Chowchilla City Council
April 9, 2024

Client:

Engagement:

Current Period:

Workpaper:

Account

CHOWCHILLA, CITY OF
6-30-23 Audit
06/30/2023
Attachment: Corrected Material Audit Adjustments
Description Workpaper Reference Debit Credit Net Income Effect AJE11 C120
To correct wages payable that were reducing cash
702-0100-1900 Claim On Cash 94,502.60 0.00
702-0200-0430 Net Payroll Payable 0.00 94,502.60
Total 94,502.60 94,502.60 0.00
AJE18 RE400
To remove admin fee activity from transfer out account
956-9950-5100 Transfer Out - GF 0.00 36,799.00
956-9950-3364 Contract Services 36,799.00 0.00
Total 36,799.00 36,799.00 0.00
AJE20 H800
To allocate Humboldt Project between streets and storm drain based on allocation of total project costs. 220-0100-0297 Fixed Assets - Construction in Progress 0.00 2,213,109.34 220-0000-5588 Transfer Out - PPC CREATED 2,213,109.34 0.00 100-1600-7310 Transfer-In 0.00 2,213,109.34
100-3620-6600 Construction In Progress (Capital Outlay - PPC CREATED) 2,213,109.34 0.00 Total 4,426,218.68 4,426,218.68 (2,213,109.34)

CITY OF

HOWCHILL
March 29, 2024
Price Paige & Company
570 N. Magnolia Ave, Suite 100
Clovis CA 93611
This representation letter is provided in connection with your audit of the financial statements of the City of Chowchilla, California (the City), which comprise the respective financial position of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information as of June 30, 2023, and the respective changes in financial position and, where applicable, cash flows for the year then ended, and the disclosures (collectively, the "financial statements"), for the purpose of expressing opinions as to whether the financial statements are presented fairly, in all material respects, in accordance with accounting principles generally accepted in the United States of America (U.S. GMP).

Certain representations in this letter are described as being limited to matters that are material. Items are considered to be material, regardless of size, if they involve an omission or misstatement of accounting information that, in light of surrounding circumstances, makes it probable that the judgment of a reasonable person relying on the information would be changed or influenced by the omission or misstatement. An omission or misstatement that is monetarily small in amount could be considered material as a result of qualitative factors.

We confirm, to the best of our knowledge and belief, as of the date of this letter, the following representations made to you during your audit.

Financial Statements
1) We have fulfilled our responsibilities, as set out in the terms of the audit engagement letter including our responsibility for the preparation and fair presentation of the financial statements in accordance with U.S. GAAP and for preparation of the supplementary information in accordance with the applicable criteria. 2) The financial statements referred to above are fairly presented in conformity with U.S. GMP and include all properly classified funds and other financial information of the primary government and all component units required by generally accepted accounting principles to be included in the financial reporting entity. 3) We acknowledge our responsibility for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
4) We acknowledge our responsibility for the design, implementation, and maintenance of internal control to prevent and detect fraud.
5) The methods, significant assumptions, and data used in making accounting estimates and their related disclosures are appropriate to achieve recognition, measurement, or disclosure that is reasonable in accordance with U.S. GMP.
6) Related party relationships and transactions, including revenues, expenditures/expenses, loans, transfers, leasing arrangements, and guarantees, and amounts receivable from or payable to related parties have been appropriately accounted for and disclosed in accordance with U.S. GMP. 130 S Second Street, Chowchilla, CA 93610
Telephone: (559) 665-8615 www.CityOfChowchilla.org
7) Adjustments or disclosures have been made for all events, including instances of noncompliance, subsequent to the date of the financial statements that would require adjustment to or disclosure in the financial statements.
8) The effects of uncorrected misstatements are immaterial, both individually and in the aggregate, to the financial statements as a whole for each opinion unit. A list of the uncorrected misstatements is attached to the representation letter. We are in agreement with the adjusting journal entries you have proposed, and they have been posted to the accounts.
9) The effects of all known actual or possible litigation, claims, and assessments have been accounted for and disclosed in accordance with U.S. GAAP.
10) Guarantees, whether written or oral, under which the City is contingently liable, if any, have been propetly recorded or disclosed.

Information Provided
11) We have provided you with:
a) Access to all information, of which we are aware, that is relevant to the preparation and fair presentation of the financial statements, such as records (including information obtained from outside of the general and subsidiary ledgers), documentation, and other matters and all audit or relevant monitoring reports, if any, received from funding sources.
b) Additional information that you have requested from us for the purpose of the audit. c) Unrestricted access to persons within the City from whom you determined it necessary to obtain audit evidence.
d) Minutes of the meetings of the City Council or summaries of actions of recent meetings for which minutes have not yet been prepared.
12) All material transactions have been recorded in the accounting records and are reflected in the financial statements.
13) We have disclosed to you the results of our assessment of the risk that the financial statements may be materially misstated as a result of fraud.
14) We have no knowledge of any fraud o'r suspected fraud that affects the City and involves- • Management,
• Employees who have significant roles in internal control, or • Others where the fraud could have a material effect on the financial statements. 15) We have no knowledge of any allegations of fraud or suspected fraud affecting the City's financial statements communicated by employees, former employees, regulators, or others. 16) We have no knowledge of instances of noncompliance or suspected noncompliance with provisions of laws, regulations, contracts, or grant agreements, or waste or abuse, whose effects should be considered when preparing financial statements.
17) We have disclosed to you all known actual or possible litigation, claims, and assessments whose effects should be considered when preparing the financial statements.
18) We have disclosed to you the names of the City's related parties and all the related party relationships and transactions, including any side agreements.

