Chula Vista City Council
May 19, 2026

recipient must purchase “extended reporting” coverage for a minimum of five (5) years after completion of contract work.
(d) Copies. A copy of the claims reporting requirements must be submitted to the City for review.

7. Acceptability of Insurers. Insurance is to be placed with licensed insurers admitted to transact business in the State of California with a current A.M. Best’s rating of no less than A V. If insurance is placed with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines Insurers (“LESLI”) with a current A.M. Best’s rating of no less than A X. Exception may be made for the State Compensation Fund when not specifically rated.

8. Verification of Coverage. Sub-recipient shall furnish the City with original certificates and amendatory endorsements affecting coverage required by Article I, section C. The endorsements should be on insurance industry forms, provided those endorsements or policies conform to the contract requirements. All certificates and endorsements are to be received and approved by the City before work commences. The City reserves the right to require, at any time, complete, certified copies of all required insurance policies, including endorsements evidencing the coverage required by these specifications.

9. Subcontractors. Sub-recipient must include all subcontractors as insureds under its policies or furnish separate certificates and endorsements for each subcontractor. All coverage for subcontractors is subject to all of the requirements included in these specifications.

10. Not a Limitation of Other Obligations. Insurance provisions under this Article shall not be construed to limit the Consultant’s obligations under this contract, including Indemnity.

ARTICLE II. CITY OBLIGATIONS
A. Compensation.

1. Amounts. City shall reimburse Sub-recipient for the costs it incurs for work performed under this contract not to exceed a maximum reimbursement of $[Amount]. Sub-recipient shall not submit claims to the City nor shall City reimburse Sub-recipient for costs for which Sub-recipient is reimbursed from a source other than the funds allocated for work under this contract.

2. Limitation. With regard to compensation stated in Article II, section A.1, above, Sub-recipient may be reimbursed only to the extent and in the amounts that funds have been made available pursuant to applications for Federal assistance. No City funds in excess of those provided by the Federal government under such applications may be the source of reimbursement under this Contract.

3. Compensation Schedule. Sub-recipient shall not incur expenditures to be claimed for reimbursement prior to the Effective Date, indicated above. City shall then pay Sub-recipient quarterly progress payments upon certification and submittal by Sub-recipient of a statement of actual expenditures incurred, provided, however, that not more than 90% of the total agreed compensation will be paid during the performance of this contract. The balance due shall be paid upon certification by Subrecipient that all of the required services have been completed. Payment by City is not to be construed as final in the event HUD disallows reimbursement for the project or any portion thereof. The 10% retention will not apply to acquisition or service contracts.

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 CDBG Agreement

a. Claim Due Dates. Contractor shall submit quarterly claims to the City by the deadlines listed below in order to meet HUD’s strict expenditure standards:
 1
st Quarter (July 1-September 30): Due October 15
 2
nd Quarter (October 1 - December 31): Due January 15
 3
rd Quarter (January1 - March 31): Due April 15
 4
th Quarter (April 1 – June 30): Due July 15
Failure to submit claims by these deadlines may result in recapturing of the grant funds. Any extension requests must be approved by all parties. However, costs must be incurred prior to June 30, 2027 and said extension shall be within the City’s Finance Department’s Fiscal Year End processing deadline.

4. Indirect Costs. If indirect costs are charged, the Sub-recipient will develop an indirect cost allocation plan for determining the appropriate Sub-recipient’s share of administrative costs and shall submit such plan to the City for approval.

5. Expenditure Standard. In order to insure effective administration and performance of approved CDBG Projects and to meet HUD performance standards, Sub-recipient agrees that it shall expedite implementation of the Project described herein expending all contracted funds within the term of the contract. In the event that reasonable progress has not been made and all funds are not expended within the term period, the City shall notify the Sub-recipient of the expenditure and implementation deficiency. Sub-recipient will have a total of 60 days from the date of the City’s written notification to correct the deficiency. If the deficiency is not corrected within that time, Sub-recipient agrees that the City may reallocate the amount of the expenditure deficiency. Sub-recipient understands City may not reimburse project expenses that are outside the contract term.

6. Budget Adjustments. In order to insure effective administration and performance of approved CDBG Projects and to meet HUD performance standards, Sub-recipient agrees to submit budget adjustments for City approval. City will consult its Citizen Participation Plan prior to approving said amendment.

Budget Adjustments received after June 1, 2027 will not be considered.

ARTICLE III. ETHICS
A. Financial Interests of Contractor

1. Disclosure Required. Sub-recipient is required make the disclosures detailed in Attachment “C” - Statement. Sub-recipient may also be designated as a “Consultant” for the purposes of the Political Reform Act (“PRA”) conflict of interest and disclosure provisions by the City, and shall report economic interests as required by the City to the City Clerk on the required Statement of Economic Interests (“SEI”) in such reporting categories as required by the City or the City Attorney, thereby becoming an “FPPC filer.”

2. No Participation in Decision. Regardless of whether Sub-recipient is designated as an FPPC Filer, Subrecipient shall not make, or participate in making or in any way attempt to use Sub-recipient’s position to influence a governmental decision in which Sub-recipient knows or has reason to know Sub-recipient has a financial interest other than the compensation promised by this contract.

3. Search to Determine Economic Interests. Regardless of whether Sub-recipient is designated as an FPPC Filer, Sub-recipient warrants and represents that Sub-recipient has diligently conducted a search and inventory of Sub-recipient's economic interests, as the term is used in the regulations promulgated by

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the Fair Political Practices Commission, and has determined that Sub-recipient does not, to the best of Sub-recipient’s knowledge, have an economic interest which would conflict with Sub-recipient’s duties under this contract.

4. Promise Not to Acquire Conflicting Interests. Regardless of whether Sub-recipient is designated as an FPPC Filer, Sub-recipient further warrants and represents that Sub-recipient will not acquire, obtain, or assume an economic interest during the term of this contract which would constitute a conflict of interest as prohibited by the Fair Political Practices Act.

5. Duty to Advise of Conflicting Interests. Regardless of whether Sub-recipient is designated as an FPPC Filer, Sub-recipient further warrants and represents that Sub-recipient will immediately advise the City Attorney of City if Sub-recipient learns of an economic interest of Sub-recipient’s that may result in a conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated there under.

6. Specific Warranties Against Economic Interests. Sub-recipient warrants, represents and agrees:
(a) That neither Sub-recipient, nor immediate family members, nor Sub-recipient’s employees or agents ("Sub-recipient Associates") presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter ("Prohibited Interest"), other than as listed on the SEI, if one was required.
(b) That no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Sub-recipient or Sub-recipient’s Associates in connection with Sub-recipient’s performance of this contract. Sub-recipient promises to advise City of any such promise that may be made during the term of this contract, or for twelve months thereafter. (c) That Sub-recipient Associates shall not acquire any such Prohibited Interest within the term of this contract, or for twelve months after the expiration of this contract, except with the written permission of City.
(d) That Sub-recipient may not conduct or solicit any business for any party to this contract, or for any third party that may be in conflict with Sub-recipient’s responsibilities under this contract, except with the written permission of City.

ARTICLE IV. INDEMNIFICATION
A. Defense, Indemnity, and Hold Harmless.

1. General Requirement. The City, including its elected and appointed officers, agents, employees, and volunteers (collectively the “Indemnified Parties”) shall not be liable for, and Sub-recipient shall defend and indemnify the Indemnified Parties, against any and all injury to person, including death and dismemberment, or property (real or personal), claims, deductibles, self-insured retentions, demands, liability, judgments, awards, fines, mechanics’ liens or other liens, labor disputes, losses, damages, expenses, charges or costs of any kind or character, including attorneys’ fees and court costs (collectively, “Claims”), which arise out of or are in any way connected with the work covered by this contract arising either directly or indirectly from any act, error, omission or negligence of Sub-recipient or its officers, employees, agents, volunteers, contractors, licensees or servants, including without limitation, Claims caused by the concurrent act, error, omission or negligence, whether active or

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passive, of the Indemnified Parties. However, Sub-recipient shall have no obligation to defend or indemnify City from a Claim if it is determined by a court of competent jurisdiction that such Claim was caused by the sole negligence or willful misconduct of the Indemnified Parties.

2. Additional Requirement. Sub-recipient and its successors, assigns, and guarantors, if any, jointly and severally agree to indemnify, defend (with counsel selected by City), reimburse, and hold the Indemnified Parties harmless from any claims, judgments, damages, penalties, fines, costs, liabilities (including sums paid in settlement of claims), or loss, including attorneys’ fees, consultants’ fees, and experts’ fees which arise during or after the contract term for any losses incurred in connection with investigation of site conditions, or any cleanup, remedial, removal or restoration work required by any hazardous materials laws because of the presence of hazardous materials, in the soil, ground water or soil vapors on the premises (hereinafter, “Premises”), and the release or discharge of hazardous materials by Sub-recipient during the course of any alteration or improvements of the Premises of Subrecipient, unless hazardous materials are present solely as a result of the gross negligence or willful misconduct of the Indemnified Parties. The indemnification provided by this section shall also specifically cover costs incurred in responding to:
(a) Hazardous materials present or suspected to be present in the soil, ground water to or under the Property before the Commencement date;
(b) Hazardous materials that migrate, flow, percolate, diffuse, or in any way move on to or under the Property following the Commencement Date; or
(c) Hazardous materials present on or under the Property as a result of any discharge, release, dumping, spilling (accidental or otherwise), onto the Property during or after the Term of this contract by any person, corporation, partnership or entity other than City.

The foregoing environmental indemnities shall survive the expiration or termination of the contract, any or any transfer of all or any portion of the Premises, or of any interest in this contract, and shall be governed by the laws of the State of California.

3. Costs of Defense and Award. Included in the obligations to defend indemnify and hold harmless, above, is the Sub-recipient obligation to defend, at Sub-recipient’ s own cost, expense and risk, any and all aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the Indemnified Parties. Sub-recipient shall pay and satisfy any judgment, award or decree that may be rendered against the Indemnified Parties, for any and all legal expense and cost incurred by each of them in connection therewith.

4. Insurance Proceeds. Sub-recipient obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the Indemnified Parties.

5. Declarations. Sub-recipient’s obligations under Article IV shall not be limited by any prior or subsequent declaration by the Sub-recipient.

6. Enforcement Costs. Sub-recipient agrees to pay any and all costs City incurs enforcing the indemnity and defense provisions set forth in Section Article IV.

7. Survival. The foregoing indemnities shall survive the expiration or termination of the contract any or any transfer of all or any portion of the Premises, or of any interest in this contract and shall be governed by the laws of the State of California.

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ARTICLE V. TERMINATION OF CONTRACT
A. Termination for Convenience. Either party may terminate this contract after thirty (30) days’ written notice of intent to terminate has been given to the other party. However, no notice of termination given by Subrecipient shall be effective unless HUD has agreed to release City from its obligations pursuant to the Project.

If the contract is terminated under this paragraph, all finished and unfinished documents and other materials described herein (including, but not limited to items discussed in Attachment “B”) shall, at the option of the City, become City's sole and exclusive property. If the contract is terminated by City under this paragraph, Sub-recipient shall be entitled to receive just and equitable compensation, in an amount based on available funds under the CDBG Program or the Project, but not to exceed that payable under this contract, for any satisfactory work completed to the effective date of such termination. Sub-recipient hereby expressly waives any and all claims for damages or compensation arising under this contract except as set forth herein.

B. Automatic Termination. This contract shall terminate at the discretion of the City if the United States Government terminates the CDBG Program or the Project. City shall provide written notice to Sub-recipient of the intent to terminate under such grounds. In that event, all finished and unfinished documents and other materials described herein (including but not limited to items discussed in Attachment “B”) shall, at the option of the City, become City's sole and exclusive property. If the contract is terminated by City as provided in this paragraph, Sub-recipient shall be entitled to receive just and equitable compensation, in an amount based on available funds under the CDBG Program or the Project, but not in an amount to exceed that payable under this contract, for any satisfactory work completed to the effective date of such termination. Sub-recipient hereby expressly waives any and all claims for damages or compensation arising under this Agreement except as set forth herein.

C. Termination of Contract for Cause. Sub-recipient and City recognize that the City is the governmental entity which executed the grant agreement received pursuant to the City’s application and that City is responsible for the proper performance of the Project. If Sub-recipient fails to fulfill in a timely and proper manner its obligations under this contract to undertake, conduct or perform the Project identified in this contract, or if Sub-recipient violates any state laws or regulations or local ordinances or regulations applicable to implementation of the Project, or if Sub-recipient violates any provisions of this contract, City shall have the right to terminate this contract by giving at least five days written notice to Sub-recipient of the effective date of termination. Even if City terminates the contract, Sub-recipient shall remain liable to City for all damages sustained by City due to Contractor’s failure to fulfill any provisions of this contract, and City may withhold any reimbursement payments from Sub-recipient for the purpose of set-off until the exact amount of damages due to City from Sub-recipient is determined. Sub-recipient hereby expressly waives any and all claims for damages for compensation arising under this contract except as set forth in this section in the event of such termination.

ARTICLE VI. RECORDS RETENTION AND ACCESS
A. Records and Reports. The Sub-recipient shall maintain records and make such reports as required by the City of Chula Vista, to enable the City to analyze Sub-recipient’s project. All records of the Sub-recipient related to this contract or work performed under the contract shall be open and available for inspection by HUD and/or City monitors and auditors during normal business hours.

B. Retention. The Sub-recipient shall retain all financial records, supporting documents, statistical records, and all other records pertinent to the contract for a period of five (5) years. The retention period begins on the date of the submission of the Grantee’s annual performance and evaluation report to HUD in which the

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activities assisted under the contract are reported on for the final time. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the five-year period, then such records must be retained until completion of the actions and resolution of all issues, or the expiration of the five-year period, whichever occurs later.

C. Data. The Sub-recipient shall maintain data demonstrating eligibility (low-moderate locations) for services provided. Such data shall include, but not be limited to exact location of the work performed, and a description of service provided. Such information shall be made available to City monitors or their designees for review upon request.

D. Disclosure. The Sub-recipient understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the City’s or Sub-recipient’s responsibilities with respect to services provided under this contract, is prohibited by federal privacy laws unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian.

E. Quarterly Reports/Consolidated Annual Performance Evaluation Report (CAPER). Contractor shall provide the City with a quarterly report, submitted no later than fifteen (15) days after the last day of the previous quarter, which includes a narrative of the services provided, progress towards meeting the timeline goals stated in the contract, and an itemized accounting of the expenditures of CDBG funds during the previous quarter, and number of unduplicated clients served. In addition, Contractor will submit an annual CAPER report. Failure to submit quarterly reports and CAPER report in a timely manner will result in withholding of CDBG funds until the report has been submitted. Evidence of match must be submitted with each quarterly and annual report (CAPER).
a. Due Dates.
 1
st Quarter (July 1-September 30): Due October 15
 2
nd Quarter (October 1 - December 31): Due January 15
 3
rd Quarter (January1 - March 31): Due April 15
 4
th and Final (April 1 – June 30): Due July 15
ARTICLE VII. PROJECT COMPLETION, AUDIT, AND CLOSEOUT
A. Project Completion. Within ninety (90) calendar days following Project completion or termination by City, Sub-recipient agrees to submit a final certification of Project expenses and audit reports, as applicable.

B. Audit of Consultants. Sub-recipient agrees to perform financial and compliance audits the City may require.

The Sub-recipient also agrees to obtain any other audits required by City. Sub-recipient agrees that Project closeout will not alter Sub-recipient’s audit responsibilities.

C. Project Closeout. Project closeout occurs when City notifies the Sub-recipient that City has closed the Project, and either forwards the final payment or acknowledges that the Sub-recipient has remitted the proper refund. The Sub-recipient agrees that Project closeout by City does not invalidate any continuing requirements imposed by the contract or any unmet requirements set forth in a written notification from City.

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ARTICLE VIII. MISCELLANEOUS PROVISIONS
A. Contract Administration. The City Manager or designee, shall administer this contract on behalf of the City.

The Executive Director shall administer this contract on behalf of the Sub-recipient. Within a reasonable time after the City makes a request, Sub-recipient shall give the City progress reports or other documentation as required by the City’s Contract Administrator to audit Contractor’s performance of this contract.

B. Term. The term of this contract shall start on the 1 st day of July, 2026 and shall continue in effect until terminated as provided herein or until Sub-recipient has carried out all its obligations under the contract.

Services of the Sub-recipient shall start on the issuance date of the Notice to Proceed from the City of Chula Vista and end on the 30th day of June 2027. The term of this Agreement shall not be extended. Any remaining project funds not invoiced or expended during the deadlines included in this agreement will be recaptured.

C. Actions on Behalf of the City. Except as City may specify in writing, Sub-recipient shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever, as an agent or otherwise. Subrecipient shall have no authority, express or implied, to bind City or its members, agents, or employees, to any obligation whatsoever, unless expressly provided in this Agreement.

D. No Obligations to Third Parties. In connection with the Project, Sub-recipient agrees and shall require that it’s agents, employees, subcontractors agree that the City shall not be responsible for any obligations or liabilities to any third party, including its agents, employees, subcontractors, or other person or entity that is not a party to this contract. Notwithstanding that the City may have concurred in or approved any solicitation, subcontract, or third party contract at any tier, neither City shall have any obligations or liabilities to such other party.

E. Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising out of this contract, against the City unless a claim has first been presented in writing and filed with the City and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by the City in the implementation of same. Upon request by City, Sub-recipient shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement.

F. Attorney’s Fees. Should a dispute arising out of this contract result in litigation, it is agreed that the prevailing party shall be entitled to a judgment against the other for an amount equal to reasonable attorney's fees and court costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought.

G. Capacity of Parties. Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this contract, and that all resolutions or other actions have been taken so as to enable it to enter into this contract.

H. Governing Law/Venue. This contract shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this contract shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue, to the extent permitted by law, for this contract, and performance hereunder, shall be the City of Chula Vista.

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I. Audit Costs. Sub-recipient shall reimburse City for all costs incurred to investigate and audit Contractor’s performance of its duties under the Contract if Sub-recipient is subsequently found to have violated the terms of the contract. Reimbursement shall include all direct and indirect expenditures incurred to conduct the investigation or audit. City may deduct all such costs from any amount due Sub-recipient under this contract.

J. Precedence. This contract constitutes the entire agreement of the parties and supersedes any previous oral or written understandings or contracts related to the matters covered herein. This contract may not be modified except by written amendment executed by each party.

K. Acknowledgement of Funding. Sub-recipient shall identify the City of Chula Vista as the source of funding, or, if applicable, one of the sources of funding in public announcements that are made regarding the Project.

Acknowledgement of the City’s funding roles, for example, should be included in publicity materials related to the Project. In addition, Sub-recipient agrees that the City shall be apprised of any special events linked to the Project so that a review can be made on what role, if any, the City would assume.

L. No Waiver. No failure, inaction, neglect or delay by City in exercising any of its rights under this Contract shall operate as a waiver, forfeiture or abandonment of such rights or any other rights under this Contract.

M. Notice. Any notice or notices required or permitted to be given pursuant to this contract shall be personally served by the party giving notice or shall be served by certified mail. Notices shall be sufficient if personally served on or if sent by certified mail, postage prepaid, addressed to:

Contractor: City:
[Organization Name]
[Org Address]
[City],[State] [ZIP]
City of Chula Vista
Housing Division
276 Fourth Avenue
Chula Vista, CA 91910
IN WITNESS WHEREOF, the Consultant and City have executed this contract as of the date first written above.

CITY OF CHULA VISTA
Tiffany Allen,
City of Chula Vista City Manager

APPROVED AS TO FORM
Marco A. Verdugo
City Attorney

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 CDBG Agreement

[Organization Name]
DUNS ID: [DUNS Number]
[Agency Signateur Name], [Agency Signateur Title]

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 CDBG Agreement

ATTACHMENT “A”
2026 AREA MEDIAN INCOME LIMITS
(San Diego-Carlsbad, CA MSA)
$130,900
San Diego County Income Limits
Effective June 1, 2026
Family Size 30% of AMI
Extremely Low Income
50% of AMI
Very Low Income
80% of AMI
Low Income
1 36,750 61,250 97,950
2 42,000 70,000 111,950
3 47,250 78,750 125,950
4 52,450 87,450 139,900
5 56,650 94,450 151,100
6 60,850 101,450 162,300
7 65,050 108,450 173,500
8 69,250 115,450 184,700
Source: County of San Diego (https://www.sandiegocounty.gov/content/sdc/sdhcd/rental-assistance/income-limits-ami.html) As a reference, a screenshot of the required HUD Integrated Disbursement Information System reporting screen is included below. The income data is broken down into distinct income categories including a non-low/moderate category.
: 0-30% AMI
: 30.1%-50% AMI
: 50.1-80% AMI
: 80.1%+ AMI

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ATTACHMENT “B”
2026-2027 SCOPE OF WORK AND BUDGET

SUBRECEIPIENT AGREEMENT

BY AND BETWEEN THE CITY OF CHULA VISTA
AND
[ORGANIZATION NAME]
CONTRACT NUMBER: [CONTRACT NUMBER]
HUD PROJECT ID: [ID Number]
A. ACTIVITIES

1. General: [Organization Name] hereinafter, “Subrecipient”) will be responsible for administering a Community Development Block Grant (CDBG) program (CFDA 14-218) entitled, [Project Name] in a manner satisfactory to the Grantee and consistent with any standards required as a condition of providing these funds consistent with regulations governing Public Services [(§570.201(e)] which applies specifically to services rendered to [Eligibile Persons] HUD Eligibility Matrix Code [Matrix Code].

2. Program Delivery: The Subrecipient will carry out the following specific activities as part of the program:
a. Ensure that marketing material acknowledges the City of Chula Vista and the Department of Housing and Urban Development’s support;
b. Services to be provided are in compliance with the program Policies and Procedures Manual, attached hereto.
c. Additionally, the the program will provide the following outcomes:

Outcome 1
Outcome 2
Outcome 3

3. Income Benefit Goals: It is anticipated that approximately [Number to Serve] unduplicated [Eligible Persons] be served over the course of this 12 month Agreement. In addition to the required quarterly reports identified in Section 12 of this contract, the Subrecipient shall document all clients served to ensure that at least 51 percent of those served are at or below 80 percent of the Area Median Income as established by the U.S.

Department of Housing and Urban Development (HUD). This information is to be collected and compiled at the end of the each City of Chula Vista fiscal year (June 30th) for five (5) years, and shall be submitted to the City of Chula Vista Housing Department upon receipt of a written request and at the time of any monitoring of project records.

C. NATIONAL OBJECTIVES: All activities funded with CDBG funds must meet one of the CDBG program’s National Objectives: benefit low- and moderate-income persons; aid in the prevention or elimination of slums or blight; or meet community development needs having a particular urgency, as defined in 24 CFR 570.208. The Subrecipient certifies that the activity/activities carried out under this Agreement will meet the National Objective of

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benefitting [Number to Serve] [Eligible Persons]
D. PERFORMANCE MONITORING: The Grantee will monitor the performance of the Subrecipient against goals and performance standards as stated above. Substandard performance as determined by the Grantee will constitute noncompliance with this Agreement. If action to correct such substandard performance is not taken by the Subrecipient within a reasonable period of time after being notified by the Grantee, suspension or termination procedures will be initiated.

E. ESTIMATED TIME SCHEDULE: SUBRECIPIENT will make all good faith and reasonable efforts to fulfill the project by June 30, 2027, or earlier.

E. BUDGET: SUBRECIPIENT shall make all good faith and reasonable efforts to complete the work under this contract within the following estimated budget. In no case shall SUBRECIPIENT be entitled to, nor shall City reimburse SUBRECIPIENT, more than $[Funding Amount] to be budgeted as follows:

Budget Line Item Amount

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CONSULTANT LEVINE ACT DISCLOSURE
California Government Code section 84308, commonly referred to as the Levine Act, prohibits any City of Chula Vista Officer (“Officer”) from taking part in decisions related to a contract if the Officer received a political contribution totaling more than $250 within the previous twelve months, and for twelve months following the date a final decision concerning the contract has been made, from the person or company awarded the contract. The Levine Act also requires disclosure of such contribution by a party to be awarded a specific contract. The Levine Act does not apply to competitively bid, labor, or personal employment contracts. ☐A. The Levine Act (Govt. Code §84308) DOES NOT apply to this Agreement. ☐B. The Levine Act (Govt. Code §84308) does apply to this Agreement and the required disclosure is as follows:

Current Officers can be located on the City of Chula Vista’s websites below:
 Mayor & Council - https://www.chulavistaca.gov/departments/mayor-council  City Attorney - https://www.chulavistaca.gov/departments/city-attorney/about-us  Planning Commissioners – www.chulavistaca.gov/pc
 Candidate for Elected Office – www.chulavistaca.gov/elections

1. Have you or your company, or any agent on behalf of you or your company, made political contributions totaling more than $250 to any Officer in the 12 months preceding the date you submitted your proposal, the date you completed this form, or the anticipated date of any Council action related to this Agreement?
YES: ☐ If yes, which Officer(s): Click or tap here to enter text.

NO: ☐

2. Do you or your company, or any agent on behalf of you or your company, anticipate or plan to make political contributions totaling more than $250 to any Officer in the 12 months following the finalization of this Agreement or any Council action related to this Agreement? YES: ☐ If yes, which Officer(s): Click or tap here to enter text.

NO: ☐
Answering yes to either question above may not preclude the City of Chula Vista from entering into or taking any subsequent action related to the Agreement. However, it may preclude the identified Officer(s) from participating in any actions related to the Agreement.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

CONTRACT
FOR

MANAGEMENT AND IMPLEMENTATION
OF AN

EMERGENCY SOLUTIONS GRANT PROJECT
[Project Name] 2026-2027
This Contract numbered [Agreement Number] is entered into by and between [Organization Name] (“Contractor”) and the City of Chula Vista (“City”) on July 1, 2026.

