Clovis City Council
March 16, 2026

H5. Affordable Housing
Incentives and Support
Provide technical assistance and incentives
to support development of 1,100 lower-
income housing units during the planning
period, including 500 low-, 500 very low-,
and 100 extremely low- or special needs
housing units.
12/31/2031 6th Cycle Continuous
City staff partnered with Better Opportunities Builder
(BOB), Inc., a local non-profit housing developer and
Central California Housing Corporation (CCHC), a
local affordable housing developer in their application to the State of California Disaster Recovery
Multifamily Housing Program NOFA, the HOME
Program NOFA and the State of California Local
Housing Trust Fund Program, which requested
funding for a 47-unit low-income senior housing
project.

Units 47 None
H6. Missing Middle
Housing Tools and
Resources
Review and amend development standards
(e.g., setback, height, parking) to remove
barriers to ministerial lot splits and duplexes
in single-family zones.
7/31/2025 6th Cycle Continuous
City staff review development standards regarding
ministerial lot splits and duplexes in single-family
zones regularly. Chapter 9.10.010 is up to date with
current state legislation.

Other 1 https://www.codepublishing.com/CA/Clovis/#!/
Clovis09/Clovis0910.html#9.10
H6. Missing Middle
Housing Tools and
Resources
Amend Section 9.40.020 of the
Development Code to clarify that ADUs are
permitted in all residential and mixed use
zones.
6/30/2024 6th Cycle Completed
Currently, Chapter 9.40.020 permits ADUs in all
residential zoning districts and mixed-use zones
where residential uses are allowed.

Other 1 https://www.codepublishing.com/CA/Clovis/#!/
Clovis09/Clovis0940.html#9.40.020
H6. Missing Middle
Housing Tools and
Resources
Annually review legislative changes to ADU
regulations and update the City's
Development Code (Section 9.40.020), as
necessary, to maintain compliance with
State law.
12/31/2031 6th Cycle Continuous
City staff continually reviews ADU legislative changes
annually and shall update the code within the
timeframe required by new legislation.

Other 1 https://www.codepublishing.com/CA/Clovis/#!/
Clovis09/Clovis0940.html#9.40.020
H6. Missing Middle
Housing Tools and
Resources
Annually advertise the free streamlined
cottage home plans to eligible property
owners, as well as pre-reviewed ADU
plans, such as those provided by the San
Joaquin Valley REAP Program.
12/31/2031 6th Cycle Continuous
City staff continually provides cottage home, SB-9
and pre-reviewed ADU plans, information at the front
counter and on the City's webpage. Additionally, staff
are working with the communications team to initiate
social media posts about the City's cottage home
program and ADU plans.

Other 1
https://www.clovisca.gov/services/planning_d
evelopment/planning/adus/cottage_home_pro
gram.php
H6. Missing Middle
Housing Tools and
Resources
Annually monitor the production and
affordability of ADUs at the mid-point in the
planning period (January 2028) and the
progress made according to the
assumptions in the inventory. The City's
objective is 200 ADUs, cottage homes, or
ministerial lot splits/duplexes with a goal of
75% being in highest resource areas.
12/31/2031 6th Cycle Continuous
In 2025, a total of 55 ADUs were permitted. SB-9
related projects accounted for 2 units in total. 16 units (29.09%) were located in the City's high resource
area and 39 (70.91%) were located in the City's
highest resource area. To ensure targets are met, the
City will continue monitoring ADU developments and
affordability through the APR. A total of 44 ADUs
were permitted during the 2024 calendar year and 4
units were accounted through SB-9, resulting in a
total of 99 ADUs permittted and 6 units through SB-9
in the last two years.

Units 57 None
H6. Missing Middle
Housing Tools and
Resources
Prepare and distribute informational
handouts and hold community workshops
to promote missing middle housing tools
and resources to homeowners throughout
the city, particularly in high resource areas,
to promote mixed-income neighborhoods.
12/31/2031 6th Cycle Not Yet Started
Although other items for H6 were completed or
continuously tended to, staff did not have the
opportunity to hold a community workshop in 2025. A
community meeting will be held in September of 2026
and every two years thereafter.

Meetings None
H7. Density Bonus
Ordinance
Annually review Density Bonus law and
update the City’s Density Bonus Ordinance
and informational materials within 6 months
as necessary to ensure consistency with
State law.
12/31/2031 6th Cycle Continuous
The City’s development standards are consistent with
State Density Bonus Law. The City will continue to
annually review legislatives and updates and update
ordinances as necessary.

Other 1 https://www.codepublishing.com/CA/Clovis/#!/
html/Clovis09/Clovis0926.html
H8. Development
Standards and Zoning
Consistency
Review and update the Development Code
to increase the minimum density in the R-3
zone from 15 units/acre to 20 units/acre by
July 31, 2024.
7/31/2024 6th Cycle Completed
On May 6, 2024, the City increased the minimum
density in the R-3 zone district from 15 units per acre to 20 units per acre.

Other 1 https://www.codepublishing.com/CA/Clovis/#!/
Clovis09/Clovis0910.html#9.10
Table D

H8. Development
Standards and Zoning
Consistency
Review and update the Development Code
to remove identified constraints on housing
developmnet, including: reducing parking
standards for multifamily housing to require
no more than one parking space for studio,
one-bedroom units, and units with three or
more bedrooms; and reducing open space
requirements in the R-3 and R-4 zoning.
6/30/2025 6th Cycle In Progress
In August 2023, the City began reviewing its
multifamily objective standards, focusing on parking
and open space requirements, with the goal of
adopting updated standards by summer 2026.

Other None
H8. Development
Standards and Zoning
Consistency
Initiate a comprehensive Development
Code update to address inconsistencies
between the Development Code and the
General Plan land use designations and
standards.
12/31/2027 6th Cycle In Progress
As part of the ongoing General Plan update, the City
aims to align the zoning code for consistency, with the projected update scheduled for 2027.

Other None
H9. Lot Configuration and
Large Lot Development
Establish a ministerial approval process for
land divisions or lot line adjustments on
large sites resulting in parcel sizes that
enable affordable housing development.
10/31/2024 6th Cycle In Progress
The target area for this program are the large lots
primarily located within the Heritage Grove Specific
Plan area. The Specific Plan is currently still in the
works and staff is coordinating with the applicant on
addressing the lot sizes within the plan area. This
commitment was identified prior to the certification of the Housing Element in December 2024; however,
the city will continue to work towards establishing a
ministerial process for the dividing of parcels that
include affordable housing.

Other None
H9. Lot Configuration and
Large Lot Development
Routinely coordinate with property owners
within the master planned communities
starting in January 2024 to encourage the
subdivision of sites to sizes appropriate for
the development of 50-150 affordable
housing units and will give high priority to
processing subdivision maps that include
affordable housing units.
12/31/2031 6th Cycle In Progress
The target area for this program are the large lots
primarily located within the Heritage Grove Specific
Plan area. The Specific Plan is currently still in the
works and staff is coordinating with the applicant on
addressing the lot sizes within the plan area. This
commitment was identified prior to the certification of the Housing Element in December 2024; however,
the city will continue to work towards establishing a
ministerial process for the dividing of parcels that
include affordable housing.

Other None
H9. Lot Configuration and
Large Lot Development
Facilitate the development of 1,000 lower-
income units on large sites identified in the
lower-income sites inventory. In January
2028, evaluate the effectiveness of this
program in facilitating appropriate lot sizes
and affordability and based on the
outcomes of the analysis, if necessary,
establish other strategies (e.g., incentives,
rezoning alternative sites) to promote
affordable housing development on large
sites within 6 months of completing the
evaluation.
12/31/2031 6th Cycle In Progress
The target area for this program are the large lots
primarily located within the Heritage Grove Specific
Plan area. The Specific Plan is currently still in the
works and staff is coordinating with the applicant on
addressing the lot sizes within the plan area. This
commitment was identified prior to the certification of the Housing Element in December 2024; however,
the city will continue to work towards establishing a
ministerial process for the dividing of parcels that
include affordable housing.

Units None
H10. Local Housing Trust
Fund
Adopt Housing Trust Fund no later than
May 6, 2024 City Council meeting.5/6/2024 6th Cycle Completed Approved at City Council Meeting on April 8, 2024. Other 1 J:\Housing\1-Grants\HTF Housing Trust
Fund\City Council 4-8-24\Res. 24-37 Housing
Trust Fund.pdf
H10. Local Housing Trust
Fund
Make an initial contribution of $1 million to
the Housing Trust Fund by July 2024.7/31/2024 6th Cycle Completed The Clovis City Council made an initial contribution of $1 million to the Clovis Housing Trust Fund on July 1,
2024, as part of the 2024-2025 Clovis Budget.

Other 1 None
H10. Local Housing Trust
Fund
Budget no less than an additional $100,000
annually as stipulated in the Settlement
Agreement.
12/31/2031 6th Cycle Completed
An additional $100,000 has been included in the FY25-
26 Clovis Housing Trust Fund Budget for affordable
housing. The City of Clovis Council has agreed to
budget an additional $100,000 on July 1 of each year,
through the 2032-2033 fiscal year.

Other 1 None
Table D

H10. Local Housing Trust
Fund
The Initial Property Dedication (650 Fowler
Avenue, 354 Osmun Circle) will be
dedicated to the Housing Trust Fund within
30 days of creation of the Housing Trust
Fund.
5/8/2024 6th Cycle In Progress
City staff has transferred two other City-owned
properties into the Housing Trust Fund. Disposition is
pending a Facilities Assessment being complete by
the City.

Other None
H10. Local Housing Trust
Fund
Close escrow on the Additional Parcel
Dedication and/or enter into a development
agreement with an affordable housing
developer no later than December 31,
2024.
12/31/2024 6th Cycle Completed
City staff has undertaken the Property Dedication
Program during the last calendar year. The affordable
housing developer (Clovis 135 Osmun, LP) has
purchased the property known as 135 Osmun. The
developer entity is a joint partnership between Better
Opportunities Builder, Inc., and Central California
Housing Corporation (dba AHDC). The City entered
into a funding agreement with the Developer to assist
in providing City Permanent Local Housing Allocation
(PLHA) funds for purchase of the property. Currently,
the development entity is applying for other state and
federal funds to complete the financing needed to
develop the project.

Other 1 None
H11. Infill Rezone Program
Rezone sites to R-3 and R-4 zoning
throughout the city's existing
neighborhoods to provide capacity for
approximately 1,284 affordable housing
units.
6/30/2025 6th Cycle In Progress
The City has established its list of infill rezone site and completed environmental review. Due to outreach
efforts, site modifications, and additional vetting, the process has taken longer than anticipated. The City
now projects that the rezoning will be completed by
summer of 2026.

Units
https://www.clovisca.gov/services/planning_d
evelopment/planning/projects/infill_rezone_pr
ogram.php
H12. Mixed Income Zoning
Ordinance
Adopt a Mixed Income Zoning Ordinance to
require all new residential developments of
more than 10 units to include a certain set
aside percentage of affordable housing
units.
2/28/2025 6th Cycle In Progress
City staff is has been working diligently during the
reporting period to finalize the draft Mixed Income
Zoning Ordinance Feasibility Analysis. The Feasibility
Analysis and Draft Ordinance were published in early
December 2025, and will be provided to Council for
review/approval as an Ordinance, in early 2026. City
staff prepared a Frequently Asked Questions for the
housing development community in March 2025.

Other 1
https://cms2.revize.com/revize/clovis/services
/affordable_housing/mixed_income_zoning_or
dinance.php
H13. Preserve At-Risk
Affordable Housing
Monitor affordability agreements for existing
affordable housing units and communicate
with property ownership regarding their long-
term plans for the affordable units with the
goal of preserving 260 publicly assisted
rental units that are considered at risk of
conversion to market rate housing.
12/31/2031 6th Cycle Continuous
City staff works directly with state and federal
governmental agencies to review any affordable
housing projects that are at-risk of becoming market
rate units. There were no projects in the Clovis area
that were at-risk, during the reporting period. The City continually tracks the status of affordability periods for existing subsidized housing in Clovis. Staff will
monitor the following projects within the next 1-3
years as they are near the end of their affordability
period: Cottonwood Grove (30 units), Silver Ridge
(100 units), and Lexington Square (130 units). The
affordability period expires in 2033, 2029, and 2029,
respectively, for these three projects. City staff has
reached out to the project owners to receive
information regarding their long-term plans, and
ensure property owners are providing the required 3-
years notice of intent to convert to market rate.

Units 260 None
H14. Mobile Home Rent
Review and Stabilization
Conserve 867 mobile homes within 5
existing mobile home parks by monitoring
and enforcing the Mobile Home Rent
Review and Stabilization Ordinance.
12/31/2031 6th Cycle Continuous
City staff regularly reviews the requirements of the
Mobile Home Rent Review and Stabilization
Ordinance as well as changes in the Consumer Price
Index in preparation of sending the annual notices for
rent increase to Mobile Home parks.

Units 867 None
H14. Mobile Home Rent
Review and Stabilization
Expand public outreach to mobile home
park residents to increase tenant education,
distributing educational materials in multiple
languages twice a year beginning in 2024,
and establishing a City staff ombudsman to
aid residents in the process.
12/31/2031 6th Cycle Continuous
Staff sends notices throughout the year depending on
each parks’ rent increase cycle; and verifies that rent increases remain compliant with the Ordinance.

Other 1 None
Table D

H15. Code Enforcement
Distribute outreach and educational
materials to be made available in multiple
languages, posted on the City's website,
and available in hard copy at various
locations.
12/31/2024 6th Cycle Completed
The City has developed educational materials to
promote the code enforcement process, aimed at
ensuring residential compliance with city codes. Staff
has completed informational handouts for mold
processes, and AB-130. This information is available
at the Planning and Development Services front
counter and on the City's website.

Other 1 https://www.clovisca.gov/services/planning_d
evelopment/building/index.php
H15. Code Enforcement
Provide annual updates on code
enforcements received and actions to
abate through the Housing Element Annual
Report.
12/31/2031 6th Cycle Continuous
The City's Code Enforcement team involves all
departments, with monthly meetings and
individualized tasks based on department. The Code
Enforcement team focuses on a variety of code
enforcement issues but primarily involve bringing
substandard housing units and residential properties
into compliance with city codes. In 2025, the majority
of residential properties and substandard housing
issues that were remedied involved mold and general
dilapidation.

