AGENDA
City Council Meeting Council Chamber, Chowchilla City Hall 130 S. 2nd Street, Chowchilla, CA 93610
Tuesday, October 22, 2024
Closed Session: 3:00 p.m. | Open Session: 4:00 p.m.
Agendas for all City Council meetings are posted at least 72 hours prior to the meeting in the kiosk just outside of City Hall, 130 S. Second St., Chowchilla, CA 93610.
The City of Chowchilla complies with the Americans with Disabilities Act (ADA of 1990). The Council Chambers is accessible to the physically disabled. If you need special assistance, please call (559) 665- 8615, ext. 102 at least 4 days prior to a regular meeting, 1 day for a special meeting.
California Levine Act Statement:
California Government Code Section 84308, commonly referred to as the "Levine Act," prohibits any Chowchilla City Council Member from participating in any action related to a license, permit, contract or entitlement for use application if he or she receives any political contributions totaling more than $250 within the previous twelve months, and for twelve months following the date of a final decision, from the business/board or applicant.
The Levine Act also requires a member of the Chowchilla City Council who has received such a contribution to disclose the contribution on the record of the proceeding.
CALL TO ORDER/ROLL CALL
Mayor: Kelly Smith
Mayor Pro Tem: Waseem Ahmed
Council Members: Ray Barragan, John Chavez, Jeff Troost City staff and contract employees present will be recorded in the minutes.
CONSIDERATION OF APPROVAL OF AGENDA
Additions and/or Deletions:
PUBLIC ADDRESS – CLOSED SESSION
This time is reserved for members of the audience to address the City Council on items listed on the Closed Session agenda only. It is recommended that speakers limit their comments to no more than 3 minutes each.
CLOSED SESSION – 3:00 PM
1. PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Pursuant to Government Code Section 54957
Title: City Administrator
OPEN SESSION – 4:00 PM
CLOSED SESSION REPORT:
PLEDGE OF ALLEGIANCE
INVOCATION:
City Council Meeting AGENDA October 22, 2024
PRESENTATIONS/WORKSHOP - Section 1
PUBLIC ADDRESS
This time is reserved for members of the audience to address the City Council on items of interest that are not on the agenda and that are within the subject matter jurisdiction of the Council.
It is recommended that speakers limit their comments to no more than 3 minutes each and it is requested that no comments be made during this period on items on the Agenda. Speakers are not allowed to cede their public comment time.
Members of the public who are joining the meeting via Zoom and would like to address the Council on items on the agenda should follow the policy on page 4 of this agenda packet.
The Council is prohibited by law from taking any action on matters discussed that are not on the agenda.
No adverse conclusions should be drawn if the Council does not respond to public comment at this time.
COUNCIL AND STAFF VERBAL REPORTS – Section 2
2.1 COUNCIL VERBAL REPORTS
Legislative, Collaborative Agency, Ad Hoc
2.2 STAFF VERBAL REPORTS
CONSENT CALENDAR – Section 3
All items listed under Consent Calendar are considered to be routine and will be enacted by one motion. For discussion of any Consent Item, it will be made a part of the Regular Agenda at the request of any member of the City Council or any person in the audience.
3.1 Approval of the October 8, 2024 City Council Meeting Minutes (McClendon)
3.2 Consideration and Acceptance of the September 2024 Financial Report (Williams)
3.3 Consideration and Adoption of a City Council Resolution Adopting the Revised Transit Services Drug and Alcohol Testing Policy (McClendon)
3.4 Consideration of the Quarterly Financial Investment Report, 3rd Quarter (Williams) PUBLIC HEARINGS – Section 4
DEFERRED BUSINESS – Section 5
NEW BUSINESS – Section 6
ANNOUNCEMENTS – Section 7
OCT 26 HALLOWEEN TREAT TRAIL, VETERANS MEMORIAL PARK, 6PM NOV 5 ELECTION DAY, COUNCIL CHAMBER, 7AM – 8PM
(4-DAY VOTE CENTER OPEN NOVEMBER 2-4, 8AM – 5PM)
NOV 11 VETERANS DAY, CITY OFFICES CLOSED
VFW VETERANS DAY CEREMONY, VETERANS MEMORIAL PARK, 11AM NOV 12 CITY COUNCIL MEETING, COUNCIL CHAMBER, 4PM
City Council Meeting AGENDA October 22, 2024
ADJOURNMENT
I, Joann McClendon, CMC, City Clerk, do hereby declare under penalty of perjury that the foregoing agenda was posted at Chowchilla City Hall, 130 S 2nd Street, Chowchilla, CA and made available for public review on this 17th day of October, 2024 at or before 5:00pm.
Joann McClendon, CMC, City Clerk
October 22, 2024 City Council Meeting – 3pm
ZOOM LOGIN INSTRUCTIONS
Use the following URL to start Zoom:
https://us06web.zoom.us/j/83859961655?pwd=hW0TEa5l9LjStrfata3tGU5KkdUAJ4.1 Passcode: 877 193
To participate by phone:
Dial 1-669-444-9171
Webinar ID: 838 5996 1655
Passcode: 877 193
Staff highly recommends that participants log into Zoom 15 minutes before the meeting begins to perform an audio check and ensure they have an optimal internet connection.
Options to participate / view / listen to the meeting:
• If you wish to speak on an item using the Zoom platform on your computer/laptop or smartphone, please use the “raise hand” icon, and you will be unmuted when it is your turn to speak. Please provide your name when unmuted. You can address the Council for up to 3 minutes. • If you are calling into the meeting only (no camera/video) and wish to comment, press *9 to “raise your hand” and *6 to unmute yourself.
Item 3.1
CLICK HERE
TO RETURN TO
THE AGENDA
MINUTES
City Council Meeting
Council Chamber, Chowchilla City Hall
130 S. 2nd Street, Chowchilla, CA 93610
Tuesday, October 8, 2024
Open Session: 4:00 p.m.
CALL TO ORDER/ROLL CALL
Mayor: Kelly Smith
Mayor Pro Tem: Waseem Ahmed
Council Members: Ray Barragan, John Chavez, Jeff Troost City staff and contract employees present: City Administrator Rod Pruett, City Attorney Mary Lerner, Police Chief Jeff Palmer, Fire Chief Fred Gaumnitz, Public Works Director Jason Rogers, Deputy Director of Recreation & Community Engagement Stacy Wisener, Finance Director Kerri Williams, IT System Administrator Kurt Wlodarczyk, City Clerk Joann McClendon
CONSIDERATION OF APPROVAL OF AGENDA
Additions and/or Deletions: None.
OPEN SESSION – 4:05 PM
PLEDGE OF ALLEGIANCE
INVOCATION: Pastor Pruitt
PRESENTATIONS/WORKSHOP - Section 1
1.1 Proclamation: Domestic Violence Awareness Month
PUBLIC ADDRESS
Alejandra Velasquez, Dulce Velasquez of VIVA, Voices Inspiring Valley Action, awarded grant to educate Chowchilla residents on the dangers of tobacco and second hand smoke.
Vanesa Barraza Esmeralda Soria’s field representative introduced herself to the council, noting that 2025 legislative proposals are now being accepted and to contact her with any proposals the council may have. She also expressed interest in setting up a mobile office in Chowchilla.
Kyle Savage, Congressman John Duarte’s field representative, announced that Congressman Duarte co-sponsored HR9531 Farm to Market Road bill and continued with explaining what the bill entails.
Dale Thomas addressed the Council, stated he appreciated the veteran street sign recognition program that Deputy Director Wisener introduced at the last meeting. He noted that 2026 will mark the 80th anniversary of Chowchilla’s Spring Festival. It was a welcoming home parade for returning military veterans put on by farmers and ranchers and service clubs and would usually take place on Armed Forces Day.
COUNCIL AND STAFF VERBAL REPORTS – Section 2
City Council Meeting MINUTES October 8, 2024
2.1 COUNCIL VERBAL REPORTS
Legislative, Collaborative Agency, Ad Hoc
Council Member Chavez attended the League of California Cities Central Valley Division dinner, and an event at the catholic church.
Council Member Troost also attended the League of California Cities Central Valley Division dinner.
Council Member Barragan went to a luncheon on Saturday at the downtown park.
Mayor Pro Tem Ahmed attended a MCEDC meeting where they are in the process of selecting a new Executive Director. He also attended the League of California Cities Central Valley Division dinner.
Mayor Smith participated in the community task force meeting (they meet on the first Tuesday of every month). He received an email regarding the homeless and he let the person know that there will be class offered to become a certified mental health first responder in December.
Madera County is giving out free PPE to dairy farmers to fight against the bird flu.
2.2 STAFF VERBAL REPORTS
Deputy Director of Recreation & Community Engagement Wisener interviews Monday. She is on the committee for the Madera County Local Aging & Disability Action Plan of which they had an unmet needs meeting for seniors at the Senior Center to assess their needs. She also attended the Chowchilla Task Force meeting and encourages people to attend it.
Police Chief Palmer went over stats from the last 2 weeks. He noted that the homeless are contacted twice a week by the County, at least once a week by our police officers, and with each and every contact they are provided with/offered services with Madera County and whether they accept them or not is up to them.
Fire Chief Gaumnitz October is breast cancer awareness month, and the Volunteer Fire Department is selling special t-shirts where all proceeds will go to someone battling breast cancer and in need. They are currently in the middle of fire prevention week. In September there were 82 calls and over 300 responses from volunteers.
Public Works Director Rogers was able to attend the Association of CA Airports conference last week. He was able to meet with FAA representatives regarding potential funding needs of the airport and attend industry update sessions. He attended a meeting with Race Communications with the City Administrator and other city staff. They are planning on bringing fiber optic cable to Chowchilla. They wanted to meet with staff to discuss right-of-ways and city needs. Last week, City staff completed the fencing around the Pickleball Courts. Starting Monday, our arborist will begin our annual palm tree trimming along Robertson Blvd.
City Administrator Pruett updated the council on the Community & Economic Development Director position, it is in its final review with a second interview scheduled for later this week; he also attended the Chowchilla Community Task Force meeting; he and Public Works staff have been communicating with AutoZone group with some issues they’ve been having trying to get power underneath the railroad, contacted the railroad representative to help push this process along; continuing to work with Caltrans and Rancho Calera on their access road; he also attended the League of California Cities Central Valley Division dinner. A follow-up from the last city council meeting, he has met with the gentleman from the church who addressed the council regarding the goats they have and the community garden project he would like to start, among other things. He also spoke with Annalisa about having an ad hoc meeting regarding the City Council Meeting MINUTES October 8, 2024
downtown appearance, having a unifying paint pallet theme. Also, along with staff, visiting Ed Ray Park due to recent complaints. All of the complaints are in fact related to the current construction project. There is an unused area in the park to continue the fencing from the pickle ball court to create an area for a possible dog park. He addressed the volleyball net vandalism issue, may try to provide the nets again. Also, there is an issue with people parking their vehicles on the park grass, unauthorized areas that needs to stop.