RECITALS
WHEREAS, there has been enacted the Emergency Shelter Grants (“ESG”) Program contained in subtitle B of Title IV of the Stewart B. McKinney Homeless Assistance Act (the “Act”, 42 U.S.C. 11361, et seq.). The ESG Program authorizes the Secretary, U.S. Department of Housing and Urban Development (“HUD”), to make grants to States, units of general local government, territories, and Indian Tribes for the rehabilitation or conversion of buildings for use as emergency shelter for the homeless; for payment of certain operating expenses and essential services in connection with emergency shelters for the homeless; and for homeless prevention activities;
WHEREAS, on May 20, 2009, the President signed into law ”An Act to Prevent Mortgage Foreclosures and Enhance Mortgages Credit Availability” which became Public Law 111-22. This new law implements a variety of new measures directed toward keeping individuals and families from losing their homes. Division B of this new law is the Homeless Emergency Assistance and Rapid Transition to the Housing Act 2009 (HEARTH Act), which consolidates and amends the three separate homeless assistance programs carried out under Title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11371 et seq); WHEREAS, the HEARTH Act amendments to the McKinney-Vento Act contains provisions requiring coordination, collaboration, and consultation between Continuums of Care and ESG State and local government recipients; WHEREAS, the HEARTH Act renames the former Emergency Shelter Grant program to the Emergency Solutions Grants program to broaden existing emergency shelter and homelessness prevention activities to add rapid refocusing activities;
WHEREAS, the Catalog of Federal Assistance for the Emergency Solutions Grants program is 14.231; WHEREAS, the HEARTH Act also codifies in law and enhances the Continuum of Care planning process, the coordinated response to addressing the needs of homelessness established administratively by HUD in 1995; WHEREAS, City of Chula Vista (“City”) is authorized to apply for and accept ESG funds and assist in the undertaking of ESG activities;
WHEREAS, City incorporated the Contractor’s proposal for the project described in Attachment “A” hereof (the “Project”) into the City’s Community Development Block Grant/HOME Investment Partnership/Emergency Solutions Grant Annual Funding Plan (“AFP”) which was submitted to HUD; WHEREAS, the City Council of the City of Chula Vista approved the Project on May 12, 2026, and HUD has approved the City’s AFP for the ESG funds; and

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WHEREAS, Contractor warrants and represents that it is experienced and staffed in a manner such that it is and can deliver the services required of Contractor to City within the time frames herein provided all in accordance with the terms and conditions of this Agreement and the Emergency Solutions Grants Program.

NOW, THEREFORE, BE IT RESOLVED that the City and Contractor do hereby mutually agree as follows:

All of the Recitals above are hereby incorporated into this Agreement.

ARTICLE I. CONTRACTOR OBLIGATIONS
A. General.

1. Work to be Performed. Contractor shall implement the Project described in Attachment “A” hereof (the “Scope of Work”) fully in accordance with the term of the AFP approved by the City and submitted to HUD in its application for funds to carry out the Project and the certifications which were submitted concurrently with the AFP (“Certifications”). The AFP and Certifications form is hereby incorporated by reference into this contract fully as if set forth herein. Contractor shall also undertake the same obligations to the City that the City has undertaken to HUD pursuant to said AFP and Certifications. Contractor’s obligations include, but are not limited to, compliance with the current and most up-to-date version of each of the following:
(a) The ESG Program contained in subtitle B of Title IV of the Stewart B. McKinney Homeless Assistance Act (42 U.S.C. 11361, et seq.) as amended;
(b) The Homeless Emergency Assistance and Rapid Transition to Housing Act of 2009 (HEARTH Act); (c) HUD regulations relating to ESG Program (24 CFR Part 576), as amended; (d) HUD regulations relating to environmental review procedures for the ESG Program (24 CFR 576.57, subd. (e));
(e) Title VI of the Civil Rights Act of 1964 (42 USC § 2000d); Title VII of the Civil Rights Act of 1968 (Public Law 88-352); Title VIII of the Civil Rights Act of 1968 (Fair Housing Act, 42 USC § 3601, et seq.); § 109 of the Housing and Community Development Act of 1974; Executive Orders 11246 (equal employment opportunity) and 11063 (non-discrimination), as amended by Executive Order 12259; and any HUD regulations heretofore issued or to be issued to implement these authorities relating to civil rights; (f) Section 3 of the Housing and Community Development Act of 1974, which includes:
(1) The work to be performed under this contract is subject to the requirements of section 3 of the Housing and Urban Development Act of 1968, as amended (12 U.S.C. 1701u). The purpose of section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD-assisted projects covered by section 3, shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of HUD assistance for housing.

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(2) The parties to this contract agree to comply with HUD’s regulations in 24 CFR Part 135, which implement section 3. As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the Part 135 regulations.
(3) The contractor agrees to send to each labor organization or representative of workers with which the contractor has a collective bargaining contract or other understanding, if any, a notice advising the labor organization or workers’ representative of the contractor’s commitments under this section 3 clause, and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin. (4) Contractor shall include the section 3 clause in every subcontract subject to compliance with regulations in 24 CFR Part 135, and shall take appropriate action, as provided in an applicable provision of the subcontract or in this section 3 clause, upon a finding that the subcontractor is in violation of the regulations in 24 CFR Part 135. Contractor will not subcontract with any subcontractor where the contractor has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 CFR Part 135. (5) Contractor will certify that any vacant employment positions, including training positions, that are filled (1) after the contractor is selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR Part 135 require employment opportunities to be directed, were not filled to circumvent Contractor’s obligations under 24 CFR part 135.
(6) Noncompliance with HUD’s regulations in 24 CFR Part 135 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts. (7) With respect to work performed in connection with section 3 covered Indian housing assistance, section 7(b) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450e) also applies to the work to be performed under this contract. Section 7(b) requires that to the greatest extent feasible (i) preference and opportunities for training and employment shall be given to Indians, and (ii) preference in the award of contracts and subcontracts shall be given to Indian organizations and Indian-owned Economic Enterprises. Parties to this contract that are subject to the provisions of section 3 and section 7(b) agree to comply with section 3 to the maximum extent feasible, but not in derogation of compliance with section 7(b); (g) The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, 42 USC § 4601, and implementing regulations at 49 CFR Part 24;
(h) Office of Management and Budget Circular A-122 entitled “Cost Principles for Non-Profit Organizations”; Office of Management and Budget Circular A-133 entitled “Audits of States, Local Governments, and Non-Profit Organizations” and with Office of Management and Budget Circular A110 entitled “Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations”;

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(i) 24 CFR 576.51, which requires each grantee to match the funding provided by HUD as set forth in 42 U.S.C. 11375;
(j) 24 CFR 576.53 concerning use of community facilities as an emergency shelter; (k) The following laws and regulations relating to preservation of historic places: National Historic Preservation Act of 1966 (Public Law 89-665); the Archeological and Historical Preservation Act of 1974 (Public Law 93-291); and Executive Order 11593;
(l) The Labor Standards Regulations set forth in 24 CFR 570.603; (m) The Architectural Barriers Act of 1968 (42 U.S.C. § 4151, et seq.); (n) The Hatch Act relating to the conduct of political activities (Chapter 15 of Title 5, U.S.C.); (o) The Flood Disaster Protection Act of 1974 (42 USC § 4106 and the implementing regulations in 44 CFR parts 59 through 79;
(p) The Rehabilitation Act of 1973 (Public Law 93-112) as amended, including Section 504 which relates to nondiscrimination in federal programs and HUD regulations set forth in 24 CFR Part 8; (q) The Clean Air Act (42 U.S.C. § 7401, et seq.) and the Federal Water Pollution Control Act, as amended (33 U.S.C. § 1251, et seq.) and the regulations adopted pursuant thereto (40 CFR, Part 6); (r) The Drug-Free Workplace Act of 1988 (Public Law 100-690); (s) No member, officer or employee of the Contractor, or its designee or agents, no member of the governing body of the locality in which the program is situated, and no other public official of such locality or localities who exercises any functions or responsibilities with respect to the program during his/her tenure or for one year thereafter, shall have any interest, direct, or indirect, in any contract or subcontract, or the process thereof, for work to be performed in connection with the program assisted under the Grant, and that it shall incorporate, or cause to be incorporated, in all such contracts or subcontracts a provision prohibiting such interest pursuant to the purposes of this certification; (t) Contractor certifies, that in accordance with Section 319 of Public Law 101-121, to the best of their knowledge and belief that:
(1) No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress, in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative contract, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative contract. (2) If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, or an employee of a member of Congress in connection with this federal contract,

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grant, loan, or cooperative contract, the undersigned shall complete and submit Standard FormLLL, “Disclosure Form to Report Lobbying”, in accordance with its instructions; (u) The American’s with Disabilities Act (42 U.S.C. sec. 4151. et. seq.); (v) Contractor shall comply with and make good faith and reasonable efforts to carry out the purposes of Executive Order 12166 relating to “Improving Access to Services by Persons with Limited English Proficiency (“LEP”);
(w) Contractor shall comply with and make good faith and reasonable efforts to carry out the purposes of Executive Orders 12432 and 11625 related to participation in federal programs by Minority Business Enterprises (“MBE”) and Executive Order 12138 related to participation in federal programs by Women’s Business Enterprises (“WBE”);
(x) Contractor shall hold City of Chula Vista, its elected or appointed officers, officials, employees, agents, and volunteers (collectively the “Indemnified Parties”) harmless and indemnify the Indemnified Parties against any harm that it may suffer with respect to HUD on account of any failure on the part of the Contractor to comply with the requirements of any such obligation; (y) Contractor shall comply with Federal Funding Accountability and Transparency Act (FFAT) requirements established by the Office of Management and Budget (OMB) concerning the Dun and Bradstreet Data Universal Numbering System (DUNS), the Central Contractor Registration (CCR) database, and the Federal Funding Accountability and Transparency Act, including Appendix A to Part 25 of the Financial Assistance Use of Universal Identifier and Central Contractor Registration, 75 Fed. Reg.55671 (Sept. 14, 2010)(to be codified at 2 CFR part 25) and Appendix A to Part 170 of the Requirements for Federal Funding Accountability and Transparency Act Implementation, 75 Fed. Reg. 55663 (Sept. 14, 2010)(to be codified at 2 CFR part 170), including any subsequent amendments; and (z) “Cost principles” as follows, but not limited to: 2 CFR part 200, subpart E, entitled “Cost Principles for Non-Profit Organizations”; 2 CFR part 230 entitled “Cost Principles for Non-Profit Organizations” (Circular A–122); and 2 CFR Part 225 entitled “Cost Principles for State, Local, and Indian Tribal Governments” (OMB Circular A–87);
(aa)Monthly, or more often, Subrecipient must, without condition, pay the salaries of architects, draftsmen, technical engineers and technicians performing work under this Contract. Such payments shall be made without deduction or rebate, excepting only such payroll deductions as are mandatory by law or permitted by applicable regulations issued by the Secretary of Labor pursuant to the "Anti-Kickback Act" of June 13, 1937 (18 U.S.C., Section 874). Subrecipient shall comply with all applicable "Anti-Kickback" regulations and shall insert appropriate provisions in all subcontracts covering work under this Contract to insure compliance by subcontractors with such regulations. Subrecipient shall be responsible for the submission of affidavits required of subcontractors under this Contract, except for such variations or exemptions as the Secretary of Labor may specifically allow. (bb) Subrecipient must comply with the provisions of the Contract Work Hours and Safety Standards Act (40 U.S.C.§§ 3201-3708) and must cooperate with Agency in implementing and enforcing the provisions of such Act. Among other requirements of the act, Subrecipient must pay not less than one and onehalf times the basic rate of pay for the work of Subrecipient's employee in excess of eight hours in one day or forty hours in one week in the performance of this Contract. Subrecipient must insert appropriate provisions in all subcontracts covering work under this Contract to insure compliance with such Act.

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Subrecipient must meet and cooperate with Agency's Labor Compliance officer to assure compliance with such Act.
(cc) If, in the performance of this Contract, there is any underpayment of salaries by Subrecipient or by any subcontractor, Agency must withhold from Subrecipient out of payments due to him any amount sufficient to pay employees underpaid the difference between the salaries required under this Contract to be paid and the salaries actually paid such employees for the total number of hours worked. The amounts withheld shall be disbursed by Agency for and on account of Subrecipient or subcontractor to the respective employees to whom they are due.
(dd) Claims and disputes pertaining to salary rates or to classification of architects, draftsmen, technical engineers and technicians performing work under this Contract must be promptly reported in writing by Subrecipient to Agency for the latter's decision which shall be final with respect thereto. (ee)No person employed on the work covered by this Contract shall be discharged or in any way discriminated against because he has filed any complaint or instituted or caused to be instituted any proceeding or has testified or is about to testify in any proceeding under or relating to the labor standards applicable to his employer under this Contract (ff) The Sub-recipient shall administer the ESG funds in accordance with all applicable immigration restrictions and requirements, including the eligibility and verification requirements that apply under title IV of Personal Responsibility and Work Opportunity Reconciliation Act of 1996, as amended (8 USC 1601-0646) (PRWORA) and any applicable requirements that HUD, the Attorney General, or the U.S.

Citizenship and Immigration Services may establish from time to time to comply with PRWORA, Executive Order 14218, or other Executive Orders or immigration laws. Sub-recipient shall use SAVE, or an equivalent verification system approved by the Federal government, to prevent any Federal public benefit from being provided to an ineligible alien who entered the United States illegally or is otherwise unlawfully present in the United States.
(gg)The Subrecipient, shall, in the acquisition or improvement of real and personal property with funds provided under this Contract, be subject to all applicable provisions of the Federal Requirements. 2) General property and procurement guidelines are contained in 24 CFR Part 570 and 2 CFR Part 200. In all cases in which personal property is sold, the proceeds shall be transferred to Agency for the ESG program or shall be Program Income, and, personal property not needed by the Subrecipient shall be transferred to Agency for the ESG program or shall be retained by Subrecipient after compensating the Agency.
3) Real property shall be acquired in accordance with Title III, Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (at 24 CFR Part 42) and 24 CFR Part 576.408. (hh) Travel costs may include expenses for transportation, lodging and subsistence and are only allowable for employees who are in travel status on official business and approved as part of this contract or with prior written approval and are specifically related to this contract. Costs must be considered reasonable and do not exceed charges allowed by contractor’s Out of Town Travel Policy.

See 2 CFR §200.474 for additional information on travel costs and www.shra.org for the Out of Town Travel Policy.

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

The costs of entertainment, including amusement, diversion, and social activities and any associated costs are unallowable, except where specific costs that might otherwise be considered entertainment have a programmatic purpose and are authorized either in the approved budget for the Federal award or with prior written approval. All entertainment costs must comply with 2 CFR §200.438. In addition, the costs of alcoholic beverages are not allowed under §200.423 B. Compliance with Laws. Contractor shall comply with all applicable federal, state, and local laws, regulations, and ordinances when doing the work required by this Contract. Contractor shall require sub-contractors to similarly comply with all applicable federal, state, and local laws, regulations, and ordinances when doing the work required by this Contract.

C. Insurance. Contractor agrees to comply with the insurance requirements as set forth below:

1. General. Contractor must procure and maintain, during the period of performance of this contract, and for twelve (12) months after completion, policies of insurance from insurance companies to protect against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work under the contract and the results of that work by the Contractor, its agents, representatives, employees, volunteers, or subcontractors and provide documentation of same prior to commencement of work.

2. Minimum Scope of Insurance. Coverage must be at least as broad as:
(a) CGL. Insurance Services Office Commercial General Liability coverage (occurrence Form CG0001). (b) Auto. Insurance Services Office Form Number CA 0001 covering Automobile Liability, Code 1 (any auto).
(c) WC. Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance.
(d) E&O. Professional Liability or Errors & Omissions Liability insurance appropriate to the Consultant’s profession. Architects’ and Engineers’ coverage is to be endorsed to include contractual liability.

3. Minimum Limits of Insurance. Contractor must maintain limits no less than those included in the table below:
i. General Liability:
(Including operations,
products and completed
operations, as
applicable)
$1,000,000 per occurrence for bodily injury, personal injury, (including death), and property damage. If Commercial General Liability insurance with a general aggregate limit is used, either the general aggregate limit must apply separately to this project/location or the general aggregate limit must be twice the required occurrence limit.
ii. Automobile Liability: $1,000,000 per accident for bodily injury, including death, and property damage.

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

iii. Workers’ Compensation
Employer’s Liability:

Statutory
$1,000,000 each accident
$1,000,000 disease-policy limit
$1,000,000 disease-each employee
iv. Professional Liability or
Errors & Omissions
Liability:
$1,000,000 each occurrence

4. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either the insurer will reduce or eliminate such deductibles or self-insured retentions as they pertain to the Indemnified Parties; or the Contractor will provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration, and defense expenses.

5. Other Insurance Provisions. The general liability, automobile liability, and where appropriate, the worker’s compensation policies are to contain, or be endorsed to contain, the following provisions:
(a) Additional Insureds. The Indemnified Parties are to be named as additional insureds with respect all policies of insurance, including those with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Contractor, where applicable, and, with respect to liability arising out of work or operations performed by or on behalf of the Contractor, including providing materials, parts or equipment furnished in connection with such work or operations. The general liability additional insured coverage must be provided in the form of an endorsement to the Contractor’s insurance using ISO CG 2010 (11/85) or its equivalent. Specifically, the endorsement must not exclude Products/Completed Operations coverage.
(b) Primary Insurance. The Contractor’s General Liability insurance coverage must be primary insurance as it pertains to the Indemnified Parties. Any insurance or self-insurance maintained by the Indemnified Parties is wholly separate from the insurance of the contractor and in no way relieves the contractor from its responsibility to provide insurance.
(c) Cancellation. The insurance policies required must be endorsed to state that coverage will not be canceled by either party, except after thirty (30) days’ prior written notice to the City by certified mail, return receipt requested. The words “will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents, or representatives” shall be deleted from all certificates. (d) Active Negligence. Coverage shall not extend to any indemnity coverage for the active negligence of the additional insureds in any case where an agreement to indemnify the additional insured would be invalid under Subdivision (b) of Section 2782 of the Civil Code. (e) Waiver of Subrogation. Contractor insurer will provide a Waiver of Subrogation in favor of the City for each required policy providing coverage for the term required by this contract.

6. Claims Forms. If General Liability, Pollution and/or Asbestos Pollution Liability and/or Errors & Omissions coverage are written on a claims-made form:

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

(a) Retro Date. The “Retro Date” must be shown, and must be before the date of the contract or the beginning of the contract work.
(b) Maintenance and Evidence. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract work. (c) Cancellation. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a “Retro Date” prior to the contract effective date, the Contractor must purchase “extended reporting” coverage for a minimum of five (5) years after completion of contract work. (d) Copies. A copy of the claims reporting requirements must be submitted to the City for review.

7. Acceptability of Insurers. Insurance is to be placed with licensed insurers admitted to transact business in the State of California with a current A.M. Best’s rating of no less than A V. If insurance is placed with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines Insurers (“LESLI”) with a current A.M. Best’s rating of no less than A X. Exception may be made for the State Compensation Fund when not specifically rated.

8. Verification of Coverage. Contractor shall furnish the City with original certificates and amendatory endorsements affecting coverage required by Article I, section C. The endorsements should be on insurance industry forms, provided those endorsements or policies conform to the contract requirements.

All certificates and endorsements are to be received and approved by the City before work commences.

The City reserves the right to require, at any time, complete, certified copies of all required insurance policies, including endorsements evidencing the coverage required by these specifications.

9. Subcontractors. Contractor must include all subcontractors as insureds under its policies or furnish separate certificates and endorsements for each subcontractor. All coverage for subcontractors is subject to all of the requirements included in these specifications.

10. Not a Limitation of Other Obligations. Insurance provisions under this Article shall not be construed to limit the Consultant’s obligations under this contract, including Indemnity.

ARTICLE II. CITY OBLIGATIONS
A. Compensation.

1. Amounts. City shall reimburse Contractor for the costs it incurs for work performed under this contract not to exceed a maximum reimbursement of $15,000. Contractor shall not submit claims to the City nor shall City reimburse Contractor for costs for which Contractor is reimbursed from a source other than the funds allocated for work under this contract.

2. Limitation. With regard to compensation stated in Article II, section A.1, above, Contractor may be reimbursed only to the extent and in the amounts that funds have been made available pursuant to applications for Federal assistance. No City funds in excess of those provided by the Federal government under such applications may be the source of reimbursement under this Contract.

3. Compensation Schedule. City shall pay Contractor quarterly progress payments upon certification and submittal by Contractor of a statement of actual expenditures incurred, provided, however, that not more

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

than 90% of the total agreed compensation will be paid during the performance of this contract. The balance due shall be paid upon certification by Contractor that all of the required services have been completed. Payment by City is not to be construed as final in the event HUD disallows reimbursement for the project or any portion thereof. The 10% retention will not apply to acquisition or service contracts. a. Claim Due Dates. Contractor shall submit quarterly claims to the City by the deadlines listed below in order to meet HUD’s strict expenditure standards:

Q1. July 1 - September 30: Due October 15
Q2. October 1 – December 31: Due January 15
Q3. January 1 - March 31: Due April 15
Q4. April 30- June 30: Due July 15
Failure to submit claims by these deadlines may result in recapturing of the grant funds. Any extension requests must be approved by all parties.

4. Expenditure Standard. In order to insure effective administration and performance of approved ESG Projects and to meet HUD performance standards, Contractor agrees that it shall expedite implementation of the Project described herein expending all contracted funds within the term of the contract. In the event that reasonable progress has not been made and all funds are not expended within the term period, the City shall notify the Contractor of the expenditure and implementation deficiency.

Contractor will have a total of 60 days from the date of the City’s written notification to correct the deficiency. If the deficiency is not corrected within that time, Contractor agrees that the City may reallocate the amount of the expenditure deficiency.

ARTICLE III. ETHICS
A. Financial Interests of Contractor

1. Disclosure Required. Contractor is required make the disclosures detailed in Attachment “C”.

Contractor may also be designated as a “Consultant” for the purposes of the Political Reform Act (“PRA”) conflict of interest and disclosure provisions by the City, and shall report economic interests as required by the City to the City Clerk on the required Statement of Economic Interests (“SEI”) in such reporting categories as required by the City or the City Attorney, thereby becoming a ”FPPC filer.”

2. No Participation in Decision. Regardless of whether Contractor is designated as an FPPC Filer, Contractor shall not make, or participate in making or in any way attempt to use Consultant's position to influence a governmental decision in which Contractor knows or has reason to know Contractor has a financial interest other than the compensation promised by this contract.

3. Search to Determine Economic Interests. Regardless of whether Contractor is designated as an FPPC Filer, Contractor warrants and represents that Contractor has diligently conducted a search and inventory of Contractor’s economic interests, as the term is used in the regulations promulgated by the Fair Political Practices Commission, and has determined that Contractor does not, to the best of Contractor’s knowledge, have an economic interest which would conflict with Contractor’s duties under this contract.

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4. Promise Not to Acquire Conflicting Interests. Regardless of whether Contractor is designated as an FPPC Filer, Contractor further warrants and represents that Contractor will not acquire, obtain, or assume an economic interest during the term of this contract which would constitute a conflict of interest as prohibited by the Fair Political Practices Act.

5. Duty to Advise of Conflicting Interests. Regardless of whether Contractor is designated as an FPPC Filer, Contractor further warrants and represents that Contractor will immediately advise the City Attorney of City if Contractor learns of an economic interest of Contractor’s that may result in a conflict of interest for the purpose of the Fair Political Practices Act, and regulations promulgated thereunder.

6. Specific Warranties Against Economic Interests. Contractor warrants, represents and agrees:
(a) That neither Contractor, nor Contractor’s immediate family members, nor Contractor’s employees or agents ("Contractor Associates") presently have any interest, directly or indirectly, whatsoever in any property which may be the subject matter of Attachment A, or in any property within 2 radial miles from the exterior boundaries of any property which may be the subject matter of the Attachment A, ("Prohibited Interest"), other than as listed on the SEI, if one was required. (b) That no promise of future employment, remuneration, consideration, gratuity or other reward or gain has been made to Contractor or Contractor Associates in connection with Contractor’s performance of this contract. Contractor promises to advise City of any such promise that may be made during the term of this contract and for twelve months thereafter. (c) That Contractor Associates shall not acquire any such Prohibited Interest within the term of this contract, or for twelve months after the expiration of this contract, except with the written permission of City.
(d) That Contractor may not conduct or solicit any business for any party to this contract, or for any third party that may be in conflict with Contractor’s responsibilities under this contract, except with the written permission of City.
(e) That Contractor will otherwise comply with the conflict of interest requirements applicable to subrecipients and contractors under the ESG Program, which are set forth at 24 C.F.R. section 576.404.

ARTICLE IV. INDEMNIFICATION
A. Defense, Indemnity, and Hold Harmless.

1. General Requirement. The City, its elected and appointed officers, agents, attorneys, employees and volunteers (collectively, “Indemnified Parties”) shall not be liable for, and Contractor shall defend and indemnify the Indemnified Parties, against any and all injury to person, including death and dismemberment, or property (real or personal), claims, deductibles, self-insured retentions, demands, liability, judgments, awards, fines, mechanics’ liens or other liens, labor disputes, losses, damages, expenses, charges or costs of any kind or character, including attorneys’ fees and court costs (collectively, “Claims”), which arise out of or are in any way connected with the work covered by this Contract arising either directly or indirectly from any act, error, omission or negligence of Contractor or its officers, employees, agents, contractors, volunteers, licensees or servants, including without

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limitation, Claims caused by the concurrent act, error, omission or negligence, whether active or passive, of the Indemnified Parties. However, Contractor shall have no obligation to defend or indemnify City from a Claim if it is determined by a court of competent jurisdiction that such Claim was caused by the sole negligence or willful misconduct of the Indemnified Parties.