Other 1 None
H16. Housing
Rehabilitation
Apply annually, or as NOFAS are released,
for CalHome and CDBG funds. Distribute
program information annually. Provide
housing rehabilitation loans and grants to
250 lower-income households including 50
very-low and 50 extremely low-income
households during the planning period.
12/31/2031 6th Cycle Continuous
City Council annually receives federal Community
Development Block Grant (CDBG) funds from the
U.S. Department of Housing and Urban Development,
through its Annual Action Plan. A portion of the funds
are utilized to fund the Home Rehabilitation and
Repair Program. The CDBG Program provides up to
$8,000 in grant funds to low-income homeowners to
provide home repairs. The CDBG funded program is
administered together with the CalHome Loan
Program for those project that require additional
funding. In 2024, the City was awarded $1,396,626 in
CalHome Program Funds for repairs for mobile
homes. This program is currently underway. In 2025,
the City was notified of an additional award of $1.5
million in CalHome Program Funds for housing
rehabiliation for stick built homes. In the 2024-2025
fiscal year, the City assisted 7 homeowners repair
their homes through the Home Repair and
Rehabilitation Program. For the 2025-2026 Fiscal
Year, City staff has undertaken projects in-house with
Building Department staff providing for inspection
services and Housing Program staff overseeing
contracting administration with the goal to serve
additional homes. Program information is distributed
at city-wide resource fairs, at mobile home park
offices and also online via the City’s Affordable
Housing webpage.

Households 7
CAPER 2024-2025:
www.clovisca.gov/services/affordable_housin
g/community_development_block_grant.php
H17. Replacement Housing
Progam
Implement and enforce replacement
requirement established by State law
(Government Code section 65919,
subdivision (c)(3)) immediately upon
adoption of the Housing Element and
applied as applications on identified sites
are received and processed. Adopt a local
policy requiring replacement housing units
subject to the requirements of State law for
new development on eligible inventoried
sites.
6/30/2025 6th Cycle In Progress
The City is currently in the process of adopting a local policy requiring replacement housing units subject to
the requirements of State law for new development on
eligible inventoried sites. Local policy expected to be adopted by summer 2026.

Other None
Table D

H18. Energy Conservation
Distribute outreach and educational
materials advertising local, state, and
federal energy programs as well PG&E
energy conservation services and
assistance programs.
12/31/2024 6th Cycle In Progress
The City’s CDBG and CalHome funded owner
occupied housing repair programs both assist in
providing Energy Efficiency Improvements for low-
income households. During the reporting period 19
households were assisted with money saving
improvements such as: installation of energy-efficient
windows, improvements to electrical systems,
replacement of older air conditioning with newer
energy-efficient models, and replacement of older
water heather with newer energy-efficient models,
among other repairs.

Other 1 None
H19. Resources for Special
Needs Households
Assist 100 extremely low-income
households to reduce displacement risk
and target outreach efforts in areas and
neighorhoods with higher rates of poverty.
12/31/2031 6th Cycle Continuous
The City has provided financial support in the amount
of $1,481,281 through its Clovis Permanent Local
Housing Allocation Fund to the Clovis 135 Osmun
affordable housing development for seniors. The
development also received a set-aside of $1,000,000
in Clovis Housing Trust Funds to assist in the
construction of the project. The project is intended to assist 46 households. In 2024, the City provided
$51,061 in CDBG Program funds to the Marjaree
Mason Center, a local non-profit that provides
services and housing to domestic violence survivor;
$59, 578 in CDBG funds were provided to MMC in
2025. Funding will assist up to 150 households with
services, safety plans and group sessions;
additionally, MMC would provide 75 case
management sessions to clients seeking assistance
with home stability and self-sufficiency, on an annual
basis. The City also actively provides referrals for low income households experiencing possible
displacement through various networks including the
Fresno-Madera Continuum of Care’s Multi-Agency
Access Point, a one stop resource for those at risk of
becoming homeless, as well as other local non-profits
that can provide housing and legal resources such as:

Central California Legal Services, Centro La Familia,
Fresno Madera Area Agency on Aging and the Fair
Housing Council of Central California.

Households 150 None
H20. Housing Choice
Vouchers
Initiate educational campaign to encourage
landlords to actively participate in the HCV
program in collaboration with the Fresno
Housing Authority.
12/31/2024 6th Cycle In Progress
During 2025 City staff met twice with HCV Program
staff from the Housing Authority to discuss planning
for educational campaigns targeted towards landlord
in Clovis to encourage them to actively participate in
the HCV Program.

Other None
H20. Housing Choice
Vouchers
Host workshop related to promoting HCV
usage. 5/30/2025 6th Cycle In Progress City staff is planning to host a workshop for landlords to promote HCV usage in 2026 Meetings None
H20. Housing Choice
Vouchers
Increase Housing Choice Voucher
participate and usage by 10 households in
highest resource neighborhoods.
12/31/2031 6th Cycle In Progress
City staff is working towards adding additional
landlord homes in Clovis. No units have been added
as a result of these efforts during 2025.

Households None
H21. Analysis of
Impediments to Fair
Housing
Initiate study to review and update the
Analysis of Impediments to Fair Housing
Choice.
12/31/2023 6th Cycle In Progress
City staff will prepare an Analysis of Impediments to
Fair Housing Choice as part of its regular
Consolidated Plan renewal process for the U.S.

Department of Housing and Urban Development. The
Consolidated Plan, and Analysis, will be drafted in
2025 and published in early 2026.

Other None
H21. Analysis of
Impediments to Fair
Housing
Publish results of Analysis of Impediments
to Fair Housing. 12/31/2025 6th Cycle In Progress
City staff will prepare an Analysis of Impediments to
Fair Housing Choice as part of its regular
Consolidated Plan renewal process for the U.S.

Department of Housing and Urban Development. The
Consolidated Plan, and Analysis, will be drafted in
2025 and published in early 2026.

Other None
Table D

H22. Distribute Fair
Housing Information
Offer fair housing materials translated in
Spanish and other languages. 12/31/2024 6th Cycle Completed Fair Housing information is distributed at city-wide
resource fairs, at mobile home park offices and also
online via the City’s Affordable Housing webpage.

Housing Program information is provided in three
languages: English, Spanish and Hmong.

Other 1 https://www.clovisca.gov/services/affordable_
housing/index.php
H22. Distribute Fair
Housing Information
Distribute fair housing materials and
information online, at community facilities
and to multi-family rental housing low/mod
income census tracts on an annual basis.
12/31/2031 6th Cycle Continuous
Fair Housing information is distributed at city-wide
resource fairs, at mobile home park offices and also
online via the City’s Affordable Housing webpage.

Housing Program information is provided in three
languages: English, Spanish and Hmong. The City
actively provides information and referrals for low-
income households experiencing housing
discrimination to the following local non-profits:

Central California Legal Services, Centro La Familia,
Fresno Madera Area Agency on Aging and the Fair
Housing Council of Central California.

Other 1 https://www.clovisca.gov/services/affordable_
housing/index.php
H23. Fair Housing Testing
Conduct fair housing testing in partnership
with Fair Housing Council of Central
California (FHCCC) with the goal of
conducting 8-10 fair housing tests.
12/31/2024 6th Cycle In Progress
Fair Housing Testing is undertaken by the Fair
Housing Council of Central California. In November
2024, City staff participated in the annual fair housing training provided by the Fair Housing Council of
Central California and presented to attendees on
programs provided by the City of Clovis. Additionally,
City staff regularly attends in person and online Fair
Housing training to provide additional support to
Clovis area residents. City staff will continue to
partner with the FHCCC to encourage fair housing
testing in Clovis and provide assistance to FHCCC
staff in the process as needed.

Other 1 None
H23. Fair Housing TestingProvide fair housing counseling training in the region in doordination with FHCCC.12/31/2031 6th Cycle Continuous City staff regularly attends in person and online Fair
Housing training to provide additional support to
Clovis area residents. City staff will continue to
partner with the FHCCC to encourage and participate
in fair housing counseling training in the region and
provide assistance to FHCCC staff in the process as
needed.

Other 1 None
H24. Homebuyer
Assistance Program
Assist five households per year with
homebuyer assistance to support stability
and wealth building for lower-income
households.
12/31/2031 6th Cycle Continuous
The City administers a Homebuyer Assistance
Program funded by $415,600 in CalHome Program
funds. These funds are set aside specifically for the
purchase of mobile homes by low income residents,
per HCD requirements. The City received several
applications for the CalHome First Time Homebuyer
program, during the reporting period, though no loans
were made due to applicants being over the income
limits. Program limits currently do not need to be
updated.

Households None
H24. Homebuyer
Assistance Program
Annually pursue CDBG, HOME, and other
funding opportunities to maintain the
Homebuyer Assistance program.
12/31/2031 6th Cycle Continuous
The City administers a Homebuyer Assistance
Program funded by $415,600 in CalHome Program
funds. These funds are set aside specifically for the
purchase of mobile homes by low income residents,
per HCD requirements. In the 2025 calendar year,
the City applied for HOME Program DAP funds
through HCD. The CIty was notified it was succesful
in receiving $500,000 for DAP, and will be
administering the funds in the 2026 calendar year.

Other 1 None
Table D

H25. Multilingual Outreach
on Affordable Housing
Opportunities
Conduct 8 community workshops related to
City's housing programs throughout the
planning period.
12/31/2031 6th Cycle Continuous
Housing Program information and outreach materials
are distributed at city-wide resource fairs, at mobile
home park offices and also online via the City’s
Affordable Housing webpage. Housing Program
information is provided in three languages: English,
Spanish and Hmong. One workshop was held in the
reporting year in regards to funding opportunities.

Meetings 1 None
H25. Multilingual Outreach
on Affordable Housing
Opportunities
Prepare outreach materials in 2025 and
update annually as needed. 12/31/2031 6th Cycle Continuous Housing Program information and outreach materials
are distributed at city-wide resource fairs, at mobile
home park offices and also online via the City’s
Affordable Housing webpage. Housing Program
information is provided in three languages: English,
Spanish and Hmong
Other 1 None
H26. Actions to Address
Homelessness
Continue to coordinate with Fresno Madera
Continuum of Care to provide capacity and
strengthen the County’s opportunities to
locate, construct housing facilities, and
provide supportive services to the area’s
homeless population.
12/31/2031 6th Cycle Continuous
City staff continuously coordinates with the FMCoC to
develop and strengthen housing and supportive
services to the area's unhoused population. Clovis
staff sits on the Board for the Fresno Madera
Continuum of Care, participates in the scoring
committee for HUD-FMCOC funds, and attends
committee meetings for street outreach coordination
and coordinated entry.

Other 1 None
H26. Actions to Address
Homelessness
Participate in homeless prevention
activities by promoting and providing
funding as available that reduce the
likelihood of residents experiencing
homelessness as well as shorten the time
someone experiences homelessness.
12/31/2031 6th Cycle Continuous
In the 2024-2025 fiscal year, Clovis provided CDBG
funds to the Marjaree Mason Center (MMC) in Clovis
to provide support for direct servcies to clients, and
for community outreach to increase awareness and
support community partnerships. Direct services were
provided to clients residing in the Clovis Safe House
as well as in the community and includes case
management, SAFE Group, safety planning and legal
advocacy. A total of 178 persons were assisted,
including 153 adults and 25 children (154
households). Case management was provided to 33
individuals (183 sessions), and four plans of care
were created. MMC staff provided 14 presentations in
Clovis including at community events and three
domestic violence trainings for community partners.

Households 154
CAPER 2024-2025:
www.clovisca.gov/services/affordable_housin
g/community_development_block_grant.php
H26. Actions to Address
Homelessness
Explore strategies and potential programs
to increase employment opportunities
and/or income for very low- and extremely
low- income households and those at risk
of becoming homeless.
12/31/2025 6th Cycle Continuous
City staff continuous to seek potential programs to
increase employment opportunities for very low- and
extremely low-income households and those at risk of
becoming homeless. In the 2024-2025 fiscal year,
Clovis provideded CDBG funds to the Culinary
Kitchen to provide culinary/food preparation
assistance to low income households.

Other 1
CAPER 2024-2025:
www.clovisca.gov/services/affordable_housin
g/community_development_block_grant.php
H26. Actions to Address
Homelessness
Continue to support and improve the
existing shelter for women, and the existing
permanent supportive housing
development, and work with local services
providers to identify a site and funding
opportunities to support the development of
a shelter and/or transitional and supportive
housing with capacity to accommodate at
least 76 homeless persons.
12/31/2031 6th Cycle Continuous
City leadership and staff is regularly meeting with
regional partners to ensure a seemless provision of
housing and outreach services across the County. In
2025, staff has sat on the Board for the Fresno
Madera Continuum of Care, participated in the
scoring committee for HUD-FMCOC funds, and
attended committee meetings for street outreach
coordination. City staff also attends monthly meetings
with management staff at Butterfly Gardens, a
permanent supportive housing development in the
City. Staff provides feedback on housing, safety and
programming. Additionally, the City of Clovis has
pledged local funding through the Police Department
to administer Homeless Outreach programming,
which is proposed to commence in early 2026.

Persons None
Table D

H27. Neighborhood
Revitalization
Establish a capital-planning prioritization
process to optimize the use of available
resources for projects and guide an
objective methodology used to produce
equal and equitable outcomes, particularly
in relatively lower-income neighborhoods
and areas of higher concentrations of
persons with disabilities.
12/31/2031 6th Cycle Continuous
The City annually reviews and identifies capital
improvement projects and funding priorties.

Additionally, the City pursues state and federal grants annually.

Other 1 None
H27. Neighborhood
Revitalization
Allocate a target of $450,000 in CDBG
fundings for projects that improve
infrastructure, provide amenities, or
improve fair housing conditions in areas of
greatest need and target 1-2 improvements
per year in relatively low-income areas.
12/31/2031 6th Cycle Continuous
In 2025, the City completed the following projects
CBDG block areas as well as their funding sources:

Funded by CBDG:

CIP 24-24 – Santa Ana Sidewalk Repair. Project was
funded by CDBG and was completed in 2025. Work
included the installation of new sidewalk for pathway
connectivity as well as the replacement of damaged
sidewalks in the area. It also included ADA ramp
improvements to bring old ramps to current ADA
standards. The final project cost was $79,384.65,
which does not include the staff time associated with
the project. Final construction cost of this project (not including City Inspection Staff time) was $79,348.65.

Funded by Measure C:

CIP 25-01 – City Annual Slurry. This project was
funded by Measure C – Street Maintenance and
Flexible Spending Program. The project involves
applying 101,177± square yards of rubberized cape
seals at various local streets. This project also
involves 283,250± square yards of Type II slurry seals
at various additional local streets included in the
project. This project helps preserve and maintain the
quality of residential roads through the Clovis area. Of the total project area 43.93% of the work was
performed in CBDG blocks. The final construction
cost for the portions of the project in the CBDG block
areas was $719,981.64.

CIP 24-05 – Barstow Avenue Improvements,
Brookhaven Avenue to Sunnyside Avenue. The
Other 2 None
H28. Zoning Code
Amendments for Special
Needs Housing.

