Ceres City Council
April 27, 2026

PROFESSIONAL SERVICES AGREEMENT

THIS PROFESSIONAL SERVICES AGREEMENT (“Agreement”) is made and entered into this 28 day of April 2026, (the “Effective Date”), by and between the City of Ceres, a California municipal corporation (“City”) , and JJACPA, Inc., Certified Public Accountants , a California corporation (“Professional”). City and Professional may herein be referred to individually as a “Party” and collectively as the “Parties .” There are no other parties to this Agreement.

RECITALS

A. City seeks to hire an independent contractor to perform Fiscal Year 2024/25 and Fiscal Year 2025/26 auditing services and issuance of the Annual Comprehensive Financial Report (ACFR) for the City (the “Project”).

B. Professional has submitted a proposal to City to provide such professional services.

A description of the services Professional proposes to provide (“Services”) is attached hereto as Exhibit A: Services. City desires to retain Professional to perform the Services, subject to the terms and conditions set forth in this Agreement.

C. The Parties have outlined the rates and method of payment to Professional for its performance of the Services under this Agreement, which shall be included in the Scope of Services in Exhibit A.

NOW, THEREFORE, in consideration of the mutual promises and covenants set forth below, the Parties agree as follows:

AGREEMENT

Section 1. Recitals. The recitals set forth above (“Recitals”) are true and correct and are hereby incorporated into and made part of this Agreement by this reference. In the event of any inconsistency between the Recitals and Sections 1 through 31 of this Agreement, Section 1 through 31 shall prevail.

Section 2. Term. The term of this Agreement shall be one (1) year and will commence on April 28, 2026, and terminate on June 30, 2027 (“Term”) unless the Term is extended or the Agreement is terminated earlier pursuant to this Agreement.

Section 3. Extension of Agreement . City may elect to extend this Agreement for one (1) additional year, on the same terms and conditions, upon issuing an “Election to Extend Agreement” letter executed by the City Manager to Professional thirty (30) days prior to the expiration of this Agreement.

ITEM 10

ATTACHMENT B

PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

Section 4. Work.

4.1. Services. Subject to the terms and conditions set forth in this Agreement, Professional shall provide City the Services described in Exhibit A. If any conflicts exist between the terms of this Agreement and Exhibit A, the terms of this Agreement shall control. Any request for Services not included in Exhibit A will be considered a request for additional or modified Services (“Modification” or “Modifications”). Professional shall not receive additional compensation for any Modification of the Services unless the Parties agree otherwise in a writing executed by both Parties.

4.2. City Requested Modification of Services . City may, by written order, authorize Modifications to the Services described in Exhibit A. If such Modifications cause an increase in the cost or time required for performance of Professional’s Services, the Parties shall enter into a written amendment to this Agreement to adjust the Services and the rates to be paid to Professional.

The Services shall not be revised unless City and Professional mutually agree to a written amendment to this Agreement reflecting such revisions, additional compensation, tim e for performance, or such other terms or conditions mutually agreed upon by the Parties.

4.3. Professional Requested Modification in Services . Professional shall not be compensated for work outside the Services described in this Agreement, unless, prior to the commencement of the Services:

(a) Professional provides City with written notice that specific work requested by City or required to complete the Project is outside the agreed upon Services. Such notice shall:
(i) be supported by substantial evidence that the work is outside the Services; and (ii) set forth the Professional’s proposed course of action for completing the work and a specific request for City to approve the Modification to the Services; and

(b) City agrees that the work requires a Modification;

(c) The Parties execute a written amendment to this Agreement describing any Modification. Compensation for any additional Services shall not exceed one-hundred Dollars ($100.00) per hour.

Section 5. Compensation.

5.1. Amount, Time, and Manner of Payment for Professional Services . City shall pay Professional according to the rates and timing set forth in Exhibit A. City’s total compensation to Professional shall not exceed Forty-Eight Thousand Dollars ($ 48,000.00) (“Maximum Payment”) unless the Parties mutually agree in writing otherwise. Professional hereby acknowledges that it accepts the risk that the services to be provided pursuant to the Scope of Services may be more costly or time consuming than Professional anticipates and that Professional shall not be entitled to additional compensation unless agreed otherwise by the Parties.

5.2. Subsequent Payments. City shall make monthly payments in the amount invoiced by Professional within thirty (30) calendar days of receiving such invoice. In the event that an ITEM 10

ATTACHMENT B

PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

amount of an invoice is in dispute, City shall inform Professional of the amount and basis for the dispute and may withhold the amount which is in dispute until the dispute has been resolved.

5.3. Invoices. Professional shall provide City with monthly invoices sufficiently evidencing Professional’s expenses and completion of the Services. All invoices furnished to City by Professional shall be in a form approved by City. The payments specified shall be the only payments made to Professional for performance of the Services, including compensation for any Modification. Professional shall submit all billings for Services to City within forty-five (45) days of the performance of such Services. City shall issue payment according to City’s customary procedures and practices for issuing payments to independent contractors.

5.4. Reimbursement. City shall pay Professional for reimbursable expenses specified in Exhibit A incurred related to Professional’s performance of the Services. Such reimbursable costs shall be invoiced and billed to City on a monthly basis , provided that in no event shall reimbursable expenses exceed Forty-Eight Thousand Dollars ($48,000.00).

Section 6. Notice to Proceed . Professional shall not commence the performance of the Services until it has been given notice by City (“Notice to Proceed”).

Section 7 Time of Performance. Professional will commence performance of the Services within fifteen (15) calendar days of the date the Notice to Proceed. The time of performance is a material term of this Agreement relied on by City in entering into this Agreement.

Section 8. Professional’s Resources. Professional shall, at its sole cost and expense, furnish all facilities, equipment, materials, information, personnel, and administrative assistance which may be required to perform its obligations under this Agreement , with the exception of items of City assistance specified in Exhibit A.

Section 9. Duties of City. In order to permit Professional to render the services required hereunder, City shall, at its expense and in a timely manner: (a) Provide such information as Professional may reasonably require to undertake or perform the Services; (b) Promptly review any and all documents and materials submitted to City by Professional in order to avoid unreasonable delays in Professional’s performance of the Services; and (c) Promptly notify Professional of any fault or defect in the performance of Professional’s services hereunder.

Section 10. Time and Personnel Devoted to Services. Professional shall devote such time and personnel to the performance of this Agreement, as is necessary to perform the Services in compliance with this Agreement.

Section 11. Performance by Qualified Personnel; No Subcontracting . Services under this Agreement shall be performed only by competent personnel under the supervision and direct employment of Professional. Professional will conform with City’s reasonable requests regarding assignment of personnel, but all personnel, including those assigned at City’s request, shall be supervised by Professional. Professional is prohibited from subcontracting this Agreement or any part of it unless such subcontracting is expressly approved by City in writing. Neither Party shall, on the basis of this Agreement, contract on behalf of, or in the name of the other Party. An ITEM 10

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PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

agreement made in violation of this provision shall confer no rights on any Party and shall be null and void.

Section 12. Representations of Professional . City relies upon the following representations by Professional in entering into this Agreement:

12.1. Qualifications. Professional represents that it is qualified to perform the Services provided in Exhibit A and that it possesses the necessary licenses and permits required to perform the Services or will obtain such licenses or permits prior to the time such licenses or permits are required. Professional shall also ensure that all subcontractors are similarly licensed and qualified.

Professional represents and warrants to City that Professional shall, at Professional's sole cost and expense, keep in effect or obtain at all times during the Term of this Agreement, any licenses, permits, and approvals which are legally required for Professional to practice Professional's profession at the time the Services are rendered.

12.2. Professional Performance . Professional represents that all Services under this Agreement shall be performed in a manner consistent with the professional skill and care ordinarily provided by consultants practicing in the same or similar locality under the same or similar circumstances. Professional shall perform its services as expeditiously as is consistent wit h such professional skill and care and as necessary for the orderly progress of the Project . Professional agrees that, if a Service is not so performed, in addition to all of its obligations under this Agreement and at law, Professional shall re -perform or replace unsatisfactory Service at no additional expense to City.

12.3. No Waiver of Claims. The granting of any progress payment by City, or the receipt thereof by Professional, or any inspection, review, approval or oral statement by any representative of City, or state certification shall not, in any way, waive, limit, or replace any certification or approval procedures normally required or lessen the liability of Professional to re -perform or replace unsatisfactory Service, including, but not limited to, case s where the unsatisfactory character of such Service may no t have been apparent or detected at the time of such payment, inspection, review or approval.

12.4. City’s Remedies are Cumulative. Nothing in this Section shall constitute a waiver or limitation of any right or remedy, whether in equity or at law, which City or Professional may have under this Agreement or any applicable law. All rights and remedies of City, whether under this Agreement or applicable law, shall be cumulative.

12.5. No Conflict of Interest. Professional represents that no conflict of interest will be created under state or federal law by entering into or in carrying out this Agreement.

Section 13. Conformity with Law and Safety. Professional shall observe and comply with all applicable laws, ordinances, codes, regulations, and permits of governmental agencies, including federal, state, municipal and local governing bodies having jurisdiction over any or all of the scope of Services, including all provisions of the Occupational Safety and Health Act of 1979 as amended, all California Occupational Safety and Health Regulati ons, the California Building Code, the Americans with Disabilities Act, any copy right, patent, or trademark law, and all other ITEM 10

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PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

applicable federal, state, municipal and local safety regulations, appropriate trade association safety standards, and appropriate equipment manufacturer instructions. All Services performed by Professional must be in accordance with these laws, ordinances, codes, and regulations, including the administrative policies and guidelines of City pertaining to the work. Professional’s failure to comply with any laws, ordinances, codes, o r regulations applicable to the performance of the Services hereunder shall c onstitute a breach of contract. In cases where standards conflict, the standard providing the highest degree of protection shall prevail.

If a death, serious personal injury, or substantial property damage occurs in connection with the performance of this Agreement, Professional shall immediately notify City Manager by telephone. If any accident occurs in connection with this Agreement, Professional shall promptly submit a written report to City, in such form as City may require. This report shall include the following information: (a) Name and address of the injured or deceased person(s); (b) Name and address of Professional's subcontractor, if any; (c) Name and address of Professional's liability insurance carrier; and (d) A detailed description of the accident, including whether any of City's equipment, tools or materials were involved.

If a release of a hazardous material, substance, or waste occurs in connection with the performance of this Agreement, Professional shall immediately notify City Manager.

Section 14. Confidentiality. Professional understands and agrees that, in the performance of Services under this Agreement or in the contemplation thereof, Professional may have access to private or confidential information that may be owned or controlled by City and that such information may contain proprietary or confidential details, the disclosure of which to third parties may be damaging to City (“Confidential Information”).

Professional shall not, either during or after the Term, disclose to any third party any Confidential Information without the prior written consent of City. If City gives Professional written authorization to make any such disclosure, Professional shall do so only within the limits and to the extent of that authorization. Professional may be directed or advised by the City’s General Counsel on various matters relating to the performance of the Services on the Project or on other matters pertaining to the Pr oject and, in such event, Professional agrees that it will treat all communications between itself, its employees and its subcontractors as being communications which are within the attorney-client privilege.

