ADJOURNED REGULAR CHICO CITY COUNCIL MEETING - June 16, 2026 Minutes
1. CALL TO ORDER - Mayor Reynolds called the June 16, 2026, Adjourned Regular Council meeting to order at 6:08 p.m. in the Council Chamber, 421 Main Street, Chico, CA.
1.1. Invocation - Chaplain MaryAnn Hawkins
1.2. Pledge of Allegiance to the Flag
1.3. Roll Call
Present: Goldstein, Hawley, O'Brien, van Overbeek, Winslow, Bennett, Reynolds
Absent: None
1.4. June 9, 15, and 16, 2026, Closed Session Announcements - City Attorney Ryan Jones City Attorney Ryan Jones announced that Council met with staff on the Closed Session matters on June 9, June 15 and June 16, 2026.
June 9, 2026
2.2 Public Employment - City Manager - Council was briefed and direction was provided; no formal action was taken.
June 15, 2026
2.2 Public Employment - City Manager - Council was briefed and direction was provided; no formal action was taken.
June 16, 2026
2.1 Public Employment - City Manager - Council was briefed and direction was provided; no formal action was taken.
2.2 Labor Negotiations - Council was briefed and direction was provided; no formal action was taken.
2.3 Existing Litigation - David Waddell v. Michael Ramsey, et al - Council was briefed and direction was provided; no formal action was taken.
2.4 Existing Litigation - Ann Schwab v. Kasey Reynolds, et al - Mayor Reynolds recused herself on this item as she is a named party in the litigation. Council was briefed and direction was provided; no formal action was taken.
1.5. Presentation by Matthew Allen, California State Parks - Status of Bidwell Mansion
2. CONSENT AGENDA
A motion was made by Councilmember Winslow and seconded by Vice Mayor Bennett to approve the Consent Agenda as read, with Item 2.5 removed for further discussion.
The motion carried by the following vote:
AYES: Goldstein, Hawley, O'Brien, van Overbeek, Winslow, Bennett, Reynolds NOES: None
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2.1. RESOLUTION NO. 45-26 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO LEVYING
ASSESSMENT INSTALLMENTS IN LIEU OF THE PAYMENT OF SEWER SYSTEM CONNECTION FEES INCIDENT TO THE CONNECTION OF PREMISES TO THE CITY SEWER SYSTEM - 2667 ALAMO AVENUE ASSESSOR'S PARCEL NO. 042-070-174
Adopted a resolution authorizing sewer assessment to be collected on the tax roll, in lieu of full and immediate payment of the sewer system connection fees. (Brendan Ottoboni, Director of Public Works - Engineering)
2.2. RESOLUTION NO. 46-26 - RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF
CHICO TO ABANDON AND VACATE A PORTION OF A PUBLIC UTILITY EASEMENT PURSUANT TO THE PUBLIC STREETS, HIGHWAYS, AND SERVICE EASEMENTS VACATION LAW (APN: 015-210-057) Adopted a resolution scheduling a public hearing on July 14, 2026. Matthew J. O'Brien and Jaime R. O'Brien, husband and wife as joint tenants, were requesting the City of Chico to abandon and vacate the easterly 81 feet of a public utility easement located on the south side of APN 015-210-057, addressed as 1075 Via Verona Drive. Local utility companies have reviewed the request and have no objections. (Brendan Ottoboni, Director of Public Works - Engineering)
RESOLUTION NO. 47-26 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO APPROVING THE FISCAL YEAR 2026-27 LIST OF PROJECTS FUNDED BY SB 1: THE ROAD REPAIR AND
ACCOUNTABILITY ACT
Adopted a resolution approving the fiscal year 2026-27 list of projects) funded by SB1 to be submitted to the California Transportation Commission (CTC) by July 1, 2026. (Skyler Lipski, Public Works Director - Operations & Maintenance)
CONSIDERATION OF GRANT APPLICATION SUBMITTAL FOR ENCAMPMENT RESOLUTION FUNDING PROGRAM ROUND-5
The California Department of Housing and Community Development (HCD) released the Encampment Resolution Funding Program Round 5 (ERF-5) Notice of Funding Availability (NOFA), providing approximately $93 million statewide to support local efforts that address unsheltered homelessness, resolve encampments, and transition individuals into interim and permanent housing. Staff proposed submitting an ERF-5 application seeking approximately $4.1 million to support a strategy centered on maintaining emergency shelter capacity and creating permanent housing opportunities for individuals experiencing homelessness in Chico. (Erik Gustafson, Assistant City Manager)
2.5. FIRE DEPARTMENT FIREFIGHTER FLOATER POSITIONS - This item was removed for Consent for further discussion by Councilmember Winslow.