Government-specific
19) There have been no communications from regulatory agencies concerning noncompliance with, or deficiencies in, financial reporting practices.
20) We have taken timely and appropriate steps to remedy identified and suspected fraud or noncompliance with provisions of laws, regulations, contracts, and grant agreements that you have reported to us. 21) We have a process to track the status of audit findings and recommendations. 22) We have identified to you any previous audits, attestation engagements, and other studies related to the objectives of the audit and whether related recommendations have been implemented. 23) We have identified to you any investigations or legal proceedings that have been initiated with respect to the period under audit.
24) We have provided our views on reported findings, conclusions, and recommendations, as well as our planned corrective actions, for the report.
25) The City has no plans or intentions that may materially affect the carrying value or classification of assets, deferred outflows of resources, liabilities, deferred inflows of resources, and fund balance or net position. 26) We are responsible for compliance with the laws, regulations, and provisions of contracts and grant agreements applicable to us, including tax or debt limits and debt contracts, and legal and contractual provisions for reporting specific activities in separate funds.
27) We have identified and disclosed to you all instances of identified and suspected fraud and noncompliance with provisions of laws, regulations, contracts, and grant agreements that we believe have a material effect on the financial statements.
28) There are no violations or possible violations of budget ordinances, laws and regulations (including those pertaining to adopting, approving, and amending budgets), provisions of contracts and grant agreements, tax or debt limits, and any related debt covenants whose effects should be considered for disclosure in the financial statements, or as a basis for recording a loss contingency, or for reporting on noncompliance. 29) As part of your audit, you assisted with preparation of the financial statements and disclosures and schedule of expenditures of federal awards. We acknowledge our responsibility as it relates to those nonaudit services, including that we assume all management responsibilities; oversee the services by designating an individual, preferably within senior management, who possesses suitable skill, knowledge, or experience; evaluate the adequacy and results of the services performed; and accept responsibility for the results of the services. We have reviewed, approved, and accepted responsibility for those financial statements and disclosures and schedule of expenditures of federal awards.
30) In regard to the non-attest services performed by you, we have1) Assumed all management responsibilities. 2) Designated an individual within Senior Management, who has suitable skill, knowledge, or experience to oversee the services.
3) Evaluated the adequacy and results of the services performed. 4) Accepted responsibility for the results of the services. 5) Ensured that the data and records are complete, and we have sufficient information to oversee the services.
31) The City has satisfactory title to all owned assets, and there are no liens or encumbrances on such assets nor has any asset been pledged as collateral.
32) The City has complied with all aspects of contractual agreements that would have a material effect on the financial statements in the event of noncompliance.
33) The financial statements include all component units, appropriately present majority equity interests in legally separate organizations and joint ventures with an equity interest, and properly disclose all other joint ventures and other related organizations.
• 34) The financial statements include all fiduciary activities required by GASBS No. 84. as amended. 35) The financial statements properly classify all funds and activities in accordance with GASBS No. 34. as amended. 36) All funds that meet the quantitative criteria in GASBS Nos. 34 and R for presentation as major are identified and presented as such and all other funds that are presented as major are particularly important to financial statement users.
37) Components of net position (net investment in capital assets; restricted; and unrestricted) and classifications of fund balance (nonspendable, restricted, committed, assigned, and unassigned) are properly classified and, if applicable, approved.
38) Investments, derivative instrument transactions, and land and other real estate held by endowments are properly valued.
39) Provisions for uncollectible receivables have been properly identified and recorded. 40) Expenses have been appropriately classified in or allocated to functions and programs in the statement of activities, and allocations have been made on a reasonable basis. 41) Revenues are appropriately classified in the statement of activities within program revenues, general revenues, contributions to term or permanent endowments, or contributions to permanent fund principal. 42) lnterfund, internal, and intra-entity activity and balances have been appropriately classified and reported. 43) Deposits and investment securities and derivative instrument transactions are properly classified as to risk and are properly disclosed.
44) Capital assets, including infrastructure and intangible assets, are properly capitalized, reported, and, if applicable, depreciated or amortized.
45) We have appropriately disclosed the City's policy regarding whether to first apply restricted or unrestricted resources when an expense is incurred for purposes for which both restricted and unrestricted net position is available and have determined that net position is properly recognized under the policy. 46) We are following our established accounting policy regarding which resources (that is, restricted, committed, assigned, or unassigned) are considered to be spent first for expenditures for which more than one resource classification is available. That policy determines the fund balance classifications for financial reporting purposes.
47) We acknowledge our responsibility for the required supplementary information (RSI). The RSI is measured and presented within prescribed guidelines and the methods of measurement and presentation have not changed from those used in the prior period. We have disclosed to you any significant assumptions and interpretations underlying the measurement and presentation of the RSI. 48) With respect to the supplementary information:
a) We acknowledge our responsibility for presenting the supplementary information in accordance with accounting principles generally accepted in the United States of America, and we believe the supplementary information, including its form and content, is fairly presented in accordance with accounting principles generally accepted in the United States of America. The methods of measurement and presentation of the supplementary information have not changed from those used in the prior period, and we have disclosed to you any significant assumptions or interpretations underlying the measurement and presentation of the supplementary information.
b) If the supplementary information is not presented with the audited financial statements, we will make the audited financial statements readily available to the intended users of the supplementary information no later than the date we issue the supplementary information and the auditor's report thereon. 49) With respect to federal award programs:
a} We are responsible for understanding and complying with and have complied with, the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), including requirements relating to preparation of the schedule of expenditures of federal awards. b) We acknowledge our responsibility for preparing and presenting the schedule of expenditures of federal awards (SEFA) and related disclosures in accordance with the requirements of the Uniform Guidance, and we believe the SEFA, including its form and content, is fairly presented in accordance with the Uniform Guidance. The methods of measurement or presentation of the SEFA have not changed from those used in the prior period and we have disclosed to you any significant assumptions and interpretations underlying the measurement or presentation of the SEFA.
c) If the SEFA is not presented with the audited financial statements, we will make the audited financial statements readily available to the intended users of the SEFA no later than the date we issue the SEFA and the auditor's report thereon.
d) We have identified and disclosed to you all of our government programs and related activities subject to the Uniform Guidance compliance audit, and have included in the SEFA, expenditures made during the audit period for all awards provided by federal agencies in the form of federal awards, federal costreimbursement contracts, loans, loan guarantees, property (including donated surplus property), cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, and other direct assistance.
e) We are responsible for understanding and complying with, and have complied with, the requirements of federal statutes, regulations, and the terms and conditions of federal awards related to each of our federal programs and have identified and disclosed to you the requirements of federal statutes, regulations, and the terms and conditions of federal awards that are considered to have a direct and material effect on each major program.
f) We are responsible for establishing, designing, implementing, and maintaining, and have established, designed, implemented, and maintained, effective internal control over compliance for federal programs that provides reasonable assurance that we are managing our federal awards in compliance with federal statutes, regulations, and the terms and conditions of federal awards that could have a material effect on our federal programs. We believe the internal control system is adequate and is functioning as intended. g) We have made available to you all federal awards (including amendments, if any) and any other correspondence with federal agencies or pass-through entities relevant to federal programs and related activities.
h) We have received no requests from a federal agency to audit one or more specific programs as a major program.
i) We have complied with the direct and material compliance requirements (except for noncompliance disclosed to you), including when applicable, those set forth in the 0MB Compliance Supplement relating to federal awards and [have identified and disclosed to you all amounts questioned and all known noncompliance with the direct and material compliance requirements of federal awards. j) We have disclosed any communications from federal awarding agencies and pass-through entities concerning possible noncompliance with the direct and material compliance requirements, including communications received from the end of the period covered by the compliance audit to the date of the auditor's report.
k) We have disclosed to you the findings received and related corrective actions taken for previous audits, attestation engagements, and internal or external monitoring that directly relate to the objectives of the compliance audit, including findings received and corrective actions taken from the end of the period covered by the compliance audit to the date ofthe auditor's report.

Signatur
I) Amounts claimed or used for matching were determined in accordance with relevant guidelines in OMB's Uniform Guidance (2 CFR part 200, subpart E).
m) We have disclosed to you our interpretation of compliance requirements that may have varying interpretations.
n) We have made available to you all documentation related to compliance with the direct and material compliance requirements, including information related to federal program financial reports and claims for advances and reimbursements.
o) We have disclosed to you the nature of any subsequent events that provide additional evidence about conditions that existed at the end of the reporting period affecting noncompliance during the reporting period.
p) There are no such known instances of noncompliance with direct and material compliance requirements that occurred subsequent to the period covered by the auditor's report. q) No changes have been made in internal control over compliance or other factors that might significantly affect internal control, including any corrective action we have taken regarding significant deficiencies or material weaknesses in internal control over compliance, subsequent to the period covered by the auditor's report.
r) Federal program financial reports and claims for advances and reimbursements are supported by the books and records from which the financial statements have been prepared. s) The copies of federal program financial reports provided you are true copies of the reports submitted, or electronically transmitted, to the respective federal agency or pass-through entity, as applicable. t) We have charged costs to federal awards in accordance with applicable cost principles. u) We are responsible for and have accurately prepared the summary schedule of prior audit findings to include all findings required to be included by the Uniform Guidance, and we have provided you with all information on the status of the follow-up on prior audit findings by federal awarding agencies and passthrough entities, including all management decisions. v) We are responsible for and have ensured the reporting package does not contain protected personally identifiable information.
w) We are responsible for and have accurately prepared the auditee section of the Data Collection Form as required by the Uniform Guidance.
x) We are responsible for taking corrective action on each audit finding of the compliance audit and have developed a corrective action plan that meets the requirements of the Uniform Guidance.

City of Chowchilla | California
Single Audit Report
For the Year Ended June 30, 2023
CITY OF CHOWCHILLA | FOR THE YEAR ENDED JUNE 30, 2023
Single Audit Report

TABLE OF CONTENTS
PAGE
Independent Auditor’s Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ..................................................................................................................................... 1 Independent Auditor’s Report on Compliance for Each Major Program and on Internal Control Over Compliance; and Report on the Schedule of Expenditures of Federal Awards Required by the Uniform Guidance ...................................................................................................................................................... 3 Schedule of Expenditures of Federal Awards ....................................................................................................................... 6 Notes to the Schedule of Expenditures of Federal Awards .................................................................................................. 7 Schedule of Findings and Questioned Costs ........................................................................................................................ 8 Summary Schedule of Prior Audit Findings ........................................................................................................................ 10 Corrective Action Plan ........................................................................................................................................................ 11 1 INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING

AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL REPORTING

AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL

STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Honorable Mayor and City Council
City of Chowchilla, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Chowchilla, California (the City), as of and for the year ended June 30, 2023, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements and have issued our report thereon dated March 29, 2024.

Report on Internal Control over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that were not identified. We identified a deficiency in internal control, described in the accompanying schedule of findings and questioned costs as item 2023-001 that we consider to be a material weakness.

Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, 2 providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

The City’s Response to Findings
Government Auditing Standards requires the auditor to perform limited procedures on the City’s response to the findings identified in our audit and described in the accompanying schedule of findings and questioned costs. The City’s response was not subjected to the other auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on the response.

Purpose of This Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Clovis, California
March 29, 2024
3 INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON THE SCHEDULE OF

EXPENDITURES OF FEDERAL AWARDS REQUIRED BY THE UNIFORM GUIDANCE To the Honorable Mayor and City Council
City of Chowchilla, California
Report on Compliance for Each Major Federal Program
Opinion on Each Major Federal Program
We have audited the City of Chowchilla, California’s (the City) compliance with the types of compliance requirements identified as subject to audit in the OMB Compliance Supplement that could have a direct and material effect on each of the City’s major federal programs for the year ended June 30, 2023. The City’s major federal programs are identified in the summary of auditor’s results section of the accompanying schedule of findings and questioned costs.

In our opinion, the City complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2023.

Basis for Opinion on Each Major Federal Program
We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).