Amend the Development Code to ensure
compliance with State law and remove
barriers to housing.
12/31/2024 6th Cycle In Progress
The City is currently in the process of amending the
Development Code to ensure compliance with State
law and remove barriers to housing. The code update
is anticipated to be completed by the end of 2026.

Other None
H29. Farmworker Housing
Meet with farmworker housing owners,
developers, and advocates every two years
starting in Spring 2025 to discuss their
needs and offer assistance in the form of
letters of recommendation for grant
applications, assistance with site
identification and grant opportunities, and
discuss incentives for constructing
farmworker housing.
12/31/2031 6th Cycle Continuous
City staff met with representatives of the Cesar
Chavez Foundation, in December 2025, to discuss
partnership opportunities between the Foundation and
the City to better implement its farmworker housing
policy goals and develop specific projects that can
expand the supply of quality affordable housing,
strengthen existing neighborhoods, and give families
access to schools, jobs, and services that support
long term stability. The Cesar Chavez Foundation
creates and manages high-quality, service-enhanced
affordable housing for working families and seniors
across the southwest. Staff identified sourches of
local Affordable Housing Program funds (e.g.

Development Impact Fee Deferral Program, HTF,
etc.). City staff also shared two potential sites for
affordable housing development.

Meetings 1 None
Table D

H29. Farmworker Housing
Annually review the availability of funding
opportunities to provide housing vouchers
or other forms of rental assistance for
farmworkers, and apply for funding as
opportunities arise
12/31/2031 6th Cycle Continuous
City staff continuously reviews the availability of
funding opportunites at the state and federal level to
provide rental assistance for farmworkers. The City
does not have authority to apply for housing vouchers
for any population, but City staff has established a
strong collaboration with the Fresno Housing
Authority and partners with their development
department in the construction of affordable housing.

Other 1 None
H29. Farmworker Housing
Identify development opportunities for
farmworker housing at least twice in the
planning period.
12/31/2031 6th Cycle In Progress
In December 2025, City staff met with representatives
from the Cesar Chavez Foundation to identify
development opportunities for famrworker housing.

Staff identified sourches of local Affordable Housing
Program funds (e.g. Development Impact Fee
Deferral Program, HTF, etc.). City staff also shared
two potential sites for affordable housing
development.

Other 1 None
H29. Farmworker Housing
Support and incentivize development of 80
lower-income units for farmworkers and
their families.
12/31/2031 6th Cycle Continuous
There are no farmworker housing developments in
the City of Clovis. Regardless, the City continuously
seeks out housing developers to develop farmworker
housing as needed in the area and assist them with
identifying funding opportunities. City staff plans on
holding an affordable housing programs workshop in
2026 to discuss the housing needs of Farmworkers
and offer assistance for the development of affordable
farmworker housing. City staff met with
representatives of the Cesar Chavez Foundation, in
December 2025, to discuss partnership opportunities
between the Foundation and the City to better
implement its farmworker housing policy goals and
develop specific projects that can expand the supply
of quality affordable housing, strengthen existing
neighborhoods, and give families access to schools,
jobs, and services that support long term stability. The Cesar Chavez Foundation creates and manages high-
quality, service-enhanced affordable housing for
working families and seniors across the southwest.

City staff will grow the partnership with the Cesar
Chavez Foundation continuously starting in early
2026.

Units None
Table D

Jurisdiction Clovis ANNUAL ELEMENT PROGRESS REPORT
Reporting
Period 2025
(Jan. 1 - Dec.
31) Housing Element Implementation
Planning 6th Cycle 12/31/2023 - 12/31/2031
Description of
Commercial
Development Bonus
Commercial Development Bonus
Date Approved
3 4
APN Street Address Project Name+
Local
Jurisdiction
Tracking ID+
Very Low
Income
Low
Income
Moderate
Income
Above Moderate
Income
Description of
Commercial
Development Bonus
Commercial Development Bonus Date
Approved
Summary Row: Start Data Entry Below
Units Constructed as Part of Agreement
Commercial Development Bonus Approved pursuant to GC Section 65915.7 Table E
Note: "+" indicates an optional field
Project Identifier
1 2
Cells in grey contain auto-calculation
formulas
(CCR Title 25 §6202)
Annual Progress Report January 2020
Table E

Jurisdiction Clovis ANNUAL ELEMENT PROGRESS REPORT Note: "+" indicates an optional field Reporting Period 2025
(Jan. 1 - Dec.
31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning Period 6th Cycle 12/31/2023 - 12/31/2031
The description should adequately document
how each unit complies with subsection (c) of
Government Code Section 65583.1+.

For detailed reporting requirements, see the
chcklist here:

Extremely Low-
Income+
Very Low-
Income+ Low-Income+ TOTAL UNITS+
Extremely Low-
Income+
Very Low-
Income+ Low-Income+
TOTAL
UNITS+
https://www.hcd.ca.gov/community-
development/docs/adequate-sites-checklist.pdf
Rehabilitation Activity
Preservation of Units At-Risk
Acquisition of Units
Mobilehome Park Preservation
Total Units by Income
Table F
Please note this table is optional: The jurisdiction can use this table to report units that have been substantially rehabilitated, converted from non-affordable to affordable by acquisition, and preserved, including mobilehome park preservation, consistent with the standards set forth in Government Code section 65583.1, subdivision (c). Please note, motel, hotel, hostel rooms or other structures that are converted from non-residential to residential units pursuant to Government Code section 65583.1(c)(1)(D) are considered net-new housing units and must be reported in Table A2 and not reported in Table F.

Activity Type
Units that Do Not Count Towards RHNA+
Listed for Informational Purposes Only
Units that Count Towards RHNA +
Note - Because the statutory requirements severely limit what can be counted, please contact HCD at [email protected] and we will unlock the form which enable you to populate these fields.

Units Rehabilitated, Preserved and Acquired for Alternative Adequate Sites pursuant to Government Code section 65583.1(c) Annual Progress Report January 2020
Table F

Jurisdiction Clovis ANNUAL ELEMENT PROGRESS REPORT
Note: "+" indicates an
optional field
Reporting
Period 2025 (Jan. 1 - Dec. 31) Housing Element Implementation Cells in grey contain auto-calculation formulas Planning
Period 6th Cycle 12/31/2023 - 12/31/2031
Notes
2 3 6
Prior APN+ Current APN Street Address Project Name+
Local
Jurisdiction
Tracking ID
Unit
Category
(2 to 4,5+)
Tenure
R=Renter
Very Low-
Income Deed
Restricted
Very Low-
Income
Non Deed
Restricted
Low- Income Deed
Restricted
Low- Income
Non Deed
Restricted
Moderate-
Income Deed
Restricted
Moderate-
Income Non
Deed
Restricted
Above
Moderate-
Income
Total Moderate Income
Units Converted from
Above Moderate
Date
Converted Notes
Summary Row: Start Data Entry Below 0 0 0 0 0 0 0 0
Table F2 Above Moderate Income Units Converted to Moderate Income Pursuant to Government Code section 65400.2 For up to 25 percent of a jurisdiction’s moderate-income regional housing need allocation, the planning agency may include the number of units in an existing multifamily building that were converted to deed-restricted rental housing for moderate-income households by the imposition of affordability covenants and restrictions for the unit. Before adding information to this table, please ensure housing developments meet the requirements described in Government Code 65400.2(b). 5 Project Identifier Unit Types
1 4
Affordability by Household Incomes After Conversion Units credited toward Moderate Income RHNA
Table F2

Jurisdiction Clovis
Reporting
Period 2025
(Jan. 1 - Dec.
31)
Period 6th Cycle 12/31/2023 - 12/31/2031ANNUAL ELEMENT PROGRESS REPORTHousing Element Implementation 2 3 4
APN Street Address Project Name+
Local
Jurisdiction
Tracking ID+
Realistic
Capacity
Identified in the
Housing
Element
Entity to whom the site
transferred Intended Use for Site
1 Summary Row: Start Data Entry Below
Note: "+" indicates an optional field
Cells in grey contain auto-calculation formulas
Table G
Locally Owned Lands Included in the Housing Element Sites Inventory that have been sold, leased, or otherwise disposed of Project Identifier
NOTE: This table must only be filled out if the housing element sites inventory contains a site which is or was owned by the reporting jurisdiction, and has been sold, leased, or otherwise disposed of during the reporting
Table G

Jurisdiction Clovis Note: "+" indicates an optional field Reporting
Period 2025
(Jan. 1 - Dec.
31)
Cells in grey contain auto-calculation
formulas
Designation Size Notes
1 2 3 4 5 6 7
APN Street Address/Intersection Existing Use Number of
Units
Surplus
Designation
Parcel Size (in
acres) Notes
NOTE: This table must contain an inventory
of ALL surplus/excess lands the reporting
jurisdiction owns
Summary Row: Start Data Entry Below
Parcel Identifier

ANNUAL ELEMENT PROGRESS REPORT
Housing Element Implementation
Table H
Locally Owned Surplus Sites
Table H

Jurisdiction Clovis ANNUAL ELEMENT PROGRESS REPORT
Reporting
Period 2025
(Jan. 1 - Dec.
31) Housing Element Implementation
Planning
Period 6th Cycle 12/31/2023 - 12/31/2031
Project Type Date
Units
(Beds/Student
Capacity) Granted
Notes
2 3 5 6
APN Street Address Project Name+
Local
Jurisdiction
Tracking ID+
Unit Category
(SH - Student
Housing)
Date
Very Low-
Income Deed
Restricted
Very Low-
Income Non
Deed
Restricted
Low- Income
Deed
Restricted
Low- Income
Non Deed
Restricted
Moderate-
Income Deed
Restricted
Moderate-
Income Non
Deed
Restricted
Above
Moderate-
Income
Total Additional
Beds Created Due
to Density Bonus
Notes
Summary Row: Start Data Entry Below
Note: "+" indicates an optional field
Cells in grey contain auto-calculation formulas
Table J
Student housing development for lower income students for which was granted a density bonus pursuant to subparagraph (F) of paragraph (1) of subdivision (b) of Section 65915 Project Identifier Units (Beds/Student Capacity) Approved 1 4
NOTE: STUDENT HOUSING WITH DENSITY BONUS
ONLY. This table only needs to be completed if there
were student housing projects WITH a density bonus
approved pursuant to Government Code65915(b)(1)(F)
Annual Progress Report January 2020
Table J

Jurisdiction Clovis Note: "+" indicates an optional field Reporting
Period 2025
(Jan. 1 - Dec.
31)
Cells in grey contain auto-calculation
formulas
Size Notes
3 4
APN Street Address/Intersection Date of
Designation
Designation
Level
Historic Site
Period
Areas of
Significance
Parcel Size (in
acres) Notes
Summary Row:

Historical Resources
Parcel Identifier
1 Designation
2 NOTE: This table needs to be completed with any sites within your jurisdiction that were newly added to a National, State, or Local register of historic places within the reporting year. If none, leave blank.

ANNUAL ELEMENT PROGRESS REPORT
Housing Element Implementation
Table L
Table L

Jurisdiction Clovis
Reporting Year 2025 (Jan. 1 - Dec. 31)
Total Award Amount Total award amount is auto-populated based on amounts entered in rows 15-26.

Task $ Amount Awarded $ Cumulative Reimbursement Requested Other Funding Notes
Summary of entitlements, building permits, and certificates of occupancy (auto-populated from Table A2) Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 20
544
564
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 33
564
597
Current Year
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 0
Deed Restricted 0
Non-Deed Restricted 2
Deed Restricted 0
Non-Deed Restricted 25
553
580
Moderate
Above Moderate
Total Units
Completed Entitlement Issued by Affordability Summary
Income Level
Very Low
Low
Moderate
Above Moderate
Total Units
Building Permits Issued by Affordability Summary
Income Level
Very Low
Low
Acutely Low
Extremely Low
Total Units
Certificate of Occupancy Issued by Affordability Summary Income Level
Very Low
Low
Moderate
Above Moderate
Acutely Low
Extremely Low
Acutely Low
Extremely Low

ANNUAL ELEMENT PROGRESS REPORT
Local Early Action Planning (LEAP) Reporting
(CCR Title 25 §6202)
Please update the status of the proposed uses listed in the entity’s application for funding and the corresponding impact on housing within the region or jurisdiction, as applicable, categorized based on the eligible uses specified in Section 50515.02 or 50515.03, as applicable. -$
Task Status
Leap Reporting

Clovis 2025 APR: Assumptions on Affordability
HCD Affordability Calculator
To determine the affordability level of housing units for the 2025 Annual Progress Report (APR), City staff used the California Department of Housing and Community Development (HCD) affordability calculator. This calculator estimates the household income required to afford a given rent or home price using HCD Area Median Income (AMI) limits for a specified year and county. Users select the applicable year , county, tenure, and the number of bedrooms. The calculator associates bedroom count with an assumed household size and applies the standard assumption that housing costs should not exceed 30 percen t of gross household income. Based on these inputs, the calculator identifies the income category corresponding to the housing cost. The calculator was used throughout this analysis to evaluate rental listings and determine the appropriate affordability assumptions for housing units reported in the APR.

Single Family Homes
Building permits for single family homes in 2025 were assigned to the above moderate income category based on the assumption that sale prices of new single family homes are generally only affordable to above moderate income households.

Multifamily
Based on research, market rate rents for units in multifamily buildings in Clovis in 2025 were generally affordable to moderate-income households. The APR identifies how affordability of non-deed-restricted moderate-income units was determined for multifamily, as follows:
• Listed Rents. When rental listings for a specific development project were available, the reported rent was input into the HCD affordability calculator to determine the corresponding income category.

Information was only available for one property, 1491 Alluvial Avenue, which had a rent of $2,59 5 for a 3-bedroom unit in an online listing, and was determined to be affordable to moderate-income households.
• Survey of Comparable Rents. For multifamily housing units without listed rents, including projects where applications were received (Table A), rents were determined to be affordable to moderate - income households based on a survey of recently completed multifamily units in Clovis , limited to developments completed within the past five years. Rental listings were grouped by bedroom count to establish the range of rents for comparable units. Table 1 summarizes rental listings for apartments in Clovis as of March 2026. For each bedroom category, the lowest and highest rents observed were input into the HCD Affordability Calculator to determine the corresponding income levels. Table 2 summarizes the results of this evaluation. As shown in Table 2, all rental listings for multifamily housing were affordable to moderate income households. Based on this analysis, market-rate multifamily units were assumed to be affordable to moderate income households.