CONSENT CALENDAR – Section 3
3.1 Approval of the September 24, 2024 City Council Meeting Minutes (McClendon)
3.2 Consideration and Acceptance of the September 2024 Check Register Report (Williams)
Motion by Mayor Pro Tem Ahmed, Seconded by Council Member Troost to Approve the Consent Calendar as Presented. Motion passed by roll call vote.
PUBLIC HEARINGS – Section 4
4.1 Consideration and Adoption of a City Council Resolution (55-24) Approving the Measure T Annual Expenditure Plan (AEP) for Fiscal Year (FY) 2024/25 and Authorizing the Public Works Director or Designee to Submit the Plan to the Madera County Transportation Authority (MCTA) for Adoption (Rogers) Mayor Smith opened the public hearing at 4:36 pm. No one came forward for or against the item.
Mayor Smith closed the public hearing at 4:36 p.m.
Motion by Mayor Pro Tem Ahmed, Seconded by Council Member Troost to Approve City Council Resolution #55-24, Approving the Measure T Annual Expenditure Plan (AEP) for Fiscal Year (FY) 2024/25 and Authorizing the Public Works Director or Designee to Submit the Plan to the Madera County Transportation Authority (MCTA) for Adoption. Motion passed by roll call vote.
DEFERRED BUSINESS – Section 5
5.1 Discussion and/or Direction of the City of Chowchilla’s Former Library and Future Use of the Facility (Rogers)
Spoke:
Chris Thomas
Dale Thomas
It was the consensus of the city council to bring the MOU back to council to decide whether or not to amend it.
NEW BUSINESS – Section 6
6.1 Consideration and Adoption of a City Council Resolution (56-24) to Extend the Annual Public Review Period for Expenditures Related to Measure T to 30 Days (Rogers) Spoke:
Kendall Flint
Motion by Council Member Troost, Seconded by Mayor Pro Tem Ahmed to Approve City Council Resolution #56-24, to Extend the Annual Public Review Period for Expenditures Related to Measure T to 30 Days. Motion passed by roll call vote.
City Council Meeting MINUTES October 8, 2024
ANNOUNCEMENTS – Section 7
OCT 16 PLANNING COMMISSION MEETING, CITY HALL, 5PM
OCT 19 TRINITY PREGNANCY RESOURCE CENTER ANNUAL BANQUET, CORNERSTONE CHURCH, 5:30PM
OCT 26 HALLOWEEN TREAT TRAIL, VETERANS MEMORIAL PARK, 6PM
ADJOURNMENT
Mayor Smith Adjourned the October 8, 2024 City Council Meeting at 4:57 p.m.
ATTEST: APPROVED:
Joann McClendon, CMC, City Clerk Mayor Kelly Smith
REPORT TO THE CITY COUNCIL
Item 3.2
CLICK HERE
TO RETURN TO
THE AGENDA
Meeting of: October 22, 2024
AGENDA SECTION: Consent
SUBJECT: Consideration of Monthly Financial Statements
PREPARED BY: Kerri Williams, Finance Director
ATTACHMENTS: September 2024 Budget vs Actual and Balance Sheet
REVIEWED BY
ADMINISTRATOR ☒ REVIEWED BYATTORNEY ☒ REVIEWED BY FINANCE ☒ RECOMMENDATION:
Approve the September 2024 Financial Statements shown in the attachment.
BACKGROUND:
Staff provides Council with monthly financial information as an ongoing financial status update.
REASON FOR RECOMMENDATION:
The monthly financial statements consist of a Budget vs Actual and a Balance Sheet for the General Fund. The Budget vs Actual shows the current Month (Period Activity) and current Year (Fiscal Activity) Revenues and Expenses by Department in summary form compared to the current year Original and Current budgets. The Balance Sheet shows the Assets, Liabilities and Fund Balance at the time the report is generated. This provides an overview of cash, amounts owed to the City, amounts the City owes and the fund balance at a specific point in time.
The financial statements are being presented as an overview of the City’s finances and are not meant to be a comprehensive in-depth review. As a reference to compare to the percent remaining column in the report, the percentage of the year remaining 75%.
If the percent remaining column for Revenues is higher than the above-mentioned percentage, that is an unfavorable variance and should be explained if significant. If the percent remaining column for Expenses is lower than the above-mentioned percentage, that is an unfavorable variance and should be explained if significant.
If there are questions regarding the actual amounts or budget vs actual variances, please forward your questions to me in enough time before the meeting for staff to research them FISCAL IMPACT: Revenues
General Administration- Property tax and VLF, which are 2 of our biggest revenues, are only received 2 times a year in February and May, we have yet to receive a distribution. We are teetered which means we do not have to worry about delinquencies, because the County pays us and goes after the delinquencies themselves. Sales tax payments run a couple months behind and we have yet to receive August’s payment. Sales tax is our 2nd largest revenue.
Police Department- Budgeted revenue is from school reimbursements for SRO service, which we have not received as of September 30, 2024. Also, it has $1.3M Transfer-in from Measure N for the RIMS Software, recruitment and retention of employees, communications upgrade, recording system, and fleet/upfitting costs.
Fire Department- This revenue is for fines/penalties and fire inspection fees which is completed throughout the year.
Community & Economic Development- This will fluctuate as building permits are pulled. We budgeted for the following projects like Rancho Calera, Solar Permits, 2 commercial facilities and various other projects within the City. So far, we have Self Help building their part of the Montgomery Farms lots. We still have other miscellaneous permits for other items that are happening as well. This also includes $23k of REAP 1.0 Funding.
Parks and Facilities- $31k of this is from a grant that we have not requested reimbursements for as the project is just now finishing up. There is a transfer in of $88k from DIF Fees to cover the Pickleball court.
The rest is overhead allocations from the LLMD that happen at the end of the year.
Community Relations- Revenues are from sports program reimbursements, park pavilion rentals and donations.
Expenses
General Services- Budgeted Expenses are more than usual as of right now due to the POB Transfer out.
Community Relations- Budgeted Expenses are more than usual as of right now due to the purchase of Archive Social Subscription.
ALTERNATIVES:
Pull the item for further discussion.
ACTIONS FOLLOWING APPROVAL:
None.
10/14/2024 8:27:34 AM Page 1 of 3
Budget Report
Chowchilla, CA Group Summary
For Fiscal: 2024-2025 Period Ending: 09/30/2024
Fiscal
Activity
Variance
Favorable
(Unfavorable)
Period
Activity Account Typ…
Current
Total Budget
Original
Total Budget
Percent
Remaining
Dept: 1600 - General Administration
Revenue 10,268,367.00 10,268,367.00 259,867.89 333,454.27 -9,934,912.73 96.75% Expense 292,415.00 292,415.00 24.56 1,219.52 291,195.48 99.58% Dept: 1600 - General Administration Surplus (Deficit): 9,975,952.00 9,975,952.00 259,843.33 332,234.75 -9,643,717.25 96.67% Dept: 1605 - City Council
Revenue 1,775.00 1,775.00 284.40 995.40 -779.60 43.92%
Expense 104,452.00 106,468.00 2,497.14 12,247.94 94,220.06 88.50% Dept: 1605 - City Council Surplus (Deficit): -102,677.00 -104,693.00 -2,212.74 -11,252.54 93,440.46 89.25% Dept: 1610 - City Clerk
Revenue 0.00 81.78 81.78 81.78 0.00 0.00%
Expense 347,984.00 347,984.00 18,725.58 71,383.29 276,600.71 79.49% Dept: 1610 - City Clerk Surplus (Deficit): -347,984.00 -347,902.22 -18,643.80 -71,301.51 276,600.71 79.51% Dept: 1615 - City Attorney
Expense 300,000.00 336,000.00 54,302.78 90,302.78 245,697.22 73.12% Dept: 1615 - City Attorney Total: 300,000.00 336,000.00 54,302.78 90,302.78 245,697.22 73.12% Dept: 1705 - General Services
Revenue 0.00 217.98 217.98 217.98 0.00 0.00%
Expense 2,068,037.00 2,068,037.00 57,521.60 697,917.62 1,370,119.38 66.25% Dept: 1705 - General Services Surplus (Deficit): -2,068,037.00 -2,067,819.02 -57,303.62 -697,699.64 1,370,119.38 66.26% Dept: 1710 - City Administration
Revenue 0.00 81.78 81.78 81.78 0.00 0.00%
Expense 456,792.00 456,792.00 27,828.64 89,951.59 366,840.41 80.31% Dept: 1710 - City Administration Surplus (Deficit): -456,792.00 -456,710.22 -27,746.86 -89,869.81 366,840.41 80.32% Dept: 1712 - City Property - Rents
Revenue 165,262.00 165,262.00 30,626.45 60,655.35 -104,606.65 63.30% Expense 53,395.00 53,395.00 5,841.29 21,127.94 32,267.06 60.43% Dept: 1712 - City Property - Rents Surplus (Deficit): 111,867.00 111,867.00 24,785.16 39,527.41 -72,339.59 64.67% Dept: 1720 - Finance Department
Revenue 19,348.00 19,724.00 1,275.90 2,651.65 -17,072.35 86.56% Expense 918,252.00 918,252.00 56,496.95 208,507.74 709,744.26 77.29% Dept: 1720 - Finance Department Surplus (Deficit): -898,904.00 -898,528.00 -55,221.05 -205,856.09 692,671.91 77.09% Dept: 2610 - Police Department
Revenue 1,691,430.00 1,695,859.81 14,880.12 25,478.16 -1,670,381.65 98.50% Expense 6,063,553.00 6,095,553.00 357,305.20 1,481,446.87 4,614,106.13 75.70% Dept: 2610 - Police Department Surplus (Deficit): -4,372,123.00 -4,399,693.19 -342,425.08 -1,455,968.71 2,943,724.48 66.91% Dept: 2705 - Fire Department
Revenue 5,500.00 5,549.04 49.04 1,118.24 -4,430.80 79.85% Expense 393,380.00 393,380.00 29,429.83 82,772.16 310,607.84 78.96% Dept: 2705 - Fire Department Surplus (Deficit): -387,880.00 -387,830.96 -29,380.79 -81,653.92 306,177.04 78.95% Dept: 4705 - Community & Economic Development
Revenue 590,804.00 591,021.98 44,439.75 162,639.53 -428,382.45 72.48% Expense 1,173,295.00 1,173,295.00 65,938.00 248,978.09 924,316.91 78.78% Dept: 4705 - Community & Economic Development Surplus (Deficit): -582,491.00 -582,273.02 -21,498.25 -86,338.56 495,934.46 85.17% Dept: 6610 - Community Pool (OLD)
