Chula Vista City Council
June 16, 2026

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Law & Policy Team
Yes In My Backyard ( YIMBY) Democrats of San Diego County Law@yimbydemssd. com
June 16, 2026
Honorable Mayor John McCann and Members of the City Council City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91910
June 16, 2026
Re: Item 7.2, June 16, 2026 — Support for the Funding Commitment of up to $ 4,000, 000 to the Park Hill UMC Development ( Resolutions A and B)
Dear Mayor McCann and Members of the Council:

On behalf of the YIMBY Democrats of San Diego County, I urge the Council to adopt staff’s recommendation and approve Resolutions A and B, committing up to $ 4,000, 000 to the Park Hill UMC development at 545 East Naples Street.

Park Hill will create 68 homes for working families, all but the manager ’s unit restricted to households at 30 to 60 percent of area median income. Staff ranked it the stronger of the two applications, and the Housing and Homeless Advisory Commission recommended it 3 to 0.

This project will help Chula Vista meet its Regional Housing Needs Allocation obligations for lower- income housing and provide much needed homes for its residents. The city’s Housing Element makes the case for this project, committing in Goal 3 to “create opportunities for affordable housing, particularly in vulnerable areas and in areas of opportunity,” and in Policy

3.4 to site such housing where it “will provide access to areas of high opportunity.” Park Hill does exactly that, placing 67 affordable homes in a moderate- resource neighborhood with no existing concentration of affordable housing. A 100 percent affordable project where its most needed in the city would be a huge benefit for the City’s low- income residents.

Additionally, this funding must be allocated to this type of project. It is not general revenue that can be redirected. Three million dollars is Low- and Moderate- Income Housing Asset Fund money, legacy redevelopment dollars that must be committed by June 30 or revert to the state, and may only be spent on affordable housing; the other million is Local Housing Trust Fund money, including a state match, equally dedicated. Failure to allocate these funds will lead to the City losing the opportunity to use the money for Affordable Housing Projects.

Policy 4.3 commits the city to “utilize available federal, state, and local financing sources and subsidies to assist in the preservation and creation of affordable housing.” These are exactly those sources. Passing on Park Hill does not save the funds; it forfeits them. The City will still be obligated to provide Affordable Housing but will have to find the funds elsewhere in the budget.

We urge the Council to fund the project as staff recommends, without further design conditions.

Under Senate Bill 4 and the State Density Bonus Law, Wakeland could have built far larger, by staff’s estimate up to roughly 108 units by right, with far less parking. The Element anticipates as much, committing the city to give 100 percent affordable and transit- oriented projects “ no density maximums and reduced/ no parking.” Wakeland sought neither, proposing 68 homes with about one space per unit, heights that step down toward the neighboring homes, and

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Law & Policy Team
Yes In My Backyard ( YIMBY) Democrats of San Diego County Law@yimbydemssd. com
June 16, 2026
Honorable Mayor John McCann and Members of the City Council City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91910
landscaped buffers, and working with staff in good faith on drainage, privacy, lighting, and parking. The staff condition already requires those mitigations before any funds are disbursed.

We respectfully urge the Council to adopt Resolutions A and B and fund the Park Hill UMC development. Thank you for your consideration.

Respectfully submitted,
Zack Defazio- Farrell, Esq.

Treasurer and Law & Policy Team Member
YIMBY Democrats of San Diego County

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Empower individuals & families ● Build community resilience ● Promote housing opportunities ● Enhance quality of life

HOUSING &

HOMELESS SERVICES
Item 7.2
Affordable Housing Funding

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Notice of Funding Availability (NOFA)
• $3M in Low-Mod Funds
(Must be committed by June 30)
• $1M Local Housing Trust Funds
(less $25,000 for staff admin costs)

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Park Hill UMC Location
• 68 units
• 30%, 50% and 60% of Area
Median Income
• 1, 2, and 3-bedroom units

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 6/9/2026
Community Meeting
• Density
• Traffic
• Parking Overflow
• 6/14 follow-up meeting just
between church and
community

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Bayview Family Apartments
• Eden Housing
• 101 Units
• 1, 2, and 3 bedrooms
• 30%, 40%, 50% and
60% of AMI
• 105 parking stalls
• AHSC funding

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Recommendation
City Council & Housing Authority approve a funding
commitment of up to $4,000,000 to the Park Hill UMC
affordable housing project
City Council & Housing Authority approve a funding
commitment of up to $4,000,000 to the Bayview Family
Apartments affordable housing project
OR

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

v . 0 0 5 P a g e | 1
June 16, 2026

ITEM TITLE
Safe Neighbor Ordinance Compliance and Transparency Report: Accept Report on Immigration and Customs Enforcement Activity Reporting Pursuant to Chula Vista Municipal Code Chapter 2.19 Report Number: 26-0221
Location: No specific geographic location
Department: City Manager & Police
G.C. § 84308 Regulations Apply: No
Environmental Notice : The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act (“CEQA”) State Guidelines. Therefore, pursuant to State Guidelines Section 15060(c)(3), no environmental review is required.

Recommended Action
Council hear and accept the Safe Neighbor Ordinance Compliance and Transparency Report in the City of Chula Vista during calendar year 2025.

SUMMARY
On March 17, 2026, the City Council adopted the Safe Neighbor Ordinance establishing protections to ensure that City facilities and contracts are not utilized in a manner that facilitates discrimination, unlawful detention, or the criminalization of individuals based on im migration status. Additionally, the Ordinance requires semiannual reporting to the City Council on, among other things, City’s participation in Joint Law Enforcement Task Forces and any known law enforcement activity involving any person for immigration enforcement purposes within the jurisdiction of the City.

This item includes the Safe Neighbor Ordinance Compliance and Transparency Report for activity in calendar year 2025.

ENVIRONMENTAL REVIEW

The Development Services Director has reviewed the propos ed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment;

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 2
therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.

Thus, no environmental review is required.

BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.

DISCUSSION
On November 18, 2025 , the Chula Vista City Council adopted Resolution 2025 -191 affirming the C ity’s commitment to due process, public safety and neighborly responsibility through the Good Neighbor Policy.

This resolution establishes a public education campaign and supports initiatives that build trust and promote transparency, ensures that City facilities, programs, and partnerships are not used to facilitate discrimination or violate individual rights under state and federal law, and affirms that every resident, regardless of immigration status or personal circumstance, deserves due process, safety, and dignity in their interactions with government and law enforcement.

Building on the adopted resolution, on March 17, 2026, the City Council adopted the Safe Neighbor Ordinance codifying guidelines in City operations that include a prohibition of the transmission or sharing of data related to immigration status and p articipation in a joint operation, task forc e, or patrol that involves immigration enforcement, with certain exemptions . The Ordinance also requires semiannual reporting to the City Council on, among other things, City’s participation in Joint Law Enforcement Task Forces and any known law enforcement activity involving any person for immigration enforcement purposes within the jurisdiction of the City.

The Safe Neighbor Ordinance Compliance and Transparency Report (Attachment 1) included here meets the requirements of the Safe Neighbor Ordinance.

DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site -specific and, consequently, the real property holdings of the City Council members do not create a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).

Staff is not independently aware and has 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 with the acceptance of this report.

ONGOING FISCAL IMPACT
There is no ongoing fiscal impact with the acceptance of this report.

ATTACHMENTS

1. Safe Neighbor Ordinance Compliance and Transparency Report 2025

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 3
Staff Contact: Tiffany Allen, City Manager
Dan Peak, Acting Police Chief
Adrianna Relph, Special Projects and Legislative Manager

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda S a f e N e i g h b o r
O r d i n a n c e
C o m p l i a n c e a n d
T r a n s p a r e n c y
R e p o r t

REPORTING PERIOD
January 1, 2025 – December 31, 2025

CHULA VISTA POLICE

DEPARTMENT

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Background
In March 2026, the Chula Vista City Council adopted the Safe Neighbor Ordinance (CVMC

2.19) establishing protections to ensure that City facilities and contracts are not utilized in a manner that facilitates discrimination, unlawful detention, or the criminalization of individuals based on immigration status. The Ordinance made certain guidelines governing access to City facilities, participation with federal law enforcement entities, contractor compliance and reporting requirements.

Reporting Requirements
The City Manager shall provide a written report to the City Council twice per year or on a semiannual basis and no later than six months following the conclusion of the applicable six-month reporting period. The report shall include the following:

1. A summary of the City’s participation in Joint Law Enforcement Task Forces as described in California Government Code section 7284.6(c)(1) and as required by state law.
a. The City Manager shall not include information in the report that would endanger the safety of a person involved in an investigation or the successful completion of the investigation or a related investigation, or the disclosure of which is prohibited or exempt under federal or state law.

2. A summary of any changes to federal or state law that affect the Chula Vista Police Department’s ability to participate in a Joint Law Enforcement Task Force.

3. A summary of any known Law Enforcement Activity by Federal Law Enforcement Agency Personnel, Out -of-State Law Enforcement Personnel, or a Private Party Acting Under Color of Law Enforcement Authority involving any person for Immigration Enforcement purposes within the jurisdiction of the City.

4. A summary of the Transparent Review of Unjust Transfers and Holds (TRUTH) Act forum held by the City under California Government Code section 7283.1(d), including the place and time that the forum was held, and a general description of the information that was presented by the City, if during the reporting period, the City provided ICE Access to a person in the custody of the Chula Vista Police Department.

If the Chula Vista Police Department responds to a call for service related to Law Enforcement Activity by Federal Law Enforcement Agency Personnel, Out -of-State Law Enforcement Personnel, or a Private Party Acting Under Color of Law Enforcement Authority, the Chief of Police shall issue a publicly available incident report within three business days of the response.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

2 | P a g e

a. The report shall include:
i. The names of all agencies present;
ii. Whether a judicial warrant was presented by any Agency to the Chula Vista Police Department; and
iii. Any available identifying information of the law enforcement personnel involved, such as badge numbers, and Agency
designations, or the Private Party Acting Under Color of Law Enforcement Authority.

Reporting Schedule
Reporting Period Report Deadline
January – June No later than December 31
July – December No later than June 30

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

3 | P a g e

Initial Report
This report covers an initial reporting period for calendar year 2025 (January 1, 2025 – December 31, 2025). Subsequent reporting will be made on a six-month basis per the schedule on Page 3 of this report.

Joint Law Enforcement Task Forces

Homeland Security Investigations San Diego – Operation Alliance: Cartel Investigation Team (CIT)*
Purpose Focus on high-ranking members involved in the upper echelon cartels smuggling drugs across the U.S. / Mexico border.

Law
Enforcement
Agencies
Involved
• Chula Vista Police Department
• Homeland Security Investigations
• Internal Revenue Service (IRS)
• U.S. Customs and Border Protection
Total Arrests
Made
54 * CVPD will no longer be part of this task force as of July 10, 2026.

Internet Crimes Against Children
Purpose To enhance the investigative response to offenders who use the internet and the other online communication systems to sexually exploit children.

Law
Enforcement
Agencies
Involved
• Chula Vista Police Department
• Homeland Security Investigations
• Naval Criminal Investigative Services
• San Diego County Sheriff's Department
• San Diego District Attorney’s Office
• San Diego Police Department
• San Diego Unified School District
Total Arrests
Made
248

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

4 | P a g e

Joint Terrorism Task Force (CT-1, CT-2, CT-3)
Purpose Prevent, investigate, and efficiently respond to potential terrorism threats.

Law
Enforcement
Agencies
Involved
• Chula Vista Police Department
• Coronado Police Department
• El Cajon Police Department
• Federal Bureau of Investigation
• Harbor Police Department
• San Diego Sheriff's Department
• San Diego Police Department
Total Arrests
Made
18 Narcotics Task Force
Purpose Dismantle and disrupt narcotics trafficking in San Diego County.

Law
Enforcement
Agencies
Involved
• Carlsbad Police Department
• Chula Vista Police Department
• Coronado Police Department
• Drug Enforcement Agency
• Escondido Police Department
• Federal Bureau of Investigations
• Homeland Security Investigations
• Internal Revenue Service (IRS)
• La Mesa Police Department
• National City Police Department
• NCIS
• Oceanside Police Department
• San Diego District Attorney's Office
• San Diego Police Department
• U.S. Border Patrol
• U.S. Customs and Border Protection
• U.S. Postal Service
• U.S. Secret Service
Total Arrests
Made
258

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

5 | P a g e

Operation Stonegarden
Purpose Disrupting / degrading transnational criminal organizations while enhancing land and coastal border detection for the purposes of contraband interdiction.

Law
Enforcement
Agencies
Involved
• California DFW
• California Highway Patrol
• Carlsbad Police Department
• Chula Vista Police Department
• El Cajon Police Department
• Escondido Police Department
• La Mesa Police Department
• Los Angeles Sheriff's Office
• Monterey Sheriff's Office
• Oceanside Police Department
• Orange Sheriff's Office
• San Diego Harbor Police Department
• San Diego Sheriff's Office
• San Luis Obispo Sheriff's Office
• San Mateo Sheriff's Office
• Santa Barbara Sheriff's Office
• Sycuan Police Department
• UCSD Police Department
• Ventura Sheriff's Office
Total Arrests
Made
785

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

6 | P a g e

San Diego Fugitive Task Force
Purpose To locate and arrest violent and serious offenders within San Diego County.

Law
Enforcement
Agencies
Involved
• Alcohol Tobacco Explosives and Firearms
• California Department of Corrections
• California Highway Patrol
• Chula Vista Police Department
• Drug Enforcement Administration
• El Cajon Police Department
• Escondido Police Department
• Federal Bureau of Investigations
• Homeland Security Investigations
• Immigration and Customs Enforcement
• La Mesa Police Department
• National City Police Department
• San Diego County Sheriff's Department
• U.S. Border Patrol
• U.S. Marshals Service
Total Arrests
Made
1,255

Transnational Organized Crime (TOC-2/TOC-3)
Purpose Identify, investigate and disrupt organizations involved in large-scale narcotic trafficking into the United States.

Law
Enforcement
Agencies
Involved
• California Highway Patrol
• Chula Vista Police Department
• Federal Bureau of Investigation
• Harbor Police Department
• San Diego County Sheriff's Department
• U.S. Border Patrol
Total Arrests
Made
50

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

7 | P a g e

Violent Crime Task Force – Gang Group
Purpose Address violent gang criminal enterprises in San Diego County by identifying, prioritizing, and targeting the most violent street, motorcycle, and prison gangs.

Law
Enforcement
Agencies
Involved
• California Department of Corrections and Rehabilitation • Chula Vista Police Department
• San Diego County Sheriff's Department
• San Diego Police Department
• U.S. Attorney’s Office
Total Arrests
Made
29 Federal or State Law Changes
No changes to federal or state law in 2025 materially altered the Chula Vista Police Department’s ability to participate in Joint Law Enforcement Task Forces.

Summary of Known Immigration Enforcement Activity
This section provides a summary of any known immigration enforcement activities that occurred within the City during the reporting period and involved federal law enforcement personnel, out-of-state law enforcement personnel, or private parties acting under color of law enforcement authority.

Methodology for Identifying Known Immigration Enforcement Activity To identify any known immigration enforcement activity, staff conducted a keyword search in calls for service1 database. Search terms included references to immigration status, deportation, federal agencies (DHS, CBP , ICE, USCIS), and Spanish-language terms for immigration authorities.