Table 1 Monthly Rental Listings for Multifamily Housing in Clovis (2026) Project Square
Footage Bathrooms Rent
Three Bedrooms
The Emerson 1,315 2 $2,339
Creekside Village 1,326 2 $2,410
Creekside Village 1,326 2 $2,485
Attachment 3

Table 1 Monthly Rental Listings for Multifamily Housing in Clovis (2026) Project Square
Footage Bathrooms Rent
Dolce Vita 1,474 2 $2,375
Dolce Vita 1,474 2 $2,500
Two Bedrooms
Creekside Village 1,079 2 $2,140
Creekside Village 1,079 2 $2,190
Portola Plaza 1,120 2 $2,158
The Emerson 1,180 2 $2,079
Creekside Village 1,232 2.5 $2,240
Creekside Village 1,232 2.5 $2,290
Portola Plaza 1,267 2.5 $2,320
One Bedroom
Portola Plaza 710 1 $1,952
Creekside Village 759 1 $1,790
Creekside Village 759 1 $1,865
The Emerson 840 1 $1,914
Note: Rental data taken from March 2026.

Table 2 Evaluation of Multifamily Rental Costs Based on Similar Units in Clovis (2026) Lowest Rent Highest Rent
$ Affordability $ Affordability
3 bedrooms $2,339 Moderate $2,500 Moderate
2 bedrooms $2,079 Moderate $2,320 Moderate
1 bedrooms $1,790 Moderate $1,952 Moderate

Accessory Dwelling Units
Accessory dwelling units (ADUs) are small, often detached living quarters built on the same property as existing homes that are most often used as rental housing. ADUs tend to be smaller and therefore rented at lower prices.
• ADUs Permitted Before 2025. For ADUs that were issued building permits in previous years and included in prior APRs (e.g., 2024), the same affordability assumptions from the previous years were carried forward for consistency. These units were not issued building permits in 2025 and are reported in the 2025 APR based on the issuance of Certificates of Occupancy. • ADUs Permitted in 2025. ADUs with building permits issued in 2025 were evaluated through a survey of comparable rents to determine affordability. City staff reviewed ADUs permitted in 2025 to identify the range of unit sizes and configurations. The smallest permitted ADU in 2025 contained one bedroom and one bathroom and was 306 square feet. The largest contained three b edrooms

and two bathrooms and was 1,150 square feet. Rental listings for ADUs, apartments, and single- family homes with similar characteristics were reviewed. Table 3 summarizes the rents of units comparable to ADUs, grouped by bedroom count to reflect the range of unit sizes observed in permitted ADUs. For each bedroom count, the lowest and highest rents observed were input into HCD’s affordability calculator to determine the corresponding income levels. As shown in Table 4, rental listings comparable to ADUs were affordable to moderate-income households or below, therefore all ADUs issued building permits in 2025 were reported as moderate income.

Table 3 Monthly Rents of Similar Units to ADUs in Clovis (2026) Address Square
Footage Bathrooms Rent
Three Bedrooms
1436 N Mosaic Way, Clovis, CA 93619 1,224 2.5 $2,200 1274 Royalty Way, Clovis, CA 93619 1,212 2.5 $2,200
1587 N Strada Way, Clovis, CA 93619 1,203 2.5 $2,295 Undisclosed Address 1,123 2 $1,900
979 Music Ave, Clovis, CA 93612 952 2 $2,150
Two Bedrooms
3344 E Sierra Madre Ave APT 205, Fresno, CA 93726 1,200 2 $1,300 852 Beauregard Ln, Clovis, CA 93619 1,168 2 $2,200
1317 E Portals Ave, Fresno, CA 93710 830 2 $1,850
5931 E Dayton Ave, Fresno, CA 93727 625 1 $2,100
One Bedroom
603 Music Ave, Clovis, CA 93612 667 1 $1,800
848 3rd St #B, Clovis, CA 93612 606 1 $1,850
Note: Rental data taken from February 2026.

Table 4 Evaluation of ADU Rental Costs Based on Similar Units in Clovis (2026) Lowest Rent Highest Rent
$ Affordability $ Affordability
3 bedrooms $1,900 Moderate $2,295 Moderate
2 bedrooms $1,300 Low $2,200 Moderate
1 bedrooms $1,800 Moderate $1,850 Moderate

Report to the City Council

To: City Council
From: Administration
Date: March 16, 2026
Staff: Andrew Haussler, City Manager
Subject: Provide Direction – 2026/27 Budget Priorities.

Recommendation: Provide Direction
Attachments:

1. 2026/27 Budget Priorities ATT 1 Five-Year Financial Forecast

Recommendation:

That the City Council provides direction on the 2026/27 Budget priorities.

Executive Summary:

The Five-Year Financial Forecast for the 2026/27 through 2030/31 period was presented to City Council on March 9, 2026. This management tool is updated and prepared each year to provide the City Council and City management with information on trends for the City’s long-term financial condition and is used as a basis for the development of the City Budget. Staff is seeking input on budgeting priorities to allow staff to develop the 2026/27 City Budget that aligns with the Community’s needs and expectations. Specifically, staff is seeking feedback on:

1. Service Levels

2. Capital Investment (Facilities and Fleet)

3. Fiscal Sustainability Investments (Emergency Reserve and Fund Balance)

Background:

The Five-Year Financial Forecast for the 2026/27 through 2030/31 period was presented to City Council on March 9, 2026. This management tool is updated and prepared each year to provide the City Council and City management with information on trends for the City’s long-term financial condition and is used as a basis for the development of the City Budget. Staff is seeking input on budgeting priorities to allow staff to develop the 2026/27 City Budget that aligns with the Community’s needs and expectations.

With the passage of Measure Y, the City has a unique opportunity to invest in the community. Before Measure Y, the City was not afforded the opportunity to maintain the quality of life at a level the citizens desire and deserve, and further service cuts would have been needed. Measure Y’s ballot

language serves as a guiding principle in staff’s effort to meet Community expectations in the 2026/27 budgeting process. The City estimates it will receive $31 million from Measure Y in fiscal year 2026/27; however, this is approximate and subject to change should inflationary pressures continue to make residents’ discretionary spending more restricted, creating fluctuations in this revenue.

The Measure Y ballot language included the following goals:

1. Maintaining Public Safety

2. Keeping Clovis Safe & Clean

3. Retaining Small Businesses & Jobs

4. Protecting Local Drinking Water Sources

5. Repairing Streets & Roads

6. Addressing Homelessness

7. Maintaining Youth & Parks Programs

8. Other General Services

9. Spending Disclosure/Spent Locally

Staff would appreciate feedback on the following areas:

1. Service Level Priorities: Which city services should be prioritized in the 2026/27 City Budget?

The following services are areas proposed to invest the second year of Measure Y funding. All positions are part of the 5-year plan Council considered in the development of the Measure Y 2025/26 budget and 5-year plan and were included in the 2030/31 Five-Year Forecast:

GOAL 1: Maintaining Public Safety

GOAL 6: Addressing Homelessness
• Police – Restored Services, Proactive Policing
• Restoring Patrol/Specialty Units – 6 Officers
• Code Enforcement/Animal Services/Youth
Programs/Investigations/Traffic/Homelessness/Specialty Teams • Restoring Support Team – 7 Support/CSO Positions
• Fire – Reduced Response Times, Improved Medical Care
• 1 Squad and 1 Engine Crew – Reduced Response Times – Accelerated in 2025/26 • Truck Replacement
• Restoring Support Team – 3 Support Positions

GOAL 2: Keeping Clovis Safe & Clean
• Parks – Maintaining Public Spaces
• Additional Crew for Parks (Enhancing tree maintenance and care) — 3 Positions • Project Funds for Repairs (Allocating funds for parks and facility repairs)

GOAL 5: Repairing Streets & Roads
• Roads – Faster Maintenance & Safer Streets
• Additional Road Maintenance (Expanding the team for more efficient repairs) – 1 Position • Additional Investment in Traffic Units (Traffic Lights, Street Lights & Design) – 1 Position

ALL GOALS: Support For All of the Above
• Support Services (IT, Personnel, Facilities, Fleet) – 1.5 Positions (Fleet & Support) • Adequately funding critical reserves – Facilities/Fleet/Emergency Reserve

It is proposed that not all goals are being addressed with Measure Y funds at this time. However, these categories have significant support from non-Measure Y resources.

2. Capital Investment Level: Are the levels proposed below appropriate?

Facilities:

A facility assessment is complete which will result in a plan on addressing critical and long-term facility maintenance needs for the City to address Public Safety needs and related support services.

The Five-Year Forecast included reserving $2.0 million in Measure Y and/or General Fund funding to add to current investments to address immediate needs in 2026/27, and it is proposed to continue this investment in future years.

Fleet:

The City has not been able to adequately fund fleet replacements for Public Safety vehicles for many years. It is now proposed that fleet replacements be fully funded, with a focus on Public Safety vehicles. The Five-Year Forecast included $1 million in Measure Y funding in addition to typical budgeted set-asides in 2026/27 to maintain the fleet and catch-up from prior years, and it is proposed to continue the investment in future years.

3. Emergency Reserves and Fiscal Sustainability: Are the levels of Reserves and General Fund Balance appropriate?

Emergency Reserve:

City Council has established a goal of maintaining an emergency reserve of 25% of General Fund expenditures. This fund is critical in managing significant economic disruptions and/or unexpected events. It also provides a critical foundation for the City to maintain borrowing capacity. The Five- Year Forecast included $2 million to reach 17.6% of General Fund Expenditures in 2026/27, and it is proposed to continue this investment in future years to reach a 20% emergency reserve in 2029/30, with the goal of reaching 25% of General Fund expenditures soon thereafter.

Fiscal Sustainability/General Fund Balance:

This is the amount of funds available in the General Fund that is not allocated for use. This is critical to allow for cash flow management and ensuring the City can manage relatively small unexpected fiscal needs or revenue shortfalls. The Five-Year Forecast included $7.4 million General Fund Balance; this is 5.2% of General Fund forecasted expenditures in 2026/27. It is proposed to maintain at least $4.0 million throughout the forecast to absorb economic volatility.

Fiscal Impact:

The Forecast and its related feedback provide a financial foundation for staff to develop the 2026/27 Budget for City Council consideration.

Reason for Recommendation:

With the passage of Measure Y and the additional resources it provides to the City, it is important to receive direction from the Council, staff, and the Community to reach the Community’s goals and priorities.

Actions Following Approval:

Staff will receive comments from the Council to guide and direct the preparation of the 2026/27 City Budget.

Conflict of Interest:

None.

Five-Year
Financial Forecast
Through Fiscal Year 2030/31
Prepared March 2026
City of Clovis
Attachment 1

CITY OF CLOVIS
Five-Year Financial Forecast
Through Fiscal Year 2030/31
PREPARED BY:

Andrew Haussler, City Manager
Paul Armendariz, Assistant City Manager
Jay Schengel, Finance Director
Susan Evans, Deputy Finance Director
Angela Papazian, Deputy Finance Director
Jose Cortez, Accounting Supervisor
Jose Reynoso, Senior Accountant
Ran Chan, Accountant
Quinn Ringgold, Accountant
Nathaniel Lopez, Accountant

CITY OF CLOVIS

FIVE-YEAR FINANCIAL FORECAST

TABLE OF CONTENTS

I. INTRODUCTION

A. Introduction, Executive Summa ry & Analysis of Funds ............. 1-6

II. GENERAL FUND

A. Summary ................................................................................. 7-12

B. Financial Summary Spreadsheet ............................................... 13

C. Revenue Sp readsheets ......................................................... 14-15

D. Expenditure Sp readsheets .................................................... 16-17

III. ENTERPRISE, INTERNAL SERVICE & DEBT SERVICE FUNDS

A. Water Ente rprise.................................................................... 21-23

B. Sewer Ente rprise ................................................................... 25-27

C. Community Sanitati on Enterprise .......................................... 29-31

D. Transit Ente rprise .................................................................. 33-35

E. Planning and Development Services Enterprise ................... 37-39

F. Internal Service & Debt Service ................................................. 40

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INTRODUCTION
The Five-Year Financial Forecast through 2030/31 represents a continuing effort to analyze the City’s long-term fiscal condition based upon a reasonable set of economic and operational assumptions. It is an import ant management tool used by both the City Council and senior management to identify fiscal trends and issues which must be addressed to assure continued financial stability. The set of forecasts contained in this report is not a prediction of what will occur. Rather, this forecast is a snapshot in time and an approximate view of what could occur in the future if all the assumptions are realized. As with any foreca st or prediction, the assump tions and projections for the nearer years carry more certainty and confidence than for the years further into the future.

While the forecast has become a valuable management tool to examine the ever- changing fiscal conditions the City is faced with, we have also learned of its limitations.

The first few years of the forecast are a fa irly good indicator of coming events while the later years are subject to less certainty as actual economic conditions become known.

Also, the many financial and regulatory changes by the Federal and State governments, which require new program s and other unanticipated expenses and adjustments can have a dramatic financial impact to the City’s revenues and expenditures. Despite these challenges, staff are committed to providing the best projections for these years based upon what is known at the time in order to reveal trends in both revenue and expenditure growth or decline, while staying abreast of local, state and national economic conditions and policies that may have an impact on the City’s financial health.

The report reviews actual financial performanc e over the past three years, determines estimated financial performance for the current year, and projects financial performance for the next five years. All the forecasts are based upon a specific set of assumptions that are utilized throughout t he report and identified with each forecast. In addition, the report contains a mid-year review for the current fiscal year.

The report is presented to initiate discussion that will ultimately result in policy guidelines for the development of the 2026/27 Annual City Budget and the Five-Year Community Investment Program and budgetary planning for future years. This forecasting tool has proven useful for examining spending policies which have resulted in the City’s ability to live within its means, provide for important programs and adequate service levels for the growing community, and begin to set aside re serve funding for fleet and major capital investment in public facilities.

On November 5, 2024, the voters of Clovis approved Measure Y, a 1¢ sales and use tax to be implemented on April 1, 20 25. The City received $7.2 million in Measure Y sales tax in its first quarter. It is estimated that the measure will provide $30.6 million in revenue to the General Fund in 2025/26 based on the projections provided by the City’s sales tax consultant, with anticipated growth of 2-3% in the projection years. 1

Revenues from the measure are dedicated to the following priorities:
 Maintaining 9-1-1 emergency medical, pol ice, fire, and paramedic response, as well as fire protection and police patrols
 Keeping public areas safe and clean
 Retaining local small businesses and jobs
 Protecting local drinking water sources
 Accelerating repairs to streets and roads
 Addressing homelessness
 Maintaining youth programs, parks, and other general services Staff are continuously working on investment plans that will meet these needs, ensuring accountability and transparency are maintained for the citizens and the Measure Y oversight committee, formally established in April 2025. The forecast includes estimated revenues and expenditures to begin the initial investments in meet ing the top funding priorities set out by several community input surveys.