addition of three (3) Firefighter Floater positions to the Fire Department's authorized staffing and that City Council approve the changes to Appendix B-3 Schedule of Job Title Allocations to Departments. (Wes Metroka, Fire Chief)
A motion was made by Councilmember O'Brien and seconded by Councilmember Winslow to approve to hire three (3) Firefighter Floater positions during FY 2026/27.
The motion carried by the following vote:
AYES: Goldstein, Hawley, O'Brien, van Overbeek, Winslow, Bennett, Reynolds NOES: None
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2.6. MINUTE ORDER NO 02-26 - MINUTE ORDER AUTHORIZATION FOR THE DONATION OF TWO
SURPLUS GEM ELECTRIC VEHICLES TO THE JESUS CENTER
Approved the Minute Order to 1) authorize the donation of the electric vehicles to the Jesus Center, which have an estimated cumulative value of $5,000 - $7,500; and 2) authorized the Public Works Director O&M to execute the necessary documents for the transfer. (Skyler Lipski, Public Works Director - Operations & Maintenance)
2.7. SIDE LETTER AGREEMENT - MULTIPLE EMPLOYEE GROUPS REGARDING HEALTH INSURANCE
ADVISORY COMMITTEE
A side letter agreement between the City of Chico and multiple employee groups, modifying applicable Memoranda of Understanding to establish a Health Insurance Advisory Committee and replace existing health benefit committee provisions. (Barbara Martin, Administrative Services Director)
2.8. APPROVAL OF COUNCIL MEETING MINUTES OF 6/2/26 AND 6/9/26
2.9. ITEMS REMOVED FROM THE CONSENT AGENDA - Item 2.5
3. PUBLIC COMMENTS - Members of the public addressed the Council at this time on matters not already listed on the agenda and within the jurisdiction's authority. The Council was prohibited from taking any action at this meeting on requests made under this section of the agenda.
Addressing the Council were Janine Stone, Joantha Guthrie, Greg Scott, Bo Powell, Sam Barber, Jynaia, Mat Bocior, and Molly Kopta.
4. PUBLIC HEARINGS - None
5. REGULAR AGENDA
5.1. SEWER ENTERPRISE STUDY
On March 17, 2026, Council received a comprehensive presentation on a five-year sewer rate update for the City of Chico's sewer enterprise to address critical financial, regulatory, and infrastructure needs of the Water Pollution Control Plant and collection system. To reduce the initially proposed sewer rate increase staff have identified two additional rate increase scenarios which reduce the proposed Capital Improvement Plan but present some level of risk. This report summarized the reduced sewer rate increase scenarios including risks and tradeoffs.
Addressing the Council were Matt Depa, Greg Scott, Tracy Vincent, Katy Thoma, Molly Kopta, Analise Uhlrig, Brandon Slater, and Chris Giampaoli.
A motion was made by Councilmember Hawley and seconded by Councilmember Goldstein to approve Option 4 b, moderate risk cash option with 55% rate increase for the first two years and a 3% increase annually through FY 2031, to include an annual report from staff.
A substitute motion was made by Councilmember van Overbeek and seconded by Councilmember O'Brien to approve the $105 million-dollar moderate risk option, with financing of $50 million dollars in debt to be paid over 20 years.
The motion failed by the following vote:
AYES: O'Brien, van Overbeek
NOES: Goldstein, Hawley, Winslow, Bennett, Reynolds
June 16, 2026 City Council Minutes Page 3
The original motion carried by the following vote:
AYES: Goldstein, Hawley, Winslow, Bennett
NOES: O'Brien, van Overbeek, Reynolds
Council took a five-minute break at 8:32 p.m. The meeting reconvened with all members present.