2. Additional Requirement. Contractor and its successors, assigns, and guarantors, if any, jointly and severally agree to indemnify, defend (with counsel selected by City), reimburse, and hold the Indemnified Parties harmless from any claims, judgments, damages, penalties, fines, costs, liabilities (including sums paid in settlement of claims), or loss, including attorneys’ fees, consultants’ fees, and experts’ fees which arise during or after the contract term for any losses incurred in connection with investigation of site conditions, or any cleanup, remedial, removal or restoration work required by any hazardous materials laws because of the presence of hazardous materials, in the soil, ground water or soil vapors on the premises (hereinafter, “Premises”), and the release or discharge of hazardous materials by Contractor during the course of any alteration or improvements of the Premises of Contractor, unless hazardous materials are present solely as a result of the gross negligence or willful misconduct of the Indemnified Parties. The indemnification provided by this section shall also specifically cover costs incurred in responding to:
(a) Hazardous materials present or suspected to be present in the soil, ground water to or under the Property before the Commencement date;
(b) Hazardous materials that migrate, flow, percolate, diffuse, or in any way move on to or under the Property following the Commencement Date; or
(c) Hazardous materials present on or under the Property as a result of any discharge, release, dumping, spilling (accidental or otherwise), onto the Property during or after the Term of this contract by any person, corporation, partnership or entity other than City.

The foregoing environmental indemnities shall survive the expiration or termination of the contract, any or any transfer of all or any portion of the Premises, or of any interest in this contract, and shall be governed by the laws of the State of California.

3. Costs of Defense and Award. Included in the obligations to defend indemnify and hold harmless, above, is the Contractor obligation to defend, at Contractor’ s own cost, expense and risk, any and all aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the Indemnified Parties. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the Indemnified Partiesfor any and all legal expense and cost incurred by each of them in connection therewith.

4. Insurance Proceeds. Contractor’s obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the Indemnified Parties.

5. Declarations. Contractor’s obligations under Article IV shall not be limited by any prior or subsequent declaration by the Contractor.

6. Enforcement Costs. Contractor agrees to pay any and all costs City incurs enforcing the indemnity and defense provisions set forth in Article IV.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

7. Survival. The foregoing indemnities shall survive the expiration or termination of the contract any or any transfer of all or any portion of the Premises, or of any interest in this contract and shall be governed by the laws of the State of California.

ARTICLE V. TERMINATION OF CONTRACT
A. Termination for Convenience. Either party may terminate this contract after thirty days written notice of intent to terminate has been given to the other party. However, no notice of termination given by Contractor shall be effective unless HUD has agreed to release City from its obligations pursuant to the Project. If the contract is terminated under this paragraph, all finished and unfinished documents and other materials described herein (including, but not limited to items discussed in Attachment “A”) shall, at the option of the City, become City's sole and exclusive property. If the contract is terminated by City under this paragraph, Contractor shall be entitled to receive just and equitable compensation, in an amount based on available funds under the ESG Program or the Project, but not to exceed that payable under this contract, for any satisfactory work completed to the effective date of such termination. Contractor hereby expressly waives any and all claims for damages or compensation arising under this contract except as set forth herein.

B. Automatic Termination. This contract shall terminate at the discretion of the City if the United States Government terminates the ESG Program or the Project. City shall provide written notice to Contractor of the intent to terminate under such grounds. In that event, all finished and unfinished documents and other materials described herein (including but not limited to items discussed in Attachment “A”) shall, at the option of the City, become City's sole and exclusive property. If the contract is terminated by City as provided in this paragraph, Contractor shall be entitled to receive just and equitable compensation, in an amount based on available funds under the ESG Program or the Project, but not in an amount to exceed that payable under this contract, for any satisfactory work completed to the effective date of such termination. Contractor hereby expressly waives any and all claims for damages or compensation arising under this Agreement except as set forth herein.
.

C. Termination of Contract for Cause. Contractor and City recognize that the City is the governmental entity which executed the grant agreement received pursuant to the City’s application and that City is responsible for the proper performance of the Project. If Contractor fails to fulfill in a timely and proper manner its obligations under this contract to undertake, conduct or perform the Project identified in this contract, or if Contractor violates any state laws or regulations or local ordinances or regulations applicable to implementation of the Project, or if Contractor violates any provisions of this contract, City shall have the right to terminate this contract by giving at least five days written notice to Contractor of the effective date of termination. Even if City terminates the contract, Contractor shall remain liable to City for all damages sustained by City due to Contractor’s failure to fulfill any provisions of this contract, and City may withhold any reimbursement payments from Contractor for the purpose of set-off until the exact amount of damages due to City from Contractor is determined. Contractor hereby expressly waives any and all claims for damages for compensation arising under this contract except as set forth in this section in the event of such termination.

ARTICLE VI. RECORDS RETENTION AND ACCESS
A. Records and Reports. The Contractor shall maintain records and make such reports as required by the City Manager to enable the City to analyze and audit Contractor’s project. Contractor shall maintain records of all information that the ESG Program requires, in accordance with 24 C.F.R. section 576.500. All records of the

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

Contractor related to this Contract or work performed under this Contract shall be open and available for inspection by HUD and/or City auditors during normal business hours. Records shall be maintained for a period of at least five (5) years after the end of the grant term. This provision also applies to subcontractors and Contractor will require subcontractors to comply with this provision. Contractor acknowledges that records created and maintained pursuant to this Agreement may be subject to public disclosure under the California Public Records Act.

B. Disclosure. The Contractor understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the City’s or Contractor’s responsibilities with respect to services provided under this contract, is prohibited by federal privacy laws unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian. This subsection does not limit Contractor’s obligation to make records available for inspection by HUD.

C. Quarterly Reports/Consolidated Annual Performance Evaluation Report (CAPER). Contractor shall provide the City with a quarterly report, submitted no later than fifteen (15) days after the last day of the previous quarter, which includes a narrative of the services provided, progress towards meeting the timeline goals stated in the contract, and an itemized accounting of the expenditures of ESG funds during the previous quarter, and number of unduplicated clients served. In addition, Contractor will submit an annual CAPER report. Failure to submit quarterly reports and CAPER report in a timely manner will result in withholding of ESG funds until the report has been submitted. Evidence of match must be submitted with each quarterly and annual report (CAPER).

D. Due Dates.

Q1. July 1 - September 30: Due October 15
Q2. October 1 – December 31: Due January 15
Q3. January 1 - March 31:Due April 15
Q4. April 3 - June 30: Due July 15
ARTICLE VII. PROJECT COMPLETION, AUDIT, AND CLOSEOUT
A. Project Completion. Within ninety (90) calendar days following Project completion or termination by City, Contractor agrees to submit a final certification of Project expenses and audit reports, as applicable.

B. Audit of Consultants. Contractor agrees to perform financial and compliance audits the City may require.

The Contractor also agrees to obtain any other audits required by City. Contractor agrees that Project closeout will not alter Contractor’s audit responsibilities.

C. Project Closeout. Project closeout occurs when City notifies the Contractor that City has closed the Project, and either forwards the final payment or acknowledges that the Contractor has remitted the proper refund. The Contractor agrees that Project closeout by City does not invalidate any continuing requirements imposed by the Agreement or any unmet requirements set forth in a written notification from City ARTICLE VIII. MISCELLANEOUS PROVISIONS

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

A. Contract Administration. The City Manager or designee shall administer this contract on behalf of the City. [Authorized to Sign on Behalf of Agency Title] shall administer this contract on behalf of the Contractor.

Within a reasonable time after the City makes a request, Contractor shall give the City progress reports or other documentation as required by the City’s Contract Administrator to audit Contractor’s performance of this contract.

B. Term. This contract shall commence when executed by the parties and shall continue in effect until terminated as provided herein or until Contractor has carried out all its obligations under the contract. Services of the Contractor shall start on the 1
st day of July, 2026 and end on the 30th day of June 2027. With City approval, the term of this contract and the provisions herein shall be extended to cover any additional time period during which the Contractor remains in control of ESG funds.

C. Actions on Behalf of the City. Except as City may specify in writing, Contractor shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever, as an agent or otherwise. Contractor shall have no authority, express or implied, to bind City or its members, agents, or employees, to any obligation whatsoever, unless expressly provided in this Agreement.

D. No Obligations to Third Parties. In connection with the Project, Contractor agrees and shall require that it’s agents, employees, subcontractors agree that the City shall not be responsible for any obligations or liabilities to any third party, including its agents, employees, subcontractors, or other person or entity that is not a party to this Agreement. Notwithstanding that the City may have concurred in or approved any solicitation, subcontract, or third party contract at any tier, neither City shall have any obligations or liabilities to such other party.

E. Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising out of this contract, against the City unless a claim has first been presented in writing and filed with the City and acted upon by the City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may from time to time be amended, the provisions of which are incorporated by this reference as if fully set forth herein, and such policies and procedures used by the City in the implementation of same. Upon request by City, Contractor shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this Agreement.

F. Attorney’s Fees. Should a dispute arising out of this contract result in litigation, it is agreed that the prevailing party shall be entitled to a judgment against the other for an amount equal to reasonable attorney's fees and court costs incurred. The "prevailing party" shall be deemed to be the party who is awarded substantially the relief sought.

G. Capacity of Parties. Each signatory and party hereto hereby warrants and represents to the other party that it has legal authority and capacity and direction from its principal to enter into this contract, and that all resolutions or other actions have been taken so as to enable it to enter into this contract.

H. Governing Law/Venue. This contract shall be governed by and construed in accordance with the laws of the State of California. Any action arising under or relating to this contract shall be brought only in the federal or state courts located in San Diego County, State of California, and if applicable, the City of Chula Vista, or as close thereto as possible. Venue, to the extent permitted by law, for this contract, and performance hereunder, shall be the City of Chula Vista.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

I. Audit Costs. Contractor shall reimburse City for all costs incurred to investigate and audit Contractor’s performance of its duties under the Contract if Contractor is subsequently found to have violated the terms of the contract. Reimbursement shall include all direct and indirect expenditures incurred to conduct the investigation or audit. City may deduct all such costs from any amount due Contractor under this contract.

J. Precedence. This contract constitutes the entire agreement of the parties and supersedes any previous oral or written understandings or contracts related to the matters covered herein. This contract may not be modified except by written amendment executed by each party.

K. Notice. Any notice or notices required or permitted to be given pursuant to this contract shall be personally served by the party giving notice or shall be served by certified mail. Notices shall be sufficient if personally served on or if sent by certified mail, postage prepaid, addressed to:

Contractor: City:
[Organization Name]
[Org Address]
[City],[State] [ZIP]
City of Chula Vista
Housing Manager
276 Fourth Avenue
Chula Vista, CA 91910
IN WITNESS WHEREOF, the Consultant and City have executed this contract as of the date first written above.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

IN WITNESS WHEREOF, the Consultant and City have executed this contract as of the date first written above.

CITY OF CHULA VISTA
Tiffany Allen,
City of Chula Vista City Manager

APPROVED AS TO FORM
Marco A. Verdugo
City Attorney
[Organization Name]
Employer Federal ID: {ID Number]
DUNS ID: {DUNS Number]
[Authorized to Sign on Behalf of Agency Title]
[Person authorized to Sign on Behalf of Organization]

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2026-2027 ESG Contract

CONSULTANT LEVINE ACT DISCLOSURE
California Government Code section 84308, commonly referred to as the Levine Act, prohibits any City of Chula Vista Officer (“Officer”) from taking part in decisions related to a contract if the Officer received a political contribution totaling more than $250 within the previous twelve months, and for twelve months following the date a final decision concerning the contract has been made, from the person or company awarded the contract. The Levine Act also requires disclosure of such contribution by a party to be awarded a specific contract. The Levine Act does not apply to competitively bid, labor, or personal employment contracts. ☐A. The Levine Act (Govt. Code §84308) DOES NOT apply to this Agreement. ☐B. The Levine Act (Govt. Code §84308) does apply to this Agreement and the required disclosure is as follows:

Current Officers can be located on the City of Chula Vista’s websites below:
 Mayor & Council - https://www.chulavistaca.gov/departments/mayor-council  City Attorney - https://www.chulavistaca.gov/departments/city-attorney/about-us  Planning Commissioners – www.chulavistaca.gov/pc
 Candidate for Elected Office – www.chulavistaca.gov/elections

1. Have you or your company, or any agent on behalf of you or your company, made political contributions totaling more than $250 to any Officer in the 12 months preceding the date you submitted your proposal, the date you completed this form, or the anticipated date of any Council action related to this Agreement?
YES: ☐ If yes, which Officer(s): Click or tap here to enter text.

NO: ☐

2. Do you or your company, or any agent on behalf of you or your company, anticipate or plan to make political contributions totaling more than $250 to any Officer in the 12 months following the finalization of this Agreement or any Council action related to this Agreement? YES: ☐ If yes, which Officer(s): Click or tap here to enter text.

NO: ☐
Answering yes to either question above may not preclude the City of Chula Vista from entering into or taking any subsequent action related to the Agreement. However, it may preclude the identified Officer(s) from participating in any actions related to the Agreement.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME Investment Partnerships Program
City of Chula Vista
Tenant Based Rental Assistance Program Contract
by and between the
City of Chula Vista
and
SBCS Corporation
This Contract by and between the City of Chula Vista (hereinafter referred to as “City”), and SBCS Corporation(hereinafter referred to as “Subrecipient”) to administer a Tenant Based Rental Assistance Program funded with HOME Investment Partnerships Program funds, is effective on July 1, 2026 (“Effective Date”).

W I T N E S S E T H:

WHEREAS, there has been enacted into law the HOME Act, Title II of the Cranston‐ Gonzalez National Affordable Housing Act, creating the HOME Investment Partnerships Program that provides funds to expand the supply of affordable housing for very low‐income and low‐ income persons; and
WHEREAS, the City, is authorized to apply for and accept HOME Investment Partnerships funds; and
WHEREAS, the City incorporated a Tenant Based Rental Assistance program described in Attachment A hereof (hereinafter referred to as the “Project”) into the City’s Community Development Block Grant/HOME Investment Partnerships/Emergency Shelter Grant Annual Funding Plan which was submitted to the U.S. Department of Housing and Urban Development (HUD); and
WHEREAS, HUD has approved the City Annual Funding Plan for HOME Investment Partnerships funds, and
WHEREAS, the City Council via Resolution Number xxxx-xxx approved funding for a Tenant Based Rental Assistance Program described in Attachment A here of (hereinafter referred to as the “Project”) on May 19, 2026; and

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

WHEREAS, it is the desire of the Subrecipient and the City that the Project be implemented by the Subrecipient, and
WHEREAS, the City and Subrecipient agree that Subrecipient shall undertake the same obligations to the City with respect to the Project in the City’s aforesaid Annual Funding Plan for participation in the HOME Investment Partnerships Program; and NOW THEREFORE, IT IS AGREED AS FOLLOWS:

I. TENANT BASED RENTAL ASSISTANCE PROGRAM: The Subrecipient shall implement the scope of work (“Scope of Work”) described in Attachment A, hereof fully and in accordance with the terms of the Annual Funding Plan approved by the City and submitted to HUD in application for funds to carry out the Project and the Certifications which were submitted concurrently with the Annual Funding Plan. The Annual Funding Plan and Certificationsform is hereby incorporated by reference into this contract fully as if set forth herein.

II. WORK TO BE PERFORMED: Subrecipient shall also undertake the same obligationsto the City that the City has undertaken to HUD pursuant to said Annual Funding Plan and Certifications. The obligations undertaken by the Subrecipient include, but are not limited to, the obligation to comply with the current and most up‐to‐date version of each of the following:

A. Title II of the Cranston‐Gonzalez National Affordable Housing Act, as amended, 42 U.S.C. § 12704;
B. Regulations of the Department of Housing and Urban Development relating to HOME Investment Partnerships program (24 CFR 92.1, et seq.); C. Regulations of the Department of Housing and Urban Development relating to environmental review procedures for the HOME Investment Partnerships program (24 CFR 92.352);
D. Title VI of the Civil Rights Act of 1964 (42 USC § 2000d); Title VII of the Civil Rights Act of 1968 (Public Law 88‐352); Title VIII of the Civil Rights Act of 1968 (Fair Housing Act, 42 USC § 3601, et seq.); Section 109 of the Housing and Community Development Act of 1974; Executive Order 11246 (equal employment opportunity); Executive Order 11063 (non‐discrimination), as amended by Executive Order 12259; and any HUD regulations heretofore issued orto be issued to implement these authoritiesrelating to civilrights;

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

E. All section 3 covered contracts shall include the following clause (referred to as the “section 3 clause”):
i. The work to be performed under this contract is subject to the requirements of section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u (section 3). The purpose of section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD‐assisted projects covered by section 3, shall, to the greatest extent feasible, be directed to low‐ and very low‐ income persons, particularly persons who are recipients of HUD assistance for housing.
ii. The parties to this contract agree to comply with HUD's regulations in 24 CFR 135.1, et seq., which implement section 3. As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the Part 135 regulations.
iii. The Subrecipient agrees to send to each labor organization or representative of workers with which the Subrecipient has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representative of the Subrecipient's commitments under this section 3 clause, and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin.
iv. The Subrecipient agrees to include this section 3 clause in every subcontract subject to compliance with Part 135 regulations, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this section 3 clause, upon a finding that the Subrecipient is in violation of Part 135 regulations. The Subrecipient will not subcontract with any Subrecipient where the Subrecipient has notice or knowledge that the Subrecipient has been found in violation of the regulations in 24 CFR 135.1, et seq..
v. The Subrecipient will certify that any vacant employment positions, including training positions, that are filled (1) after the Subrecipient is selected but before the contract is executed, and (2) with persons other than those to whom the Part 135 regulations require employment

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

opportunities to be directed, were not filled to circumvent the Subrecipient's obligations under 24 CFR Part 135.
vi. Noncompliance with Part 135 regulations may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts.
vii. With respect to work performed in connection with section 3 covered Indian housing assistance, section 7(b) of the Indian Self‐Determination and Education Assistance Act (25 U.S.C. 450e) also applies to the work to be performed under this contract. Section 7(b) requires that to the greatest extent feasible (i) preference and opportunities for training and employment shall be given to Indians, and (ii) preference in the award of contracts and subcontracts shall be given to Indian organizations and Indian‐owned Economic Enterprises. Parties to this contract that are subject to the provisions of section 3 and section 7(b) agree to comply with section 3 to the maximum extent feasible, but not in derogation of compliance with section 7(b).

F. The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, 42 USC § 4601, et seq., and regulations adopted to implement that Act in 49 CFR Part 24;
G. Cost principles have been established for non‐profits through 2 CFR part 200, subpart E, entitled “Cost Principles for Non‐Profit Organizations”; 2 CFR part 230 entitled “Cost Principles for Non‐Profit Organizations” (Circular A–122); and 2 CFR Part 225 entitled “Cost Principles for State, Local, and Indian Tribal Governments” (OMB Circular A–87); This part establishes principles for determining costs of grants, contracts and other agreements with non‐profit organizations. The principles are designed to provide that the Federal Government bear its fair share of costs except where restricted or prohibited by law. The principles do not attempt to prescribe the extent of cost sharing or matching on grants, contracts, or other agreements. However, such cost sharing or matching shall not be accomplished through arbitrary limitations on individual cost elements by Federal agencies;
H. 24 CFR 92.503 concerning program income, repayments, and recaptured funds” of the HOME Regulations. Any program income earned by Subrecipient in carrying out the activities of this contract shall be returned to the City. Upon expiration of this agreement, Subrecipient shall transfer to the City any HOME funds on hand at the time of expiration and any accounts receivable attributable to the use of HOME funds;

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

I. 24 CFR 92.252 or 92.254, as applicable, concerning affordability provisions of the HUD regulations relating to the HOME Investment Partnerships Program. Repayment of any funds to the City is required if the housing does not meet the affordability requirementsforthe specified time period; J. The following laws and regulations relating to preservation of historic places: the National Historic Preservation Act of 1966 (Public Law 89‐665); the Archaeological and Historical Preservation Act of 1974 (Public Law 93‐ 291); and Executive Order 11593;
K. The Labor Standards Regulations set forth in 24 CFR 92.354; L. Subrecipient is aware of the requirements of California Labor Code Section 1720, et seq., and 1770 et seq., as well as California Code of Regulations, Title 8, Section 1600 et seq. (“State Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on “public works” and “maintenance” projects. If the funds are used as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Subrecipient agrees to fully comply with such State Prevailing Wage Laws. This requirement includes but is not limited to all requirements related to registration with the Department of Industrial Relations to perform public works, and ensuring that all contractors and subcontractors are registered to perform public works. Additionally, pursuant to Labor Code section 1781, if Civil Code sections 9550 et seq. require delivery of a payment bond, Subrecipient shall ensure that all required payment bonds are obtained. This section does not prohibit Subrecipient from determining that an applicable exception under the Prevailing Wage Laws applies;
M. The Hatch Act relating to the conduct of political activities (5 U.S.C. §§ 1502, et. seq.);
N. The Flood Disaster Protection Act of 1974 (42 U.S.C. § 4106 and the implementing regulations in 44 CFR Parts 59‐79);
O. The Rehabilitation Act of 1973 (Public Law 92‐112) as amended, including Section 504 which relates to nondiscrimination in federal programs and HUD Regulations set forth in 24 CFR Part 8;
P. The Clean Air Act (42 U.S.C. § 7401, et seq.) and the Federal Water Pollution Control Act, as amended (33 U.S.C. § 1251, et seq.) and the regulations adopted pursuant thereto (40 CFR 6.100, et seq,);

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

Q. The Drug‐Free Workplace Act of 1988 (Public Law 100‐690); R. The Lead‐Based paint Poisoning Prevention Act, the Residential Lead‐Base Paint Hazard Reduction Act of 1992, and implementing regulations at 24 CFR 35.80, et seq.;
S. No member, officer or employee of the Subrecipient, or its designee or agents, no member of the governing body of the locality in which the program issituated, and no other public official ofsuch locality or localities who exercises any functions or responsibilities with respect to the program during his/her tenure or for one year thereafter, shall have any interest, direct, or indirect, in any contract or subcontract, or the process thereof, for work to be performed in connection with the program assisted under the Grant, and that it shall incorporate, or cause to be incorporated, in all such contracts or subcontracts a provision prohibiting such interest pursuant to the purposes of this certification;
T. The Sub-recipient shall administer the funds in accordance with all applicable immigration restrictions and requirements, including the eligibility and verification requirements that apply under title IV of Personal Responsibility and Work Opportunity Reconciliation Act of 1996, as amended (8 USC 1601-0646) (PRWORA) and any applicable requirements that HUD, the Attorney General, or the U.S. Citizenship and Immigration Services may establish from time to time to comply with PRWORA, Executive Order 14218, or other Executive Orders or immigration laws. Sub-recipient shall use SAVE, or an equivalent verification system approved by the Federal government, to prevent any Federal public benefit from being provided to an ineligible alien who entered the United States illegally or is otherwise unlawfully present in the United States;

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

U. The Subrecipient certifies, that in accordance with Section 319 of Public Law 101‐121, to the best of his or her knowledge and belief that:
i. No federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, an officer or employee of Congress, in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative contract, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative contract.
ii. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a member of Congress, or an employee of a member of Congress in connection with this federal contract, grant, loan, or cooperative contract, the undersigned shall complete and submit Standard Form‐LLL, “Disclosure Form to Report Lobbying”, in accordance with its instructions.

V. The Subrecipient will adopt an affirmative marketing plan in accordance with 24 CFR 92.351 ifthe housing being funded containsfive or more units.

W. The Architectural Barriers Act of 1968 (42 U.S.C. §§ 4151, et seq.); III. COMPLIANCE WITH LAWS: Subrecipient shall comply with all applicable local, state, and federal laws, regulations, and ordinances when performing when performing the work required by this Contract.

IV. COMPENSATION: City shall reimburse Subrecipient for the management and implementation of a rental assistance and security deposit assistance costs it incurs under this Contract, not to exceed a maximum reimbursement of $xxx,xxx.00. Subrecipient shall not submit claims to the City nor shall City reimburse Subrecipient for costs for which Subrecipient is reimbursed from a source other than the funds allocated for work under this Contract.

V. COMPENSATION SCHEDULE: City shall pay Subrecipient monthly progress payments upon certification and submittal by Subrecipient of a statement of actual expenditures incurred, provided, however, that not more than 90% of the total agreed compensation will be paid during the performance of this Contract. The balance due shall be paid upon certification by Subrecipient that all of the required services have been completed. Payment by City is not to be construed as final in the event HUD disallows reimbursement for the project or any portion thereof. The 10% retention will not apply to acquisition or service contracts.

VI. EXPENDITURE STANDARD: In order to insure effective administration and performance of approved HOME Investment Partnerships Grant Projects and to meet HUD performance

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standards, Subrecipient agrees that it shall expedite implementation of the project described herein.

VII. TERM: This contract shall commence when executed by the parties and shall continue in effect until terminated as provided herein or until Subrecipient has carried out all its obligations under the contract. Services of the Subrecipient shall start on the 1st day of July, 2026 and end on the 30th day of June of 2027. With City approval, the term of this Agreement and the provisions herein shall be extended to cover any additional time period needed to expend the project HOME funds.

A. City shall have the option to extend this contract for 3 additional one year term(s) by giving written notice to Subrecipient prior to the expiration of the current term. Each subsequent term shall commence on the 1st day of July and end on the 30th day of June of the respective year.

VIII. TERMINATION FOR CONVENIENCE: The City may permit the agreement to be terminated for convenience in accordance with 2 CFR Appendix II to Part 200.

IX. AUTOMATIC TERMINATION: This Contract shall terminate at the discretion of the City if the United States Government terminates the HOME Investment Partnerships Grant Program or terminates the Project, which is the subject of this Contract, upon Subrecipient's satisfactory completion of the objectives set forth in the Scope of Work as determined by City, or that the City, in its sole and unfettered discretion, determines that United States Government funding of the Project that is the subject of this Contract is insufficient to continue the Project.