Our responsibilities under those standards and the Uniform Guidance are further described in the Auditor’s Responsibilities for the Audit of Compliance section of our report.

We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on compliance for each major federal program. Our audit does not provide a legal determination of the City’s compliance with the compliance requirements referred to above.

Responsibilities of Management for Compliance
Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to the City’s federal programs.

Auditor’s Responsibilities for the Audit of Compliance
Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on the City’s compliance based on our audit. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a 4 guarantee that an audit conducted in accordance with generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance will always detect material noncompliance when it exists. The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about the City’s compliance with the requirements of each major federal program as a whole.

In performing an audit in accordance with generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance, we:
• Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the City’s compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances. • Obtain an understanding of the City’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control over compliance. Accordingly, no such opinion is expressed.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit.

Report on Internal Control over Compliance
A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.

Our consideration of internal control over compliance was for the limited purpose described in the Auditor’s Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance.

Given these limitations, during our audit we did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. However, material weaknesses or significant deficiencies in internal control over compliance may exist that were not identified.

Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed.

The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose.

Report on Schedule of Expenditures of Federal Awards Required by the Uniform Guidance We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City, as of and for the year ended June 30, 2023, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements. We issued our report thereon dated March 29, 2024, which contained unmodified opinions on those financial statements. Our audit was 5 performed for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements. The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by the Uniform Guidance and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the schedule of expenditures of federal awards is fairly stated in all material respects in relation to the basic financial statements as a whole.

Clovis, California
March 29, 2024
CITY OF CHOWCHILLA | FOR THE YEAR ENDED JUNE 30, 2023
Schedule of Expenditures of Federal Awards
See the accompanying notes to the schedule of expenditures of federal awards and the independent auditor’s report on compliance for each major program and on internal control over compliance required by the Uniform Guidance. 6 Federal
Assistance Pass-Through
Listing Grantor's Federal
Number Number Expenditures
U.S. Department of Housing and Urban Development
Passed-through the California Department of Housing and Community Development:

Community Development Block Grant/State's Program and Non-Entitlement Grants in Hawaii 14.228 Program Income 1,041,312 $ Community Development Block Grant/State's Program and Non-Entitlement Grants in Hawaii 14.228 20-CDBG-00094 51,903 COVID-19 - Community Development Block Grant/State's Program and Non-Entitlement Grants in Hawaii 14.228 20-CDBG-CV-2-3-00037 75,022 Community Development Block Grant/State's Program and Non-Entitlement Grants in Hawaii 14.228 20-CDBG12078 61,548 COVID-19 - Community Development Block Grant/State's Program and Non-Entitlement Grants in Hawaii 14.228 20-CDBG-ED-10010 293,566 HOME Investment Partnership Program 14.239 Program Income 6,686 Subtotal pass-through California Department of Housing and Community Development 1,530,037 Total U.S. Department of Housing and Urban Development 1,530,037 U.S. Department of Transportation
Passed-through the California Office of Traffic Safety:

Airport Improvement Program 20.106 3-06-0043-012-2021 32,000 Airport Improvement Program 20.106 3-06-0043-013-2021 13,000 Airport Improvement Program 20.106 3-06-0043-014-2022 216,549 Subtotal pass-through California Office of Traffic Safety 261,549 Passed-through the California Department of Transportation:

Highway Planning and Construction:

Berenda Slough Bridge Project 20.205 06-MAD-0-CHW Project #CML5258(038) 574 Riverside, 8th & Kings Pedestrian Improvement 20.205 06-MAD-0-CHW Project #CML-5258(042) 39,148 Alley Paving Project 20.205 06-MAD-0-CHW Project #CML-5258(041) 4,744 Bridge Preventive Maintenance 20.205 06-MAD-0-CHW Project #CML5258(039) 574 45,040

20.509 64BO19-00920 94,175
Subtotal Highway Planning and Construction
Formula Grants for Rural Areas and Tribal Transit Program (Section 5311) COVID-19 Formula Grants for Rural Areas and Tribal Transit Program (5311, CARES Act Phase 1) 20.509 64BVO20-01291 28,850 Subtotal pass-through California Department of Transportation 123,025 Total U.S. Department of Transportation 429,614
U.S. Department of Homeland Security
Direct Award:

Staffing for Adequate Fire and Emergency Response (SAFER) 97.083 N/A 13,288 Total U.S. Department of Justice 13,288
Total Expenditures of Federal Awards $ 1,972,939
Federal Grantor/Pass-Through Grantor/Program Title
CITY OF CHOWCHILLA | FOR THE YEAR ENDED JUNE 30, 2023
Notes to the Schedule of Expenditures of Federal Awards 7 NOTE 1 – GENERAL
The accompanying Schedule of Expenditures of Federal Awards (SEFA) presents the activity of all federal award programs of the City of Chowchilla, California (the City). Federal awards received directly from federal agencies, as well as federal awards passed through other government agencies are included in the schedule. The information in this SEFA is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).

NOTE 2 – BASIS OF ACCOUNTING
The accompanying SEFA is presented using the modified accrual basis of accounting except for programs recorded in the City’s enterprise funds, which are presented using the accrual basis of accounting, which is described in Note 1 of the City’s basic financial statements.

NOTE 3 – RELATIONSHIP TO BASIC FINANCIAL STATEMENTS
Federal award expenditures agree or can be reconciled with the amounts reported in the City’s basic financial statements.

NOTE 4 – INDIRECT COST RATE
The City has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.

NOTE 5 – PASS THROUGH ENTITY IDENTIFYING NUMBERS
The City has included in the SEFA the identifying numbers for pass-through grants when such information has been provided by the pass-through entities. For grants that the City was not provided with such information by the passthrough entities, the City has indicated the pass-through identifying number “N/A” to disclose the information was not applicable or not available.

CITY OF CHOWCHILLA | FOR THE YEAR ENDED JUNE 30, 2023
Schedule of Findings and Questioned Costs
8 SECTION I – SUMMARY OF AUDITOR’S RESULTS

FINANCIAL STATEMENTS
Type of auditor's report issued: Unmodified
Internal control over financial reporting:

Material weaknesses identified? X Yes No
Significant deficiencies identified? Yes X None reported Noncompliance material to financial statements noted? Yes X No

FEDERAL AWARDS
Internal control over major programs:

Material weaknesses identified? Yes X No
Significant deficiencies identified? Yes X None reported Type of auditor's report issued on compliance for
major programs: Unmodified
Any audit findings disclosed that are required
to be reported in accordance with
2 CFR 200.516(a)? Yes X No
IDENTIFICATION OF MAJOR PROGRAMS:

Federal Assistance Listing Number

14.228
Dollar threshold used to distinguish
between Type A and Type B programs:

Auditee qualified as low-risk auditee? Yes X No
$750,000
Name of Federal Program or Cluster
Community Development Block
Grants/State's Program and NonEntitlement Grants in Hawaii CITY OF CHOWCHILLA | FOR THE YEAR ENDED JUNE 30, 2023
Schedule of Findings and Questioned Costs
(Continued)
9 SECTION II – FINANCIAL STATEMENT FINDINGS
Finding 2023-001 – Financial Close and Reporting (Material Weakness) Condition: The City’s financial balances and activity required various adjustments during the audit to reflect complete and accurate financial statements presented in accordance with generally accepted accounting standards in the United States of America (GAAP).

Criteria: As described in the California State Controller’s “2015 Internal Control Guidelines” an effective internal control system and timely financial reporting of all financial activity provides reasonable assurance for the safeguarding of assets, the reliability of financial information, and compliance with laws and regulations. This includes the design and implementation of control systems that ensure accurate financial reporting in accordance with applicable standards and regulations.

Cause: The City’s year-end closing process is incomplete, or otherwise improperly designed, which did not identify omissions and errors in the City’s financial data in accordance with GAAP.

Effect: Various adjustments were required to correct the City’s general ledger during our audit, including the following:
1) Fund balance – opening fund balance/net position did not reconcile to the prior year ending balance for five (5) City financial statement funds.
2) Cash balances – cash balances were initially misstated by accrual items that should not have affected cash at year-end (accrued payroll and customer deposits). 3) Prepaids and accounts payable – invoices received near year-end but not yet paid or incurred by the City were accrued as accounts payable (liability) and prepaid items (asset). Other balances reported in accounts payable were determined to no longer exist at year-end. 4) Unavailable revenues – recorded to the City’s enterprise funds which do not report under current financial resources model, and accordingly, unavailable revenues should not be noted in these funds.
5) Capital assets – incomplete construction-in-progress asset balances reported as governmental activities for disbursements related to the fire department expansion project - $986,446. In addition, the construction-in-progress schedule provided did not reconcile to the depreciation schedule and was incomplete.
6) Year-end adjustments after commencement of the audit – significant City-prepared adjustments were provided after the start of the audit, including approximately ten (10) “client-prepared” adjustments, resulting in changes to the financial statement balances and activity, with an approximate $176,000 increase to net income.

