohol on work premises for special events may be made at the sole discretion of the CEO of PCE.

No employee may directly or through others sell or provide illegal or illegally obtained drugs while in a paid status.

Employees who are convicted of a criminal drug violation occurring in the workplace must notify their supervisors as soon as possible.

PCE will attempt to reasonably accommodate an employee with chemical dependencies (alcohol or drugs) if the employee voluntarily wishes to seek treatment and/or rehabilitation before being found in violation of this policy. Employees desiring that assistance should request an unpaid treatment or rehabilitation leave of absence.

PCE is committed to providing assistance to its employees to overcome substance abuse problems. PCE will reasonably accommodate any employee who wishes to voluntarily enter and participate in an alcohol or drug rehabilitation program. This accommodation may include an adjusted work schedule or time off without pay, provided the accommodation does not impose an undue hardship on PCE. Employees may use any accrued sick or vacation benefits while on leave under this policy.

However, additional benefits will not be earned during the unpaid portion of the leave of absence. A leave of absence under this section will be subject to the same provisions and rules as apply to medical leaves of absence. PCE will safeguard the privacy of an employee’s participation in a rehabilitation program.

Employees should notify the CEO if they need to request an accommodation under this policy.

PCE support for treatment and rehabilitation does not obligate PCE to employ any person who violates the PCE drug and alcohol abuse policy or whose job performance is impaired because of substance abuse. PCE is also not obligated to continue to 55 25
employ any person who has participated in treatment or rehabilitation if that person’s job performance remains impaired as a result of alcohol or drug dependency.

Your employment or continued employment with PCE is conditioned upon your full compliance with the foregoing policy. Any violation of this policy may result in disciplinary action, up to and including termination of employment. Further, any employee who violates this policy who is subject to termination of employment, may be permitted in lieu of termination of employment, at PCE's sole discretion, to participate in and successfully complete an appropriate treatment, counseling or rehabilitation program as recommended by a substance abuse professional as a condition of continued employment and in accordance with applicable federal, state, and local laws.

Various federal, state, and local laws protect the rights of individual with disabilities and others with regard to the confidentiality of medial information, medical treatment, and the use of prescription drugs and substances taken under medical supervision. Nothing contained in this policy is intended to violate such regulations or interfere with individual rights thereunder.

3.108 Drug Testing
PCE is committed to providing a safe, efficient, and productive work environment for all employees. In support of this commitment, PCE seeks to provide a workplace that is free from the harmful effects of drug and alcohol abuse. To further its interest in service to the community, avoiding accidents, promoting and maintaining a safe and productive workplace and protecting PCE property, equipment, and operation, PCE may conduct drug and alcohol testing, as provided in this policy. This policy is intended to apply to all employees, regardless of appointment type or time basis, including, without limitation, full-time, part-time, regular, temporary and management employees.

Using or being under the influence of drugs or alcohol on the job may pose serious safety and health risks. It is also a violation of PCE policy. Please see the policy on Drug and Alcohol Use in Section 3.107 above. To help ensure a safe and healthful working environment, job applicants and employees may be subject to drug and alcohol testing and may be asked to provide body substance samples (such as urine) to determine the use of drugs or alcohol in violation of PCE policies under the following circumstances:
• Reasonable suspicion testing: Employees will be subject to testing where there is reasonable suspicion that the employee has violated PCE’s drug and alcohol use policies. Reasonable suspicion is the good faith belief based on specific articulable perception and reasonable inferences drawn from such perceptions that an employee may have violated this policy and that testing may reveal facts and evidence related to that perceived violation. Perceptions or reasonable inferences supporting reasonable suspicion may include, but are not 56 26
limited to, an employee’s manner, disposition, muscular movement, appearance, unusual behavior, speech or breath odor; information provided by an employee, law enforcement official or other person believed to be reliable; or other surrounding circumstances. For purposes of ordering testing, reasonable suspicion will only exist where the CEO and another member of PCE’s executive leadership team has reviewed circumstances in a particular case and concurs in the finding of reasonable suspicion.
• Follow up testing: An employee who has been found to be in violation of PCE’s drug and alcohol use policies may be required to submit to periodic, unannounced testing for one year, starting on a date established by the CEO.

For testing, the employee will be referred to an independent Substance Abuse and Mental Health Services Administration (SAMHSA) certified medical clinic or laboratory, which will administer the test. PCE will pay the cost of the test and reasonable transportation cost to the testing facility. The applicant or employee will have an opportunity to alert the clinic or laboratory personnel to any prescription or non-prescription drugs that she or he has taken that may affect the outcome of the test.

Positive results from initial screening will be confirmed by a second testing method and will not be reported as positive without confirmation. In the event of a reported positive test, the applicant or employee may have the same sample retested at a laboratory of the employee’s choice at the employee’s expense.

Testing or drug testing under this policy may include amphetamines and methamphetamines, cocaine, marijuana/cannabinoids (THC), opiates (narcotics), phencyclidine (PCP), barbiturates, benzodiazepines, methaqualone, and alcohol. Cut-off levels for determining a positive test will be those established in the SAMHSA Mandatory Guidelines for Federal Drug Testing Programs. The cut-off level for a positive alcohol test (both initial and confirmation) will be 0.02 percent (0.02 gm/210 liters of breath or 0.02 gm/deciliter of blood or 0.02 mg/ml of urine). Testing will normally be performed by urinalysis or, for alcohol testing, may also include breath testing. The substances for which drug and alcohol tests are performed and cut-off levels may be modified from time-to-time with prior written notice from the CEO or amendment of this policy.

If an employee who is subject to testing refuses to cooperate with the administration of the test, the refusal will be considered a positive test result. A refusal to cooperate includes, but is not limited to, refusing to appear for a test; unreasonably failing to submit a sample for testing; tampering with, substituting, adulterating, masking or water-loading a sample; or obstructing or not fully cooperating with testing procedures.

All records of the circumstances and results of substance testing under this policy will remain confidential applicant or personnel records. Laboratory reports and test results will be maintained in a file separate from an employee’s personnel file. Information may only be released to the employee who was tested, or other individuals designated in writing by the employee; to a medical review officer; to the extent necessary to properly 57 27
supervise or assign the employee; as necessary to determine what action should be taken in response to the test results and for use in responding to appeals, litigation or administrative proceedings arising from or related to the test or related actions.

Questions concerning this policy, or its administration should be directed to the CEO.

3.109 Attendance and Punctuality
Attendance and punctuality are important factors for your success within PCE. We work as a team which requires that each person be in the right place at the right time. For scheduled days off, employees are required to notify their supervisor as far in advance as possible, and to submit a request through the Personal Time Off (PTO) request system. In addition, it is also required that employees update their company calendar so that their fellow employees are aware of their time off schedule. If you are going to be late for work, notify your supervisor as far in advance as is feasible under the circumstances.

If you are absent for three days without prior approval and/or without notifying PCE, it will be assumed that you have voluntarily terminated your employment with PCE, and you will be removed from the payroll effective as of the first day of that three-day absence.

3.110 Personal Appearance
Employees are expected to maintain high standards of personal cleanliness and present a neat and professional appearance.

Our customers' satisfaction represents the most important and challenging aspect of our business. Whether or not your job responsibilities place you in direct customer contact, you represent PCE with your appearance as well as your actions. The properly attired individual helps to create a favorable image for PCE, to the public and fellow employees. PCE maintains a business casual environment. All employees should use discretion in wearing attire that is appropriate for their job.

3.111 Non-Solicitation
PCE believes employees should have a work environment free from interruptions of a non-work-related nature, as work time is for work. For purposes of this policy, solicitation includes, but is not limited to, collection of any debt or obligation, raffles of any kind or chance taking, the sale of merchandise or business services, or the attempt 58 28
to sell any product or service Such interruptions can be both detrimental to the quality of work and efficiency and may not be respectful of others job responsibilities.

Employees may not engage in solicitation for any purpose during work time, which includes the working time of the employee who seeks to solicit and the employee who is being solicited. Although solicitation is not encouraged, it is permitted if it is limited to the employee's break and lunch time and kept out of active working areas. Nothing in this policy is intended to restrict an employee's statutory rights, including discussing terms and conditions of employment.

3.112 Acceptable Use of Electronic Communications/Workplace Monitoring
This policy provides guidelines for electronic communications created, sent, received, used, transmitted, or stored using PCE's communication systems or equipment and employee provided systems or equipment used either in the workplace, during working time or to accomplish work tasks. “Electronic communications” include, among other things, messages, images, text data or any other information used in e-mail, instant messages, text messages, voice mail, fax machines, computers, personal digital assistants (including tablets or similar devices), pagers, telephones, cellular and mobile phones including those with cameras, Intranet, Internet, back-up storage, information on a memory or flash key or card, jump or zip drive or any other type of internal or external removable storage drives. In the remainder of this policy, all these communication devices are collectively referred to as “systems.”
Acceptable Uses of Our Systems: Employees may use our systems to communicate internally with co-workers or externally with customers and other business acquaintances for business purposes.