Identified calls were further evaluated to determine whether they involved federal law enforcement personnel, out-of-state law enforcement personnel, or private parties acting under color of law enforcement authority, and whether the activity was undertaken for immigration enforcement purposes within the City. The resulting

1 A call for service is a record documenting a request for police response or notification. Calls include both response-generated incidents and informational notifications. Some incidents may generate multiple records due to multiple reporting parties or dispatch entries for the same event.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

8 | P a g e

summary reflects only those activities known to the City based on the records and information available during the reporting period.

Summary of Calls for Service
Upon initial keyword search, a total of 395 calls2 flagged for immigration-related. Of those, and after manual review, 92 calls were actually related to federal immigration agencies (i.e., ICE, DHS, CBP , or USCIS).

Further review determined that 33 calls in 2025 involved immigration enforcement activity events within Chula Vista.

2 The purpose of creating a call for service for these is for deconfliction and information only; this supports officer safety.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

9 | P a g e

Incident Details

Summary of Transparent Review of Unjust Transfers and Holds (TRUTH) Act Forums
There were no qualifying events in 2025.

Call Type Call Count
STAKEOUT 25
INFORMATION 3
WARRANT 2
SPEC IAL DETAIL 1
5150 EVAL 1
KNOC K AND TALK 1
Grand Total 33

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

CHULA VISTA POLICE DEPARTMENT

SAFE NEIGHBOR ORDINANCE SEMIANNUAL COMPLIANCE

AND TRANSP ARENCY REPORT
June 16, 2026

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda • Of the 395 calls flagged for
immigration-related keywords
(01/01/2025–12/31/2025), 92 were
actually related to federal
immigration agencies.

• Of those 92 in 2025, only 33 involved
ICE and/or immigration-related
events within Chula Vista with no
assistance requested from CVPD.
• The purpose of creating a CFS
for these is for deconfliction and
information only; this supports
officer safety.
• None of these events took place at
churches or businesses.
• One event occurred near Camarena
Elementary school but did not occur
on school grounds.

TRENDS
• A month-to-month
analysis for 2025 shows
a downward trend in
federal agency activity.
*Records were identified using a keyword search covering immigration- and enforcement-related terms, including references to federal agencies (e.g., ICE, DHS, CBP), immigration status and enforcement terminology, and common English and Spanish variants.

Year Total Calls for Service Calls Flagged by
Keyword Search Percent of Total Calls Federal Agency Related CFS Percent of Total Calls
2025 91,234 395 0.43% 92 0.10%
Calls for Service and Keyword Matches

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

DETAILS
Call Type Call Count
STAKEOUT 25
INFORMATION 3
WARRANT 2
SPEC IAL DETAIL 1
5150 EVAL 1
KNOC K AND TALK 1
Grand Total 33
• 75% of federal agency
related enforcement activity
are STAKEOUT call types.
• No assistance requested
from CVPD.

Month 2025
January 7
February 2
March 3
April 2
May 3
July 3
August 8
September 1
October 1
December 3
Grand Total 33

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda UPDATE
VALUES ACT: TASK FORCE PARTICIPATION
•No Task Force Officers(TFOs) were identified as responding officers in any of the 33 enforcement-related CFS reviewed.

Chula Vista Police Department
Org Description Job Class Description
SD Fugitive Task Force POLICE AGENT
Internet Crimes Against Children POLICE AGENT
Cartel Investigation Teams (CIT) POLICE AGENT
Transnational Organized Crime (TOC-2/TOC-3) POLICE AGENT Transnational Organized Crime (TOC-2/TOC-3) PEACE OFFICER SD Narcotics Enforcement Task Force POLICE AGENT
Operation Stonegarden POLICE AGENT
Joint Terrorism Task Force POLICE AGENT
Violent Crime Task Force POLICE AGENT

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

INCIDENT REPORTING

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

IMPLEMENTATION & NEXT STEPS
•Compliance
•Continue Ordinance reporting in accordance with statutory requirements •Data Classification
•Improve classification of federal-related calls for service to ensure accurate categorization
•Methodology
•Refine data filtering processes to reduce misclassification and improve consistency

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

IMPLEMENTATION & NEXT STEPS
•Quality Assurance
•Conduct periodic data quality reviews to support accuracy and consistency
•Ongoing Reporting
•Monitor 2026 activity and prepare data for semiannual reporting requirements
•Report 2026 findings to City Council upon completion of semiannual (or six month) analysis
For more information visit:
www.chulavistaca.gov/departments/police-department/transparency-portal/safe-neighbor- ordinance-transparency-reports Page 313 of 392
City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 8 QUESTIONS?

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

v . 0 0 5 P a g e | 1
June 2, 2026

ITEM TITLE
Accept Financial Report and Appropriations: Quarterly Financial Report and Budget Appropriations for the Quarter Ending March 31, 2026 (Third Quarter Report)

Report Number: 26-0189
Location: No specific geographic location
Department: Finance
G.C. § 84308 Regulations Apply: No
Environmental Notice : The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines. Therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.

Recommended Action
Accept the quarterly financial report for the quarter ended March 31, 2026 and adopt resolutions: A) making various amendments to the fiscal year 2025 -26 budget and the fiscal year 2025 -26 Capital Improvement Program budget to adjust for variances and appropriating funds for that purpose (4/5 Vote Required); and B) accepting donations in the amount of $31,600 from Tree San Diego in support of Public Works Department operations.

SUMMARY
The Finance Department, in collaboration with other City of Chula Vista (“City”) departments, prepares quarterly financial reports for the General Fund that reflect budget to actual comparisons, projected revenues and expenditures, and highlights major variances that may require additional action or budgetary changes to the Amended Bud get. This Third Quarter Report is as of March 31, 2026, and is submitted in accordance with Section 505(F) of the City Charter, which requires that quarterly financial reports be filed by the Director of Finance through the City Manager.

In preparing the Third Quarter Report, staff identified various budgetary changes that are needed to accurately reflect actual revenues and expenditures or address changes in budgetary needs. For government entities, a budget creates a legal framework for spending during the fiscal year. After the budget is approved by the City Council, there are circumstances which arise that could require adjustments to the approved

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 2
budget. Council Policy 220 -02 “Financial Reporting and Transfer Authority” was established in January of 1996 and amended October of 2023 and allows for budget transfers across budget categories and other adjustments to be completed. Budget transfers and adjustments processed pursuant to this authority are provided as Attachments 2 and 3 to this report. This Third Quarter Report identifies recommended budget adjustments in the General Fund and other funds to address identified fiscal needs.

ENVIRONMENTAL REVIEW

The proposed activity has been reviewed for compliance with the California Environmental Quality Act (“CEQA”), and it has been determined that the activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines, because the proposed activity consists of a governmental fiscal/administrative activity which does not result in a physi cal change in the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.

BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.

DISCUSSION
The Finance Department, in collaboration with other City departments, prepares quarterly financial reports for the General Fund that reflect budget to actual comparisons, projected revenues and expenditures, and highlight major variances that may require additional action or changes to the Amended B udget. The Third Quarter Financial Report is in compliance with Section 505(F) of the City Charter, which requires that quarterly financial reports be filed by the Director of Finance through the City Manager.

The Third Quarter Report is developed using nine months of actual financial activity for fiscal year 2025-26 as of March 31, 2026. The data in this report represents the most current data available; staff will monitor the City’s actual revenues and expenditures and will provide year-end actuals in the next quarterly financial report. The Third Quarter Financial Report provides summary information for the following areas:
 Current economic environment
 Overview of the General Fund
 Details of General Fund revenues and expenditures
 Discussion on significant General Fund revenue and expenditure variances  Overview of Non-General Operating Funds
 Recommended budget adjustments to General Fund, Other Funds and Capital Improvement Project expenditures budgets
The following information provides an overview of the General Fund and recommended budget adjustments included in the attached Third Quarter Report
General Fund Overview
General Fund revenues and expenditures are both projected to be lower than the Amended Budget by approximately $2.4 million each. Staff anticipate major revenues to come in lower than budget by $3.7 million and other revenues to exceed the Amended Budget by $1.3 million, as detailed in the General Fund Revenues

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 3
section. The Third Quarter Report (Attachment 1) provides a comprehensive financial overview for the quarter.

Fiscal Year 2025-26 General Fund Overview
Table 1 in millions
Adopted Budget Amended
Budget
Year-end
Projection Variance¹
Revenue Source
Major Discretionary Revenues
Property Tax $ 58.4 $ 58.4 $ 55.3 $ (3.2) Property Tax in lieu of VLF 33.8 33.8 34.0 0.2 Sales Tax 51.2 51.2 51.1 (0.1) Measure P Sales Tax 30.8 30.8 30.9 0.1 Measure A Sales Tax 30.8 30.8 30.9 0.1 Franchise Fees 15.4 15.4 16.0 0.6 Transient Occupancy Tax 21.7 21.7 20.4 (1.3) Utility Users Tax 3.7 3.7 3.7 - Major Discretionary Revenues Subtotal 246.0 246.0 242.3 (3.7) Other General Fund Revenues
Other Revenues 59.6 62.8 64.1 1.3 Other General Fund Revenues Subtotal 59.6 62.8 64.1 1.3

Total Revenues/Sources $ 305.6 $ 308.8 $ 306.4 $ (2.4) Expenditures
Personnel Services $ 161.8 $ 163.0 $ 161.7 $ 1.2

Non-Personnel
Supplies and Services 28.6 33.8 32.7 1.1 Other Expenses 2.7 3.6 4.1 (0.6) Transfers Out 100.0 103.0 101.7 1.3 Internal Services 4.6 4.6 4.6 - Utilities 7.7 8.0 8.6 (0.6) Other Expenditures Category² 0.2 0.5 0.5 - Total Non-Personnel 143.8 153.5 152.3 1.2

Total Expenditures $ 305.6 $ 316.5 $ 314.1 $ 2.4

Use of Prior Year Fund Balance $ - $ (7.7) $ (7.7) $ -

Total General Fund Surplus/(Deficit) $ - $ - $ - $ - 1 Variance compares the Amended Budget and the Year-End Projection. 2 Other Expenditures Category includes: Other Capital, Non-CIP Projects Expenditures and CIP Project Expenditures. *Tables may not tie due to rounding

General Fund Revenues
The City’s General Fund revenues are projected to be approximately $2.2 million lower than the Amended Budget. This variance is primarily driven by lower-than-anticipated Property Tax, Transient Occupancy Tax

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 4
(“TOT”) and Sales Tax revenues. Property Tax revenues are projected to be $3.2 million below the Adopted Budget, which was developed based on the assessed valuation report provided by the County. While we continue to see growth in property tax over the prior fiscal year’s actuals of 6.6%, this growth is lower than anticipated in the budget. TOT revenues are projected to be $1.3 million below budget, reflecting the delayed opening of two new hotels and revised revenue assumptions informed by actual receipts in the current fiscal year. Sales Tax revenues are projected to be $0.1 million below budget, att ributable to an increase in Bayfront revenues that are reverted into the project. Franchise Fees, Property Tax in Lieu of VLF, Measure A Sales Tax and Measure P Sales Tax are projected to exceed the Amended Budget by approximately $ 1.0 million combined. Other Revenues are projected to also exceed the Amended Budget by $ 1.3 million primarily from a transfer from the Other Post Employment Benefit (“OPEB”) Reserve Fund of $0.8 million for eligible OPEB expenditures in the General Fund and an increase of anticipated investment earnings.

General Fund Expenditures
The City’s General Fund expenditures are projected to be lower than the Amended Budget by $2.4 million.

The projected overage in Other Expenses and Utilities totaling $ 1.2 million combined are exp ected to be offset with a decrease in Personnel Services, Supplies and Services and Transfers Out of $2. 4 million combined, resulting in a positive fiscal impact. The reduction in Personnel Services and Supplies and Services is primarily attributable to savings from vacant positions citywide and lower than anticipated operational expenses in various departments. The reduction in Transfers Out is largely attributable to a decrease of $0.5 million for debt service obligations and $0.6 million to the Pension/Debt Reserve Fund.

Fiscal Year 2025-26 Budget Adjustments
Staff are recommending various budget adjustments, appropriations, and transfers to City Departmental and Fund budgets that require City Council authorization. Amendments with a net financial impact of $75,000 or greater are detailed in this report. For a comprehensive list of all other amendments, please refer to the Third Quarter Report (Attachment 1).

General Fund Adjustments
In the General Fund, there are no budget adjustments.

Other Fund Adjustments
The recommended adjustments in Table 2 below are for funds other than the General Fund that result in a fiscal impact at the revenue and expenditure level. Additional details by budget category can be found in Exhibit 1 to the Resolution.

The recommended adjustments are offset by additional current year revenues or the available fund balance of the respective funds.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 5
Other Fund Budget Adjustments Summary
Table 2

Personnel
Non-
Personnel Total Total
Other Funds Services Expenditures Expenditures Revenue Net Impact Pension/Debt Reserve $ - $ 4,685,854 $ 4,685,854 $ - $ 4,685,854 Trunk Sewer Capital Reserve - 3,335,000 3,335,000 (340,000) 2,995,000 State Grants - 465,000 465,000 (70,000) 395,000
Parking Meter - 350,000 350,000 - 350,000
Public Facilities DIF - 340,000 340,000 - 340,000
Other Grants - 57,500 57,500 (52,500) 5,000 Capital Improvement Projects - 351,368 351,368 (351,368) - Equipment Vehicle Replacement - 100,000 100,000 (100,000) - Donations - 32,632 32,632 (32,632) - Total Other Funds $ - $ 9,717,354 $ 9,717,354 $ (946,500) $ 8,770,854

Below are additional details of recommended expenditure budget adjustments exceeding $75,000:

Pension/Debt Reserve Fund : Increase to Non -Personnel Expenditures from available fund balance of $4,685,854 for OPEB expenditures and for debt service payments from the Bond Call Reserve Fund.

Trunk Sewer Capital Reserve: Increase to Non-Personnel Expenditures for CIP Project # SWR0321 (RIDA Bayfront Sewer Improvements) partially offset by estimated revenues of $340,000 from interfund loan interest payment.

State Grants : Increase to Non -Personnel Expenditures of $465,000 partially offset from available fund balance of $395,000 and estimated revenues of $70,000 for grants in the Economic Development and Police Departments.

Parking Meter: Increase to Non-Personnel Expenditures from fund balance for CIP Project # GGV0280 (Third Ave Parking Elevator Mod).

Public Facilities DIF: Increase to Non-Personnel Expenditures by $ 340,000 in the Other Expenses category from available fund balance for interfund loan interest expense.

Capital Improvement Projects : Increase to Non -Personnel Expenditures of $351,368 for CIP Project # GGV0279 (Norman Park Senior Ctr Elevator Mod ) and CTY0246 (Water Damage a t Fire Station #12) fully offset by an increase to estimated revenues.

Equipment Vehicle Replacement: Increase to Non -Personnel Expenditures of $100,000 fully offset by estimated revenues for vehicle replacement purchases.