Recommendation: We recommend that the City reevaluate the current design of the City’s year-end close and incorporate a more rigorous review by those with appropriate skills, knowledge, and experience to identify errors and omissions of financial information in accordance with GAAP.

Management’s
Response: See Corrective Action Plan.

SECTION III – FEDERAL AWARD FINDINGS
None reported.

CITY OF CHOWCHILLA | FOR THE YEAR ENDED JUNE 30, 2023
Summary Schedule of Prior Audit Findings
10 FINANCIAL STATEMENT FINDINGS
Finding 2022-001 – Financial Close and Reporting (Material Weakness) Condition: The City’s year-end financial closing process was not complete or accurate and did not allow for the timely closing of the City’s financial records in accordance with applicable standards.

Criteria: As described in the California State Controller’s “2015 Internal Control Guidelines” an effective internal control system and timely financial reporting of all financial activity provides reasonable assurance for the safeguarding of assets, the reliability of financial information, and compliance with laws and regulations. This includes the design and implementation of control systems that ensure accurate financial reporting in accordance with applicable standards and regulations.

Cause: Contributing factors include the City’s transition to a new accounting system during the year ended June 30, 2022, and transition in managerial staff in the finance department.

Effect: Various adjustments were required to correct the City’s general ledger during our audit, including the following:
1) Governmental receivables received outside of the period of availability were not reclassified as unavailable revenue, resulting in an overstatement of revenues. 2) Depreciation expense for both Governmental Activities’ and Business-Type Activities’ capital assets was not calculated correctly based on the methodology used by the City, resulting in an overstatement of expenses.
3) Various other adjustments were required to reconcile the City’s depreciation schedule to the City’s general ledger.
4) Reconciled bank balances were not reconciled to the City’s general ledger (approximately $26k when compared to the pooled cash accounts).
5) A long-term lease that met the criteria under GASB87 was not identified by the City. 6) The City’s Schedule of Expenditures of Federal Awards did not include approximately $440k of federal expenditures.

The net effect of our audit adjustments to correct these errors was a decrease of approximately $350,000 in fund balance/net position across the City’s funds.

Recommendation: We recommend that the City review its current design of controls (processes and procedures) to determine what changes are required to reduce the likelihood of future misstatements in the yearend financial close. Additional considerations in the design should include the explicit review and approval of year-end schedules and other financial close and reporting processes to reduce the likelihood of misstatement due to unintentional error.

Status: Partially implemented, see current year findings.

FEDERAL AWARD FINDINGS
None reported.

CITY OF CHOWCHILLA | FOR THE YEAR ENDED JUNE 30, 2023
Corrective Action Plan
11 REPORT TO THE CITY COUNCIL
Item 6.3

CLICK HERE

TO RETURN TO

THE AGENDA
Meeting of: April 9, 2024
AGENDA SECTION: New Business
SUBJECT: Approval of a Resolution Awarding Contract for the Preparation of the Environmental Impact Report to Support the City of Chowchilla’s Industrial Specific Plan in the Amount of $189,585, QK Task Order to Peer Review the Draft EIR Document in the Amount of $48,900, and Authorizing the City Administrator or Designee to Execute Related Documents
APPROVED BY: Mark Hamilton, Director of Community & Economic Development ATTACHMENTS: Resolution
Precision Engineering Bid
QK’s Peer Review Task Order

REVIEWED BY
ADMINISTRATOR ☒ REVIEWED BYATTORNEY ☒ REVIEWED BY FINANCE ☒ RECOMMENDATION:

Staff recommends that the City Council Adopt a resolution awarding a contract for the ‘Preparation of the Environmental Impact Report to Support the City of Chowchilla’s Industrial Specific Plan’ to Precision Engineering. The projects budget includes $172,350 Base amount with a 10% contingency and QK’ Task Order amount of $48,900, for a combined total of $238,485; and, authorizing the City Administrator or designee to execute related documents.

BACKGROUND:

On January 19, 2024, the City of Chowchilla released the ‘‘Preparation of the Environmental Impact Report to Support the City of Chowchilla’s Industrial Specific Plan” requesting interested individuals to participate.

The bid proposal was published through OpenGov.com and noticed through various City social media outlets. The proposal was viewed by 455 vendors, downloaded by 37 vendors, with 3 vendors submitting proposals.

The project includes not only working with Precision Engineering to prepare a project environmental impact report (PEIR) to address the environmental effects of the Industrial Specific Plan, but to also have QK perform a peer review of the document to ensure the document is in compliance with the California Environmental Quality Act (CEQA). The objective with the PEIR is to achieve compliance with CEQA to allow anticipated development to occur within the Industrial Specific Plan Area. The PEIR will form the environmental foundation for future developments and a strong starting point for other projects. A variety of public and private entities would be able to take advantage of the PEIR for future funding opportunities and development.

REASON FOR RECOMMENDATION:

The City opened bids for the on February 27, 2024. The City received three (3) bids for the project as follows:

Contractor Base Bid Bid + 10%
Contingency
Anticipated Date of
Completion
UES $160,260 $176,286 Fall 2026
Precision Engineering $172,350 $189,585 Summer 2025
LSA $484,871.78 $533,358.96 Fall 2025
Staff reviewed the bids submitted by UES, Precision Engineering, and LSA. Based on the review, staff determined the bid submitted by Precision Engineering was the most reasonable and responsive.

Precision Engineering’s bid anticipates completion of the document in the Summer of 2025. Due to the anticipated time to complete the EIR being near the City’s stated timeline within to the City’s deadline and the bid costs was lower, staff is recommending City Council to consider awarding the contract for the ‘Preparation of the Environmental Impact Report to Support the City of Chowchilla’s Industrial Specific Plan,’ to Precision Engineering and authorize for a project contingency in the amount of 10% of the contract.

FISCAL IMPACT:

The construction costs and available funding for the Project were included in the Fiscal Year 2023/24 Budget. The Community and Economic Development Department budgeted $300,000 to complete the project. The combined total of the Bid, the 10% contingency, and the peer review is well under the original amount budgeted to complete the project.

ALTERNATIVES:

City Council may reject all bids.

ACTIONS FOLLOWING APPROVAL:

1. Execution of Contract.

2. Project EIR kick-off meeting.

COUNCIL RESOLUTION # -24

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHOWCHILLA, CALIFORNIA

AWARDING THE CONTRACT FOR THE PREPARATION OF THE PROJECT ENVIRONMENTAL IMAPCT REPORT (PEIR) TO SUPPORT THE CITY OF CHOWCHILLA’S INDUSTRIAL SPECIFIC PLAN BID TO PRECISION ENGINEERING IN THE AMOUNT OF $189,585; AUTHORIZING THE TASK ORDER TO PEER REVIEW THE PEIR TO QK IN THE AMOUNT OF $48,900; AND,

AUTHORIZING THE CITY ADMINISTRATOR OR DESIGNEE TO EXECUTE ALL RELATED

DOCUMENTS THERETO
WHEREAS, the Invitation to Bid for the ‘Preparation of the Environmental Impact Report to Support the City of Chowchilla’s Industrial Specific Plan’ (the “Project”), was released and posted on January 19, 2024 and was closed on OpenGov.com on February 23, 2024; and, WHEREAS, the following bids for the Project were received and publicly opened and read aloud at the Chowchilla City Hall on February 27, 2024:

Contractor Base Bid Bid + 10%
Contingency
Anticipated Date of
Completion
UES $160,260 $176,286 Fall 2026
Precision Engineering $172,350 $189,585 Summer 2025
LSA $484,871.78 $533,358.96 Fall 2025
WHEREAS, the Director of Community and Economic Development has reviewed the bids submitted by UES, Precision Engineering, and LSA to meet minimum qualifications; and, WHEREAS, the Director of Community and Economic Development recommends the Project be awarded to Precision Engineering. With the Task Order to assist the City with Peer Reviewing the draft PEIR be awarded to QK.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chowchilla hereby finds, determines and declares the following:

1. The above recitals are true and correct.

2. The bid submitted by Precision Engineering is the lowest and most responsive.

3. The contract for the Project is awarded to Precision Engineering in the amount of $189,585.00, including a 10% contingency.