X. TERMINATION OF CONTRACT FOR CAUSE:

In accordance with 2CFR Part 200.339, if Subrecipient failsto fulfill in a timely and proper manner its obligations under this contract to undertake, conduct or perform the Project identified in this Contract, or if Subrecipient violates any state laws or regulations or local ordinances or regulations applicable to implementation of the Project, or if Subrecipient violates any provisions of this contract, City shall have the right to terminate this contract by giving at least ten (10) days’ written notice to Subrecipient of the effective date of termination. Even if City terminates the Agreement, Subrecipient shall remain liable to City for all damages sustained by City due to Subrecipient’s failure to fulfill any provisions of this Contract, and City may withhold any reimbursement payments from Subrecipient for the purpose of set‐off until the exact amount of damages due to City from Subrecipient is determined. Subrecipient hereby expressly waives any and all claimsfor damages for compensation arising under this contract except asset forth in this section in the event of such termination.

XI. CONTRACT ADMINISTRATION: The Department of Housing and Homeless Services of the City of Chula Vista, shall administer this Contract on behalf of the City. The President & CEO of SBCS or her designee shall administer this contract on behalf of the Subrecipient. Within a reasonable time after the City makes a request, Subrecipient shall give the City progress reports or other documentation as required by the City’s Administrator to audit Subrecipient’s performance of this Contract.

XII. RECORDS AND REPORTS: The Subrecipient shall maintain records and make such reports

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

as required by the City’s Administrator, to enable the City to analyze Subrecipient’s project. All records of the Subrecipient related to this Contract or work performed under this Contract shall be open and available for inspection by HUD and/or City auditors during normal business hours.

XIII. RETENTION: The Subrecipient shall retain all financial records, supporting documents, statistical records, and all other records pertinent to the Agreement for a period of five (5) years after the final draw and all reporting, and until the submission of Grantee’s annual performance and evaluation report to HUD in which the activities assisted under the Agreement are reported on for the final time. Notwithstanding the above, if there is litigation, claims, audits, negotiations or other actions that involve any of the records cited and that have started before the expiration of the five‐year period, then such records must be retained until completion of the actions and resolution of all issues, or the expiration of the five‐year period, whichever occurs later.

XIV. DATA: The Subrecipientshall maintain data demonstrating eligibility (low‐moderate income data) for Tenant Based Rental Assistance applicants and participants. Such data shall include, but not be amount of assistance, eligibility, waiting list, work performed, and a description of service provided. Such information shall be made available to City monitors or their designeesfor review upon request.

XV. DISCLOSURE: The Subrecipient understands that client information collected under this contract is private and the use or disclosure of such information, when not directly connected with the administration of the City’s or Subrecipient’s responsibilities with respect to services provided under this contract, is prohibited by the state of Federal law privacy laws unless written consent is obtained from such person receiving service and, in the case of a minor, that of a responsible parent/guardian. Subrecipient shall have applicant signed a City release of information (Attachment H).

XVI. QUARTERLY REPORTS/ANNUAL REPORT
Subrecipient shall provide the City with a quarterly report, submitted no later than fifteen (15) days after the last day of the previous quarter, which includes a narrative of the services provided, progress towards meeting the timeline goals stated in the contract, and an itemized accounting of the expenditures of HOME funds during the previous quarter. In addition, Contractor will submit an annual CAPER report. Failure to submit quarterly reports in a timely manner will result in withholding of HOME funds until the report has been submitted.  Q1. July 1 - September 30: Due October 15
 Q2. October 1 – December 31: Due January 15
 Q3. January 1 - March 31: Due April 15
 Q4. April 3 - June 30: Due July 15
INDEMNIFICATION: City shall not be liable for, and Subrecipientshall defend and indemnify City and its officers, agents, employees and volunteers against any and all claims, deductibles, self‐insured retentions, demands, liability, judgments, awards, fines, mechanics’ liens or other liens, labor disputes, losses, damages, expenses, charges or costs of any kind or character, including attorneys’ fees and court costs (collectively, Claims), which arise out of or are in any way connected with the work covered by this Contract arising either directly or indirectly from any act, error, omission or negligence of Subrecipient or its officers, employees, agents, Subrecipients, licensees or

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

servants, including without limitation, Claims caused by the concurrent act, error, omission or negligence, whether active or passive, of City, and/or its agents, officers, employees or volunteers.

However, Subrecipient shall have no obligation to defend orindemnify City from a Claim if it is determined by a court of competent jurisdiction that such Claim was caused by the sole negligence or willful misconduct of City or its agents or employees.

Subrecipient and its successors, assigns, and guarantors, if any, jointly and severally agree to indemnify, defend (with counsel selected by City) reimburse and hold City and its officers, employees and agents harmless from any claims, judgments, damages, penalties, fines, costs, liabilities (including sums paid in settlement of claims) or loss, including attorneys’ fees, consultants’ fees, and experts’ fees which arise during or after the contract term for any losses incurred in connection with investigation of site conditions, or any cleanup, remedial, removal or restoration work required by any hazardous materialslaws because of the presence of hazardous materials, in the soil, ground water or soil vapors on the premises, and the release or discharge of hazardous materials by Subrecipient during the course of any alteration or improvements of the Premises by Subrecipient, unless hazardous materials are present solely as a result of the gross negligence or willful misconduct of City, its officers, employees or agents. The indemnification provided by this section shall also specifically cover costs incurred in responding to:
a. Hazardous materials present or suspected to be present in the soil, ground water to or under the Property before the Commencement date;
b. Hazardous materials that migrate, flow, percolate, diffuse, or in any way move on to or under the Property following the Commencement Date; or c. Hazardous materials present on or under the Property as a result of any discharge, release, dumping,spilling (accidental or otherwise), onto the Property during or after the Term of this contract by any person, corporation, partnership or entity other than City.

The foregoing indemnities shall survive the expiration or termination of the contract any or any transfer of all or any portion of the Premises, or of any interest in this contract and shall be governed by the laws of the State of California.

XVII. AUDIT COSTS: Subrecipient shall reimburse City for all costs incurred to investigate and audit Subrecipient’s performance of its duties under the Contract if Subrecipient is subsequently found to have violated the terms of the Contract. Reimbursement shall include all direct and indirect expenditures incurred to conduct the investigation or audit. City may deduct all such costs from any amount due Subrecipient under this Contract.

XIX ENTIRE CONTRACT: This contract constitutes the entire agreement of the parties and supersedes any previous oral or written understandings or contracts related to the matters covered herein.

XX MODIFICATION: This contract may not be modified except by written amendment executed by each party.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

XXI ACKNOWLEDGEMENT OF FUNDING: Subrecipient shall identify the City of Chula Vista as the source of funding, or, if applicable, one of the sources of funding in public announcements that are made regarding the project. Acknowledgement of the City’s funding role, for example, should be included in publicity materials related to the project. In addition, Subrecipient agrees that the City shall be apprised of any special events linked to the project so that a review can be made on what role, if any, the City would assume.

XXII NO WAIVER: No failure, inaction, neglect or delay by City in exercising any of its rights under this Contract shall operate as a waiver, forfeiture or abandonment of such rights or any other rights under this Contract.

XXIII CONFLICT OF INTEREST: In the procurement of supplies, equipment, construction, and services by Subrecipients and Sub-Subrecipients, the conflict-of-interest provisions, 2 CFR Part 200, shall apply. In all cases not governed by the provisions of said Super Circular and regulation, 24 CFR 92.356 (b) shall apply.

A. No member of the governing body, officers or employee of the Subrecipient, or its designees or agents, or any other person who exercises any functions or responsibilities with respect to the program assisted by this Agreement during his tenure or for one year thereafter, shall have any direct interest in any contract or subcontract, or the proceeds thereof, for the work to be performed in connection with the program.

B. No employee, officer or agent of the Subrecipient shall participate in the selection, award, or administration of a contract supported by HOME if a conflict‐of‐interest, either real or apparent, would be involved.

C. The Subrecipient shall incorporate, or cause to be incorporated in all third-party agreements, a provision prohibiting such interest pursuant to the purpose of this Section.

D. Subrecipient must maintain written standards of conduct governing the award and administration of contracts. At a minimum, these standards must:

Require that no employee, officer, or agent may participate in the selection, award, or administration of a contract supported by Federal funds if a real or apparent conflict would be involved. Such a conflict would arise when any of the following parties has a financial or otherinterest in the firm selected for an award:
 The employee, officer, or agent of the Subrecipient;
 Any member of an employee’s office’s or agent’s immediate family;  An employee’s, agent’s, or officer’s partner; or
 Any organization which employs or is about to employ any of the above.  Require that employees, agents, and officers of the Subrecipient neithersolicit nor accept gratuities, favors, or anything of value from Subrecipients, or parties of agreements. However, Subrecipients may setstandardsforsituationsin which the financial interest is not substantial or the gift is an unsolicited item of nominal value.

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

 Provide for disciplinary actions to be applied for any violations of such standards by employees, agents or officers of the Subrecipient.

XXIV. EQUAL OPPORTUNITY: The Subrecipient agrees to comply with all the requirements relating to fair employment practices, to the extent applicable and shall cause the foregoing provision to be inserted in all contracts with third partiesfor any work covered by this Agreement so that such provisions will be binding upon such third parties. Subrecipient will conduct and administer the grant in conformity with 24 CFR 92.350.

XXV. LOBBYING: The undersigned certifies, to the best of his or her knowledge and belief that:

1. No appropriated federal funds have been paid, or will be paid, by or on behalf of the undersigned to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan or cooperative agreement.

2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress in connection with this Federal Contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Disclosure Form to Report Lobbying (Standard Form‐LLL), in accordance with its instructions.

3. The undersigned shall require that the language of this certification be included in the award documents for all sub‐awards at all tiers (including subcontract

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

sub‐grants, and contracts under grants, loans, and cooperative agreements) and that all sub‐recipients shall certify and disclose accordingly.

This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each failure.

XXVI WAIVER OF ENFORCEMENT: No waiver by the City of the right to enforce any provision of this Agreement shall be deemed a waiver of the right to enforce each and all the provisions hereof.

XXVII REVISIONS AND AMENDMENTS AND APPROVALS
A. Any changes to this Agreement shall constitute an amendment.

B. The Subrecipient shall not expand, enhance, commingle or add to the scope of the program, covered by the Agreement.

C. Amendments of the terms of this Agreement shall not become effective unless reduced to writing, numbered, agreed to and signed by the City and the duly authorized representative of the Subrecipient.

XXVIII NOTICE: Any notice of notices required or permitted to be given pursuant to this Contract shall be personally served by the party giving notice or shall be served by certified mail, postage prepaid, addressed to:

SUBRECIPIENT: CITY:

SBCS
Attn: President & CEO
430 F Street
Chula Vista, CA 91910
City of Chula Vista‐Department of Housing and Homeless
Services
Attn: Housing Director
276 Fourth Avenue Bldg. A
Chula Vista, CA 91910
[Signature Page to Follow]

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda HOME TBRA Agreement

SIGNATURE PAGE
IN WITNESS WHEREOF, the Subrecipient and City have executed this contract as of the date first written above.

CITY OF CHULA VISTA
Tiffany Allen
City Manager

APPROVED AS TO FORM
Marco Verdugo
City Attorney

SUBRECIPIENT
SBCS Employer Federal ID: 95-2693142
DUNS ID: 113407779
Kathryn Lembo, President & CEO

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Attachments to Agreement
Attachment A – Scope of Work
Attachment B – Insurance Requirements
Attachment C – HUD Income Limits
Attachment D – Disclosure Form
Attachment E‐ CPD Notice Guidance on Tenant‐Based Rental Assistance under the HOME Program Attachment F‐ Sample Monthly Payment Authorization form Attachment G‐ HOME Set up Form
Attachment H‐ City Release of Information
Attachment I‐ HUD Waivers (approved)

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

Scope of Work

ATTACHMENT A

SCOPE OF WORK
1) The Subrecipient agrees to work with the City to locate and assist up to 5 low income households earning less than 60% of the Area Median income who live in the City of Chula Vista. Project shall be implemented in accordance with the provisions contained in the Federal Act, the most recent HOME Program regulations (24 CFR Part 92) and this Agreement. Subrecipient responsibilities include but are not limited to:
a) Providing approximately 5 HOME Tenant Based Rental Assistance (TBRA) for short term or medium‐term assistance, in accordance with Title 24, Code of Federal Regulations Section 92.209, and SBCS Tenant Based Rental Assistance Program Administrative Plan (TBRA‐AP). This assistance can include security deposit assistance (up to 1 month’s rent) and utility assistance in accordance with the TBRA‐AP. The TBRA‐AP shall be consistent with the Chula Vista City Council item #xxxxxx that was approved by City Council on May 12, 2026. b) Subrecipient can also use the HUD approved waivers included in Attachment I to implement the Program through June 30, 2027, unless extended by HUD.
c) Counsel prospective tenants regarding landlord/tenant responsibilities, methods of locating suitable units and equal housing opportunity laws;
d) Maintain a waiting list and administer the HOME TBRA program as stated in CPD Notice 96‐07 Guidance of Tenant‐Based Rental Assistance under the HOME Program (Attachment E), Building HOME Chapter 7, HOME Final Rule, and 24 CFR part 92;
2) General Program Rules Part I:
a) Calculate and determine eligibility using the United Stated Department of Housing and Urban Development’s Technical Guide for Determining Income and Allowances for the HOME Program;
b) Provide financial literacy, and other self‐sufficiency services to families receiving TBRA assistance; and
c) Conduct Annual Eligibility Recertifications. Annual Inspections will also be required. d) For each fiscal year, 100 percent of Eligible Households assisted through HOME TBRA must be at or below 60 percent of area median income, adjusted for family size. e) Eligibility is determined by comparing the household’s anticipated gross annual income for the next twelve months to the income limits for the appropriate household size. (The

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

Scope of Work
definition of annual income is defined in Section 8 of the United States Housing Act of 1937.) Verification of income should be completed in accordance with the rule of the Section 8 Housing Choice Voucher Program.
f) Written certification of income eligibility must be obtained prior to occupancy. If applicants or household members that are being assisted have given false information and do not meet their family obligations, the Subrecipient must notify the City and rental assistance must be terminated.
g) Eligible Households who receive assistance under this Agreement must be currently on a waiting list for a Section 8 Housing Choice Voucher Program and must be transitioned from the HOME TBRA program to the Section 8 program if a Housing Choice Voucher becomes available to them.
h) Eligible Households who receive assistance under this Agreement must be currently on a waiting list for Public Housing and Affordable Housing. i) Eligible Households must participate in family self-sufficiency services and develop a housing plan.
j) No TBRA application shall be accepted by the Subrecipient after expiration of this contract unless otherwise extended in writing by the City, but in no event will the contract be extended beyond an additional one year.
k) The Subrecipient is responsible for obtaining the following documentation for each Eligible Household applying to receive TBRA:
i) Tenant Income, asset, and criminal history certification. If applicant discloses violent or drug related criminal history, further research may be needed to determine eligibility).
ii) Signed HOME Coupon (voucher)
iii) Request for Tenancy Approval (original)
iv) Conduct a Rent Reasonableness certification; and
v) Signed Lease and Lease Addendum (copy).
l) Rental assistance under this program is not portable and is available to Eligible Households to rent the unit of their choice in the City of Chula Vista provided it does not already receive any form of rental assistance. The assistance is conditioned upon eligibility, issuance of a voucher, Housing Quality Standards Inspection, the execution of a Lease Addendum between the landlord/owner and the Eligible Household, and a Housing Assistance Payment contract between the landlord/owner and the City of Chula Vista. Households may rent units outside the City of Chula Vista only in instances when doing so is necessary for reasonable accommodation for persons with disabilities. 3) General Program Rules Part II
a) The Subrecipient will apply its stated method of continued program participation, including annual income certification and unit inspections, as documented in their Tenant Based Rental Assistance Program Administrative Plan. If Income exceeds 60% of Area Median Income at recertification, assistance must be terminated.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

Scope of Work
b) Assisted units may be publicly or privately owned; however, units covered under a project‐based rental assistance agreement or Public Housing Authority units are not eligible.
c) SBCS must perform initial and annual on‐site inspections of rental housing occupied by tenants receiving HOME‐assisted TBRA to determine compliance with property standards for 24 CFR Part 92.251. The City will be required to inspect units at initial occupancy and certify that the unit meets minimum HUD Housing Quality Standards (HQS). Housing Assistance Payments (HAP) will not begin until the unit has passed a HQS inspection and the unit has been approved by SBCS.
d) The Subrecipient shall execute a Housing Assistance Payment contract with the landlord. In addition, the Subrecipient shall obtain a copy of the signed lease agreement and Lease Addendum executed between the landlord and the tenant. e) The Subrecipient shall maintain a waiting list of families and a written tenant selection policies and criteria that provide housing to low and very low‐income families that is consistent with the City’s Consolidated Plan. During the term of the contract, the preferences established by the Subrecipient must be consistent with the purpose of providing assistance to very low and low‐income families and the TBRA‐AP. The waiting list shall be used to fill openings based on their priority status and chronological place on the waiting list.
f) The term of the lease between the tenant and the owner must be at least for one year, unless both mutually agree in writing. The subsidy payments to the landlord under the HOME TBRA program shall not exceed 12 months from the date of initial occupancy and in no event exceed the actual period of occupancy, if less than 12 months. Tenants may have the option for a one-time re-certification for an additional 12 months with payments not to exceed a total of 24 months. The tenant shall be solely responsible for any damages caused by breaching the lease that exceed the security deposit. g) Rental assistance calculations must be prorated during the initial month. Leases should begin on the first day actual tenant occupancy. SBCS shall not be held responsible for paying the rent if the resident chooses to move into the unit prior to SBCS approval. h) Certain lease provisions are prohibited under the Regulations. These provisions are contained in the Lease Addendum which shall be executed by the landlord and tenant. i) The amount of rental assistance paid on behalf of an Eligible Household is limited to the difference between the established rent for the unit and thirty percent (30%) of the Eligible Household's gross monthly income.

Example: $500 rent and $12,000 annual gross income would require a subsidy of:

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

Scope of Work
($12,000/12 months) x .30 = $300 (tenant payment) $500 rent minus $300 tenant payment = $200 monthly subsidy Exclusions are permissible when calculating income, (e.g., dependents, disability, elderly, and child care). j) Utility allowances are permissible when calculating rent. k) Applicant’s and Participant’s minimum rent is $50.00. l) Subrecipient will develop and provide each participant with a Tenant Handbook (i.e.

Family Obligations) outlining the participant’s responsibilities. m)Match‐ As with all HOME Activities, TBRA program expenditures require a 25% non‐ federal local match. City will provide the required matching funds. n) The Subrecipient shall use the Housing Choice Voucher Model for calculating rental subsidies. The maximum amount that the HOME TBRA program may pay to assist any given household is the difference between 30 percent of the household’s adjusted monthly income and the lower of the contract rent or payment standard. The payment standard is lesser of the County of San Diego’s Payment Standard or the Fair Market Rent (100%). For the initial lease for the unit, the family’s share (total family contribution) cannot exceed 40% of the family’s monthly adjusted income (including exempt income).

The minimum tenant payment is $50.00.
o) Issues not covered in this agreement are to be handled in accordance with HUD 24 CFR Part 92, HOME Investment Partnerships Program Final Rule, Community Planning and Development Notice 96‐07 (CPD Notice 96‐07), and HUD’s Technical Guide for Determining Income and Allowances for the HOME Program. 4) Additional Requirements:
a) The City and/or the City’s monitoring agents will monitor the performance of the Subrecipient as it relates to this Agreement on a periodic basis. City may request quarterly meetings.
b) The Subrecipient will transmit to the City a Monthly Payment Authorization form (Attachment F), authorizing payment for all Eligible Households. Households that are subsequently determined to be ineligible or who have served notice they have vacated must be removed from the next monthly submittal. Subrecipient must notify the City within 10 days in the event that a tenant moves out of a TBRA assisted unit. c) In addition to the required quarterly reports identified in Section XVI of this Contract, the Subrecipient shall document eligibility mentioned above to ensure that those served are at or below 60 percent of the Area Median Income as established by the U.S. Department of Housing and Urban Development (HUD). This information is to be collected and compiled at the kept for (5) years, and shall be submitted to the City of Chula Vista upon receipt of a written request and at the time of any monitoring of project records.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

Scope of Work
5) Performance:
a) ESTIMATED TIME SCHEDULE: Subrecipient will make all good faith and reasonable efforts to implement the project in compliance with the following estimated implementation schedule, or earlier:

July 1, 2026 - June 30, 2027
b) ESTIMATED BUDGET: Subrecipient shall make all good faith and reasonable efforts to complete the work under this Contract within the following estimated budget. In no case shall Subrecipient be entitled to, nor shall CITY reimburse Subrecipient, for more than $xxx,xxx for work performed under this Contract, including:
 Tenant Based Rental Assistance
 Security Deposit Assistance (limited to one‐month rent per family)  Utility assistance
[end of Scope of Work document]

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

ATTACHMENT B

INSURANCE REQUIREMENTS FOR SUBRECIPIENTS
Subrecipient must procure insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work under the contract and the results of that work by the Subrecipient, his agents, representatives, employees orsub‐subrecipients and provide documentation ofsame priorto commencement or work. The insurance must be maintained forthe duration of the contract.

I. Minimum Scope of Insurance
Coverage must be at least as broad as:

1. Insurance Services Office Commercial General Liability coverage (occurrence Form CG0001)

2. Insurance Services Office Form Number CA 0001 covering Automobile Liability, code1 (any auto).

3. Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance.

II. Minimum Limits of Insurance
Subrecipient must maintain limits no less than:

1. General Liability:
(Including operations,
products and completed
operations, as applicable.)
$1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability insurance with a general aggregate limit is used, either the general aggregate limit must apply separately to this project/location or the general aggregate limit must be twice the required occurrence limit.

2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage.

3. Workers’ Compensation
Employer’s Liability:

Statutory
$1,000,000 each accident
$1,000,000 disease‐policy limit
$1,000,000 disease‐each employee
Deductibles and Self‐Insured Retentions
Any deductibles or self‐insured retentions must be declared to and approved by the City. At the option of the City, either the insurer will reduce or eliminate such deductibles orself‐insured retentions asthey pertain to the City, its officers, officials, employees and volunteers; or the Subrecipient will provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration, and defense expenses.
page 1 of 3

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Other Insurance Provisions
The general liability, automobile liability, and where appropriate, the worker’s compensation policies are to contain, or be endorsed to contain, the following provisions:

1. The City of Chula Vista, its officers, officials, employees, agents, and volunteers are to be named as additional insureds with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Subrecipient, where applicable, and, with respect to liability arising out of work or operations performed by or on behalf of the Subrecipient including providing materials, parts or equipment furnished in connection with such work or operations. The general liability additional insured coverage must be provided in the form of an endorsement to the Subrecipient’s insurance using ISO CG 2010 (11/85) or its equivalent. Specifically, the endorsement must not exclude Products / Completed Operations coverage.

2. The Subrecipient’s insurance coverage must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or self‐insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from the insurance of the Subrecipient and in no way relieves the Subrecipient from its responsibility to provide insurance.

3. Each insurance policy required by this clause must be endorsed to state that coverage will not be canceled by either party, except after thirty (30) days’ prior written notice to the City by certified mail, return receipt requested.

4. Coverage shall not extend to any indemnity coverage for the active negligence of the additional insured in any case where an agreement to indemnify the additional insured would be invalid under Subdivision (b) of Section 2782 of the Civil Code.

5. Subrecipient’s insurer will provide a Waiver of Subrogation in favor of the City for each required policy providing coverage during the life of this contract.

Acceptability of Insurers
Insurance isto be placed with licensed insurers admitted to transact businessin the State of California with a current A.M. Best’s rating of no less than A V. If insurance is placed with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus LinesInsurers(LESLI) with a current A.M. Best’s rating of no less than A X. Exception may be made for the State Compensation Fund when not specifically rated.

Verification of Coverage
Subrecipientshall furnish the City with original certificates and amendatory endorsements effecting coverage required by this clause. The endorsements should be on insurance industry forms, provided those endorsements conform to the contract requirements.

All certificates and endorsements are to be received and approved by the City before work commences.

The City reservesthe right to require, at any time, complete, certified copies of allrequired insurance policies, including endorsements evidencing the coverage required by these specifications.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Insurance Requirements

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Sub-Subrecipients
Subrecipient must include all sub‐contractors as insureds under its policies or furnish separate certificates and endorsements for each sub‐contractors. All coverage for sub‐contractors are subject to all of the requirements included in these specifications.

Insurance Requirements

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

ATTACHMENT C
2026 AREA MEDIAN INCOME LIMITS
(San Diego-Carlsbad, CA MSA)
$130,900
San Diego County Income Limits
Effective June 1, 2026
Family Size 30% of AMI
Extremely Low Income
50% of AMI
Very Low Income
80% of AMI
Low Income
1 36,750 61,250 97,950
2 42,000 70,000 111,950
3 47,250 78,750 125,950
4 52,450 87,450 139,900
5 56,650 94,450 151,100
6 60,850 101,450 162,300
7 65,050 108,450 173,500
8 69,250 115,450 184,700
Source: U.S. Dept. of Housing and Urban Development, published May 2026. https://www.hudexchange.info/programs/home/home-income-limits/

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

ATTACHMENT D

CITY DISCLOSURE STATEMENT

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

DISCLOSURE STATEMENT
Pursuant to City Council Policy 101-01, prior to any action on a matter that requires discretionary action by the City Council, Planning Commission or other official legislative body of the City, a statement of disclosure of certain ownerships, financial interests, payments, and campaign contributions must be filed. The following information must be disclosed:

1. List the names of all persons having a financial interest in the project that is the subject of the application, project or contract (e.g., owner, applicant, contractor, subcontractor, material supplier).