Notwithstanding the foregoing, Professional may disclose Confidential Information required to be disclosed under law, provided that, prior to disclosure, Professional shall first give notice to City and make a reasonable effort to obtain a protective order requiring that City’s Confidential Information not be disclosed. This exception is limited to the extent disclosure is required under law.

Section 15. Ownership of Work Product. All findings, reports, documents, information, and data including, but not limited to, computer tapes or discs, preliminary notes, working documents, files, and tapes furnished or prepared by Consultant or any of its subcontractors in the course of performance of this Agreement, shall be and remain the sole property of Consultant. Consultant agrees that any such documents or information shall not be made available to any individual or organization without the prior co nsent of City, but shall be made available to the City within ten (10) days of request or within ten (10) days of ITEM 10

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PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

termination. City shall indemnify and hold harmless Consultant from all claims, damages, losses, and expenses, including attorneys’ fees, arising out of or resulting from City’s use of such documents for other projects not contemplated by this Agreement. C onsultant shall deliver to City any findings, reports, documents, information, data, preliminary notes and working documents, in any form, including but not limited to, computer tapes, discs, files audio tapes or any other Project related items as requeste d by City or its authorized representative, at no additional cost to the City.

Section 16. Assignment Prohibited . No Party to this Agreement may assign any right or obligation pursuant to this Agreement. Any attempt or purported assignment of any right or obligation pursuant to this Agreement shall be void and of no effect.

Section 17. Excusable Delays; Notice to Other Party of Delay . Professional shall not be in breach of this Agreement in the event that performance of Services is temporarily interrupted or discontinued due to a “Force Majeure” event which is defined as: riots , wars, sabotage, civil disturbances, insurrections, explosion, natural disasters such as floods, earthquakes, landslides, fires, strikes, lockouts and other labor disturbances or other catastrophic events, which are beyond the reasonable control of Professional. Force Majeure does not include: (a) Professional’s financial inability to perform; (b) Professional’s failure to obtain any necessary permits or licenses from other governmental agencies; or (c) Professional’s failure to obtain the right to use the facilities of any public utility where such failure is due solely to the acts or omissions of the Professional.

Section 18. Suspension of Services by City. City reserves the right to suspend Professional's Services under this Agreement when City determines that it is necessary to do so. When possible, City shall give Professional notice of such suspension and Professional shall, upon receipt of said notice, suspend all Services except any Services, the completion of which is authorized by the notice given by City. If the Services are suspended by City for more than sixty (60) consecutive days, for reasons other than the fault of the Professional, the Professional shall be compensated for Services performed prior to notice of such suspension. When the Project is resumed, the Professional's compensation shall be equitably adjusted by City to provide for expenses incurred by the interruption of the Services. In this regard, Professional shall furnish to City such financial information that, in the judgment of the City Manager, is necessary to determine the reasonable value of the Services rendered by Professional during the period when Services were suspended.

Section 19. Termination of Work by City for Its Convenience. City shall have the right to terminate this Agreement at any time for its convenience by giving notice of such termination to Professional (“Termination”). In the event City shall give such notice of termination, Professional shall cease rendering Services upon receipt of said notice given as required in this Agreement. If City terminates this Agreement:

(a) Professional shall deliver copies of all Products prepared by it pursuant to this Agreement.

(b) If City terminates this Agreement for convenience before City issues the Notice to Proceed to Professional or before Professional commences any Services hereunder, whichever last occurs, City shall not be obligated to make any payment to Professional. If City terminates this Agreement after City has issued the Notice to Proceed to Professional and after Professional has commenced performance under this Agreement, City shall pay Professional the reasonable value ITEM 10

ATTACHMENT B

PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

of the Services rendered by Professional pursuant to this Agreement prior to termination of this Agreement. City shall not in any manner be liable for Professional's actual or projected lost profits had Professional completed the Services. Professional shall furnish to City such financial information that, in the judgment of the City Manager, is necessary to determine the reasonable value of the Services rendered by Professional prior to termination.

(c) Except as provided in this Agreement, in no event shall City be liable for costs incurred by or on behalf of Professional after the date of the notice of termination.

(d) Notwithstanding this Section, this Agreement may be terminated by City for cause based on the loss or suspension of any licenses, permits or registrations required for the continued provision of the Services, or Professional’s malfeasance. Termination of the Agreement for cause as set forth in this Section shall relieve City from compensating Professional.

Section 20. Assurance of Performance. If, at any time, City believes Professional may not be adequately performing its obligations under this Agreement or may fail to complete the Services as required by this Agreement, City may submit a written request to Professional for written assurances of performance and a plan to correct observed deficiencies in Professional's performance. Failure to provide written assurances subsequent to such written request, constitutes grounds to declare a breach under this Agreement.

Section 21. Cancellation for Breach by Either Party. Should either Party fail to substantially perform its obligations in accordance with the provisions of this Agreement, the other Party shall thereupon have the right to cancel the Agreement by giving written notice and specifying the effective date of such cancellation. If City cancels this Agreement for breach and it is subsequently determined that Professional did not fail to substantially perform its obligations in accordance with this Agreement, then cancellation for breach by City shall be deemed, and treated, as termination for convenience.

Neither Party waives the right to recover damages against the other for breach of this Agreement, including any amount necessary to compensate City for all detriment proximately caused by Professional's failure to perform its obligations hereunder or which in the ordinary course of things would be likely to result therefrom. City reserves the right to offset such damages against any payments owed to Professional.

City shall not in any manner be liable for Professional's actual or projected lost profits had Professional completed the Services required by this Agreement.

Section 22. Dispute Resolution. In the event of any dispute between the Parties to this Agreement, the Parties agree to first negotiate in good faith toward a resolution with participation by representatives of each party holding sufficient authority to resolve the dispute. If such dispute cannot be resolved within fifteen (15) business days, the dispute shall be submitted to mediation as a condition precedent to initiating formal litigation.

Section 23. Insurance Coverage. During the Term, the Professional shall maintain in full force and effect policies of insurance set forth herein, which shall be placed with insurers with a current ITEM 10

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PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

A M Best’s rating of no less than A VII and will provide City with written proof of said insurance.

Professional shall maintain coverage as follows:

23.1. General Liability . Professional shall carry general liability insurance in the amount of Two Million Dollars ($2,000,000.00) per occurrence for bodily injury, personal injury, and property damage. If commercial general liability insurance or another form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this Proje ct or the general aggregate shall be Two Million Dollars ($2,000,000.00).

23.2. Workers’ Compensation Insurance and Employer's Liability . Professional shall carry workers’ compensation insurance as required by the State of California under the Labor Code. Professional shall also carry employer’s liability insurance in the amount of One Million Dollars ($1,000,000.00) per accident, with a One Million Dol lar ($1,000,000.00) policy limit for bodily injury by disease, and a One Million Dollar ($1,000,000.00) limit for each employee’s bodily injury by disease.

23.3. Errors and Omissions Liability . Professional shall carry errors and omissions liability insurance in the amount of no less than Two Million Dollars ($2,000,000.00) per claim or greater if appropriate for the Professional's profession. Any deductibles or self -insured retentions must be declared to and approved by City. At the option of the City, either the insurer shall reduce or eliminate such deductibles or self -insured retentions with respect to the City, elected and appointed councils, commission s, directors, officers, employees, agents, and representatives (“City’s Agents”); or the Professional shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claims administration and defense expenses.

23.4. Commercial Automobile Liability . Professional shall carry commercial automobile liability insurance in the amount of One Million Dollars ($1,000,000) or greater per occurrence for owned, leased, hired, and borrowed automobiles.

23.5. Waiver of Subrogation . With the exception of errors and omissions liability insurance, Professional hereby agrees to waive subrogation which any insurer of Professional may acquire from Professional by virtue of the payment of any loss. The commercial general liability policy and workers’ compensation policy shall be endorsed to contain a waiver of subrogation in favor of City for all work performed by Professional, its agents, employees, independent contractors, and subcontractors. Professional agr ees to obtain any endorsement that may be necessary to affect this waiver of subrogation.

Section 24. Additional Insurance Requirements. Within five (5) days of the commencement of the Term , Professional shall provide City with certificates of insurance for all of the policies required under this Agreement (“Certificates”), excluding the required workers’ compensation insurance. Such Certificates shall be kept current for the Term of the Agreement and Professional shall be responsible for providing updated copies a nd notifying City if a policy is cancelled, suspended, reduced, or voided. With the exception of the workers’ compensation and errors and omissions liability insurance, all of the insurance policies required in this Agreement shall:

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ATTACHMENT B

PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

(a) Provide that the policy will not be cancelled, allowed to expire, or materially reduced in coverage without at least thirty (30) days’ prior written notice to City of such cancellation, expiration, or reduction and each policy shall be endorsed to state such;

(b) Name City, and City’s Agents as additional insureds with respect to liability arising out of Services, work, or operations performed by or on behalf of Professional;

(c) Cover products and completed operations of Professional, premises owned, occupied, or used by the Professional, or automobiles owned, leased, or hired or borrowed by the Professional; contain no special limitations on the scope of protection afforded to City;

(d) Be primary with respect to any insurance or self -insurance programs covering City or City’s Agents and any insurance or self-insurance maintained by City or City’s Agents shall be in excess of Professional’s insurance and shall not contribute to it;

(e) Contain standard separation of insured provisions; and

(f) State that any failure to comply with reporting or other provisions of the policy including breaches of warranties shall not affect the coverage provided to City.

Section 25. Indemnification by Professional . To the fullest extent permitted by law (including, without limitation, California Civil Code sections 2782 and 2782.8), Professional shall defend with legal counsel reasonably acceptable to City, indemnify and hold harmless the City and City’s Agents from and against any and all claims, loss, cost, damage, injury (including, without limitation, injury to or death of an empl oyee of Professional or its subcontractors), expense and liability of every kind, nature and description that arise o ut of, pertain to or relate to acts or omissions of Professional, or any direct or indirect subcontractor, employee, contractor, representative or agent of Professional, or anyone that Professional controls (collectively “Liabilities”). Such obligations to defend, hold harmless and indemnify City and City’s Agents shall not apply to the extent that such Liabilities are caused in whole by the sole negligence, active negligence, or willful misconduct of City or City’s Agents, but shall apply to all other Liabilities.

With respect to third -party claims against the Professional, the Professional waives any and all rights of any type of express or implied indemnity against City and City’s Agents.

Section 26. Liability of City. Notwithstanding any other provision of this Agreement, in no event shall City be liable, regardless of whether any claim is based on contract or tort, for any special, consequential, indirect, or incidental damages, including, but not limited to, lost profits or revenue, arising out of or in connection with this Agreement or the Se rvices performed in connection with this Agreement.

Section 27. Independent Contractor . At all times during the Term, Professional shall be deemed to be an independent contractor and shall be wholly responsible for the manner in which Professional performs the Services required under this Agreement. Professional shall be liable for its acts and omissions and those of its employees, contractors, subcontractors, representatives, volunteers, and its agents. Nothing contained herein shall be construed as creating an employment, agency, or partnership relationship between City and Professional. City shall have the right to ITEM 10

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PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

control Professional only insofar as the result of Professional’s Services rendered pursuant to this Agreement; however, City shall not have the right to control the means by which Professional accomplishes Services rendered pursuant to this Agreement.