4. The City Administrator is authorized to execute the contract on behalf of the City of Chowchilla.

5. This resolution is effective immediately upon adoption.

PASSED AND ADOPTED by the City Council of the City of Chowchilla this 9th day of April, 2024 by the following vote to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

Mayor Kelly Smith
ATTEST:

Joann McClendon, CMC
City Clerk
Project
Manager
Senior
Planner
Associate
Planner
$210 $160 $120
Task 1.1 Project Kick-Off Meeting 4 4 2 $ - $1,720.00
Task 1.2 Document Review and Additional Information Request 1 8 4 $ - $1,970.00 Task 1.3. Scoping and NOP and NOC 6 8 4 $3,020.00
Total Hours 11 20 10 0 41
Sub-Total $ 2,310.00 $ 3,200.00 $ 1,200.00 $ - $ 6,710.00 Task 2. Project Description 4 12 4 $ - $3,240.00
Total Hours 4 12 4 0 20
Sub-Total $ 840.00 $ 1,920.00 $ 480.00 $ - $ 3,240.00
$ 10,200.00 $ 10,200.00
$ 8,000.00 $ 8,000.00
$ 5,500.00 $ 5,500.00
$ 9,500.00 $ 9,500.00
$ 89,000.00 $ 89,000.00
$ 11,000.00 $ 11,000.00
$ 50,000.00 $ 50,000.00
$ 11,000.00 $ 11,000.00
Total Hours
Sub-Total without optional tasks $ 88,700.00 $ 88,700.00 TASK 4. DRAFT PROGRAM ENVIRONMENTAL IMPACT REPORT
Task 4.1. Draft Program EIR 30 140 120 $ - $ 43,100.00
Task 4.2. Public Review Draft Program EIR Distribution and CEQA Notices 10 24 12 $ - $ 7,380.00 Total Hours 40 164 132 0 336
Sub-Total $ 8,400.00 $ 26,240.00 $ 15,840.00 $ - $ 50,480.00 TASK 5. FINAL PROGRAM ENVIRONMENTAL IMPACT REPORT
Task 5.1. Final Program EIR 10 40 20 $ - $ 10,900.00
Task 5.2. Findings of Fact, Statement of Overriding Considerations, MMRP 4 12 6 $ - $ 3,480.00 Task 5.3. Notice of Determination and Filing 0 2 0 $ 320.00 Total Hours 14 54 26 0 94
Sub-Total $ 2,940.00 $ 8,640.00 $ 3,120.00 $ - $ 14,700.00 TASK 6. PROJECT MANAGEMENT, PUBLIC OUTREACH, AND COORDINATION Task 6. Project Management, Public Outreach, and Coordination 12 30 10 $ - $ 8,520.00 Total Hours 12 30 10 0 52
Sub-Total $ 2,520.00 $ 4,800.00 $ 1,200.00 $ - $ 8,520.00 Hours (#) 81 280 182 0 543
Hours (Percentage) 15% 52% 34% 0 100%
Hourly Rate $210 $ 160.00 $ 120.00 $ - --
Cost ($) $ 17,010.00 $ 44,800.00 $ 21,840.00 $ 88,700.00 $ 172,350.00 Cost ($) + 10% Contingency $ 18,711.00 $ 49,280.00 $ 24,024.00 $ 97,570.00 $ 189,585.00 Total Project Cost (with 10% contingency) $189,585.00
OPTIONAL TASK: Cultural Field Surveys (if requested)
Task 3.4. Environmental Noise Assessment
Task 3.5. Traffic Impact Study and VMT Model Analysis
OPTIONAL TASK: VMT Mitigation Analysis (if required)
Varies
Task 3.3. Cultural Resources Background Research

PRECISION CIVIL ENGINEERING

COST ESTIMATE FOR CITY OF CHOWCHILLA

INDUSTRIAL SPECIFIC PLAN EIR
Direct
Costs
Totals
TASK 3. BACKGROUND RESEARCH AND FIELD STUDIES
TASK 2. PROJECT DESCRIPTION
TASK 1. PROJECT ADMINISTRATION
Task 3.1. Air Quality, Greenhouse Gas, Energy Analysis
Task 3.2. Biological Database Searches, Literature Review, and Destop Analysis OPTIONAL TASK: Biological Field Surveys (if requested)
P240178 March 28, 2024

CITY OF CHOWCHILLA

WORK AUTHORIZATION AND TASK ORDER

ON-CALL PLANNING SERVICES
QK Job No. _______________
Project #:

Project Title: City of Chowchilla On-call Planning Services – Peer Review of Chowchilla Industrial Specific Plan Environmental Impact Report (EIR)
Project Description: Provide planning services to conduct a peer review of the Chowchilla Industrial Specific Plan EIR for the City of Chowchilla, acting as an extension of City staff.

Scope of Work: See Attachment A dated March 28, 2024.

Period of Performance: See Attachment A dated March 28, 2024.

Budget: See Attachment A dated March 28, 2024. Total Fee $48,900.00 (Fixed Fee) Special Terms and Conditions:

All the terms and conditions of the Agreement for Professional Services between the City of Chowchilla and Quad Knopf, Inc. signed by the City Administrator on February 9, 2016, and Amendment No. 1 dated February 14, 2017, are incorporated by reference as if fully set forth herein.

Invoicing Requirements:
 Payment Terms: Net 30 Days
 Contract Type: Time & Materials $ Fixed Fee $48,900.00  Invoice Frequency: Monthly
Quad Knopf, Inc. City of Chowchilla
By:

Signature
By:

Signature
Name: Amber Aguayo
Title: CFO/COO
Name: Rod Pruett
Title: City Administrator
Date: Date:

ATTACHMENT A
City of Chowchilla On-Call Planning Services – Peer Review of Chowchilla Industrial Specific Plan Environmental Impact Report (EIR) City of Chowchilla On-Call Planning Services – Peer Review of March 28, 2024 Chowchilla Industrial Specific Plan Environmental Impact Report (EIR) (P240178) Page 1 of 4

CITY OF CHOWCHILLA AND CEQA AND EIR PEER REVIEW EXPERIENCE QK currently serves as the contract City Planner for the City of Chowchilla and has contracted with the City on multiple planning projects over the years. QK planners have also represented developers applying for approvals with the Chowchilla Planning Commission and City Council. We have a high comfort level and enjoy working with City staff.

Principal Planner Jaymie Brauer, who will lead the peer review efforts, has been a professional planner for over 18 years, and is the CEQA/NEPA technical lead for QK. She has worked on several City-initiated projects and has a strong familiarity with Chowchilla’s planning process.

Currently Ms. Brauer is working with the City of Visalia, providing CEQA and EIR peer review support for a large industrial park. The City of Visalia also requested Ms. Brauer to draft a CEQA document to support a City-initiated annexation of a property, and she has written environmental documents to support private development within the City as well.

She previously provided similar services to the City of Lemoore for the Lacey Ranch Project, and she has written numerous CEQA documents on behalf of Lemoore for proposed private development projects.

SCOPE OF SERVICES
TASK 1.0 ENVIRONMENTAL IMPACT REPORT (EIR)
Kickoff, Project Description, and Notice of Preparation Project Kickoff: The Kickoff stage of the project will focus on obtaining relevant information from the City for the EIR analysis, formalizing the approach and scope of the EIR with the EIR preparer contracted to write the EIR, and understanding the schedule for completion of the various phases of the EIR. QK will gain an understanding of City staff’s main areas of concern that should be focused on during the course of the project review.

All reviewed documents will be provided to QK in WORD format. Suggested revisions will be done in track change and submitted to the City for their review.

Project Description: CEQA case law (County of Inyo v. City of Los Angeles) requires an accurate, stable, finite project description as an essential element of a legally sufficient EIR. QK will confirm that the Project is adequately described in accordance with Section 15124 of the CEQA Guidelines. The Project Description chapter should include a description of the Project and Alternatives addressed in the EIR and a listing of areas of controversy and issues to be resolved. The project description will be used as the basis of analysis for each environmental impact section.

QK will work with the EIR preparer to confirm that the project description will be sufficiently clear and concise (including project development and phasing, if applicable) to anticipate likely future governmental approvals that will rely on CEQA documentation for approval, or other discretionary reviews that may be required.

Notice of Preparation: QK will review the draft Notice of Preparation (NOP) in accordance with CEQA Guidelines to inform responsible and trustee agencies, interested parties, and the general public about the preparation of the Draft EIR for the Project. The NOP should be prepared in a format consistent with the requirements of CEQA and will include relevant information regarding the project and will be submitted to the City for review.

We assume QK will not be required to participate in the EIR Scoping meeting, but we can review the meeting materials, if requested.

Deliverables:
 Review of Project Description
 Review of Notice of Preparation
 EIR Scoping Meeting Materials (if requested)
City of Chowchilla On-Call Planning Services – Peer Review of March 28, 2024 Chowchilla Industrial Specific Plan Environmental Impact Report (EIR) (P240178) Page 2 of 4 Draft Program Environmental Impact Report
Administrative Draft EIR: The contents of the Administrative Draft EIR should be consistent with the components required by CEQA. QK will peer review the Administrative Draft EIR and provide comments to the EIR preparer. QK will then review that the edits made in response to comments are acceptable and meet the City staff’s concerns. While it is preferable to review the entire Administrative Draft EIR together at once, if the timeline requires it, QK can review groups of chapters as they are completed, assuming the project description is completed and acceptable to QK and City staff. QK can track which chapters are being writing, in review, or have had their review completed, and provide periodic written updates to City staff.