Capital Improvement Project Budget Amendments:

Staff are recommending several adjustments to the Capital Improvement Project Budget, which include transfer of expenditures and increases to various projects. Details of these amendments are provided in Table 3 below.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 6
Capital Improvement Project Fund Budget Adjustments
Table 3
Fund Project
CIP Project
Expenditures
Total
Expenditures
Capital Improvement Projects GGV0279 – Norman Park Sr. Ctr Elevator Mod $ 300,000 $ 300,000 Capital Improvement Projects STM0408 – Pavement Rehabilitation Prog FY22 (300,000) (300,000) Capital Improvement Projects STL0464 – F Street Promenade Phase 1 200,000 200,000 Capital Improvement Projects DRN0214 – Install Full Capture Trash BMPs 100,000 100,000 Capital Improvement Projects CTY0246 – Water Damage at Fire Station #2 51,368 51,368 Parking Meter GGV0280 – Third Ave Parking Elevator Mod 350,000 350,000 Transportation Sales Tax CTY0202 – CIP Advanced Planning 75,000 75,000 Transportation Sales Tax CTY0242 – Water Damage at CC Library (75,000) (75,000) Trunk Sewer Capital Reserve SWR0321 - RIDA Bayfront Sewer Improvements 3,335,000 3,335,000 Total Amendments $ 4,036,368 $ 4,036,368

Donations Acceptance
In accordance with Donations Policy 270 -01, the Public Works Department is requesting City Council approval for the acceptance of various trees, supplies , and planting services with an estimated value of $31,600. These donations will provide trees in City Open Space and parks for long-term ecosystem services and environmental benefits.

Preparation of the Annual Comprehensive Financial Report Staff recommend that the City Council authorize the City Manager to amend the fiscal year 202 5-26 budget and approve appropriations and transfers in the General Fund and various other funds in order to ensure audited actuals resulting from final year-end closing entries do not exceed budget.

Staff recommend that the Director of Finance report any amendments to the fiscal year 2025-26 budget and appropriations and transfers to the General Fund and various other funds approved by the City Manager in the next quarterly financial report.

DECISION-MAKER CONFLICT
Staff have reviewed the decision contemplated by this action and have determined that it is not site-specific and consequently, the real property holdings of the City Council members do not create a disqualifying real property-related financial conflict of interest under 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
The Third Quarter Report presents projected revenue and expenditure amounts as of March 31, 2026, and reflects the most current information available. Approval of the resolution amending the fiscal year 2025-26 budget and the fiscal year 2025 -26 Capital Improvement Program budget will result in the following fiscal impacts:

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 7
General Fund – The proposed amendment results in no net fiscal impact to the fiscal year 2025-26 budget.

Other Funds – The proposed adjustments result in a negative net impact to the fiscal year 2025-26 budgets of the Other (non -General Fund) Funds of $ 8,770,854. This includes an increase in appropriations of approximately $9,717,354 and an increase in estimated revenues of $946,500.

ONGOING FISCAL IMPACT
Staff will review the impacted budgets to identify potential ongoing fiscal impacts and will incorporate as required during the fiscal year 2026-27 quarterly monitoring process.

ATTACHMENTS

1. Fiscal Year 2025-26 Third Quarter Report

2. General Fund Budget Transfers

3. General Fund Budget Amendments

Staff Contact: Ed Prendell, Budget and Analysis Manager Maritza Vargas, Fiscal and Management Analyst
Adrian Del Rio, Director of Finance/Treasurer

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

RESOLUTION NO. ________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

CHULA VISTA MAKING VARIOUS AMENDMENTS TO THE
FISCAL YEAR 20 25-26 BUDGET TO ADJUST FOR

VARIANCES AND APPROPRIATING FUNDS THEREFOR

WHEREAS, the Charter of the C ity of Chula Vista states that at any meeting after the adoption of the budget, the City Council may amend or supplement the budget by a motion adopted by the affirmative votes of at least four members; and

WHEREAS, staff have completed the budget review for the quarter ending March 31, 2026 and recommend a number of budget amendments in the General Fund and various other funds to align the budget with anticipated year -end actuals where the actuals are expected to exceed the budget; and

WHEREAS, the Pension/Debt Reserve Fund, Trunk Sewer Capital Reserve Fund, State Grants Fund, Parking Meter Fund, Public Facilities DIF Fund, and Other Grants Fund will be negatively impacted due to adjustments that will add appropriations that will be made from the available balances of these funds or partially offset by increased estimated revenues; and

WHEREAS, the recommended adjustments to Capital Improvement Projects Fund, Equipment Vehicle Replacement Fund, and Donations Fund will result in no fiscal impact; and

WHEREAS, staff recommend amending the fiscal year 202 5-26 Capital Improvement Program budget by increasing expense appropriations by $ 351,368 offset by increased estimated revenues resulting in no fiscal impact to the fiscal year 202 5-26 Capital Improvement Program budget.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it does hereby amend the fiscal year 2025-26 budget and approves the following appropriations and transfers:

Summary of Appropriations and/or Transfers for General Fund General Fund Budget Amendments Summary – 3rd Quarter Fiscal Year 2025-26 Exhibit 1 details transfers within Non-Personnel Expenditures categories.

Summary of Appropriations and/or Transfers for Other Funds Other Funds Budget Amendments Summary – 3rd Quarter Fiscal Year 2025-26

Other Funds Personnel
Services
Non-
Personnel
Expenses
Total
Expense
Total
Revenue Net Impact
Pension/Debt Reserve $ - $ 4,685,854 $ 4,685,854 - $ 4,685,854 Trunk Sewer Capital Reserve - 3,335,000 3,335,000 (340,000) 2,995,000 State Grants - 465,000 465,000 (70,000) 395,000

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Resolution No. ________

Parking Meter - 350,000 350,000 - 350,000
Public Facilities DIF - 340,000 340,000 - 340,000
Other Grants - 57,500 57,500 (52,500) 5,000 Capital Improvement Projects - 351,368 351,368 (351,368) - Equipment Vehicle Replacement - 100,000 100,000 (100,000) - Donations - 32,632 32,632 (32,632) - Total Other Funds $ - $ 9,717,354 $ 9,717,354 $ (946,500) $ 8,700,854 *Table is shown in summary, funds with transfers within Non-Personnel Expenditures categories are detailed in Exhibit 1

Summary of Appropriations and/or Transfers for Capital Improvement Program Budget Capital Improvement Program Budget Amendments Summary – 3rd Quarter Fiscal Year 2025-26

BE IT FURTHER RESOLVED, by the City Council that it authorizes the City Manager to amend the fiscal year 2025 -26 budget and approves appropriations and transfers in the General Fund and various other funds in order to ensure audited actuals resulting from final year -end closing entries do not exceed authorized budget; and

BE IT FURTHER RESOLVED, by the City Council that it directs the Director of Finance to report any amendments to the fiscal year 2025-26 budget and appropriations and transfers to the General Fund and various other funds approved by the City Manager in the next quarterly financial report following the release of the Annual Comprehensive Financial Report.

Presented by Approved as to form

Adrian Del Rio Marco Verdugo
Director of Finance/Treasurer City Attorney
Fund Project
CIP Project
Expenditures
Total
Expenditures
Capital Improvement
Projects
GGV0279 – Norman Park Senior Ctr
Elevator Mod
$ 300,000 $ 300,000
Capital Improvement
Projects
CTY0246 – Water Damage at Fire Station #2 51,368 51,368 Capital Improvement
Projects
STM0408 – Pavement Rehabilitation Prog
FY22
(300,000) (300,000)
Capital Improvement
Projects
STL0464 – F Street Promenade Phase 1 200,000 200,000
Capital Improvement
Projects
DRN0214 – Install Full Capture Trash BMPs 100,000 100,000 Parking Meter GGV0280 – Third Ave Parking Elevator
Mod
350,000 350,000
Transportation Sales Tax CTY0202 – CIP Advanced Planning 75,000 75,000 Transportation Sales Tax CTY0242 – Water Damage at CC Library (75,000) (75,000) Trunk Sewer Capital Reserve SWR0321 – RIDA Bayfront Sewer Improvements
3,335,000 3,335,000
Total Other Funds $ 4,036,368 $ 4,036,368

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda RESOLUTION NO. __________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

CHULA VISTA ACCEPTING DONATION FROM THE TREE

SAN DIEGO

WHEREAS, in accordance with City Council Donation Policy 270 -01, the Public Works Department requests that the City Council accept certain donatio n from the Tree San Diego (the “Donation”); and

WHEREAS, the Donation consists of various trees, supplies, and planting services with an estimated value of $31,600; and

WHEREAS, the Donation will provide trees in City Open Space and parks for long-term ecosystem services and environmental benefits; and

WHEREAS, the City Council finds that, consistent with Policy 270-01, the Donation serves a purpose consistent with the City of Chula Vista’s (“City”) goals and objectives and that acceptance of the Donation is in the best interests of the City.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista that it accepts the Donation with an estimated value of $31,600 from Tree San Diego; and

BE IT FURTHER RESOLVED that the City Manager is authorized to enter into and execute any and all agreements or documents necessary to accept the Donations and implement this resolution.

Presented by Approved as to form by

Adrian Del Rio Marco A. Verdugo
Director of Finance/Treasurer City Attorney

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 1

Quarterly Financial Report

Period Ending March 31, 2026

INTRODUCTION

Chula Vista City Council adopted the fiscal year 2025 -26 budget on May 20, 2025. The Finance Department, in collaboration with other City of Chula Vista (“City”) departments, prepares quarterly financial reports for the General Fund that reflect budget to actual comparisons, projected revenues and expenditures, and highlight major variances that may require additional action or changes to the Amended Budget. Per Se ction 505 (f) of the City Charter, the Director of Finance has prepared and submitted the quarterly financial report for the quarter ended March 31, 2026 (Third Quarter Report) through the City Manager.

The Third Quarter Report is developed using nine months of actual financial activity for fiscal year 2025-26 as of March 31, 2026. The data in this report is the most current data available; however, due to the limited data available, projections are likely to change as the year progresses.

The Third Quarter Report provides summary information for the following areas:
 Current economic environment
 Overview of the General Fund
 Details on major General Fund revenues and expenditure categories  Discussion on significant General Fund revenue and expenditure variances  Overview of Non-General Operating Funds
 Recommended budget adjustments to General Fund, Other Funds, and Capital Improvement Project expenditure budgets

The Finance Department will continue to monitor the City’s actual revenues and expenditures and will provide year-end actuals in the next quarterly financial report.

ECONOMIC OVERVIEW

City staff reviewed information from various sources including the following: federal data (U.S.

Bureaus of Economic Analysis, Labor Statistics; Federal Reserve; U.S. Treasury), the quarterly UCLA Anderson Economic Outlooks, HdL (City sales tax consultant), the San Diego Tourism Authority, and other sources to develop the economic assumptions and growth rates included in the Third Quarter Report.

Highlights – National

The UCLA Anderson Forecast (“Forecast”) for Spring 2026 expects stronger growth for 2026.1 The

1 UCLA Anderson School of Management. U.S. Economy Poised to Reaccelerate in 2026 as Fiscal Stimulus and AI Investment Intensify; California Growth Outpaces Nation Despite Ongoing Employment Weakness . 4 Mar. 2026. UCLA Anderson Forecast.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 2

balance of risks, between tariffs and a stagnant labor market, have shifted toward reacceleration, mostly fueled by income tax cuts, expansion of fiscal stimulus and sustained artificial intelligence investment.1

Unemployment
The labor market remained unchanged at a national unemployment rate of 4.3%, with notable gains in health care, transportation and warehousing, though, federal government continued to decline.2 The Forecast reflects the labor market beginning to show early signs of improvement.1

Inflation
Despite periods of trending downward in 2025, inflation continues to be elevated. 3 The seasonally adjusted annual rate of Consumer Price Index was 3.3% in March, the highest since June 2024.4 The Forecast predicts inflation to increase slightly as a result of tariffs before gradually settling in the mid-to-low twos through 2027 and 2028. 1

Interest Rates
The Federal Open Market Committee (FOMC), part of the Federal Reserve, is committed to Congress’s mandate to promote maximum employment, stable prices (i.e., limited inflation), and moderate long -term interest rates. Reporting that job gains have remained low this year and unemployment remaining stabilized , in its latest meeting in March 2026 the Federal Reserve maintained the federal funds target at 3-1/2 to 3-3/4 percent.5

The “federal funds rate” established by the FOMC sets the interest rate at which banks lend money to other banks to maintain overnight reserves of funds. When the federal funds rate increases, the cost to banks for lending increases and passed on to businesses and consumers on other borrowing, such as for business investments, credit cards, cars, mortgages and other bank loans. Interest rate fluctuations impact the City’s finances by affecting borrow ing costs for capital projects and long - term investments; private investments growth; and investment returns on its cash balances.

Real Gross Domestic Product (GDP)
The chart below from the U.S. Bureau of Economic Analysis displays recent quarterly results of real GDP, a measure of the value of all goods and services produced in a country over a period of time (adjusted for inflation), which is an economic indicator o f growth. In the fourth quarter (Q 4) of 2025, real GDP grew at an annualized rate of 0.5%, a stark decline from the third quarte r (Q3) of

4.4%.6 Continued positive growth each quarter generally allays economists’ concerns that a recession is forthcoming. T he Q4 results largely reflect decreases in government spending due to the government shutdown and exports.6 The Federal Reserve will be closely monitoring this

2 U.S. Bureau of Labor Statistics. Economic News Release: Employment Situation Summary. Apr. 2026 . U.S. Bureau of Labor Statistics.
3 U.S. Bureau of Labor Statistics. Consumer Price Index – April 2026. 10 Apr. 2026. U.S. Bureau of Labor Statistics. 4 Federal Open Market Committee. Press Release: Federal Reserve issues FMOC statement. 18 March. 2026. Federal Open Market Committee.
5 U.S. Bureau of Economic Analysis. Gross Domestic Product, 3rd Quarter 2025 (Third Estimate), GDP by Industry, Corporate Profits (Revised), and Annual Update. U.S. Bureau of Economic Analysis. 6 Reuters. US economic growth likely slowed to a still-brisk pace in fourth quarter. 19 Feb. 2026. Reuters.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 3

marginal positive economic growth in its policy decisions to reduce inflation.

GDP: Percent Change from Preceding Quarter

The Forecast predicts GDP growth to approach 3% in 2026 and moderate in 2027 and 2028 as fiscal stimulus fades and AI infrastructure stabilizes.7

Highlights – California

The Forecast for California highlighted a contrasting pattern in the economy with strong output growth paired with weak payroll employment. 7 The Legislative Analyst Office indicate s, despite improvements in revenues, the California budget problem is larger than anticipated. The strong income tax collections driven by enthusiasm around AI, have driven the stock market to be overheated and possibly not sustainable.8

The latest state employment reports show a 5.3% unemployment rate, marking the fifth consecutive month of reductions .9 Some factors impacting California labor include changes in H -1B visas and artificial intelligence (AI) development in the technology sector and a general decline in manufacturing. National immigration policies are also exhibiting impacts on the non-durable goods (food) and agriculture sectors.