Section 28. Professional Not Agent. Except as City may specify in writing, Professional shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Professional shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever.

Section 29. Payment of Taxes and Other Expenses . Payment of any taxes, including California sales and use taxes, levied upon this Agreement, the transaction, or the Services or goods delivered pursuant hereto, shall be the obligation of Professional.

Section 30. Notices. Any notice or communication required hereunder between City and Professional must be in writing, and may be given either personally, by registered or certified mail (return receipt requested), or by Federal Express, UPS or other similar couriers providing overnight delivery. If personally delivered, a notice shall be deemed to ha ve been given when delivered to the Party to whom it is addressed. Notices given by registered or certified mail shall be deemed to have been given and received on the first to occur of (a) actual receipt by any of the addressees designated below as the party to whom notices are to be sent, (b) on the date delivered as shown on a receipt issued by the courier, or (c) five (5) days after a registered or certified letter containing such notice, properly addressed, with postage prepaid, is deposited in the Uni ted States mail. If given by Federal Express or similar courier, a notice or communication shall be deemed to have been given and received on the date delivered as shown on a receipt issued by the courier. Any Party hereto may at any time, by giving ten (10) days written notice to the other Party hereto, designate any other address in substitution of the address to which such notice or communication shall be given. Such notices or communications shall be given to the Parties at the addresses in this paragraph set forth below:

ITEM 10

ATTACHMENT B

PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

If to City: City of Ceres
Attn: City Manager
2220 Magnolia Street
Ceres, California 95307

With courtesy copies to: White Brenner LLP
Attn: Nubia I. Goldstein
1608 T Street
Sacramento, CA 95811

If to Professional: JJACPA
Attn: Brett Jones
7080 Donlon Way, Suite 204
Dublin, CA 94568-2787
Section 31. General Provisions.

A. Modification. No alteration, modification , or termination of this Agreement shall be valid unless made in writing and executed by all Parties.

B. Waiver. No covenant, term, or condition or the breach thereof shall be deemed waived, except by written consent of the Party against whom the waiver is claimed, and any waiver of the breach of any covenant, term, or condition shall not be deemed to be a waiver of any preceding or succeeding breach of the same or any other covenant, term, or condition.

C. Assignment. No Party shall assign, transfer , or otherwise dispose of this Agreement in whole or in part to any individual, firm, or corporation without the prior writ ten consent of the other P arty. Subject to the forgoing provisions, this Agreement shall be binding upon, and inure to the benefit of, the respective successors and assigns of the Parties.

D. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the state of California.

E. Venue. Venue for all legal proceedings shall be in the Superior Court of California for the County of Stanislaus.

F. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall constitute an original and all of which shall be deemed a single agreement.

G. Severability. If this Agreement in its entirety is determined by a court to be invalid or unenforceable, this Agreement shall automatically terminate as of the date of final entry of judgment. If any provision of this Agreement shall be determined by a court to be inva lid and unenforceable, or if any provision of this Agreement is rendered invalid or unenforceable according to the terms of any federal or state statute, which becomes effective after the execution of this Agreement by any Party , the remai ning provisions shall continue in full force and effect and shall be construed to give effect to the intent of this Agreement.

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PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

H. Audit. City shall have access at all reasonable times to all reports, contract records, contract documents, contract files, and personnel necessary to audit and verify Professional’s charges to City under this Agreement.

I. Entire Agreement . This Agreement sets forth the entire understanding between the Parties as to the subject matter of this Agreement and merges all prior discussions, negotiations, proposal letters or other promises, whether oral or in writing.

J. Supersedes Prior Agreement. It is the intention of the Parties hereto that this Agreement shall supersede any prior agreements, discussions, commitments, or representations, whether written, electronic or oral, between the Parties with respect to the subject matter of this Agreement.

K. Headings Not Controlling. Headings used in this Agreement are for reference purposes only and shall not be considered in construing this Agreement.

L. Successors and Assigns . All representations, covenants, and warranties specifically set forth in this Agreement, by or on behalf of, or for the benefit of, any or all of the Parties hereto, shall be binding upon and inure to the benefit of such Party, its successors and assigns.

M. Interpretation. As used herein, any gender includes each other gender, the singular includes the plural and vice versa.

N. Mandatory and Permissive . “Shall” and “will” and “agrees” are mandatory. “May” and “can” are permissive.

O. Attorney’s Fees and Costs . If any action at law or in equity, including action for declaratory relief, is brought to enforce or interpret provisions of this Agreement, the prevailing Party shall be entitled to reasonable attorney's fees and costs, which may be set by the court in the same action or in a separate action brought for that purpose, in addition to any other relief to which such Party may be entitled.

P. Time is of the Essence. Time is of the essence in this Agreement for each covenant and term of a condition herein.

Q. Authority. All Parties to this Agreement warrant and represent that they have the power and authority to enter into this Agreement and the names, titles, and capacities herein stated on behalf of any entities, persons, states, or firms represented or purported to b e represented by such entities, persons, states or firms and that all former requirements necessary or required by the state or federal law in order to enter into the Agreement have been fully complied with. Further, by entering into this Agreement, neither Party hereto shall have breached the terms or conditions of any other contract or agreement to which such Party is obligated, which such breach would have a material effect hereon.

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ATTACHMENT B

PROFESSIONAL SERVICES AGREEMENT
City of Ceres and JJACPA, Inc.

R. Drafting and Ambiguities. Each Party acknowledges that it has reviewed this Agreement with its own legal counsel, and based upon the advice of that counsel, freely entered into this Agreement. Each Party has participated fully in the review and revision of this Agreement. Any rule of construction that ambiguities are to be resolved against the drafting party does not apply in interpreting this Agreement.

IN WITNESS WHEREOF, the Parties have executed this Agreement as of the last day and date below written.

CITY:

CITY OF CERES, a California municipal
corporation

By:

Steve Williams, Interim City Manager

Date:

PROFESSIONAL:

JJACPA, Inc., a California corporation

By:

Name:

Date:

Approved as to Form:

Nubia I. Goldstein, City Attorney

ITEM 10
2025 2026
Standard Quoted Total Total
Hours Hourly Rates Hourly Rates Cost Cost
Principal 20 300$ 250$ 5,000 $ 5,000 $ Manager 60 250$ 200$ 12,000 12,000 Supervisory Staff 80 200$ 150$ 12,000 12,000 Professional Staff 80 150$ 100$ 8,000 8,000 $ Total for audit services* 240 37,000 37,000
Single Audit 40 9,000 9,000
Gann Limit Report 6 included - -
Total all-inclusive maximum price for this audit 286 46,000 46,000 Out of Pocket Costs 2,000 2,000
Total all-inclusive maximum price 48,000 $ 48,000 $ * Includes TDA and Measure H at $2,750 and $2,500, respectively

EXHIBIT A
City of Ceres
Dollar Cost Bid

SCHEDULE OF PROFESSIONAL FEES AND EXPENSES - TOTAL HOURS BY POSITION FOR THE AUDIT OF THE FISCAL YEAR 2025 & 2026 FINANCIAL STATEMENTS ITEM 10

COUNCIL AGENDA REPORT

CITY COUNCIL
Javier Lopez, Mayor
James Casey, Dist.1
Rosalinda L. Vierra, Dist. 2
Cerina Otero, Dist. 3
Daniel A. Martinez, Dist. 4
MEETING DATE: April 27, 2026
TO: Mayor and City Council
FROM: Steve Williams, Interim City Manager
CONTACT: Joshua Casas, Public Works Superintendent
[email protected], (209) 537-5613
SUBJECT:

Resolution No. 202 6-XXX, Approving the Memorandum of
Agreement for Implementation of the Pyrethroid Control Program; CASQA Group Membership & OWOW Group Subscription with
Stanislaus County, San Joaquin County, and Central Valley Agencies and Authorizing the Interim City Manager to Execute the Agreement
RECOMMENDED COUNCIL ACTION:

Staff recommends that the City Council approve the Memorandum of Agreement for Implementation of the Pyrethroid Control Program: CASQA Group Membership & OWOW Group Subscription with Stanislaus County, San Joaquin County, and Central Valley agencies (“Memorandum of Agreement”) and authorize the Interim Cit y Manager to execute the agreement.

I. BACKGROUND:

The City of Ceres (“City”) has worked with over twenty (20) agencies across the central valley to achieve compliance with the State -mandated Pyrethroid Management Plan (PMP) and Basin Plan Amendments (BPA). The City has established a working partnership with various agencies to develop the PMP framework that will help with the implementation of best management practices
II. REASONS FOR RECOMMENDATION:

The City is required to maintain compliance with the Central Valley Regional Water Quality Control Board (CVRWQCB) regulations. The Stanislaus County – San Joaquin County Group is a cost-effective way to ensure the City’s continued compliance. With approval of the Memorandum of Agreement for the implementation of the pyrethroid control program, the City will be able to maintain compliance with CVRWQCB regulations by leveraging a group membership in the California Stormwater Quality Association (CASQA) and a group subscription to the Our Water - Our World (OWOW) program.

ITEM 11
III. FISCAL IMPACTS:

The City has budgeted $3,000 for the City’s share of the CASQA group membership and OWOW group subscriptions in the next year . Membership dues are divided among members.

IV. EXISTING POLICY / RELATIONSHIP TO THE STRATEGIC PLAN:

The City has already partnered with the Stanislaus County – San Joaquin County Group for group membership in CASQA and OWOW to help remain in compliance with the PMP.

Signing the Memorandum of Agreement will formalize the already established relationship by documenting the roles and responsibilities of the respective parties within the group .

The Memorandum of Agreement does not, in and of itself, commit any agency financially to the implementation of the Pyrethroid Control Program This M emorandum of Agreement lines up with the City’s strategic goals to maintain Infrastructure and Government Operations by ensuring compliance with state-mandated programs.

V. POLICY ALTERNATIVES:

Should the council reject the M emorandum of Agreement , the City would need to implement its own programs for PMP and Municipal Separate Storm Sewer System (MS4), apply for an individual MS4 permit, purchase individual CASQA Membership, and purchase an individual OWOW subscription.

VI. INTERDEPARTMENTAL COORDINATION:

N/A
VII. PUBLIC PARTICIPATION:

N/A
VIII. ENVIRONMENTAL REVIEW:

N/A
IX. STEPS FOLLOWING APPROVAL:

The Interim City Manager will sign the Memorandum of Agreement , and the City will continue its relationship with the Stanislaus County – San Joaquin County Group for compliance with the PMP.