PCE Control of Systems and Electronic Communications: All electronic communications contained in PCE systems are PCE records and/or property. Although an employee may have an individual password to access our systems, the systems and communications belong to PCE. The systems and electronic communications are accessible to PCE at all times, including periodic unannounced inspections. Our systems and electronic communications are subject to use, access, monitoring, review, recording and disclosure without further notice. Employee communications on our system are not confidential or private.

PCE's maintains the right to access, monitor, record, use, and disclose electronic communications sent on PCE systems without further notice to the employee.

Personal Use of Our Systems: Personal communications in our systems are treated the same as all other electronic communications and will be used, accessed, recorded, monitored, and disclosed by PCE at any time without further notice. Since all electronic 59 29
communications and systems can be accessed without advance notice, employees should not assume confidentiality.

Proprietary Business Information: Proprietary business information means confidential and proprietary materials related to PCE's trade secrets, business models, business services, sales agreements, pricing information, customer lists, inventions, vendor agreements, strategic business or marketing plans, expansion plans, contracts, non-public financial performance information and other information that derives economic value by being protected from public consumption or competitors, and may only be used on PCE systems. Proprietary business information may not be downloaded, saved, or sent to a personal laptop, personal storage device, or personal email account under any circumstances. Proprietary business information does not restrict employee rights to discuss their wages, hours or other terms of employment.

Prohibited Uses of Our Systems: Employees may not use PCE systems in a manner that is unlawful, wasteful of PCE resources, or unreasonably compromises employee productivity or the overall integrity or stability of PCE's systems. These tools are provided to assist employees with the execution of their job duties and should not be abused. Examples of prohibited uses include, among other things, sexually explicit messages, images, cartoons, or jokes; propositions or love letters; ethnic or racial slurs; or any other message or image that may be in violation of company policies.

In addition, employees may not use PCE systems:
• To download, save, send or access any discriminatory, obscene, or malicious or knowingly false material;
• To download, save, send or access any music, audio or video file unless business related;
• To download anything from the internet (including shareware or free software); • To download, save, send or access any site or content that PCE might deem “adult entertainment;”
• To attempt or to gain unauthorized or unlawful access to computers, equipment, networks, or systems of PCE or any other person or entity; • In connection with any infringement of intellectual property rights, including but not limited to copyrights;
• In connection with the violation or attempted violation of any law; and • To improperly transmit proprietary business information or client material such as pricing information or trade secrets.

Electronic Forgery: An employee may not misrepresent, disguise, or conceal his or her identity or another’s identity in any way while using electronic communications; make changes to electronic communications without clearly indicating such changes; or use another person’s account, mailbox, password, etc. without prior written approval of the account owner and without identifying the actual author. 60 30
Intellectual Property Rights: Employees must always respect intellectual property rights, including copyrights and trademarks.

System Integrity, Security, and Encryption: PCE contracts with an IT service provider – All Covered – to provide various IT support, including security. PCE encrypts all computers to maintain system integrity and security. All systems passwords and encryption keys must be available and known to PCE’s IT service provider. Employees may not install password or encryption programs. Employees may not use the passwords and encryption keys belonging to others.

Applicable Laws: Numerous state and federal laws apply to electronic communications. PCE complies with applicable laws. Employees also must comply with applicable laws and should recognize that an employee could be personally liable and/or subject to fine and imprisonment for violation of applicable laws.

Consequences of Policy Violations: Violations of this policy may result in disciplinary action up to and including immediate termination of an employee's employment as well as possible civil liabilities or criminal prosecution. Where appropriate, PCE may advise legal officials or appropriate third parties of policy violations and cooperate with official investigations. We will not, of course, retaliate against anyone who reports possible policy violations or assists with investigations.

If you have questions about the acceptable use of our systems or the content of electronic communications, ask the CEO for clarification.

3.113 Company Document Management
PCE uses the cloud-based platform BOX (www.box.com) as a document management system. All employees are required to save all PCE related documents on BOX without exception. This will allow PCE to access the documents in the event of lost laptop/Mac and maintain the security of PCE documents.

3.114 Social Media
“Social media” includes all means of communicating or posting information or content of any sort on the Internet, including an employee’s own or someone else’s web log or blog, journal or diary, personal web site, social networking or affinity web site, web bulletin board or chat room, whether or not the platform is associated or affiliated with PCE.

In general, all official PCE social media postings will be managed by the Communication and Outreach department.

To protect PCE’s interests, employees must adhere to the following guidelines:
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• Other than for PCE business purposes, employees may not post on a personal blog or personal social networking site during their work hours or at any time using PCE equipment or property. PCE’s electronic communication systems are for business use only.
• If an employee identifies himself or herself as an employee of PCE on any social networking site for purposes other than PCE-authorized business purposes, the communication must include a disclaimer that the views expressed do not necessarily reflect the view of the PCE management.
• All rules regarding confidential business information apply to blogs and social networking sites. Any information that cannot be disclosed through a conversation, a written note, or an e-mail also cannot be disclosed on a blog or social networking site. The transmission of confidential or proprietary information without the permission of PCE is prohibited.
• If an employee mentions PCE in a blog or elsewhere on social media, or it is reasonably clear that the employee is referring to PCE or a position taken by PCE, and also expresses a political opinion or an opinion regarding PCE’s position, action, or products, the post must specifically disclose the employee’s relationship with PCE and note that the opinion expressed is a personal opinion and not PCE’s position.
• Any conduct which is impermissible under law if expressed in any other form or forum is impermissible if expressed through a social networking site. For example, posted material that is discriminatory, defamatory, libelous, or malicious is forbidden. PCE’s policies, including but not limited to the Equal Employment Opportunity, Sexual Harassment, Harassment and Workplace Violence policies apply equally to employee comments on social networking sites even if done on nonworking time.

Nothing in this policy is designed to limit an employee's right under Section 7 of the National Labor Relations Act, including discussing wages or other terms of employment.

If you have questions or need further guidance, please contact the Communications and Outreach Manager.

3.115 Contact with PCE
The location of PCE employees during business hours should be known to a supervisor.

All PCE employees will keep an updated electronic calendar reflecting his or her whereabouts during work hours.
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3.116 Customer and Public Relations
PCE’s reputation is built on excellent service and quality work. To maintain this reputation requires the active participation of every employee.

The opinions and attitudes that customers (and vendors) have toward PCE may be influenced by the actions of one employee for a long period of time. It is sometimes easy to take a customer for granted, but when this occurs, we run the risk of losing not only that customer, but his or her associates, friends, or family who may also be customers or prospective customers. Each employee must be sensitive to the importance of providing courteous treatment in all working relationships. 63 33
SECTION 4: WORKING CONDITIONS

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4.101 Expectation of Privacy
PCE reserves the right to search, without employee consent, all areas over which PCE maintains control or joint control with the employee. Therefore, employees should have no expectation of privacy at PCE or joint controlled workplace areas which include, but are not limited to, offices, cubicles, work locations, employer provided or designated parking areas, desk, computers (including electronic files), voicemail, e-mail, PCE issued cell phones, or rest or eating areas.

Desks, file cabinets, and other storage devices, including electronic storage, may be provided for the convenience of employees but remain the sole property of PCE.

Accordingly, they, as well as any articles found within them, can be inspected by any supervisor or other authorized representative of PCE at any time, with or without prior notice.

4.102 Performance Reviews
Your performance is important to PCE. Once each year, on or about your anniversary date (unless the annual date has been adjusted per the terms of Section 7 relating to leaves longer than 60 days), your supervisor will review your job progress within PCE and help you set new job performance plans. If approved, the annual performance review may be accompanied by a base salary increase.

New employees will generally be reviewed at the end of their introductory period. (Refer to 6.101 for definition)
Our performance review program provides the basis for better understanding between you and your supervisor, with respect to your job performance, potential and development within PCE.

The CFO will monitor the timely completion of the annual performance reviews.

4.103 Coaching, Counseling, and Progressive Discipline
Notwithstanding 4.102, your employment at PCE is at-will and as such may be terminated without advance notice, with or without reason or cause, and without right of appeal. PCE in its sole discretion as an at-will employer maintains the right to provide coaching, counseling, and progressive discipline to employees. Such coaching, counseling, and/or progressive discipline will be provided if, in the opinion of management, it would be of mutual benefit to PCE and the employee.

While performance reviews are generally thought of as being a positive, skill-building process, coaching, counseling, and progressive discipline will be employed, when considered necessary so that employee issues can be corrected at early stage, assist 65 35
the employee to correct the problem, prevent reoccurrence, and prepare the employee for satisfactory performance in the future.

If disciplinary action is deemed warranted, it may call for any of five steps which include, but are not limited to: verbal warning, written warning, suspension with or without pay, demotion, or termination of employment. Although PCE may take a progressive discipline approach, the CEO has the right to determine what disciplinary action is appropriate in each situation. The CEO is not required to treat each incident as a step in a series of progressive discipline any may terminate an employee based on his/her discretion.