Overall, both the nation and the state economies are expected to see sluggish growth in early 2026, with potential improvement beginning in late 2026 and into 2027. The outlook for the state’s economy remains subject to several uncertainties, including federal immigration policies and

7 UCLA Anderson. Los Angeles on the Global Stage: World Cup, Super Bowl and the Olympics: Spring 2026 U.S.

Economic Outlook. [Webinar]. 4 Mar. 2026. UCLA Anderson. 8 California Legislative Analyst’s Office. The 2026-27 California’s Fiscal Outlook. 19 Nov. 2025. California Legislative Analyst's Office.
9 California Employment Development Department. California Added 28,700 Jobs in March 2026. 1 May 2026. California Employment Development Department.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 4

associated deportations, the scope and impact of tariffs and related trade responses and the pace and practical application of artificial intelligence technologies.7

GENERAL FUND OVERVIEW
General Fund revenues are projected to be lower than the Amended Budget by $2.4 million, and expenditures are also projected to be lower than the Amended Budget by $2. 4 million. Staff anticipates major revenues to come in lower than budget by $ 3.7 million and other revenues to exceed the Amended Budget by $1. 3 million, detailed in the General Fund Revenues section. Third quarter projections for expenditures, as well as any known significant expenditure budget adjustments are detailed in the General Fund Expenditures section.

Fiscal Year 2025-26 General Fund Overview
Table 1 in millions
Adopted Budget Amended
Budget
Year-end
Projection Variance¹
Revenue Source
Major Discretionary Revenues
Property Tax $ 58.4 $ 58.4 $ 55.3 $ (3.2) Property Tax in lieu of VLF 33.8 33.8 34.0 0.2 Sales Tax 51.2 51.2 51.1 (0.1) Measure P Sales Tax 30.8 30.8 30.9 0.1 Measure A Sales Tax 30.8 30.8 30.9 0.1 Franchise Fees 15.4 15.4 16.0 0.6 Transient Occupancy Tax 21.7 21.7 20.4 (1.3) Utility Users Tax 3.7 3.7 3.7 -
Major Discretionary Revenues Subtotal 246.0 246.0 242.3 (3.7) Other General Fund Revenues
Other Revenues 59.6 62.8 64.1 1.3 Other General Fund Revenues Subtotal 59.6 62.8 64.1 1.3

Total Revenues/Sources $ 305.6 $ 308.8 $ 306.4 $ (2.4) Expenditures
Personnel Services $ 161.8 $ 163.0 $ 161.7 $ 1.2

Non-Personnel
Supplies and Services 28.6 33.8 32.7 1.1 Other Expenses 2.7 3.6 4.1 (0.6) Transfers Out 100.0 103.0 101.7 1.3 Internal Services 4.6 4.6 4.6 - Utilities 7.7 8.0 8.6 (0.6) Other Expenditures Category² 0.2 0.5 0.5 - Total Non-Personnel 143.8 153.5 152.6 1.0

Total Expenditures $ 305.6 $ 316.5 $ 314.1 $ 2.4

Use of Prior Year Fund Balance $ - $ (7.7) $ (7.7) $ -

Total General Fund Surplus/(Deficit) $ - $ - $ - $ - 1 Variance compares the Amended Budget and the Year-End Projection. 2 Other Expenditures Category includes: Other Capital, Non-CIP Projects Expenditures and CIP Project Expenditures. *Tables may not tie due to rounding

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 5

GENERAL FUND REVENUES
As identified in Table 1 above, the City’s General Fund revenues are projected to be lower than the Amended Budget by approximately $ 2.4 million. The shortfall in Property Tax of $3. 2 million, Transient Occupancy Tax (TOT) of $ 1.3 million, and Sales Tax of $0.1 million is anticipated to be partially offset by the projected increase in Property Tax in Lieu of VLF, Franchise Fees, Measure A Sales Tax, Measure P Sales Tax, and Other Revenues of approximately $2.3 million combined.

Fiscal Year 2025-26 General Fund Overview
Table 2 in millions
Revenue Source Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Major Discretionary Revenues
Property Tax $ 58.4 $ 58.4 $ 55.3 $ (3.2) Property Tax in lieu of VLF 33.8 33.8 34.0 0.2
Sales Tax 51.2 51.2 51.1 (0.1)
Measure P Sales Tax 30.8 30.8 30.9 0.1
Measure A Sales Tax 30.8 30.8 30.9 0.1
Franchise Fees 15.4 15.4 16.0 0.6
Transient Occupancy Tax 21.7 21.7 20.4 (1.3)
Utility Users’ Tax 3.7 3.7 3.7 -
Major Discretionary Revenues Subtotal 246.0 246.0 242.3 (3.7) Other General Fund Revenues

Other Revenues 59.6 62.8 64.1 1.3
Other General Fund Revenues Subtotal 59.6 62.8 64.1 1.3 Total General Fund Revenues Surplus/(Deficit) $ 305.6 $ 308.8 $ 306.4 $ (2.4)

Property Tax
Property tax revenue derived from ad valorem taxes on real property and tangible personal property within the City boundaries. Property tax is administered by the County of San Diego and is limited by Proposition 13 to a general rate of 1% of assessed value. Currently, the City receives approximately 12.4% of property taxes revenues as sessed for Chula Vista properties.

Property tax is the City’s largest revenue source, representing 19.1% of General Fund revenues in the Adopted Budget. Property tax is projected to be $55.3 million; a $3.2 million decrease compared to the Adopted Budget , consistent with the Second Quarter Financial Report projection .

Approximately $1.3 million of the shortfall is attributable to the property taxes associated with timing of the supplemental property tax assessments for the Gaylord Pacific Resort and Convention Center project. This reduction in projected revenues also results in a corresponding decrease to expenditures in the Transfers Out category, result in an overall net zero fiscal impact to the General Fund.

In addition, final updates to receivables from the County Assessor, combined with a decline in home sales, contributed to property tax growth that was lower than originally assumed in the

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 6

budget. Based on trends observed in the current and prior fiscal years, staff revised the forecasting methodology to a more conservative approach to better reflect current market conditions.

Based on the Zillow Home Value Index – March 2026, Chula Vista’s median home price for a single- family home was $ 846,372, a 1.8% year-over-year decline. A cooling trend in the housing market is apparent, with declines in sales across the San Diego region. Buyer enthusiasm has waned due to affordability constraints and mortgage rates remaining high despite recent Federal Reserve interest cuts. A slowdown in home sales will have some degree of impact on the growth of property taxes in the City as homes are typically reassessed at higher values upon major construction/improvements or sale, with home prices generally increasing over time. Property tax growth is otherwise limited by the cap on Proposition 13 on assessed value growth to the lesser of the California Consumer Price Index (CPI) or 2%.

Source: Chula Vista Zillow Home Values Index (https://www.zillow.com/home-values/51405/chula-vista-ca/) Property Tax in Lieu of VLF
Property tax in lieu of vehicle license fees (“VLF”) revenues are generated from vehicle license fees paid with vehicle registrations with the State of California and then allocated to cities and counties.

VLF fluctuate with changes in assessed values within the City.

Property tax in lieu of VLF is projected to be $3 4.0 million, a $0.2 million increase compared to the Adopted Budget, consistent with the Second Quarter Financial Report projections. Projections for fiscal year 2026 are based on updated information from the County.

Sales Tax
The Bradley -Burns Uniform Local Sales and Use Tax (Sales Tax) tax revenue is generated from a percentage tax imposed on the sale of retail goods and services that occur within the City. Sales tax revenue is highly sensitive to economic conditions and reflects the factors that drive taxable sales, including levels of unemployment, consumer confidence, per-capita income, and business investment. The total citywide sales tax rate is 8.75%, of which the City’s General Fund receives 1.0% of all taxable sales tra nsactions within the City, excluding voter- approved sales tax measures for Measure P and A.

$400,000
$500,000
$600,000
$700,000
$800,000
$900,000
Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026 Median Home Price
Chula Vista Single Family Homes

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 7

Sales tax revenue is the second largest General Fund source, representing 16.8% of the total General Fund revenues in the Adopted Budget. Sales tax is projected to be $51.1 million, a slight decrease from the Adopted Budget of $51.2 million, reflecting softer-than-expected performance in select economic sectors.

Chula Vista’s largest economic segments include general consumer goods, state & county pools (sales tax revenues from transaction with no specific place of sale, allocated to local jurisdictions on a proportional basis), restaurants & hotels and autos & transportation. Combined, these categories account for approximately 76% of total sales tax revenues. Recent data for the third quarter of fiscal year 2026 indicates a 3.2% increase in taxable sales compared to the same quarter of 2025. Despite these gains, the City’s revenue fell slightly short of budgeted expectations due to uneven sector performance. The opening of the Gaylord Pacific Resort and Convention Center on May 15, 2025, is anticipated to continue to generate a boost in sales tax revenue from visitor spending beyond the Gaylord Pacific Resort and Convention Center property, as guests venture into surrounding areas and contribute to broader local retail and dining activity.

While the Adopted Budget assumed stable employment and consumer confidence, it did not anticipate ongoing fluctuations in consumer behavior and broader economic uncertainty. The City remains mindful of recent declines in consumer confidence and concerns about geopolitical instability. Nevertheless, local dining activity and new business openings continue to provide meaningful support to overall taxable sales.

Sales tax revenue will continue to be closely monitored and updated in the Fourth Quarter Report to account for any changes in spending trends or other economic indicators impacting sales tax receipts.

 Measure P Sales Tax - Voters approved Measure P in November 2016 as a temporary, ten- year, half-cent sales tax dedicated to addressing high -priority deferred maintenance needs.

In 2024, voters approved the continuation of Measure P through 2037. While the revenue generated from the Measure P sales tax is collected in th e General Fund, the General Fund transfers this revenue to the Measure P Sales Tax Fund for accountability and transparency in the usage of these funds. These actions result in an overall net zero fiscal impact to the General Fund. Measure P sales tax is projected to be $30.9 million, reflecting a slight increase of $0.1 million from the Adopted Budget.

 Measure A Sales Tax - Voters approved Measure A in June 2018, established as a permanent half-cent sales tax to fund critical public safety needs and enh ance staffing levels. Similar to Measure P sales tax, revenue is collected and tracked within the General Fund, and transfer to the Measure A Sales Tax Fund for accountability and transparency in the usage of these funds. Separate accounts (one for the Fi re department and one for the Police department) were established to support the monitoring and allocation of these funds. These actions result in an overall net zero fiscal impact to the General Fund. Measure A sales tax is projected to be $30. 9 million, reflecting a slight increase of $0.1 million from the Adopted Budget.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 8

Franchise Fees
Franchise fee revenues are generated from agreements with private utility companies in exchange for use of the City’s rights -of-way. The fee compensates the City for the use of its property, such as its streets. Franchise fees are collected from three primary sources: San Diego Gas & Electric (“SDG&E”) (2% on gas and 1.25% on electricity), Republic Services trash collection franchises (20% fee), and AT&T and Cox Communications cable franchises (5% fee).

Franchise fee revenue is projected to be $ 16.0 million, a $0. 6 million increase compared to the Adopted Budget , consistent with the Second Quarter Financial Report projection. The change is largely due to an increase in trash collection revenue from Republic Services, the city’s solid waste services provider. SDG&E franchise revenues remain static, while cable franchise revenues are down. The decrease represents the number of subscription service subscribers for cable television providers (premium video, equipment rental, on -demand, and programming services) as more customers continue to move to streaming services.

Transient Occupancy Tax
Transient Occupancy Tax ( “TOT”) is a tax imposed on occupants of hotel and motel rooms, short-term rentals, and RV parks within the City. The current TOT tax rate in the City is 10%. Major economic drivers for TOT revenue include room rates, average occupancy rates, and seasonal and non -seasonal tourism. The City has experienced stron g growth in TOT in recent years with a number of new hotel developments on both the west and eastern portions of the City as well as an expansion of the short -term rentals compliance program.

Additionally, it is important to note that the TOT revenue gener ated from the RV Park and the Gaylord Pacific Resort & Convention Center in the Bayfront area is transferred out from the General Fund to a separate fund as part of the contractual requirements for the Gaylord Pacific Resort & Convention Center project.

TOT revenue is projected to be $ 20.4 million, an increase of $2.0 million compared to the Second Quarter Financial Report projection , though still $1.3 million below the Adopted Budget. This revised projection reflects stronger -than-anticipated revenue perf ormance, driven primarily by increased business travel and conferences at the Gaylord Pacific Resort & Convention Center . The remaining $1.3 million shortfall is due to the delay in anticipated opening of two hotels —now expected in future fiscal years beyond 2025‑ 26—as well as updated revenue assumptions based on actual collections to date. Together, these factors reduce the estimated growth rate relative to the Adopted Budget, as reported in the Second Quarter Financial Report.

Utility Users’ Tax
Utility User’s Tax ( “UUT”) is a local excise tax imposed on the consumption of utility services by residents and businesses. Specifically, the City imposes a UUT on the use of telecommunications (cable, telephone) at the rate of 4.75% of gross receipts and UU T on natural gas services of $0.00919 per therm and $0.00250 per kilowatt on electricity services, which equates to approximately a 1% tax. UUT is collected by utility companies as part of its regular billing and then remit to the City.

UUT is projected to align with the Second Quarter Financial Report projection and Adopted Budget at $3.7 million. While some modest growth is anticipated in revenues from the natural gas and

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 9

electricity utilities based upon population growth and the increases in utility prices, adoption of solar energy and conservations efforts suggest a decline in consumption of those utilities which reduce revenues. Additionally, consumption of telecommunica tions utilities is also expected to continue to decline due to changes in technology and consumer preferences.

Other Revenues
Other Revenues include the following revenue categories: Charges for Services, Federal Revenue, Fines and Penalties, Licenses & Permits, Other Revenue, State Revenue, Transfers In and Use of Money/Property. Other Revenues category is anticipated to exceed the Adopted Budget by $1. 3 million. Transfers In and Use of Money/Property reflects a positive variance of $ 1.6 million combined related to a transfer from the O ther Post Employment Benefit (OPEB) Reserve Fund to reimburse the General Fund for eligible OPEB expenditures in the General Fund and an increase of anticipated investment earnings. Charges for Services, Federal Revenue, Fines and Penalties and Licenses and Permits reflect a $0. 5 million positive variance combined primarily related to increased staff time reimbursements and permit fees. Other Revenue and State Revenue reflect a negative variance of $0. 7 million combined, mostly driven by a reduction i n actual tax receipts collected from cannabis businesses when compared to previous years.