Approved by: __________________
Steve Williams,
Interim City Manager
Attachments:

1. Attachment A – Resolution

2. Attachment B – Memorandum of Agreement – Stanislaus County – San Joaquin County Group
ITEM 11

ATTACHMENT A
RESOLUTION NO. 2026-XXX

APPROVING THE MEMORANDUM OF AGREEMENT FOR
IMPLEMENTATION OF THE PYRETHROID CONTROL PROGRAM:

CASQA GROUP MEMBERSHIP & OWOW GROUP SUBSCRIPTION WITH

STANISLAUS COUNTY, SAN JOAQUIN COUNTY, AND CENTRAL

VALLEY AGENCIES, AND AUTHORIZING THE INTERIM CITY MANAGER

TO EXECUTE THE AGREEMENT

THE CITY COUNCIL
City of Ceres

WHEREAS, the City of Ceres (Ceres) is required to maintain compliance with the Central Valley Regional Water Quality Control Board (CVRWQCB) regulations; and

WHEREAS, the CVRWQCB adopted a Basin Plan Amendment (BPA) for the Control of Pyrethroid Pesticide Discharges, and the BPA established a Pyrethroid Control Program; and

WHEREAS, the Stanislaus County, San Joaquin County, and Central Valley agencies have created a group for the implementation of the Pyrethroid Control Program; and

WHEREAS, the City is participating in the California Stormwater Quality Association (CASQA) Group Membership and Our Water - Our World (OWOW) Group Subscription with Stanislaus County, San Joaquin County, and Central Valley agencies; and

WHEREAS, it is mutually beneficial for the City to formalize its membership in the group with Stanislaus County, San Joaquin County, and Central Valley agencies; and

WHEREAS, the Memorandum of Agreement formalizes the already established relationship by documenting the roles and responsibilities of the respective parties within the group.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Ceres does hereby approve the Memorandum of Agreement for Implementation of the Pyrethroid Control Program: CASQA Group Membership & OWOW Group Subscription with Stanislaus County, San Joaquin County, and Central Valley agencies and authorizes the Interim City Manager to execute the agreement.

PASSED AND ADOPTED by the Ceres City Council at a regular meeting thereof held on the 27th day of April 2026, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:

________________________________
Javier Lopez, Mayor
ATTEST:

_________________________________
Fallon Martin, City Clerk
ITEM 11
ITEM 11

ATTACHMENT B

STANISLAUS COUNTY – SAN JOAQUIN COUNTY

MEMORANDUM OF AGREEMENT
FOR
IMPLEMENTATION OF THE PYRETHROID CONTROL PROGRAM:

CASQA GROUP MEMBERSHIP AND OWOW GROUP SUBSCRIPTION

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 1 Stanislaus County – San Joaquin County Memorandum of Agreement for the Implementation of the Pyrethroid Control Program
is by and between the Agencies Named Below

This Memorandum of Agreement (“MoA” or “Agreement”) is jointly entered into by the cities of Ceres, Lodi, Manteca, Modesto, Newman, Patterson, Riverbank, Stockton, Tracy, and Turlock; the community of Mountain House, and the County of San Joaquin and Stanislaus County (collectively referred to as “parties”; sometimes individually referred to herein as “permittee” or “agency” or “group”). It is dated as April 1, 2026.

Recitals
A. On June 8, 2017, the Central Valley Regional Water Quality Control Board (Regional Water Board) adopted Resolution R5-2017-0057, the Basin Plan Amendment (BPA) for the Control of Pyrethroid Pesticide Discharges. The BPA was subsequently approved by the State Water Resources Control Board (State Water Board) on July 10, 2018, and the Office of Administrative Law (OAL) on February 19, 2019. With these approvals, the BPA became effective. All municipal stormwater permittees (Phase I and Phase II) are subject to the conditional prohibition.

B. The BPA established a Pyrethroids Control Program that includes a variety of actions including, but not limited to, the development of a Pyrethroid Management Program (PMP).

C. In 2020, a Central Valley regional group of about 20 agencies was formed to leverage resources and collaboratively develop both a baseline PMP template for use by the parties in developing their own PMPs as well as several outreach materials and tools that would assist the parties in implementing the PMPs.

D. The PMPs included a set of management practices that, taken as a whole, may reasonably be expected to effectively reduce pyrethroid levels in municipal stormwater discharges. The PMP includes a series of required activities including, but not limited to, the need to have point-of-purchase outreach, which is described as…Make available point-of- purchase outreach materials to pesticide retailer(s) in or near the Permittee’s jurisdiction. These materials shall provide targeted information on proper pesticide use and disposal, potential adverse impacts on water quality, and less toxic methods of pest prevention and control1.

E. The primary point-of-purchase program that is being used by the parties for this outreach is Our Water – Our World (OWOW). OWOW is a statewide California Stormwater Quality Association (CASQA) program specifically designed to address water quality impacts of urban use pesticides and has an OWOW IPM Advocate who provides outreach at local store(s).

The IPM Advocate is responsible for setting up and maintaining in-store racks containing OWOW outreach materials. These materials and literature provide customers with information

1 Attachment 1, Resolution R5-2017-0057, page 16
ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 2 regarding the potentially adverse impacts of pesticides on water quality, proper pesticide use and disposal, and less toxic methods of pest control.

F. In order to participate in OWOW the parties must have a) a current CASQA membership, b) a valid CASQA OWOW subscription, and c) a valid contract with an OWOW IPM Advocate to assist with the implementation of the point-of-purchase program within each of the jurisdictions.

G. In 2024, the Central Valley regional group (22 agencies) joined together to purchase a CASQA Areawide MS4 membership as well as an OWOW group subscription.

Joining together in this manner allowed the regional group to leverage their resources (and achieve cost savings) while meeting their regulatory requirements.

H. Effective January 1, 2026, CASQA restructured their membership dues and redefined what constitutes an Areawide MS4 membership. The changes included, but were not limited to, a requirement that the agencies purchasing an Areawide membership were located within the same County or within two adjacent counties and that there be a legally established cost-sharing agreement amongst all entities that are a part of the membership.

I. The parties within this MoA are located within two adjacent counties and have the ability to leverage their resources and continue as an Areawide MS4 “group” so that they can cost effectively purchase a CASQA group membership as well as a OWOW group subscription to assist in meeting their regulatory requirements.

J. The purpose of the MoA is to formally document the roles and responsibilities of each of the parties within the Stanislaus County – San Joaquin County group. The MoA does not, in and of itself, commit any agency financially to the implementation of the Pyrethroid Control Program. Each agency will need to continue to contract directly and individually with the Group Lead (Larry Walker Associates or LWA) to complete the work required.

NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS:

A. Group Activities Delineation.

Group Lead - LWA
LWA will function as the Group Lead and be responsible for the following:
• Maintaining the CASQA Group Membership and OWOW Group Subscription list (for each agency - primary and secondary contact names, emails, phone numbers) in an Excel or other format
• Responding to questions from CASQA and the parties, as needed • Renewing the CASQA Group Membership and OWOW Group Subscription on an annual basis (April of every year)
• Participating in the CASQA quarterly OWOW calls/meetings and providing a summary of key topics and action items to the group
• Coordinating and placing the group bulk OWOW Order each year with CASQA (typically December/January) and following up as needed to ensure that the materials are delivered
ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 3 • Coordinating and communicating with the Group as needed • Contracting with and invoicing each agency (twice per fiscal year) Group - Parties
• Respond to information requests from the Group Lead including information such as voting members, bulk orders, etc. in a timely manner. • Enter into a contract with LWA each fiscal year for the services conducted as Group Lead on behalf of each entity.

B. Termination.

This Agreement will remain in place until formally amended or repealed by the parties.

Should an individual Permittee want to terminate its obligations under this Agreement, the following conditions must be met:

1. The Permittee shall provide written notice to the Group Lead of its intention to terminate its participation in the Agreement no later than 30 days before 5:00 PM June 30 prior to the commencement of the following fiscal year of which it is seeking to terminate its obligations (July 1 – June 30).

2. The Permittee shall be committed to fulfill all of its financial obligations outlined in this Agreement to the end of the current fiscal year (June 30).

3. The Permittee shall fulfill all of its individual obligations for projects, studies, and other programs and activities undertaken on behalf of Group through the duration of any such studies, programs, and activities.

If an individual Permittee opts to terminate its obligations under this Agreement consistent with the terms above, the remaining parties will be provided 30 days to determine if they would like to continue to participate in the Agreement.

C. Participation and Program Costs

1. It is acknowledged that each of the parties will pay the Group Lead through individual, agency-specific contracts and that the Group Lead will submit payment to CASQA on behalf of the group as a whole to satisfy the annual membership and OWOW subscription requirements.

2. It is acknowledged that the Regular Areawide MS4 CASQA membership dues and the group OWOW subscription are based on the total group population size and/or the type of permit (Phase I or Phase II).

3. It is acknowledged that CASQA operates on a Calendar year, though the language below will utilize fiscal year arrangements due to most, if not all, permittees operating on fiscal year schedules and billing cycles.

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 4 4. The Agreement will begin April 2026 and remain in place until formally amended or repealed by the parties.

5. All CASQA group membership, OWOW group subscription, and LWA Group Lead costs shall be allocated amongst the permittees. The OWOW Orders and any jurisdiction specific assistance shall be allocated directly to the applicable Permittees.

D. Indemnity
Each party to this Agreement agrees to protect, indemnify and hold harmless the other parties and their officers, officials, employees and volunteers from and against all claims, demands and causes of action by third parties on account of personal injuries or death or on account of property damages to the extent arising out of the work to be performed under this Agreement and resulting from the negligent act or omission of the party, its contractors, agents, employees, or subcontractors.

E. Attorney’s Fees; Venue; Governing Law
If any party commences any legal action against another party arising out of this Agreement or the performance hereof, the prevailing party in such action shall be entitled to recover its reasonable litigation expenses, including but not limited to, court costs, expert witness fees, discovery expenses, and attorney’s fees. This Agreement shall be governed by and construed in accordance with the laws of the State of California.

F. Modification
This Agreement and each provision contained herein may be waived, amended, supplemented or eliminated only by mutual written agreement of the parties.

G. Severability
If any of the provisions contained in this Agreement are for any reason held invalid or unenforceable, such holding shall not affect the remaining provisions or the validity and enforceability of the Agreement as a whole.

H. Integrated Agreement
This is an integrated Agreement and contains all of the terms, considerations, understanding and promises of the parties. It shall be read as a whole. It may be executed in counterparts.

