7/14/26 Council Meeting
REGULAR CHICO CITY COUNCIL MEETING July 14, 2026
Chico Municipal Center, Council Chamber, 421 Main Street Meeting Accessibility - The City of Chico is committed to providing opportunities for the public to participate in City Council meetings either in person or remotely through Zoom. Please access the attached agenda for instructions on how to access the City of Chico meetings. 7/14/26 Agenda and Meeting Participation Information
1. CALL TO ORDER – July 14, 2026 City Council Meeting
1.1. Invocation – Pastor Bryan Meyers, Grace Community Church
1.2. Pledge of Allegiance to the Flag
1.3. Roll Call
1.4. July 14, 2026 Closed Session Announcement - City Attorney Ryan Jones
2. CONSENT AGENDA - All matters listed under the Consent Agenda are to be considered routine in nature.
2.1. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO ORDERING ABANDONMENT AND VACATION OF A PUBLIC DRAINAGE EASEMENT(S) PURSUANT TO THE CALIFORNIA STREETS AND HIGHWAYS CODE (APNs: 007-390-001, 007-390-025, & 007-390-026) Following completion of the roundabout at the northbound State Route 99 on- and off-ramps and Eaton Road, the City of Chico intends to dedicate acquired land to Caltrans for ongoing operations and maintenance as part of the State Right-of-Way. Existing drainage easements deemed unnecessary must be abandoned and vacated before Caltrans can accept ownership of these lands. (Brendan Ottoboni, Director of Public Works - Engineering) Item 2.1. Drainage Easement Abandonment
2.2. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO AUTHORIZING AND APPROVING EXECUTION OF A GRANT AGREEMENT TO RECEIVE AN ALLOCATION OF FUNDING FROM THE 2018 CDBG-DR INFRASTRUCTURE PROGRAM AND ANY FORTHCOMING AMENDMENTS, THERETO Adopt - a resolution authorizing and approving execution of a grant agreement to receive an additional allocation of funding from the 2018 CDBG-DR infrastructure program and any forthcoming amendments. (Brendan Ottoboni, Director of Public Works - Engineering) Item 2.2. CDBG-DR Infrastructure Program
2.3. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO DECLARING PURSUANT TO GOVERNMENT CODE SECTION 54221 THAT REAL PROPERTY OWNED BY THE CITY LOCATED AT 1550 MARAUDER STREET CHICO, CALIFORNIA (APN 047-560-137), IS EXEMPT SURPLUS LAND Adopt - revised resolution declaring real property owned by the City is exempt surplus land pursuant to the Surplus Land Act (Government Code Section 54220 et seq.) and authorizing staff to proceed with the statutory notice and disposition process.
Item 2.3. Declaring Surplus Land Revisions
2.4. CONSIDERATION OF APPROVAL OF SUPPLEMENTAL APPROPRIATION/BUDGET MODIFICATION NO. 2027-PD-001 The Chico Police Department requests consideration and approval from City Council of a Supplemental Appropriation/Budget Modification to the FY2026-27 Budget to appropriate funding for the acquisition of a van for the Animal Shelter. An enclosed air-conditioned vehicle is essential for safely placing and securing animals within crates for transport. A secondary, but important, benefit would also allow for the vehicle to be wrapped in vinyl signage to serve as a ’rolling billboard’ to advertise the shelter’s adoption services. (Billy Aldridge, Chief of Police) Item 2.4. Supplemental Appropriation - Animal Shelter Van
2.5. ACCEPTANCE OF COST REPORT FOR THE 2026 WEED ABATEMENT AND LOT CLEARING PROGRAM At its 5/5/26 meeting, the City Council adopted a resolution which required the Community Development Department to abate those properties not in compliance with the requirement to abate weeds as of 6/01/26, and to keep an account of the work done by the City contractor to submit to the City Council for confirmation. This is the cost report for the 2026 Weed Abatement and Lot Clearing program and is submitted for the Council’s approval. If approved, the owners of the parcels will be given 30 days to pay for the cost of the abatement. Property owners who do not pay will have a lien placed on their property. (Charlene Durkin, Code Enforcement Supervisor) Item 2.5. Weed Abatement Acceptance of Cost Report
2.6. RESOLUTION OF THE COUNCIL OF THE CITY OF CHICO APPROVING "MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF CHICO AND CHICO POLICE OFFICERS’ ASSOCIATION (CPOA), REGARDING PAY, HOURS, AND OTHER TERMS AND CONDITIONS OF EMPLOYMENT FOR THE PERIOD OF JULY 1, 2026 - JUNE 30, 2030 (2026 MOU - CPOA) The Administrative Services Director recommends the City Council approve the Memorandum of Understanding Between the City of Chico and the Chico Police Officers’ Association (CPOA) for July 1, 2026 - June 30, 2030, approving modifications to CPOA pay and benefit provisions following recent negotiations. (Barbara Martin, Administrative Services Director) Item 2.6.Resolution Approving CPOA MOU
2.7. CONSIDERATION OF APPROVAL OF SUPPLEMENTAL APPROPRIATION/BUDGET MODIFICATION NO. 2027-PWO-001 FOR COUNCIL CHAMBERS AIR HANDLER The east air handler serving the City Council Chambers has experienced repeated mechanical failures and is currently operating with a bent fan shaft, causing excessive vibration and recurring bearing failures. Although the unit remains operational at this time, mechanical assessments indicate that continued operation increases the risk of catastrophic failure and potential secondary equipment damage.