If a supervisory employee believes an employee needs to be coached, counseled, or disciplined, such conversations will take place with two management/supervisory employees present. Prior to any discussions, the matter should be discussed with the CEO to ensure that the actions being contemplated are appropriate.

4.104 Talk to Us
We encourage you to bring your questions, suggestions and complaints to our attention.

We will carefully consider each of these in our continuing effort to improve operations.

If you believe you have a problem, present the situation to your supervisor so that the problem can be settled by examination and discussion of the facts. We hope that your supervisor will be able to satisfactorily resolve most matters.

If you still have questions after meeting with your supervisor or if you would like further clarification on the matter, request a meeting with the CEO who will review the issues and meet with you to discuss possible solutions.

Your suggestions and comments on any subject are important, and we encourage you to take every opportunity to discuss them with us. If at any time you do not feel comfortable speaking with your supervisor or the next level of management, you may discuss your concern with any other member of management with whom you feel comfortable.

4.105 Safety
Safety can only be achieved through teamwork at PCE. Each employee, supervisor and manager must practice safety awareness by thinking defensively, anticipating unsafe situations, and reporting unsafe conditions immediately.

Each employee is expected to obey safety rules and to exercise caution in all work activities. Employees must comply with all occupational safety and health standards and 66 36
regulations established by the Occupational Safety and Health Act and state and local regulations. Employees are expected to report all work-related injuries or illnesses immediately to the supervisor. In compliance with California law, and to promote the concept of a safe workplace, PCE maintains an Injury and Illness Prevention Program (IIPP). The PCE - Injury and Illness Prevention Program is available to all employees and/or employee representatives for review by request from the CFO.

Some of the best safety improvement ideas come from employees. Those with ideas, concerns, or suggestions for improved safety in the workplace are encouraged to raise them with their supervisor, or with another supervisor or manager. Reports and concerns about workplace safety issues may be made anonymously if the employee wishes. All reports can be made without fear of retaliation.

A violation of a safety precaution is an unsafe act. A violation may lead to disciplinary action, up to and including termination of employment.

4.106 Visitors
If you are expecting a visitor, please notify your supervisor. All visitors must first check in at the reception area. Visitors are not allowed in any locked and/or secured area of the building without being accompanied by an authorized employee. Under no circumstances will visitors be allowed in confidential and/or unauthorized areas.

4.107 Workplace Violence
Violence by an employee or anyone else against an employee, supervisor or member of management will not be tolerated. The purpose of this policy is to minimize the potential risk of personal injuries to employees at work and to reduce the possibility of damage to PCE property in the event someone, for whatever reason, may be unhappy with a PCE decision or action by an employee or member of management.

If you receive or overhear any threatening communications from an employee or outside third party, report it to the CEO at once. Do not engage in either physical or verbal confrontation with a potentially violent individual. If you encounter an individual who is threatening immediate harm to an employee or visitor to our premises, contact an emergency agency (such as 911) immediately.

All reports of work-related threats will be kept confidential to the extent possible, investigated and documented. Employees are expected to report and participate in an investigation of any suspected or actual cases of workplace violence and will not be subjected to disciplinary consequences for such reports or cooperation. Violations of this policy, including your failure to report or fully cooperate in PCE's investigation, may result in disciplinary action, up to and including termination of employment. 67 37
Possession, use, or sale of weapons, firearms or explosives on work premises, while operating PCE equipment or vehicles for work-related purposes or while engaged in PCE business off premises is forbidden except where expressly authorized by PCE and permitted by state and local laws. This policy applies to all employees, including but not limited to, those who have a valid permit to carry a firearm.

If you are aware of violations or threats of violations of this policy, you are required to report such violations or threats of violations to the CEO immediately.

Violations of this policy will result in disciplinary action, up to and including termination of employment.

4.108 Travel/Expense Accounts
PCE will reimburse employees for reasonable expenses incurred through pre-approved business travel or business entertainment. All cash advances must be accounted for, and expense receipts are required.

The following business expenses will be reimbursed, subject to pre-approval:
• Travel Expense, including cab or peer-to-peer ride sharing services • Automobile/Mileage (rate per mile will be reimbursed at the prevailing IRS rate. • Airfare or train travel in coach or economy class, or equivalent if personal car is used
• Car rental fees, only for compact or mid-sized cars
• Lodging
• Tips and incidental expenditures
• Cost of meals, provided that the cost is reasonable. Any and all alcohol expenses will be excluded and not reimbursed.

This list is not all-inclusive. See the CFO regarding additional reimbursable business expenses.
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SECTION 5: BENEFITS
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5.101 Employee Benefits
PCE offers a comprehensive set of employee benefit programs to supplement our employees' regular wages. Several of the programs (e.g., Social Security, workers’ compensation, state disability, and unemployment insurance) cover all employees in the manner prescribed by prevailing law.

This Employee Handbook describes the benefit plans maintained by PCE as of the date of publication of the handbook. Refer to the actual plan documents and summary plan descriptions if you have specific questions regarding the most up to date benefit plan.

PCE reserves the right to modify and/or terminate its benefits at any time. We will keep you informed of any changes. Employee access to actual plan documents and Summary Plan Descriptions can be found at this link here.

5.101(a) Health Insurance (Medical, Dental, and Vision) Eligible full-time employees may enroll in health insurance plans covering medical, dental and vision. Employees are also permitted to enroll their eligible dependents based on the definitions in the plans. Eligibility may be defined by state law and/or by the insurance contract. Participating employees or dependents are also covered under our medical insurance plan’s prescription drug program
Following submittal and approval of the plan applications, employees will be covered on the first calendar day of the month following the start of employment. If employment starts on the first calendar day of the month, coverage will be effective on employment start date.

To assist with the cost of this insurance, PCE pays a substantial portion of the cost of insurance coverage. Depending on the insurance coverage, dependent coverage may require sharing of some of the cost of the employee contribution through payroll deductions. Refer to the current HR Benefits Summary located here for a summary description of dependent coverage.

Information regarding eligibility of continuation of coverage following employment termination can be found at Section 5.105.

Refer to the actual plan document and summary plan description if you have specific questions regarding eligibility for coverage or other aspects of each benefit plan. Those documents are controlling.

Enrollment forms and a booklet containing the details of the plan and eligibility requirements are contained in your on-boarding materials. Completed forms should be returned to the CFO.
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5.101(b) Long Term Disability Insurance
PCE pays the full cost of long-term disability insurance in the event an employee is unable to work for longer than 90 days due to illness or injury. Coverage is at 60% of the base compensation at the time of disability up to a maximum of $5,000 per month.

Coverage begins on the first day of the month following start of employment. In the case that employment starts on the first day of the month, coverage begins on that day.

Refer to the actual plan document and summary plan description if you have for specific questions regarding your eligibility for coverage or other aspects of this benefit plan.

Those documents are controlling

5.101(c) Social Security and Unemployment Insurance
During your employment, you and PCE both contribute funds to the federal government to support the Social Security program. This program is intended to provide you with retirement benefit payments and medical coverage once you reach retirement age.

Unemployment Insurance - Upon separation from employment from PCE, you may be entitled to state and federal unemployment insurance benefits. In the event of employment termination, required documents regarding eligibility will be shared with you. Please direct questions to the CFO and/or the CEO.

5.101(d) Life Insurance
Eligible full-time employees may enroll in a plan to provide basic life insurance coverage of $50,000 effective as of the first day of the month following employment start date. If employment starts on the first day of the month, coverage will be effective on employment start date. Eligibility may be defined by state law and/or by the insurance contract. You must complete an insurance form and designate your beneficiary.

PCE pays the full cost of the monthly insurance premium for basic life insurance.

Refer to the actual plan document and summary plan description if you have specific questions regarding your eligibility for coverage or other aspects of this benefit plan.

Those documents are controlling.

Employees are also eligible to apply for Supplemental Life Insurance in excess of the basic $50,000 level for themselves or their eligible spouse and/or dependents. The cost of Supplemental life Insurance is fully paid by employees through payroll deduction. 71 41
Employees are required to pay for the full cost of supplemental life insurance for their spouse and dependents.

Enrollment forms and a booklet containing the details of the plan and eligibility requirements are contained in your on-boarding materials. Completed forms should be returned to the CFO.

5.101(e) Section 125 Plan
PCE offers a pretax contribution option for employees to participate in a Section 125 plan that enables contributions toward health insurance premiums and out-of-pocket medical expenses and/or dependent care expenses on a “pre- tax”, rather than an “after tax” basis. Eligible full-time employees may enroll in the plan effective on the first day of the month following thirty days of employment, although pre-tax payroll deductions for health insurance premiums will start upon the enrollment date of those plans.

Premium contributions and contributions toward other qualified expenses are deducted from gross pay before income taxes and Social Security is calculated. If you wish to participate in this plan, enrollment forms are contained in your on-boarding materials.

Completed forms should be returned to the CFO.

Changes cannot be made to pretax contributions until the next open enrollment period unless your family status changes, or you become eligible for a special enrollment period due to a loss of coverage. We will notify you in advance of any open enrollment period. Family status changes include marriage, divorce, death of a spouse or child, birth or adoption of a child or termination of employment of your spouse. A change in election due to a change in family status shall be effective the next pay period.