(SIGNATURES ON FOLLOWING PAGES)

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 5 CITY OF CERES

Dated: ________________

__________________________________________
By: Steve Williams
Its: Interim City Manager

APPROVED AS TO FORM:

__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 6 CITY OF LODI
Dated: ________________

__________________________________________
By: Sean Nathan
Its: Interim Public Works Director

APPROVED AS TO FORM:

__________________________________________
By: Katie Lucchesi
City Attorney

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 7 CITY OF MANTECA
Dated: ________________

__________________________________________
By: George Montross
Its: Director of Utilities

APPROVED AS TO FORM:

__________________________________________
By: Kousha McKeenejad
Deputy City Attorney

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 8 CITY OF MODESTO
Dated: ________________

__________________________________________
By: Angie Smigleski
Its: Environmental Regulatory Compliance Superintendent

APPROVED AS TO FORM:

__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 9 CITY OF MOUNTAIN HOUSE
Dated: ________________

__________________________________________
By: Steven J. Pinkerton
Its: City Manager

APPROVED AS TO FORM:

__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 10 CITY OF NEWMAN

Dated: ________________
__________________________________________
By: Thomas Spankowski
Its: Public Works Director
APPROVED AS TO FORM:
__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 11 CITY OF PATTERSON

Dated: ________________
__________________________________________
By: Sonia Delgado
Its: Interim Public Works Director
APPROVED AS TO FORM:
__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 12 CITY OF RIVERBANK
Dated: ________________

__________________________________________
By: Kathleen Cleek
Its: Capital Projects/Regulatory Compliance Manager

APPROVED AS TO FORM:

__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 13 COUNTY OF SAN JOAQUIN
Dated: ________________
__________________________________________
By: XXX
Its: XXX
APPROVED AS TO FORM:
__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 14 COUNTY OF STANISLAUS
Dated: ________________
__________________________________________
By: Vito Chiesa
Its: Chairman, Board of Supervisors
APPROVED AS TO FORM:
__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 15 CITY OF STOCKTON
Dated: ________________

__________________________________________
By: Johnny Ford
Its: City Manager

APPROVED AS TO FORM:

__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 16 CITY OF TRACY
Dated: ________________

__________________________________________
By: Anush Nejad
Its: Public Works Director

APPROVED AS TO FORM:

__________________________________________
By: ________________
Legal Counsel

ITEM 11

ATTACHMENT B
Stanislaus County – San Joaquin County MoA for the Pyrethroid Control Program 17 CITY OF TURLOCK
Dated: ________________

__________________________________________
By: Christopher Fisher
Its: Municipal Services Department Director

APPROVED AS TO FORM:

__________________________________________
By: ________________
Legal Counsel

ITEM 11

COUNCIL AGENDA REPORT

CITY COUNCIL
Javier Lopez, Mayor
James Casey, Dist.1
Rosalinda L. Vierra, Dist. 2
Cerina Otero, Dist. 3
Daniel A. Martinez, Dist. 4
MEETING DATE: April 27, 2026
TO: Mayor and City Council
FROM: Steve Williams, Interim City Manager
CONTACT: Julian Aguirre, Economic Development/Redevelopment Manager [email protected], (209) 538-5773
SUBJECT:

Resolution No. 2026-XXX, Approving in Concurrence with Stanislaus Urban County and Stanislaus HOME Consortium the Annual Action Plan for Fiscal Year 2026 -2027 and Supporting Submission to the U.S. Department of Housing and Urban
Development (HUD)
RECOMMENDED COUNCIL ACTION:

Adopt a Resolution , in concurrence with Stanislaus Urban County and the Stanislaus HOME Consortium, approving the Annual Action Plan for Fiscal Year 2026 -2027 and support ing of submission to the United States Department of Housing and Urban Development (HUD).

I. BACKGROUND:

The City of Ceres (“City”) , in partnership with Stanislaus County and together with the cities of Hughson, Newman, Oakdale, Patterson, Riverbank, and Waterford , form the Stanislaus Urban County for purposes of receiving HUD Community Development Block Grant (CDBG) Program and Emergency Solutions Grants (ESG) Program funding.

Stanislaus County is the lead entity with responsibility for implementing and administering CDBG and ESG funding.

The Stanislaus Urban County, along with the City of Turlock, form the Stanislaus HOME consortium for the purpose of receiving HUD HOME Investment Partnership (HOME) Program funding. Stanislaus County, as the lead entity for the Stanislaus Urban County and Stanislaus HOME Consortium, is required to submit a Consolidated Plan (Con Plan) every five (5) years and an Annual Action Plan (AAP) every year. The City of Turlock, as a member of the Stanislaus HOME Consortium but not a member of Stanislaus Urban County, must approve and submit a separate AAP to HUD for its CDBG funding. Approval of an AAP is necessary to remain in compliance with program regulations and retain HUD funding.

ITEM 12
The current Con Plan was adopted on May 13, 2025, by the Stanislaus County Board of Supervisors and covers Fiscal Year s 2025-26 to 2029-30. The Con Plan is a strategic planning document that helps HUD entitlement jurisdictions assess their affordable housing and community development needs, as well as market conditions. The plan serves as a framework to identify priorities and align funding from HUD’s Community Planning and Development (CPD) formula block grant programs, such as the CDBG, HOME and ESG programs.

The draft AAP is the second AAP of the adopted Con Plan and describes projects and activities, with assigned goals and accomplishments, that will be undertaken during Fiscal Year 2026 -2027. The final funding allocation amounts are pending release by HUD before the end of April 2026.

In accordance with Federal regulations, the Stanislaus County Citizen Participation Plan (CPP) for HUD Entitlement Programs, which sets forth the policies and procedures for resident participation within the Stanislaus Urban County and the Stanislaus HOME Consortium regarding the CDBG, ESG, and HOME programs, requires a minimum thirty (30) day public review period prior to Stanislaus County Board of Supervisors consideration to approve the AAP. The draft AAP will be made available to the public and a notic e of the public hearing and document availability will be published in The Modesto Bee to provide for the required thirty (30) day public review period. The draft AAP will also be made available to the public online at:
http://www.stancounty.com/planning/cdbg/plans-and-reports.shtm.

The AAP covers CDBG, ESG and HOME projects and funded programs for the upcoming fiscal year. As of the date of this staff report, the final HUD allocations for the CDBG, ESG and HOME programs have not been released . The City anticipates receiving allocations for the CDBG and HOME program and ESG funding will be awarded to non profits that serve the urban county residents via the CDBG public service NOFA for Fiscal Year 2026-2027. Once released the funding allocations for all members of the Stanislaus Urban County and the Stanislaus HOME Consortium will be adjusted proportionally. The estimated funding allocations in the draft AAP are based on the Fiscal Year 2025 -2026 HUD funding and are only used as projections per HUD guidance.

CDBG Program

For Fiscal Year 2026-2027, it is anticipated that the City will be allocated approximately $260,115.18 under the CDBG Program, as shown in the attached allocation chart. The goals of the Stanislaus HOME Consortium as established under the federal CDBG programs guidelines are as follows : 1) provide decent housing ; 2) provide a suitable living environment; and 3) expand economic opportunities.

The City’s CDBG allocation for FY 202 6-2027 will be utilized for the continuation of the Morrow Village Project consisting of infrastructure improvements (curb, gutter, sidewalk, and ADA improvements) and CDBG administration.

HOME Program

For Fiscal Year 2026-2027, it is anticipated that the City will be allocated approximately $115,194 under the HOME Program, as shown in the attached allocation chart. The goals ITEM 12
of the Stanislaus HOME Consortium, as established under the federal HOME program guidelines, is to further affordable housing activities benefitting low -income households.

The City’s HOME funds must be committed to an approved project within six (6) months of July 1, unless the deadline is extended by the County. An approved project is one that has been included in a HUD -approved A AP, authorized by the County, and has completed the required environmental review process. If the City does not have an approved project within this timeframe, the funds will be made available to all Stanislaus HOME Consortium members through a County -administered Request for Proposals (RFP) process.

II. REASONS FOR RECOMMENDATION:

As the City of Ceres is a member of the Stanislaus Urban County and Stanislaus HOME Consortium for CDBG and HOME Program funds, the City of Ceres is required to approve the AAP and support submission of the AAP to HUD.

III. FISCAL IMPACTS:

The City anticipates receiving approximately $ 260,115.18 in CBDG funds and $115,194.00 in HOME funds from the Stanislaus Urban County and Stanislaus HOME Consortium funds.

IV. EXISTING POLICY / RELATIONSHIP TO THE STRATEGIC PLAN:

N/A
V. POLICY ALTERNATIVES:

N/A
VI. INTERDEPARTMENTAL COORDINATION:

N/A
VII. PUBLIC PARTICIPATION:

The Stanislaus County Planning and Community Development Department , as the Consortium administrator, has the lead role in the preparation of the AAP, which includes the public participation requirement under HUD guidelines.

A series of public meetings were held in each Stanislaus HOME Consortium member’s jurisdiction. For the City of Ceres, the community meeting on the draft Fiscal Year 2026- 2027 AAP was held April 16, 2026, at 5:30 PM at the Community Center and via Teams video conferencing.

In addition, the draft AAP for Fiscal Year 2026-2027 has been available for public review in the Stanislaus County Planning and Community Development Department, as well as various location throughout the County, since April 8 , 2026, to date. The City has not received any verbal or written comments regarding the AAP.

ITEM 12
Any public comments received by members of the public this evening will be forwarded to the Stanislaus County Board of Supervisors for inclusion in the final Fiscal Year 2026- 2027 AAP being submitted to HUD by Stanislaus County.

VIII. ENVIRONMENTAL REVIEW:

N/A
IX. STEPS FOLLOWING APPROVAL:

Staff will forward any public comments and the resolution of concurrence to the Stanislaus County Board of Supervisors upon Council approval, pursuant to HUD guidelines.

Approved by: ______________________
Steve Williams,
Interim City Manager

Attachments:

1. Attachment A – Resolution

2. Attachment B – FY 26/27 CDBG Funding Allocations Chart

3. Attachment C – FY 26/27 HOME Funding Allocations Chart

4. Attachment D – Presentation
ITEM 12

ATTACHMENT A

RESOLUTION NO. 2026-XXX

APPROVING IN CONCURRENCE WITH STANISLAUS URBAN COUNTY AND

STANISLAUS HOME CONSORTIUM, THE ANNUAL ACTION PLAN FOR FISCAL YEAR 2026-2027 AND SUPPORTING SUBMISSION TO THE U.S. DEPARTMENT OF

HOUSING AND URBAN DEVELOPMENT (HUD)

THE CITY COUNCIL
City of Ceres, California

WHEREAS, the Annual Action Plan (AAP) outlines the goals for utilizing Community Development Block Grant (CDBG) and Home Investment Partnership (HOME) Program funds to assist low -income households and persons in the areas of affordable housing, associated infrastructure, and economic developm ent for the Stanislaus Urban County Consortium; and

WHEREAS, the Stanislaus Urban County , which includes the cities of Ceres, Hughson, Newman, Oakdale, Riverbank, Patterson and Waterford and unincorporated areas of the County, has been granted an estimated total allocation based on fiscal year 2026-2027 funding of $2,505,396.00 in (CDBG) program funds; and

WHEREAS, the City of Ceres chooses to participate in the entitlement process by receiving a portion of the CDBG entitlement in partnership with the County and participating jurisdictions; and,

WHEREAS, the City of Ceres choose s to participate in the Stanislaus HOME Consortium and participate in the Stanislaus HOME Consortium selection process for HOME funds for fiscal year 2026-2027 funding; and

WHEREAS, the City of Ceres anticipated allocation of CDBG funds is $260,115.18 for the 202 6-2027 fiscal year , to be used for eligible administration and infrastructure improvements; and

WHEREAS, the City of Ceres anticipated allocation of HOME funds is $115,194.00 for the 2026-2027 fiscal year; and

WHEREAS, the total CDBG and/or HOME funding allocation may be decreased or increased proportionally based on the final HUD allocations yet to be released as of the date of this resolution; and

WHEREAS, as a member of Stanislaus Urban County and the Stanislaus HOME Consortium, the City of Ceres is required to approve the AAP and support submission of the AAP to HUD; and

WHEREAS, on April 15, 2026, the City of Ceres published a notice of this public hearing to review, take public comment, and approve the AAP.