In 1986, Fresno County voters passed Measure C, a half-cent sales tax that improves the overall quality of Fresno County’s transportation system, including the County and all its 15 cities. In November 2006, voters chose to extend Measure C for an additional 20 years through 2027. These funds help finance the des ign and construction of many streets, trails, pedestrian pathways, bicycles, and Americans with Disabilities Act (ADA) improvements throughout the City each year. Additionally, the funds are used to leverage grant funding, including grant match requirements, and sustain the operation of the City’s Transit program.

If the Measure C renewal effort is unsucce ssful, the City will face difficult decisions regarding current and planned pr ojects and services. While this loss of revenue would significantly impact Clovis, it has not been fa ctored into the Forecast for fiscal years 2027/28 and beyond, as there is still time for Fresno County voters to pass an extension or an alternative tax measure.

EXECUTIVE SUMMARY
General Fund
The current Five-Year Financial Forecast is a shift from previous years in the General Fund. Two years ago, forecast projections showed the City would lack the funds required to maintain current operations or increas e staffing to meet the growing demand for services at established levels, even if re venues met expectations. With the passage of Measure Y on November 5, 2024, this additional 1¢ sales tax has provided an enormous opportunity from our citizens to ensure that we not only remain financially stable but also maintain services to meet the community’s needs and key priorities.

The City has been fortunate in recent years to receive grants to assist with staffing Public Safety. The federal grant Staffing for Adequate Fire and Emergency Response (SAFER) assisted in funding the hiring of nine additional firefighters in May 2021 for Fire Station 6, ending in March 2024. Another SAFER grant was recently awarded to hire six new 2

firefighters in March 2026, with the grant ending in March 2029. From that point forward, the General Fund will absorb the additional co st of the six firefi ghters—approximately $1.3 million annually. In December 2023, the City partnered with the City of Fresno to apply for the Organized Retail Theft Prevent ion grant from the Board of State and Community Corrections (BSCC). Clovis received approximately $6.0 million for a three- year period to cover five police office rs and one police service officer to address increasing retail theft. The BSCC grant will end in 2026/27, after which the General Fund will incur the additional cost of the six new police positions—approximately $1.5 million annually.

Overall, the Five-Year Foreca st for the General Fund shows that revenues are growing faster than expenditures. This is largely attributable to the Measure Y sales tax implemented on April 1, 2025, which generates an estima ted $30.0 - $32.0 million per fiscal year in addition to the City’s Bradley-Burns sales tax. As a result of this new revenue source, each forecasted year ends with a pos itive fund balance. Ad ditional items that could not be funded in previous years are now receiving transfers, such as Government Capital Facilities, Fleet and Housing, along with building the Emergency Reserve to 20% of expenditures by 2029/30. This is a significant reversal of what the City faced prior to Measure Y, when the potential for cutting services was a reality due to forecasted deficits.

The Budget Hearing process begins with a thorough review of the Departments and their needs to maintain the Clovis Way of Life. The process will continue with additional input hearings to continue to build the investment plan for the City. This is a critical process, as there is only one opportunity to set up the use of Measure Y Funds to reach the previously mentioned goals and ensure fiscal sustainability.

Water Enterprise Fund
The Water Enterprise Fund forecast shows declining reserves, even with the annual 3% rate increases that have been adopted and incl uded in each year of the forecast. The forecast includes continued contributions to the reserves for the Sustainable Groundwater Management Act (SGMA) through 2030/31. It al so includes an interfund loan of $7.5 million in 2021/22 from the Trichloropropane (TCP) reserves to General Services to fund the construction of Fire Station 6, with annual loan repayments for ten years that began in 2022/23. This loan will not affect the City’s ability to treat for TCP during the term of the loan. A water rate study conducted in 2025 and finalized in 2026 confirmed that operational and maintenance expenses were increasing faster than revenues, indicating that additional revenues were needed beyond the current 3% rate escalator to compensate for these costs. Based on the pr ojected revenue shortfall, a water rate increase was proposed to Council, which authorized proceeding wit h a Proposition 218 majority protest process to adjust rates to cover the cost s of operating and maintaining the water system in future years. Council is scheduled to conduct a Public Hearing for a Proposition 218 proceeding in April 2026, at whic h time it will be determined if rates will be adjusted per staff’s recommendation. If the Proposition 218 election process is successful, staff will recommend that Council waive the 3% escalator for July 1, 2026. 3

Sewer Enterprise Fund
The Sewer Enterprise Fund forecast maintain s stable reserves throughout the forecast period. A 3% rate increase is included in ea ch year to keep pace with rising operating, maintenance, and capital costs, and to maintain a sufficient fund balance for future bonding capacity. The interfund loan is show n resuming in 2025/26 of the forecast because it is projected that the collection of development impact fees for Sewer Major Facilities will be insufficient to cover the debt service payments. Due to insufficient funds in the bond charge fund balance collected in pr ior years, the rebate to customers will be reduced by half to $3.65 per month starting in fiscal year 2026/27. The ability to continue rebating funds back to rat epayers will be monitored closely throughout the forecast period.

Community Sanitation Fund
The Community Sanitation Fund will experienc e a small decline in reserves in this forecast due to increased personnel costs, design and construction costs for landfill expansion, fleet renewal charges, and ongoing costs for recycling and organics contracts.

A 4% annual increase, or portion thereof, wa s approved by City Council in November 2004 to be implemented as necessary. A 4% ra te increase is projected annually for the forecast period for Refuse. To keep pac e with recycling and green waste contract increases, the approved 4% annual increase is also projected for these operations.

Additionally, a 4% annual rate increase is projected for street cleaning.

Transit Fund
The Transit Fund reflects enough revenue throughout the forecast period to support its operational and capital needs, driven by increased revenues from the Transportation Development Act, which includes Local Tr ansportation Funds (LTF) and State Transit Assistance (STA) funds allocated based on population, taxable sales, and transit performance. Project-specific funding, in cluding SB1 and various cap-and-trade grants, is used for capital expenses to enhance rider amenities. The State’s Transit and Intercity Rail Capital Program (TIRCP) will assist in funding a land purchase to build a Transit Operations Center, which will include infrastructure to support zero-emissions mandates.

Transit began receiving feder al funding in 2024/25, providing further support for operations. Because funding for Transit is constantly in flux, and the Measure C sales tax is due to expire after 2027, the types and leve ls of funding will be closely monitored to make any necessary adjustments to current service levels should the need arise.

Beginning with the 2017/18 fisca l year, the Transit Fund wa s required to defer revenue that it had received but not yet spent. Any work ing capital that is required to be deferred can be seen on the Transit Fund forecast on the line labeled “Deferred Revenue.” Planning and Development Enterprise Fund
The Planning and Development Services Ente rprise Fund forecast maintains stable reserves throughout the forecast period. Rese rves are included in case of a slowdown, and prudent funding is maintained to absorb declines in development. The years preceding fiscal year 2021/22 experienced re latively high residential unit counts; however, those numbers declined in 2021/22 , and as a result, fiscal years 2022/23 and 2023/24 drew from the fund’s work ing capital. In fiscal year 2024/25, residential units 4

began to increase again, resulting in a positiv e net working capital balance for the year.

We anticipate this growth will continue this fiscal year at an estimated 700 units, rise next year to 750 units, and continue at that level. Consequently, working capital is expected to increase in the current fiscal year, and the projected years are also expected to maintain a positive net working capital balance. Th e fund maintains a healthy working capital balance annually through 2030/31.

Other Funds
Internal Service Funds are projected to be self-balancing throughout the forecast period.

Each of the Internal Service Funds is co ntinually monitored, and more cost-effective programs are implemented wherever possible to reduce costs to all other City operations.

Debt Service Funds will be fully funded to make all debt payments and meet all legal obligations.

ANALYSIS OF FUNDS
The purpose of this forecast is to prov ide the City Council and senior management with an early identification of financial trends. With early detec tion, financial trends identified as possible problems can be dealt with in a reasonable manner rather than waiting for a crisis to occur.

The City’s Annual Budget represents a total financing plan for all City operations and must be analyzed by its component par ts to make any meaningful adjustments. Unlike a private holding company, the City cannot remove cash from any one enterprise operation to help support general tax funded operations. Although there is certainly some financial interdependence between the funds, such as inte rnal service fund charges to allocate common costs, each fund represented in the budget must stand alone.

When analyzing City operations, it is appropriat e to look at the budget department by department. However, when reviewing long range fina ncial policies, it is best to look at the fund structure rather than the department structure. The major fund groups reviewed in this forecast are the operating funds of the City, including:

General Fund - This fund includes the functions of general government, including elected officials, administration and finance, public safety, and some field maintenance activities, such as parks, street lighting, and street maintenance.

Enterprise Funds - These funds include operations for water, sewer, solid waste, street cleaning, transit, and planning and development services.

Internal Service Funds - These funds include property and liability insurance, employee benefits, fleet maintenance, and general services.

Debt Service Funds - These funds include all debt servic e activity for which the City is responsible.

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GENERAL FUND

Current Year – 2025/26

Measure Y was passed in the 2024 General Electi on and provides the necessary resources to enable the City to maintain its Clovis Way of Li fe. Based on current estimates, General Fund revenues are projected to be approximately $14. 3 million above expenditures for fiscal year 2025/26. This is directly attributable to Measur e Y; otherwise, the G eneral Fund would have been operating at a deficit.

Revenues
General Fund total revenues are projected to e xceed the current fiscal year’s working budget by $2.2 million. This increase is primarily due to the additional sales tax anticipated from the passage of Measure Y on Novem ber 5, 2024, which came in higher than what was budgeted based on projections from the Cit y’s sales tax consultant, HdL. This additional local 1¢ sales tax was implemented on April 1, 2025, and budgeted for 2025/26 at $26.2 million. HdL projects Measure Y sales tax for 2025/26 at $30.6 million. HdL also projects Bradley Burns sales tax for 2025/26 to be $29.1 million. They anticipate cons trained growth for both Bradley Burns and Measure Y at an average of 2-3% for the projected fiscal years. This is a turnaround from the prior three fiscal years, where the City experienced annual declines averaging 2% each year.

Although sales tax revenues are anticipated to gr ow, other discretionary revenue is anticipated to decline. A new cardroom agr eement effective November 2025 will reduce cardroom fees by approximately $0.3 million. Franchise fees are steadily declining due to an increase in consumer use of streaming services for television entertainment, but th is decline was already accounted for in the working budget. Transient Occupancy Taxes are anticipated to experience the largest decline to discretionary revenues from the working budget by $1.3 million, based on regional analysis from the Visit California w ebsite and trend analysis of the City’s historical occupancy data. Business licenses show an unantic ipated decline in revenues to date and are projected to close the fiscal year $0.5 million under the work ing budget. Property taxes are holding steady at a three-year average growth of 6-7%.

The City was awarded a $6.0 milli on Police grant to combat reta il theft, funding five police officers and one police service officer in 2023/24. Of this grant, $1.6 million was projected for the current year, with $1.2 millio n budgeted for the next fiscal year 2026/27 when the grant ends. The Fire department was awarded the Staffing for Adequate Fire and Emergency Response (SAFER) federal grant for $2.0 million to hire six new firefighters effective March 2026 through March 2029. All projected grant revenues are offset by corresponding expenditure increases in salaries, benefits, over time, vehicles, and equipment. Once the grant funding has ended for the Police Retail Theft gr ant and the Fire SAFER grant, the General Fund will absorb the personnel costs associated with these positions.

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Expenditures
General Fund expenditures are proj ected to exceed the current fi scal year’s council approved budget by approximately $4.7 milli on. Most of this increase is due to Council approved MOU changes from salary negotiations totaling $3. 7 million, along with several other budget amendments in the categories of services, materials, and supplies. In summary, this leaves the General Fund operating budget proj ected at a surplus of $14.3 million for the current fiscal year.

Forecast Years – 2026/27 through 2030/31
Revenu
es
Property taxes and sales taxes are the two lar gest sources of discretionary revenue, making up 86% of total discretionary revenues on average, and 70% of total General Fund revenues.

With the addition of the Measure Y sales tax, these figures have increased significantly from approximately 60% of discretionary revenues and 50% of total revenues. Franchise fees, business licenses, and transient occupancy taxes make up most of the remaining discretionary revenues.

Property tax growth is largely driven by growth in the City. When reside ntial, commercial, or industrial growth occurs, there is a corres ponding increase in the demand for services.

However, the increase in property tax revenues to support this additi onal demand will not be received by the City until potentially two years afte r the growth occurs. In addition, the property tax rate cannot exceed 2% growth annually due to Proposition 13 st atutory limitations.

Property tax growth during the forecast period is projected to increase at a rate corresponding closely to a five-year average of 750 single and multi-family residential units.

Sales tax revenues are nearly doubling due to the passage of Measure Y, which was implemented on April 1, 2025. This additional loca l sales tax will supplement the statewide 1% Bradley Burns sales tax. Unlike the Bradley Burn s tax, Measure Y revenues are not subject to the 5% County share requiremen t. The City’s Bradley Burns experienced its first reduction in growth in 2022/23 since the Great Recession. Prior to the 2022/23 fiscal year, the City experienced unprecedented, robust growth in 2020/21 and 2021/22 totaling 36%. Recently, Bradley Burns experienced three straight year s of an average 2% decline due to inflationary pressures on households, shifting dollars away fr om discretionary spending as a larger portion of income goes to essentials such as non-ta xable food, transportation, and housing costs. For the remaining projected years, and including the additional revenue from Measure Y, sales tax is expected to experience normalized growth at 2-3% annually with population growth at 750 residential units per year.

Growth in franchise taxes is largely due to electricity rate increases. As more households move away from traditional hard-wired phone and cabl e TV service toward cellular and satellite services which are not taxed, there is a corre sponding decline in franc hise taxes. All other discretionary revenues are foreca st to increase at average growth plus inflation based on the Pacific Cities Consumer Price Index for December 2025 of 2.9%. 8

Expenditures
With the passage of the City’s local sales tax Measure Y, several departments are expected to grow across all five projected years to conti nue supporting the Clovis Way of Life and address the top priorities identified by our residents. These priorities include:
 Maintaining 9-1-1 emergency medical, polic e, fire and paramedic response, fire protection, and police patrols
 Keeping public areas safe and clean
 Retaining local small businesses and jobs
 Protecting local drinking water sources
 Accelerating repairs to streets and roads
 Addressing homelessness
 Maintaining youth programs, parks, and other general services

This includes remaining financ ially stable by incr easing our emergency reserve, building a stable fund balance, and setting aside funds for future fleet and facility needs. Departments will see considerable allocations over the projected five-year period in the specific categories of Staff, Fleet, and Capital purchases. Estimated expenditures for the forecasted years have been allocated as follows: Public Safety is anticipated to receive 50 new positions at an estimated cost of $27 million over the five-year projected period; Fleet is allocated $5 million; and Public Utilities is expected to receive 10 new positions at an estimated cost of $4.7 million over the five-year projected period.