The City has an available repair window between July 15 and August 17, during which no City Council meetings are scheduled. Due to the condition of the equipment, the limited repair window, and the need to ensure uninterrupted use of the Council Chambers, the City Manager authorized emergency procurement pursuant to Chico Municipal Code Section 3.08.060.B.1. Because the adopted budget does not include sufficient appropriated funding for this emergency work, City Council approval of a supplemental appropriation is required. (Skyler Lipski - Public Works Director Operations & Maintenance) Item 2.7. Supplemental Appropriation - Council Chambers Air Handler
2.8 CONSIDERATION OF APPROVAL OF A SUPPLEMENTAL APPROPRIATION/BUDGET MODIFICATION NO. 2027-PWE-001.
Consideration and approval of a Supplemental Appropriation/Budget Modification to the FY 2026-27 Budget for various new and existing Capital Improvement Program (CIP) projects from new available grant awards. (Brendan Ottoboni, Director of Public Works -Engineering) Item 2.8. Supplemental Appropriation - Various CIP Projects - Grant Awards
2.9. APPROVAL OF COUNCIL MEETING MINUTES OF 6/15/26 and 6/16/26 Item 2.9. Draft Minutes of 6/15/26
Item 2.9 Draft Minutes of 6/16/26
2.10. ITEMS REMOVED FROM THE CONSENT AGENDA
3. PUBLIC COMMENTS - Members of the public may address the Council at this time on any matter not already listed on the agenda and within the jurisdiction’s authority either in person or via Zoom. Comments will be limited to three minutes or as determined by the Mayor based on the number of speakers. The Council cannot take any action at this meeting on requests made under this section of the agenda.
4. PUBLIC HEARINGS
4.1. HEARING ORDERING THE ABANDONMENT AND VACATION OF A PORTION OF A PUBLIC UTILITY EASEMENT (APN: 015-210-057) At its meeting of June 16, 2026, the City Council adopted Resolution No. 46-26 stating its intent to abandon a portion of a public utility easement and set the public hearing for this meeting. (Report - Brendan Ottoboni, Director of Public Works-Engineering) Recommendation : The Director of Public Works - Engineering recommends adoption of the following resolution:
RESOLUTION OF THE COUNCIL OF THE CITY OF CHICO ORDERING ABANDONMENT AND VACATION OF A PORTION OF A PUBLIC UTILITY EASEMENT PURSUANT TO THE PUBLIC STREETS, HIGHWAYS AND SERVICE EASEMENTS VACATION LAW (APN: 015-210-057) Item 4.1. Public Hearing on Abandonment and Vacation of Public Utility Easement
5. REGULAR AGENDA
5.1. INTRODUCTION AND FIRST READING OF AN ORDINANCE ESTABLISHING ENTERTAINMENT ZONES IN DOWNTOWN AND MERIAM PARK Senate Bill (SB) 969, effective January 1, 2025, authorizes California cities to establish Entertainment Zones by ordinance, allowing adults 21 years of age and older to purchase alcoholic beverages from participating licensed businesses and consume those beverages within designated public streets, sidewalks, alleys, and public rights-of-way under specified conditions. The proposed ordinance would establish two Entertainment Zones within the City of Chico; one in Downtown and one in Meriam Park along with amending Chapter 9.30.040 and adding Chapter 5.45 in Title 5 of the Chico Municipal Code to implement the provisions of SB 969. Establishing these Entertainment Zones is intended to support local businesses, increase pedestrian activity, enhance community events, and further the City’s Economic Vitality. (Report - Erik Gustafson, Assistant City Manager) Recommendation : The Assistant City Manager recommends City Council introduce the following ordinance and waive the full reading by reading of title only:
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHICO AMENDING THE CHICO MUNICIPAL CODE CHAPTER BY ADDING A NEW CHAPTER 5.45 ENTITLED "ENTERTAINMENT ZONES" AND AMENDING SECTION 9.30.040 TO ALLOW THE CONSUMPTION OF ALCOHOLIC BEVERAGES IN DESIGNATED AREAS PURSUANT TO SENATE BILL 969 Item 5.1. Entertainment Zone Staff Report and Ordinance
5.2. SOLID WASTE FRANCHISE AGREEMENT DIRECTION
The City’s current exclusive residential and commercial solid waste franchise agreements with Waste Management and Recology terminate on June 30, 2029. Pursuant to the franchise agreements, each franchisee may request up to two additional five-year extensions subject to City Council approval. Due to the long lead time required to negotiate, procure, transition, or restructure solid waste collection services, staff is seeking City Council direction regarding the preferred future structure for solid waste collection services within the City of Chico.