Fiscal Year 2025-26 General Fund Overview
Table 3 in millions
Revenue Source Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Other Revenues
Charges for Services $ 13.6 $ 14.1 $ 14.3 $ 0.2 Federal Revenue 0.5 0.5 0.6 0.1
Fines and Penalties 1.1 1.1 1.2 0.1
Licenses & Permits 2.0 2.0 2.1 0.1
Other Revenue 20.7 23.2 22.6 (0.6)
State Revenue 1.0 1.0 0.9 (0.1)
Transfers In 15.0 15.0 15.8 0.8
Use Money/Property 5.6 5.6 6.4 0.8
Other Agency Revenue - 0.3 0.3 -
Total Other Revenues $ 59.6 $ 62.8 $ 64.1 $ 1.3 Departmental Revenues
Table 4 below provides the Amended General Fund revenues budget, projected year-end revenues, and the variance (difference) between both at the department level. Additionally, Appendix A contains a net impact summary of each department within the General Fund.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 10

Fiscal Year 2025-26 General Fund Departmental Revenues
Table 4 in thousands
Department Amended
Budget
Year-end
Projection Variance
City Clerk $ 65.6 $ 91.6 $ 26.0 City Attorney 439.0 313.6 (125.4) Administration 167.7 168.8 1.0 Information Technology 336.0 256.0 (80.0) Human Resources 1,595.4 1,535.3 (60.2) Finance 1,203.3 1,386.5 183.2 Non-Departmental 17,739.4 18,046.7 307.3 Animal Care Facility 1,090.3 1,227.2 136.9 Economic Development 1,643.2 1,382.7 (260.5) Development Services 2,264.9 2,076.1 (188.8) Engineering/Capital Projects 8,579.3 8,557.0 (22.3) Police 6,436.5 7,007.6 571.1 Fire 6,851.1 6,735.3 (115.8) Public Works 9,210.9 10,002.9 792.0 Parks and Recreation 4,597.4 4,699.0 101.6 Library 585.2 610.5 25.3 Total Departmental Revenue $ 62,805.2 $ 64,096.7 $ 1,291.4 This section documents the justifications for significant budget variances with an anticipated impact greater than $250,000.

Non-Departmental – Increase of $ 0.3 million in Use of Money/Property for projected higher investment earnings.

Economic Development – Decrease of $0.3 million mainly in Other Revenues due to decreased staff time reimbursements following department restructuring.

Police – Increase of $0.6 million in Charges for Services and Fines and Penalties from special events reimbursements and an increase in penalties collected.

Public Works – Increase of $0.8 million in Charges for Services and Other Revenue from increased staff reimbursements from development fees and community facility districts.

GENERAL FUND EXPENDITURES
General Fund expenditures are projected to be $2.4 million below the Amended Budget. A combined overage of $1.2 million in Other Expenses and Utilities is expected to be fully offset by a combined $3.6 million decrease in Personnel Services, Supplies and Services, and Transfers Out. Overall, these adjustments result in a positive fiscal impact.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 11

Fiscal Year 2025-26 General Fund Overview
Table 5 in millions
Expenditures Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Personnel Services $ 161.8 $ 163.0 $ 161.7 $ 1.2 Non-Personnel
Supplies and Services 28.6 33.8 32.7 1.1
Other Expenses 2.7 3.6 4.1 (0.6)
Transfers Out 100.0 103.0 101.7 1.3
Internal Services 4.6 4.6 4.6 -
Utilities 7.7 8.0 8.6 (0.6)
Other Expenditures Category 0.2 0.5 0.5 -
Total Non-Personnel 143.8 153.5 152.3 1.0
Total Expenditures $ 305.6 $ 316.5 $ 314.1 $ 2.4 Personnel Services
Updated projections for Personnel Services category are expected to be $1.2 million below the Amended Budget. The decrease is primarily driven by vacancies in both the Police and Fire Departments, which offset the overage reflected in the Public Works Department. The overage in the Public Works Department is expected to be offset by excess revenues from staff ‑ time reimbursements.

Fiscal Year 2025-26 General Fund Overview
Table 6 in millions
Expenditure Category Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Personnel Services
Salary $ 103.7 $ 103.5 $ 98.0 $ 5.5 Hourly 4.5 4.5 5.1 (0.6)
Overtime 10.9 12.2 14.2 (1.9)
PERS 20.9 20.9 20.2 0.7
FLEX 15.9 15.9 14.2 1.7
Other Personnel 6.0 6.0 10.2 (4.2)
Total Personnel Services $ 161.8 $ 163.0 $ 161.7 $ 1.2 Supplies and Services
The Supplies and Services category is projected to be $1.1 million below the Amended Budget. This savings is primarily due to $0.2 million in the City Clerk’s Department resulting from the removal of an elected official from the June 2026 ballot, and a combined $0.6 million reduction in the Human Resources and Finance Departments due to lower‑ than‑ anticipated contracted services.

Fiscal Year 2025-26 General Fund Overview
Table 7 in millions
Expenditure Category Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Supplies and Services $ 28.6 $ 33.8 $ 32.7 $ 1.1 Total Supplies and Services $ 28.6 $ 33.8 $ 32.7 $ 1.1

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 12

Other Expenses
The Other Expenses category includes a wide variety of relatively minor costs within the General Fund, such as sales tax administration costs, small tools, credit card transaction fees and bank charges, and reimbursements to other agencies. The Other Expenses category is projected to exceed the Amended Budget by $0. 6 million. This variance is primarily due to increased credit card transaction fees, bank charges and reimbursements to other agencies.

Fiscal Year 2025-26 General Fund Overview
Table 8 in millions
Expenditure Category Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Other Expenses $ 2.7 $ 3.6 $ 4.1 $ (0.6) Total Other Expenses $ 2.7 $ 3.6 $ 4.1 $ (0.6) Transfers Out
The Transfers Out category represents authorized transfers of cash between City funds and is projected to be below the Amended Budget by $ 1.3 million. The variance is primarily due to a reduction in debt service payment transfers from the General Fund , resulting from the use of the Bond Call Reserve Fund for these expenses.

Fiscal Year 2025-26 General Fund Overview
Table 9 in millions
Expenditure Category Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Transfers Out $ 100.0 $ 103.0 $ 101.7 $ 1.3 Total Transfers Out $ 100.0 $ 103.0 $ 101.7 $ 1.3 Internal Services
Expenditures in this category are for vehicle maintenance charges associated with the use of City vehicles and equipment. These charges are based on the actual vehicles that reside within a department and include costs ranging from routine maintenance (oil changes, preventive maintenance) to major repairs (drivetrain, repairs, accident repairs), as well as fuel costs. Internal services are projected to remain at budget through fiscal year end.

Fiscal Year 2025-26 General Fund Overview
Table 10 in millions
Expenditure Category Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Internal Services $ 4.6 $ 4.6 $ 4.6 $ - Total Internal Services $ 4.6 $ 4.6 $ 4.6 $ - Utilities
The Utilities category is currently projected to exceed the Amended Budget by $0.6 million.

Projections account for an 8% rate increase in water and electric rates effective January 2026 and current consumption in both San Diego Gas & Electric (SDG &E) and water. The Engineering Department is impacted by rising costs to power city streetlights and traffic si gnals. The Library Department is experiencing higher electricity costs due to Heating, Ventilation, and Air Conditioning (HVAC) system issues requiring additional temporary cooling units. The Police Department reflects

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 13

increased utility expenses caused by HVAC issues, while the Public Works Department is projected to exceed budget primarily related to pending solar system repairs.

Fiscal Year 2025-26 General Fund Overview
Table 11 in millions
Expenditure Category Adopted
Budget
Amended
Budget
Year-end
Projection Variance¹
Utilities $ 7.7 $ 8.0 $ 8.6 $ (0.6) Total Utilities $ 7.7 $ 8.0 $ 8.6 $ (0.6) Other Expenditures Category
The Other Expenditures Category includes Other Capital, Non -CIP Projects Expenditures and CIP Project Expenditures budget categories. The Other Expenditures category is expected to align with the Amended Budget of $0.5 million.

Fiscal Year 2025-26 General Fund Overview
Table 12 in millions
Expenditure Category Adopted
Budget
Amended
Budget
Year-end
Projection Variance
Other Expenditures Category $ 0.2 $ 0.5 $ 0.5 $ - Total Other Expenditures $ 0.2 $ 0.5 $ 0.5 $ - Departmental Expenditures
Table 13 below provides the Amended General Fund expenditure budget, projected year -end expenditures, and the variance (difference) between both at the department level. Additionally, Appendix A contains a net impact summary of each department within the General Fund.

Fiscal Year 2025-26 General Fund Departmental Expenditures Table 13 in thousands
Department Amended
Budget
Year-end
Projection Variance
City Council $ 1,888.0 $ 1,880.5 $ 8.0 Boards & Commissions 7.1 7.1 - City Clerk 2,356.2 2,190.1 166.1 City Attorney 4,111.4 3,779.2 332.2 Administration 3,284.6 3,000.6 284.0 Information Technology 5,469.8 5,521.4 (51.6) Human Resources 4,181.6 4,060.4 121.2 Finance 5,785.7 5,462.1 323.6 Non-Departmental 118,820.2 118,399.9 420.3 Animal Care Facility 4,022.9 3,947.9 75.0 Economic Development 1,834.7 1,792.8 41.9 Development Services 3,476.1 3,441.3 34.8 Engineering/Capital Projects 11,815.4 11,815.9 (0.4) Police 66,402.0 65,824.5 577.5 Fire 42,764.7 42,059.1 705.6 Public Works 28,612.3 29,255.6 (643.3) Parks and Recreation 6,961.9 7,053.0 (91.1) Library 4,707.0 4,806.9 (99.9) Total Expenditure Budget $ 316,501.5 $ 314,298.0 $ 2,204.0 This section documents the justifications for significant budget variances with an anticipated impact

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 14

greater than $250,000.

City Attorney – Decrease of $0.3 million in Personnel Services from department vacancies.

Administration – Decrease of $0.3 million in Personnel Services from department vacancies.

Finance – Decrease of $0.3 million in Supplies and Services driven by a reduction in contracted services.

Non-Departmental – Decrease of $ 0.4 million in Transfers Out from a reduction to debt service payments from the General Fund.

Police – Decrease of $0.6 million, primarily in Personnel Services savings offset with an increase in utility cost s. The decrease in Personnel Service savings is attributable to department vacancies , while Utilities reflect overages in SDG&E costs exceeding budget by $0.1 million.

Fire – Decrease of $0.7 million in Personnel Services from department vacancies.

Public Works – Increase of $0.6 million in Personnel Services and Utilities. The overage in Personnel Services is mostly attributable to an increase in overtime and hourly costs related to Capital Improvement Projects , of which is expected to be offset by excess revenues from staff time reimbursements. Increase in Utilities reflect overages in SDG&E costs exceeding budget by $0. 1 million.

OTHER FUNDS
The following section i ncludes projections for other funds that provide support for significant operating activities throughout the City. These funds have an operating budget of over $15.0 million, with all fund projections available in Appendix B.

2018 Measure A Sales Tax
This fund accounts for the permanent half -cent sales tax voters approved to fund critical public safety needs and enhance public safety staffing levels.

2018 Measure A Sales Tax revenues are projected to exceed the Amended Budget by $1.2 million due to strike team reimbursements in the Fire Department. Similarly, expenditures are projected to exceed the Amended Budget by $0.9 million , also due to overtime expenses from strike team deployments.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 15

Fiscal Year 2025-26 Measure A Fund Overview
Table 14 in millions

Adopted
Budget
Amended
Budget
Year-End
Projection Variance
Revenue $ 30.9 $ 30.9 $ 32.1 $ 1.2 Expenditures
Personnel Services 26.7 28.1 28.8 (0.8)
Non-Personnel 6.9 23.3 23.4 (0.1)
Expenditure Subtotal 33.7 51.3 52.3 (0.9)
Total Fund Surplus/(Deficit) $ (2.7) $ (20.4) $ (20.2) $ 0.2 Development Services
This fund accounts for revenues and expenses related to the processing of development plans and permits.

Development Services revenues are projected to be lower than the Amended Budget by $4.0 million by year -end, largely based on timing of receipts for building permits and developer fees and deposits. Expenditure projections are expected to be lower than the Amended Budget by $1. 8 million, primarily in the Personnel Services category due to vacancies.

Fiscal Year 2025-26 Development Services Fund Overview
Table 15 in millions

Adopted
Budget
Amended
Budget
Year-End
Projection Variance
Revenue $ 13.2 $ 13.1 $ 9.1 $ (4.0) Expenditures
Personnel Services 10.1 10.1 9.0 1.1
Non-Personnel 5.3 5.4 4.7 0.7
Expenditure Subtotal 15.4 15.5 13.6 1.8
Total Fund Surplus/(Deficit) $ (2.2) $ (2.4) $ (4.5) $ (2.2) Transport Enterprise
This fund was established to account for all activities related to providing Ambulance Transport Services to the residents of Chula Vista, Bonita, and Imperial Beach.

Transport Enterprise revenues are expected to exceed the Amended Budget by $ 1.4 million based on current trend of ambulance transports. Expenditure projections are expected to be less than the Amended Budget by $1. 7 million in the Other Capital category, driven primarily from deferred vehicle replacements.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 16

Fiscal Year 2025-26 Transport Enterprise Fund Overview
Table 16 in millions

Adopted
Budget
Amended
Budget
Year-End
Projection Variance
Revenue $ 21.3 $ 21.3 $ 22.6 $ 1.4 Expenditures
Personnel Services 9.3 9.3 9.1 0.2
Non-Personnel 12.0 13.9 12.5 1.4
Expenditure Subtotal 21.3 23.3 21.6 1.7
Total Fund Surplus/(Deficit) $ - $ (2.0) $ 1.1 $ 3.1 Sewer Service Revenue Fund
This fund is used to account for all activities related to providing sewer services to the residents of Chula Vista.

Sewer Service revenues are projected to exceed the Amended Budget by $ 0.1 million by year-end.

Expenditure projections are expected to be lower than the Amended Budget by $0.7 million, mainly in the Transfers Out category attributable to projected staff time reimbursements on Sewer related projects.

Fiscal Year 2025-26 Sewer Fund Overview
Table 17 in millions

Adopted
Budget
Amended
Budget
Year-End
Projection Variance
Revenue Subtotal $ 47.6 $ 47.6 $ 47.7 $ 0.1 Expenditures
Personnel Services 5.9 5.9 5.7 0.2
Non-Personnel 41.7 44.6 44.1 0.5
Expenditure Subtotal 47.6 50.5 49.8 0.7
Total Fund Surplus/(Deficit) $ - $ (2.9) $ (2.1) $ 0.8

FISCAL YEAR 2025-26 BUDGET ADJUSTMENTS
General Fund Adjustments
The recommended adjustment i n the General Fund reflects a transfer in the Public Works Department of Non -Personnel Expenditures from Supplies and Services to Transfers Out of $300,000 for CIP Project# GGV0279 (Norman Park Senior Ctr Elevator Mod).

Other Funds Adjustments
The recommended adjustmen ts in Table 1 8 are for funds outside of the General Fund . The adjustments are offset by additional revenues or from available fund balance of the respective funds.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 17

Table 18

Personnel
Non-
Personnel Total Total
Other Funds Services Expenditures Expenditures Revenue Net Impact Pension/Debt Reserve $ - $ 4,685,854 $ 4,685,854 $ - $ 4,685,854 Trunk Sewer Capital Reserve - 3,335,000 3,335,000 (340,000) 2,995,000 State Grants - 465,000 465,000 (70,000) 395,000
Parking Meter - 350,000 350,000 - 350,000
Public Facilities DIF - 340,000 340,000 - 340,000
Other Grants - 57,500 57,500 (52,500) 5,000 Capital Improvement Projects - 351,368 351,368 (351,368) - Equipment Vehicle Replacement - 100,000 100,000 (100,000) - Donations - 32,632 32,632 (32,632) - Total Other Funds $ - $ 9,717,354 $ 9,717,354 $ (946,500) $ 8,770,,854 Pension/Debt Reserve Fund: Increase to Non-Personnel Expenditures from available fund balance of $4,685,854 for OPEB expenditures and for debt service payments from the Bond Call Reserve Fund.