Screencheck Draft EIR: QK will confirm that revisions made based on City comments are satisfactory to make the Draft EIR acceptable, thorough, and legally adequate for release to the public. QK assumes the EIR preparer will be responsible for the distribution and posting of the document with the State Clearinghouse or County clerk.

Final Program Environmental Impact Report
Response to Comments: Pursuant to §15088 of the CEQA Guidelines, the Final EIR must respond in writing to each oral and written comment on the DEIR made by individuals, agencies, and organizations. The response to comments will be a coordinated effort between the EIR preparer, QK, City staff, and the City Attorney’s office. QK will verify that the Final EIR will also include revisions to the EIR text and summary table necessitated by comments.

Mitigation Monitoring and Reporting Program: QK will review the draft Mitigation Monitoring and Reporting Program (MMRP) prepared by the EIR preparer. The MMRP should be based on the findings of the EIR and subsequent direction by the City. Each mitigation measure will be identified and supplemented with information describing specific actions to be taken, the responsible parties, anticipated costs (if available), phasing, timing, and the identity of the persons or agencies that must sign off on each measure.

Administrative Draft Final EIR: QK will review the Administrative Draft Final EIR for quality control, consistency, and legal sufficiency. Legal sufficiency will be coordinated with the City staff and City Attorney’s office.

Screencheck Final EIR: QK will verify that the revision made based on the City’s comments is acceptable, thorough, and legally adequate version is ready for certification by the City Council. QK will not be responsible to distribute the Final EIR.

Deliverables:
 Review of Administrative Draft EIR
 Review of Screencheck Draft EIR
 Review of Response to Comments
 Review of MMRP
 Review of Administrative Draft Final EIR
 Review of Screencheck Final EIR
Findings of Fact (§15091) and Statements of Overriding Consideration (§15093) Findings of Fact: QK will review the Findings of Fact document to confirm it supports the impacts and conclusion statements in the Draft EIR, in accordance with CEQA Guidelines §15091. Findings will include information necessary to confirm legal adequacy and will cover environmental impacts found to occur with adoption of the Project.

Statement of Overriding Considerations: QK will review the Statement of Overriding Considerations for each of the significant and unavoidable impacts found to occur in the Draft EIR, in accordance with CEQA Guidelines §15093.

These statements will reflect the social, economic, technical, legal, or other reasons why mitigation of the impact is infeasible, and why the City will consider the approval of the project even with the existence of such impacts.

City of Chowchilla On-Call Planning Services – Peer Review of March 28, 2024 Chowchilla Industrial Specific Plan Environmental Impact Report (EIR) (P240178) Page 3 of 4 It is assumed the City will prepare a draft resolution for the City Council to certify the Program EIR based upon the Findings of Fact and the Statement of Overriding Considerations. Either the City of the EIR preparer will post the Notice of Determination with the State Clearinghouse and County Clerk.

Deliverables:
 Review of Findings of Fact
 Review of Statement of Overriding Considerations
 Review of Certification Resolution (if requested)
TASK 2.0 PEER REVIEW OF TECHNICAL STUDIES
QK and outside technical specialists contracted with QK will peer review the drafts of the Technical Studies to confirm adequacy and defensibility of the analysis and recommended mitigation measures, if applicable. Comments will be provided either as a separate memo or within the PDF of the study. This will include reviews of the following:

Air Quality/Greenhouse Gas/Energy Analysis, Health Risk Assessment A QK air quality engineer will peer review and provide comments on the Air Quality (AQ), Greenhouse Gas (GHG), Energy Analysis, and Health Risk Assessment (HRA) prepared for the project. If there are questions regarding assumptions or analysis, QK will coordinate with the City to discuss with the study’s preparer to resolve.

Biological Resources Analysis
A peer review of the Biological Resources Analysis (BRA) will be conducted by a qualified QK biologist. If there are questions regarding assumptions or analysis, QK will coordinate with the City to discuss with the study’s preparer to resolve.

Cultural/Tribal Resources Analysis
A peer review of the Cultural/Tribal Resources Analysis will be conducted by a qualified QK archaeologist. If there are questions regarding assumptions or analysis, QK will coordinate with the City to discuss with the study’s preparer to resolve.

Traffic Impact Analysis/Vehicle Miles Traveled Analysis Under contract with QK, Ruettgers and Schuler Civil Engineers will peer review and provide comments on the Traffic Impact Analysis (TIA)/Vehicle Miles Traveled (VTM) study. If there are questions regarding assumptions or analysis, QK will coordinate with the City to discuss with the study’s preparer to resolve.

Noise Assessment
Under contract with QK, Bollard Acoustical Consultants will peer review and provide comments on the Acoustical Study.

If there are questions regarding assumptions or analysis, QK will coordinate with the City to discuss with the study’s preparer to resolve.

SCHEDULE
Comments on the technical studies from the peer reviewers will be completed within three (3) weeks.

FEE ESTIMATE
Tasks 1.0 and 2.0 will be billed on a Fixed Fee (FF) basis.

Task Description Fee Type Fee Amount

1.0 Environmental Impact Report (EIR) FF $29,600

2.0 Peer Review of Technical Studies FF $19,300
Total Fee $48,900
City of Chowchilla On-Call Planning Services – Peer Review of March 28, 2024 Chowchilla Industrial Specific Plan Environmental Impact Report (EIR) (P240178) Page 4 of 4 Notes:

1. Expenses for reproduction, mailing, mileage, etc. are billed separately per our Charge Rate Schedule.

2. Tasks billed by fixed fees will be invoiced monthly based on the percentage of work completed.

3. Additional Services requested in writing and approved by the client will be provided on a time-and-materials basis.

4. The Fee Estimate is good for a period of 90 days from the date of the proposal. After 90 days, the Fee Estimate is subject to change.

EXCLUSIONS AND ASSUMPTIONS
 Any items not identified above are excluded from this proposal.

REPORT TO THE CITY COUNCIL
Item 6.4

CLICK HERE

TO RETURN TO

THE AGENDA
Meeting of: April 9, 2024
AGENDA SECTION: New Business
SUBJECT: Budget Amendment to add License Plate Reader (LPR) Cameras PREPARED BY: Daniel Denny, Police Lieutenant
ATTACHMENTS: Resolution
Quotes from Motorola Solutions

REVIEWED BY
ADMINISTRATOR ☒ REVIEWED BYATTORNEY ☒ REVIEWED BY FINANCE ☒ RECOMMENDATION:

City Staff recommends the City Council approve the resolution providing funds for LPR (License Plate Reader) cameras and the associated yearly subscription fees.

BACKGROUND:

During an incident that occurred in March of 2024 the Police Department recognizes that had we already had an LPR system in place, the results of the system would have provided information directly involved with the incident and provided enough information to identify parties involved. The cameras would/could provide information that lead to a quicker investigation, and enough information to further the investigation as well as possibly lead to arrests. Currently, we are the only law enforcement agency in our county, who does not have LPR’s. Madera County Sheriff’s Office as well as the Madera Police Department, utilize this technology which has assisted them in the investigation of many crimes.

REASON FOR RECOMMENDATION:

License Plate Reader cameras provide instant information to all officer on and/or off duty. These cameras have the ability to take 100’s if not thousands of phots per second with pin point accuracy to read license plates at speeds of up to 75MPH. The information given is not personal and is mainly identifiable.

Strategically placed cameras allow officers to search vehicles by, but not limited to; type, color, model, license plate and make. This information can be used in crimes where suspect utilize vehicle(s) to commit crimes. On top of crime investigation officers will receive real time updates on cars already entered into the system as stolen or vehicles connected to criminal involvement.

FISCAL IMPACT:

The fiscal impact of the cameras and their system is as follows:
$103,920 Initial cost of cameras
$4,000 License fee
$4,250 License fee Commercial Data
$1,120 Shipping Costs
$8,575 Tax
$121,864 – Total
Yearly Impact Fees:
$4,000 – Yearly Camera License Fee = $250 per camera
$4,250 – Yearly Commercial Data Licensing Fee determined by size of department (Optional) $7,300 – Yearly for Verizon service
The City did not competitively bid the cameras because they are part of the City’s standardized camera system.

ALTERNATIVES:

If not approved, we stay at status quo for the department. The price for the competition company Flock, estimated $50-$60,000 a year licensing. With Flock you rent the cameras; with Vigilant we purchase cameras and pay an annual service fee.

ACTIONS FOLLOWING APPROVAL:

The Finance Director or designated staff will post the adjusted budget into the City’s Financial system, allowing for the Chowchilla Police Department to purchase the cameras and Motorola Solutions does free install.