Council may direct staff to pursue one of the following options:
Recommendation 1. Negotiate five-year franchise extensions with the existing haulers;
1. Negotiate five-year franchise extensions with the existing haulers;
2. Initiate a competitive Request for Proposals/Qualifications (RFP/RFQ) process for future franchise agreements; or
3. Transition toward an open market system without exclusive franchise agreements.
Item 5.2. Solid Waste Franchise Agreement Direction
5.3. AMENDMENTS TO CHICO MUNICIPAL CODE TITLE 18R - UTILITY UNDERGROUNDING REQUIREMENTS This item presents proposed amendments to Chico Municipal Code Title 18R, Design Criteria and Improvement Standards, to clarify utility undergrounding requirements and update the City’s streetlight foundation standards. (Report - Brendan Ottoboni, Public Works Director - Engineering Recommendation : The Director of Public Works - Engineering recommends City Council adopt the following resolutions:
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO AMENDING CHICO MUNICIPAL CODE (CMC) SECTION 18R.08.080 - UTILITY SERVICES - Codified
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHICO AMENDING TITLE 18R DESIGN CRITERIA AND IMPROVEMENT STANDARDS OF THE CHICO MUNICIPAL CODE - Codified Item 5.3. Utility Undergrounding Requirements
5.4. GARNER LANE DEVELOPMENT COORDINATION / CARD AGREEMENT AMENDMENT This item authorizes amendments to the Chico Area Recreation and Park District (CARD) Intergovernmental Cooperative Agreement and the Courtesy Motors Development Agreement to facilitate completion of the Garner Lane frontage improvements in coordination with the CARD Aquatic Center project. The proposed amendments allow the City to coordinate and advance construction of the improvements as one comprehensive public infrastructure project, while preserving CARD’s and Courtesy Motors responsibility to reimburse the City for their respective shares of the work. Completing the improvements now supports timely delivery of the Aquatic Center frontage improvements, advances the City’s Complete Streets and circulation objectives and avoids leaving Garner Lane in a partially improved condition for the remainder of Courtesy Motors Development Agreement deferral period.
Recommendation : The Director of Public Works - Engineering recommends adoption of the following:
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CHICO APPROVING AMENDMENT NO. 1 TO DEVELOPMENT AGREEMENT 18-01 BETWEEN THE CITY OF CHICO AND JP REAL ESTATE INVESTMENTS, LLC (COURTESY MOTORS) - Uncodified and, approval of the:
INTERGOVERNMENTAL COOPERATIVE AGREEMENT AMENDMENT NO. 1 BETWEEN THE CITY OF
CHICO AND CHICO AREA RECREATION AND PARK DISTRICT (CARD) Item 5.4. Garner Lane Dev. Coordination /CARD Agreement Amendment
5.5. JUNE 16, 2026 FINANCE COMMITTEE MINUTES
At its meeting of 6/16/26, the Finance Committee received a detailed presentation of the Monthly Financial Reports. No motions were made; however, several suggestions were made to staff that would take more than an hour of staff time and requires further Council direction. Specifically, the suggestions are: (1) Vice Mayor Bennett suggested staff do an analysis of commercial lease rates and compare them to the current lease rates at the Chico Regional Airport: (2) Councilmember van Overbeek suggested staff amend future financial reports to include color coding with green for good, yellow for caution, and red for budget items that need more attention; and (3) Councilmember van Overbeek requested staff to return to the next meeting with a report on the philosophy for insuring the City’s properties, buildings, and vehicles, and how staff think about insurance so that he can understand it better.
Recommendation Provide direction to staff on the three requests.