5.101(f) Retirement Plans
PCE provides eligible employees with a defined contribution program administered by the County of San Mateo. This plan is made up composed of two parts:

1. 457(b) Deferred Compensation Plan (Employee contributions). Employees can voluntarily contribute to a 457(b) deferred compensation plan according to IRS limits. Employees can choose to allocate portions of their contributions on a pre-tax basis to a traditional 457(a) and/or on a post-tax basis to a Roth version. PCE will match all employee contributions up to 4% of salary (although the PCE contributions will be contributed to the 401(a) plan described below).

2. 401(a) Retirement Plan (PCE contributions). PCE provides a contribution of 6% of salary to a 401(a) retirement plan for all employees. PCE also matches up to 4% of employee contributions to the 457(b) deferred compensation plan (described above) although the match is contributed to the 401(a) plan. All PCE 72 42
contributions vest in equal annual amounts over four (4) years based on the first day of employment.

The link to the Summary Plan Description link is shown in an earlier section. In the event of any conflict in the description of any plan, the official plan documents, which are available for your review, shall govern. If you have any questions regarding this plan, please contact the plan administrator.

5.101(g) State Disability Insurance
All employees are eligible for disability insurance benefits when an illness, injury, or pregnancy-related disability prevents them from working and they meet all the eligibility requirements. The benefits are calculated as a percentage of your salary up to a weekly maximum, as specified by law, for up to fifty-two (52) weeks.

Employees who apply for this benefit must provide written notice of disability, including a doctor’s certificate stating the nature of the disability and the expected date of return to work. The employee is responsible for filing a claim and other forms promptly and accurately with the Employment Development Department. A claim form may be obtained from the Employment Development Department by telephone, letter, or in person. The cost of this insurance is fully paid by the employee.

5.101(h) California Paid Family Leave Insurance
The State of California may provide partial wage benefits to eligible employees for up to a maximum of six weeks for the following reasons:
• To bond with a new child after birth or placement for adoption or foster care; • To care for a serious health condition of an employee's child, parent, spouse, registered domestic partner, grandparent, grandchild, sibling or parent-in-law.

The Paid Family Leave Act provides benefits based on past quarter earnings for up to six weeks in a 12-month period. The cost of the insurance is fully paid by PCE. The 12- month period begins on the first day an employee submits a claim.

To be eligible for benefits, employees may be required to provide medical and/or other information that supports a claim for time off to bond with a new child or to care for a child, parent, spouse or registered domestic partner with a serious health condition. In addition, there is a seven-calendar-day waiting period before benefits begin.

You are responsible for filing your claim for family leave insurance benefits and other forms promptly and accurately with the Employment Development Department. A claim 73 43
form may be obtained from the Employment Development Department by telephone, letter, the Internet or in person. All eligibility and benefit determinations are made by the Employment Development Department.

You may not be eligible for Paid Family Leave benefits if you are receiving State Disability Insurance, Unemployment Compensation Insurance or Workers’ Compensation benefits.

The Paid Family Leave Act does not provide a right to leave, job protection or return to work rights. Further, this policy does not provide additional time off. However, family leave insurance may provide compensation during an approved leave pursuant to any company provided leave.

As noted, PCE will assist you with maneuvering through the various aspects of federal and state allowed leaves, in the event the need arises during your employment.

5.102 Workers’ Compensation
Occupational injuries or illnesses are covered by our Workers’ Compensation insurance policy. This insurance is provided at no cost to you. If you are injured on the job, no matter how slightly, report the incident to your immediate supervisor as soon as reasonably possible. Consistent with applicable state law, failure to report an injury within a reasonable time period could jeopardize your claim. We ask for your assistance in alerting management to any condition that could lead to or contribute to an employee accident.

PCE will integrate sick leave, vacation, and then compensatory time, with temporary disability payments for an employee who is eligible for workers’ compensation. The employee will continue in pay status and receive pay until accumulated paid leave and authorized compensatory time hours have been depleted to the nearest hour. Any employee who is eligible for temporary disability payments under the workers' compensation law will, for the duration of such payments, receive only that portion of the employee’s regular salary that, together with said payments, will equal the employee’s regular salary. Workers’ compensation leave will run concurrently with Family Care Leave.

5.103 Lactation Breaks
PCE will provide a reasonable amount of break time to accommodate an employee's need to express breast milk for the employee's child. The break time should, if possible, be taken concurrently with other break periods already provided. Non-exempt employees should clock out for any time taken that does not run concurrently with 74 44
normally scheduled rest periods, and such time generally will be unpaid, in accordance with state law.

No provision of this policy applies or is enforced if it conflicts with or is superseded by any requirement or prohibition contained in a federal, state, or local law or regulation. If you have knowledge of such a conflict or a potential conflict you should contact your immediate supervisor.

For further information, refer to the PCE - Lactation Policy.

5.104 No Pets in the Workplace
PCE is responsible for assuring the health and safety of all employees. In keeping with this objective, PCE does not permit employees to bring pets to work. Animals may pose a threat of infection and may cause allergic reactions in other employees. The only exception to this is if an employee or visitor requires a qualified service dog, as defined by the Americans with Disabilities Act (ADA), California state law, or other relevant statute.

5.105 COBRA
You and/or your covered dependents will have the opportunity to continue medical and/or dental and vision benefits for a period of up to 36 months under the provisions of the Consolidated Omnibus Budget Reconciliation Act (“COBRA”) when group medical and/or dental and vision coverage for you and/or your covered dependents would otherwise end due to your death or because:
• your employment terminates, for a reason other than gross misconduct; or • your employment status changes due to a reduction in hours; or • your child ceases to be a "dependent child" under the terms of the medical and/or dental and vision plan; or
• you become divorced or legally separated; or
• you become entitled to Medicare.

6.101 Categories of Employment
In most cases, PCE employees will be regularly scheduled to work at least a 40-hour workweek. However, for purposes of this handbook, FULL TIME EMPLOYEES are defined as those who are scheduled to regularly work at least a 32-hour workweek. Any schedule that is less than the standard 40-hour workweek would require approval of PCE’s CEO. Working time does not include lunch periods or any other periods in which employees are not in paid status.

PART TIME EMPLOYEES are scheduled to regularly work less than 32 hours each week.

In addition to the preceding categories, employees are also categorized as "exempt" or "non-exempt."
NON-EXEMPT EMPLOYEES are entitled to overtime pay as required by applicable law.

EXEMPT EMPLOYEES are not entitled to overtime pay and may also be exempt from minimum wage requirements pursuant to applicable federal and state laws. Managers and directors, who are, by definition, exempt, have defined job responsibilities that may require additional time over and above the standard work week, including attendance at evening meetings or on weekends. See section under Management Leave.

Upon hire, PCE will notify you of your employment classification.

6.101(a) Anniversary Date
The first day you report to work will be entered in PCE’s records as your anniversary date. This date is used to calculate some of the benefits PCE offers. If you have any questions regarding your anniversary date, please see your supervisor.

6.102 Licensing Requirements
Driver's License/Driving Record – Employees holding positions where the operation of a motor vehicle is an essential duty of the position must present and maintain a valid driver's license and acceptable driving record. PCE will be responsible for providing such information to our insurer. Changes to your driving record must be reported to your supervisor immediately. Violations of this policy may result in immediate termination of your employment. Please provide a copy of your driver’s license to the CFO annually. 77 47

6.103 Payday
You will be paid semimonthly on the fifth and the twentieth of the month for the periods that end on the last day of the previous month and the fifteenth of the month, respectively.

PCE provides for direct deposit of your paycheck. If you desire to have your paycheck deposited directly into an account of your choosing, please complete the necessary paperwork (contained in your on-boarding packet) and return it to the CFO. Depending on your date of hire and when you return the necessary paperwork, direct deposit may not take effect for your first paycheck.

When a payday falls on a holiday, PCE will attempt to provide pay on the working day immediately prior to the holiday, but you will be paid no later than (or your bank account will be credited) the first working day after the holiday. If the payday is a Saturday or Sunday, you will be paid (or your bank account will be credited) on the preceding Friday.

Please review your paycheck/paystub for errors at each pay period. If you find a mistake, please report it to the CFO immediately. Corrections, as necessary, will be processed through the next pay period’s paycheck.

6.104 Pay Advances
PCE does not provide for pay advances on unearned wages to employees.

6.105 Timekeeping
As noted under 6.101, each employee at PCE will be designated either non-exempt or exempt according to certain aspects of federal and state wage and hour laws. As a public agency, some California wage and hour provisions may not apply to PCE.