The City is projected to receive an average of $32 million annually in new Measure Y funds.

However, these funding amounts are approximate and subject to change should inflationary pressures continue to restrict resident discretionary spending and create major fluctuations in this revenue. The City will continually monitor these funds and make changes to our spending plan as the need arises.

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Public Employment Retirement System (PERS)

PERS costs are projected to cont inue rising significantly during the forecast period due to the market volatility of investment returns for the PERS investment portfolio. PERS did outperform its expected rate of return of 6.8% (discount rate) for its 2024/25 in vestments with an 11.6% rate of return. This is a notable improvement from the two most recent years of 5.8% and 9.3% in 2022/23 and 2023/24, respectively. Like all invest ments, they are influenced by a variety of economic and geopolitical challen ges. At this point, the full impact of the investment fluctuations has not been determined. The following chart shows the expected General Fund PERS costs, both as a percentage of salary and in dollars, for the forecast period.

As shown in the chart, annual General F und PERS costs are projected to rise by approximately $5 million between t he current year and the end of the forecast period. The impact of the PERS costs associated with salaries is significant; those costs as a percentage of Miscellaneous salaries remain fairly constant at about 30%, and Safety salaries are now remaining fairly constant at about 58%.

Approach to the Forecast

The Five-Year Financial Forecast represents staff’s best estimate of the City’s finances for the next five years and will be the basis on which the budget is developed. The forecast is structurally sound. Major increases to revenues, such as extraordinary commercial growth, are not currently realized and were t herefore not considered in the development of the forecast.

Measure Y began collecting revenue on April 1, 2025. Departments developed their 5-year implementation plans for the us e of Measure Y funds, and these investments are included in the forecast. However, not everything was able to be included while maintaining fiscal sustainability. This required some identified needs to be excluded from the forecast, though they remain as goals to achieve if funding becomes available.

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Growing Demands

The City continues to grow, and in recent year s, it has grown fast er than the long-term average. This growth drives some revenue grow th, but it also drives a growing demand for services. Police and Fire comprise the largest expenditures in the General Fund at 75% of the total General Fund expenditur es and 89% of the General Fund discretionary revenues projected. Public Safety is most impacted by this growing demand. Measure Y will allow the City to grow services back to a level resident s deserve and have come to expect. In order to be as effective as possible, staff will continue to evaluate different ways of delivering services using technology, social media, and best practices. Failure to grow these departments, as well as other General Fund departments at a rate corresponding to the growth of the City, will diminish the Clovis Way of Life our residents have come to enjoy and expect.

The Forecast shows that Clovis is on a sustainab le fiscal path with substantial opportunities to invest wisely to build up the foundation for ma intaining a high-quality community. This is a significant shift from eight een months ago when the City was facing forecasted deficits and corresponding service cuts. It is imperative that the City invests all resources wisely and does not return to the previous precarious fiscal c ondition that threatened the Clovis Way of Life.

The City’s revenue streams have varying degrees of dependency on economic conditions, with sales tax including Measure Y currently being the most exposed to this dependency and volatility. Preparing for downturns and implementing strategic investment plans with strong fiscal support is crucial for the City to we ather an economic downturn or disruption and maintain the Clovis Way of Life as the community grows.

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CITY OF CLOVIS

General Fund Financial Forecast - Summary
(dollars in thousands)
2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Beginning Available Fund Balance 8,420 8,060 4,460 7,970 7,350 7,480 6,490 5,470 5,450 Reappropriation/Encumbrances 230 (450) 360 (950)

REVENUES
Discretionary 76,290 79,840 88,760 115,520 119,810 123,200 127,490 131,950 136,530 Non-Discretionary 23,340 24,880 28,830 27,990 28,610 27,920 27,900 28,480 29,180 Total Revenues 99,630 104,720 117,590 143,510 148,420 151,120 155,390 160,430 165,710

EXPENDITURES
Public Safety 72,210 77,460 85,720 96,580 106,770 109,120 113,350 116,900 120,900 Public Utilities 12,400 13,060 14,120 16,220 17,610 18,220 18,680 19,090 19,510 General Government 10,700 11,800 14,750 16,380 17,350 17,540 18,150 18,410 18,950 Total Expenditures 95,310 102,320 114,590 129,180 141,730 144,880 150,180 154,400 159,360 Resources Above/(Below) Operating Expenditures 4,320 2,400 3,000 14,330 6,690 6,240 5,210 6,030 6,350

ADDITIONAL ITEMS
Transfers Out to Housing Trust 0 0 (1,000) (750) (100) ( 100) (100) (100) (100) Transfers Out to General Government Facilities Fund (2,020) (2,580) (130) (520) 00000 Transfers Out to PDS-Gen Fund & Measure Y Projects (300) (370) (350) (480) ( 620) (630) (640) (650) (660) Transfers Out to Fleet Fund (990) (1,000) 0 (2,250) (840) (1,500) (490) (300) (1,960) Total Additional Items (3,310) (3,950) (1,480) (4,000) (1,560) (2,230) (1,230) (1,050) (2,720) Net Increase/(Decrease) to Fund Balance 1,010 (1,550) 1,520 10,330 5,130 4,010 3,980 4,980 3,630 Available Fund Balance 9,660 6,060 6,340 17,350 12,480 11,490 10,470 10,450 9,080

OTHER ITEMS
(Use of)/Addition to Measure Y (Capital/Fleet Needs) 0 0 0 8,000 3,000 3,000 3,000 3,000 3,000 (Use of)/Addition to Emergency Reserve 1,600 1,600 (1,630) 2,000 2,000 2,000 2,000 2,000 2,000 Total Other Items 1,600 1,600 (1,630) 10,000 5,000 5,000 5,000 5,000 5,000 Ending Available Fund Balance 8,060 4,460 7,970 7,350 7,480 6,490 5,470 5,450 4,080 Measure Y Balance (Capital/Fleet Needs) 0 0 0 8,000 11,000 14,000 17,000 20,000 23,000 Emergency Reserve Balance 21,000 22,600 20,970 22,970 24,970 26,970 28,970 30,970 32,970 Emergency Reserve as a % of Expenditures 22.00% 22.10% 18.30% 17.80% 17.60% 18.60% 19.30% 20.10% 20.70%

PROJECTEDESTIMATEDACTUALS
General Fund Summary 2/27/2026 8:16 AM
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CITY OF CLOVIS
General Fund - Financial Forecast (dollars in thousands)

REVENUES ESTIMATED
2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Residential Units (SF + MF) 658 610 637 700 750 750 750 750 750 Discretionary
Property Taxes 19,890 21,510 22,680 24,180 25,830 26,210 27,220 28,270 29,320 Property Tax In Lieu-VLF 12,910 13,880 14,680 15,650 16,310 17,000 17,710 18,450 19,220 Sales Tax - Bradley Burns 29,720 29,020 28,680 29,110 29,690 30,490 31,400 32,340 33,310 Sales Tax - Measure Y 0 0 7,170 30,640 31,310 32,160 33,120 34,110 35,130 Franchise Fee 2,950 2,950 3,190 3,350 3,450 3,550 3,650 3,750 3,850 Business License Tax 4,120 4,680 4,650 4,990 5,410 5,820 6,260 6,730 7,230 Other Taxes 6,040 7,020 7,060 6,870 7,070 7,210 7,350 7,500 7,650 Interest 400 510 330 450 450 460 470 480 490
Other Revenues-Discretionary 260 270 320 280 290 300 310 320 330 Total Discretionary
76,290 79,840 88,760 115,520 119,810 123,200 127,490 131,950 136,530 Non-Discretionary
Community Facility Fees 2,680 3,230 3,620 3,610 3,870 4,110 4,360 4,620 4,880 Sales Tax-Public Safety 520 500 490 480 490 500 520 540 550 Licenses & Permits 70 60 70 90 90 90 90 90 90
Fines & Forfeitures 260 190 230 230 240 240 240 240 240 Building Rentals 50 80 120 150 150 150 150 150 150
State Subventions-Gas Tax 1,780 2,020 2,590 2,880 2,920 2,960 3,000 3,040 3,080 Grants 3,110 3,390 5,570 3,100 2,950 1,610 910 790 790
From Other Agencies 880 850 890 830 850 870 890 910 930 Current Services 2,280 2,070 2,560 2,300 2,360 2,410 2,460 2,510 2,560 Landscape Maintenance Charges 4,650 4,960 5,370 5,960 6,130 6,250 6,380 6,510 6,640 Other Revenues-Non Discretionary 410 550 180 450 470 480 490 500 510 Impact/Rental Fees 1,870 1,960 2,040 2,140 2,200 2,240 2,280 2,330 2,380 Admin Charges 4,780 5,020 5,100 5,770 5,890 6,010 6,130 6,250 6,380 Total Non-Discretionary 23,340 24,880 28,830 27,990 28,610 27,920 27,900 28,480 29,180 Total Revenues 99,630 104,720 117,590 143,510 148,420 151,120 155,390 160,430 165,710

ACTUALS PROJECTED
General Fund 2/27/2026 8:25 AM
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Revenue Assumptions (dollars in dollars)
PROPERTY TAXES:

2.00% $357,000,000 18.75% of 1%
Increase in Assessed Value above is based on 750 residential units Nonresidential Units based on % of Residential Units is 23%

PROPERTY TAX IN LIEU-
VEHICLE LICENSE FEES (VLF): INCREASE BY ASSESSED VALUE GROWTH 4.20% (Based on 750 units) SALES TAX: CPI

2.90% 1.00% 2,000 PER YEAR $234
COUNTY SHARE: 5.00% OF GROSS BRADLEY BURNS (Based on 750 units)

0.00% OF MEASURE Y
2026/27 2027/28 2028/29 2029/30 2030/31
SALES TAX GROWTH %: PROJECTED 2.2% 2.7% 3.0% 3.0% 3.0%
FRANCHISE FEE: NEW RES UNITS FEE PARTICIPATION % P G & E CPI PER YEAR OF GROSS 50.00% Comcast/AT&T $250 Per Unit per Mo

2.90% 750 1.00% $90 Per Unit per Month
Note: 5 year average for residential units is 800, 10 year average is 900, 15 year average is 820 units BUSINESS LICENSE TAX: 2.90% INCREASE BY CPI NEW BUSINESSES 5.50% OTHER TAXES: Includes Transient Occupancy Tax, Cardroom Fees, and Real Property Transfer Tax

2.90% INCREASE BY CPI
INTEREST RATE: 3.00% ON PRIOR YEAR'S BALANCE
OTHER REVENUES: 2.90% INCREASE BY CPI
COMMUNITY FACILITY FEE: 500 ANNUAL FEE: $306 CPI: 2.90% SALES TAX-PUBLIC SAFETY: PROPOSITION 172 - HALF CENT SALES TAX FOR PUBLIC SAFETY - ESTIMATES PROVIDED BY CONSULTANT LICENSES & PERMITS: 2.90% INCREASE BY CPI
FINES AND FORFEITURES: PARKING AND VEHICLE $227,000 BASED ON THREE YEAR AVERAGE BUILDING RENTALS: 2.00% ANNUAL INCREASE
STATE SUBVENTIONS: GAS TAX
PER CAPITA $20.10 2,000 PER YEAR (Based on 750 units)
Gas Tax Per Capita based on last year actuals
GRANTS: $790,000 CURRENT AVERAGE OF ONGOING GRANTS
FROM OTHER AGENCIES: 2.90% INCREASE BY CPI
CURRENT SERVICES: 2.90% INCREASE BY CPI

LANDSCAPE MAINTENANCE
CHARGES: 2.90% INCREASE BY CPI
IMPACT/RENTAL FEES: BASED ON ADD'L ROUTES PROJECTED IN THE ENTERPRISE FUND AND INCREASE BY CPI ADMIN CHARGES: 2.00% ANNUAL INCREASE
CITY TAX RATE (Before reductions)

SALES TAX RATE POPULATION GROWTH PER CAPITA PER YEAR

ANNUAL INCREASE INCREASE IN ASSESSED VALUE

POPULATION GROWTH
2/3 OF NEW RESIDENTIAL UNITS:

General Fund 2/27/2026 8:25 AM
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CITY OF CLOVIS
General Fund - Financial Forecast (dollars in thousands)

EXPENDITURES ESTIMATED
2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

PUBLIC SAFETY
Salaries
Police - Sworn 11,720 12,880 13,880 17,020 18,560 19,340 20,100 20,890 21,690 Fire 7,640 7,350 7,390 9,790 11,040 11,260 11,600 11,860 13,060 Public Safety - Management 4,330 4,340 4,560 4,600 4,690 4,780 4,880 4,980 5,080 Police - Non Sworn 4,250 4,240 4,540 5,790 6,670 7,270 7,580 7,820 7,980 Fire - Non Firefighters 340 360 340 530 730 820 930 1,020 1,130 Overtime
Overtime - Police 3,340 3,670 4,150 4,190 4,270 4,360 4,450 4,540 4,630 Overtime - Fire 2,620 2,870 4,080 3,550 4,030 4,110 4,190 4,270 4,360 Extra Help 1,130 1,470 1,720 1,800 1,800 1,800 1,800 1,800 1,800 Benefits
Health 3,830 4,220 4,450 5,310 6,150 6,740 7,300 7,880 8,640 Retirement 12,400 13,270 14,510 16,380 19,400 19,220 20,520 20,750 21,320 Other 4,300 4,610 4,880 6,290 6,400 6,530 6,660 6,790 6,930 Services, Materials & Supplies 15,530 16,890 19,430 20,680 21,280 21,710 22,140 22,580 23,030 Capital Outlay 780 1,290 1,790 650 1,750 1,180 1,200 1,720 1,250 Total Public Safety 72,210 77,460 85,720 96,580 106,770 109,120 113,350 116,900 120,900

PUBLIC UTILITIES
Salaries 2,780 2,940 3,190 3,800 4,500 4,740 4,830 4,930 5,030 Overtime 130 130 130 150 150 150 150 150 150
Extra Help 40 0 0 0 0 0000
Benefits
Health 550 640 700 850 1,080 1,210 1,290 1,380 1,480
Retirement 540 580 680 800 920 910 980 970 960
Other 280 270 280 360 420 450 460 470 480
Services, Materials & Supplies 8,040 8,430 8,890 10,120 10,410 10,620 10,830 11,050 11,270 Capital Outlay 40 70 250 140 130 140 140 140 140
Total Public Utilities 12,400 13,060 14,120 16,220 17,610 18,220 18,680 19,090 19,510