ITEM 12

ATTACHMENT A

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Ceres does hereby approve in concurrence with Stanislaus Urban County and Stanislaus HOME Consortium the Annual Action Plan for Fiscal Year 202 6-2027 and supporting the submission to the U.S. Department of Housing and Urban Development (HUD).

PASSED AND ADOPTED by the Ceres City Council at a regular meeting thereof held on the 27th day of April 2026, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:

_____________________________
Javier Lopez, Mayor
ATTEST:

_____________________________
Fallon Martin, City Clerk
ITEM 12

STANISLAUS URBAN COUNTY

COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)

EMERGENCY SOLUTIONS GRANTS (ESG)
FISCAL YEAR 2026-2027 ANNUAL ACTION PLAN
FINAL FY 2026-2027 CDBG Allocation: $2,302,998
FINAL FY 2026-2027 ESG Allocation: $ 202,398
TOTAL: $2,505,396
The table below shows the final CDBG and ESG grant allocation breakdown among Urban County members and special programs.

FINAL CDBG AND ESG ALLOCATIONS

URBAN COUNTY
MEMBER

ACTIVITIES ADMINISTRATION/ACTIVITY

DELIVERY
TOTAL
City of Ceres $255,115.18 $5,000.00 $260,115.18
City of Hughson $108,331.69 $5,000.00 $113,331.69
City of Newman $124,001.66 $5,000.00 $129,001.66
City of Oakdale $162,508.89 $5,000.00 $167,508.89
City of Patterson $171,874.65 $5,000.00 $176,874.65
City of Riverbank $172,663.12 $5,000.00 $177,663.12
City of Waterford $112,565.28 $5,000.00 $117,565.28
Stanislaus County $389,803.53 $400,600.00 $790,403.53
Public Services @15% $345,534.00 $345,534.00
Fair Housing $25,000.00 $25,000.00
CDBG Total $1,842,398.00 $460,600.00 $2,302,398.00
ESG Total $187,219.00 $15,179.00 $202,398.00
TOTAL ALLOCATION $2,029,787.00 $475,779.00 $2,505,396.00

ATTACHMENT B
ITEM 12
ITEM 12

STANISLAUS HOME CONSORTIUM

HOME INVESTMENT PARTNERSHIPS PROGRAM (HOME)
FISCAL YEAR 2026-2027 ANNUAL ACTION PLAN
Final FY 2026-2027 HOME Allocation: $1,191,577.79
The table below shows the final HOME grant allocation breakdown among Stanislaus HOME Consortium members.

HOME ALLOCATIONS

HOME CONSORTIUM MEMBER ALLOCATION
City of Ceres $115,194
City of Hughson $82,115
City of Newman $85,534
City of Oakdale $96,720
City of Patterson $96,382
City of Riverbank $97,166
City of Turlock $141,014
City of Waterford $82,760
Stanislaus County $96,799
Community Housing Development
Organization (CHDO) Set-aside @ 15%
$178,736.79
HOME Total $1,072,420.79
County Administration Total $119,157
TOTAL ALLOCATION $1,191,577.79
*Please Note:. These funds will be allocated to individual Consortium members and must be committed to an approved project within six (6) months of July 1 of each program year, unless the deadline is extended by the County.

An approved project is one that has been included in a HUD-approved Annual Action Plan, authorized by the County, and has completed the required environmental review process. If a Consortium member does not have an approved project within this timeframe, the funds will be made available to all Consortium members through a County- administered Request for Proposals (RFP) process.

ATTACHMENT C
ITEM 12
ITEM 12
Fiscal Year 2026–2027
Annual Action Plan
Stanislaus Urban County
Stanislaus HOME Consortium
Community Meeting
April 2026

ATTACHMENT D
ITEM 12
Stanislaus Urban County and
Stanislaus HOME Consortium
Members
Note: The City of Turlock is not a member of the Stanislaus Urban County; however, it is a member of the Stanislaus HOME Consortium.

ATTACHMENT D
ITEM 12
Background
The County receives an
annual allocation of funds
for Community Development
activities from the U.S.

Department of Housing and
Urban Development (HUD).

Funded activities align to the
Consolidated Plan’s goals.

These funds are used to
create strong, sustainable,
inclusive communities and
affordable housing.

ATTACHMENT D
ITEM 12
Regional Approach
Stanislaus Urban County:
• CDBG – Community Development Block Grant
• ESG – Emergency Solutions Grant
Stanislaus HOME Consortium:
• HOME – HOME Investment Partnership Program
• Includes City of Turlock

ATTACHMENT D
ITEM 12
What is the Annual Action Plan?
Required by HUD
Identifies how federal funds are used
Focuses on housing and community needs
Part of the 2025–2029 Consolidated Plan

ATTACHMENT D
ITEM 12
Annual Action Plan
HUD Entitlement Requirements
3-5 YearsConsolidated Plan
3-5 Years
Analysis of Impediments to
Fair Housing
AnnuallyAnnual Action Plan
Annually
Consolidated Annual
Performance Evaluation
Report

ATTACHMENT D
ITEM 12
Annual Action Plan
Consolidated Plan Priorities

IMPROVE

INFRASTRUCTURE

SUPPORT AFFORDABLE

HOUSING

ADDRESS

HOMELESSNESS

PROVIDE ESSENTIAL

SERVICES

ATTACHMENT D
ITEM 12
Annual Action Plan
Purpose
CDBG/ESG/HOME projects for upcoming fiscal year
• Proposed Projects
• CDBG and ESG Funding Recommendations
Distribution of funds summary
• Geographical, Population, and Poverty Rate
Opportunity for Citizen Participation
• April 8, 2026 – May 8, 2026

ATTACHMENT D
ITEM 12
Planning Process
2025-2029 Consolidated Plan – five-year plan to identify the community needs and spending priorities for CDBG, HOME, and ESG funds.

Program Year Annual Action Plan – allocates funding amounts for specified activities.

The 2nd Program Year Annual Action Plan (2026-2027) – due to HUD in May 2026 and allocates funds for the period from July 1, 2026 through June 30, 2027.

ATTACHMENT D
ITEM 12
HUD Entitlement Allocations
Fiscal Year 2026-2027
Allocations
CDBG $2,302,998
ESG $202,398
HOME $1,191,577.79
Total $3,696,973.79

ATTACHMENT D
ITEM 12

FISCAL YEAR
2026-2027

CDBG AND ESG

ALLOCATIONS

ATTACHMENT D
ITEM 12
Community Development Block Grant
Meets national objectives:
•Benefit low to moderate income
•Prevent slums or blight
•Address urgent community needs

ATTACHMENT D
ITEM 12
Fiscal Year 2026-2027 Projects Proposed for Funding
Community Development Block Grant
Stanislaus Urban County
County: West Modesto Sewer Infrastructure Project and Fair Housing Services Ceres: Morrow Village ADA Improvements Phase 3 Project
Hughson: 7th Street Sidewalk Improvement Project
Newman: Steffensen-Sunshine Park Area Project
Oakdale: North Fifth Street and South Sixth Street Improvements Projects Patterson: Apricot Estates Improvements Project and E Street-9th Street Improvements Project Riverbank: Waterline Replacement Project, Pioneer Park Improvements Project and Texas Avenue Sewer Improvements Project Waterford: North Pasadena Avenue Improvements Project

ATTACHMENT D
ITEM 12
Summary of Changes continued)

Community Development Block Grant
Stanislaus Urban County
Fiscal Year 2026-2027 Funding Reccomendations
Prioritization Funding
We Care Program $172,000
We Care Substance Abuse Counseling/Treatment Program

Public Services
Center for Human Services – Housing Stability Project $33,534 Children’s Crisis Center – Guardian House $35,000 Children’s Crisis Center – Marsha’s and Verda’s Shelter $35,000 Court Appointed Special Advocates – Direct Services $35,000 Healthy Alternatives to Violent Environments – Legal Program $35,000 CDBG Public Services Total $345,534

ATTACHMENT D
ITEM 12
Emergency Solutions Grant (ESG)
Stanislaus Urban County
Shelter Services – Includes Shelter Operations, Essential Services
Homeless Prevention – Rent and Utilities Assistance for Families and Individuals In Immediate Danger of Homelessness
Rapid Re-housing – Provides Short Term Rent and Utility Assistance to Homeless Persons

ATTACHMENT D
ITEM 12
Summary of Changes continued)

Fiscal Year 2026-2027 Funding Recommendations
Emergency Solutions Grant (ESG)
Stanislaus Urban County
Emergency Solutions Grant
Center for Human Services – Low Barrier Shelter $60,546 HAVEN – Emergency Shelter $45,714
Community Housing and Shelter Services – Rapid Re-Housing $80,959 County Administration $15,179
Emergency Solutions Grant Total $202,398

ATTACHMENT D
ITEM 12
Funds may be used for a variety of affordable housing activities that generally fall into four categories:
• Rehabilitation of owner-occupied housing;
• Assistance to homebuyers;
• Acquisition, rehabilitation, or construction of rental housing; and • Tenant-based rental assistance.

Summary of Changes continued)

HOME Eligible Activities
HOME Investment Partnership Program
Stanislaus HOME Consortium

ATTACHMENT D
ITEM 12

FISCAL YEAR
2026-2027
HOME

ALLOCATION
*Please Note: These funds will be allocated to
individual Consortium members and must be
committed to an approved project within six (6)
months of July 1 of each program year, unless the
deadline is extended by the County. An approved
project is one that has been included in a HUD-
approved Annual Action Plan, authorized by the
County, and has completed the required
environmental review process. If a Consortium
member does not have an approved project within
this timeframe, the funds will be made available to
all Consortium members through a County-
administered Request for Proposals (RFP) process.

ATTACHMENT D
ITEM 12
SRHA – Park Street Cottages
Project: $1,664,392
Develop site with 4 units
and develop an
additional 8 units.

SRHA – Valley Manor
Project: $1,307,900 Rehabilitation of 48 units
SRHA – Abbie Street
Project: $1,262,970
Acquire site with 4 units
and develop an
additional 5 units.
2025 Affordable Rental Housing
Request for Proposals (RFP)- Awarded Funding

ATTACHMENT D
ITEM 12
Questions
Julian Aguirre
Economic Development Manager
City of Ceres
[email protected]
209-538-5773

ATTACHMENT D
ITEM 12

COUNCIL AGENDA REPORT

CITY COUNCIL
Javier Lopez, Mayor
James Casey, Dist.1
Rosalinda L. Vierra, Dist. 2
Cerina Otero, Dist. 3
Daniel A. Martinez, Dist. 4
MEETING DATE: April 27, 2026
TO: Mayor and City Council
FROM: Steve Williams, Interim City Manager
CONTACT: Joshua Casas, Public Works Superintendent
[email protected], (209) 538-5613
SUBJECT: Securing Commercial Garbage Containers – Information only RECOMMENDED COUNCIL ACTION:

There is no recommended action for the council.