Revenue 1,500.00 1,717.98 217.98 1,610.98 -107.00 6.23% Expense 25,504.00 25,504.00 568.81 8,592.62 16,911.38 66.31% Dept: 6610 - Community Pool (OLD) Surplus (Deficit): -24,004.00 -23,786.02 -350.83 -6,981.64 16,804.38 70.65% Budget Report For Fiscal: 2024-2025 Period Ending: 09/30/2024 10/14/2024 8:27:34 AM Page 2 of 3
Fiscal
Activity
Variance
Favorable
(Unfavorable)
Period
Activity Account Typ…
Current
Total Budget
Original
Total Budget
Percent
Remaining
Dept: 6615 - Senior Services
Expense 43,560.00 43,560.00 1,030.01 3,337.23 40,222.77 92.34% Dept: 6615 - Senior Services Total: 43,560.00 43,560.00 1,030.01 3,337.23 40,222.77 92.34% Dept: 6620 - Parks & Facilities
Revenue 198,847.00 198,961.36 741.23 854.48 -198,106.88 99.57% Expense 885,598.00 885,598.00 48,855.26 170,000.96 715,597.04 80.80% Dept: 6620 - Parks & Facilities Surplus (Deficit): -686,751.00 -686,636.64 -48,114.03 -169,146.48 517,490.16 75.37% Dept: 6625 - Community Relations
Revenue 22,500.00 22,554.58 1,109.58 2,194.58 -20,360.00 90.27% Expense 238,224.00 238,224.00 20,750.45 62,129.24 176,094.76 73.92% Dept: 6625 - Community Relations Surplus (Deficit): -215,724.00 -215,669.42 -19,640.87 -59,934.66 155,734.76 72.21% Report Surplus (Deficit): -399,108.00 -463,282.71 -393,242.22 -2,657,881.41 -2,194,598.70 -473.71% Budget Report For Fiscal: 2024-2025 Period Ending: 09/30/2024 10/14/2024 8:27:34 AM Page 3 of 3
Fund Summary
Fiscal
Activity
Variance
Favorable
Fund (Unfavorable)
Period
Activity
Current
Total Budget
Original
Total Budget
100 - General Fund -399,108.00 -463,282.71 -393,242.22 -2,657,881.41 -2,194,598.70 Report Surplus (Deficit): -399,108.00 -463,282.71 -393,242.22 -2,657,881.41 -2,194,598.70 10/14/2024 8:26:01 AM Page 1 of 1
Balance Sheet
Chowchilla, CA Account Summary
As Of 09/30/2024
Account Name Balance
Fund: 100 - General Fund
Assets
100-0100-0201 Petty Cash 500.00
100-0100-0202 Pre-Paid Postage Account 890.05
100-0100-0206 Cash Drawer 1,700.00
100-0100-0219 Lease Receivable 135,233.32
100-0100-0221 A/R - Non Governmental -8,434.44
100-0100-0222 A/R - Intergovernmental 153,980.94
100-0100-0224 A/R MODULE ONLY RECEIVALBLES 175,543.96
100-0100-0225 Accounts Receivable-RDA -24.89
100-0100-0226 Advance to Other Funds 410,031.56
100-0100-0227 Liens Receivables General Fund 146,666.49 100-0100-0228 Pending Charges or Refunds -1.00
100-0100-0291 Prepaid Expenses 13,126.76
100-0100-1900 Claim On Cash 7,582,712.93
Total Assets: 8,611,925.68 8,611,925.68
Liability
100-0200-0425 Use Sale Tax 132.91
100-0200-0480 Deferred Revenue 151,425.73
100-0200-0482 Unavailable Lease Revenue 76,235.22
100-0200-2901 Accounts Payable Pending 133,936.42
Total Liability: 361,730.28
Equity
100-0300-0601 Fund Balance 9,571,844.53
100-0300-0604 Reserve for Contingencies 910,223.00
100-0300-0605 Designated for Prepaid Items 239.50
100-0300-0611 Reserve for L/T A/R 418,794.59
100-0300-0615 SB1186 6,975.19
Total Beginning Equity: 10,908,076.81
Total Revenue 592,034.18
Total Expense 3,249,915.59
Revenues Over/Under Expenses -2,657,881.41
Total Liabilities, Equity and Current Surplus (Deficit): 8,611,925.68 Total Equity and Current Surplus (Deficit): 8,250,195.40
REPORT TO THE CITY COUNCIL
Item 3.3
CLICK HERE
TO RETURN TO
THE AGENDA
Meeting of: October 22, 2024
AGENDA SECTION: Consent
SUBJECT: A Resolution Adopting the Revised City of Chowchilla Transit Services Drug and Alcohol Testing Policy
PREPARED BY: Joann McClendon, City Clerk
ATTACHMENTS: Revised Transit Services Drug and Alcohol Testing Policy, Resolution
REVIEWED BY
ADMINISTRATOR ☒ REVIEWED BYATTORNEY ☒ REVIEWED BY FINANCE ☒ RECOMMENDATION:
That the City Council approve a resolution to adopt the revised City of Chowchilla Transit Services Drug and Alcohol Policy.
BACKGROUND:
From time to time, the Transit department’s Drug & Alcohol Policy is updated due to changing regulations from the Federal Transportation Administration (FTA) or when there are qualifying changes within/to the department. The last time this Policy was updated was on January 12, 2021, when the City transitioned from contracted drivers and dispatchers to in-house staff. Prior to that, the Council approved another update to the Policy when the FTA added synthetic opioids to the list of drugs to test for.
REASON FOR RECOMMENDATION:
The FTA, who provides operational and capital funds for our local transit system, requires transit agencies to maintain an updated Drug and Alcohol Testing Policy in order to apply for FTA funds.
The Rural Transit Assistance Program (RTAP) at Caltrans contracted with the California Association for Coordinated Transportation (CalACT) and they subcontracted to a third party (RLS) to provide drug and alcohol program technical assistance. CalACT and its contractor helped to ensure Caltrans subrecipient compliance with the FTA Drug and Alcohol Program rules as defined. That contract expired in April of 2022, and Caltrans is currently requesting proposals for the next Drug and Alcohol Oversight and Technical Assistance contract. Since the RLS contracts termination, there have been several changes to 49 CFR Part 40 that mandate the need for changes to locally adopted Drug and Alcohol Policies. Basically, there was an absence in oversight of the required drug and alcohol policies (49 CFR Part 40) between 2022 and today, and this revision is cures any policy missed due to the lapse.
FISCAL IMPACT:
Adoption of the policy is required in order to receive operational and capital funding through FTA programs.
ALTERNATIVES:
If City opts to not revise, we will be out of compliance and in jeopardy of losing federal funding.
ACTIONS FOLLOWING APPROVAL:
Revised Policy will be submitted to Caltrans.
COUNCIL RESOLUTION # -24
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHOWCHILLA, CALIFORNIA
ADOPTING THE REVISED TRANSIT SERVICES DRUG AND ALCOHOL TESTING POLICY WHEREAS, the City of Chowchilla operates a transit service; and WHEREAS, the City of Chowchilla provides the day-to-day operations of the transit service; and
WHEREAS, the City of Chowchilla employees provide services in the capacities of dispatchers, drivers and mechanic for the transit service; and WHEREAS, Caltrans and the United States Department of Transportation requires that every entity providing transit services, develop and adopt a Transit Services Drug and Alcohol Testing Policy for those employees directly involved with providing transit services with language that complies with the established Federal policy requirements, and update the positions covered under said policy; and
WHEREAS, the policy must be legislatively adopted before the City can apply for Caltrans funding through the Federal Transportation Administration (FTA) programs; and WHEREAS, the City of Chowchilla has revised its Transit Services Drug and Alcohol policy as a result of a recent Drug and Alcohol Policy update provided by the FTA; WHEREAS, the draft revised Chowchilla Transit Drug and Alcohol Policy is attached hereto as Exhibit A.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chowchilla hereby finds and determines the following:
1. The recitals above are true and correct; and
2. The approval and adoption of City of Chowchilla revised Transit Drug and Alcohol Testing Policy is hereby authorized; and
3. These authorizations are effective per the adoption of this Resolution.
PASSED AND ADOPTED by the City Council of the City of Chowchilla this 22nd day of October, 2024 by the following vote to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
APPROVED:
Mayor Kelly Smith
ATTEST:
Joann McClendon, CMC
City Clerk
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 1
DRUG AND ALCOHOL TESTING POLICY
City of Chowchilla
Adopted as of [MONTH DD, YEAR]
A. PURPOSE
1) The City of Chowchilla provides public transit and paratransit services for the residents of the City. Part of our mission is to ensure that this service is delivered safely, efficiently, and effectively by establishing a drug and alcohol-free work environment, and to ensure that the workplace remains free from the effects of drugs and alcohol in order to promote the health and safety of employees and the general public. In keeping with this mission, City of Chowchilla declares that the unlawful manufacture, distribution, dispense, possession, or use of controlled substances or misuse of alcohol is prohibited for all employees.
2) Additionally, the purpose of this policy is to establish guidelines to maintain a drug and alcohol-free workplace in compliance with the DrugFree Workplace Act of 1988, and the Omnibus Transportation Employee Testing Act of 1991. Covered employees shall abide by the terms of this policy statement as a condition of employment. This policy is intended to comply with all applicable Federal regulations governing workplace antidrug and alcohol programs in the transit industry. Specifically, the Federal Transit Administration (FTA) of the U.S. Department of Transportation has published 49 CFR Part 655, as amended, that mandates drug and alcohol testing for safety-sensitive positions, and prohibits performance of safetysensitive functions when there is a positive test result, or a refusal to test.
The U. S. Department of Transportation (USDOT) has also published 49 CFR Part 40, as amended, that sets standards for the collection and testing of specimens for drug and alcohol testing.