GENERAL GOVERNMENT
Salaries 3,830 4,080 4,420 5,380 5,810 5,930 6,050 6,170 6,290 Overtime 10 10 40 20 20 20 20 20 20
Extra Help 610 650 740 980 980 980 980 980 980
Benefits
Health 660 670 710 930 1,070 1,140 1,220 1,310 1,400
Retirement 850 940 1,050 1,340 1,360 1,330 1,420 1,410 1,390 Other 290 310 310 390 400 420 450 490 540
Services, Materials & Supplies 4,420 4,930 7,400 6,880 7,500 7,510 7,800 7,810 8,110 Capital Outlay 30 210 80 460 210 210 210 220 220
Total General Government 10,700 11,800 14,750 16,380 17,350 17,540 18,150 18,410 18,950 Total Expenditures 95,310 102,320 114,590 129,180 141,730 144,880 150,180 154,400 159,360

ACTUALS PROJECTED
General Fund 2/27/2026 8:25 AM
16

Expenditure Assumptions (dollars in thousands)
SALARIES: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 POLICE-CPOA 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00% SALARY BASE $17,020 $18,120 $19,700 $20,960 $21,900 $22,800 Additional -Salaries $0 $1,190 $850 $510 $450 $350
Number of Additional Officers 7 6 4 3 3 3
Additional Non-Sworn Positions 4 7 5 2 1 0
Total Sworn Officer Positions 135 141 145 148 151 154
FIRE 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00% SALARY BASE $9,540 $10,970 $11,450 $11,750 $12,190 $12,530 Additional -Salaries $250 $260 $70 $200 $90 $1,040
Number of Additional Firefighters 15 0 0 0 0 9
Additional Non-Sworn Positions 0 3 1 2 1 1
Total Sworn Positions 83 83 83 83 83 92
PUBLIC UTILITIES 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00% SALARY BASE $3,800 $4,060 $4,590 $4,830 $4,930 $5,030
Additional Salaries-Park/Street $0 $440 $150 $0 $0 $0
Additional Park/Street Positions 6 7 3 0 0 0
GENERAL GOVT 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00% MANAGEMENT 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00% OVERTIME: INCREASE BY SALARIES % 2.00% 2.00% 2.00% 2.00% 2.00% EXTRA HELP: FLAT FOR NEXT FIVE YEARS
HEALTH: INCREASE PER YEAR 7.0%
(PERS ESTIMATE)
RETIREMENT: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 POLICE-SAFETY 58.08% 58.02% 58.00% 59.50% 58.50% 57.30% FIRE 58.08% 58.02% 58.00% 59.50% 58.50% 57.30%
PUBLIC UTILITIES 29.37% 27.75% 27.70% 28.60% 28.10% 27.50% GENERAL GOVERNMENT 29.37% 27.75% 27.70% 28.60% 28.10% 27.50% MANAGEMENT 29.37% 27.75% 27.70% 28.60% 28.10% 27.50%
PERS EE COST SHARING -MISC -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% PERS EE COST SHARING -SAFETY -8.00% -8.00% -8.00% -8.00% -8.00% -8.00% WORKERS COMP: Police-CPOA 16.48% 16.00% 16.00% 16.00% 16.00% 16.00% (included in other benefits) Fire 3.70% 4.00% 4.00% 4.00% 4.00% 4.00% Mgmt & Admin 1.56% 2.00% 2.00% 2.00% 2.00% 2.00%
Public Utility 3.68% 4.00% 4.00% 4.00% 4.00% 4.00%
OTHER BENEFITS: Previous year's amount increased by contracted and estimated salary increases. Includes 2% of non-safety salaries for deferred comp, 1% of total salaries for sick leave incentive, 1.45% for medicare and 1% for other benefits.

OTHER SMS: INCREASE BY CPI 2.90% 2.00% 2.00% 2.00% 2.00% CAPITAL OUTLAY: INCREASE BY CPI 2.90% 2.00% 2.00% 2.00% 2.00% FOUR YEAR AVERAGE-PUBLIC SAFETY $1,130
FOUR YEAR AVERAGE-PUBLIC UTILITIES $130 + ADDITIONAL EQUIP FOR NEW EMPLOYEES FOUR YEAR AVERAGE-GEN GOVT $200
EMERGENCY RESERVE: Maintain not less than 15% with a goal to reach 25% of total expenditures. See the Summary Sheet for reserve amounts.

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ENTERPRISE FUNDS
The Enterprise Funds forecast provides t he City Council and the City Manager with an early identification of financ ial trends and the future financial co sts of legislative and regulatory requirements, allowing leadership to respond appr opriately. Enterprise Funds, by definition, are supported by rates set to recover the full co st of services, including capital outlays and debt service. The rate-setting process require s advance planning, preparat ion of rate studies, a public hearing process, and a final decision to implement new rates if approved. This process can take up to six months to complete. For this reason, the forecast is a critical management tool for the City.

Further detail regarding each Enterprise Fund is discussed in the following sections. Annually, staff reevaluates all ent erprise operations to determine if any rate adjustments are needed. At this time, Sewer and Community Sanitation enterprise oper ations have approved increases sufficient to carry the operations through the forecast period, barring any unforeseen or catastrophic events. A water rate study was rec ently completed for the Water Enterprise Fund, resulting in Council action—based on staff recommendation—to conduct a Proposition 218 proceeding for increasing water ra tes to compensate fo r the system's increased operations and maintenance costs. As these rate increases meet their objectives, staff will continue to evaluate implementing smaller, more measur ed increases on an annual basis to avoid large one-time spikes for ratepayers.
19

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Water Enterprise
The Water Enterprise Fund is projected to end fiscal year 2025/26 with a working capital balance of approximately $18 million. This forecast reflects current financial assumptions and does not include the potential impacts of a Proposition 218 water rate adjustment. The City’s existing rate structure, adopted in 2016 to comply with state requirements for tiered water rates, was revenue neutral. At that time, Council also authorized a 3% annual rate escalator to support increasing operating costs, capital needs, and debt service coverage for the 2013 Surface Water Treatment Plant bonds. The five-year forecast assumes the continuation of this 3% annual increase.

A comprehensive water rate study completed in 2025 and finalized in 2026 determined that operating and maintenance costs are increasing faster than revenues under the current rate structure. The study concluded that additional revenue is required to maintain service levels, meet regulatory obligations, and support long-term system sustainability. Based on these findings, the
City initiated Proposition 218 proceedings proposing water rate increases of approximately 21% per year for three
years beginning January 1, 2027,
followed by a 3% annual escalator beginning July 1, 2029. A Public Hearing is scheduled for A pril 2026. If the proposed rate adjustments are approved, staff will recommend that the 3% increase scheduled for July 1, 2026, not be implemented.

The forecast includes several major cost driver
s. Beginning in fiscal year 2024/25, the capital
program incorporates $2.5 million annually for five years to implement an Advanced Metering Infrastructure (AMI) project. The Fund also continues to contribute to reserves established for compliance with the Sustainable Groundwater Management Act (SGMA). Dedicated reserves remain in place for Trichloropropane (TCP) treatment, funded by a 2016/17 legal settlement, and for future treatment of
polyfluoroalkyl substances
(PFAS), supported by settlement
proceeds beginning in 2024/25.

Despite these reserves, expenditures are projected
to outpace revenues over the forecast
period, resulting in a signific ant decline in the endi ng fund balance. Without additional rate
adjustments, the Water Enterprise Fund will face increasing pressure on its ability to support
operations, capital needs, and regulatory compliance.
21

Actual Actual Actual Estimated Projected Projected Projected Projected Projected 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 BEGINNING WORKING CAPITAL 22,060 20,190 22,690 23,270 18,020 13,180 10,270 7,270 5,750

REVENUES
WATER CHARGES 19,980 20,840 23,310 23,400 24,240 25,100 26,000 26,920 27,870 DBCP & PFAS - LEGAL SETTLEMENTS 210 210 1,170 2,980 180 190 190 190 190 TOTAL REVENUES 20,190 21,050 24,480 26,380 24,420 25,290 26,190 27,110 28,060

EXPENDITURES
SALARIES 3,630 3,680 3,890 4,510 4,710 4,880 4,970 5,070 5,170 E X T R A H E L P 2 0 01 02 02 02 02 02 02 0
OVERTIME 140 150 160 180 180 180 180 180 180

BENEFITS
RETIREMENT 710 750 840 990 910 940 1,000 1,000 990
HEALTH 590 620 630 810 870 930 1,000 1,070 1,140
OTHER 410 360 310 420 470 490 500 510 520
SERVICES, MATERIALS & SUPPLIES 11,100 12,510 14,810 17,530 17,330 17,690 17,890 18,090 18,070 MEMBRANE REPLACEMENT 300 450 0 0 1,10 00000
TCP TREATMENT 100 100 150 150 150 150 150 150 150
CAPITAL OUTLAY 3,720 1,990 3,220 5,120 3,970 3,970 3,970 2,970 2,970 TOTAL EXPENDITURES 20,720 20,610 24,020 29,730 29,710 29,250 29,680 29,060 29,210

OTHER REVENUE AND EXPENSE
INTEREST/RENTAL/GRANTS 760 2,080 2,030 2,330 1,880 1,280 1,190 1,130 1,120 760 2,080 2,030 2,330 1,880 1,280 1,190 1,130 1,120
TRANSFERS-OUT (CAPITAL) (500) (500) (750) (250) (250) (250) (250) (250) (250) PARK DEV PAYBACK - BASIN/PARK 0 1,7000000000
INTERFUND LOAN TO GENERAL SERVICES 750 750 750 750 750 750 750 750 750 CONTRIBUTION-SURFACE WTP (750) (750) (730) (730) (730) (730) 0 0 0 MEMBRANE REPLACEMENT RESERVE (100) (100) (100) (100) (100) 1,100 (100) (100) (100) RESERVE FOR DROUGHT CONTINGENCY (500) (500) 50 0000000
RESERVE FOR SGMA (1,000) 0 0 (500) (500) (500) (500) (500) (500) RESERVE FOR PFAS TREATMENT 0 0 (960) (2,800) 00000
RESERVE FOR TCP TREATMENT 0 (620) (620) (600) (600) (600) (600) (600) (600) ENDING WORKING CAPITAL 20,190 22,690 23,270 18,020 13,180 10,270 7,270 5,750 5,020 RESERVE FOR MEMBRANE REPLACEMENT 1,080 1,180 1,280 1,380 1,480 380 480 580 680 RESERVE FOR DROUGHT CONTINGENCY 7,000 7,500 7,000 7,000 7,000 7,000 7,000 7,000 7,000 RESERVE FOR SGMA 5,000 5,000 5,000 5,500 6,000 6,500 7,000 7,500 8,000 RESERVE FOR PFAS TREATMENT 0 0 960 3,760 3,760 3,760 3,760 3,760 3,760 RESERVE FOR TCP TREATMENT 7,650 8,270 8,890 9,490 10,090 10,690 11,290 11,890 12,490

CITY OF CLOVIS
Water Enterprise - Financial Forecast (dollars in thousands) Water 2/23/2026 9:18 AM
22

Bi-monthly Meter Charges: Residential - $27.71 Commercial - $22.30 Residential Usage Rates: $1.13 per 1,000 gallons for 0 to 23,000 gallons, $1.88 per 1,000 gallons for 23,000 - 40,000 gallons, $2.26 per 1,000 gallons above 40,000 gallons. Dwelling unit charge $13.45 per month ($26.90 bi-monthly).

Commercial Usage Rates: $1.13 per 1,000 gallons 0 to 23,000 gallons, $1.53 per 1,000 gallons over 23,000 gallons. Monthly charge from $11.15 (1") to $1,130.36 (10").

Current Charges: INCREASED EACH YEAR BY THE AVERAGE INCREASE OF THE PREVIOUS THREE YEARS 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31
Rate Increase: 7/1 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Rate Increase: 3% Based on Council approved annual rate increase unless not necessary.

Interest: 3.00% OF PREVIOUS YEAR'S WORKING CAPITAL OR A MINIMUM OF $10,000 Salaries: CPWEA 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00%
Salary Base $4,510 $4,600 $4,800 $4,970 $5,070 $5,170
Additional Employee $105 $75
Extra Help: FLAT FOR NEXT FIVE YEARS
Overtime: FLAT FOR NEXT FIVE YEARS
Retirement: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

29.37% 27.75% 27.70% 28.60% 28.10% 27.50%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 7.00%
Other Benefits: -WORKERS COMP 3.68% FOR CPWEA 2.00% FOR ADMIN -MEDICARE 1.45% OF SALARIES
-DEFERRED COMP/SICK LEAVE/OTHER 5.25% OF SALARIES
Other SMS: INCREASE BY CPI FOR FUTURE YEARS 2.90%
(Increase energy cost by 50% for the Surface Water Treatment Plant operation beginning in 2004/05) Rental of the New Corp Yard-beginning 2002/03 $320 per year Capital Outlay: CURRENT CPI 2.90%
Transfers Out: FOR CAPITAL CONTRIBUTIONS FOR DISTRIBUTION SYSTEM IMPROVEMENTS FOR LAND ACQUISITION DESIGN AND CONSTRUCTION OF RECHARGE FACILITIES-100% Reserves: WELLHEAD TREATMENT CONTINGENCY ESTABLISHED FOR CLEANUP OF DBCP CONTAMINATION

MEMBRANE REPLACEMENT RESERVE ESTABLISHED FOR NEW MEMBRANE COSTS

DROUGHT CONTINGENCY ESTABLISHED FOR WATER PURCHASE DURING POSSIBLE DROUGHT

TCP TREATMENT RESERVE FOR TREATMENT CAPITAL AND O&M

SUSTAINABLE GROUNDWATER MANAGEMENT ACT RESERVE
(PERS ESTIMATE)
Water Enterprise- Revenue Assumptions (dollars in dollars) Water Enterprise - Expense Assumptions (dollars in thousands) Water 2/23/2026 9:18 AM
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Sewer Enterprise
The Sewer Enterprise Fund is projected to hav e a working capital bal ance of approximately $28.6 million at June 30, 2026. The City Council approved a seri es of rate increases for the Sewer Enterprise Fund beginning August 1, 2010. Rate increases are driven by the rising cost of treatment and capital improvements at the R egional Treatment facilit y, as well as the increased costs to operate new pump stations and the Sewer Tr eatment Water Reuse Facility (ST-WRF). Additionally, rate increases are necessary to meet bond covenants normally borne by development fees, which are projected to be insufficient to meet the City’s obligations during a portion of the forecast period.