I. BACKGROUND:

The City Council has requested information on the provision s in the City of Ceres Municipal Code regarding securing commercial garbage bins and unauthorized tampering with waste, recycling, and organics containers.

City Ordinance 6.01.140 prohibits:

A. Unauthorized entry into collection containers.

1. No persons, other than the City-authorized recycling or collection agents, or persons having a contract for collection with the owner, shall remove recyclable materials, from residential refuse or recycling waste containers including, but not limited to, collection carts, bins, or trash enclosures, which have been placed at a designated collection location for the purposes of collection and recycling.

2. Unless otherwise provided by contract, recyclable materials which have been placed inside any and all collection containers and placed at a designated collection location, may not be removed from said containers by anyone other than the collection agent a uthorized by the local governing body, or by the commercial or private entity having control of said containers.

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B. Unlawful search and entry.

1. Except as provided in subsection B.2, it shall be unlawful for any person to open, rummage, explore, tamper with, move, remove, tip, deface, destroy, scavenge, or otherwise search a waste container or the contents thereof.

2. The following persons are excluded from the application of [this] subsection:
a. The owner of the waste container or someone acting with the consent of the owner.
b. Any authorized City, County, State, or federal personnel in the performance of their duties.
c. Employees of the solid waste company that owns the waste container in performance of their duties.

C. Public nuisance. Rummaging, exploring, scavenging, or otherwise searching a waste container is a violation of the provisions of this chapter and is hereby declared a public nuisance.

In addition to this ordinance, as part of the City of Ceres and Bertolotti Ceres Disposal Franchise Agreement , Bertolotti shall make available, for an extra charge, to all Customers who use Bins a method of locking their Bins to prevent other parties from using or accessing the contents of the Bin without authorization.

II. REASONS FOR RECOMMENDATION:

N/A
III. FISCAL IMPACTS:

N/A
IV. EXISTING POLICY / RELATIONSHIP TO THE STRATEGIC PLAN:

This ordinance is in conformance with the first goal of the Strategic Plan , which is to ensure that the community has adequate, well -maintained infrastructure that fosters a high-quality community and supports a strong economy.

V. POLICY ALTERNATIVES:

N/A
VI. INTERDEPARTMENTAL COORDINATION:

Enforcement of these provisions depends on successful coordination among Code Enforcement, the Public Works Department, Commercial Business Owners, and the Public.

VII. PUBLIC PARTICIPATION:

Violations can only be distributed if Code Enforcement is made aware of instances of unauthorized entry into waste, recycling, and organics containers. Public participation is crucial.

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VIII. ENVIRONMENTAL REVIEW:

N/A
IX. STEPS FOLLOWING APPROVAL:

N/A

Approved by: _____________________
Steve Williams,
Interim City Manager

Attachments:

1. Attachment A – Municipal Code Ordinances

2. Attachment B – City of Ceres and Bertolotti Ceres Disposal Franchise Agreement

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ATTACHMENT A

Created: 2026-03-19 09:32:39 [EST]
(Supp. No. 4)

6.01.140 Unauthorized entry into waste, recycling, and organics containers.

The following provisions shall apply for the purposes of regulating the unauthorized entry into waste, recycling, and organics containers:

A. Unauthorized entry into collection containers.

1. No persons, other than the City-authorized recycling or collection agents, or persons having a contract for collection with the owner, shall remove recyclable materials, from residential refuse or recycling waste containers including, but not limited to, collection carts, bins, or trash enclosures, which have been placed at a designated collection location for the purposes of collection and recycling.

2. Unless otherwise provided by contract, recyclable materials which have been placed inside any and all collection containers and placed at a designated collection location, may not be removed from said containers by anyone other than the collection agent authorized by the local governing body, or by the commercial or private entity having control of said containers.

B. Unlawful search and entry.

1. Except as provided in subsection B.2, it shall be unlawful for any person, to open, rummage, explore, tamper with, move, remove, tip, deface, destroy, scavenge or otherwise search a waste container or the contents thereof.

2. The following persons are excluded from the application of [this] subsection:
a. The owner of the waste container or someone acting with the consent of the owner. b. Any authorized City, County, State, or federal personnel in the performance of their duties. c. Employees of the solid waste company that owns the waste container in performance of their duties.

C. Public nuisance. Rummaging, exploring, scavenging, or otherwise searching a waste container is a violation of the provisions of this chapter and is hereby declared a public nuisance. (Ord. No. 2020-1055, § 1, 1-27-2020; Ord. No. 2021-1066, 6-14-2021)

6.01.150 Violations; penalties.

A. Violations.

1. Any person who violates any of the provisions of this chapter shall be guilty of a misdemeanor. In addition, the Code Enforcement Officer(s), the Public Works Director, or any duly authorized representative of the City may elect to seek punishment as an infraction or issue an administrative citation as authorized by title 19 of the Ceres Municipal Code.

2. Any person that continues in violation of this chapter shall be guilty of a separate and distinct offense for each and every violation.

B. Penalties. Scavenging or taking any part, or all, of the contents of residential curbside recycling carts that are placed out for collection shall not be permitted. Any violation of this section may constitute an infraction and shall be punishable by a fine of not more than $500.00. (Ord. No. 2020-1055, § 1, 1-27-2020; Ord. No. 2021-1066, 6-14-2021) ITEM 13

ATTACHMENT A

Created: 2026-03-19 09:32:39 [EST]
(Supp. No. 4)

6.01.160 Illegal/unauthorized dumping.

A. No person shall dump, deposit, or place, or cause or assist in the dumping, depositing, or placing, upon City of Ceres property, or any portion thereof, or in any City of Ceres waste container, any waste or industrial refuse, as those terms are commonly known, used, or defined in this chapter.

B. No person shall dump, deposit or place, or cause or assist in the dumping, depositing or placing, upon any private property, or any portion thereof, or in any waste container, other than the one issued or assigned for their personal use, any waste or industrial refuse, as those terms are commonly known, used or defined in this chapter.

C. It shall be unlawful for any person in possession of, or having charge or control of, any boardinghouse, lodging house, restaurant, hotel, eating house, apartment, flat, duplex, or dwelling house within the City to keep or deposit any waste on any premises in the City except in a waste container as described in CMC

6.01.020. It shall be unlawful for such person to bury or burn any waste or to keep or deposit any rubbish on any premises in the City for a longer time than may be reasonably necessary for th e purposes of destruction or burial or collection and removal by the contractor holding a valid contract with the City for the collection and disposal of waste, and no such person shall throw or deposit any waste on any alley, public place, sidewalk, street, or waterway other than in such containers except as defined in CMC 6.01.180.

D. No person shall dump, place, or bury in any lot, land, street, alley, water, waterway, or elsewhere within the City any waste, manure, or waste matter condemned by the Health Department or its authorized representatives.

E. Penalties for violations and habitual offender.

1. The first instance of illegal/unauthorized dumping during a 12-month period shall result in a first notice of illegal disposal served to the responsible party.

2. Violation of this chapter as an infraction. The minimum penalty for a second conviction for violating this chapter is a $100.00 fine; for a third conviction within one year, the minimum penalty is a $200.00 fine; for a fourth or subsequent conviction within one year, the minimum penalty is a $250.00 fine.

3. Any person that continues in violation of this section shall be guilty of a separate and distinct offense for each and every violation.

4. If the defendant is a habitual offender of the provisions of this article, at the discretion of the Public Works Director or his/her designated representative, the City Attorney may elect to prosecute such violation as a misdemeanor. For the purposes of this article, a habitual offender shall mean and include a person who has four or more convictions for violating this article within one calendar year. (Ord. No. 2021-1066, 6-14-2021)

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1. Solid Waste shall be picked up from single family residential units on a once-a-week basis in a black Automated Solid Waste Container issued by the Grantee for a monthly charge as set from time to time by resolution of the Ceres City Council.

2. Recyclables shall be picked up from single family residential units on a once-every- two-weeks basis in a blue Automated Recyclables Container issued by the Grantee for a monthly charge as set from time to time by resolution of the Ceres City Council.

3. Organic Waste shall be picked up from single family residential units on a once-a-week basis in green Automated Organic Waste Containers issued by the Grantee for a monthly charge as set from time to time by resolution of the Ceres City Council.

The container size and type shall be set in the resolution and shall be limited to industry standard sizes.

B. Multi-Family Residential
Solid Waste, Recyclables, and Organic Waste shall be picked up from multi­ family residential units at a minimum of once-a-week in Carts and/or Bins supplied by the Grantee for a monthly charge as shall be set from time to time by resolution of the Ceres City Council. The Cart and Bin sizes shall be set by resolution of the City Council and shall be limited to industry standard sizes.

C. Trailer and Mobile HomP. P�rks
Solid Waste, Recyclables, and Organic Waste shall be picked up from trailer and mobile home parks in Carts and/or Bins supplied by the Grantee at least once-a-week for a monthly charge as set from time to time by resolution of the Ceres City Council. The Carts and/or Bin sizes shall be set by resolution of the City Council and shall be limited to industry standard sizes.

D. Commercial Bins and Drop-off Boxes
The fees charged for commercial Bins and Drop-off Boxes, shall be based on bin sizes and the number of collections, and shall be reviewed by the City, and shall be established from time to time by resolution of the Ceres City Council.

Grantee shall make available, for an extra charge, to all Customers who use Bins, a method of locking their Bins so as to prevent other parties from using or accessing the contents of the Bin without authorization.

City of Ceres and Bertolotti Ceres Disposal
Franchise Agreement

ATTACHMENT B
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COUNCIL AGENDA REPORT

CITY COUNCIL
Javier Lopez, Mayor
James Casey, Dist.1
Rosalinda L. Vierra, Dist. 2
Cerina Otero, Dist. 3
Daniel A. Martinez, Dist. 4
MEETING DATE: April 27, 2026
TO: Mayor and City Council
FROM: Steve Williams, Interim City Manager
CONTACT: Vanessa L. Portillo, Finance Director
[email protected], 209-538-5764
SUBJECT: Budget Workshop on Draft Fiscal Year (FY) 2027 Proposed Budget RECOMMENDED COUNCIL ACTION:

Staff recommends that the City Council review and discuss the Draft FY 2027 Proposed Budget, as presented by the City Manger and Finance Director. This is a discussion item, and no formal action is being requested at this time.

I. BACKGROUND:

Each fiscal year, the City develops a comprehensive budget that outlines projected revenues, planned expenditures, and strategic priorities. Th is budget serves as a vital tool to promote transparency, ensure fiscal accountability, and align resources with the City Council’s goals and the priorities of Ceres’ residents.

Beyond serving as a financial roadmap, the budget is also an essential planning tool. It helps guide the allocation of limited resources, supports long-term strategic planning, and provides a framework for evaluating service delivery and performance across departments. By carefully planning and prioritizing expenditures, the City can more effectively respond to the evolving needs of the community while maintaining fiscal sustainability.