5.2. CONSIDERATION OF A NEED-BASED SEWER RATE ASSISTANCE PROGRAM The Administrative Services Director recommended the City Council consider information regarding a need- based sewer rate assistance program and provide policy direction including eligibility criteria, funding options, administrative requirements, and program design considerations. (Barbara Martin, Services Director)
Tracy Vincent addressed the Council on this item.
No Council action was taken on this item.
5.3. SOBERING CENTER FUNDING EXTENSION
On May 7, 2024, the Chico City Council authorized the execution of the Opioid Settlement Fund Disbursement/Sobering Center Services Memorandum of Understanding (MOU) between the City of Chico and the County of Butte. Under the MOU, the City committed to providing $119,000 annually for three years, for a total contribution of $357,000. All payments were to be made using the City of Chico's opioid settlement funds. (Report - Mark Sorensen, City Manager)
A motion was made by Councilmember O'Brien and seconded by Councilmember Goldstein to authorize the City Manager to amend the Opioid Settlement Fund Disbursement/Sobering Center Services Memorandum of Understanding Between City of Chico and County of Butte to extend the MOU an additional three years to expire June 30, 2030.
The motion carried by the following vote:
AYES: Goldstein, Hawley, O'Brien, van Overbeek, Winslow, Bennett, Reynolds NOES: None
5.4. COMMERICAL CANNABIS CULTIVATION
At its April 21, 2026, meeting, the City Council passed a motion by a 5-2 vote directing staff to evaluate the feasibility of permitting commercial cannabis cultivation within City limits. Staff provided an overview of the within the City. (Report - Garrett Norman, Principal Planner) Addressing the Council on this item were Tracy Vincent, Josh Lewis, Marc Breckenridge, David Petersen, and Charles Burton.
A motion was made by Councilmember Winslow and seconded by Councilmember Hawley to pursue amendments to the Chico Municipal Code to permit and regulate commercial cannabis cultivation within the City of Chico to provide options for all mixed, outdoor and indoor cultivation.
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The motion carried by the following vote:
AYES: Goldstein, Hawley, Winslow, Reynolds
NOES: O'Brien, van Overbeek, Bennett
5.5. CONFIRMATION OF INTERIM DEPUTY CHIEF - FIRE
Section 605 of the City Charter states that the appointment of department heads is subject to confirmation by the City Council. To meet this requirement, City Council is being presented with the employment agreement for the Interim Deputy Chief - Fire. (Report - Mark Sorensen, City Manager) A motion was made by Councilmember van Overbeek and seconded by Councilmember O'Brien to confirm the contract in compliance with Government Code Section 54953(c)(3) with Shane Lauderdale as the Interim Deputy Chief - Fire; with an annual salary of $184,218.58." The motion carried by the following vote:
AYES: Goldstein, Hawley, O'Brien, van Overbeek, Winslow, Bennett, Reynolds NOES: None
5.6. FIRST AMENDMENT TO FIRE CHIEF EMPLOYMENT AGREEMENT First Amendment to the Employment Agreement between Wesley Metroka (Fire Chief) and the City of Chico, establishing the employee contribution to the Retiree Medical Expense and Health Insurance Trust (Trust) at $15 per pay period, retroactive to May 17, 2026. The amendment was required by the Trust to authorize transmission of employee contributions through City payroll. All other terms of the Employment Agreement remain unchanged. (Report - Mark Sorensen, City Manager) A motion was made by Councilmember van Overbeek and seconded by Councilmember O'Brien to approve in amendment to the Fire Chief Employment Agreement authorizing an employee contribution of seventy ve dollars ($75.00) per pay period to the Retiree Medical Trust and authorizing payroll transmission of suc contributions, effective retroactive to May 17, 2026; and authorize the City Manager to execute the First Amendment on behalf of the City.
The motion carried by the following vote:
AYES: Goldstein, Hawley, O'Brien, van Overbeek, Winslow, Bennett, Reynolds NOES: None
5.7. ITEMS ADDED AFTER THE POSTING OF THE AGENDA - None
6. REPORTS AND COMMUNICATIONS - The following reports and communication items were provided for the Council's information. No action could be taken on items under this section unless the Council agreed to include it on a subsequent agenda.