Item 5.5. June 16, 2026 Finance Committee Minutes
5.6. COUNCILMEMBER WINSLOW REQUEST - WATER QUALITY OF BIG CHICO CREEK WATERSHED At its meeting of 6/2/26, Council voted to agendize Councilmember Winslow’s request to discuss the water quality in Big Chico Creek.
Item 5.6. Winslow Request - Water Quality of Big Chico Creek Watershed
5.7. COUNCILMEMBER WINSLOW REQUEST - PARKING ACCESS IN UPPER BIDWELL PARK At its meeting of 6/2/26, Council voted to agendize Councilmember Winslow’s request to discuss parking and access in Upper Bidwell Park.
Item 5.7. Winslow Request - Parking Access in Upper Bidwell Park
5.8. ITEMS ADDED AFTER THE POSTING OF THE AGENDA
6. REPORTS AND COMMUNICATIONS - The following reports and communication items are provided for the Council’s information. No action can be taken on items under this section unless the Council agrees to include it on a subsequent agenda.
6.1. CITY MANAGER’S REPORT - Verbal Report, Interim City Manager Gustafson
6.2. MONTHLY FINANCIAL REPORT AND BUDGET MONITORING REPORTS – Information Only Financial Reports and Budget Monitoring Reports through March 31, 2026 and April 30, 2026.
Item 6.2. Monthly Financial Report (March)
Item 6.2. Monthly Financial Reports (April)
6.3. PERIODIC REVIEW OF DELEGATED AUTHORITY FOR FINAL MAP APPROVAL - Information only On September 19, 2023, the City Council amended the City’s Subdivision Ordinance (Title 18) to improve efficiency by delegating authority to the Community Development Director to approve final subdivision maps that are consistent with approved tentative maps and conditions of approval. This delegation, authorized by Section 66458(d) of the Subdivision Map Act and codified in Chico Municipal Code Section 18.050.010, is subject to periodic review by the City Council. (Brendan Vieg, Community Development Director) Item 6.3. Delegated Authority for Final Map Approval
6.4. COUNCILMEMBER REQUESTS - Pursuant to AP&P 10-10, Councilmembers may verbally request an item to be agendized at a future meeting. After stating what the item would be, a majority vote of Council is needed in order for staff to agendize.
7. ADJOURNMENT - Adjourn to the August 18, 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, Chico.
Closed Session - July 14, 2026
1. CALL TO ORDER IN THE COUNCIL CHAMBER AT 421 MAIN STREET, CHICO, CA.
1.1. ROLL CALL
2. CLOSED SESSION AGENDA - Members of the public may address the Council at this time on any item on the Closed Session agenda, with comments being limited to three minutes or as determined by the Mayor based on the number of speakers.
2.1. CONFERENCE WITH REAL PROPERTY NEGOTIATOR - Pursuant to Gov. Code Sec. 54956.8.
Agency Negotiator: Erik Gustafson, Interim City Manager Party Negotiating with:
Portion of APN:
Address:
A.
Aranguren Family Trust
045-322-001
1477 Mountain View Ave
B.
Joanne L. Walser Revocable Trust
045-322-002
1487 Mountain View Ave
C.
Mark G. Axtell & Gloria B. Mardesich
045-322-003
1493 Mountain View Ave
D.
Lewis G. and Kathleen J. Watson Revocable Trust
045-322-005
1557 Mountain View Ave
E.
Char Prieto & Dale Ernest Mattson
045-322-006
1563 Mountain View Ave
F.
William E. & Laura Carter
045-322-010
1587 Mountain View Ave
G.
Chester J. Austin & Michelle Dayes-Austin
045-322-016
1582 Mountain View Ave
H.
Daniel E. & Peggy B. Katz
045-322-033
1575 Mountain View Ave
I.
Christine Allayla
045-322-034
1583 Mountain View Ave
2.2. PUBLIC EMPLOYEE PERFORMANCE EVALUATION: Pursuant to Cal. Gov. Code Sec. 54957(b). Title: City Clerk
2.3. CONFERENCE WITH LABOR NEGOTIATOR: Pursuant to Cal. Gov. Code Sec. 54957.6 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
2.4. 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
2.5. 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
2.6 CONFERENCE WITH LEGAL COUNSEL – Potential Litigation: Pursuant to Gov. Code Sec. 54956.9(d)(4). One case
2.7. PUBLIC EMPLOYMENT: Pursuant to Cal. Gov. Code Sec. 54957(b). Title: City Manager
2.8. CLOSED SESSION ITEMS THAT AROSE AFTER THE POSTING OF THE AGENDA
3. ADJOURNMENT - Adjourn to the Adjourned Regular City Council Meeting on Tuesday, July 14, 2026, at 6:00 p.m.