2. If any person* identified in section 1 above is a corporation or partnership, list the names of all individuals with an investment of $2,000 or more in the business (corporation/partnership) entity.

3. If any person* identified in section 1 above is a non-profit organization or trust, list the names of any person who is the director of the non-profit organization or the names of the trustee, beneficiary and trustor of the trust.

4. Please identify every person, including any agents, employees, consultants, or independent contractors, whom you have authorized to represent you before the City in this matter.

5. Has any person* identified in 1, 2, 3, or 4, above, or otherwise associated with this contract, project or application, had any financial dealings with an official** of the City of Chula Vista as it relates to this contract, project or application within the past 12 months? Yes No If yes, briefly describe the nature of the financial interest the official may have in this contract.

6. Has any person* anyone identified in 1, 2, 3, or 4, above, or otherwise associated with this contract, project or application, made a campaign contribution of more than $250 within the past twelve (12) months to a current member of the Chula Vista City Council? No Yes If yes, which Council member(s)?

7. Has any person* identified in 1, 2, 3, or 4, above, or otherwise associated with this contract, project or application, provided more than $420 (or an item of equivalent value) to an official** of the City of Chula Vista in the past twelve (12) months? (This includes any payment that confers a personal benefit on the recipient, a rebate or discount in the price of anything of value, money to retire a legal debt, gift, loan, etc.) Yes No If Yes, list official and what was the nature of item provided?

8. Not ApplicableHas any person* identified in 1, 2, 3, or 4, above, or otherwise associated with this contract, project or application, been a source of income of $500 or more to an official** of the City of Chula Vista in the past twelve (12) months? Yes No If Yes, identify the official and the nature of the income provided? Date
[Kathryn Lembo Signature:
* Person is defined as: any individual, firm, co-partnership, joint venture, association, social club, fraternal organization, corporation, estate, trust, receiver, syndicate, any other county, city, municipality, district, or other political subdivision, or any other group or combination acting as a unit.
** Official includes, but is not limited to: Mayor, Council member, Planning Commissioner, Member of a board, commission, or committee of the City, and City employees or staff members.
[SBCS
[Not Applicable
[Kathryn Lembo.]
[Kathryn Lembo, Valerie Brew, lsmena Valdez
[Not Applicable]
[Not Applicable
[Not Applicable

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

ATTACHMENT E
U.S. Department of Housing and Urban Development
Community Planning and Development
Special Attention of: Notice CPD 96-07
All Secretary's Representatives
All State/Area Coordinators Issued: November 1, 1996
Regional Directors for CPD Expires: November 1, 1997
CPD Division Directors
All HOME Coordinators
All HOME Participating Jurisdictions Cross References: 24 CFR 92.209 Subject: Guidance on Tenant-Based Rental Assistance under the HOME Program.

TABLE OF CONTENTS
I. PURPOSE 2
II. BACKGROUND 2
III. SUSPENSION OF FEDERAL PREFERENCES 3
IV. ELIGIBLE ACTIVITIES 4
V. PROGRAM ADMINISTRATION 5
VI. TENANT SELECTION 7
VII. PROGRAM REQUIREMENTS 12
VIII. SECURITY DEPOSIT PROGRAM 19
APP. SECTION 8 INCOME DEFINITION --
ADDITIONAL EXCLUSIONS 21
DGHP: Distribution: W-3-1

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

1. PURPOSE
This notice outlines the basic requirements for using HOME funds for a tenant-based rental assistance (TBRA) program. The Department will also issue a model program that expands upon this notice. The purpose of the model will be to assist State and local participating jurisdictions (PJs) with basic decisions regarding TBRA program design and operation.

The Department has exercised its discretion based on the statute to make the TBRA program, as described in recent regulations and this notice, flexible and responsive to local market conditions and housing needs. The current regulations may not address all the design or operational considerations. As a result, some PJs may wish to structure TBRA programs in a manner that is not entirely consistent with HOME regulations. In some instances, it may be possible to waive certain regulatory requirements, if statutory flexibility exists and the PJ can demonstrate good cause for the request.

II. BACKGROUND
TBRA was first authorized under section 212 of the CranstonGonzalez National Affordable Housing Act (NAHA). HUD implemented the basic requirements for using HOME funds for TBRA through publication of interim regulations at 24 CFR Part 92 on December 16, 1991. TBRA programs directly assist individual low-income families by making up the difference between actual housing costs and what a family can afford to pay. Tenants are free to select any standard unit, whether or not it is HOME-assisted.

In October, 1992, the initial TBRA provisions were amended by section 220 of the Housing and Community Development Act (HCDA) of 1992. HCDA made two significant amendments. First, it eliminated the provision that required PJs to use the local Section 8 waiting list to determine who would receive assistance. Instead, PJs were permitted to select tenants in accordance with written tenant selection policies and criteria that provide housing to low and very low-income families and were reasonably related to the Federal preferences. Second, it permitted PJs to administer programs that provide only security deposit assistance, rather than requiring that security deposits only be provided in the context of an ongoing rental assistance program.

These statutory revisions have been incorporated by interim rules published in the Federal Register on December 22, 1992 and June 23, 1993.

HUD also implemented regulatory changes to provide PJs greater flexibility in administering TBRA programs. Publication of a rule on April 19, 1994 made it possible for a PJ to establish its own payment standard based on local market conditions and a determination of rent reasonableness. The rule further clarified the term "reasonably related to Federal preferences" and permitted a PJ's non-Federal contributions to a TBRA program that is not HOME-funded, other than contributions for administrative costs, to count as match for the HOME 2

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 3 Program. A rule published on July 12, 1995 provided information on using HOME TBRA to assist special needs populations.

On January 26, 1996, the Balanced Budget Downpayment Act, I, suspended the Federal preferences applicable to public housing admissions and the Section 8 voucher and certificate programs for Fiscal Year 1996 (which ended on September 30, 1996). HUD's FY 1997 appropriation act extended this suspension through Fiscal Year 1997, which ends on September 30, 1997. During Fiscal Year 1997, public housing authorities are authorized to establish their own preferences.

These local preferences may be established after opportunity for public notice and comment and must be consistent with the jurisdiction's Consolidated Plan. The temporary suspension of the Federal preferences extends to the selection criteria for TBRA programs funded by HOME.

III. SUSPENSION OF FEDERAL PREFERENCES
As described in the previous section of this notice, the Federal preference requirements applicable to HOME-funded TBRA programs have been suspended for the remainder of Fiscal Year 1997. The effect of this suspension is to permit a PJ to establish and provide TBRA based entirely on a locally-established system of written tenant selection criteria that is consistent with its Consolidated Plan. During this time period, the preferences established by the PJ must be consistent with the purposes of providing assistance to very low- and low-income families. However, locally-established preferences will not be required to be reasonably related to the Federal preferences.

For a PJ that is currently administering a TBRA program, the effect of this suspension may be simply to permit it to alter the order in which families on the waiting list are selected, based upon its system of preferences. Alternately, a PJ may wish to fundamentally change its TBRA program by establishing a preference system very different than the one it currently administers. For a PJ that is in the process of designing a TBRA program, this suspension may affect its program design and tenant selection system.

The current suspension is temporary. Legislative action will be necessary to extend the suspension beyond September 30, 1997 or to make it permanent. Before making any changes to an existing or proposed TBRA program, a PJ should consider whether it could easily bring its program back into conformance with the law if the suspension terminates.

This notice assumes that the Federal preference suspension will continue on a provisional basis. However, because the suspension may not be in effect beyond September 30, 1997, it also outlines the requirements that would apply to HOME TBRA programs should the suspension not be extended or made permanent. At the time that this Notice was published, the Congress was considering rescinding the Housing Act of 1937 which contains the Federal preference requirements.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 4 Should Congress take such action, it would eliminate the need for the PJ's written tenant selection criteria to be reasonably related to Federal preferences. Each PJ would be free to establish tenant selection criteria based solely on the needs identified in its Consolidated Plan.

IV. ELIGIBLE ACTIVITIES
A. Eligible Uses
HOME TBRA can be used to undertake one or a combination of the following activities:

Free-standing rental assistance. A PJ may administer a rental assistance program to assist low- and very low-income families.

These freestanding programs are similar to the Section 8 certificate and voucher programs in that tenants choose their housing within guidelines established by the PJ.

Special purpose programs. Within limitations described in Section VII, E of this notice, PJs can use TBRA to support a variety of local goals including self-sufficiency and
homeownership initiatives and assistance to special populations. o Self-sufficiency programs. PJs may require HOME TBRA
recipients to participate in self-sufficiency programs as a condition of assistance. However, such conditions may not be placed on tenants living in a HOME-assisted project who receive TBRA as relocation assistance.
o Homebuyer programs. HOME TBRA may assist a tenant, who has been identified as a potential low-income homebuyer through a lease-purchase agreement, with monthly rental payments for a period up to 36 months. 1 While the HOME TBRA payment cannot be used to create equity, all or a portion of the homebuyer's monthly contribution toward housing expenses may be set aside for this purpose. If a PJ determines that a tenant has met the lease-purchase criteria and is ready to assume ownership, HOME funds may be provided for downpayment assistance.
o Targeted Populations. PJs may establish local preferences for special needs groups in a broad, community-wide TBRA program or may design a program that exclusively serves one or more special needs groups.

Anti-displacement assistance. TBRA can be used to minimize displacement associated with HOME-funded activities. TBRA can be 1 HOME TBRA may not exceed 24 months but may be renewed at the PJ's discretion.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda provided to income-eligible tenants who live in units that will be acquired, demolished or rehabilitated with HOME funds.

Existing tenants in HOME-assisted projects who receive TBRA may remain in the project or move to another suitable unit. These tenants may be assisted with TBRA regardless of whether the PJ administers a broader TBRA program and are not required to meet written tenant selection policies and criteria. 2
Security and utility deposit assistance. PJs may provide security deposit assistance to tenants regardless of whether the PJ is providing ongoing tenant-based rental assistance. Utility deposit assistance may be provided only in conjunction with a TBRA program or a security deposit program.

B. Ineligible Uses
HOME TBRA funds cannot be used for the following:
o to assist resident owners of cooperative housing that qualifies as homeownership housing (cooperative and mutual housing may qualify as either rental or owner-occupied
housing under the HOME Program, depending upon the
provisions of the agreement applying to the unit). TBRA may, however, be used by a tenant who is renting from a cooperative unit owner;
o to prevent the displacement of tenants from projects
assisted with Rental Rehabilitation Program funds under 24 CFR 511. (See 24 CFR 92.214);
o to provide TBRA vouchers to homeless persons for overnight or temporary shelter. The HOME TBRA subsidy must be
sufficient to enable the homeless person to rent a
transitional or permanent housing unit that meets Housing Quality Standards (HQS).

V. PROGRAM ADMINISTRATION
Certification - To establish a TBRA program, a PJ must certify in its Consolidated Plan that TBRA is an essential part of its approved housing strategy and that market conditions in the locality make TBRA a viable option. This means that an assessment of market factors has been
2 The 1992 HCDA amendments require the PJ to certify in its Consolidated Plan that it has a Residential Anti-displacement and Relocation Plan for the HOME Program equivalent to the Plan required for the Community Development Block Grant (CDBG) Program. 5

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda undertaken and, because there is an ample supply of housing, a TBRA program is an effective way to expand affordable housing opportunities in the community.

Program Operation - A PJ may administer its TBRA program or contract administrative functions out to another entity, such as a local public housing agency (PHA), another public or private agency, or a nonprofit organization. In deciding whether to administer its program or contract out, the PJ should consider its TBRA program design. If its TBRA program will be modeled after the Section 8 certificate or voucher programs or uses the Section 8 waiting list, it may be administratively simpler to contract with the PHA. Alternately, if the program will use an independent waiting list or target special populations, it may be preferable for the PJ or another entity to administer the TBRA program.

A PJ that is an urban county or consortium may establish a TBRA program that is limited to a single or multiple jurisdictions, but does not encompass the entire PJ. For instance, one local government participating in a consortium may administer a TBRA program in its jurisdiction.

It should be noted that the provision of TBRA is not an eligible Community Housing Development Organization (CHDO) set-aside activity.

If a PJ selects a CHDO to administer its TBRA program, the CHDO is acting as a subrecipient and general HOME program funds (not CHDO set-aside funds) must be used.

Administrative Costs - HOME funds may be used to pay for reasonable planning and administrative expenses associated with operating a TBRA program, regardless of what entity operates the program. Such expenses are limited by the ten percent cap on administrative costs.

TBRA administrative costs are not considered "project soft costs" under 24 CFR 92.206(b).

Match - As with all HOME activities, TBRA program expenditures require a 25% local match. A PJ may count non-Federal funds that it contributes to its HOME TBRA program as a matching contribution. It may also count as match any funds it contributes to a TBRA program which does not use HOME funds but meets the HOME Program requirements (see 24 CFR 92.219(b)(1)). HOME funds expended for TBRA may be matched with funds from any eligible match source, not just TBRA-related contributions. Payment of costs associated with administration of a TBRA program does not count as match.

TBRA Project Set-Up - To access funds, information concerning the project must first be provided through the HOME Cash and Management Information System (C/MI), or the Integrated Data and Information System (IDIS), which is replacing the C/MI. Until a PJ has been converted to IDIS, all TBRA projects set up through the C/MI system should be reported on Form HUD-40095. Each TBRA project may include several hundred individual households. Once a TBRA project has been 6

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda set up, the PJ may add families to the project for up to 6 months.

The TBRA set-up form requires each tenant's Social Security number and certain demographic information.

The set-up of TBRA projects in IDIS is similar to the set-up in the HOME C/Ml. However, there is neither a limitation on the number of households that can be included in a single project (referred to as an activity in IDIS) nor a time limit for adding families to the project.

Drawing Down Funds - As with all HOME funds, TBRA funds drawn from the U.S. Treasury must be expended within 15 days. Thus, draws may not be made for TBRA on a quarterly basis.

VI. TENANT SELECTION
A. Income Eligibility/Verification
HOME funds can only be used to assist low-income families with incomes at or below 80% of area median income as determined by HUD. In addition, for each fiscal year's HOME allocation, 90% of the families assisted with HOME funds for TBRA and other rental activities must have incomes which are at or below 60% of area median income (see 24 CFR 92.216).

The PJ must determine the income and eligibility of all proposed beneficiaries before the TBRA contract is signed. The HOME final rule, which was published on September 16, 1996, amended the income definition to permit PJs to choose from among three definitions of income (the Section 8 definition, the U.S. Census long form definition, and the IRS definition of adjusted gross income). A PJ that chooses the Section 8 definition of income for its TBRA program should follow the procedures outlined in the Technical Guide for Determining Income and Allowances for the HOME Program, which HUD issued in May, 1994. In addition, PJs should note that a rule published on April 5, 1996 added nine exclusions to the definition of income applicable to HOME TBRA programs. That definition was subsequently moved to 24 CFR 5.609 by a regulation published on October 18, 1996. (See the Appendix to this notice for a list of the nine additional exclusions). PJs opting for the IRS or Census definitions must adhere to the instructions developed by those agencies for calculating income.

In accordance with the Section 8 program rule at 24 CFR 982.352(c)(6), Section 8 rental assistance voucher and certificate holders cannot also receive TBRA under the HOME Program because the two programs would provide duplicative subsidies. HOME TBRA recipients who are offered a Section 8 voucher or certificate must relinquish HOME assistance, if they wish to accept the Section 8 assistance.

Similarly, a family currently receiving Section 8 rental assistance may not accept HOME TBRA without relinquishing
7

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 8 the Section 8 assistance. However, a Section 8 rental assistance recipient @a receive HOME-funded security deposit and utility deposit assistance.

Similarly, a family cannot receive HOME TBRA if they are receiving rental assistance under another Federal program (e.g., Section 521 of the Housing Act of 1949 provided through the Rural Housing Service) or a State or local rental assistance program, if the HOME subsidy would result in duplicative subsidies to the family. [NOTE: Some State and local rental assistance programs do not provide assistance in amounts sufficient to lower a tenant's rental payment to 30 percent of income.

In such cases, HOME TBRA could be provided as supplemental assistance to further reduce the tenant's rent payment to 30 percent of income.] In addition, HOME TBRA should not be provided to a family who proposes to rent a unit that receives project-based rental assistance through Federal, State or local programs, if the HOME assistance would provide a duplicative subsidy.

Income and eligibility determinations for a newly-participating tenant remain valid for up to six months. Income eligibility criteria must be met, regardless of the type of TBRA program the PJ will administer (i.e., anti-displacement, security deposit, or freestanding). Special needs populations are not presumed to be low-income.

The PJ (or TBRA administrator) must reexamine family income, size, and composition at least annually. The family's contribution toward rent may need to be adjusted as a result of the annual income reexamination. Although not required by the HOME regulations, the PJ may require families to report changes in income that occur between annual income examinations.

Because HOME funds may only be used to assist families with incomes at or below 80% of area median income, assistance to tenants whose incomes rise above 80% of area median income must be terminated after the PJ gives reasonable notice to tenant and owner. Since the PJ normally would make any required payment adjustment or contract termination at the end of the rental lease period, it should time the income recertification process so that tenants whose assistance will be terminated or whose required contributions toward rent will be increased can be given reasonable notice of the change. In determining what period constitutes reasonable notice, the PJ should consult both State law and common practice in the area.

B. Tenant Selection Criteria
Scenario 1: Under the Federal Preference Suspension
The HOME Program rule requires that PJs select tenants in accordance with written tenant selection policies and criteria. These policies and criteria must be consistent with the purpose of providing housing to very low- and low-income families. Under the temporary suspension of the Federal preferences in effect until September 30, 1997, PJs may establish their own preference systems for selecting families for rental assistance.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 9 The locally-established preference system must be consistent with the priorities established in the Consolidated Plan.

The Federal preference suspension applies to PHAs administering Section 8 rental assistance, as well as to PJs administering HOME TBRA. A PHA and a PJ administering rental assistance in the same jurisdiction are not required to use the same preference system.

However, HUD encourages entities providing assistance to families within the same jurisdiction to coordinate their efforts to the greatest extent possible.

Scenario 2: Elimination of the Housing Act of 1937
Should Congress rescind the Housing Act of 1937, there would no longer be any Federal preferences for admission to public housing and Section 8 assistance. Consequently, PJs would no longer be required to establish preferences for their TBRA programs that are reasonably related to the Federal preferences. Each PJ administering a TBRA program would establish a written tenant selection system consistent with the needs identified in its Consolidated Plan.

Scenario 3: Federal Preference Requirements In Effect (suspended through 9/30/97)
PJs that operate TBRA programs must select tenants in accordance with written tenant selection policies and criteria. The policies and criteria must be consistent with the purpose of providing housing to very low- and low-income families and be reasonably related to preference rules established under section 6(c)(4)(A) of the U.S.

Housing Act of 1937.

The term "reasonably related to Federal preference rules" means that at least 50% of the families assisted must qualify for one of the three Federal preferences. Those Federal preferences are:
o families living in substandard housing, including families that are homeless or living in a shelter for homeless
families;
o families paying more than 50% of family income (gross) for rent; or
o families involuntarily displaced at the time they are seeking TBRA assistance.

PJs may rank the Federal preferences to serve those families they deem most in need. For instance, a PJ may give preference to families who are involuntarily displaced over those living in substandard housing.

In addition, the PJ may rank the definitional elements of each Federal preference to reflect its own priorities.

Section 6(c)(4)(A) of the Housing Act of 1937 requires that PHA's prohibit any individual or family evicted from public housing or assisted under

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Section 8 because of drug-related criminal activity from having a preference for three years, unless the evicted tenant successfully completes a rehabilitation program approved by the agency. Each PJ should determine whether this or a similar policy is appropriate for its HOME TBRA program.

The PJ may establish local preferences for assisting the 50% of families who are not required to qualify for a Federal preference.

Local preferences must be established in writing and respond to local housing needs and priorities.

Examples of local preferences that might be provided include preferences for families who:
o have veteran's status;
o lack adequate housing and whose children eventually may be proposed for placement in foster care as a result. (These families are usually identified by local agencies that are involved in providing for children's welfare);
o are members of special needs populations, such as battered spouses, persons with AIDS, senior citizens or those with disabilities.

In establishing local preferences, PJs must consider how specific preferences will impact fair housing efforts in its community. The local preferences must not result in discrimination against any person on the basis of race, color, religion, sex, national origin, handicap or familial status. In monitoring a PJ's fair housing efforts, HUD's Office of Fair Housing and Equal Opportunity will consider both the intent and the effect of local preference rules.

C. Waiting Lists
To implement its tenant selection policies for an ongoing TBRA program in a fair and orderly manner, a PJ must use a waiting list for families applying for TBRA. The PJ may choose to use a Section 8 waiting list that covers the jurisdiction or may establish a separate waiting list for HOME TBRA applicants. In determining which list to use, the PJ will need to consider the following factors:
o The preferences established by the PHA and how those
preferences compare with the Pj's priorities for assistance.

If the PHA has adopted its own preferences as permitted under the temporary suspension of Federal preferences, the PJ should examine those preferences. If the suspension is terminated or the PHA has chosen not to establish its own preference system, the PJ should examine both the local preferences established by the PHA and the manner in which it prioritizes the Federal preferences. If the
10

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda PHA's preference system will not result in assistance being provided to the subpopulations that the PJ deems most in need, the PJ should consider establishing a separate HOME TBRA waiting list.
o The length of the PHA's Section 8 waiting list and the turnover rate of vouchers and certificates. In communities where the existing Section 8 waiting list is very long and the unavailability of new or turnover resources results in long periods on the waiting list, a PJ's priority may be to provide interim assistance to families who are currently on the Section 8 waiting list. In these instances, the PJ will adopt the Section 8 waiting list and use HOME TBRA to
supplement the existing Section 8 program.
o The PJs preferred program design. If the PJ wishes to administer a TBRA program that closely resembles the Section 8 voucher or certificate program and finds the PHA's
preference system acceptable, it may wish to adopt the
Section 8 waiting list (and, perhaps, to contract with the PHA as the administering agent) for simplicity's sake.

However, if the PJ wishes to implement a program that is very different from the Section 8 programs, there may be no advantage in adopting the Section 8 waiting list.
o The Pj's capacity and preference with respect to an
administering agent. If the PJ plans to administer the TBRA program itself or to contract out with a capable nonprofit organization, it will have flexibility with respect to
choosing a waiting list for its program. However, if the PJ lacks capacity to administer the program and chooses to contract with a PHA, it may have little choice but to adopt the PHA waiting list. The PHA may be reluctant to take on the added responsibility of establishing and maintaining a separate waiting list and administering selection criteria that are very different from its existing program.

D. Section 8 Availability
The HOME statute requires that families who receive HOME TBRA and are also on the Section 8 waiting list continue to qualify for Section 8 assistance to the same extent as they did before they received the HOME TBRA. Consequently, when the Federal preferences are in force, the PHA must carefully document how an applicant for HOME assistance who is also on the Section 8 waiting list meets Federal preference requirements at the time HOME assistance is provided to preserve the applicant's qualification to receive future Section 8 assistance. If a Section 8 voucher or certificate becomes available through turnover or additional budget authority and the next eligible family on the Section 8 waiting list is a HOME TBRA recipient, that family must be offered a Section 8 voucher or certificate. The PJ and PHA should develop a procedure for offering Section 8 assistance to HOME TBRA recipients who become eligible for a voucher or certificate at regular intervals (e.g., monthly, quarterly, or less frequently, depending on average turnover of vouchers and certificates).
11

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Under the current suspension of Federal preferences, the PJ should document how the HOME TBRA recipient meets Federal preference requirements and, if the PHA has adopted a local preference system, the local preference requirements. This will permit the PJ to determine a HOME TBRA recipient's initial eligibility for Section 8 under the Federal preference system if the suspension lapses.

Should legislation permanently eliminate the Federal preferences, the HOME Program requirement that HOME TBRA recipients maintain their place and status on the Section 8 waiting list would also be eliminated. However, HOME TBRA is often a temporary resource for a low-income family. Consequently, the PJ should coordinate with the local PHA so that the PHA's policies do not disqualify applicants who come to the top of Section 8 waiting list because they are currently receiving HOME TBRA.

E. Assisting Special Needs Populations
HOME TBRA may be used to assist special needs populations regardless of whether the Federal preference suspension is in effect.

This can be done in one of two ways:
o General TBRA Program. A PJ administering a community-wide TBRA program may establish a local preference for persons with special needs (e.g., persons with disabilities) or for a specific category of individuals with special needs (e.g., chronically mentally ill individuals). A preference may be provided for persons with a particular type of special need, if the specific category of need is identified in the PJ's consolidated plan as having unmet need and the preference is needed to narrow the gap in benefits and services received by such persons.

In conjunction with the TBRA, the PJ may offer non-mandatory services appropriate for persons with a particular disability.

The nature of these services should be identified in consultation with persons with special needs residing in the community.

Generally, TBRA and related services should be made available to all persons with disabilities who can benefit from such services. o TBRA Program for Persons with Special Needs. A PJ may establish a TBRA category of special needs or disabilities. The PJ may accomplish this simply by limiting eligibility for assistance to special needs groups it wishes to target. If the Federal preference rules are in effect, then 50% of the individuals assisted must qualify or would qualify in the near future for a Federal preference. As with a general TBRA program, the PJ may provide appropriate, non-mandatory social services in conjunction with the TBRA. TBRA may be provided exclusively to persons with a particular type of special need, if the specific category of need is identified in the PJ's consolidated plan as having unmet need and the preference is needed to narrow the gap in benefits and services received by such persons.
12

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda VII. PROGRAM REQUIREMENTS
A. Rent Requirements
Payment Standards
Each PJ administering a TBRA program must establish a payment standard for units of each available bedroom size. This standard is intended to represent the rent and utility costs of moderately priced units that meet the Section 8 Housing Quality Standards (HQS) in the jurisdiction. It is important that the PJ establish its payment standard carefully. A standard that is set too low in comparison to the market will result in assisted families experiencing difficulty in finding housing. A payment standard that is set too high will result in excessive subsidies and fewer families being assisted.