3) Any provisions set forth in this policy that are included under the sole authority of City of Chowchilla and are not provided under the authority of the above named Federal regulations are underlined. Tests conducted under the sole authority of City of Chowchilla will be performed on nonUSDOT forms and will be separate from USDOT testing in all respects.
B. APPLICABILITY
This Drug and Alcohol Testing Policy applies to all safety-sensitive employees (full- or part-time) when performing safety sensitive duties. See Attachment A for a list of employees and the authority under which they are included.
A safety-sensitive function is operation of public transit service including the operation of a revenue service vehicle (whether or not the vehicle is in revenue service), maintenance of a revenue service vehicle or equipment used in revenue Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 2 service, security personnel who carry firearms, persons controlling the dispatch or movement of revenue service vehicles and any transit employee who operates a non-revenue service vehicle that requires a Commercial Driver’s License to operate. Maintenance functions include the repair, overhaul, and rebuild of engines, vehicles and/or equipment used in revenue service. A list of safetysensitive positions who perform one or more of the above-mentioned duties is provided in Attachment A. Supervisors are only safety sensitive if they perform one of the above functions. Volunteers are considered safety sensitive and subject to testing if they are required to hold a CDL, or receive remuneration for service in excess of actual expense.
C. DEFINITIONS
Accident: An occurrence associated with the operation of a vehicle even when not in revenue service, if as a result:
a. An individual dies;
b. An individual suffers a bodily injury and immediately receives medical treatment away from the scene of the accident; or, c. One or more vehicles incur disabling damage as the result of the occurrence and is transported away from the scene by a tow truck or other vehicle. For purposes of this definition, disabling damage means damage which precludes departure of any vehicle from the scene of the occurrence in its usual manner in daylight after simple repairs. Disabling damage includes damage to vehicles that could have been operated but would have been further damaged if so operated, but does not include damage which can be remedied temporarily at the scene of the occurrence without special tools or parts, tire disablement without other damage even if no spare tire is available, or damage to headlights, taillights, turn signals, horn, or windshield wipers that makes them inoperative.
Adulterated specimen: A specimen that has been altered, as evidence by test results showing either a substance that is not a normal constituent for that type of specimen or showing an abnormal concentration of an endogenous substance.
Alcohol: The intoxicating agent in beverage alcohol, ethyl alcohol, or other low molecular weight alcohols contained in any beverage, mixture, mouthwash, candy, food, preparation or medication.
Alcohol Concentration: Expressed in terms of grams of alcohol per 210 liters of breath as indicated by a breath test under 49 CFR Part 40.
Aliquot: A fractional part of a specimen used for testing, it is taken as a sample representing the whole specimen.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 3 Alternate specimen: An authorized specimen, other than the type of specimen previously collected or attempted to be collected.
Canceled Test: A drug or alcohol test that has a problem identified that cannot be or has not been corrected, or which is cancelled. A canceled test is neither positive nor negative.
Collection Site: A place selected by the employer where employees present themselves for the purpose of providing a specimen for a drug test.
Confirmatory Drug Test: A second analytical procedure performed on a different aliquot of the original specimen to identify and quantify a specific drug or drug metabolite.
Confirmatory Validity Test: A second test performed on a different aliquot of the original urine specimen to further support a validity test result.
Covered Employee Under FTA Authority: An employee who performs a safetysensitive function including an applicant or transferee who is being considered for hire into a safety-sensitive function (See Attachment A for a list of covered employees).
Cutoff: The analytical value (e.g., drug or drug metabolite concentration) used as the decision point to determine a result (e.g., negative, positive, adulterated, invalid, or substituted) or the need for further testing.
Designated Employer Representative (DER): An employee authorized by the employer to take immediate action to remove employees from safety-sensitive duties and to make required decisions in testing. The DER also receives test results and other communications for the employer, consistent with the requirements of 49 CFR Parts 40 and 655.
DOT, The Department, DOT Agency: These terms encompass all DOT agencies, including, but not limited to, the Federal Aviation Administration (FAA), the Federal Railroad Administration (FRA), the Federal Motor Carrier Safety Administration (FMCSA), the Federal Transit Administration (FTA), the National Highway Traffic Safety Administration (NHTSA), the Pipeline and Hazardous Materials Safety Administration (PHMSA), and the Office of the Secretary (OST).
For purposes of 49 CFR Part 40, the United States Coast Guard (USCG), in the Department of Homeland Security, is considered to be a DOT agency for drug testing purposes. These terms include any designee of a DOT agency.
Dilute specimen: A urine specimen with creatinine and specific gravity values that are lower than expected for human urine.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 4 Disabling damage: Damage which precludes departure of any vehicle from the scene of the occurrence in its usual manner in daylight after simple repairs.
Disabling damage includes damage to vehicles that could have been operated but would have been further damaged if so operated, but does not include damage which can be remedied temporarily at the scene of the occurrence without special tools or parts, tire disablement without other damage even if no spare tire is available, or damage to headlights, taillights, turn signals, horn, or windshield wipers that makes them inoperative.
Employee: Any person who is designated in a DOT agency regulation as subject to drug testing and/or alcohol testing. The term includes individuals currently performing safety-sensitive functions designated in DOT agency regulations and applicants for employment subject to pre-employment testing. For purposes of drug testing under 49 CFR Part 40, the term employee has the same meaning as the term “donor” as found on CCF and related guidance materials produced by the Department of Health and Human Services.
Evidential Breath Testing Device (EBT): A device approved by the NHTSA for the evidential testing of breath at the 0.02 and the 0.04 alcohol concentrations, and appears on ODAPC’s Web page for “Approved Evidential Breath Measurement Devices” because it conforms with the model specifications available from NHTSA.
Initial Drug Test: The first test used to differentiate a negative specimen from one that requires further testing for drugs or drug metabolites.
Initial Specimen Validity Test: The first test used to determine if a specimen is adulterated, diluted, substituted, or invalid
Invalid Result: The result reported by an HHS-certified laboratory in accordance with the criteria established by the HHS when a positive, negative, adulterated, or substituted result cannot be established for a specific drug or specimen validity test.
Laboratory: Any U.S. laboratory certified by HHS under the National Laboratory Certification Program as meeting the minimum standards of HHS; or, in the case of foreign laboratories, a laboratory approved for participation by DOT under 49 CFR Part 40.
Limit of Detection (LOD): The lowest concentration at which the analyte (e.g., drug or drug metabolite) can be identified.
Limit of Quantification (LOQ): For quantitative assays, the lowest concentration at which the identity and concentration of the analyte (e.g., drug or drug metabolite) can be accurately established.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 5 Medical Review Officer (MRO): A licensed physician (medical doctor or doctor of osteopathy) responsible for receiving laboratory results generated by the drug testing program who has knowledge of substance abuse disorders, and has appropriate medical training to interpret and evaluate an individual's confirmed positive test result, together with his/her medical history, and any other relevant bio-medical information.
Negative Dilute: A drug test result which is negative for the five drug/drug metabolites but has creatinine and specific gravity values that are lower than expected for human urine.
Negative result: The result reported by an HHS-certified laboratory to an MRO when a specimen contains no drug or the concentration of the drug is less than the cutoff concentration for the drug or drug class and the specimen is a valid specimen. An alcohol concentration of less than 0.02 BAC is a negative test result.
Non-negative specimen: A specimen that is reported as adulterated, substituted, positive (for drug(s) or drug metabolite(s)), or invalid.
Oral Fluid Specimen: A specimen that is collected from an employee’s oral cavity and is a combination of physiological fluids produced primarily by the salivary glands. An oral fluid specimen is considered to be a direct observation collection for all purposes of 49 CFR Part 40, as amended.
Performing (a safety-sensitive function): A covered employee is considered to be performing a safety-sensitive function and includes any period in which he or she is actually performing, ready to perform, or immediately available to perform such functions.
Positive result: The result reported by an HHS- Certified laboratory when a specimen contains a drug or drug metabolite equal or greater to the cutoff concentrations.
Primary specimen: In drug testing, the specimen bottle that is opened and tested by a first laboratory to determine whether the employee has a drug or drug metabolite in his or her system; and for the purpose of specimen validity testing. The primary specimen is the portion of the donor’s subdivided specimen designated as the primary (‘‘A’’) specimen by the collector to distinguish it from the split (‘‘B’’) specimen, as defined in 49 CFR Part 40, as amended.
Prohibited drug: Identified as marijuana, cocaine, opioids, amphetamines, or phencyclidine as specified in 49 CFR Part 40, as amended.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 6 Reconfirmed: The result reported for a split (Bottle B) specimen when the second HHS-certified laboratory corroborates the original result reported for the primary (Bottle A) specimen.
Rejected for Testing: The result reported by an HHS- Certified laboratory when no tests are performed for specimen because of a fatal flaw or a correctable flaw that has not been corrected.
Revenue Service Vehicles: All transit vehicles that are used for passenger transportation service.
Safety-sensitive functions: Employee duties identified as:
(1) The operation of a transit revenue service vehicle even when the vehicle is not in revenue service.
(2) The operation of a non-revenue service vehicle by an employee when the operation of such a vehicle requires the driver to hold a Commercial Drivers License (CDL).
(3) Maintaining a revenue service vehicle or equipment used in revenue service.
(4) Controlling dispatch or movement of a revenue service vehicle and (5) Carrying a firearm for security purposes.
Specimen: Fluid, breath, or other material collected from an employee at the collection site for the purpose of a drug or alcohol test.
Specimen Bottle: The bottle that, after being sealed and labeled according to the procedures in 49 CFR Part 40, is used to hold a primary (“A”) or split (“B”) specimen during the transportation to the laboratory. In the context of oral fluid testing, it may be referred to as a “vial,” “tube,” or “bottle.” Split Specimen: In drug testing, the specimen that is sent to a first laboratory and stored with its original seal intact, and which is transported to a second laboratory for retesting at the employee’s request following MRO verification of the primary specimen as positive, adulterated or substituted.
Split specimen collection: A collection in which the single specimen collected is divided into two separate specimen bottles, the primary specimen (Bottle A) and the split specimen (Bottle B).