6.1. CITY MANAGER'S REPORT - Verbal Report, City Manager Sorensen
6.2. ACCEPTANCE OF DOWNTOWN CHICO PROPERTY BASED IMPROVEMENT DISTRICT (PBID) 2025 ANNUAL REPORT - Accept and file
The Downtown Chico Property Based Improvement District (PBID) is the organization that provides enhanced maintenance for the downtown area in addition to otherwise generally improving the downtown area. This organization is funded through an annual assessment of properties within the area serviced by the Downtown Chico PBID. California Streets & Highway Code Section 36650 requires the PBID Owners Association to prepare an annual report each fiscal year and file such report with the City Clerk. The PBID 2025 Annual Report addresses all elements required by California Streets and Highways Code and satisfies the City's oversight responsibilities. (Erik Gustafson, Assistant City Manager)
6.3. SUNSHINING OF DRAFT MOU - CHICO POLICE OFFICERS' ASSOCIATION (CPOA) - Information only Pursuant to the "Sunshine and Transparency" requirements of the negotiation process, the City Council was June 16, 2026 City Council Minutes Page 5
provided a draft copy of the Memorandum of Understanding applicable to the Chico Police Officers' Association (CPOA) bargaining group. This initiated the two week "sunshining" period for City Council an community members to review the draft document. Final consideration of the MOU will be presented to the City Council at its meeting on July 14, 2026. (Barbara Martin, Administrative Services Director)
6.4. COUNCILMEMBER REQUESTS - None
7. ADJOURNMENT - Adjourned at 9:44 p.m. to finish Closed Session.
Date Approved: /drp 7/14/26
Deborah R. Presson, MMC, City Clerk
June 16. 2026 City Council Minutes Page 6
CLOSED SESSION MEETING OF THE CHICO CITY COUNCIL - June 16, 2026 Minutes
1. CALL TO ORDER IN THE COUNCIL CHAMBER AT 421 MAIN STREET, CHICO, CA. - Mayor Reynolds called the Closed Session meeting of June 16, 2026, to order at 5:00 p.m. in the Council Chamber located at 421 Main Street, Chico, CA.
1.1. ROLL CALL - All members were present.
2. CLOSED SESSION AGENDA - There were no speakers. Mayor Reynolds was recused on Item 2.4.
2.1. PUBLIC EMPLOYMENT: Pursuant to Cal. Gov. Code Sec. 54957(b). Title: City Manager - Council was briefed and direction was provided; no formal action was taken.
2.2. CONFERENCE WITH LABOR NEGOTIATOR: Pursuant to Cal. Gov. Code Sec. 54957.6 - Council was briefed and direction was provided; no formal action was taken.
Negotiator: Laura Izon (Atkinson, Andelson, Loya, Ruud and Romo law firm (AALRR)) & Barbara Martin, Administrative Services Director
Employee Organizations: Chico Fire Management Employees, Chico Management Employees, Chico Police Management, Chico Police Officers Association, Chico Public Safety Association, Confidentials, International Association of Fire Fighters, Service Employees International Union - Trades & Crafts, Stationary Engineers Local 39, United Public Employees of California - Local 792
2.3. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION: Pursuant to Cal. Gov. Code Sec. 54956.9(a): BCSC Case No. 25CV05119: David L. Waddell v. Michael L. Ramsey, et al - Council was briefed and direction was provided; no formal action was taken.
2.4. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION: Pursuant to Cal. Gov. Code Sec. 54956.9(a): BCSC Case No. 26CV01533 Schwab, Ann, et al V. Reynolds, Kasey, et al - Mayor Reynolds recused herself on this item as she is a named party in the litigation. Council was briefed and direction was provided; no formal action was taken.
2.5. CLOSED SESSION ITEMS THAT AROSE AFTER THE POSTING OF THE AGENDA - None ADJOURNMENT - Adjourned at 9:55 p.m. to the July 14, 2026 Closed Session meeting at 5:00 p.m. or 5:30 p.m. followed by the Regular City Council meeting at 6:00 p.m. in the Council Chamber, 421 Main Street, Date Approved: /drp 7/14/26
)eborah R. Presson, MMC. City Cler
June 16, 2026 City Council Minutes Pagel7