Non-exempt employees must record hours worked in addition to time off on their electronic timecard (i.e., Paychex or other as specified by management). The timecard must be submitted to the supervisor on the last day of each reporting period as noted under 6.103. Accurately recording all your time is required in order to ensure that you are paid for all hours worked. You are expected to follow the established procedures in keeping an accurate record of your hours worked. PCE follows the overtime requirements in the by Fair Labor Standards Act (“FLSA”) which are further described in

6.106. Additionally, non-exempt employees who are required to drive from home at the beginning of a workday to a location other than PCE offices may count as work any such time that is more than the regular commute to PCE. Overtime work must always 78 48
be approved before it is performed, except in the case of an emergency. Non-exempt employees must record all overtime worked on their electronic timecard.

Exempt employees should also accurately record time worked as well as leave time taken through the electronic timecard (i.e., Paychex or other as specified by management).

Altering, falsifying, tampering with time records, or recording time on another employee’s time recorded is prohibited. This policy prohibits both over reporting and under reporting of hours worked for non-exempt employees. No supervisor may authorize any non-exempt employee to work “off the books” or “off the clock”.

Non-exempt employees should not report to work prior to their scheduled starting time or stay after the scheduled stopping time without express, prior authorization from their supervisor. Federal law does not permit an employer to allow non-exempt employees to volunteer time to their employer in the same capacity as their regular work.

Exempt employees, while receiving a set salary which is intended to compensate the individual for any hours worked, are still required to accurately record time worked in accordance with applicable wage and hour laws. All employees subject to this policy are required to accurately record all time worked and leave taken.

For purposes of this section, a workweek shall be from Monday at 12:01 am through Sunday at 11:59 pm each week.

6.106 Overtime (Non-Exempt Only)
There will be times when non-exempt employees will need to work overtime so that we may meet the needs of our customers. Every attempt will be made to provide you ample notice in the event that extra work time may be required, and managers and employees should make reasonable efforts to adjust schedules to minimize overtime, However, this may not be always possible. If you are a non-exempt employee, you must have all overtime approved in advance by your supervisor.

Generally, unless an alternate workweek is in effect or state law dictates otherwise, non-exempt workers will be paid at a rate of time and one-half their regular rate of pay (“Standard Overtime”) for either: (a) each hour worked in excess of forty (40) hours in a week; or (b) for the first eight (8) hours of work on a seventh day of work in a single workweek (as defined in section 6.105). Generally, unless an alternate workweek is in effect or state law dictates otherwise, non-exempt workers will be paid at a rate of double (“Double Time”) their regular rate of pay for: (a) hours worked in excess of twelve (12) hours in a day; and (b) hours worked in excess of eight (8) hours on a seventh day of work in a single workweek. In accordance with applicable laws, rest and recovery periods may count as hours worked.
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For non-exempt employees, Standard Overtime will be paid as described above.

However, in some circumstances as described in Section 7.101, employees may elect to forego the payment of overtime in exchange for Comp Time. If you have any questions concerning overtime pay, please check with the CFO.

6.107 Meal, Rest, and Recovery Time (Non-Exempt Only)
Except for certain exempt employees, all employees who work five or more hours in a day are required to take an uninterrupted 30-minute unpaid duty-free meal period to commence no later than the end of the fifth hour of work and a second uninterrupted 30- minute meal period free from all duty to commence no later than the end of the tenth hour, should an employee work that many hours in any given day. Only in limited circumstances, discussed below, can meal periods be waived. For this reason, unless there is a written agreement for an on-duty meal period approved by PCE, employees must record the beginning and ending time of their meal period in the timekeeping system every day. It is also our policy to relieve such employees of all duties during their meal periods, with the employee being at liberty to use the meal period time as the employee wishes.

An employee cannot be required to work during a meal period, in accordance with applicable law. If PCE fails to provide an employee with a required meal period, the employee will be paid one additional hour of pay at the employee's regular rate of compensation.

PCE schedules all work assignments with the expectation that all employees will take their duty-free meal periods and we encourage you to do so. Employees may be asked to confirm in writing that they have been relieved of all duty and otherwise provided all their daily meal periods during the pertinent pay period, or in the alternative, identify any meal periods they missed. At no time may any employee perform off-the-clock work or otherwise alter, falsify, or manipulate any aspect of their timekeeping records to inaccurately reflect or hide meal periods or time spent working during meal periods.

No PCE manager or supervisor is authorized to instruct an employee how to spend his or her personal time during a meal period. You should immediately report a manager’s or supervisor’s instruction to skip or work during a meal period to the CFO or CEO.

Waiver of Meal Period: You may waive your meal periods only under the following circumstances:
• If you complete your workday in six hours, you may waive your meal period. • If you work more than ten (10) hours in a day you may waive your second meal period, but only if you have taken your first meal period and you do not work more than twelve (12) hours that day.
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Please speak to your immediate supervisor for clarification on whether you are entitled to waive your second meal period. Any time you elect to waive a meal period you must submit a written request and receive prior written authorization from your immediate supervisor.

You may not waive meal periods to shorten your workday or to accumulate meal periods for any other purpose.

On Duty Meal Period: In limited situations, certain designated employees may be required to work an on-duty meal period due to the nature of the employee's duties.

Only if the nature of your job duties requires it, and you and PCE have agreed to an on-duty meal period in writing, will you be permitted to take an on-duty meal period. In this situation, your on-duty meal period will be paid and treated as hours worked.

Non-exempt employees will also receive one uninterrupted, duty free 10-minute paid break for every four hours worked (or major fraction thereof). Rest periods will occur as close to the middle of a four-hour work period as is practical. This time must be approved by your supervisor each day.

Rest periods are counted as hours worked, and thus, you are not required to record your rest periods on your timesheets or timecards. However, no supervisor is authorized or allowed to instruct or allow an employee to waive a rest or recovery period, and they cannot be used to shorten the workday or be accumulated for any other purpose.

Employees may be required to confirm that they have been provided an opportunity to take all their rest or recovery periods during the pertinent pay period. Meal and rest periods may not be combined.

6.108 Paycheck Deductions and Set-Offs
PCE is required by law to make certain mandatory deductions from your paycheck each pay period. Mandatory deductions typically include federal and state income taxes, Social Security (FICA) and Medicare taxes, and State of California Disability taxes. In addition, depending on your benefits election, there may be additional deductions. All deductions and the amount of the deductions are listed on your pay stub. These deductions are totaled each calendar year for you on your Form W-2, Wage and Tax Statement.

PCE will not make deductions to an employee's pay which are prohibited by state or federal law or regulation, including those established by the United States Department of Labor. You will be reimbursed in full for any isolated, inadvertent, or improper deductions, as defined by law.
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If questions or concerns about any pay deductions arise, discuss and resolve them with the CFO.

6.109 Work Location and Schedules
PCE’s policies are intended to treat its employees as professionals. As employees of a public agency, PCE expects its employees to understand that the local ratepayers are responsible for employee salaries, and, therefore, employee actions and work should always be fair to those ratepayers. While there are not specific working hours in which every employee must be at work, every employee is scheduled and expected to work at least eight (8) hours per workday, not including mandatory time off for a lunch period.

The management of PCE feels that the company culture is best developed and maintained based on employees building positive and effective working relationships with one another; this relationship building includes face to face, in person interaction.

However, PCE management also strives to provide an environment that encourages work-life balance by providing opportunities for remote work and flexible work schedules.

Remote Work
PCE recognizes that employees are working remotely or telecommuting with increased frequency. Please see Attachment J for detailed policies and guidelines related to remote working.

If employees are working remotely, the following guidelines must be adhered to:
• Employees should be available via instant chat for quick resolution of issues for the same hours that would apply if they were working in the office • Employees should be available to participate in conference calls via phone and/or video, as appropriate, for the same hours that would apply if they were working in the office
• Employees must update their calendars, as far in advance as possible, as to their working status and availability (e.g., “working remotely” or “WFH” or “working offsite”)

Employees are asked to exercise reasonable judgment regarding when to work from home and when to be in the office. Such judgment should be based on the value of meetings with external visitors or other employees based on the content and purpose of specific meetings. In addition, employees are asked to follow the lead of their supervisor as to when meetings should be attended in person.

The right to telecommute can be rescinded at any time if the employee’s supervisor feels that an employee’s performance is not satisfactory for any reason. In addition, 82 52
some positions may not be eligible for the same amount, or any telecommuting based on the nature of the work and/or the need to be in PCE’s office.

Flexible Work Schedule
PCE recognizes that employees have different commutes and personal clocks.

Employees are generally expected to arrive prior to 9:00 am and are expected to work at least eight (8) hours per day, not including mandatory time off for a lunch period (a “normal workday”). With approval of his/her supervisor, an employee is permitted to establish a flexible schedule that enables an employee to regularly arrive between 7:00 am and 10:00 am as long as the workday meets the overall criteria of a normal workday. In the event that an employee is approved for a flexible schedule, each such employee is responsible for reflecting his/her schedule on the company calendar so that all employees are informed about the employee’s work schedule. Notwithstanding the above, all employees are required to exhibit flexibility in their schedules to meet with fellow employees outside their normal work schedules to help meet PCE’s business needs as required.

Staffing needs and operational demands may necessitate variations in starting and ending times, as well as variations in the total hours that may be scheduled each day and week. PCE reserves the right to assign and change individual work schedules, as needed

6.112 Garnishment/Child Support
When an employee's wages are garnished by a court order, PCE is legally bound to withhold the amount indicated in the garnishment order from the employee's paycheck.