Substance Abuse Professional (SAP): A licensed physician (medical doctor or doctor of osteopathy) or licensed or certified psychologist, social worker, employee assistance professional, state-licensed or certified marriage and family therapist, or drug and alcohol counselor (certified by an organization listed at https://www.transportation.gov/odapc/sap) with knowledge of and clinical experience in the diagnosis and treatment of drug and alcohol related disorders.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 7 Substituted specimen: An employee’s specimen not consistent with a normal human specimen, as determined by HHS (e.g., a urine specimen, with creatinine and specific gravity values that are so diminished, or so divergent that they are not consistent with normal human urine).
Test Refusal: The following are considered a refusal to test if the employee:
(1) Fail to appear for any test (except a pre-employment test) within a reasonable time, as determined by the employer.
(2) Fail to remain at the collection site until the testing process is complete.
An employee who leaves the testing site before the testing process commences for a pre-employment test has not refused to test. (3) Fail to attempt to provide a specimen. An employee who does not provide a specimen because he or she has left the testing site before the testing process commenced for a pre-employment test has not refused to test. (4) In the case of a directly-observed or monitored urine collection in a drug test, fail to permit monitoring or observation of your provision of a specimen.
(5) Fail to provide a sufficient quantity of specimen without a valid medical explanation.
(6) Fail or decline to take an additional test as directed by the collector or the employer for drug testing.
(7) Fail to undergo a medical evaluation as required by the MRO or the employer’s Designated Employer Representative (DER).
(8) Fail to cooperate with any part of the testing process. (9) Fail to follow an observer’s instructions to raise and lower clothing and turn around during a directly-observed urine collection. (10) Possess or wear a prosthetic or other device used to tamper with the collection process.
(11) Admit to the adulteration or substitution of a specimen to the collector or MRO.
(12) Refuse to sign the certification at Step 2 of the Alcohol Testing Form (ATF).
(13) Fail to remain readily available following an accident. (14) As a covered employee, if the MRO reports that you have a verified adulterated or substituted test result, you have refused to take a drug test.
Undiluted (neat) oral fluid: An oral fluid specimen to which no other solid or liquid has been added. For example: A collection device that uses a diluent (or other component, process, or method that modifies the volume of the testable specimen) must collect at least 1 mL of undiluted (neat) oral fluid.
Urine specimen: Urine collected from an employee at the collection site for the purpose of a drug test.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 8 Vehicle: A bus, electric bus, van, automobile, rail car, trolley car, trolley bus, or vessel. A public transit vehicle is a vehicle used for public transportation or for ancillary services.
Verified negative test: A drug test result reviewed by a medical review officer and determined to have no evidence of prohibited drug use at or above the minimum cutoff levels established by the Department of Health and Human Services (HHS).
Verified positive test: A drug test result reviewed by a medical review officer and determined to have evidence of prohibited drug use at or above the minimum cutoff levels specified in 49 CFR Part 40 as revised.
Validity testing: The evaluation of the specimen to determine if it is consistent with normal human urine or oral fluid. Specimen validity testing will be conducted on all specimens provided for testing under DOT authority. The purpose of validity testing is to determine whether certain adulterants or foreign substances were added to the specimen, if the specimen was diluted, or if the specimen was altered.
D. EDUCATION AND TRAINING
1) Every covered employee will receive a copy of this policy and will have ready access to the corresponding federal regulations including 49 CFR Parts 655 and 40, as amended. In addition, all covered employees will undergo a minimum of 60 minutes of training on the signs and symptoms of drug use including the effects and consequences of drug use on personal health, safety, and the work environment. The training also includes manifestations and behavioral cues that may indicate prohibited drug use.
2) All supervisory personnel or company officials who are in a position to determine employee fitness for duty will receive 60 minutes of reasonable suspicion training on the physical, behavioral, and performance indicators of probable drug use and 60 minutes of additional reasonable suspicion training on the physical, behavioral, speech, and performance indicators of probable alcohol misuse.
E. PROHIBITED SUBSTANCES
1) Prohibited substances addressed by this policy include the following. a. Illegally Used Controlled Substance or Drugs Under the Drug-Free Workplace Act of 1988 any drug or any substance identified in Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 9 Schedule I through V of Section 202 of the Controlled Substance Act (21 U.S.C. 812), and as further defined by 21 CFR 1308.11 through 1308.15 is prohibited at all times in the workplace unless a legal prescription has been written for the substance. This includes, but is not limited to: marijuana, amphetamines, opioids, phencyclidine (PCP), and cocaine, as well as any drug not approved for medical use by the U.S. Drug Enforcement Administration or the U.S. Food and Drug Administration. Illegal use includes use of any illegal drug, misuse of legally prescribed drugs, and use of illegally obtained prescription drugs. It is important to note that the use of marijuana in any circumstances remains completely prohibited for any safety-sensitive employee subject to drug testing under USDOT regulations. The use of marijuana in any circumstance (including under state recreational and/or medical marijuana laws) by a safety-sensitive employee is a violation of this policy and a violation of the USDOT regulation 49 CFR Part 40, as amended.
Federal Transit Administration drug testing regulations (49 CFR Part 655) require that all employees covered under FTA authority be tested for marijuana, cocaine, amphetamines, opioids, and phencyclidine as described in this policy. Illegal use of these five drugs is prohibited at all times and thus, covered employees may be tested for these drugs anytime that they are on duty.
b. Legal Drugs: The appropriate use of legally prescribed drugs and nonprescription medications is not prohibited. However, the use of any substance which carries a warning label that indicates that mental functioning, motor skills, or judgment may be adversely affected must be reported to a City of Chowchilla supervisor and the employee is required to provide a written release from his/her doctor or pharmacist indicating that the employee can perform his/her safety-sensitive functions.
c. Alcohol: The use of beverages containing alcohol (including mouthwash, medication, food, candy) or any other substances containing alcohol in a manner which violates the conduct listed in this policy is prohibited.
F. PROHIBITED CONDUCT
1) Illegal use of the drugs listed in this policy and as defined in 49 CFR Part 40, as amended is prohibited at all times. All covered employees are prohibited from reporting for duty or remaining on duty if they have used a prohibited drug as defined in 49 CFR Part 40, as amended.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 10 2) Each covered employee is prohibited from consuming alcohol while performing safety-sensitive job functions or while on-call to perform safetysensitive job functions. If an on-call employee has consumed alcohol, they must acknowledge the use of alcohol at the time that they are called to report for duty. The covered employee will subsequently be relieved of his/her on-call responsibilities and subject to discipline for not fulfilling his/her on-call responsibilities.
3) The Transit Department shall not permit any covered employee to perform or continue to perform safety-sensitive functions if it has actual knowledge that the employee is using alcohol
4) Each covered employee is prohibited from reporting to work or remaining on duty requiring the performance of safety-sensitive functions while having an alcohol concentration of 0.04 or greater regardless of when the alcohol was consumed.
a. An employee with a breath alcohol concentration which measures
0.02-0.039 is not considered to have violated the USDOT-FTA drug and alcohol regulations, provided the employee hasn’t consumed the alcohol within four (4) hours of performing a safety-sensitive duty. However, if a safety-sensitive employee has a breath alcohol concentration of 0.02-0.039, USDOT-FTA regulations require the employee to be removed from the performance of safety-sensitive duties until:
i. The employee’s alcohol concentration measures less than
0.02; or
ii. The start of the employee’s next regularly scheduled duty period, but not less than eight hours following administration of the test.
5) No covered employee shall consume alcohol for eight (8) hours following involvement in an accident or until he/she submits to the post-accident drug/alcohol test, whichever occurs first.
6) No covered employee shall consume alcohol within four (4) hours prior to the performance of safety-sensitive job functions.
7) City of Chowchilla, under its own authority, also prohibits the consumption of alcohol at all times the employee is on duty, or anytime the employee is in uniform.
8) Consistent with the Drug-free Workplace Act of 1988, all City of Chowchilla employees are prohibited from engaging in the unlawful manufacture, distribution, dispensing, possession, or use of prohibited Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 11 substances in the work place including transit system premises and transit vehicles.
G. DRUG STATUTE CONVICTION
Consistent with the Drug Free Workplace Act of 1998, all employees are required to notify the City of Chowchilla management of any criminal drug statute conviction for a violation occurring in the workplace within five days after such conviction. Failure to comply with this provision shall result in disciplinary action as defined in this policy.
H. TESTING REQUIREMENTS
1) Drug testing and alcohol testing will be conducted as required by 49 CFR Part 40 as amended. All employees covered under FTA authority shall be subject to testing prior to performing safety-sensitive duty, for reasonable suspicion, following an accident, and random as defined in this policy, and return to duty/follow-up.
2) A drug test can be performed any time a covered employee is on duty. A reasonable suspicion, random, or follow-up alcohol test can only be performed just before, during, or after the performance of a safetysensitive job function. Under City of Chowchilla authority, a non-DOT alcohol test can be performed any time a covered employee is on duty.
All covered employees will be subject to drug testing and alcohol testing as a condition of ongoing employment with City of Chowchilla. Any safety-sensitive employee who refuses to comply with a request for testing shall be removed from duty and subject to discipline as defined in this policy.
I. DRUG TESTING PROCEDURES
1) Testing shall be conducted in a manner to assure a high degree of accuracy and reliability and using techniques, equipment, and laboratory facilities which have been approved by the U.S. Department of Health and Human Service (HHS). All testing will be conducted consistent with the procedures set forth in 49 CFR Part 40, as amended. The procedures will be performed in a private, confidential manner and every effort will be made to protect the employee, the integrity of the drug testing procedure, and the validity of the test result.
2) The drugs that will be tested for include marijuana, cocaine, opioids, amphetamines, and phencyclidine. After the identity of the donor is Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 12 checked using picture identification, a urine and/or oral fluid specimen will be collected as described in 49 CFR Part 40, as amended. Each specimen will be accompanied by a DOT Custody and Control Form and identified using a unique identification number that attributes the specimen to the correct individual. The specimen analysis will be conducted at a HHS certified laboratory. An initial drug screen and validity test will be conducted on the primary specimen. For those specimens that are not negative, a confirmatory test will be performed. The test will be considered positive if the amounts of the drug(s) and/or its metabolites identified by the confirmatory test are at or above the minimum thresholds established in 49 CFR Part 40, as amended.
3) The test results from the HHS certified laboratory will be reported to a Medical Review Officer. A Medical Review Officer (MRO) is a licensed physician with detailed knowledge of substance abuse disorders and drug testing. The MRO will review the test results to ensure the scientific validity of the test and to determine whether there is a legitimate medical explanation for a confirmed positive, substitute, or adulterated test result.