COUNCIL RESOLUTION # -24

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHOWCHILLA, CALIFORNIA

APPROVING A MEASURE N BUDGET AMENDMENT TO PURCHASE LICENSE PLATE

READER CAMERAS
WHEREAS, on April 9, 2024 the Chowchilla City Council was presented with this resolution to approve a Measure N Budget Amendment to purchase License Plate Reader Cameras; and, WHEREAS, authority to increase appropriations within a fund by an amount not to exceed $100,000 shall rest with the City Administrator and Authority to transfer appropriations between funds will be represented by resolutions duly approved by the City Council; and, WHEREAS, the budget transfers between funds and the budget amendment exceeds $100,000 requires City Council approval in order to purchase License Plate Reader cameras; and,
WHEREAS, per Chapter 5, Section IV of the City’s Purchasing Policy, the purchase of the LDR’s may be made without competitive bidding as the cameras are part of the City’s standardized camera system; and,
WHEREAS, the City Council is has met and reviewed the proposed amendments and considered staff’s recommendations.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chowchilla hereby finds, determines and declares the following:

1. The above recitals are true and correct.

2. The Finance Director is authorized to make such revisions to the following accounts:

Increase- 340-2610-5100- $121,864
Increase- 100-2610-7340- $121,864
Increase- 100-2610-6400- $121,864

3. Authorizes the City Administrator or designee to execute all documents necessary to complete this project on behalf of the City of Chowchilla.

4. This resolution is effective immediately upon adoption.

PASSED AND ADOPTED by the City Council of the City of Chowchilla this 9th day of April, 2024 by the following vote to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

Mayor Kelly Smith
ATTEST:

Joann McClendon, CMC
City Clerk
Vigilant Solutions, LLC
P.O Box 841001
Dallas, Texas 75202
(P) 925-398-2079 (F) 925-398-2113
Issued To: Chowchilla Police Department - Attention: Lt. Daniel Denny Date: 03-26-24 Project Name: 16x L6Q Quote + IDP Quote ID: PWV-0395-06

PROJECT QUOTATION
We at Vigilant Solutions, LLC are pleased to quote the following systems for the above referenced project:

L6Q Hardware
Qty Item # Description
(16) VSF-L6Q-S-KIT
More Info
L6Q Quick Deploy Camera (Solar Kit)
Offer Includes:
● One (1) L6Q camera with two (2) Lex-11 high capacity internal batteries ● Solar Kit (45W solar panel, dual battery mounting bracket, charge controller, two(2)12 Ah batteries, Cable with M12 power connector)
● L6Q Solar Battery Charge Cable
● Camera mounting bracket
● USB-C cable and USB-C to USB-A adapter, Micro SD card ● Requirements
o Hosted LPR account for data storage, alerting, analytics and more o Enterprise Service Agreement
Optional, Sold Separately:
● 12VDC Power Pigtail
● 120V AC power supply
● Excludes Cellular Data Service
Subtotal Price $103,920.00

Software and Licensing
Qty Item # Description
(1) VS-LEARN--H Vigilant Hosted/Managed Centralized LPR server via LEARN ● Vigilant hosted/managed LEARN account
o Central repository for all LPR data acquired by each LPR system ● Includes Vigilant's suite of LPR data analytics via online web access o Automated CarDetector software update management
o Plate searching, mapping, data mining utilities
o Stakeout, Associate Analysis and Locate Analysis
o Full administrative security with management auditing ● Plug-N-Play an unlimited number of CarDetector LPR systems o Requires NO server hardware, NO server maintenance
● Requires Vigilant Enterprise Service Agreement contract Subtotal Price $0.00
(1) VSBSCSVC-L6Q Vigilant L6Q Service Package for Hosted/Managed LPR Deployments ● Vigilant L6Q Service Package for Hosted/Managed LPR Deployments Subtotal Price $4,000.00
Start-Up/Install
Qty Item # Description
(1) NSAPROMO L6Q NSA PROMO
Subtotal Price $0.00
(16) NSA-L6Q-INSTALLEPOLEL6Q Install on Existing Pole
● L6Q Installation Services for a pre existing pole
● Includes L6Q System Startup and Commissioning
Subtotal Price $8,800.00
(16) L6Q Promo -
Installation
For a limited time, with the purchase of 5 or more quick-deploy L6Q cameras, you’ll receive complimentary expert installation and one free pole (optional) to optimize the performance of your new system.
● Must purchase 5 or more L6Q quick-deploy cameras by June 30, 2024. ● Permitting and engineering drawings are not included; may incur additional cost Subtotal Price -$8,800.00

Shipping
Qty Item # Description
(16) VS-SHP-02 Vigilant Shipping Charges - Fixed or Comms ● Applies to each fixed camera LPR System
● Or Communication Box Purchased without LPR System
● Shipping Method is FOB Shipping
Subtotal Price $1,120.00
IDP - Commercial Data
Qty Item # Description
(1) VS-IDP-01B Investigative Data Platform - Annual Subscription for up to 25 Sworn - State and Local
● Commercial LPR Data access - For up to 25 Sworn
o Access to all Vigilant commercially acquired national vehicle location data o Unlimited use by authorized agency personnel to complete suite of LEARN data analytics
o Includes full use of hosted/managed LPR server account via LEARN ● ComparisonManager with public mugshot gallery Access For up to 25 Sworn o Access to all agency/shared images and public mugshot gallery o Unlimited use by authorized agency personnel to all ComparisonManager tools o Image gallery of up to 5,000 images
Subtotal Price $4,250.00
Quote Notes:

1. This Quote will expire in 90 Days from the date of the Quote.

2. All hardware components to have standard One (1) year hardware warranty.

3. All software to have standard one (1) year warranty for manufacturer defects.

4. This Quote is provided per our conversation & details given by you - not in accordance to any written specification.

5. This Quote does not include anything outside the above stated bill of materials.

6. This purchase does not include a SIM for cellular service

7. MSI's Master Customer Agreement: https://www.motorolasolutions.com/en_us/about/legal.html (and all applicable addenda) shall govern the products & services and is incorporated herein by this reference. Any free services provided under this offer are provided AS IS with no express or implied warranty Quoted by: Pavel Warzecha - Mobile Video ITS - 312-515-3418 - [email protected] Subtotal Price $122,090.00
Total Discount $8,800.00
Sales Tax $8,573.40
Total Price $121,863.40

Contract Terms Acknowledgement
This Contract Terms Acknowledgement (this “Acknowledgement”) is entered into between Vigilant Solutions, LLC, a Delaware corporation (“Vigilant”) and the entity set forth in the signature block below (“Customer”). Vigilant and Customer will each be referred to herein as a “Party” and collectively as the “Parties”.

1. Contract Terms Acknowledgement. Customer acknowledges that they have received Statements of Work that describe the services provided on this Agreement. Parties acknowledge and agree that the terms of the Master Customer Agreement (“MCA”), including all applicable Addenda, shall apply to the Services set forth in the accompanying Ordering Document. Vigilant's Terms and Conditions, available at https://www.motorolasolutions.com/en_us/about/legal.html, including the Master Customer Agreement, is incorporated herein by this reference. By signing the signature block below, Customer certifies that it has read and agrees to the provisions set forth in this Acknowledgement and the signatory to this Acknowledgement represents and warrants that he or she has the requisite authority to bind Customer to this Acknowledgement.

2. Entire Agreement. This Acknowledgement, including the accompanying Ordering Document, supplements the terms of the MCA, applicable Addenda, and Ordering Documents entered between the Parties and forms a part of the Parties’ Agreement.

3. Disputes; Governing Law. Sections 12 – Disputes of the MCA is hereby incorporated into this Acknowledgement mutatis mutandis.

4. Execution and Amendments. This Acknowledgement may be executed in multiple counterparts and will have the same legal force and effect as if the Parties had executed it as a single document. The Parties may sign in writing or by electronic signature. An electronic signature, facsimile copy, or computer image of a signature will be treated, and will have the same effect as an original signature, and will have the same effect, as an original signed copy of this document.

This Acknowledgement may be amended or modified only by a written instrument signed by authorized representatives of both Parties.

The Parties hereby enter into this Acknowledgement as of the last signature date below.