A PJ may determine its HOME payment standard in one of two ways:
1) The PJ may develop a standard based on documented local market conditions.
2) To conform more closely to PHA rent standards, the PJ may adhere to the following:
o For each unit size, the rent standard may not be less than 80% of the published Section 8 Existing Housing fair market rent (FMR) in effect when the PJ adopts its rent standard amount.
o For each unit size, the rent standard may not be more than the FMR or HUD-approved community-wide exception rent
(discussed below) in effect when the PJ adopts its rent standard amount.
o For not more than 20% of the total number of units assisted in their TBRA program, a PJ may approve, on a unit-by-unit basis, a subsidy based on a rent standard that exceeds the applicable FMR by up to ten percent.

NOTE: The PJ must disapprove a lease if the rent is not reasonable, based on rents that are charged for comparable unassisted rental units.
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City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Community-wide Exception Rents
Under certain circumstances, HUD approves maximum gross rents for the Section 8 Certificate Program for units in a designated municipality, county or similar locality that are higher than the FMR (see 24 CFR, 882.106(a)(3)). These rents, generally referred to as community-wide exception rents, may equal up to 120% of the FMR applicable to the entire jurisdiction.

The PJ may use HUD-approved exception rents in lieu of the FMR to establish the rent standard for HOME TBRA. HOME does not require that a PJ provide additional rationale for adopting exception rents.

TBRA in HOME-Assisted Units
Rents in HOME-assisted units must meet the requirements of 24 CFR

92.252. When a family that receives HOME TBRA resides in a HOMEassisted unit, the maximum rental assistance subsidy is the difference between the HOME rent and 30% of the family's adjusted monthly income.

PJ and Tenant Rent Contributions
The maximum amount of subsidy the PJ may provide to a family is ' the difference between 30% of the family's monthly adjusted income and the payment standard established by the PJ for the size of unit the family will occupy. The PJ's contribution toward rent may vary each year because the family moves, the rent on the unit increases or decreases, or the family's income changes.

The PJ also must establish a minimum tenant rent contribution. If the PJ is assisting a tenant with a very low-income, that contribution may be minimal.

If a PJ contracts with a PHA to operate its program, it may wish to adopt the Section 8 housing certificate or voucher program rules.

Under the certificate program, families pay a specified percentage of their income for housing, usually 30%, and a limit is set on what the owner can charge for rent. Housing vouchers assume that the family will pay 30% of adjusted income, but do not limit the amount an owner can charge for rent. Vouchers limit only the subsidy amount and, therefore, a family may pay more than 30% of its income for rent. A tenant's contribution to rent may change each year as a result of changes in adjusted family income. HUD generally publishes area median incomes in January.

Rent Increases and Decreases
The owner may adjust the rent levels as leases are renewed. They must be reviewed and approved by the PJ. HUD generally publishes FMRs in late September.
14

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda B. Terms of Assistance
Unlike the Section 8 programs which make payments to the landlord, HOME TBRA payments may be made either to the unit owner or the tenant.

The term of the rental assistance contract must begin on the first day of the lease. For a rental assistance contract between the PJ and an owner, the term of the contract must end upon termination of the lease. If a PJ makes payments directly to the family, that agreement need not end upon termination of the lease, but no payments may be made after termination of the lease until the family enters into a new lease.

TBRA agreements may not exceed 24 months. However, the PJ, at its discretion, may renew a TBRA agreement.

C. Lease Requirements
The term of the lease between a tenant and the owner must be for not less than one year, unless another term is mutually agreed upon by the tenant and the owner.

The lease may not contain any of the following terms (see 24 CFR

92.253(b)):
o agreement by the tenant to be sued, to admit guilt, or to a judgment in favor of the owner in a lawsuit brought in
connection with the lease.
o agreement by the tenant that the owner may take, hold or sell personal property of household members without notice to the tenant and a court decision on the rights of the parties. This prohibition, however, does not apply to an agreement by the tenant concerning disposition of personal property remaining in the housing unit after the tenant has moved out of the unit. In that case, the owner may dispose of this personal property in accordance with state law. o agreement by the tenant not to hold the owner or the owner's agents legally responsible for any action or the failure to act, whether intentional or negligent.
o agreement of the tenant that the owner may institute a lawsuit without notice to the tenant.
o agreement by the tenant that the owner may evict the tenant or household members without instituting a civil court
proceeding in which the tenant has the opportunity to
present a defense or before a court decision on the rights of the parties.
o agreement by the tenant to waive any right to a trial by jury.
15

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda o agreement by the tenant to waive the tenant's right to appeal or to otherwise challenge in court a decision in connection with the lease.
o agreement by the tenant to pay attorney fees or other legal costs even if the tenant wins in a court proceeding by the owner against the tenant. The tenant, however, may be
obligated to pay costs if the tenant loses.

D. Termination of Tenancy
The PJ must develop standards outlining when unit owners may terminate tenancy or refuse to renew a lease in its TBRA program. These standards must be established in writing and be included in the lease between the owner and the TBRA recipient and/or, if appropriate, the TBRA agreement between the PJ and tenant. The PJ should address the permissible grounds for termination or tenancy/refusal to renew and establish notification requirements for these actions. Please note that the requirement for 30 days notice for termination of tenancy/refusal to renew in HOME-assisted units does not apply to owners of units occupied by HOME TBRA recipients.

E. Portability
The PJ may require tenants to use their TBRA within the PJ or may establish a portability policy, allowing use of TBRA outside of the jurisdiction. The experience of many PHAs using portable housing vouchers has been that most tenants move to nearby jurisdictions, usually only across city or county lines.

If a PJ permits portability, it must develop procedures to satisfy HOME TBRA requirements at a distance. Unless it limits portability to contiguous jurisdictions, it may be impractical for the PJ to attempt to oversee the program itself. Thus, it may wish to make arrangements with a government agency or PHA in the jurisdiction to which the family is moving to administer the TBRA or to use a subrecipient or contractor to do so. Requirements that the PJ should consider in establishing a portability policy include the need to:
o initially and annually inspect units occupied by TBRA families;
o execute necessary documents with the family and the owner; and
o make monthly rent payments and/or security deposit payments on behalf of the PJ to the owner and/or utility companies. 16

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda F. Eligible Units
The PJ must establish occupancy standards that will be used to determine the unit size (i.e., number of bedrooms) that TBRA families of various sizes and composition will be permitted to occupy. The PJ's standards for occupancy must be at least as stringent as those set out in the Section 8 Housing Quality Standards (HQS). At the time that it is approved for TBRA, the family should be counseled regarding the size of the unit for which it is approved, whether it will be permitted to select a unit that is larger or smaller than the approved unit size and what the consequences of such a decision will be with respect to the family's monthly contribution toward rent. The PJ may refer the TBRA family to suitable units. However, the PJ must inform the family that it is not obligated to select a referral unit.

Rental units are selected by the tenant, and:
o may be owned by the PJ, a PHA or another public entity or be privately owned housing;
o may include units developed or rehabilitated with HOME assistance;
o may be transitional housing units, if the lease terms meet the minimum lease requirements;
o must not be units receiving public or Indian housing
assistance, any Section 8 rent subsidies, or any other
Federal, State or local subsidy that provides a duplicative subsidy to the HOME TBRA recipient or the unit which they propose to rent; and
o if part of a cooperative, must be rented from the owner of the cooperative unit. HOME TBRA cannot be used to pay
cooperative shares if the cooperative membership is
considered ownership under HOME.

In conjunction with the annual reexamination of income, the PJ must reexamine the TBRA family's size and composition to determine whether its circumstances have changed. Depending upon the occupancy requirements established by the PJ, a family whose size or composition has changed may be required to find a unit that is suitable to its current circumstances.

Housing occupied by a family receiving TBRA must meet Section 8 HQS.

The housing must meet both the performance and acceptability requirements outlined at 24 CFR 982.401. PJs may request waivers to permit specific variations on HQS. Examples that may justify deviations include local climatic or geological conditions or local codes. The PJ must inspect units selected by families receiving TBRA to determine whether they
17

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda meet HQS before authorizing their initial rental and, thereafter, must inspect the units annually. The owner must maintain the premises in compliance with all applicable housing quality standards and local code requirements throughout the period of the TBRA family's occupancy.

G. Self-Sufficiency Programs
PJs administering a freestanding TBRA program may require HOME TBRA recipients to participate in self-sufficiency programs as a condition of assistance. All terms and conditions of participation should be clearly spelled out in the written agreement between the tenant and the PJ.

During the term of the TBRA contract, the PJ may not withdraw rental assistance based on the tenant's failure to continue participation in the program without providing proper notice in accordance with the standards the PJ established in the TBRA agreement. Because it may prove administratively simpler, PJs considering conditioning rental assistance on participation in such programs may wish to limit the term of assistance to a short period of time (e.g., 6 or 12 months) rather than attempting to terminate assistance for noncompliance during the contract term. In such instances, TBRA participants should be assured that the assistance will be renewed if the conditions established by the PJ are met.

H. Making the Payments
Unlike the Section 8 program, which requires that subsidy payments be made directly to the owner, a PJ using HOME TBRA funds may provide monthly payments to the tenant directly or to the owner on behalf of the tenant.

Paying tenants directly may eliminate paperwork and save staff time because no contract between the PJ and owner is necessary. The PJ must, however, examine the lease to make certain it does not contain prohibited lease terms and inspect the unit. A "real-world" tenantowner market relationship, in which tenants pay owners, results. If the PJ makes payments directly to tenants, the contract should include provisions to recoup HOME funds for nonpayment of rent.

If the PJ decides to pay owners directly, the PJ has the advantage of negotiating the rent. Also, paying the owner directly may encourage private owners to participate because they will receive at least a partial rent payment from the PJ each month. If a PHA administers the program for the PJ, this procedure may be preferable because Section 8 payments are made only to owners. Consequently, the HOME TBRA payments can be easily integrated into the PHA's financial management system, resulting in lower front-end and processing costs.

The PJ also may choose to reimburse tenants for rent paid to the owner. However, this may not be practical because families may not have the money up-front to make their entire rent payment. 18

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda I. Utility Deposits
The PJ may pay utility deposits for tenants who are also participating in a TBRA program or a security deposit program. Deposits may be made for utilities authorized under the Section 8 utility allowance (such as electric, gas, water and trash). Deposits for services incidental to housing, such as telephone service and cable television, cannot be paid with HOME funds.

The PJ may make the utility deposit available to the family as a loan or grant or may make payment directly to the utility company. If offered as a grant, the tenant may keep any remaining funds when the family departs from the unit. If offered as a loan, the PJ must make arrangements with the tenant or utility company to return any remaining funds to it. Returned funds are treated as program income and must be reinvested in other HOME-eligible activities (see 24 CFR

92.503(b)). In determining whether to grant or loan these funds, the PJ should consider the time and effort involved in collecting any remaining funds from the tenant or utility company.

VIII. SECURITY DEPOSIT PROGRAM
TBRA may be used for security deposits, regardless of whether the tenant is receiving ongoing rental assistance. For a security deposit program:
o the relevant state or, local definition of "security
deposit" in the jurisdiction where the unit is located
applies.
o the maximum amount of HOME funds that may be provided for a security deposit is the equivalent of two months rent for the unit.
o only the prospective tenant, not the unit owner, may apply for HOME security deposit assistance.
o all of the above TBRA requirements apply except for the term of assistance and maximum subsidy amount.
o the lease associated with the security deposit may not contain the prohibited lease provisions outlined in Section VII, C, of this notice and must be in effect for at least one year unless there is mutual agreement between landlord and tenant.
o payment may be made to the tenant or the landlord.
19

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda The PJ may provide security deposits as either a grant or a loan. If offered as a grant, the tenant may keep any remaining funds when the family leaves the unit. If the PJ lends the funds, it must arrange for the tenant or owner to return the funds. If the unit owner subtracts funds from the security deposit to cover damages, the PJ may accept the remaining balance as repayment or require the tenant to repay the entire amount. This requirement should be set out in the written agreement between the PJ and the tenant. In determining whether to grant or loan these funds, the PJ should consider the time and effort involved in collecting any remaining security deposit funds from the tenant or owner after the tenant leaves the unit. Returned security deposit funds are treated as program income and must be reinvested in HOME-eligible activities (see 24 CFR 92.503(b)). 20

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda APPENDIX: Exclusions from Income Under Section 8 Income Definition Annual income does not include the following:
1) Resident service stipends of less than $200 per month (e.g., fire patrol, hall monitoring, lawn maintenance, resident initiatives coordination, and resident management).
2) Adoption assistance payments.
3) The full amount of student financial assistance paid directly to the student or to the educational institution.
4) Earned income of full-time students age 18 years or older. 5) Payments received for the care of foster adults (usually persons with disabilities, unrelated to the tenant family, who are unable to live alone).
6) State or local employment training programs and training of resident management staff.
7) State tax rent credits and rebates for property taxes paid on a dwelling unit.
8) Homecare payments made by a State agency to families that have developmentally disabled children or adult family members living at home.
9) Deferred periodic payments of Social Security. Supplemental Income payments and Social Security payments received in a lump sum.

Source: 24 CFR 5.609(c).
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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

TENANT BASED RENTAL ASSISTANCE BILLING FORM ATTACHMENT F

TENANT LAST NAME TENANT FIRST NAM TENANT ADDRESS UNIT TYPE

MOVE-IN

DATE CONTRACT RENT
TENANT
RENT
HAP

PAYMENT DEPOSIT
$ -
$ -
$ -
$ -
$ -
$ -
$ -
$ -
$ -
$ -
$ -
$ -
TOTAL MONTHLY RENTS RECEIVABLE: $ -
TOTAL TENANT RENT PAYMENTS: $ -
TOTAL DEPOSITS: $ -

SUBTOTAL SUBDSIDY PAYMENTS AND
DEPOSITS REQUESTED (HAP): $ -
Adjustments:

Completed By: Approved By:

Please remit payment to:

SBCS430 F Street
Chula Vista, CA 91910

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

ATTACHMENT G
Tenant Based Rental Assistance (TBRA) Set Up Form
HOME Program
Check the appropriate box:

Original Submission Change Owner’s Address
Revision
Name and Phone Number of Person Completing Form:

A. General and Activity Information.

1. Name of Participant: 2. County Code: 3. IDIS Activity ID Number: 4. Activity Name:

Set Up Activity
B. Objective and Outcome.

C. Household Characteristics. (Refer to code below where applicable) Assisting more than 8 tenants? Make copies of this page for additional space.

Monthly Rent Household Tenant Contract
Last
Name
# of
Bdrms
Sec
Dep
Tenant
Monthly
Rent
TBRA
Monthly
Rent
Total
Monthly
Rent
%
Med
Hispanic?
Y/N
Race Size Type Paid To
O=Owner
T=Tenant
New?
Y/N
Months
(1 to 24)
D. Total/Subtotal of HOME Funds Requested: $

2. Outcome (enter code): (2)
Availability/accessibility
Affordability
Sustainability

1. Objective (enter code): (2)
Create suitable living environment
Provide decent affordable housing
Create economic opportunities

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

E. TBRA Units
Number of TBRA Units:

Designated for the homeless:

Of those the number designated for the chronically homeless:

Was this activity carried out by a faith-based organization (Y/N)? 0 1
2 3
4 5

11 12
13 14
15 16
17 18
19 20
1 2
3 4
5 6
7 8
1 2
3 4
5

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

Instructions for Completing the Tenant-Based Rental Assistance Set-up Report HOME Program
Read the instructions for each item carefully before completing the form.

Applicability. The purpose of this report is to assist with the collection of information to be entered into IDIS. This report is to be completed for each TBRA activity set-up in IDIS. A single activity may include up to 99 tenants. For centralized State projects, the tenants must be in the same county.

Timing. Data is to be entered into IDIS before funds may be drawn down for the activity. An amended set-up report should be completed to increase or decrease HOME funding for the activity.

A. General and Activity Information.

1. Name of Participant. Enter the name of the participating jurisdiction or the agency administering the TBRA activity.

2. County Code. Enter the county code of the agency administering this HOME activity.

3. IDIS Activity ID Number. Enter the activity number assigned by IDIS.

4. Activity Name. Enter the name designated to the activity. The blank boxes may be used for internal tracking purposes.

B. Objective and Outcome:

Objective. Enter the code of the objective that best describes the purpose of the activity. If a code is not entered in IDIS, the system will default the answer to “2” – Decent affordable housing.

1. Suitable living environments. Applies to activities that benefit communities, families, or individuals by addressing issues in their living environment.

2. Decent affordable housing. Applies to housing activities that meet individual family or community needs. This objective should not be used for activities where housing is an element of a larger effort.

3. Creating economic opportunities. Applies to activities related to economic development, commercial revitalization, and job creation.

Outcome. Enter code of the outcome that best describes the benefits resulting from the activity. If a code is not entered in IDIS, the system will default the answer to “2” – Affordability.

1. Availability/accessibility. Applies to activities that make services, infrastructure, housing, and shelter available and accessible. Note that accessibility does not refer only to physical barriers.

2. Affordability. Applies to activities that provide affordability in a variety of ways. It can include the creation or maintenance of affordable housing, basic infrastructure hookups, or services such as transportation or day care.

3. Sustainability. Applies to activities that promote livable or viable communities and neighborhoods by providing services or by removing slums or blighted areas.

C. Household Characteristics.

Complete one line for each tenant receiving tenant-based rental assistance from the HOME Program.

Tenant’s Last Name. Enter the tenant’s last name if the name is 5 letters or less. Enter the first five letters of the last name if the name is more than five letters or a unique file identification number. # of Bdrms. Enter 0 for a single room occupancy (SRO) unit or for an efficiency unit, 1 for 1 bedroom, 2 for 2 bedrooms, 3 for 3 bedrooms, 4 for 4 bedrooms, and 5 for 5 or more bedrooms.

Sec Dep. Enter the amount of HOME funds to be paid to the tenant or owner as a security deposit payment (to the nearest dollar).

Tenant Monthly Rent. Enter the actual rent, including utilities, to be paid by the tenant at the time of activity completion (to the nearest dollar). If the rent includes utilities, or, if the rent includes partial utilities, e.g., heat, but not electricity, these utility costs must be added to the rent. Compute utility costs for the area (and in the case of partial utilities, compute costs for utilities excluded from the rent), by using the utility allowance schedule produced by the local Public Housing Authority (PHA).

TBRA Monthly Rent. Enter the amount of HOME funds to be paid to the tenant or owner as a rent subsidy payment, including any utility allowances (to the nearest dollar).

Total Monthly Rent. The total monthly rent is automatically calculated by IDIS.

Household % of Med. For each household assisted with HOME funds, enter one code only based on the following definitions:

1. 0 to 30% refers to a household whose annual income is at or below 30 percent of the median family income for the area, as determined by HUD with adjustments for smaller and larger families.

2. 30+ to 50% refers to a household whose annual income exceeds 30 percent and does not exceed 50 percent of the median family income for the area, as determined by HUD with adjustments for smaller and larger families.

3. 50+ to 60% refers to a household whose annual income exceeds 50 percent and does not exceed 60 percent of the median family income for the area, as determined by HUD with adjustments for smaller and larger families.

4. 60+ to 80% refers to a household whose annual income exceeds 60 percent and does not exceed 80 percent of the median family income for the area, as determined by HUD with adjustments for smaller and larger families.

Household Hispanic? Y/N. For each household assisted with HOME funds, enter the ethnicity of the head of household as either “Y” for Hispanic or Latino or “N” for not Hispanic nor Latino. Hispanic or Latino ethnicity is defined as a person of Cuban, Mexican, Puerto Rican, South/Central American, or other Spanish culture or origin, regardless of race. The term, “Spanish origin,” can be used in addition to “Hispanic or Latino.”
Household Race. For each household assisted with HOME funds, enter one code only based on the following definitions:

11. White. A person having origins in any of the original peoples of Europe, North Africa or the Middle East.

12. Black/African American. A person having origins in any of the black racial groups of Africa. Terms such as “Haitian” or “Negro” can be used in addition to “Black or African American.”

13. Asian. A person having origins in any of the original peoples of the Far East, Southeast Asia, or the Indian subcontinent including, for example, Cambodia, China, India, Japan, Korea, Malaysia, Pakistan, the Philippine Islands, Thailand and Vietnam.

14. American Indian or Alaska Native. A person having origins in any of the original peoples of North and South America (including Central America), and who maintains affiliation or community attachment.

15. Native Hawaiian or Other Pacific Islander. A person having origins in any of the original people of Hawaii, Guam, Samoa or other Pacific Islands.

16. American Indian/Alaska Native & White. A person having these multiple race heritages as defined above.

17. Asian & White. A person having these multiple race heritages as defined above.

18. Black/African American & White. A person having these multiple race heritages as defined above.

19. American Indian or Alaska Native & Black or African American. A person having these multiple race heritages as defined above.

20. Other multi-racial. For reporting individual responses that are not included in any of the other categories listed above.

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda

Household Size. Enter the appropriate number of persons in the household: 1, 2, 3, 4, 5, 6, 7, or 8 (for households of more than 8, enter 8).

Household Type. For each household assisted with HOME funds, enter one code only based on the following definitions:

1. Single, non-elderly. One-person household in which the person is not elderly.

2. Elderly. One or two person household with a person at least 62 years of age.

3. Single parent. A single parent household with a dependent child or children (18 years old or younger).

4. Two parents. A two-parent household with a dependent child or children (18 years old or younger).

5. Other. Any household not included in the above 4 definitions, including two or more unrelated individuals.

Tenant Contract Paid To. Enter an O, if the TBRA Monthly Rent will be paid to the Owner. Enter a T, if it will be paid to the Tenant.

Tenant Contract New? Enter a Y, if the tenant is newly assisted.

Enter an N, if the tenant’s assistance is being renewed.

Tenant Contract Months. Enter the number of months in the contract with the tenant. Valid entries are 1 to 24.

D. Total/Subtotal of HOME Funds Requested.

Enter the total amount of HOME funds requested for the activity. This amount includes the TBRA Monthly Rent for each tenant multiplied by the Tenant Contract Months. It also includes the security deposit amount for each tenant, if requested.

E. TBRA: Units
Number of TBRA units designated for the homeless. Of the total number of TBRA units in the activity, enter the number designated for the homeless. Homeless is defined as (1) an individual or family who lacks fixed, regular, and adequate nighttime residence; or (2) An individual or family who has a primary nighttime residence that is: (a) a supervised publicly or privately operated shelter designed to provide temporary living accommodations (including welfare hotels, congregate shelters, and transitional housing for the mentally ill; (b) an institution that provides a temporary residence for individuals intended to be institutionalized; or (c) a public or private place not designed for, or ordinarily used as, a regular sleeping accommodation for human beings.

Of those, the number designated for the chronically homeless. Of the number of units designated for the homeless, enter the number designated for the chronically homeless. A chronically homeless person is defined as an unaccompanied homeless individual with a disabling condition who has either: (1) been continuously homeless for a year or more, or (2) has had at least four episodes of homelessness in the past three years. A disabling condition is defined as a diagnosable substance use disorder, serious mental illness, developmental disability, or chronic physical illness or disability. For the purpose of determining chronically homelessness, a homeless person an unaccompanied individual sleeping in a place not meant for human habitation or in an emergency homeless shelter.

Note: IDIS will default to zero if units are not entered in these fields.

Faith-based Organization. Was this activity carried out by a faithbased organization (y/N)? Enter “Y” if it is known or if the organization declares itself to be a faith-based organization. If not, enter “N”.

Note: IDIS will enter the default answer of “N” if an answer is not typed in the field.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 5 ATTACHMENT H

AUTHORIZATION FOR RELEASE OF

INFORMATION
Each household member 18 years or older must read and sign an Authorization Form for Release of Information. A separate form is included in this package for each adult. If you need additional Authorization forms, please contact the City of Chula Vista Development Services-Housing Division.

I,
(legal name), do hereby authorize any agencies, offices, groups organizations or business firms to release to the CITY OF CHULA VISTA any information or materials which are deemed necessary to complete and verify my application for participation and/or to maintain my continued assistance under the HOME TBRA Program, and/or Low-Income Housing Programs. The information needed may include verification or inquiries regarding my identity, household members, employment and income, assets, allowances or preferences I have claimed, and residency. These organizations are to include, but are not limited to:
financial institutions; Employment Security Commission; educational institutions; past or present employers; Social Security Administration; welfare and food stamps agencies; Veteran’s Administration, court clerks; utility companies; Workmen’s Compensation Payers; public and private retirement systems; law enforcement agencies; medical facilities and credit providers.

I understand that the Department of Housing and Urban Development (HUD) and/or the CITY OF CHULA VISTA (City) may utilize third parties to verify information and other computer matching programs in order to verify the information supplied on my application or recertification. It is understood and agreed that this authorization or the information obtained with its use may be given to and used by HUD and/or City in the administration and enforcement of program rules and regulations and that HUD and/or City may in the course of its duties obtain such information from other Federal State or local agencies, including State Employment Security Agencies; Department of Defense; Office of Personnel Management; the Social Security Administration; and State welfare and food stamp agencies. If there is a discrepancy between the information provided by the above sources and the information that I have provided, I understand that City may take action to terminate my benefits and will require the repayment of benefits I was not eligible to receive.

It is with my understanding and consent that a photocopy of this authorization may be used for the purposes stated above. This authorization is valid for two years from the date of my signature.