The MRO will attempt to contact the employee to notify the employee of the non-negative laboratory result, and provide the employee with an opportunity to explain the confirmed laboratory test result. The MRO will subsequently review the employee’s medical history/medical records as appropriate to determine whether there is a legitimate medical explanation for a non-negative laboratory result. If no legitimate medical explanation is found, the test will be verified positive or refusal to test and reported to City of Chowchilla. If a legitimate explanation is found, the MRO will report the test result as negative.
4) If the test is invalid without a medical explanation, a retest will be conducted under direct observation. Employees do not have access to a test of their split specimen following an invalid result. 5) Any covered employee who questions the results of a required drug test may request that the split sample be tested. The split sample test must be conducted at a second HHS-certified laboratory. The test must be conducted on the split sample that was provided by the employee at the same time as the primary sample. The method of collecting, storing, and testing the split sample will be consistent with the procedures set forth in 49 CFR Part 40, as amended. The employee's request for a split sample test must be made to the Medical Review Officer within 72 hours of notice of the original sample verified test result. Requests after 72 hours will only be accepted at the discretion of the MRO if the delay was due to documentable facts that were beyond the control of the employee. City of Chowchilla will ensure that the cost for the split specimen analysis is covered in order for a timely analysis of the sample, however City of Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 13 Chowchilla will seek reimbursement for the split sample test from the employee.
6) If the analysis of the split specimen fails to confirm the presence of the drug(s) detected in the primary specimen, if the split specimen is not able to be analyzed, or if the results of the split specimen are not scientifically adequate, the MRO will declare the original test to be canceled. 7) Observed collections
a. Consistent with 49 CFR Part 40, as amended, collection under direct observation with no advance notice will occur if:
i. The laboratory reports to the MRO that a specimen is invalid, and the MRO reports to City of Chowchilla that there was not an adequate medical explanation for the result;
ii. The MRO reports to City of Chowchilla that the original positive, adulterated, or substituted test result had to be cancelled because the test of the split specimen could not be performed;
iii. The laboratory reported to the MRO that the urine specimen was negative-dilute with a creatinine concentration greater than or equal to 2 mg/dL but less than or equal to 5 mg/dL, and the MRO reported the urine specimen as negative-dilute and that a second collection must take place under direct observation (see §40.197(b)(1)).
iv. The collector observes materials brought to the collection site or the employee's conduct clearly indicates an attempt to tamper with a specimen;
v. The temperature on the original urine specimen was out of range (See §40.65(b)(5));
vi. Anytime the employee is directed to provide another specimen because the original specimen appeared to have been tampered with (See §40.65(c)(1)).
vii. All follow-up-tests; or
viii. All return-to-duty tests
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 14 Urine collections that are required to be directly observed will be conducted by a person of the same gender as the donor as required by 49 CFR Part 40.67.
J. ALCOHOL TESTING PROCEDURES
1) Tests for breath alcohol concentration will be conducted utilizing a National Highway Traffic Safety Administration (NHTSA)-approved Evidential Breath Testing device (EBT) operated by a trained Breath Alcohol Technician (BAT). A list of approved EBTs can be found on ODAPC’s Web page for “Approved Evidential Breath Measurement Devices”. Alcohol screening tests may be performed using a nonevidential testing device (alcohol screening device (ASD)) which is also approved by NHTSA. A list of approved ASDs can be found on ODAPC’s Web page for “Approved Screening Devices to Measure Alcohol in Bodily Fluids”. If the initial test indicates an alcohol concentration of 0.02 or greater, a second test will be performed to confirm the results of the initial test. The confirmatory test must occur on an EBT. The confirmatory test will be conducted no sooner than fifteen minutes after the completion of the initial test. The confirmatory test will be performed using a NHTSAapproved EBT operated by a trained BAT. The EBT will identify each test by a unique sequential identification number. This number, time, and unit identifier will be provided on each EBT printout. The EBT printout, along with an approved alcohol testing form, will be used to document the test, the subsequent results, and to attribute the test to the correct employee.
The test will be performed in a private, confidential manner as required by 49 CFR Part 40, as amended. The procedure will be followed as prescribed to protect the employee and to maintain the integrity of the alcohol testing procedures and validity of the test result. 2) A confirmed alcohol concentration of 0.04 or greater will be considered a positive alcohol test and in violation of this policy. The consequences of a positive alcohol test are described in this policy. Even though an employee who has a confirmed alcohol concentration of 0.02 to 0.039 is not considered positive, the employee shall still be removed from duty for at least eight hours or for the duration of the work day whichever is longer and will be subject to the consequences described in this policy. An alcohol concentration of less than 0.02 will be considered a negative test. 3) City of Chowchilla affirms the need to protect individual dignity, privacy, and confidentiality throughout the testing process. If at any time the integrity of the testing procedures or the validity of the test results is compromised, the test will be canceled. Minor inconsistencies or Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 15 procedural flaws that do not impact the test result will not result in a cancelled test.
4) The alcohol testing form (ATF) required by 49 CFR Part 40 as amended, shall be used for all FTA required testing. Failure of an employee to sign step 2 of the ATF will be considered a refusal to submit to testing.
K. PRE-EMPLOYMENT TESTING
1) All applicants for covered transit positions shall undergo drug testing prior to performance of a safety-sensitive function.
a. All offers of employment for covered positions shall be extended conditional upon the applicant passing a drug test. An applicant will not be allowed to perform safety-sensitive functions unless the applicant takes a drug test with verified negative results. b. An employee shall not be placed, transferred or promoted into a position covered under FTA authority or company authority until the employee takes a drug test with verified negative results.
c. If an applicant fails a pre-employment drug test, the conditional offer of employment shall be rescinded and the applicant will be provided with a list of at least two (2) USDOT qualified Substance Abuse Professionals. Failure of a pre-employment drug test will disqualify an applicant for employment for a period of at least one year. Before being considered for future employment the applicant must provide the employer proof of having successfully completed a referral, evaluation and treatment plan as described in section 655.62 of subpart G. The cost for the assessment and any subsequent treatment will be the sole responsibility of the applicant. d. When an employee being placed, transferred, or promoted from a non-covered position to a position covered under FTA authority or company authority submits a drug test with a verified positive result, the employee shall be subject to disciplinary action in accordance with this policy.
e. If a pre-employment test is canceled, City of Chowchilla will require the applicant to take and pass another pre-employment drug test. f. In instances where a FTA covered employee does not perform a safety-sensitive function for a period of 90 consecutive days or more regardless of reason, and during that period is not in the Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 16 random testing pool the employee will be required to take a preemployment drug test under 49 CFR Part 655 and have negative test results prior to the conduct of safety-sensitive job functions. g. Following a negative dilute the employee will be required to undergo another test. Should this second test result in a negative dilute result, the test will be considered a negative and no additional testing will be required unless directed to do so by the MRO. h. Applicants are required (even if ultimately not hired) to provide City of Chowchilla with signed written releases requesting USDOT drug and alcohol records from all previous, USDOT-covered, employers that the applicant has worked for within the last two years. Failure to do so will result in the employment offer being rescinded. City of Chowchilla is required to ask all applicants (even if ultimately not hired) if they have tested positive or refused to test on a preemployment test for a USDOT covered employer within the last two years. If the applicant has tested positive or refused to test on a pre-employment test for a USDOT covered employer, the applicant must provide City of Chowchilla proof of having successfully completed a referral, evaluation and treatment plan as described in section 655.62 of subpart G.
L. REASONABLE SUSPICION TESTING
1) All City of Chowchilla FTA covered employees will be subject to a reasonable suspicion drug and/or alcohol test when the employer has reasonable suspicion to believe that the covered employee has used a prohibited drug and/or engaged in alcohol misuse. Reasonable suspicion shall mean that there is objective evidence, based upon specific, contemporaneous, articulable observations of the employee's appearance, behavior, speech or body odor that are consistent with possible drug use and/or alcohol misuse. Reasonable suspicion referrals must be made by one or more supervisors who are trained to detect the signs and symptoms of drug and alcohol use, and who reasonably concludes that an employee may be adversely affected or impaired in his/her work performance due to possible prohibited substance abuse or alcohol misuse. A reasonable suspicion alcohol test can only be conducted just before, during, or just after the performance of a safety-sensitive job function. However, under City of Chowchilla’s authority, a non-DOT reasonable suspicion alcohol test may be performed any time the covered employee is on duty. A reasonable suspicion drug test can be performed any time the covered employee is on duty.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 17 2) City of Chowchilla shall be responsible for transporting the employee to the testing site. Supervisors should avoid placing themselves and/or others into a situation which might endanger the physical safety of those present. The employee shall be placed on administrative leave pending disciplinary action described in this policy. An employee who refuses an instruction to submit to a drug/alcohol test shall not be permitted to finish his or her shift and shall immediately be placed on administrative leave pending disciplinary action as specified in this policy. 3) A written record of the observations which led to a drug/alcohol test based on reasonable suspicion shall be prepared and signed by the supervisor making the observation. This written record shall be submitted to the City of Chowchilla
4) When there are no specific, contemporaneous, articulable objective facts that indicate current drug or alcohol use, but the employee (who is not already a participant in a treatment program) admits the abuse of alcohol or other substances to a supervisor in his/her chain of command, the employee shall be referred for assessment and treatment consistent with this policy. City of Chowchilla shall place the employee on administrative leave in accordance with the provisions set forth under this policy. Testing in this circumstance would be performed under the direct authority of the City of Chowchilla. Since the employee self-referred to management, testing under this circumstance would not be considered a violation of this policy or a positive test result under Federal authority.
However, self-referral does not exempt the covered employee from testing under Federal authority as specified in this policy or the associated consequences.
M. POST-ACCIDENT TESTING
1) FATAL ACCIDENTS – A covered employee will be required to undergo drug and alcohol testing if they are involved in an accident with a transit vehicle, whether or not the vehicle is in revenue service at the time of the accident, that results in a fatality. This includes all surviving covered employees that are operating the vehicle at the time of the accident and any other whose performance could have contributed to the accident, as determined by the employer using the best information available at the time of the decision.
2) NON-FATAL ACCIDENTS – A post-accident test of the employee operating the public transportation vehicle will be conducted if an accident occurs and at least one of the following conditions is met:
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 18 a. The accident results in injuries requiring immediate medical treatment away from the scene, unless the covered employee can be completely discounted as a contributing factor to the accident. b. One or more vehicles incurs disabling damage as a result of the occurrence and must be transported away from the scene, unless the covered employee can be completely discounted as a
contributing factor to the accident
In addition, any other covered employee whose performance could have contributed to the accident, as determined by the employer using the best information available at the time of the decision, will be tested.