PCE will, however, honor applicable federal and state guidelines that protect a certain amount of an employee's income from being subject to garnishment. 83 53
SECTION 7: LEAVES OF ABSENCE
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7.101 Vacation/Management Leave/Comp Time
All employees are eligible to accrue vacation. At PCE we believe that taking time away from work is essential to maintain both good physical and mental health. To this end, PCE encourages all employees to take full advantage of their earned vacation. Payment in lieu of time-off is not permitted by PCE.

The following provides PCE’s vacation policy for both full-time and part-time employees.

All full-time employees are eligible for vacation. Vacation will accrue for full-time employees as follows:

Employment Seniority Days
Accrued/Year
Hours
Accrued/Year
Hours Accrued/
Pay Period
Hire date to end of 3rd year of employment 10 80 3.34
Beginning of 4th year to end of 8th year 15 120 5.00
Beginning of 9th year and after 20 160 6.67
Part-time regular employees will accrue vacation according to their FTE percentage.

Vacation benefits do not accrue when an employee is on unpaid leave or during other periods of unpaid absence, except as defined by law.

Vacation accrual may not exceed 240 hours. Once this maximum is reached, all further accruals will cease until leave is taken. For ease of reference, the maximum accruals are:
• Hire date to completion of third year of employment: 15 days (120 hours) • Beginning of fourth year to completion of eighth year: 22.5 days (180 hours) • Beginning of ninth year and after: 30 days (240 hours) Given the small number of staff at PCE, it is generally appreciated if employees can provide their time off plans with as much notice as possible. Employees should request time off by email to their supervisor and either copy the CFO on the request (to ensure that the CFO knows that the supervisor has been made aware of the request) or forward a copy of the supervisor’s approval to the CFO. Once the CFO is informed, the request can be approved in PCE’s time off tracking system., Length of employment may determine priority in scheduled vacation times.

At the end of employment, eligible employees will be paid for accrued but unused vacation, up to the maximum accrual amount. Any accrued vacation at the end of employment will be paid at the employee’s then current base pay rate. It does not 85 55
include overtime or any special forms of compensation such as incentive, commission, bonuses, or shift differentials.

Management Leave - As noted in 6.101, directors and managers may at times be required to attend business related meetings and work obligations on weekends or weeknights beyond regularly scheduled PCE Citizens Advisory Committee and PCE Board Meetings. To provide compensation for the additional time necessary to attend such meetings, PCE provides Director and Manager-level employees (and higher, if applicable) 80 hours of management leave granted on the 1st day of each calendar year. However, for an employee that starts employment with PCE at any time after December 31, 2018, management leave will be granted as of the first day of employment per the following schedule applicable for the remainder of the then current calendar year:
• Hire date between January 1 through March 31: 80 hours • Hire date between April 1 through June 30: 60 hours
• Hire date between July 1 through September 30: 40 hours • Hire date between October 1 through December 31: 20 hours The regularly scheduled PCE Citizens Advisory Committee and PCE Board Meetings are part of the regular expected work for managers and directors and are not covered by Management Leave. Management Leave is not carried over, i.e. any management leave not taken in the calendar year in which it was granted will not be carried over to subsequent years. Any unused Management Leave will not be paid out at the end of your employment.

Compensatory Time (Comp Time): Other Exempt Employees - Other exempt employees (i.e., non-managers or directors who are otherwise not eligible for Management Leave) are entitled to one (1) hour of Comp Time for each hour worked on special projects and off-site weekend events (excluding regularly scheduled PCE Citizens Advisory Committee and PCE Board Meetings) during times other than their regular scheduled workweek. The accrual of Comp Time is limited to sixteen (16) hours in any one pay period, and the maximum amount of Comp Time that an employee may have “accrued” at any time is forty (40) hours. Any questions or concerns about the appropriate use or tracking of accrued Comp Time should be discussed with the CFO.

Any unused Comp Time will not be paid out at the end of your employment.

Compensatory Time (Comp Time): Non-Exempt Employees – Non-exempt employees may elect to accrue Comp Time in lieu of cash payment for Standard Overtime. At each pay period, eligible employees will either submit Standard Overtime hours through PCE’s payroll system for payment at the rate of one and one-half their regular rate of pay or submit a request that PCE accrue the same hours for future Comp Time use. For each hour of eligible Standard Overtime, employees will accrue one and one-half hours of accrued Comp Time. The accrual of such Comp Time is limited to a maximum of forty (40) hours. Once the accrual maximum is reached, each additional 86 56
hour of Standard Overtime will be paid out in cash regardless of the employee’s election. Any questions or concerns about the appropriate use or tracking of accrued Comp Time should be discussed with the CFO. Any unused Comp Time accrued by non-exempt employees will be paid out at the end of employment.

7.102 Paid Sick Leave
In accordance with the Healthy Workplaces, Healthy Families Act of 2014, sick leave will accrue and be used according to the terms outlined in this policy for all employees.

All full-time employees are entitled to paid sick leave of up to ten (10) days per year (i.e., 80 hours), accruing at the rate of 3.33 hours per pay period. The maximum accrual is eighty hours of sick leave. Upon reaching the accrued level of eighty hours, further sick leave will not accrue until the sick leave is used and the accrual falls below the maximum threshold. Part-time employees will accrue sick leave based on their FTE percentage subject to a minimum of twenty-four (24) hours per year.

Out of respect for your health and the health of your fellow workers, do not come to work if you are sick. If you come to the office and are sick, you will be sent home.

Accrued paid sick leave may be used for:

1. Diagnosis, care, or treatment or preventive care of an existing health condition, for an employee;

2. Diagnosis, care or treatment or preventative care of an existing health condition for an employee’s family member. For the purposes of sick leave under this policy, PCE defines “family member” as the employee’s spouse or registered domestic partner and/or either of their parents, sibling, child, child’s spouse, grandparents, or grandchildren. Special consideration will also be given to any other person whose association with the employee was similar to any of the above relationships.

3. In addition, with appropriate certification, an employee who is a victim of domestic violence, sexual assault, or stalking may use accrued paid sick leave under this policy for the following reasons:
• To obtain or attempt to obtain any relief, including, but not limited to, a temporary restraining order, restraining order, or other injunctive relief, to help ensure the health, safety or welfare of the victim or the victim’s child; • To seek medical attention for injuries caused by domestic violence, sexual assault, or stalking;
• To obtain services from a domestic violence shelter, program or rape crisis center;
• To obtain psychological counseling related to an experience of domestic violence, sexual assault, or stalking; or
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• To participate in safety planning and take other actions to increase safety from future domestic violence, sexual assault, or stalking, including temporary or permanent relocation.

4. Up to five (5) days of sick leave may be used as bereavement leave to take time off due to the death of an immediate family member. This is in addition to the time off described in the Bereavement Leave section. On a case-by-case basis, additional time without pay may be granted for bereavement leave at the discretion of the CEO.

If the need to use paid sick leave is foreseeable, you must provide PCE with reasonable advance notification. If the need to use paid sick leave is not foreseeable, please provide notice to your immediate supervisor of your intent to use paid sick leave as soon as practicable, preferably no later than one hour after your scheduled starting time. Employees who must leave work due to illness or sick leave condition should likewise advise their supervisor. It is the responsibility of every employee to keep his or her supervisor advised as to the anticipated duration and expected date of return.

Accrued, but unused sick leave will not be paid out at the end of your employment. If an employee is separated and rehired by the employer within one year from the date of separation, previously accrued and unused paid sick days shall be reinstated, and the employee shall be entitled to use those previously accrued and unused paid sick days and to accrue additional paid sick days upon rehiring.

This leave may run concurrently with any other leave where permitted by state and federal law.

Employees will not be discriminated or retaliated against for taking or requesting leave in accordance with this policy.

Sick leave for Temporary Employees – Sick leave for temporary employees is provided in accordance with the California Healthy Workplace, Healthy Families Act of 2014 (Paid Sick Leave Law – AB 1522). According to the Act and per PCE guidelines for temporary employees, temporary employees hired on or after July 31, 2015, are eligible to accrue twenty-four (24) hours of paid sick leave per year. Pro rata accruals will be provided for contracts that are less than one year in duration. Leave accruals may carry over from year to year. There is no cash out for sick leave upon termination.

PCE defines a temporary employee as an employee that has been hired for a contracted specified period (typically for a specified project or assignment).

7.103 Bereavement Leave
Full-time employees are eligible immediately upon hire for three paid days for the death of an immediate family member. Members of the immediate family include spouse, registered domestic partner, parents, brothers, sisters, children, children of registered 88 58
domestic partner, grandchildren, grandparents, parents-in-law, and parents of registered domestic partner.

Exempt employees may be provided time off with pay when necessary to comply with state and federal wage and hour laws. Requests for bereavement leave should be made to your immediate supervisor as soon as possible who will communicate this information to the CFO to ensure payroll is processed correctly. PCE reserves the right to request written verification of an employee's familial relationship to the deceased and his or her attendance at the funeral service as a condition of the bereavement pay.