Address City State Zip

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May 19, 2026

ITEM TITLE
Approve Property Management Agreement: Approve an Agreement with Ryan Companies US, Inc. to Provide Property Management Services for the City-Owned Building Located at 1775 Millenia Avenue Report Number: 26-0122
Location: 1775 Millenia Avenue
Department: City Manager
G.C. § 84308 Regulations Apply: No
Environmental Notice: The Project qualifies for a Categorical Exemption pursuant to State California Environmental Quality Act Guidelines Section 15301 (Existing Facilities).

Recommended Action
Adopt a resolution approving an agreement between the City of Chula Vista (“City”) and Ryan Companies US, Inc. to provide property management services for the Millenia Library Building located at 1775 Millenia Avenue.

SUMMARY
City requires specialized property management services for the Millenia Library Building located at 1775 Millenia Avenue. The Millenia Library Building is a 168,000 square foot Class “A” office building, which will house the 60,000 square foot City library and other tenants, including but not limited to San Diego State University and Sweetwater Union High School District.

Staff conducted a competitive procurement process in accordance with the Chula Vista Municipal Code Section 2.56.110 for professional property management services. After reviewing the proposals, staff recommend awarding a five-year contract to Ryan Companies US, Inc. with one (1) additional five-year renewal period.

ENVIRONMENTAL REVIEW
The proposed project has been reviewed for compliance with the California Environmental Quality Act (“CEQA”), and it has been determined that the project qualifies for a Categorical Exemption pursuant to State

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CEQA Guidelines Section 15301 (Existing Facilities), which consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use and where the exceptions listed in State CEQA Guidelines Section 15300.2 would not apply in that no cumulative impacts were identified, no significant effects on the environment were identified, the project is not adjacent to a scenic highway, no historical resources would be affected by the action, and the project was not identified on a list of hazardous waste sites pursuant to Section 65962.5 of the Government Code. Thus, no further environmental review is required.

BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.

DISCUSSION
The Millenia Library Building located at 1775 Millenia Avenue is a 168,000 square foot Class “A” office building, which will house the 60,000 square foot City library and other tenants, including but not limited to San Diego State University and Sweetwater Union High School District. The Millenia Library Building is a unique building and unlike any other City owned real estate, and as such requires the management and oversight of a professional property management company.

On August 22, 2025, the City issued Request for Proposal (“RFP”) P06-2026 to procure property management services for the Millenia Library Building. The City received two proposals by the September 12, 2025 submission deadline, from Portside Property Management, LLC and Ryan Companies US, Inc. A selection committee composed of representatives from the Library, Information Technology Services, and the City’s contracted Project Manager overseeing the construction of the Millenia Library Building, invited the two firms to participate in presentations and interviews. The selection committee reviewed and discussed the firms based on experience, personnel, qualifications, fee proposal, interview, and adherence to RFP guidelines. After completing a comprehensive assessment, the selection committee recommends awarding the contract to Ryan Companies US, Inc.

Ryan Companies US, Inc. is a nationally recognized leader in commercial real estate services, founded in 1938 with 17 offices nationwide. Corporate headquarters for Ryan Companies US, Inc. are located in Minneapolis, MN with a Southern California regional office based in La Jolla. The firm is a full-service provider, with over

23.5 million square feet of property under management that includes a 1.2 million square feet public sector portfolio that includes the San Diego County James Mills Building in downtown San Diego that is owned by the San Diego Metropolitan Transit System.

The property management contract will include an initial five-year term with a five-year renewal period.

The contract will include a monthly Management Fee of $11,200.00 that will escalate four percent (4%) per year as well as reimbursements for salary, employee burden, taxes and ancillary costs for a Senior Property Manager and a Real Estate Coordinator. Employee salaries and ancillary costs will increase at four percent (4%) per annum with employee burden and taxes increasing at seven percent (7%) per annum. The not-toexceed amount for the Initial Term is $1,604,006.09 with a maximum not-to-exceed amount of $3,608,626.26 including the renewal period.

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May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda P a g e | 3

DECISION-MAKER CONFLICT
Staff have reviewed the property holdings of the City Council members and have found no property holdings within 1,000 feet of the boundaries of the property which is the subject of this action. Consequently, this item does not present a disqualifying real property-related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(7) or (8), for purposes of the Political Reform Act (Cal. Gov’t Code §87100, et seq.).

Staff are not independently aware, and have not been informed by any City Council member, of any other fact that may constitute a basis for a decision-maker conflict of interest in this matter.

CURRENT-YEAR FISCAL IMPACT
There is no current year fiscal impact as services will begin in July 2026.

ONGOING FISCAL IMPACT
The table below outlines the monthly management fee, monthly staffing and ancillary costs, total monthly cost and the total annual cost, along with the not-to-exceed amount including the renewal period.

Period Monthly
Management Fee
Monthly Staff and
Ancillary Cost**
Total Monthly Total Annual
FY 2026-2027 $11,200.00 $13,222.96 $24,442.96 $293,075.56 FY 2027-2028 $11,648.00 $13,876.07 $25,524.07 $306,288.85 FY 2028-2029 $12,113.92 $14,564.00 $26,677.92 $320,134.99 FY 2029-2030 $12,598.48 $15,278.74 $27,887.22 $334,646.59 FY 2030-2031 $13,102.42 $16,052.42 $29,154.84 $349,858.10 FY 2031-2032* $13,626.52 $16,857.30 $30,483.82 $365,805.86 FY 2032-2033* $14,171.48 $17,705.88 $31,877.36 $382,528.27 FY 2033-2034* $14,738.44 $18,600.38 $33,338.82 $400,065.89 FY 2034-2035* $15,327.98 $19,543.82 $34,871.80 $418,461.57 FY 2035-2036* $15,941.10 $20,538.95 $36,480.05 $437,760.59 TOTAL $3,608,626.26
* Renewal period.
*** Monthly staff and ancillary costs may fluctuate depending on staffing levels and attrition but will not exceed this amount.

Note: Amounts may not foot due to rounding.

Other costs that will be included in the ongoing fiscal impact will include maintenance contracts, repair and maintenance, utilities, and other building operation costs which are being included as part of the City Manager’s fiscal year 2026-27 proposed budget.

ATTACHMENTS

1. Property Management Agreement with Ryan Companies US, Inc.

Staff Contact: Scott Dickson, Real Property Manager
Tiffany Allen, City Manager

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Form Rev 9/30/2025
RESOLUTION NO. __________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

CHULA VISTA APPROVING A PROPERTY MANAGEMENT

AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND
RYAN COMPANIES US, INC. FOR SERVICES AT THE CITYOWNED BUILDING LOCATED AT 1775 MILLENIA AVENUE WHEREAS, the City of Chula Vista (“City”) has constructed a 168,000 square foot class “A” office building at 1775 Millenia Avenue (the “Project”); and WHEREAS, City requires specialized property management services for the Project; and WHEREAS, on August 22, 2025, City issued Request for Proposal P06-2026 to procure property management services for the Millenia Library Building; and WHEREAS, City received two proposals by the September 12, 2025 submission deadline, and after completing a comprehensive assessment, a selection committee recommended awarding the property management agreement (“Agreement”) to Ryan Companies US, Inc.; and WHEREAS, the Agreement has an initial term of five (5) years from July 1, 2026 through June 30, 2031, with one (1) five-year renewal term from July 1, 2031 through June 30, 2036; and WHEREAS, the cost of the initial term through June 30, 2031 is set not to exceed $1,604,006.09; and
WHEREAS, the Agreement provides for a total contract amount not to exceed $3,608,626.26 over the initial five-year term and five-year renewal period expiring on June 30, 2036.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it approves the Property Management Agreement, between the City and Ryan Companies US, Inc., in the form presented, with such minor modifications as may be required or approved by the City Attorney, a copy of which shall be kept on file in the Office of the City Clerk, and authorizes and directs the City Manager to execute same.

Presented by Approved as to form by
Tiffany Allen Marco A. Verdugo
City Manager City Attorney

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 1 PROPERTY MANAGEMENT AGREEMENT
This AGREEMENT is made as of , 2026 between the City of Chula Vista, a California chartered municipal corporation (“Owner”) and Ryan Companies US, Inc., a Minnesota corporation (“Manager”).

RECITALS
A. Owner owns the property described in Exhibit A hereto (the “Property,” whether one or more) and desires to engage Manager as an independent contractor and Owner’s agent to manage the Property pursuant to the terms and conditions hereof.

B. Manager is in the business of managing and leasing properties and is willing to render such services to Owner with respect to the Property.

AGREEMENT
In consideration of their mutual undertakings, Owner and Manager agree as follows:

1. APPOINTMENT. Owner appoints Manager, and Manager accepts appointment, as an independent contractor and Owner’s agent on the terms and conditions hereof, with exclusive authority to manage the Property for Owner’s account except as limited herein. Each party represents and warrants to the other that it has full right, power and authority (including any required licenses) to enter into and carry out this Agreement.

2. TERM; TERMINATION.
(a) Term. The term hereof shall commence on July 1, 2026 (the “Start Date”) and, unless sooner terminated pursuant to Subsection 2(b), 2(c) or 2(d), shall continue for a five (5)-year period (“Initial Term”).

Unless Owner elects not to renew this Agreement by written notice to Manager no later than thirty (30) days prior to the end of any current term, this Agreement shall be renewed automatically for five (5) years (“Renewal Period”), unless sooner terminated pursuant to Subsections 2(b), 2(c) or 2(d). Prior to the Start Date, Manager may begin work including but not limited to requesting Property information and documents from Owner and vendors, setting up systems and accounts, or any other tasks (“Preparatory Work”) at Manager’s discretion in preparation of the services required of Manager pursuant to this Agreement. City will have no obligation to pay for any such Preparatory Work by Manager.
(b) General Termination Right. At any time, Owner and Manager each shall have the absolute right to terminate this Agreement, without Cause, upon sixty (60) days’ prior written notice to the non-terminating party. If Owner is the party that elects to terminate this Agreement, Owner may remove Manager from the Property upon expiration of said sixty (60)-day notice period. Unless terminated for Cause as set forth in Subsection 2(d), Manager shall be entitled to receive compensation for the subsequent sixty (60) day period in accordance with the terms of this Agreement. Termination for Cause shall be governed by Subsection 2(d). (c) Termination on Sale. If the Property is sold, exchanged or otherwise transferred by Owner during the term hereof, Owner shall provide Manager with at least sixty (60) days’ prior written notice of the proposed transfer, and this Agreement and the obligations of the parties hereto (except liability under the indemnities set forth in Section 4 hereof and the obligation to pay fees earned and unpaid as of the date of termination) shall cease and terminate as of the effective date of the transfer. (d) Termination for Cause. Either party may terminate this Agreement for Cause by delivering written notice thereof to the other party in which event this Agreement and the obligations of the parties hereto

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 2 (except liability under the indemnities set forth in Section 4 hereof and the obligation to pay fees earned and unpaid as of the date of termination) shall immediately cease and terminate. “Cause” shall mean either (i) the failure by either party to perform or comply with any of its material obligations hereunder at the time or times and in the manner required hereunder without attempting to diligently and continuously commence curing such failure within ten (10) days after written notice from the other party (unless such failure is of a criminal or quasicriminal nature, in which event no cure period shall be provided); or (ii) entry by a court of a decree or order for relief in respect of Manager or Owner in an involuntary case under the federal bankruptcy laws, as now or hereafter constituted, or any other applicable federal or state bankruptcy, insolvency or other similar law, or appointment by a court of a receiver, liquidator, assignee, custodian, trustee, sequestrator or other similar official of Manager or Owner of for any substantial part of their property, or for the winding up or liquidation of Manager’s or Owner’s affairs, which decree or order continues unstayed and in effect for a period of sixty (60) consecutive days; or commencement by Manager or Owner of a voluntary case or action under the federal bankruptcy laws, as now or hereafter constituted, or any other applicable federal or state bankruptcy, insolvency or other similar law, or consent by Manager or Owner to the appointment of or taking possession by a receiver, liquidator, assignee, custodian, trustee, sequestrator or other similar official of Manager or Owner or for any substantial part of their property, or the making by Manager or Owner of any assignment for the benefit of creditors, or the failure by Manager or Owner generally to pay its debts as such debts become due or the taking by Manager or Owner of any action in furtherance of any of the foregoing. (e) Upon expiration of the term of this Agreement, or upon the prior termination of this Agreement, and in any year prior to such expiration or termination, Manager agrees and covenants to cooperate fully with Owner or Owner’s designated successor manager in the smooth and businesslike transfer of the operations of Property including but not limited to transfer of accounts, contracts, policies, licenses, permits, equipment and improvements in connection with the Property to Owner or Owner’s designees. Furthermore, Manager agrees and covenants to execute all documents required or convenient to accomplish any such transfer in a timely, effective and efficient manner. On the expiration or on the termination of this Agreement for any reason, all cash, accounts, books, records, tenant billing, tenant communication, common area maintenance reconciliations, contracts, policies, licenses, permits and improvements in the Property will be promptly turned over to Owner and be the property of Owner. Manager shall execute and deliver to Owner all documents necessary to legally effectuate each of the transactions. Unless otherwise agreed in writing by the Parties hereto, Manager shall remove its personnel and personal property from the Property upon such expiration or termination. Upon such expiration or termination, Manager shall surrender to Owner all cash and other assets of the Property.

3. MANAGEMENT SERVICES. So long as it manages the Property, Manager will provide the following:
(a) Records; Office Space and Storage Space. Manager shall maintain complete and accurate records of all transactions relating to the Property and the supervision, management and operation thereof and shall make such records available for inspection by Owner at all reasonable times. Owner shall provide Manager, without charge, a suitable storage area within the Property for Manager’s equipment, tools, materials and supplies furnished or consigned to Manager by Owner or furnished to Owner by Manager. (b) Reports to Owner. Manager shall prepare a monthly accounting of all transactions relating to the Property and forward it to Owner on or before the fifteenth (15th) day of the succeeding month. The monthly accounting shall include, at a minimum: (a) a balance sheet; (b) an operating statement with budget-to-actual variance analysis; (c) a rent roll; (d) an accounts receivable aging report; (e) a general ledger for the Operating Account; (f) a bank reconciliation and Operating Account statement; (g) copies of supporting vendor invoices paid during the reporting period; and (h) commentary on budget variances. The monthly accounting is delivered for transparency, audit, and recordkeeping purposes and is independent of, and in addition to, the Quarterly Funding Request described in Subsection 3(l)(iv).
(c) Operating Budgets. No more than forty-five (45) days after the Start Date (for the period from the Start Date to the end of the fiscal year) and thereafter at least one hundred eighty (180) days prior to the

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 3 commencement of each fiscal year (for the ensuing fiscal year), Manager shall submit to Owner a proposed operating budget which, after approval by Owner, shall be the approved budget (herein referred to as the “Budget” and items therein referred to as “Budgeted” items). Each proposed budget shall include: (i) by month, anticipated revenues by source and expenses by item; (ii) Manager’s recommendations with respect to discretionary expense items including advertising, reserves for replacements, capital improvements and on-site staffing, if any; and (iii) a written explanation describing all assumptions made by Manager in preparation thereof. If Owner disapproves of any proposed budget, Manager shall submit a revised proposed budget within fourteen (14) days after Owner notifies Manager of the specific reasons for Owner’s disapproval. If Owner has not approved the proposed budget on or before the earlier of (i) ninety (90) days after Owner’s receipt of the proposed budget, and (ii) the first day of the period to which such proposed budget is to apply; then the prior year’s budget shall be deemed to be the Budget and Manager shall operate the Property in accordance therewith from the first day of the period to which it applies until Owner approves a revised proposed budget; provided, however, if Owner’s failure to timely respond results in the prior year’s budget being deemed the Budget, and such prior budget is insufficient to cover Manager’s expenses pursuant to this Agreement, Owner acknowledges and agrees that Manager, as provided in Section 6 (Availability of Funding), shall have no obligation to make payments under this Agreement to the extent Owner has not adequately funded the Operating Account. (d) Leasing. Manager shall use commercially reasonable efforts to assist in the leasing of the Property. In furtherance thereof, Manager shall (i) cooperate with Owner’s designated leasing representative for the Property and oversee the marketing and leasing process; (ii) on behalf of Owner, handle tenant requests and negotiations and perform the landlord’s obligations under the leases; and (iii) terminate tenancies, sign and serve notices deemed necessary by Manager and use commercially reasonable efforts to assure compliance with lease terms by tenants.
(e) Repairs and Maintenance. To the extent Owner provides funds therefor, Manager shall purchase supplies and equipment for the maintenance and operation of the Property and shall make (or cause to be made) and supervise all repairs, replacements, alterations, additions, improvements, decorations and maintenance on the Property required by Owner. Manager must obtain Owner’s prior written approval for all supplemental maintenance services. Manager is required to follow the City of Chula Vista’s Procurement Guidelines as outlined in Exhibit D for all repairs and maintenance, in accordance with the City of Chula Vista Municipal Code Section 2.56 governing purchasing and contracting authority. (f) Services. In its capacity as Owner’s agent, Manager shall select, contract with, and supervise all independent contractors, suppliers, and vendors necessary for the operation, repair, maintenance, servicing, and regulatory compliance of the Property. Such services shall include, but are not limited to, those required for electricity, natural gas, water, telephone, lighting control, security, access control, locksmithing, elevator, HVAC, plumbing, carpentry, painting, roofing, pest control, custodial services, window washing, trash removal, landscaping, and parking lot sweeping.

Manager’s responsibilities shall also expressly include coordination and oversight of fire life safety systems and services; Environmental Health and Safety (EHS) programs and compliance; backflow prevention testing and certification; and all inspections, testing, maintenance, repair, documentation, and reporting required to maintain compliance with applicable local, state, and federal laws, codes, regulations, and industry standards.

Manager shall ensure that all contractors and vendors performing such services are properly licensed and qualified, and that all work is completed in accordance with applicable regulatory requirements. Manager is required to follow the City of Chula Vista’s Procurement Guidelines as outlined in Exhibit D for all services provided.
(g) Insurance.
i. Required Insurance. Manager must procure and maintain, during the term of this Agreement, and for twelve months after completion of this Agreement, the policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 4 reference (the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
ii. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
iii. Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers’ Compensation Insurance, insurance issued by the State Compensation Fund is also acceptable. iv. Subcontractors. Manager must include all sub-consultants/sub-contractors as insureds under its policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not under its policies. Any separate coverage for subconsultants must also comply with the terms of this Agreement. v. Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability additional insured coverage must be provided in the form of an endorsement to the Manager’s insurance using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed Operations coverage.
vi. General Liability Coverage to be “Primary”. Manager’s general liability coverage must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from the insurance provided by Manager and in no way relieves Manager from its responsibility to provide insurance.
vii. No Cancellation. No Required Insurance policy may be canceled by either Party during the required insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail, return receipt requested. Prior to the effective date of any such cancellation Manager must procure and put into effect equivalent coverage(s).
viii. Waiver of Subrogation. Manager’s insurer(s) will provide a Waiver of Subrogation in favor of the City for each Required Insurance policy under this Agreement. In addition, Manager waives any right it may have or may obtain to subrogation for a claim against City.
ix. Verification of Coverage. Prior to commencement of any work, Manager shall furnish City with original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that Manager has obtained the Required Insurance in compliance with the terms of this Agreement. The words “will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents, or representatives” or any similar language must be deleted from all certificates. The required certificates and endorsements should otherwise be on industry standard forms. The City reserves the right to require, at any time, complete, certified copies of all required insurance policies, including endorsements evidencing the coverage required by these specifications.
x. Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability and/or Errors & Omissions coverage are required and are provided on a claims-made form, the following requirements also apply:

1. The “Retro Date” must be shown, and must be before the date of this Agreement or the beginning of the work required by this Agreement.

2. Insurance must be maintained, and evidence of insurance must be provided,

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 5 for at least five (5) years after completion of the work required by this Agreement.

3. If coverage is canceled or non-renewed, and not replaced with another claimsmade policy form with a “Retro Date” prior to the effective date of this Agreement, the Manager must purchase “extended reporting” coverage for a minimum of five (5) years after completion of the work required by this Agreement.

4. A copy of the claims reporting requirements must be submitted to the City for review.
xi. Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed to limit the Manager’s obligations under this Agreement, including Indemnity.
xii. Additional Coverage. To the extent that insurance coverage provided by Manager maintains higher limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher limits maintained.

Manager and Owner agree that leases will require tenants to name Owner and Manager as Additional Insureds under insurance coverages procured by tenants. Manager may not settle claims under a given policy without the prior consent of the other insured parties thereunder.

With respect to employees of Manager performing work on matters relating to the Propertyies, Manager shall obtain Fidelity coverage and Workers’ Compensation coverage. Additionally, Manager shall require all vendors providing materials or services in connection with Manager’s obligations under this Agreement to carry Workers’ Compensation on their employees. Manager also shall provide Commercial General Liability, Automobile Liability and Errors and Omissions Liability coverages on Manager’s operations. Limits of liability for the aforementioned coverages to be provided by Manager shall be commercially reasonable under the circumstances and shall be agreed upon by Owner and Manager. (h) Compliance With Laws. Manager, at its own expense, will obtain any license required to be held by Manager to perform its services hereunder. Manager shall deliver immediately to Owner all written notices pertaining to the Property received by Manager from federal, state and local governmental authorities with jurisdiction over the Property (“Authorities”). At the request and expense of Owner, Manager shall use commercially reasonable efforts to comply with, and cause the Property to be kept in compliance with, all applicable orders, regulations or requirements of Authorities including without limitation, the competitive bidding requirements set forth in Section 3(e) of this Agreement, all applicable prevailing wage obligations as further described in Exhibit G, and any requirements administered or enforced by the California Department of Industrial Relations (DIR). Owner acknowledges that Manager is not an expert with respect to (i) the detection or handling of substances or materials defined in or governed by environmental laws and regulations as dangerous, toxic or hazardous pollutants, contaminants, chemicals, wastes, materials or substances (“Hazardous Materials”); or (ii) requirements under the laws and regulations relating to accessibility of facilities for disabled, handicapped and/or physically challenged persons including the Americans With Disabilities Act of 1991, as amended (“Accessibility Regulations”). Owner shall retain such consultants and legal experts as are necessary to determine the nature and extent of Hazardous Materials on the Property as well as the steps to handle, control or remove them and Owner agrees to defend, indemnify and hold Manager harmless from and against Damages (as said term is defined in Subsection 4(a) below) arising out of Hazardous Materials on the Property. Owner also shall retain such consultants and legal experts as are necessary to determine changes in the Property, if any, required now or in the future by Accessibility Regulations. (i) Legal Assistance. Manager may, with the prior consent of and at the expense of Owner, engage counsel to advise on legal matters and conduct legal proceedings arising in the performance of Manager’s duties under Subsections 3(d), 3(e), 3(f), 3(g), 3(h), and 3(m) hereof. With Owner’s consent, Manager may institute legal proceedings, which shall be in the name of and at the expense of Owner. Owner shall pay Manager an administrative fee equal to $100 per hour for managing and participating in any such legal proceedings.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 6 (j) Employees. Manager shall hire, supervise and discharge personnel reasonably necessary to be employed, to maintain and operate the Property. Manager shall provide Owner with a list of proposed personnel and time allocation to the Property for review and approval. All employment arrangements shall be solely Manager’s concern, such personnel shall, in every instance, be the employees of Manager and Manager shall comply with all applicable laws and regulations affecting the employer/employee relationship. All compensation and related costs and expenses of such employees, including payroll, customary payroll taxes and fringe benefits (including bonuses, 401K plans and administrative expenses associated therewith, and other insurance or retirement benefits), medical and health insurance, workers’ compensation, paid time off, State and Federal employment taxes and Social Security contributions and a fixed monthly human resources cost allocation for the above-described costs, shall be deemed to be expenses reimbursable to Manager by Owner.

If any of Manager’s employees perform work on matters not relating to the Property, Manager shall fairly allocate the compensation of such employees between their work at the Properties and such other work.

Compensation and related costs for Manager’s executive and administrative staff who oversee Manager’s onsite personnel shall not be expenses reimbursable to Manager by Owner. Owner agrees that, during the term of this Agreement and for a period of twelve (12) months following its expiration or termination, it will not employ, nor offer to employ, directly or indirectly through its agent or successor managing agent, employees of Manager without the prior written consent of Manager, which consent may be withheld in Manager’s sole and absolute discretion.
(k) Rules and Regulations. Manager shall propose to Owner any necessary or appropriate rules and regulations for the operation of the Property.
(l) Operating Account.
i. Operating Account. Within thirty (30) days following the Start Date, Manager shall establish a property-specific operating account (the "Operating Account") at U.S.

Bank, N.A. (or another federally insured banking institution reasonably acceptable to Owner), titled in a manner that identifies Manager as agent for Owner with respect to the Property. All funds held in the Operating Account shall at all times remain the property of Owner and shall be held by Manager in trust for Owner's benefit. Manager shall account for all such monies separately from all other projects and from Manager's personal and company monies, and shall not commingle Operating Account funds with any other funds. All monies received by Manager for or on behalf of Owner, including without limitation rents and other income from the Property, shall be deposited promptly into the Operating Account. Owner shall have the right, upon reasonable prior notice, to inspect and audit the Operating Account and all related records. ii. Operating Account Draws. Manager is authorized to draw on the Operating Account in accordance with the terms of this Agreement, including for the payment of all bills which Manager determines are properly payable including for loan payments and operating expenses, vendor invoices, property operating expenses, payroll-related reimbursements, taxes and assessments, water and sewer charges, real estate taxes and installments of special assessments, other charges and impositions of every nature with respect to the Property, and the Management Fee (defined below) and any other amounts owed to Manager hereunder. Owner shall notify Manager in writing if Owner elects to have any payments made in a manner other than as provided herein. iii. Initial Funding. No later than fifteen (15) days after the opening of the Operating Account, Owner shall fund the Operating Account in an amount equal to three (3) months of anticipated operating expenses for the Property, calculated based on the approved Budget for the then-current fiscal year, plus $10,000 to fund the Minimum Balance pursuant to Subsection 3(l)(iv) below (the "Initial Funding").