As soon as practicable following an accident, as defined in this policy, the transit supervisor investigating the accident will notify the transit employee operating the transit vehicle and all other covered employees whose performance could have contributed to the accident of the need for the test.
The supervisor will make the determination using the best information available at the time of the decision.
The appropriate transit supervisor shall ensure that an employee, required to be tested under this section, is tested as soon as practicable, but no longer than eight (8) hours of the accident for alcohol, and no longer than 32 hours for drugs. If an alcohol test is not performed within two hours of the accident, the Supervisor will document the reason(s) for the delay. If the alcohol test is not conducted within (8) eight hours, or the drug test within 32 hours, attempts to conduct the test must cease and the reasons for the failure to test documented.
Any covered employee involved in an accident must refrain from alcohol use for eight (8) hours following the accident, or until he/she undergoes a post-accident alcohol test.
An employee who is subject to post-accident testing who fails to remain readily available for such testing, including notifying a supervisor of his or her location if he or she leaves the scene of the accident prior to submission to such test, may be deemed to have refused to submit to testing.
Nothing in this section shall be construed to require the delay of necessary medical attention for the injured following an accident, or to prohibit an employee from leaving the scene of an accident for the period necessary to obtain assistance in responding to the accident, or to obtain necessary emergency medical care.
In the rare event that City of Chowchilla is unable to perform an FTA drug and alcohol test (i.e., employee is unconscious, employee is detained by law enforcement agency), City of Chowchilla may use drug and alcohol post- Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 19 accident test results administered by local law enforcement officials in lieu of the FTA test. The local law enforcement officials must have independent authority for the test and the employer must obtain the results in conformance with local law.
N. RANDOM TESTING
1) All covered employees will be subjected to random, unannounced testing.
The selection of employees shall be made by a scientifically valid method of randomly generating an employee identifier from the appropriate pool of safety-sensitive employees. Individuals who may be covered under company authority will be selected from a pool of non-DOT-covered individuals.
2) The dates for administering unannounced testing of randomly selected employees shall be spread reasonably throughout the calendar year, day of the week and hours of the day.
3) The number of employees randomly selected for drug/alcohol testing during the calendar year shall be not less than the percentage rates set each year by the FTA administrator. The current year testing rates can be viewed online at https://www.transportation.gov/odapc/random-testingrates. 4) Each covered employee shall be in a pool from which the random selection is made. Each covered employee in the pool shall have an equal chance of selection each time the selections are made. Employees will remain in the pool and subject to selection, whether or not the employee has been previously tested. There is no discretion on the part of management in the selection.
5) Covered transit employees that fall under the Federal Transit Administration regulations will be included in one random pool maintained separately from the testing pool of non-safety-sensitive employees that are included solely under City of Chowchilla authority. 6) Random tests can be conducted at any time during an employee’s shift for drug testing. Alcohol random tests can only be performed just before, during, or just after the performance of a safety sensitive duty. However, under City of Chowchilla’s authority, a non-DOT random alcohol test may be performed any time the covered employee is on duty. Testing can occur during the beginning, middle, or end of an employee’s shift.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 20 7) Employees are required to proceed immediately to the collection site upon notification of their random selection.
O. RETURN-TO-DUTY TESTING
City of Chowchilla will terminate the employment of any employee that tests positive or refuses a test as specified in this policy. However, in the rare event an employee is reinstated with court order or other action beyond the control of the transit system, the employee must complete the return-to-duty process prior to the performance of safety-sensitive functions. All covered employees who previously tested positive on a drug or alcohol test or refused a test, must test negative for drugs, alcohol (below 0.02 for alcohol), or both and be evaluated and released by the Substance Abuse Professional before returning to work.
Following the initial assessment, the SAP will recommend a course of rehabilitation unique to the individual. The SAP will recommend the return-toduty test only when the employee has successfully completed the treatment requirement and is known to be drug and alcohol-free and there are no undue concerns for public safety. The SAP will determine whether the employee returning to duty will require a return-to-duty drug test, alcohol test, or both.
P. FOLLOW-UP TESTING
Covered employees that have returned to duty following a positive or refused test will be required to undergo frequent, unannounced drug and/or alcohol testing following their return-to-duty test. The follow-up testing will be performed for a period of one to five years with a minimum of six tests to be performed the first year. The frequency and duration of the follow-up tests (beyond the minimums) will be determined by the SAP reflecting the SAP’s assessment of the employee’s unique situation and recovery progress. Follow-up testing should be frequent enough to deter and/or detect a relapse. Follow-up testing is separate and in addition to the random, post-accident, reasonable suspicion and return-toduty testing.
In the instance of a self-referral or a management referral, the employee will be subject to non-USDOT follow-up tests and follow-up testing plans modeled using the process described in 49 CFR Part 40. However, all non-USDOT follow-up tests and all paperwork associated with an employee’s return-to-work agreement that was not precipitated by a positive test result (or refusal to test) does not constitute a violation of the Federal regulations will be conducted under company authority and will be performed using non-DOT testing forms.
Q. RESULT OF DRUG/ALCOHOL TEST
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 21 1) Any covered employee that has a verified positive drug or alcohol test, or test refusal, will be immediately removed from his/her safety-sensitive position, informed of educational and rehabilitation programs available, and will be provided with a list of at least two (2) USDOT qualified Substance Abuse Professionals (SAP) for assessment, and will be terminated.
2) Following a negative dilute the employee will be required to undergo another test. Should this second test result in a negative dilute result, the test will be considered a negative and no additional testing will be required unless directed to do so by the MRO.
3) Refusal to submit to a drug/alcohol test shall be considered equivalent to a positive test result and a direct act of insubordination and shall result in termination and referral to a list of USDOT qualified SAPs. A test refusal is defined as any of the following circumstances:
a. Fail to appear for any test (except a pre-employment test) within a reasonable time, as determined by the employer.
b. Fail to remain at the collection site until the testing process is complete. An employee who leaves the testing site before the testing process commences for a pre-employment test has not refused to test.
c. Fail to attempt to provide a specimen. An employee who does not provide a specimen because he or she has left the testing site before the testing process commenced for a pre-employment test has not refused to test.
d. In the case of a directly-observed or monitored urine collection in a drug test, fail to permit monitoring or observation of your provision of a specimen.
e. Fail to provide a sufficient quantity of specimen without a valid medical explanation.
f. Fail or decline to take an additional test as directed by the collector or the employer for drug testing.
g. Fail to undergo a medical evaluation as required by the MRO or the employer's Designated Employer Representative (DER).
h. Fail to cooperate with any part of the testing process. i. Fail to follow an observer's instructions to raise and lower clothing and turn around during a directly-observed urine collection. j. Possess or wear a prosthetic or other device used to tamper with the collection process.
k. Admit to the adulteration or substitution of a specimen to the collector or MRO.
l. Refuse to sign the certification at Step 2 of the Alcohol Testing Form (ATF).
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 22 m. Fail to remain readily available following an accident. n. As a covered employee, if the MRO reports that you have a verified adulterated or substituted test result, you have refused to take a drug test.
4) An alcohol test result of ≥0.02 to ≤ 0.039 BAC shall result in the removal of the employee from duty for eight hours or the remainder or the work day whichever is longer. The employee will not be allowed to return to safetysensitive duty for his/her next shift until he/she submits to a NONDOT alcohol test with a result of less than 0.02 BAC.
5) In the instance of a self-referral or a management referral, disciplinary action against the employee shall include:
a. Mandatory referral for an assessment by an employer approved counseling professional for assessment, formulation of a treatment plan, and execution of a return-to-work agreement;
b. Failure to execute, or remain compliant with the return-to-work agreement shall result in termination from City of Chowchilla _employment.
i. Compliance with the return-to-work agreement means that the employee has submitted to a drug/alcohol test
immediately prior to returning to work; the result of that test is negative; the employee is cooperating with his/her
recommended treatment program; and, the employee has
agreed to periodic unannounced follow-up testing as
described in this policy; however, all follow-up testing performed as part of a return-to-work agreement required under this policy is under the sole authority of City of Chowchilla and will be performed using non-DOT testing
forms.
c. Refusal to submit to a periodic unannounced follow-up drug/alcohol test shall be considered a direct act of insubordination and shall result in termination. All tests conducted as part of the returnto-work agreement will be conducted under company authority and will be performed using non-DOT testing forms.
d. A self-referral or management referral to the employer's counseling professional that was not precipitated by a positive test result does not constitute a violation of the Federal regulations and will not be considered as a positive test result in relation to the progressive discipline defined in this policy. e. Periodic unannounced follow-up drug/alcohol testing conducted as a result of a self-referral or management referral which results in a verified positive shall be considered a positive test result in relation to the progressive discipline defined in this policy.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 23 f. A Voluntary Referral does not shield an employee from disciplinary action or guarantee employment with City of Chowchilla. g. A Voluntary Referral does not shield an employee from the requirement to comply with drug and alcohol testing.
6) Failure of an employee to report within five days a criminal drug statute conviction for a violation occurring in the workplace shall result in termination.
R. GRIEVANCE AND APPEAL
The consequences specified by 49 CFR Part 40.149 (c) for a positive test or test refusal is not subject to arbitration.
S. PROPER APPLICATION OF THE POLICY
City of Chowchilla is dedicated to assuring fair and equitable application of this substance abuse policy. Therefore, supervisors/managers are required to use and apply all aspects of this policy in an unbiased and impartial manner. Any supervisor/manager who knowingly disregards the requirements of this policy, or who is found to deliberately misuse the policy in regard to subordinates, shall be subject to disciplinary action, up to and including termination.
T. INFORMATION DISCLOSURE
1) Drug/alcohol testing records shall be maintained by the City of Chowchilla Drug and Alcohol Program Manager and, except as provided below or by law, the results of any drug/alcohol test shall not be disclosed without express written consent of the tested employee.
2) The employee, upon written request, is entitled to obtain copies of any records pertaining to their use of prohibited drugs or misuse of alcohol including any drug or alcohol testing records. Covered employees have the right to gain access to any pertinent records such as equipment calibration records, and records of laboratory certifications. Employees may not have access to SAP follow-up testing plans.
3) Records of a verified positive drug/alcohol test result shall be released to the Drug and Alcohol Program Manager, and other transit system management personnel on a need-to-know basis.