7.104 Family Medical Leave
Family and Medical Leave (FMLA) and California Family Rights Act (CFRA) Although PCE is subject to FMLA or CFRA, PCE has fewer than 50 employees and therefore, has no eligible employees under the law. However, PCE is committed to providing similar benefits to those provided by federal and state laws for employers of 50 or more employees, by providing family and medical care leave for qualified employees.

For information on Family Care Leave, please refer to the PCE - Family Care Leave Policy.

7.105 New Parent Leave
New Parent Leave is a California law that provides full-time employees time off for the purpose of bonding with the employee’s new child. This leave applies to a newborn child, either by birth or adoption, or foster care placement of a child with the employee.

The law provides protection of an employee’s job during a baby bonding leave period.

An employee is eligible for up to 12 weeks of unpaid baby bonding time within one year of the birth of the child, or for an adoption or foster care placement, as long as the employee has met the qualifications of more than 12 months of service and at least 1,250 hours of service with PCE during the 12-month period prior to commencing leave.

In addition to California law, PCE provides supplemental bonding leave. PCE offers 240 hours of leave to full-time employees for the purpose of bonding with the employee’s newborn child or the new adoption or foster care placement of a child with the employee (Supplemental Bonding Leave). The first 120 hours of the leave will be fully paid by PCE at the employee’s then existing base compensation rate. The remaining 120 hours of the leave will be unpaid. To be eligible, employees must have been employed with PCE full time for at least six months prior to the birth or new placement of the child Employees should request all paid leave under this policy by submitting a request to PCE’s PTO tracking system. Both such paid and unpaid leave periods must be taken within a period that ends at the 12-month anniversary of the baby’s birth. All leave time 89 59
under PCE’s supplemental bonding leave will be part of any authorized leave under California’s new parent leave provisions described above.

As referenced in an earlier section, California Paid Family Leave (PFL) is available to employees during the baby bonding period to provide pay during those days not covered by PCE’s supplemental bonding leave pay if the employee files a claim with EDD. No more than six (6) weeks of PFL benefits may be paid within any 12-month period.
https://www.edd.ca.gov/disability/How_to_File_a_DI_Claim_in_SDI_Online.htm During a New Parent Leave, employees will be required to pay the normal payroll deduction amount(s) for the employee-paid portion of dependent health coverage and supplemental life insurance under the group health plans that would have applied had the employee not been on leave. Since normal payroll will not be processed, and therefore employee deductions will not be possible, employees will be required to repay PCE for the applicable amount either during the leave or in full upon the employee’s return.

For any leave that extends longer than 60 days, the annual performance review date will be adjusted to match the actual number of days of the leave. For example, following a leave of 90 days, a prior annual performance date of August 3 would be adjusted to November 1 of the same year - 90 days later.

7.106 Pregnancy Disability Leave
Pregnant employees are eligible for an unpaid leave of absence up to four (4) months (i.e., the working days you would normally work in one-third of a year or 17 1/3 weeks, unless your hours vary from month to month in which case PCE will use a monthly four-month average of the hours worked prior to commencing leave) for disabilities relating to pregnancy, childbirth, or related medical conditions per pregnancy.

A pregnant employee will be allowed to be absent for the period during which, in the opinion of her attending physician she is temporarily disabled because of pregnancy, childbirth or a related medical condition.

Pregnancy Leave is without pay. However, employees can use any accrued vacation time or other accrued paid time off as part of pregnancy disability leave before taking the remainder of leave on an unpaid basis. The substitution of any paid leave will not extend the duration of pregnancy disability leave. PCE will assist with designing your leave to your best possible financial advantage.

Whenever an employee is also receiving Family Care leave under PCE policy, Pregnancy Disability Leave and Family Care leave will run concurrently. When an employee is eligible for Family Care Leave under PCE’s policy, terms and conditions of the Family Care Leave policy also apply to the taking of Pregnancy Disability Leave 90 60
Employees who are granted leaves for pregnancy will be returned to their same position to the extent required by state law. Upon the advice of your health care provider, you may also be entitled to reasonable accommodation, to the extent required by law, for conditions related to pregnancy, childbirth or related medical conditions. You should promptly notify PCE of the need for a reasonable accommodation (refer to 7.109). In addition, a transfer to a less strenuous or hazardous position or to less strenuous or hazardous duties may be available pursuant to your request, if such a transfer is medically advisable.

When an employee’s leave is foreseeable and at least 30 days’ notice has been provided, and if a medical certification is requested, the employee must provide it before the leave begins. Otherwise please give PCE notice as soon as is practicable if the need is an emergency or unforeseeable.

Prior to the start of the leave, PCE will require a written medical certification from the employee’s health care provider. The certification must include a statement that the employee is disabled due to pregnancy, the date on which the employee became disabled due to pregnancy, the probable duration of the period or periods of disability, and an explanatory statement that, due to disability, the employee is unable to work at all or is unable to perform any one or more of the essential functions of her position without undue risk to herself, the successful completion of her pregnancy, or to other persons.

An employee may request a transfer to a less strenuous or hazardous position or to less strenuous or hazardous duties. Such a request must be based on the certification of the health care provider that the transfer is medically advisable and will be granted if the transfer can be reasonably accommodated.

In addition, an employee may request a reasonable accommodation, with the advice of her health care provider when the accommodation is needed due to pregnancy, childbirth or related medical conditions
Sick and vacation leave do not accrue while an employee is on unpaid pregnancy disability leave.

Leave may be taken intermittently or on a reduced work schedule if the employee’s health care provider determines that it is medically advisable for the employee to take intermittent leave. Employees may also take intermittent leave for prenatal care appointments and for pregnancy-related illness. If an employee requests intermittent leave or a reduced schedule leave that is foreseeable based on planned medical treatment, the employee may be transferred to an alternative position for the duration of the leave (unless the employee’s health care provider disapproves for medical reasons). 91 61
In the event your leave exceeds the anticipated date of return, it is your responsibility to provide further certification from your health care provider that you are unable to perform your job or job duties and the revised anticipated date of return. Depending on your eligibility, medical insurance may be continued during your leave in accordance with the applicable plan document, COBRA, or provisions of federal/state law relating to unpaid medical leave. Employees who choose not to return from leave may be required to refund premium payments made by PCE on their behalf, when permitted by state law.

7.106 Holidays
Full-time employees are eligible to receive holiday pay immediately upon date of hire if they were scheduled to work on the day on which the holiday is observed and worked on both the regularly scheduled working days immediately preceding and immediately following the holiday (unless an absence on either day is approved in advance by the employee’s supervisor).

Standard Holidays - PCE normally observes the following standard holidays during the year:
• New Year’s Day
• Martin Luther King Jr. Day
• Presidents’ Day
• Memorial Day
• Independence Day
• Labor Day
• Indigenous People’s Day
• Veterans’ Day
• Thanksgiving Day
• Day After Thanksgiving Day
• Christmas Day
If a holiday falls on Saturday, it will normally be observed on the preceding Friday. If a holiday falls on Sunday, it will normally be observed on the following Monday. Any unused floating holidays will not be paid out at the end of your employment.

Floating Holidays – Full-time employees are also eligible for up to four (4) floating holidays granted on the 1st day of each calendar year to be used at the employee’s 92 62
discretion throughout the year. However, for an employee that starts employment with PCE, the number of floating holidays available for the remainder of the then current calendar will be per the following schedule:
• Hire date between January 1 through March 31: 4 days
• Hire date between April 1 through June 30: 3 days
• Hire date between July 1 through September 30: 2 days • Hire date between October 1 through December 31: 1 day

7.106 Voting Leave
PCE believes that every employee should have the opportunity to vote in state or federal elections, general primary, or special primary. Any employee who does not have sufficient time outside of working hours to vote in a statewide election may request up to two paid hours off to vote. We reserve the right to select the hours you are excused to vote.

Notify your immediate supervisor of the need for voting leave as soon as possible.

When you return from voting leave, you must present a voter’s receipt to your supervisor. This will provide documentation for your timesheet entry.

7.107 Jury Duty
PCE encourages employees to fulfill their civic responsibilities by serving jury duty when required. Employees may request paid jury duty leave, up to five (5) days. Exempt employees will receive their full weekly salary for any workweek interrupted by jury service if they work at least a portion of the workweek. If an exempt employee does not work at all during the workweek due to jury service, he or she will not be paid for that workweek. Alternatively, in this latter case, the employee could charge the week to vacation.

Employees must show the jury duty summons to their immediate supervisor as soon as possible so that the supervisor may made the appropriate arrangements to accommodate their absence. Employees are generally expected to report for work whenever the court schedule permits. For those employees who are not residents of the County of San Mateo, this may not be feasible.

Either PCE or the employee may request an excuse or deferment from jury duty if, in PCE’s judgement, the employee’s absence during the originally summoned time frame would create serious operational difficulties. It is noted that most court systems have very stringent requirements for a complete dismissal from service. As a result, PCE is 93 63
committed to ensure that if called, you will be able to serve at a time that can be accommodated.