Trunk Sewer Capital Reserve: Increase to Non-Personnel Expenditures for CIP Project# SWR0321 (RIDA Bayfront Sewer Improvements) of $3,335,000 partially offset by estimated revenues of $340,000 from the Public Facilities DIF Fund.

State Grants: Increase to Non -Personnel Expenditures of $465,000 p artially offset from available fund balance of $395,000 and estimated revenues of $70,000 for grants in the Economic Development and Police Departments.

Parking Meter : Increase to Non -Personnel Expenditures from fund balance for CIP Project # GGV0280 (Third Ave Parking Elevator Mod).

Public Facilities DIF : Increase to Non -Personnel Expenditures by $340,000 in the Other Expenses category from available fund balance for interfund loan interest expense.

Other Grants: Increase to Non-Personnel Expenditures of $57,500 partially offset with increased estimated revenues of $52,500.

Capital Improvement Projects: Increase to Non-Personnel Expenditures of $351,368 for CIP Project# GGV0279 (Norman Park Senior Ctr Elevator Mod) and CTY0246 (Water Damage at Fire Station #12) fully offset by an increase to estimated revenues.

Equipment Vehicle Replacement: Increase to Non -Personnel Expenditures of $100,000 fully offset by estimated revenues for vehicle replacement purchases.

Donations: Increase to Non -Personnel Expenditures and estimated revenues of $32,632 for donations received from LiveNation.

Capital Improvement Project Adjustments
The recommended adjustments for the Capital Improvement Project expenditure budgets are included in the table below. The adjustments are offset by additional revenues or the available fund

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 18

balance of the respective funds.

Table 19
Fund Project
CIP Project
Expenditures
Total
Expenditures
Capital Improvement Projects GGV0279 – Norman Park Senior Ctr Elevator Mod $ 300,000 $ 300,000 Capital Improvement Projects STM0408 – Pavement Rehabilitation Prog FY22 (300,000) (300,000) Capital Improvement Projects STL0464 – F Street Promenade Phase 1 200,000 200,000 Capital Improvement Projects DRN0214 – Install Full Capture Trash BMPs 100,000 100,000 Capital Improvement Projects CTY0246 – Water Damage at Fire Station #2 51,368 51,368 Parking Meter GGV0280 – Third Ave Parking Elevator Mod 350,000 350,000 Transportation Sales Tax CTY0202 – CIP Advanced Planning 75,000 75,000 Transportation Sales Tax CTY0242 – Water Damage at CC Library (75,000) (75,000) Trunk Sewer Capital Reserve SWR0321 - RIDA Bayfront Sewer Improvements 3,335,000 3,335,000 Total Amendments $ 4,036,368 $ 4,036,368

CONCLUSION
The City takes great pride in being good stewards of taxpayer funds and providing transparent financial reporting. The Third Quarter Financial Report updates the preliminary fiscal year 2025 - 26 trajectory with year-to-date results. The financial outlook continues to remain cautious but stable, further details will be provided in the Fourth Quarter Financial Report.

APPENDICES
A. General Fund Net Impact
B. Other Funds Year-End Projections

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 19

APPENDIX A
General Fund Net Impact
The following table outlines the net impact of each department within the General Fund . Department generated revenues are broadly defined as those revenues generated by a given activity (e.g., grant revenues, charges for services, licenses, permits). General revenues, or “discretionary revenues,” are broadly defined as those revenues that are generated not by any given activity, but by general or specific taxing authority such as property taxes and sales tax that are included in Non -Departmental and not assigned to a specific department.

Fiscal Year 2025-26 General Fund Net Impact
in thousands
Department
Year-end Expenditures
Projection
Year-end Revenue
Projection Net Impact
City Council $ 1,880.5 $ - $ 1,880.5 Boards & Commissions 7.1 - 7.1
City Clerk 2,190.1 91.6 2,098.5
City Attorney 3,779.2 313.6 3,465.6
Administration 3,000.6 168.8 2,831.8
Information Technology 5,521.4 256.0 5,265.4
Human Resources 4,060.4 1,535.3 2,525.1
Finance 5,462.1 1,386.5 4,075.6
Animal Care Facility 3,947.9 1,227.2 2,720.7
Economic Development 1,792.8 1,382.7 410.1
Development Services 3,441.3 2,076.1 1,365.2
Engineering/Capital Projects 11,815.9 8,557.0 3,258.9 Police 65,824.5 7,007.6 58,816.8
Fire 42,059.1 6,735.3 35,323.8
Public Works 29,255.6 10,002.9 19,252.7
Parks and Recreation 7,053.0 4,699.0 2,354.0
Library 4,806.9 610.5 4,196.4
Total General Fund1 $ 195,898.1 $ 46,050.0 $ 149,848.2 1 Excludes Non-Departmental Department since activity is not directly related to any single department.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 20

The chart below compares the projections as detailed in the report above to the net impact that was anticipated in the Adopted Budget.

Fiscal Year 2025-26 General Fund Net Impact
in thousands
Department
Adopted Budget
Net Impact
Year-end Projection
Net Impact
Net Impact
Variance
City Council $ 1,862.2 $ 1,880.5 $ 18.3 Boards & Commissions 2.1 7.1 5.0
City Clerk 2,208.1 2,098.5 (109.6)
City Attorney 3,490.8 3,465.6 (25.2)
Administration 3,079.8 2,831.8 (248.0)
Information Technology 4,874.9 5,265.4 390.5
Human Resources 2,586.0 2,525.1 (60.9)
Finance 4,579.3 4,075.6 (503.7)
Animal Care Facility 2,917.2 2,720.7 (196.5)
Economic Development 67.9 410.1 342.2
Development Services 1,065.7 1,365.2 299.5
Engineering/Capital Projects 2,967.7 3,258.9 291.2 Police 59,963.9 58,816.8 (1,147.1)
Fire 35,720.6 35,323.8 (396.8)
Public Works 18,923.0 19,252.7 329.7
Parks and Recreation 2,358.4 2,354.0 (4.4)
Library 3,996.7 4,196.4 199.7
Total General Fund1 $ 150,664.3 $ 149,848.2 $ (816.1) 1 Excludes Non-Departmental Department since activity is not directly related to any single department.

As you can see from the chart below, the majority of discretionary revenue is allocated to public safety services, with the Police Department expenditure at $58.8 million followed by the Fire Department at $35.3 million. The next highest portion is allocated to Public Works Department at $19.3 million.

$-
$10,000.0
$20,000.0
$30,000.0
$40,000.0
$50,000.0
$60,000.0
$70,000.0
Net Impact
Net Impact

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

Page | 21

APPENDIX B
Other Funds Year-End Projections
The following table outlines the year-end projection for other funds that provide support for significant operating activities throughout the City.

Fiscal Year 2025-26 Other Funds Year-End Projections
in millions
Other Funds Revenue/Expense
Adopted
Budget
Amended
Budget
Year-end
Projection Variance
2018 Measure A Sales Tax Revenue 30.9 30.9 32.1 1.2 Expense 33.7 51.3 52.3 (0.9)
Net Year-End Projection (2.7) (20.4) (20.2) 0.2

Advanced Life Support Program Revenue 3.0 3.0 3.3 0.3
Expense 3.1 3.1 3.3 (0.2)
Net Year-End Projection (0.1) (0.1) - 0.1

Parking Meter Revenue 1.1 1.1 1.0 (0.1) Expense 1.0 1.2 1.1 0.1
Net Year-End Projection 0.1 (0.1) (0.1) -

Local Grants Revenue - - 0.2 0.2
Expense 2.5 2.7 2.4 0.3
Net Year-End Projection (2.5) (2.7) (2.2) 0.5

Federal Grants Revenue 0.1 0.3 0.3 -
Expense 0.1 0.3 0.3 -
Net Year-End Projection - - - -

State Grants Revenue 0.7 0.7 0.8 0.1
Expense 0.7 0.8 0.7 0.1
Net Year-End Projection - (0.1) 0.1 0.2

Environmental Services Revenue 2.0 2.0 2.3 0.3
Expense 3.1 3.1 2.7 0.4
Net Year-End Projection (1.1) (1.1) (0.4) 0.7

Chula Vista Housing Authority Revenue 2.7 2.7 6.7 4.0
Expense 2.6 8.2 7.2 1.0
Net Year-End Projection 0.2 (5.5) (0.5) 5.0

Central Garage Fund Revenue 6.3 6.3 7.0 0.7
Expense 6.3 6.4 7.0 (0.6)
Net Year-End Projection - (0.1) - 0.1

Development Services Fund Revenue 13.2 13.1 9.1 (4.0) Expense 15.4 15.5 13.6 1.8
Net Year-End Projection (2.2) (2.4) (4.5) (2.2)

Transport Enterprise Revenue 21.3 21.3 22.6 1.4 Expense 21.2 23.3 21.6 1.7
Net Year-End Projection - (2.0) 1.1 3.1

Sewer Service Revenue Revenue 47.6 47.6 47.7 0.1 Expense 47.6 50.5 49.8 0.7
Net Year-End Projection - (2.9) (2.1) 0.8

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Attachment 2
Department From To Reason Amount
Administration Personnel Services Supplies & Services Large Cities Executive Forum 64,000$ Administration Personnel Supplies & Services Contracted Services 50,000 Administration Personnel Supplies & Services Large Cities Executive Forum 20,000 Engineering Personnel Supplies & Services Supplies & Services overages 74,762 Engineering Supplies & Services Supplies & Services Supplies & Services object code transfers 19,100 Information Technology Other Capital Supplies & Services Supplies & Services overages 75,000 Information Technology Personnel Services Supplies & Services Interim Director contract extension 75,000 Information Technology Other Capital/Personnel Supplies & Services Supplies & Services overages 42,890 Library Personnel Supplies & Services Security services contract 75,000 Library Personnel Supplies & Services Supplies & Services overages 50,000 Library Supplies & Services Personnel Reverse transfer 50,000 Library Supplies & Services Utilities Utilities overages 39,904 Library Supplies & Services Other Expenses Credit card expenses 1,400 Public Works Supplies & Services Supplies & Services/Other Expenses Reallocation of supplies funds between divisions category 71,740 Public Works Personnel Other Expenses Emergency repairs for monument wall 70,000 Public Works Supplies & Services Other Capital Bobcat equipment 24,528 Public Works Supplies & Services Other Capital Transfer for trailer 15,100 Public Works Personnel Other Expenses Emergency repairs to 3rd Ave Bollards 12,460 830,884$
General Fund Budget Amendment Transfers
Approved by Administration
Fiscal Year 2025-26 (as of March 31, 2026)
Total General Fund Budget Transfers

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Resolution Date Budget Amendments Department Revenue Expenditure Net Impact 2025-114 7/8/2025 Position Restructure - Classification and Comp Schedule Updates Engineering -$ 189,737$ (189,737)$ Public Works - (189,737) 189,737 2025-146 9/9/2025 Position Restructure - Classification and Comp Schedule Updates Engineering (614,284) (266,308) (347,976) Public Works 614,284 266,308 347,976 Non Departmental - (75,651) 75,651 Economic Development - 75,651 (75,651) 2025-205 12/2/2025 Position Restructure - Classification and Comp Schedule Updates City Council - (94,728) 94,728 City Council - 94,728 (94,728) City Clerk - 64,459 (64,459) Non-Departmental - (64,459) 64,459 2025-206 12/2/2025 First Quarter Amendments City Council - 14,640 (14,640) Information Technology - (94,380) 94,380 Information Technology - 121,094 (121,094) Non Departmental - (3,036,741) 3,036,741 Non Departmental - 2,995,387 (2,995,387) Economic Development 1,070,160 1,070,160 - 2026-047 3/17/2026 Second Quarter Amendments Boards & Commissions - 5,000 (5,000) City Clerk - 17,885 (17,885) Development Services - 142,633 (142,633) Fire 1,297,696 1,297,696 -
Information Technology - 231,220 (231,220) Library - 80,000 (80,000) Non-Departmental 250,000 (476,738) 726,738 Parks and Recreation 325,000 325,000 - Police 118,000 118,000 - Public Works 113,000 363,000 (250,000) $ 3,173,856 $ 3,173,856 $ - Total General Fund Budget Amendments Attachment 3
General Fund Budget Amendments
Fiscal Year 2025-26 (as of March 31, 2026)

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 1 EXHIBIT 1
GENERAL FUND BUDGET AMENDMENTS SUMMARY – 3rd QUARTER FISCAL YEAR 2025-26

DEPARTMENT PERSONNEL SUPPLIES & OTHER OTHER TRANSFERS NON-CIP TOTAL TOTAL

SERVICES SERVICES EXPENSES CAPITAL UTILITIES OUT EXPENDITURES EXPENDITURES REVENUE NET IMPACT

GENERAL FUND
Public Works - (300,000) - - - 300,000 - - - - TOTAL GENERAL FUND $ - $ (300,000) $ - $ - $ - $ 300,000 $ - $ - $ - $ -

OTHER FUNDS BUDGET AMENDMENTS SUMMARY – 3rd QUARTER FISCAL YEAR 2025-26

PERSONNEL SUPPLIES & OTHER OTHER CIP TRANSFERS NON-CIP TOTAL TOTAL NET

SERVICES SERVICES EXPENSES CAPITAL BUDGET OUT BUDGET EXPENDITURES REVENUE IMPACT

OTHER FUNDS
Pension/Debt Reserve $ - $ - $ - $ - $ - $ 4,685,854 $ - $ 4,685,854 $ - $ 4,685,854 Trunk Sewer Capital
Reserve - - - - 3,335,000 - - 3,335,000 (340,000) 2,995,000 State Grants - 70,000 - 395,000 - - - 465,000 (70,000) 395,000 Parking Meter - - - - 350,000 - - 350,000 - 350,000
Public Facilities DIF - - 340,000 - - - - 340,000 - 340,000 Other Grants - 5,000 52,500 - - - - 57,500 (52,500) 5,000 Capital Improvement
Projects - - - - 300,000 - 51,368 351,368 (351,368) - Equipment Vehicle
Replacement - - - 100,000 - - - 100,000 (100,000) - Donations - - 32,632 - - - - 36,632 (32,632) - TOTAL OTHER FUNDS $ - $ 75,000 $ 425,132 $495,000 $ 3,985,000 $4,685,854 $ 51,368 $ 9,717,354 $ (946,500) $8,770,854

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Item 7.4: Quarterly Financial
Report
Third Quarter of Fiscal Year 2026

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Quarterly Financial Report
2 • Actuals as of March 31, 2026
• City Charter Section 505(f)
• Projected year end financial standings
• Appropriate funds
• Address budget variances, changes in
appropriations and transfers
Purpose

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda General Fund Revenues
(in millions)
3

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda General Fund Expenditures
(in millions)
4

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda General Fund Summary
(in millions)
5

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Public Works: Transfer of Non-Personnel Expenditures from Supplies & Services to Transfers Out for Norman Park Senior Center Elevator project
General Fund Adjustments
6Page 354 of 392
City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Trunk Sewer Capital Reserve: Increase to Non-Personnel
Expenditures for various projects.

State Grants: Increase to Non-Personnel Expenditures for grants in both Public Works and Police Department.