4) Records will be released to a subsequent employer only upon receipt of a written request from the employee.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 24 5) Records of an employee's drug/alcohol tests shall be released to the adjudicator in a grievance, lawsuit, or other proceeding initiated by or on behalf of the tested individual arising from the results of the drug/alcohol test. The records will be released to the decision maker in the proceeding. 6) Records will be released to the National Transportation Safety Board during an accident investigation.
7) Information will be released in a criminal or civil action resulting from an employee’s performance of safety-sensitive duties, in which a court of competent jurisdiction determines that the drug or alcohol test information is relevant to the case and issues an order to the employer to release the information. The employer will release the information to the decision maker in the proceeding with a binding stipulation that it will only be released to parties of the proceeding.
8) Records will be released to the DOT or any DOT agency with regulatory authority over the employer or any of its employees.
9) Records will be released if requested by a Federal, state or local safety agency with regulatory authority over City of Chowchilla or the employee. 10)If a party seeks a court order to release a specimen or part of a specimen contrary to any provision of Part 40 as amended, necessary legal steps to contest the issuance of the order will be taken
11)In cases of a contractor or sub-recipient of a state department of transportation, records will be released when requested by such agencies that must certify compliance with the regulation to the FTA.
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 25 This Policy was adopted by the [LOCAL GOVERNING AUTHORITY] on [MONTH DD, YEAR].
[APPLICABLE SIGNATURES]
Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 26 Attachment A
Job Title Job Duties Testing Authority
Transit Supervisor Supervisor, grants n/a
Driver/Dispatcher I Drives, dispatches FTA
Driver/Dispatcher II Lead Driver/Operations, dispatches FTA Drug and Alcohol Testing Policy (Zero Tolerance – v.0623) Page 27 Attachment B Contacts
Any questions regarding this policy or any other aspect of the substance abuse policy should be directed to the following individual(s).
City of Chowchilla Drug and Alcohol Program Manager
Name: Joann McClendon
Title: City Clerk
Address: 130 S. Second Street, Chowchilla CA. 93610
Telephone Number: (559) 665-8615 ext. 112
Medical Review Officer
Name: P. Olkin, MD.
Title:
Address: 3302 Renner Dr. Fortuna, CA 95540
Telephone Number:
Substance Abuse Professional
Name: National Counseling Resource; Duncan MacPhearson, Executive Director Title: Address: 8002 California Ave., Fair Oaks, CA 95628 Telephone Number: (916) 961-1010
HHS Certified Laboratory Primary Specimen
Name: Concentra Medical Services (National Account)
Address: Addison, TX 75001-4648
Telephone Number: (972) 387-0019
HHS Certified Laboratory Split Specimen
Name: Concentra Medical Services (National Account)
Address: Addison, TX 75001-4648
Telephone Number: (972) 387-0019
REPORT TO THE CITY COUNCIL
Item 3.4
CLICK HERE
TO RETURN TO
THE AGENDA
Meeting of: October 22, 2024
AGENDA SECTION: Consent
SUBJECT: Presentation of Quarterly Financial Investment Report PREPARED BY: Kerri Williams, Finance Director
ATTACHMENTS: Reports
REVIEWED BY
ADMINISTRATOR ☒ REVIEWED BYATTORNEY ☒ REVIEWED BY FINANCE ☒ RECOMMENDATION:
Review the Quarterly Financial Investment Report.
BACKGROUND:
In accordance with Section 53601 of the California Government Code and the City’s Investment policy, the City is authorized to invest in Certificates of Deposit, the California Local Agency Investment Fund (LAIF).
In addition to LAIF, the City began investing in Treasury Securities in December 2022 after City Council approval as they typically yield higher interest than LAIF and allows the City to have some diversity in its portfolio. The Treasury securities purchased by the City amounted to $15M. Each time a Treasury security in the portfolio matures, the City will be paid the ‘maturity value’ or ‘face value’ of that security. If such security was purchased at a discount and then held to maturity, then the difference between the discounted principal cost of the security and the face value of the security represents ‘income’ to the City, similar to interest earnings. The City is using Wulff, Hansen & Co. as our Municipal Advisor to oversee the portfolio.
The City also began investing in a Money Market account with Tri Counties Bank, as they guaranteed a higher interest that LAIF. This allows the City to have even more diversity then before.
FISCAL IMPACT:
The US Treasury Securities Custodial Account has a fair market value of $15,992,899 and for the last quarter recognized $189,998 in investment earnings, which includes accrued interest and amortized discount. Accrued interest is interest that has been earned but not yet paid. During the period from July 1, 2024 through September 30, 2024, the City earned accrued interest of $80,502. Amortized discount represents that portion of any discount that has been earned, but not yet paid. As of September 30, 2024, the portfolio’s amortized discount was $109,496.
Interest is allocated to all funds that have a positive cash balance. As of September 30, 2024, the City has $14,782,100 in LAIF and for the last quarter received $173,241 in interest.
Interest is allocated to all funds that have a positive cash balance. As of September 30, 2024, the City has $6,130,295.96 in Tri Counties Money Market and for the last quarter received $63,371.09 in interest.
To Rod Pruett and Kerri Williams, City of Chowchilla
From Bud Levine and Rob Pankratz, Wulff, Hansen & Co.
Date October 7, 2024
Subject Quarterly Portfolio Earnings: July 1, 2024 through September 30, 2024 During the period from July 1, 2024 through September 30, 2024, the City held the following U.S. Treasury securities in its portfolio during all or a portion of the period:
All dollar amounts are rounded to the nearest dollar.
* Accrued interest paid by City to Winning Bidder.
Quarterly Book Earnings
During the period from July 1, 2024 through September 30, 2024, the City’s portfolio of U.S.
Treasury securities had book earnings of $189,998 which is equivalent to an annualized book yield of 4.80%. By comparison, during the same period the average daily yield paid on deposits in the Local Agency Investment Fund (LAIF) was 4.56%.
Quarterly book earnings of $189,998 included the following:
• $80,502 of interest earnings, plus
• $109,496 of accreted discount.
CUSIP
Number
Purchase
Date
Face
Value
Coupon
Rate
Price Discount
Principal
Cost
Accrued
Interest*
Total
Cost
Final
Maturity
Yield to
Maturity
912797KM8 Apr. 1, 2024 2,995,500 - 97.477 75,576 2,919,924 0 2,919,924 Sep. 26, 2024 5.31% 912828YH7 Jun. 30, 2023 2,774,000 1.500% 95.805 116,369 2,657,631 10,346 2,667,976 Sep. 30, 2024 5.00% 91282CFN6 Oct. 2, 2023 2,698,600 4.250% 98.917 29,239 2,669,361 627 2,669,987 Sep. 30, 2024 5.38% 9128283P3 Dec. 6, 2022 2,529,000 2.250% 95.770 106,979 2,422,021 24,586 2,446,606 Dec. 31, 2024 4.41% 912797MU8 Sep. 30, 2024 3,370,000 - 97.905 70,602 3,299,398 0 3,299,398 Mar. 27, 2025 4.39% 91282CGU9 Jan. 2, 2024 2,583,000 3.875% 99.090 23,505 2,559,495 25,707 2,585,201 Mar. 31, 2025 4.63% 912828ZW3 Jul. 1, 2024 2,747,000 0.250% 95.371 127,156 2,619,844 19 2,619,863 Jun. 30, 2025 5.07% 912828ZW3 Sep. 30, 2024 3,390,000 2.500% 97.245 93,395 3,296,606 2,119 3,298,724 Jun. 30, 2025 4.02% Fees
The book earnings shown above do not take into account any fees that were incurred by the City for services provided by the Municipal Advisor, Bidding Agent / Registered Investment Advisor or Custodian Bank. The total of such fees incurred by the City during the period equaled approximately $4,825.
Next Steps
The City does not need to take any further action at this time. This report is informational only.
The next scheduled maturity of Treasury securities in the City’s portfolio will occur on December 31, 2024. Prior to the maturity of each Treasury security in the City’s portfolio, the Wulff Hansen team will assist the City in evaluating its expected cash flow requirements and liquidity needs, and its potential reinvestment options.
Meanwhile, all of the Treasury securities in the City’s portfolio are held in trust for the City by its Custodian Bank. The scheduled payment of interest and principal on each security will be automatically credited to the City’s custody account upon receipt, and the City will continue to receive monthly account statements from the Custodian Bank.
Invest Additional Funds
Depending on the City’s cash balances and its expected future cash flow requirements and liquidity needs, the City may wish to consider investing additional funds in one or more U.S.
Treasury securities, in order to earn additional interest income. If so, the Wulff Hansen team can help arrange for any such additional investment. Please note however that such additional investment would incur additional compensation to Municipal Advisor, based on its current fee schedule, and therefore Municipal Advisor would have an incentive to recommend such an additional investment. For your reference, the current U.S. Treasury yield curve is as follows:
*LAIF rate as of September 30, 2024
Liquidate Securities
If the City ever needs immediate access to some or all of its invested funds due to a large unanticipated financial obligation or emergency situation, then the Wulff Hansen team can help arrange for the prompt liquidation of one or more Treasury securities in the City’s portfolio.
The market value of the City’s portfolio – as opposed to its face value – typically fluctuates over time as interest rates change. According to the most recent monthly custody account statement, the estimated market value of the Treasury securities in the City’s portfolio on September 30, 2024 was $14,352,806.91, excluding any funds held in the City’s designated cash sweep account.
4.58%
4.71%
4.36%
4.11%
3.96%
3.81% 3.72% 3.65% 3.61%
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
5.00%
LAIF* 3-Month 6-Month 9-Month 12-Month 15-Month 18-Month 21-Month 24-Month Estimated U.S. Treasury Yield Curve as of October 1, 2024 (Data Sources: Tullett Prebon via Wall Street Journal, Treasury.gov, and California State Treasurer's Office) Untitled Page
https://laif.sco.ca.gov/Result.aspx[10/16/2024 5:42:43 PM] MALIA M. COHEN
California State Controller
LOCAL AGENCY INVESTMENT FUND
REMITTANCE ADVICE
Agency Name CHOWCHILLA
Account Number 98-20-153
As of 10/15/2024, your Local Agency Investment Fund account has been directly credited with the interest earned on your deposits for the quarter ending 09/30/2024.
Earnings Ratio .00012912073474208
Interest Rate 4.71%
Dollar Day Total $ 1,341,695,859.18
Quarter End Principal Balance $ 14,608,859.41
Quarterly Interest Earned $ 173,240.76