If you are obliged to serve on a long-term trial (i.e., greater than five (5) days), PCE will provide you will all the regular health, dental, vision, etc. benefits for the full term of the jury duty absence. Benefit accruals such as vacation, sick leave, or holiday benefits will be suspended during the unpaid jury duty leave and will resume upon return to active employment.

7.108 Military Leave and Civil Air Patrol
Employees who are required to fulfill military obligations in any branch of the Armed Forces of the United States or in state military service will be given the necessary time off and reinstated in accordance with federal and state law.

The time off will be unpaid, except where state law dictates otherwise. Exempt employees may be provided time off with pay when necessary to comply with state and federal wage and hour laws.

Accrued vacation (if any) may be used for this leave if the employee chooses, but PCE will not require the employee to use vacation. Military orders should be presented to your immediate supervisor upon receipt so that arrangements for leave can be made as early as possible before departure. Employees are required to give notice of their service obligations to PCE unless military necessity makes this impossible. You must notify the CFO and your supervisor of your intent to return to employment based on requirements of the law. Within the limits of such orders, the supervisor may determine when the leave is to be taken and may modify the employee’s work schedule to accommodate the request for leave. Your benefits may continue to accrue during the period of leave in accordance with state and federal law.

This policy does not apply to employees who serve as first responders or disaster service workers for a local, state, or federal agency to the same or a simultaneous emergency operational mission.

Employees may substitute accrued vacation for unpaid leave but are not required to exhaust accrued leave prior to taking leave under this policy.

Additional information regarding any of the aforementioned military leaves may be obtained from the CFO.

7.109 Personal Leave
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Under special circumstances, full-time employees who have completed one year of employment may be granted an unpaid personal leave of absence for up to sixty (60) days. The granting of this type of leave is normally for compelling reasons and is dependent upon the written approval of the CEO. Employees requesting a personal leave of absence must submit the request in writing stating the reason(s) for the requested leave at least twenty-one (21) days in advance of the requested leave. In emergency situations written notice must be provided as soon as possible. PCE has sole discretion in determining whether the leave will be granted. If granted, PCE and the employee will agree on a specific return to work date, although the employee is free to shorten the time at his/her discretion.

While on leave, retirement contributions and matching will be suspended consistent with the unpaid period.

While on leave, an employee will not accrue vacation or sick hours, and will not be eligible for holiday pay.

During the leave, some benefits may be continued through COBRA. Under COBRA, the employee will be required to pay for the full cost of benefits (e.g., medical, dental and vision insurance) if coverage is continued during the leave period.

PCE will make reasonable efforts to return the employee to the former position, or, if not possible for business reasons, to a similar position when the employee returns from a leave of absence. PCE’s need to fill a position may override its ability to hold a position open until an employee returns from leave. Notwithstanding the foregoing, in the event of a company-wide reduction-in-force, PCE shall not be required to return the employee to any position after the leave of absence is over.

In the event that the former position is not available upon return from a Personal Leave of Absence, PCE retains the discretion to determine the similarity of any available positions for any reassignment and the employee’s qualifications. Failure to return from a personal leave of absence upon the expiration of the leave will be considered a voluntary resignation.

7.110 Bone Marrow and Organ Donation Leave
Employees are eligible to receive up to thirty (30) business days of paid leave to serve as an organ donor and up to five business days of paid leave to serve as a bone marrow donor in a one-year period. The one-year period is measured from the date the employee's leave begins and shall consist of twelve (12) consecutive months.

Employees must be employed by PCE for at least 90 days immediately preceding the commencement of leave. Such leave must be requested in writing.

When available, the employee must utilize up to five business days of accrued but unused sick or vacation leave for initial bone marrow donation leave and up to two weeks of accrued but unused sick or vacation leave for initial organ donation leave. 95 65
Please provide the CFO with written physician verification of the purpose and length of each leave. For more information regarding this leave, please see the CFO.

7.111 Domestic Violence Leave
PCE will not discriminate or retaliate against employees based on their status as a victim of domestic violence, sexual assault, or stalking or for taking time off from work to obtain or attempt to obtain any relief, including but not limited to, a temporary restraining order, restraining order, or other injunctive relief to help ensure the health, safety, or welfare of a victim or his or her child. To the extent required by law, PCE will provide reasonable accommodation to victims of domestic violence, sexual assault, or stalking who request the accommodation for the safety of the victim while at work.

7.112 Victims of Felony Crimes Leave
PCE will grant reasonable and necessary leave from work without pay, to employees who are victims, or whose spouse, child, stepchild, brother, stepbrother, sister, stepsister, mother, stepmother, father, stepfather, registered domestic partner, or child of a registered domestic partner is a victim of a violent or serious felony or felonious theft or embezzlement, for the purposes of attending legal proceedings related to the crime.

Affected employees may elect to use accrued paid vacation, personal leave and/or sick leave in lieu of unpaid leave. When feasible, affected employees must provide PCE with notice of the employee's need for leave, including a copy of the notice of the scheduled proceeding. If notice is not feasible, affected employees must provide documentation evidencing the legal proceeding requiring the employee's absence within a reasonable time after leave is taken. Exempt employees may be provided time off with pay when necessary to comply with state and federal wage and hour laws.

7.113 Time Off for School-Related Activities
Parents, stepparents, guardians, or grandparents with school children from kindergarten through grade 12, or who attend licensed child daycare facilities, are provided unpaid time off (up to a maximum of four (4) hours in one (1) calendar month and 20 hours in one (1) calendar year) or vacation or personal leave to participate in school or day care activities. PCE may require proof of an employee’s participation in these activities. The employee must provide reasonable advance notice to their supervisor before taking any time off under this section.
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If you are the parent or guardian of a child who is suspended and are required to appear at the child’s school, you may take time off without pay if you provide reasonable notice to your supervisor of the need for time off.

Exempt employees may be provided time off with pay when necessary to comply with state and federal wage and hour laws.
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Receipt of Employee Handbook and Employment-At-Will Statement This is to acknowledge that I have received a copy of the Peninsula Clean Energy Employee Handbook and I understand that it contains information about the employment policies and practices of PCE. I agree to read and comply with this Employee Handbook. I understand that the policies outlined in this Employee Handbook are management guidelines only, which in a developing business will require changes from time to time. I understand that PCE retains the right to make decisions involving employment as needed to conduct its work in a manner that is beneficial to the employees and PCE. I understand that this Employee Handbook supersedes and replaces any and all prior Employee Handbooks and any inconsistent verbal or written policy statements.

I understand that except for the policy of at-will employment, PCE reserves the right to revise, delete, and add to the provisions of this Employee Handbook at any time without further notice. All such revisions, deletions or additions to the Employee Handbook will be in writing and will be signed by the CEO of PCE. I understand that no oral statements or representations can change the provisions of this Employee Handbook.

I understand that this Employee Handbook is not intended to create contractual obligations with respect to any matters it covers and that the Employee Handbook does not create a contract guaranteeing that I will be employed for any specific time period.

PCE IS AN AT-WILL EMPLOYER. THIS MEANS THAT REGARDLESS OF ANY

PROVISION IN THIS EMPLOYEE HANDBOOK, EITHER PCE OR I MAY TERMINATE

THE EMPLOYMENT RELATIONSHIP AT ANY TIME, FOR ANY REASON, WITH OR WITHOUT CAUSE OR NOTICE. NOTHING IN THIS EMPLOYEE HANDBOOK OR IN

ANY DOCUMENT OR STATEMENT, WRITTEN OR ORAL, SHALL LIMIT THE RIGHT TO TERMINATE EMPLOYMENT AT-WILL. NO OFFICER, EMPLOYEE OR

REPRESENTATIVE OF PCE IS AUTHORIZED TO ENTER INTO AN AGREEMENT,

EXPRESS OR IMPLIED, WITH ME OR ANY OTHER EMPLOYEE FOR

EMPLOYMENT FOR A SPECIFIED PERIOD OF TIME UNLESS SUCH AGREEMENT IS IN A WRITTEN CONTRACT SIGNED BY THE CEO OF PCE.
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I understand that this Employee Handbook refers to current benefit plans maintained by PCE and that I must refer to the actual plan documents and summary plan descriptions as these documents are controlling.

I have read and understand the Vacation Policy in this Employee Handbook.

Initials ________ Date ________
I also understand that if a written contract is inconsistent with the Employee Handbook, the written contract is controlling.

If I have questions regarding the content or interpretation of this Employee Handbook, I will ask my supervisor or a member of management.

NAME _______________________________________
DATE ________________________________________

EMPLOYEE
SIGNATURE __________________________________
99 EMPLOYEE HANDBOOK
Issue Date (Version 4): July 1, 2022
Peninsula Clean Energy
2075 Woodside Road,
Redwood City, CA 94061
100
2 Table of Contents
SECTION 1: INTRODUCTION TO PENINSULA CLEAN ENERGY................................ 5