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 7 iv. Minimum Balance. Manager shall use good faith efforts to maintain a minimum balance of Ten Thousand Dollars ($10,000) in the Operating Account (the "Minimum Balance"), subject to the Emergency Expenditures (as defined below) and unbudgeted expenses permitted pursuant to Subsection 3(l)(vii). The Minimum Balance shall serve as a contingency reserve to fund Emergency Expenditures and other urgent, afterhours, or unbudgeted expenses required to preserve the Property or maintain continuity of services, and shall be replenished by Owner as part of the next Quarterly Funding Request (as defined below) following any draw against the Minimum Balance. v. Quarterly Reconciliation. No later than fifteen (15) days prior the end of each fiscal year quarter during the term of this Agreement, Manager shall deliver to Owner a written funding package (each, a "Quarterly Funding Request") consisting of:

1. a reconciliation of actual operating expenses paid from the Operating Account during the preceding quarter (2 months of actuals plus 1 month of current month forecasted expenses) against the corresponding portion of the approved Budget, including a line-item variance analysis and supporting documentation reasonably sufficient to evidence each expenditure;

2. a detailed projection of anticipated operating expenses for the immediately succeeding three (3)-month period, presented in a line-item format consistent with the approved Budget; and

3. a corresponding funding request stating the amount required to (A) replenish the Operating Account for projected expenses for the succeeding three (3)- month period, and (B) restore the Minimum Balance to $10,000 if drawn below that threshold.
vi. Quarterly Funding; Availability of Funds. Owner shall fund the Operating Account in the amount of each Quarterly Funding Request within thirty (30) days of Owner's receipt of a properly prepared Quarterly Funding Request. The parties acknowledge and agree that, as provided in Section 6 (Availability of Funding), Manager shall have no obligation to make payments under this Agreement to the extent Owner has not timely funded the Operating Account.
vii. Unbudgeted Expenses. Except as otherwise provided in this Agreement, Manager shall incur no expenses in connection with the Property that are not provided for in the Budget, unless such expenditures are approved by Owner in writing or are specifically authorized in this Agreement; provided, however, that Manager may incur unbudgeted or over-budget expenditures without prior Owner approval, provided that the total amount of such expenditures does not exceed five percent (5%) of the monthly approved Budget.
viii. Exclusions. Owner shall not be responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors, omissions, negligence or acts of willful misconduct of Manager, its agents, employees, or subcontractors. ix. Emergency Expenditures. Prior to an Emergency Expenditure, Manager shall attempt to consult with Owner; provided, if Owner is not readily available, Manager may use its discretion regarding the same and Manager shall report the same to Owner as soon thereafter as commercially reasonable. “Emergency Expenditure(s)” means an expenditure deemed immediately necessary by Manager for the preservation and safety

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 8 of the Property or tenants or other persons, or to avoid the suspension of any service to the Property.
x. Expense Appeals. At the direction of Owner, Manager shall defend against, seek revision of, or appeal from any assessment or charge deemed improper, or pay any such charge or assessment under protest and seek a refund thereof. Manager may, if it deems it advisable and with the prior consent of Owner, employ independent real estate experts acceptable to Owner for appraisals and testimony in connection with such actions. Manager shall, at the direction of Owner, compromise or settle any such proceeding or claim.
(m) Management Fees.
i. As compensation for its management services, Owner shall pay Manager a monthly fee for Fiscal Year 2026 of $11,200.00 (“Management Fee”). The Management Fee shall increase by four percent (4%) per annum as outlined in Exhibit C. ii. The Management Fee shall be paid on a monthly basis from the Operating Account and shall be reflected in the Operating Budget and Quarterly Funding Request. iii. If Manager is selected by Owner in writing to provide construction management services at the Property, then, as compensation for said construction management services, Owner shall pay Manager a monthly fee calculated as a percentage (which is set forth on Exhibit C) of the actual amounts paid by Owner, if any, during the immediately preceding month for hard and soft costs of construction of or related to (i) remodeling, redecorating, alterations or other improvements of common areas or facilities of the Properties; (ii) the reconditioning of any tenant space for a tenant first occupying the space after the previous tenant vacates such space; and (iii) tenant improvements. Hard and soft costs of construction include the costs of labor, materials, contractor overhead and contractor profit; architectural fees and engineering fees. Said fee shall be due and payable on or before the tenth (10th) day of the succeeding month iv. The maximum Management Fee amount, not including construction management services, to be paid to the Manager for services performed through the Initial Term and Renewal Period, if exercised, shall not exceed $1,613,620.80 over the full term of the Agreement.
v. Manager shall staff the Property with a Senior Property Manager and a Real Estate Coordinator at 0.5 of a Full-Time Equivalent (FTE). Owner shall reimburse Manager up to the monthly amounts outlined in the Fee Table in Exhibit C for the employees’ salaries, burden, taxes and ancillary costs (“Salary Reimbursement”). The monthly Salary Reimbursement may fluctuate depending on staffing levels and attrition. The maximum Salary Reimbursement amount to be paid to the Manager through the Initial Term and Renewal Period, if exercised, shall not exceed $1,995,005.46. vi. In the event a lease for the 3rd and/or 4th Floors (“Top Floors”) of the Property has not been executed between Owner and a prospective tenant within twelve (12) months after the Start Date, Owner and Manager shall meet and confer to adjust the Management Fee (“Adjusted Management Fee”) wherein such Adjusted Management Fee shall remain in effect until a lease for the Top Floors is executed by and between Owner and a prospective tenant.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 9 (n) Services for Tenants. It is understood that Manager may from time to time perform services requested by tenants of the Property which are not included in the services to be provided by Manager for Owner pursuant to this Agreement; and Owner agrees that Manager shall be entitled to retain all amounts paid by tenants for such services, including all profit earned by Manager therefrom. (o) Business License. Prior to commencement of work, Manager shall obtain a business license from City.
(p) Payment Not Final Approval. Manager understands and agrees that payment to the Manager or reimbursement for any Manager costs related to the performance of Management Services does not constitute a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for payment under this Agreement, nor does it constitute a waiver of any violation by Manager of the terms of this Agreement. If City determines that Manager is not entitled to receive any amount of compensation already paid, City will notify Manager in writing and Manager shall promptly return such amount.

4. INDEMNIFICATION.
(a) By Manager. To the maximum extent permitted by law, Manager shall indemnify, hold harmless, protect and defend (with counsel reasonably acceptable to Owner) Owner and its officers, directors, shareholders, employees and agents from and against any and all claims, demands, actions, fines, penalties, liability, losses, taxes, damages, costs, injuries and expenses (including, without limitation, reasonable attorneys’, consultants’ and expert witness’ fees and costs ) (collectively, “Damages”) in any manner related to, arising out of or resulting from (i) any default by Manager in its obligations under this Agreement; (ii) any acts of Manager beyond the scope of its authority under this Agreement; and (iii) any gross negligence, willful misconduct or fraud of Manager or any agent or employee of Manager. Notwithstanding any other provision in this Agreement to the contrary, Manager’s obligations under this Subsection 4(a) shall survive the expiration, termination or cancellation of this Agreement. (b) By Owner. To the maximum extent permitted by law, Owner shall indemnify, hold harmless, protect and defend (with counsel reasonably acceptable to Manager) Manager and its officers, directors, shareholders, employees and agents from and against any and all Damages in any manner related to, arising out of or resulting from Manager’s performance of services which are (i) within the scope of Manager’s authority under this Agreement; and (ii) not within the scope of Manager’s indemnity set forth in Subsection 4(a) above. Notwithstanding any other provision in this Agreement to the contrary, Owner’s obligations under this Subsection 4(b) shall survive the expiration, termination or cancellation of this Agreement.

5. CONFLICTS OF INTEREST
(a) Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code require certain government officials and consultants performing work for government agencies to publicly disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).

In order to assure compliance with these requirements, Manager shall comply with the disclosure requirements identified in the attached Exhibit E, incorporated into the Agreement by this reference. (b) Disclosures; Prohibited Interests. Independent of whether Manager is required to file a Form 700, Manager warrants and represents that it has disclosed to City any economic interests held by Manager, or its employees or subcontractors who will be performing the Required Services, in any real property or project which is the subject of this Agreement. Manager warrants and represents that it has not employed or retained any company or person, other than a bona fide employee or approved subcontractor working solely for Manager, to solicit or secure this Agreement. Further, Manager warrants and represents that it has not paid or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working solely for Manager, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 10 resulting from the award or making of this Agreement. Manager further warrants and represents that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or otherwise, in this transaction, the proceeds hereof, or in the business of Manager or Manager’s subcontractors. Manager further agrees to notify City in the event any such interest is discovered whether or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties, City shall have the right to rescind this Agreement without liability.
(c) Levine Act. California Government Code section 84308, commonly known as the Levine Act, prohibits public agency officers from participating in any action related to a contract if such officer receives political contributions totaling more than $500 within the previous twelve months, and for twelve months following the date a final decision concerning the contract has been made, from the person or company awarded the contract. The Levine Act also requires disclosure of such contribution by a party to be awarded a specific contract. In order to assure compliance with these requirements, Manager shall comply with the disclosure requirements identified in the attached Exhibit F, incorporated into the Agreement by this reference.

6. AVAILABILITY OF FUNDING. Owner’s obligation to make payment under this Agreement is contingent upon the availability of funding from which payment can be made. No legal liability on the part of Owner shall arise for payment beyond the end of Owner’s fiscal year for which owner has designated funds. In the event that federal, State, or Owner funding ceases or is reduced, Owner shall, in its sole discretion and without limiting any other provision of this Agreement, have the right to terminate this Agreement in accordance with Section 2(b). The foregoing notwithstanding, Owner acknowledges and agrees that Manager shall have no obligation to make payments required pursuant to this Agreement if Owner has not made the required funds available in the Operating Account. Owner agrees to defend, indemnify, and hold harmless Manager to the full extent allowed by law or equity, from and against any and all claims, damages and costs, including without limitation, any judgments, fees, fines or liabilities, arising out of, relating to or in connection with Owner’s failure to provide required funds to Manager.

7. AMENDMENTS. This Agreement may be amended by, and only by, a written agreement signed by Owner and Manager.

8. NOTICES AND CONSENTS. Notices, consents and other communications required or permitted hereunder or by law shall be in writing (or oral followed as soon thereafter as commercially reasonable by a written confirmation) and shall be deemed to have been given as of the date such notice is (i) delivered to the party intended, (ii) delivered to the then-designated address of the party intended, (iii) rejected at the thendesignated address of the party intended, provided such notice was sent prepaid, or (iv) sent by nationally recognized overnight courier or by United States certified mail, return receipt requested, postage prepaid and addressed to the then-designated address of the party intended. The initial addresses of the parties shall be:

Owner: City of Chula Vista
Attn: Real Property Manager
276 4th Avenue
Chula Vista, CA 91910
and to: City of Chula Vista
Attn: City Manager
276 4th Avenue
Chula Vista, CA 91910
Manager: Ryan Companies US, Inc.
533 South Third Street Suite 100
Minneapolis, MN 55415
Attn: Jeff Steinke

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 11 The foregoing addresses may be changed upon prior written notice thereof. .

9. NONASSIGNABILITY. Owner makes this Agreement in reliance upon Manager’s experience and ability and Manager may not assign or transfer this Agreement without the prior written consent of Owner; provided Manager may perform any of its duties hereunder through a wholly-owned subsidiary but Manager shall not be relieved thereby of any of its obligations hereunder.

10. APPLICABLE LAW. This Agreement shall be governed by and construed in accordance with the laws of the State of California.

11. ATTORNEY’S FEES. If either party brings any judicial action or proceeding to enforce its rights hereunder, each party shall bear its own costs, expenses, and attorneys’ fees, regardless of which party, if any, prevails in such dispute.

12. WAIVER. No failure or delay by either party in exercising any right, power or privilege hereunder shall operate as a waiver thereof, nor shall any waiver in one instance be deemed to be a continuing waiver in any other instance.

13. COMPETITION. This Agreement shall not restrict Manager from managing, leasing or owning other properties of any kind, including similar rental properties in the same geographical area.

14. ENTIRE AGREEMENT. This Agreement constitutes the entire agreement and understanding of the parties hereto, and each of them, with respect to the subject matter hereof, and it supersedes all prior agreements, negotiations, discussions and understandings relating to the subject matter hereof.

15. INTERPRETATION. Whenever required by the context hereof, (i) the singular shall include the plural, and vice versa, and the masculine shall include the feminine and neuter genders, and vice versa, and (ii) use of the words "including", "such as", or words of similar import, when following any general term, statement or matter shall not be construed to limit such statement, term or matter to specific items, whether or not language of non-limitation, such as "without limitation", or "but not limited to", are used with reference thereto, but rather shall be deemed to refer to all other items or matters that could reasonably fall within the broadest scope of such statement, term or matter. The exhibits attached hereto are incorporated herein by reference. The captions preceding the text of each section hereof are included only for convenience of reference. Captions shall be disregarded in the construction and interpretation hereof. Invalidation of any of the provisions contained herein, or of the application thereof to any person by judgment or court order, shall in no way affect any of the other provisions hereof or the application thereof to any other person and the same shall remain in full force and effect.

16. BINDING EFFECT. Subject to Section 7, this Agreement shall be binding upon and inure to the benefit of Manager and Owner and their respective successors and permitted assigns.

17. COUNTERPARTS. This Agreement may be executed in several counterparts, each of which shall be deemed an original. The signatures to this Agreement may be executed on separate pages and, when attached, this Agreement shall constitute one (1) complete document.

IN WITNESS WHEREOF, the parties have executed this Agreement as of the day and year first above written.

SIGNATURES ON NEXT PAGE

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 12 MANAGER: OWNER:

RYAN COMPANIES US, INC. CITY OF CHULA VISTA
By: By:

Its: Its:

Date: Date:

Approved as to form:

By:__________________________
Marco Verdugo
City Attorney

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 13 EXHIBIT A

THE PROPERTY
The property ("Property") as defined in Section A of the Management Agreement is as follows:

That certain real property and the improvements located thereon, commonly known as the Millenia Library Building, located at 1775 Millenia Avenue, Chula Vista, California 91915, in the County of San Diego, State of California, and more particularly described as:

Property Address: 1775 Millenia Avenue, Chula Vista, California 91915 Assessor's Parcel Number (APN): 643-060-57-00
Legal Description: LOT 7 OF CHULA VISTA TRACT NO. 09-03 OTAY RANCH MILLENIA (EASTERN URBAN CENTER), IN THE CITY OF CHULA VISTA, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 16081, FILED IN THE OFFICE OF THE COUNTY RECORDED OF SAID COUNTY, DECEMBER 28, 2015,

TOGETHER WITH ALL EASEMENTS, RIGHTS, PRIVILEGES, AND APPURTENANCES THERETO.

Improvements: A 5-story Class A office building containing approximately 168,000 rentable square feet, consisting of four (4) floors with a lower level, together with all associated parking areas, landscaping, hardscape, site improvements, building systems, fixtures, and equipment owned by the City of Chula Vista and located on the Property.

Site Area: Approximately 7.06 acres / 307,534 square feet of land.

The Property includes all land, buildings, structures, fixtures, improvements, easements, rights-ofway, and appurtenances now or hereafter located on or benefiting the above-described real property, but excludes any personal property, trade fixtures, or tenant improvements owned by occupants of the Property under their respective lease agreements.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 14 EXHIBIT B

INSURANCE REQUIREMENTS FOR

CONSULTANTS / PROFESSIONAL SERVICES
Manager shall procure and maintain for the duration of the Agreement insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the Manager, his agents, representatives, employees, or subcontractors.

With respect to General Liability, Errors & Omissions, Contractors Pollution Liability, and/or Asbestos Pollution Liability, coverage should be maintained for a minimum of five (5) years after contract completion.

MINIMUM SCOPE AND LIMIT OF INSURANCE
Coverage shall be at least as broad as:

1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than $2,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: Insurance Services Office Form Number CA 0001 covering, Code 1 (any auto), or if Manager has no owned autos, Code 8 (hired) and 9 (non-owned), with limit no less than $1,000,000 per accident for bodily injury and property damage.

3. Workers’ Compensation insurance as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.
(Not required if consultant provides written verification it has no employees)

4. Contractors Pollution Liability and/or Asbestos Pollution Liability and/or Errors & Omissions applicable to the work being performed, with a limit no less than $2,000,000 per claim or occurrence and $2,000,000 aggregate per policy period of one year.

Other Insurance Provisions
A. The General Liability, Automobile Liability, Contractors Pollution Liability, and/or Asbestos Pollution policies are to contain, or be endorsed to contain, the following provisions:

1. “The City of Chula Vista” is to be covered as additional insureds with respect to liability arising out of work or operations performed by or on behalf of the Manager including materials, parts or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Manager’s insurance (at least as broad as ISO Form CG 20 10, CG 11 85 or both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 forms if later revisions used). Specifically, endorsement must not exclude Products / Completed Operations.

2. For any claims related to this project, the Manager’s insurance coverage shall be primary and non-contributory insurance coverage at least as broad as ISO CG 20 01 04 13 as respects “The City of Chula Vista”. Any insurance or self-insurance “The City of Chula Vista” shall be excess of the Contractor’s insurance and shall not contribute with it. This requirement shall also apply to any Excess or Umbrella liability policies.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 15 3. Each insurance policy required above shall provide that coverage shall not be canceled, except with notice to the “The City of Chula Vista” .

B. The Automobile Liability policy shall be endorsed to include Transportation Pollution Liability insurance, covering materials to be transported by Manager pursuant to the contract. This coverage may also be provided on the Managers Pollution Liability policy.

C. If General Liability, Contractors Pollution Liability and/or Asbestos Pollution Liability and/or Errors & Omissions coverages are written on a claims-made form:

1. The retroactive date must be shown and must be before the date of the contract or the beginning of contract work.

2. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work.

To affect this waiver of subrogation, but this provision applies regardless of whether or not the “The City of Chula Vista” has received a waiver of subrogation endorsement from the insurer.

The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the “The City of Chula Vista” for all work performed by the Manager, its employees, agents, and subcontractors.

Self-Insured Retentions
Self-insured retentions must be declared to and approved by the “The City of Chula Vista” . The “The City of Chula Vista” may require the Manager to purchase coverage with a lower retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the named insured or “The City of Chula Vista” . The CGL and any policies, including Excess liability policies, may not be subject to a self-insured retention (SIR) or deductible that exceeds $50,000 unless approved in writing by “The City of Chula Vista” . Any and all deductibles and SIRs shall be the sole responsibility of Manager or subcontractor who procured such insurance and shall not apply to the Indemnified Additional Insured Parties. “The City of Chula Vista” may deduct from any amounts otherwise due Manager to fund the SIR/deductible. Policies shall NOT contain any self-insured retention (SIR) provision that limits the satisfaction of the SIR to the Named Insured. The policy must also provide that Defense costs, including the Allocated Loss Adjustment Expenses, will satisfy the SIR or deductible. “The City of Chula Vista” reserves the right to obtain a copy of any policies and endorsements for verification.

NOTE to Agencies: If the SIR is not paid, there is NO COVERAGE for the Insured or you as the Additional Insured or Indemnified Party. Since there is usually a requirement in the SIR provisions on the Contractor’s policy that the Named Insured Contractor (not the Agency as an Additional Insured) is the only party allowed to make the payment of the SIR Subcontractors
Manager shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Manager shall ensure that “The City of Chula Vista” is an additional insured on insurance required from subcontractors. For CGL coverage subcontractors shall provide coverage with a format least as broad as CG 20 38 04 13.

Duration of Coverage
CGL & Excess liability policies for any construction related work, including, but not limited to, maintenance, service, or repair work, shall continue coverage for a minimum of 5 years for Completed Operations liability coverage. Such Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work.

Special Risks or Circumstances
“The City of Chula Vista” reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 16 EXHIBIT C

FEE SCHEDULE

1. Management Fee
See Fee Table below in this Exhibit C.

2. Construction Management Service Fee, if applicable
Owner agrees to pay Manager for its construction management services in accordance with the following:

Total amount of individual project costs CM Fee as a Percentage $1.00 -$50,000 5%
$50,001 -$100,000 $2,500 + 4% of amount over $50,000
$100,001 -$500,000 $4,500 + 3% of amount over $100,000
$500,001 and above $16,500 + 2% of amount over $500,000

3. Salary Reimbursement
See Fee Table below in this Exhibit C.

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda Proposer: Ryan Companies US, Inc.

Millenia Building
Ver. 5/13/26
INITIAL TERM (JULY 1, 2026 THROUGH JUNE 30, 2031)
RENEWAL TERM (JULY 1, 2032 THROUGH JUNE 30, 2031)
Description Monthly
Management Fee
Monthly Sr. Real
Estate Manager
Salary @ 50%FTE
Monthly Sr. Real Estate
Manager Burden &
Taxes @ 50%FTE
Monthly Real Estate
Coordinator Salary
@ 50%FTE
Monthly Real
Estate Coordinator
Burden & Taxes @
50%FTE
Monthly
Employee
Related
Ancillary Costs
Total Monthly
Management Cost
# Months
Total Annual
Management Cost +
Reimbursed Salaries
Total Annual
Management Fees
Collected
Year 1 - JULY 1, 2026 through JUNE 30, 2027 $11,200.00 $5,208.33 $2,790.67 $3,125.00 $1,348.96 $750.00 $24,422.96 12 $293,075.56 $134,400.00 Year 2 - JULY 1, 2027 through JUNE 30, 2028 $11,648.00 $5,416.67 $2,986.02 $3,250.00 $1,443.39 $780.00 $25,524.07 12 $306,288.85 $139,776.00 Year 3 - JULY 1, 2028 through JUNE 30, 2029 $12,113.92 $5,633.33 $3,195.04 $3,380.00 $1,544.42 $811.20 $26,677.92 12 $320,134.99 $145,367.04 Year 4 - JULY 1, 2029 through JUNE 30, 2030 $12,598.48 $5,858.67 $3,418.69 $3,515.20 $1,652.53 $843.65 $27,887.22 12 $334,646.59 $151,181.72 Year 5 - JULY 1, 2030 through JUNE 30, 2031 $13,102.42 $6,093.01 $3,658.00 $3,655.81 $1,768.21 $877.39 $29,154.84 12 $349,858.10 $157,228.99 Year 6 - JULY 1, 2031 through JUNE 30, 2032 $13,626.51 $6,336.73 $3,914.06 $3,802.04 $1,891.99 $912.49 $30,483.82 12 $365,805.86 $163,518.15 Year 7 - JULY 1, 2032 through JUNE 30, 2033 $14,171.57 $6,590.20 $4,188.04 $3,954.12 $2,024.43 $948.99 $31,877.36 12 $382,528.27 $170,058.88 Year 8 - JULY 1, 2033 through JUNE 30, 2034 $14,738.44 $6,853.81 $4,481.21 $4,112.29 $2,166.13 $986.95 $33,338.82 12 $400,065.89 $176,861.23 Year 9 - JULY 1, 2034 through JUNE 30, 2035 $15,327.97 $7,127.96 $4,794.89 $4,276.78 $2,317.76 $1,026.43 $34,871.80 12 $418,461.57 $183,935.68 Year 10 - JULY 1, 2035 through JUNE 30, 2036 $15,941.09 $7,413.08 $5,130.53 $4,447.85 $2,480.01 $1,067.48 $36,480.05 12 $437,760.59 $191,293.11 INITIAL TERM TOTAL $1,604,004.09 $727,953.75
RENEWAL TERM TOTAL $2,004,622.17 $885,667.05
10 YEAR TERM TOTAL $3,608,626.26 $1,613,620.80
Assumptions:

Sr Property Manager
$125,000 Starting Salary - 50% of time allocated to the Millenia Building Annual 4% COLA Salary Increases
Burden, Bonus and Taxes - 49% of Salary
Burden, Bonus and Taxes to increase 7% Annually to align with rising health care costs.

Real Estate Coordinator
$75,000 Starting Salary - 50% of time allocated to the Millenia Building Annual 4% COLA Salary Increases
Burden, Incentive and Taxes - 43% of Salary
Burden, Incentive and Taxes to increase 7% Annually to align with rising health care costs.

Monthly Employee Related Ancilliary Costs
Laptop
Cell Phone
Software Costs
Professional Development Costs
*** Cost form fee schedule includes Property Management Fees, salary cost of each employee including employee payroll, payroll taxes and fringe benefits (including bonuses, 401K plans, profit sharing and administrative expenses associated therewith, and other insurance or retirement benefits) medical and health insurance, workers compensation, paid time off, severance, training costs, technology costs, State and Federal employment taxes, and Social Security contributions.

Exhibit C. - Management Fee and Salary Schedule
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City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 17 EXHIBIT D

PROCUREMENT GUIDELINES

City of Chula Vista - City Council
May 19, 2026 Post City Council/Housing Authority/Successor Agency Agenda 18 EXHIBIT E

MANAGER CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and local government officials, including some consultants, to make certain public disclosures using a Statement of Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics training requirements.3 ☐ A. Manager will not exert influence over the official or contracting decisions of City and is therefore EXCLUDED4 from disclosure.
☐ B. Manager WILL exert influence over the official or contracting decisions of City and their disclosure designation is as follows:

APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES (Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.) Name Email Address Applicable Designation
Enter Name of Each
Individual Who Will Be
Providing Service Under the
Contract – If individuals
have different disclosure
requirements, duplicate this
row and complete separately
for each individual
Enter email
address(es)
☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or
more of the categories under which the
consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6.
☐ 7.

Justification:
☐ C. Excluded from Disclosure

1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.

2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.

3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the Manager will provide. Notwithstanding this designation or anything in the Agreement, the Manager is ultimately responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or (866) 275-3772 *2.

Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.

Completed by: Enter City Staff Person’s Name
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704. 2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg. 18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not include corporation or limited liability company).