Pension/Debt Reserve: Increase to Non-Personnel Expenditures for OPEB expenditures and debt service payments.

Other Funds Adjustments
7Page 355 of 392
City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Donation Acceptance
Adopt a resolution accepting a donation received from
Tree San Diego with an estimated value of $31,600 for
various trees, supplies, and planting services.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Next Steps
9 Fiscal Year 2027 Budget was
adopted May 19, 2026
Fiscal year 2026 Year-End closing
process and preparation of Annual
Comprehensive Financial Report
(ACFR)
Finance staff will be presenting the
Fiscal Year 2026 4th Quarter
Financial Report in
October/November to the City
Council

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Accept the quarterly financial report for the quarter ended March 31, 2026 and adopt resolutions:

A) making various amendments to the fiscal year 2025-26 budget and the fiscal year 2025-26 Capital Improvement
Program budget to adjust for variances and appropriating funds for that purpose (4/5 Vote Required); and
B) accepting donations in the amount of $31,600 from Tree San Diego in support of Public Works Department operations.

Recommended Action

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Additional information can be found at:
(Chulavistaca.gov/budget)
Questions?

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

v . 0 0 5 P a g e | 1
June 16, 2026

ITEM TITLE
Agreement: Approve a Consultant Services Agreement with SenseMakers LLC to Develop and Conduct a Full- Scale Domestic Terrorism Response Exercise
Report Number: 26-0200
Location: No specific geographic location
Department: Police
G.C. § 84308 Regulations Apply: No
Environmental Notice : The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act (“CEQA”) State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.

Recommended Action
Adopt a resolution approving and authorizing the City Manager to execute a consultant agreement with SenseMakers LLC in an amount not to exceed $148,127 to design, develop, conduct and evaluate a Homeland Security Exercise and Evaluation Program (HSEEP)-compliant full-scale exercise.

SUMMARY
The Police Department is requesting approval to enter into a consultant agreement to deliver a regional, multi-agency full -scale exercise (FSE) focused on domestic terrorism response. The exercise will be conducted in accordance with federal Homeland Security Exercise and Evaluation Program (HSEEP) standards and will test regional preparedness, interagency coordination, and operational capabilities.

This effort will be funded through the Urban Area Security Initiative (UASI) grant program and will support the City’s ongoing commitment to regional collaboration, emergency preparedness, and public safety readiness.

ENVIRONMENTAL REVIEW
The proposed activity has been reviewed for compliance with the California Environmental Quality Act (CEQA) and it has been determined that the activity is not a “Project” as defined under Section 15378 of the

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 2
State CEQA Guidelines because it will not result in a physical change in the environment. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.

BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.

DISCUSSION
Background
The City of Chula Vista is an active participant in the San Diego Urban Area Security Initiative (UASI), a federal grant program administered by the Department of Homeland Security to enhance regional preparedness for acts of terrorism and other catastrophic incidents.

Full-scale exercises (FSEs) are the most complex and resource-intensive type of exercise and are designed to simulate real-world emergency conditions. These exercises are essential to evaluating operational readiness, identifying capability gaps, and strengthening interagency coordination.

Project Description
The proposed consultant will design, develop, conduct, and evaluate a one -day, HSEEP-compliant full-scale exercise simulating a domestic terrorism incident requiring coordinated response among multiple jurisdictions and disciplines.

Participating agencies are anticipated to include:
 Local and regional law enforcement agencies
 Fire and emergency medical services
 Emergency management and public health agencies
 State and federal partners
 Other regional stakeholders
The exercise will test key capabilities, including:
 Incident Command System (ICS) and Unified Command
 Multi-agency coordination and communication
 Intelligence sharing and situational awareness
 Resource management and mutual aid
 Public information and warning
Consultant Selection
The Police Department conducted a competitive procurement process in accordance with City purchasing policies and applicable federal grant requirements under 2 CFR Part 200 (Uniform Guidance). On March 27, 2026, the City issued Request for Proposal (RFP) P44-2026 to seek competitive proposals from experienced and qualified individuals or firms to provide consultant services to design, develop and execute a full -scale, one-day regional domestic terrorism response exercise at the Gaylord Pacific Resort in Chula Vista. Nine vendors responded to the RFP. The evaluation committee recommends SenseMakers LLC for award.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 3
As a result of the RFP process, SenseMakers LLC was selected based on:
 Demonstrated experience delivering HSEEP-compliant exercises  Technical expertise in domestic terrorism and multi-agency coordination  Proven ability to manage large-scale, complex exercise environments  Cost competitiveness and responsiveness to the City’s scope of work

SenseMakers LLC, a certified Service-Disabled Veteran-Owned Small Business, provides homeland security, public safety, and emergency management professional, technical, and consulting services that work to ensure the quality, value, and security of our nation’s communities, industry, infrastructure, and environment. Since 2013, they have partnered with their clients to develop customized solutions that build and sustain the capabilities necessary to respond to all manner of human -caused and natural disasters and emergencies.

Scope of Work
The consultant will provide a deliverables-based scope of services, including:
 Exercise design and project management
 Facilitation of planning meetings
 Development of HSEEP -compliant documentation (e.g., Exercise Plan, Master Scenario Events List, Controller/Evaluator Handbook)
 Coordination of logistics and temporary exercise-related resources  Execution of the full-scale exercise
 Facilitation of a post-exercise discussion (after-action debrief)  Preparation of a comprehensive After-Action Report/Improvement Plan (AAR/IP) All work will be conducted in compliance with UASI grant requirements and HSEEP standards.

UASI Grant Compliance
This project is fully aligned with allowable uses of UASI funding, including exercise design, development, and evaluation.

Key compliance considerations include:
 Deliverables-based contract structure to ensure contractor services are not classified as staff augmentation
 Adherence to personnel cost limitations under UASI guidelines  Use of funds solely for exercise-related, temporary, and necessary costs  Compliance with federal procurement and grant management requirements  Prohibition against supplanting existing City resources

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda P a g e | 4

DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and consequently, the real property holdings of the City Council members do not create a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).

Staff is not independently aware and has 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
The total cost of the consultant agreement will not exceed $148,127 and will be fund ed through the fiscal year 2024 UASI grant allocation. This cost is already included in the budget of the Police Grants section of the Federal Grants Fund for fiscal year 2025-26. Any overtime associated with this exercise will be covered by other UASI grant funds. There is no current-year impact to the General Fund.

ONGOING FISCAL IMPACT
There is no ongoing fiscal impact to the general fund associated with this one-time exercise. Any overtime incurred as a result of this exercise will be funded through other authorized UASI grant allocations.

ATTACHMENTS

1. Agreement - SenseMakers LLC
Staff Contacts: Dan Peak, Acting Chief of Police
Joel Monreal, Police Lieutenant

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda RESOLUTION NO. __________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

CHULA VISTA APPROVING A CONSULTANT SERVICES

AGREEMENT BETWEEN THE CITY AND SENSEMAKERS

LLC TO DESIGN, DEVELOP, CONDUCT, AND EVALUATE A

FULL-SCALE REGIONAL DOMESTIC TERRORISM

RESPONSE EXERCISE

WHEREAS, the City of Chula Vista participates in the federally funded Urban Area Security Initiative (UASI) grant program, which supports regional preparedness efforts to prevent, protect against, mitigate, respond to, and recover from acts of terrorism and other catastrophic incidents; and

WHEREAS, the U.S. Department of Homeland Security requires that exercises funded through UASI be conducted in accordance with the Homeland Security Exercise and Evaluation Program (HSEEP) standards; and

WHEREAS, full-scale exercises are critical to evaluating operational readiness, strengthening interagency coordination, and identifying capability gaps among regional partners ; and

WHEREAS, the City conducted a competitive procurement process through Request for Proposal # P44-2026 in accordance with City policies and federal requirements under 2 CFR Part 200 (Uniform Guidance), and determined that SenseMakers LLC is qualified to provide the required services; and

WHEREAS, the proposed consultant a greement is structured as a deliverables -based contract and complies with all applicable UASI grant requirements, including allowable cost principles and procurement standards; and

WHEREAS, funding for the consultant agreement is available through the Fisal Year 2024 UASI grant allocation in the amount of $148,127, and the project will not impact the General Fund; and

WHEREAS, the total compensation payable under the Agreement shall not exceed $148,127 over the term of the Agreement.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it approves the Consultant Services Agreement, between the City and SenseMakers LLC, 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.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Resolution No.

Presented by Approved as to form by

Tiffany Allen Marco A. Verdugo
City Manager City Attorney

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 1 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

1. CITY OF CHULA VISTA

CONSULTANT SERVICES AGREEMENT

WITH SENSEMAKERS LLC

TO PROVIDE DESIGN, DEVELOPMENT AND EVALUATION SERVICES TO CONDUCT A FULL-

SCALE REGIONAL DOMESTIC TERRORISM RESPONSE EXERCISE

This Agreement is entered into effective as of June 16, 2026 by and between the City of Chula Vista, a chartered municipal corporation (“City”) and SenseMakers LLC , a Limited Liability Company (“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:

RECITALS

WHEREAS, the City of Chula Vista participates in the federally funded Urban Area Security Initiative (UASI) grant program, which supports regional preparedness efforts to prevent, protect against, mitigate, respond to, and recover from acts of terrorism and other catastrophic incidents; and

WHEREAS, the U.S. Department of Homeland Security requires that exercises funded through UASI be conducted in accordance with the Homeland Security Exercise and Evaluation Program (HSEEP) standards; and

WHEREAS, full-scale exercises are critical to evaluating operational readiness, strengthening interagency coordination, and identifying capability gaps among regional partners; and

WHEREAS, the City conducted a competitive procurement process through Request for Proposal # P44- 2026 in accordance with City policies and federal requirements under 2 CFR Part 200 (Uniform Guidance); and

WHEREAS, this Agreement is structured as a deliverables-based contract and complies with all applicable UASI grant requirements, including allowable cost principles and procurement standards; and]

WHEREAS, Consultant warrants and represents that it is experienced and staffed in a manner such that it can deliver the services required of Consultant to City in accordance with th e time frames and the terms and conditions of this Agreement.

[End of Recitals. Next Page Starts Obligatory Provisions.]

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 2 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

OBLIGATORY PROVISIONS

NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and Consultant hereby agree as follows:

1. SERVICES

1.1 Required Services. Consultant agrees to perform the services, and deliver to City the “Deliverables” (if any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time frames set forth therein, t ime being of the essence for this Agreement. The services and/or Deliverables described in Exhibit A shall be referred to herein as the “Required Services.”

1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding reduction in the compensation associated with the reduction.

1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and ordinances governing procurement and purchasing authority, City may request Consultant provide additional services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additio nal Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services” shall also become “Required Services” for purposes of this Agreement.

1.4 Standard of Care. Consultant expres sly warrants and agrees that any and all Required Services hereunder shall be performed in accordance with the highest standard of care exercised by members of the profession currently practicing under similar conditions and in similar locations.

1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry standards, or the willful misconduct of the Consultant or its subcontractors.

1.6 Security for Performance. In the event that Exhibit A Section 5 indicates the need for Consultant to provide additional security for performance of its duties under this Agreement, Consultant shall provide such additional security prior to commencement of its Required Services in the form and on the terms prescribed on Exhibit A, or as otherwise prescribed by the City Attorney.

1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.

1.8 Business License. Prior to commencement of work, Consultant s hall obtain a business license from City.

1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required Services. Consultant agrees to take appropriate measures nece ssary to ensure that all subcontractors and

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 3 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

personnel utilized by the Consultant to complete its obligations under this Agreement comply with all applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any subcontractor is expected to fulfill any responsibilities of the Consultant under this Agreement, Consultant shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this Agreement.

1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s commencement of the Required Services hereunder, and shall terminate , subject to Sections 6 .1 and 6 .2 of this Agreement, when the Parties have complied with all their oblig ations hereunder; provided, however, provisions which expressly survive termination shall remain in effect.

2. COMPENSATION

2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment are set forth in this Section 2.

2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed each month, within thirty (30) days of the end of the month in which the services were performed, unless otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date of the Agreement. All charges must be presented in a line item format with each task separately explained in reasonable detail. Each invoice shall include the curr ent monthly amount being billed, the amount invoiced to date, and the remaining amount available under any approved budget. Consultant must obtain prior written authorization from City for any fees or expenses that exceed the estimated budget.

2.3 Payment to Consultant . Upon receipt of a properly prepared invoice and confirmation that the Required Services detailed in the invoice have been satisfactorily performed , City shall pay Consultant for the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions set forth in Exhibit A and section 2.4, below . At City’s discretion, invoices not timely submitted may be subject to a penalty of up to five percent (5%) of the amount invoiced.

2.4 Retention Policy. City shall retain ten percent (10%) of the amount due for Required Services detailed on each invoice (the “holdback amount”) . Upon City review and determination of Project Completion, the holdback amount will be issued to Consultant.

2.5 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred by Consultant in the performance of the Required Services.

2.6 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also 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 Consultant, its agents, employees, or subcontractors.

2.7 Payment Not Final Approval . Consultant understands and agrees that payment to the Consultant or reimbursement for any Consultant costs related to the performance of Required Services does not constitute a City fi nal 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 Consultant of the terms of

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 4 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

this Agreement. If City determines that Consulta nt is not entitled to receive any amount of compensation already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.

3. INSURANCE

3.1 Required Insurance . Consultant must procure and maintain, during the period of performance of Required Services under this Agreement, and for twelve months after completion of Required Services, the policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference (the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.

3.2 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.

3.3 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.

3.4 Subcontractors. Consultant must include all sub -consultants/sub-contractors as insure ds under its policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not under its policies. Any separate coverage for sub -consultants must also comply with the terms of this Agreement.

3.5 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 Consultant’s insurance using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Comple ted Operations coverage.

3.6 General Liability Coverage to be “Primary.” Consultant’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 Consultant and in no way relieves Consultant from its responsibility to provide insurance.

3.7 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 Consultant must procure and put into effect equivalent coverage(s).

3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the City for each Required Insurance policy under this Agreement. In addi tion, Consultant waives any right it may have or may obtain to subrogation for a claim against City.

3.9 Verification of Coverage . Prior to commencement of any work, Consultant shall furnish City with original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 5 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

“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.

3.10 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:

a. 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.

b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5) years after completion of the work required by this Agreement.

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

d. A copy of the claims reporting requirements must be submitted to the City for review.

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

3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher limits maintained.

4. INDEMNIFICATION

4.1. General. To the maximum extent allowed by law, Consultant shall timely and fully protect, defend, reimburse, indemnify and hold harmless City, its elected and appointed officers, agents, employees and volunteers (collectively, “Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses, (including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts, omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and contractors, arising out of or in connection with the performance of the Required Services, the results of such performance, or this Agreement. This indemnity provision does not include any claims, damages, liabilit y, costs and expenses arising f rom the sole negligence or willful misconduct of the Indemnified Parties. Also covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the I ndemnified Parties which may be in combination with the active or passive negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.

4.2. Modified Indemnity Where Agreement Involves Design Professional Services . Notwithstanding the forgoing, if the services provided under this Agreement are design professional services, as defined by California Civil Code section 2782. 8, as may be amended from time to time, the defense and indemnity

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 6 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

obligation under Section 1, above, shall be limited to the extent required by California Civil Code section 2782.8.