Customer: ______________________________
Signature: ______________________________
Name: ______________________________
Title: ______________________________
Email: ______________________________
Date: ______________________________

REPORT TO THE CITY COUNCIL
Item 6.5

CLICK HERE

TO RETURN TO

THE AGENDA
Meeting of: March 9, 2024
AGENDA SECTION: New Business
SUBJECT: A Resolution Approving a Memorandum of Agreement for Fire and Emergency Services and a Site and Use Agreement, between the City of Chowchilla and the Chowchilla Volunteer Fire Department Inc., a California Nonprofit Corporation
PREPARED BY: Fred Gaumnitz, Fire Chief
ATTACHMENTS: Resolution, Memorandum of Agreement for Fire and Emergency Services, Site and Use Agreement

REVIEWED BY
ADMINISTRATOR ☒ REVIEWED BYATTORNEY ☒ REVIEWED BY FINANCE ☒ RECOMMENDATION:

City Council adopt a resolution approving a Memorandum of Agreement for Fire and Emergency Services and a Site and Use Agreement, between the City of Chowchilla and the Chowchilla Volunteer Fire Department Inc., a California Nonprofit Corporation.

BACKGROUND:

The City of Chowchilla has had the Chowchilla Volunteer Fire Department provide Fire Services to the City of Chowchilla from the time the City was incorporated to present day. The whole Department was volunteer up until Harry Turner was made full time Fire Chief. Today we have two full time employees, one Fire Chief and one Fire Inspector. The rest of the Fire Department is made up of dedicated volunteers.

REASON FOR RECOMMENDATION:

As the City of Chowchilla and the Fire Department continue to grow, it has become apparent that the relationship between the City and the Volunteer Association has never been official and legal has suggested that in today’s litigious society a Memorandum of Agreement is a must to protect all parties.

FISCAL IMPACT:

The current Council approved budget already accounts for the current needs of the Fire Department and the Volunteer Association.

ACTIONS FOLLOWING APPROVAL:

Upon approval, authorize City Administrator and or Designee to execute necessary documents for both the Memorandum of Agreement for Fire and Emergency Services as well as the Site and Use Agreement.

COUNCIL RESOLUTION # -24

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHOWCHILLA, CALIFORNIA

APPROVING A MEMORANDUM OF AGREEMENT FOR FIRE AND EMERGENCY SERVICES AND A

SITE AND USE AGREEMENT BETWEEN THE CITY OF CHOWCHILLA AND THE CHOWCHILLA VOLUNTEER FIRE DEPARTMENT INC., A CALIFORNIA NONPROFIT CORPORATION WHEREAS, City desires to enter into a Memorandum of Agreement with the Chowchilla Volunteer Fire Department Inc., a California Nonprofit Corporation (“Association”) for the performance of fire and emergency services within the City; and
WHEREAS, the Association has and/or will be provided with City assigned equipment required to provide such services to the City to the extent that resources are available and the Association is willing and able to render such services as directed by the City on the terms and conditions set forth herein; and WHEREAS, the Association is a volunteer fire company organized pursuant to the laws of the State of California Health and Safety Code Section 14825, with a Certificate of Compliance filed annually with the Madera County Fire and Rescue Operational Area Coordinator and City Council, and WHEREAS, the City desires to enter into a Site and Use Agreement with Association for use of the City’s fire station facilities and related fire equipment.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chowchilla hereby finds, determines and declares the following:

1. The above recitals are true and correct.

2. Authorizes the City Administrator or designee to execute necessary documents for both the Memorandum of Agreement for Fire and Emergency Services as well as the Site and Use Agreement.

3. This resolution is effective immediately upon adoption.

PASSED AND ADOPTED by the City Council of the City of Chowchilla this 9th day of April, 2024 by the following vote to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

Mayor Kelly Smith
ATTEST:

Joann McClendon, CMC
City Clerk

REPORT TO THE CITY COUNCIL
Item 6.6

CLICK HERE

TO RETURN TO

THE AGENDA
Meeting of: April 9, 2024
AGENDA SECTION: New Business
SUBJECT: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHOWCHILLA

AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA

STATE DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT FOR

FUNDING UNDER THE HOME INVESTMENT PARTNERSHIPS PROGRAM
APPROVED BY: Mark Hamilton, Director of Community & Economic Development ATTACHMENTS: Resolution

REVIEWED BY
ADMINISTRATOR ☒ REVIEWED BYATTORNEY ☒ REVIEWED BY FINANCE ☒ RECOMMENDATION:

Staff recommends that the City Council of the City of Chowchilla (“City Council”) adopt a resolution authorizing the City of Chowchilla to apply to the State of California Department of Housing and Community Development for HOME Investment Partnerships Program (“HOME”) funds not to exceed $12,150,000 to provide project financing which will be used to construct the Maple Meadows II project, an 80-unit rental project, located in the city of Chowchilla on the northeast corner of Washington Road and Maple Street.

BACKGROUND:

The State of California Department of Housing and Community Development issued a Notice of Funding on January 19, 2024 announcing the availability of funds under the HOME program. The City of Chowchilla would be the applicant and Self-Help Enterprises would be the sponsor/developer, and HOME funds would contribute to the construction of the Maple Meadows II Project, an 80-unit affordable rental community in the City of Chowchilla.

The Maple Meadows II project is aimed at providing high-quality, affordable housing for low-income families in the Chowchilla area targeting individuals and families under 60% of area median income (AMI).

The community will include one-, two- and three-bedroom units and will provide intergenerational living while creating housing opportunities for seniors, young professionals and large families. The HOME loan amount would be up to $12,000,000 with an additional $150,000 to the City of Chowchilla for administrative costs. The HOME loan offers a loan interest rate of 3% with a term of 55 years from the date of the recordation of the Notice of Completion for the project.

REASON FOR RECOMMENDATION:

The Maple Meadows II project is aimed at providing high-quality, affordable housing for low-income families in the Chowchilla area targeting individuals and families under 60% of area median income (AMI).

The community will include one-, two- and three-bedroom units and will provide intergenerational living while creating housing opportunities for seniors, young professionals and large families. The HOME loan amount would be up to $12,000,000 with an additional $150,000 to the City of Chowchilla for administrative costs. The HOME loan offers a loan interest rate of 3% with a term of 55 years from the date of the recordation of the Notice of Completion for the project.

FISCAL IMPACT:

Self-Help Enterprises will complete the HOME application and all necessary due diligence at no cost to the City. If no award is given, then there is no additional obligation to the City. If the HOME funds are awarded the City would receive $150,000 in activity delivery money. These funds would help offset any staff time used to complete annual reports and general contract management. The City’s oversight commitments would be minimal, mostly booking yearly accrued interest to the soft loan, since the project will be income certified and monitored through the tax credit program. SHE will provide all the information needed for reporting purposes.

ALTERNATIVES:

City Council may choose to not submit the application.

ACTIONS FOLLOWING APPROVAL:

Self-Help Enterprises would submit the applicant on the City’s behalf.

COUNCIL RESOLUTION # -24

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHOWCHILLA, CALIFORNIA

AUTHORIZING THE SUBMITTAL OF AN APPLICATION TO THE CALIFORNIA STATE

DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT FOR FUNDING UNDER THE

HOME INVESTMENT PARTNERSHIPS PROGRAM
WHEREAS, the City of Chowchilla, a political subdivision of the state of California (hereinafter the “City”), wishes to apply for and receive an allocation of funds through the 2022-2023 HOME Investment Partnerships Program;
WHEREAS, the California Department of Housing and Community Development (the “Department”) is authorized to allocate HOME funds made available from the U.S. Department of Housing and Urban Development (“HUD”). HOME funds are to be used for the purposes set forth in Title II of the CranstonGonzalez National Affordable Housing Act of 1990, in federal implementing regulations set forth in Title 24 of the Code of Federal Regulations, part 92, and in Title 25 of the California Code of Regulations commencing with section 8200;
WHEREAS, on January 19, 2024, the Department issued a Notice of Funding Availability announcing the availability of funds under the HOME program (the “NOFA”); and, WHEREAS, in response to the 2022-2023 HOME NOFA, the city of Chowchilla a local government entity (the “Applicant”) wished to apply to the Department for, and receive an allocation of, HOME funds.

NOW THEREFORE BE IT RESOLVED THAT in response to the 2022-2023 HOME NOFA, the Applicant shall submit an application to the Department to participate in the HOME program and for an allocation of funds not to exceed Twelve Million One Hundred and Fifty Thousand Dollars ($12,150,000) for the following activities and/or programs:
• The construction of Maple Meadows II project, an 80-unit rental project to be located at the northeastern corner of Washington Road and Maple Street. • If the application for funding is approved, then the Applicant hereby agrees to use the HOME funds eligible activities in the manner presented in its application as approved by the Department in accordance with the statutes and regulations cited above. The Applicant may also execute a standard agreement, any amendments thereto, and other related documents or instruments necessary or required to participate in the HOME Program (collectively, the required documents).
• The applicant authorizes the City Administrator or their designee(s), to execute in the name of the City of Chowchilla, the required documents.

PASSED AND ADOPTED by the City Council of the City of Chowchilla this 9th day of April, 2024 by the following vote to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

Mayor Kelly Smith
ATTEST:

Joann McClendon, CMC
City Clerk