Tonight’s presentation will focus primarily on the General Fund. The General Fund supports essential local public services such as public safety, parks and recreation, and general government operations. Given its central role in daily City functions, a detailed review of the General Fund provides important insight into how the City plans to meet community needs in FY 2027.

II. REASONS FOR RECOMMENDATION:

Tonight’s workshop offers the City Council a comprehensive overview of the Draft FY 2027 Proposed Budget. It also serves as an opportunity for Council feedback and a forum ITEM 14
for community input. This workshop is a key step in the budget adoption process , with final approval tentatively scheduled for June 8, 2026.

III. FISCAL IMPACTS:

This is a discussion item. No fiscal impact is associated with this workshop.

IV. EXISTING POLICY / RELATIONSHIP TO THE STRATEGIC PLAN:

N/A

V. POLICY ALTERNATIVES:

This is a discussion item. No formal action is requested at this time.

VI. INTERDEPARTMENTAL COORDINATION:

The development of the FY 202 7 Proposed Budget was a collaborative effort across all City departments. Each department actively participated by preparing and submitting its individual budget request s, ensuring that they aligned with operational needs and available resources.

VII. PUBLIC PARTICIPATION:

This budget workshop serves as the main opportunity for public involvement in the development of the FY 2027 Proposed Budget. As part of our responsible budgeting best practices, the City Council and staff encourage input from residents, stakeholders, and community members, reinforcing the City’s commitment to a transparent and inclusive process. During these challenging times, the City wants to continue robust engagement with the community – to hear from them and keep the dialogue open as we work together to maintain Ceres’ quality of life.

VIII. ENVIRONMENTAL REVIEW:

N/A

IX. STEPS FOLLOWING APPROVAL:

Finance Staff will use the feedback received from the City Council and the community to refine and finalize the FY 2027 Proposed Budget. The next step in the process is the formal adoption of the budget, tentatively scheduled for June 8, 2026.

Approved by: _____________________
Steve Williams,
Interim City Manager

Attachments:

1. Attachment A – Presentation
ITEM 14
FISCAL YEAR 2027

PROPOSED BUDGET WORKSHOP
April 21, 2026 & April 27, 2026

ATTACHMENT A
ITEM 14
AGENDA
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
• Budget Process - Time line
• FY 2027 Budget – All Funds
• Staffing Updates (All Funds)
• FY 2027 Budget – General Fund
Overview
• Major Budget Impacts
• Revenues
• Expenditures
• Next Steps

ATTACHMENT A
ITEM 14

BUDGET PROCESS - TIMELINE
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
JAN
• KICK-OFF
• Preliminary review of revenues & expenditures, budget instructions, forms, calendar and deadlines.

MAR
• DEPARTMENTS PREPARE AND SUBMIT BUDGET (FEB 27 – MAR 6) APR
• CITY MANAGER REVIEW
• Analyze and summarize projected revenue, fund balance, fiscal impact. • Conduct Budget Workshop.

MAY/JUN
• PRESENT and ADOPT PROPOSED BUDGET

ATTACHMENT A
ITEM 14
BUDGET

WORKSHOP
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
• Present the preliminary budget
inf
ormation.
• Receive feedback from the public.
• Receive feedback and guidance
from the Council
.

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – ALL FUNDS
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
• Proposed Budget Includes:
• New Enterprise Fund
• Fund 587 reflects revenues and expenses of Solid Waste activities. • Internal Service Funds allocation changes
• Updated Allocation Methodologies for Facilities and Fleet activities. • 2 New Positions with no impact to General Fund
• (1) Administrative Analyst to Wastewater
• (1) Accounting Technician to Finance

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – ALL FUNDS
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP

TOTAL CITYWIDE BUDGET
(in millions)
REVENUES $86.6
EXPENDITURES* $84.9
PERSONNEL $32.1
OPERATIONS & MAINTENANCE $52.8
*CAPITAL IMPROVEMENTS & DEBT $TBD

ATTACHMENT A
ITEM 14
STAFFING UPDATES – ALL FUNDS
POSITION FY25 FY26 TOTAL
Cu s to d i a n 1.0 1.0
Deputy Public Works Director 1.0 1.0
Director Community Development 1.0 1.0
Facilities Maintenance Worker I/II 1.0 1.0
Finance Secretary 1.0 1.0
Police C aptain 1.0 1.0
Police Officer 2.0 1.0 3.0
Police Sergeant 1.0 1.0
Public Safety Dispatcher I/II 3.0 3.0
Senior Fleet Mechanic 1.0 1.0
Total 7.0 7.0 14.0

UNFUNDED POSITIONS LIST
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
FY 27 does not recommend
unfunding of additional
positions.

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
MAJOR BUDGET IMPACTS –

GENERAL FUND

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
Major revenue sources coming in flat: Property Tax and
Sales Tax
Decrease in Projected Charges for Services
Unfunded Liability Increase
Fire Contract Increase
Personnel Costs
Balanced Measure H Budget

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
TOP 3 GENERAL FUND REVENUE OUTLOOK

Property Tax

Sales Tax
Charges for Services

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP

PROPERTY TAX
• Property tax r evenues have
steadily increased from FY 22 to
the FY27 Proposed Budget.
• Growth totals n early $ 900K over
the period, with no year showing a
decline.
• In FY 27, pro perty tax revenue
shows a modest increase
compared to FY26, continuing the
steady upward trend.

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP

SALES TAX
• Sales tax revenues
fl
uctuate from FY22
through FY25 with modest
year-to-year variation.
• A noticeable increase
ap
pears in the FY26
Original Budget, followed
by another rise in the FY27
Proposed Budget.
• Overall, sales tax
in
creases remain relatively
flat across the period.

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP

CHARGES FOR SERVICES
• Decrease in Cha rges for Services primarily from the Cannabis Development Agreement.

FY26 FY27 Inc/(Dec)
Budgeted Revenue 1,609,725 1,222,175 (387,550)
Cannabis Development Agreement Revenue decreased $420,000

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
Major revenue sources coming in flat: Property
Tax and Sales Tax
Decrease in Projected Charges for Services
Unfunded Liability Increase
Fire Contract Increase
Personnel Costs

EXPENSES

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP

PENSION NORMAL COST & UNFUNDED LIABILITY
• Pension costs i ncreased by
$1,457,752, or 22%.
• General Fund pay s for about
70% of the pension costs.
• Pension co sts encompass
pension benefits and unfunded
liability.

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP

PENSION NORMAL COST & UNFUNDED LIABILITY

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
• On June 14 , 2021, the Ceres City Council
approved a contract with the City of
Modesto for fire services.
• For FY27 , the contract increases by
$1,527,962, or 19%.
• Costs show a consistent upward trend
across the agreement period.

FIRE SERVICES CONTRACT

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP

PERSONNEL COST
• Public Safety – Police continues
to make up the largest portion of
salaries.
• Admin Staff and Police
Non-Sworn costs stay consistent
with minor variation.
• Overall trend shows salaries
leveling out following the 2022
spike.

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
Major revenue sources coming in flat: Property
Tax and Sales Tax
Decrease in Projected Charges for Services
Unfunded Liability Increase
Fire Contract Increase
Personnel Cost

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
Category FY26 Budget Dept
Requested
Balancing
Strategies*
City Manager
Recommended
REVENUE $27,536,259 $27,294,064 $- $27,294,064
EXPENDITURES $29,498,159 $32,918,515 ($3,184,005) $29,734,510 SURPLUS/(DEFICIT) ($1,961,900) ($5,624,451) ($2,440,446) *Balancing strategies do not impact staffing levels.

Revenue
decreased
by $260k or

0.94% from
FY26
Expenditures
increased by
$3.4 mil or
12% from
FY26
General Fund –
Costs Breakdown

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
One Time $1.3M
Reductions $1.32M
Technical
Adjustments $.57M
Total $3.18M
No. Action Amount
1 One Time: Funding Relief from ISF Facilities reserves. $800,000 2 One Time: Funding Relief from ISF IT reserves. $500,000 3 Reduction: Assume a 5% Vacancy Rate in Police Department (based on vacancy trends) $455,953
4 Redirection: Updated ISF Fleet Methodology resulting in lower GF usage. $434,686 5 Reduction: Police Department Overtime Costs $220,000
6 Reduction: Legal Services Agreement $200,000
7 Reduction: Budget funded vacancies (14 total) at Step 1 rather than mid-step (Step 3). $163,496
8 Reduction: Remove one-time GF projects from ISF Facilities (HVAC units for PD, Fire, and City Hall) $134,000
9 Redirection: Updated ISF Facilities Methodology resulting in lower GF usage. $110,370 10 Reduction: Adjusted materials and miscellaneous equipment to actual usage in ISF Fleet Cost to GF Departments $41,000
11 Redirection: Adjusted upfitting PD vehicle costs to Vehicle Replacement Fund. $90,000 12 Reduction: Adjusted materials and supplies to actual usage for the Parks Department. $31,000
13 Reduction: Adjusted CM salaries to reflect Interim CM savings. $72,500 14 Increase: City Manager recruitment consulting services $33k & Capital Advocacy contract $36k. ($69,000)
$3,184,005 Total Reductions/Redirections
All Balancing Strategies listed above do not impact funded positions – There are no staffing impacts

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 SUMMARY
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
Below
Target
General Fund FY22 FY23 FY24
Beginning FB $8.16M $7.41M $7.15M
Changes -$.75M -$.25M -$.15M
Ending FB $7.41M $7.15M $7.M
% of Budgeted
Appropriations 29% 26% 25%
General Fund
–

Audited Fund BalanceFY 2024 Ending FB $ 7.0
FY 2025 Estimated FB use (based on budget) $ (0.6)
FY 2026 Estimated FB use (based on budget) $ (2.0)
FY 2026 Ending FB (Projected) $ 4.4
FY 2027 Estimated FB use (based on CM
Recommended Budget) $ (2.4)
FY 2027 Ending FB (Projected) $ 2.0
Fund Balance as % of GF Expenses (Target 18%) 6.6%
General Fund – Fund Balance (FB) Estimate (in Millions)

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
• General Fund Revenues Relatively Flat
• Essential Services are Maintained
• General Fund Deficit of $2.4M 
• Estimated Ending General Fund – Fund Balance of

6.6% (below 18% Target)
Reliance on one-time
balancing options

ATTACHMENT A
ITEM 14
FISCAL YEAR 2027 BUDGET – GENERAL FUND
April 21,2026 & April 27, 2026
FISCAL YEAR 2027 PROPOSED BUDGET WORKSHOP
REFINE

DEPARTMENT

BUDGETS

RECEIVE

FEEDBACK FROM

COUNCIL DURING

WORKSHOP

GENERAL FUND

COST SAVING

MEASURES

PRESENTED AT

PROPOSED

BUDGET REVIEW

MEETING
MAY 11, 2026

EVALUATE

SUSTAINABLE

SOLUTIONS FOR

GENERAL FUND

NEXT STEPS
BUDGET

ADOPTION
MEETING –

TENTATIVELY
JUNE 8, 2026

ATTACHMENT A
ITEM 14

QUESTIONS

ATTACHMENT A
ITEM 14
ITEM 14