4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s obligation to defend, at Consu ltant’s own cost, expense and risk, and with counsel approved in writing by City, any and all suits, actions or other legal proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the limitations in this Se ction 4, Consultant shall pay and satisfy any judgment, award or decree that may be rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs incurred by any of them.

4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent declaration by the Consultant. Furthermore, Consultant’s obligations unde r this Section 4 shall in no way limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.

4.5. Enforcement Costs . Consultant agrees to pay any and all costs and fees City incurs in enforcing Consultant’s obligations under this Section 4.

4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.

5. CONFLICTS OF INTEREST

5.1 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, Consultant shall comply with the disclosure requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.

5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700, Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, 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. Consultant warrants and represents that it has not employed or retained any company or person, other than a bona fide employee or approved subcontractor wo rking solely for Consultant, to solicit or secure this Agreement. Further, Consultant 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 Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. Consultant further warrants and represents that no officer or employee of City, has any interest, wheth er contractual, non -contractual, financial or otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s subcontractors. Consultant further agrees to notify City in the event any such interest is discovered wheth er 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.

5.3 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 previo us 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 spec ific

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 7 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

contract. In order to assure compliance with these requirements, Consultant shall comply with the disclosure requirements identified in the attached Exhibit D, incorporated into the Agreement by this reference.

6. REMEDIES

6.1 Termination for Cause . If for any reason whatsoever Consultant shall fail to perform the Required Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other covenants, agreements or conditions of this Agreement (each a “Defaul t”), in addition to any and all other rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to terminate this Agreement by giving five (5) days written notice to Consultant. Such notice shall identify the Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and all ”Work Product” (defined in Section 7 below) prepared by Consul tant as part of the Required Services.

Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default notice; provided, however, in no event shall such compensation exceed the amount that would have been payable under this Agreement for such work, and any such compensation shall be reduced by any costs incurred or projected to be incurred by City as a result of the Default.

6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement, or any portion of the Required Services, at any time and for any reason, with or without cause, by giving specific written notice to Consultant of such termination or suspension at least fifteen (15) days pr ior to the effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product shall be City's sole and exclu sive property as provided in Section 7 hereof. Consultant shall be entitled to receive just and equitable compensation for this Work Product in an amount equal to the amount due and payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension notice plus any additional remaining Required Services requested or approved by City in advance that would maximize City’s value under the Agreement.

6.3 Waiver of Claims . In the event City terminates the Agreemen t in accordance with the terms of this Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of such termination except as expressly provided in this Section 6.

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

6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action arising u nder or relating to this Agreement shall be brought only in San Diego County, State of California. Consultant hereby waives any right to remove any action from San Diego County as may otherwise be permitted by California Code of Civil Procedure section 394.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 8 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the California Secretary of State, Consultant irrevocably consents t o service of process on Consultant by first class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A to this Agreement, and that such service shall be effective five days after mailing.

7. OWNERSHIP AND USE OF WORK PRODUCT

All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other materials or properties produced in whole or in part under this Agreement in connection with the performance of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No such Work Product shall be subject to private use, copyrights or patent rights by Consultant in the United States or in any other country without the express, prior written consent of City. City shall have unrestricted authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in part, any such Work Product, without requiring any permission of Consultant, except as may be limited by the provisions of the Public Records Act or expressly prohibited by other applicable laws. With respect to computer files containing data generated as Work Product, Consultant shall make available to City, upon reasonable written request by City, the necessary functional computer software and hardware for purposes of accessing, compiling, transferring and printing computer files.

8. GENERAL PROVISIONS

8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.

8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement, nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole discretion.

8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder without any further action or direction from Consultant or any board, principle or officer thereof.

8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.

8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein by reference. All prior or contemporaneous agreements, understandings, representations, warranti es and statements, oral or written, are superseded.

8.6 Record Retention. During the course of the Agreement and for three (3) years following completion of the Required Services , Consultant agrees to maintain, intact and readily accessible, all data, documents, reports, records, contracts, and supporting materials relating to the performance of the Agreement, including accounting for costs and expenses charged to City, including s uch records in the possession of sub - contractors/sub-consultants.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 9 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such additional documents and instruments as may be reasonably required in order to carry out the provisions of this Agreement and the intentions of the Parties.

8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent contractor. Neither City nor any of its officers, employees, agents or volu nteers shall have control over the conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed employees of City, and none of them shall be entitled to any benefits to which City employees are entitled, including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely responsible for the payment of same and shall hold the City harmless with respect to same. Co nsultant shall not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability whatsoever against City, or bind City in any manner.

8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to have been properly given or served if personally served or deposited in the United States mail, addressed to such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified in this Agreement a t the places of business for each of the designated Parties as indicated in Exhibit A, or otherwise provided in writing.

8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of the Parties included in this Agreement are intended to authenticate this writing and to have the same force and effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached to or logically associated with a record and executed and adopted by a Party with the intent to sign such record, including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.

(End of page. Next page is signature page.)

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 10 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

SIGNATURE PAGE

CONSULTANT SERVICES AGREEMENT

IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.

SENSEMAKERS LLC CITY OF CHULA VISTA

BY:________________________________ BY: ________________________________

JAMES BAILEY TIFFANY ALLEN

PRESIDENT CITY MANAGER

APPROVED AS TO FORM

BY: _______________________________
Marco A. Verdugo
City Attorney

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 11 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

EXHIBIT A

SCOPE OF WORK AND PAYMENT TERMS

1. Contact People for Contract Administration and Legal Notice

A. City Contract Administration:

Chula Vista Police Department
Jonathan Alegre, Police Administrative Services Administrator 315 Fourth Avenue, Chula Vista, CA 91910
(619) 476-2570
[email protected]

For Legal Notice Copy to:

City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
[email protected]

B. Consultant Contract Administration:

SENSEMAKERS LLC
James E. Bailey, President and CEO
2401 E. Katella Avenue, Suite 610, Anaheim, CA 92806
(760) 521-5087
[email protected]

For Legal Notice Copy to:
[same as above]

2. Required Services

A. General Description:

Consultant will provide design, development and evaluation services to conduct a full-scale, one-day regional domestic terrorism response exercise at the Gaylord Pacific Resort in Chula Vista . The training exercise will be scheduled in October, with after-event deliverables due in November.

B. Detailed Description:

The consultant will provide a deliverables-based scope of services, including:
 Exercise design and project management
 Facilitation of planning meetings
 Development of HSEEP -compliant documentation (e.g., Exercise Plan, Master Scenario Events List, Controller/Evaluator Handbook, Safety Plan)
 Coordination of logistics and temporary exercise-related resources  Execution of the full-scale exercise
 Facilitation of a post-exercise discussion (after-action debrief)  Preparation of a comprehensive After-Action Report/Improvement Plan (AAR/IP)

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 12 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

All work will be conducted in compliance with UASI grant requirements and HSEEP standards.

The City of Chula Vista has been allocated $148,127 of grant funds from Urban Area Security Initiative (UASI) to conduct a Chula Vista bayfront domestic terrorist response exercise. The training exercise will consist of an act of domestic terrorism at the Gaylor d Pacific Resort located at the Chula Vista bayfront. A portion of the exercise will incorporate an executive level planning and workshop component. There will be an initial patrol response with a request of mutual aid from other allied agencies. There is a lso going to be the incident command system deployed to accept and manage resources. The training exercise will involve actors and the need to triage patients and address immediate medical issues as well as evacuations plans of large groups of people. The project will require a consulting agency to plan and coordinate the training scenario with the location host, hire actors and develop a scenario to involve many regional partners to respond and participate in the exercise.

This exercise meets the Homeland Security Grant Program’s requirement as it is intended to enhance preparedness for and response to mass casualty and active shooter incidents and security events at public locations. There is a direct tie to terrorism as the exercise will be based on an act of domestic terrorism and will assist in evaluating the region’s ability to respond to such an event.

Task Description Deliverables Completion Date
1 A comprehensive plan defining
scope, schedule, milestones, roles,
communications, and risk
management for all phases of the
exercise; Minimum of 3 planning
meetings
Project Management Plan;
Planning Meeting Materials
and Summaries
Project Management Plan
by July 2026
2 Design and development, including a
complete set of HSEEP-compliant
documents establishing exercise
conduct, scenario injects, evaluation
guidance, and safety protocols
HSEEP Exercise
Documentation (Exercise
Plan, Master Scenario Events
List, Controller/Evaluator
Handbook, Safety Plan)
October 2026
3 Execution of a one-day, HSEEP-
compliant full-scale exercise
including coordination of
participants, controllers, evaluators,
and scenario delivery.

Conduct of One (1) Full-
Scale Exercise
October 2026
4 Preparation of After-Action
Report/Improvement Plan analyzing
performance, identifying gaps, and
recommending corrective actions
with timelines
After-Action Report /
Improvement Plan
November 30, 2026

3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin June 16, 2026 and end on November 30, 2026 for completion of all Required Services.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 13 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

4. Compensation:

A. Form of Compensation

☐ Single Fixed Fee. For performance of all of the Required Services by Consultant as herein required, City shall pay a single fixed fee of , upon completion of all Required Services to City’s satisfaction.

OR

☒ Fixed Fee Paid in Increments. For the completion of each Deliverable of the Required Services, as identified in section 2.B., above , City shall pay the fixed fee associated with each Deliverable, in the amounts set forth below:

Task No. Deliverable Amount

1.A Project Kickoff Meeting $4,540.75

1.B Initial Planning Meeting $4,540.75

1.C Midterm Planning Meeting $4,540.75

1.D Final Planning Meeting $4,540.75

2.A Exercise Deliverables – Draft $8,080.00

2.B Exercise Deliverables – Final $2,020.00

3.A Pre-Exercise Delivery Activities $15,369.50

3.B Full-Scale Exercise Delivery $46,108.50

4.A After-Action Report – Draft $7,546.60

4.B After- Action Meeting (AAM) $4,540.75

4.C After-Action Report - Final $1,886.65

OR

☐ Time and Materials. For performance of the Required Services by Consultant as identified in Section 2.B., above, City shall pay Consultant for the productive hours of time spent by Consultant in the performance of the Required Services, at the rates or amounts as indicated below:

Enter Applicable Hourly Rates

B. Reimbursement of Costs

☒ None, the compensation includes all costs

OR

☐ Invoiced or agreed-upon amounts as follows:

Enter or Attach And Reference Any Agreed-Upon Cost Reimbursements

Notwithstanding the foregoing, the maximum amount to be paid to the Consultant for services performed through November 30, 2026 shall not exceed $148,127.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 14 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

5. Special Provisions:

☐ Permitted Sub-Consultants: None

☐ Security for Performance: Not Applicable

☐ Notwithstanding the completion date set forth in Section 3 above, City has option to extend this Agreement for Insert Number of Terms additional one-year terms or Enter Specific Date Range for Terms (i.e., “January 1, 2027 through December 31, 2027 and January 1, 2028 through December 31, 2028”) . The City Manager or Director of Finance/Treasurer shall be authorized to exercise the extensions on behalf of the City. If the City exercises an option to extend, each extension shall be on the same terms and conditions contained herein, provided that the amounts specified in Section 4 above may be increased by up to Insert Percentage of Increase or Actual Dollar Amount for each extension. The City shall give written notice to Consultant of the City’s election to exercise the extension via the Notice of Exercise of Option to Extend document.

☐ Other: None

☒ None

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 15 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

EXHIBIT B

INSURANCE REQUIREMENTS

Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).

Type of Insurance Minimum Amount Form
☒ General Liability:

Including products and
completed operations,
personal and
advertising injury
$2,000,000 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 Agreement or the
general aggregate limit must be
twice the required occurrence limit

Additional Insured Endorsement
or Blanket AI Endorsement for
City*

Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01

*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement

☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate

Other Negotiated Insurance Terms: None.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 16 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

EXHIBIT C

CONSULTANT CONFLICT OF INTEREST DESIGNATION

The Political Reform Act 1 and the Chula Vista Conflict of Interest Code 2 (“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. Consultant will not exert influence over the official or contracting decisions of City and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant 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 Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding fili ng 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.

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).

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda 17 City of Chula Vista Agreement No.: 2026-161
Consultant Name: SenseMakers LLC Rev. 3.13.2026

Completed by: Jonathan Alegre

EXHIBIT D

CONSULTANT LEVINE ACT DISCLOSURE

California Government Code section 84308, commonly referred to as the Levine Act, prohibits any City of Chula Vista Officer 5 (“Officer”) from taking part in decisions related to a contract if the Officer received a political contribution 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 . The Levine Act does not apply to competitively bid, labor, or personal employment contracts; contracts valued at under $50,000; contracts where no party receives financial compensation; or contracts between two or more agencies.

☐ 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 $500 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 $500 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.

5 “Officer” means any elected or appointed officer of an agency, any alternate to an elected or appointed officer of an agency, and any candidate for elective office in an agency. GC § 84308

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Domestic Terrorism Training Exercise
Lieutenant Joel Monreal, SWAT Commander

CHULA VISTA POLICE DEPARTMENT
Presented by

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

GOAL OF THIS PRESENTATION
• Training funded through UASI
• What is UASI and why this training is
important
• Partnership with Gaylord Pacific
Resort, Public Works, LE Agencies,
Fire and EMS
• Grant details

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda WHAT IS UASI?
• UASI – Urban Area Security Initiative.
• Federal program from the Federal Emergency Management Agency (FEMA) that provides funding to high-threat area.
• Their purpose is to enhance regional preparedness and capabilities to prevent, protect against, respond to, and recover from terrorist attacks.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

WHY IS THIS EXERCISE
IMPORTANT?
San Diego County
Critical Incidents

SAN DIEGO COUNTY CRITICAL INCIDENTS

1. Attack on the Islamic Center of San Diego
May 18, 2026

2. Chabad of Poway Synagogue Shooting
April 27, 2019

3. Granite Hills High School, El Cajon
March 22, 2001

4. Santana High School, Santee
March 5, 2001

5. Grover Cleveland Elementary School, San Carlos
January 29, 1979

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

WHY IS THIS

EXERCISE
IMPORTANT?
• Realistic training with role players
and realistic injuries.
• Build partnerships with Local
Businesses, Public Works, Law
Enforcement Agencies, Fire, and
EMS.
• Test our preparedness and
procedures.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Gaylord Pacific Resort &
Convention Center
6 Convention Center
Loading Dock
Designated Floor
• SenseMakers, LLC
• Anaheim, CA
• Establishedd in 2013
• Previous experience
with UASI Training
Exercises in
California
***Exercise is fully
supported by Gaylord
Pacific Resort***

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Grant Details
• $150,000 for the Consultant
Company to conduct the Training
Exercise.
• $50,000 for Overtime.
• Regional Training for Law
Enforcement Agencies.
• Fire and EMS Partnership.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda Prior Training Events
8 North Island Credit Unit Amphitheatre
(2019)

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

IN CLOSING
• This training exercise will help to
enhance all San Diego County First
Responders response capabilities
and preparedness to domestic
terrorism incidents.
• The Chula Vista Police Department
respectfully asks the City Council to
approve the consultant contract.

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda

City of Chula Vista - City Council

June 16, 2026 Post City Council/Housing Authority Agenda