A 3% rate
increase is included in each
year of the forecast period to keep pace with rising
operating, maintenance, and capital costs, and to maintain a sufficient fund balance for future
bonding capacity. An interfund loan is shown beginning
in 2025/26 of the forecast because it
is projected that the collection of development impact fees for Sewer Major Facilities will be insufficient to cover debt service payments. Starting in 2025/26, the rebate to customers
will be reduced by half to $3.65 per month to collect the funds necessary to cover the total debt service payment. The ability to continue rebating funds back to ratepayers will be monitored closely throughout the forecast period.
25

Actual Actual Actual Estimated Projected Projected Projected Projected Projected 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 BEGINNING WORKING CAPITAL 26,720 28,270 28,750 31,270 28,620 24,530 21,750 20,880 20,040

REVENUES
SEWER CHARGES 14,510 15,000 15,860 16,520 17,250 18,000 18,770 19,560 20,380 PRETREATMENT CHARGES 50 50 50 50 50 50 50 50 50
TOTAL REVENUES 14,560 15,050 15,910 16,570 17,300 18,050 18,820 19,610 20,430

EXPENDITURES
SALARIES 1,280 1,300 1,470 1,690 1,920 1,960 2,000 2,160 2,200 EXTRA HELP 0 0 10 20 20 20 20 20 20
OVERTIME 20 10 10 20 20 20 20 20 20

BENEFITS
RETIREMENT 250 270 320 400 400 380 400 430 420
HEALTH 200 210 240 310 330 350 370 400 430
OTHER 130 140 110 170 110 200 210 220 230
SERVICES, MATERIALS & SUPPLIES 4,840 5,100 5,790 6,430 8,110 8,340 8,250 8,480 8,730 FRESNO TREATMENT PLANT 3,770 4, 730 4,490 4,900 5,040 5,190 5,340 5,490 5,650 CLOVIS TRMT/REUSE PLANT (ST-WRF) 2,380 2,510 2,720 2,810 3,020 3,140 3,260 3,390 3,520 DEBT SERVICE 1,220 1 ,22000 00000
CAPITAL 440 40 100 460 260 1,710 220 220 230
CAPITAL-FRESNO PLANT IMPROVEMENTS 1,080 2,210 730 2,000 2,000 1,000 1,000 1,000 1,000 TOTAL EXPENDITURES 15,610 17,740 15, 990 19,210 21,230 22,310 21,090 21,830 22,450

OTHER REVENUE AND EXPENSE
INTEREST 860 1,670 1,920 1,660 1,160 1,060 980 960 950
GRANTS/MISC/SALE OF ASSETS/REFUNDS 40 190 410 60 60 50 50 50 50 BOND COVERAGE CHARGES/(REBATE) 0000 1 ,850 1 ,850 1 ,850 1 ,850 1,850 900 1,860 2,330 1,720 3,070 2,960 2,880 2,860 2,850
TRANSFERS IN-DEBT SERVICE 430 4 3000 00000
TRANSFERS OUT-CAPITAL 0 (390) (500) (500) 00000
FROM DEVELOPER-PLANT CAPITAL IMPROV 270 270 270 270 270 270 270 270 270 INTERFUND (LOANS)/REPAYMENT 0 0 0 (1,500) (3,000) (1,500) (1,500) (1,500) (1,500) (INC)/USE OF FRESNO PLANT CAP RESERVE 1,000 1,000 500 0 (500) (250) (250) (250) (250) ENDING WORKING CAPITAL 28,270 28,750 31,270 28,620 24,530 21,750 20,880 20,040 19,390 RESERVE FOR FRESNO PLANT CAPITAL 1,750 750 250 250 750 1,000 1,250 1,500 1,750 RESERVE FOR RATE STABILIZATION 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000

CITY OF CLOVIS
Sewer Enterprise - Financial Forecast (dollars in thousands) Water 2/27/2026 8:32 AM
26

Current Charges: Population New Units Additional Residential: 2025/26 Per Unit Bond Charge Per Pretreatment Per Increase Per Year Commercial Per Month Unit Per Month Unit Per Month 2,000 750 $42,000 $24.88 $7.30 $0.06
Rate Rebate: ($3.65) Beginning FY 25/26
Rate Increase:* 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Percentage 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%
Revised Monthly Rate $24.88 $25.63 $26.40 $27.19 $28.00 $28.84 Interest: 3.00% OF PREVIOUS YEAR'S WORKING CAPITAL
* Rate Increase: Note: The Council can approve up to a 3% annual rate increase if deemed necessary.

Salaries: (CPWEA) 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00%
SALARY BASE $1,690 $1,920 $1,960 $2,000 $2,040 $2,200
Additional employee $120
Extra Help: FLAT FOR NEXT FIVE YEARS
Overtime: FLAT FOR NEXT FIVE YEARS
Retirement: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

29.37% 27.75% 27.70% 28.60% 28.10% 27.50%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 7.00%
Other Benefits: -WORKERS COMP 3.68% FOR CPWEA 2.00% FOR ADMIN -MEDICARE 1.45% OF SALARIES
-DEFERRED COMP/SICK LEAVE/OTHE 5.25% OF SALARIES
Other SMS: INCREASE BY CPI 2.90%
Rental of the New Corp Yard-Beginning in 2002/03 $320
Clovis Treatment/Reuse Plant Operations-Beginning 1/1/2009 $1,000 Regional Treatment Plant: Annual payment for original plant buy-in plus O&M costs.

Adjusted for CPI and per capita amount 2.90%
Capital Outlay: FUTURE YEARS @ $200
- ADJUSTED BY CPI 2.90%
Cap-Plant Improvements: Based on estimates from the City of Fresno for sewer main and plant refurbishments Transfers Out: Out for on-going capital improvements-per Five Year CIP Interfund Loans: Temporary cash loans to conform with various bond covenants (PERS ESTIMATE)
Sewer Enterprise - Revenue Assumptions (dollars in dollars) Sewer Enterprise - Expense Assumptions (dollars in thousands) Water 2/23/2026 9:38 AM
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Community Sanitation Enterprise
The Community Sanitation Enterprise Fund is projected to finish the current fiscal year with a working capital balance of approximately $10.8 million
at June 30, 2026. The fund will
experience a small decline in reserves over the next few years due to increased administration and personnel costs, design and construction cost
s for landfill expansion at the tail end of the
forecast, fleet renewal charges, and ongoing costs
for the recycling and organic
contracts. Reserves are expected to remain stable throughout the five-year forecast.

A 4% annual increase, or portion thereof, for Solid Waste was approved by the City Council in November 2004, and a 4% annual increase for street sweeping was approved in 2021. Council can implement these annual increases
as necessary. A 4% annual increase is projected in the
forecast period for Solid
Waste, Street Sweeping, Recycling, and Organics operations. These annual increases will assist in keeping the reserves stable throughout the five-year forecast.

Staff will continue to monitor fund levels to determine if assessing the full 4% increase is warranted.
29

Actual Actual Actu al Estimated Pro jected Pro jected Pro jected Pro jected Pro jected 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 BEGINNING WORKING CAPITAL 13,390 13,100 12,820 13,000 10,860 8,230 7,380 7,290 7,380

REVENUES
REFUSE CHARGES 18,100 18,890 20,230 20,950 21,960 23,010 24,110 25,260 26,460 RECYCLING CHARGES 2,210 2,320 2,510 2,640 2,750 2,880 3,020 3,160 3,310 GREEN WASTE CHARGES 2,680 2,820 2,990 3,130 3,290 3,460 3,630 3,810 4,000 STREET SWEEPING CHARGES 1,570 1, 660 1,770 1,840 1,920 2, 010 2,100 2,200 2,300 TOTAL REVENUES 24,560 25,690 27,500 28,560 29,920 31,360 32,860 34,430 36,070

EXPENDITURES
SALARIES 4,400 4,440 4,740 5,220 5,850 5,960 6,160 6,280 6,410 EXTRA HELP 90 10 10 40 40 40 40 40 40
OVERTIME 390 440 460 460 460 460 460 460 460

BENEFITS
RETIREMENT 870 930 1,070 1,200 1,180 1,150 1,240 1,240 1,220 HEALTH 810 870 890 1,020 1,090 1,170 1,250 1,340 1,430
OTHER 530 360 460 520 600 610 630 640 650
SERVICES, MATERIALS & SUPPLIES 10,600 11,790 13,170 13,760 14,150 14,560 14,660 15,090 15,530 RECYCLING 1,610 1,790 1,940 2,400 2,470 2,540 2,610 2,690 2,770 GREEN WASTE PROGRAM 2,010 2,200 2,370 2,800 2,890 2,980 3,070 3,160 3,260 STREET SWEEPING 1,810 2,110 2, 170 2,130 2,190 2,250 2,320 2,390 2,460 LANDFILL CLOSURE 340 350 390 400 410 420 430 440 450
CAPITAL 1,190 600 650 1,230 1,280 650 650 650 650
LANDFILL IMPROVEMENTS 720 1,020 170 520 790 250 250 750 1,250 TOTAL EXPENDITURES 25,370 26,910 28,490 31,700 33,400 33,040 33, 770 35,170 36,580

OTHER REVENUE AND EXPENSE
INTEREST 270 530 560 550 550 480 470 480 500
GRANTS/MISC/SALE OF ASSETS 100 260 460 300 150 150 150 150 150 370 790 1,020 850 700 630 620 630 650
TRANSFERS 150 150 150 150 150 200 200 200 200
ENDING WORKING CAPITAL 13,100 12,820 13,000 10,860 8,230 7,380 7,290 7,380 7,720 RESERVE FOR CLOSURE 5,345 5,695 6, 085 6,485 6,895 7,315 7,745 8,185 8,635 RESERVE FOR LIABILITY INS 1,000 1,000 1, 000 1,000 1,000 1,000 1,000 1,000 1,000 Note: Maintain minimum ending working capital at 15% of expenditures or the bond covenant requirements.CITY OF CLOVIS Community Sanitation - Financial Forecast (dollars in thousands) Refuse and Street Cleaning 2/27/2026 8:39 AM
30

Curren
t Charges: New Units Refuse Recycling Green Waste Street Cleaning Per Year Per Month Per Month Per Month Per Month
750 $28.60 $4.98 $7.31 $3.09
2025/26 2026/27 2027/28 2028/29 2029/30 2030/31
Rate Increase/(Decrease): 7/1 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% Rate Increase: Based on Council approved 4% annual rate increase unless not necessary.

Refuse: $28.60 $29.74 $30.93 $32.17 $33.46 $34.80
Recycling: $4.98 $5.18 $5.39 $5.60 $5.83 $6.06
Green Waste: $7.31 $7.60 $7.91 $8.22 $8.55 $8.89
Street Cleaning: $3.09 $3.21 $3.34 $3.48 $3.61 $3.76
Interest: 3.00% OF PREVIOUS YEAR'S WORKING CAPITAL
Salaries: (CPWEA) 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00%
Salary Base: $5,220 $5,720 $5,960 $6,080 $6,280 $6,410
Additional Personnel: Res/Comm $125 $75
Extra Help: $40 for Operations per year
Overtime: FLAT FOR FUTURE YEARS
Retirement: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

29.37% 27.75% 27.70% 28.60% 28.10% 27.50%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 7.00%
Other Benefits: -WORKERS COMP 3.68% FOR CPWEA 2.00% FOR ADMIN -MEDICARE 1.45% OF SALARIES
-DEFERRED COMP/SICK LEAVE/OTHER 5.25% OF SALARIES
Other SMS: INCREASE BY CPI 2.90%
Rental of the Corp Yard beginning 2002/03 $320 per year Capital Outlay: Flat for future years $650
Transfers: In-For Toters $200 /year
Reserve For Closure: FROM 98/99, INCREASE BY CPI 2.90%
(PERS ESTIMATE)
Community Sanitation -Revenue Assumptions (dollars in dollars) Community Sanitation -Expense Assumptions (dollars in thousands) Refuse and Street Cleaning 2/27/2026 8:39 AM
31

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32

Transit Enterprise
The Transit Fund is projected to maintain suffi cient revenues throughout the forecast period to support ongoing operational and capital requirem ents. Primary funding is provided through a combination of Transportation Developm ent Act (TDA) revenues, including Local Transportation Funds (LTF) and Stat e Transit Assistance (STA), as well as Federal Transit Administration (FTA) funding. These revenues are allocated based on population, taxable sales, performance measures, and federal eligibility requirements, and they support day-to-day operations and capital investments, including vehicle purchases and system improvements.

The City is advancing plans to secure land for a future Transit Operations Center to support long-term operational needs and r equired zero-emission infrastructure. The land acquisition is

anticipated to be funded through t he State Transit and Intercity Rail Capital Program (TIRCP).

Regional transit funding also includes pr oceeds from the Fresno County Measure C transportation sales tax, which is scheduled to expi re in 2027. Clovis Transit is concurrently monitoring potential Transportation Development Act reforms re lated to farebox recovery requirements.

As regional, state,
and federal funding programs and
statutory requirements continue to
evolve, Clovis Transit will evaluate service levels and funding strategies, making adjustments as necessary to maintain fiscal stability and regulatory compliance. Consistent with prior years, any Local Transportation Fund and State Transit Assistance revenues received but not yet expended are recorded as deferred revenue to
ensure accounting compliance and fiscal
transparency.
33

Actual Actual Actual Estimated Pro jected Pro jected Pro jected Pro jected Pro jected 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 BEGINNING WORKING CAPITAL 6 50 3 40 4 40 6 8000000

REVENUES
MEASURE C FUNDS * 2,190 2,170 2,150 2,180 2,220 2,260 2,310 2,360 2,410 LOCAL TRANSPORTATION FUNDS (LTF) 5,340 6,780 8,080 8,760 9,740 8,910 9,370 9,710 10,050 STATE TRANSIT ASSISTANCE (STA) ** 200 2,190 630 12,790 3,810 1,000 1,050 1,100 1,160 FEDERAL TRANSIT ADMINISTRATION (FTA) 0 0 0 5,280 2,750 3,500 3,570 3,640 3,710 OTHER (Fares, Advertising, Trolley Rents) 70 110 70 10 10 10 10 10 10 TOTAL REVENUES 7,800 11,250 10,930 29,020 18,530 15,680 16,310 16,820 17,340

EXPENDITURES
SALARIES 1,890 2,050 2,340 3,130 3,200 3,260 3,330 3,400 3,470 EXTRA HELP 1,540 1,760 1,840 3,250 3,410 3,580 3,760 3,950 4,150 OVERTIME 60 70 90 100 100 110 120 130 140

BENEFITS
RETIREMENT 380 410 500 660 620 630 670 670 660
HEALTH 350 430 550 580 620 660 710 760 810
OTHER 560 620 670 1,120 1,090 1,130 1,210 1,240 1,270
SERVICES, MATERIALS & SUPPLIES 3,100 3,730 4,300 5,160 5,420 5,530 5,640 5,750 5,870 CAPITAL-OTHER 170 450 50 890 80 200 200 200 200
CAPITAL-BUSES 110 2,100 700 5,300 680 1,000 1,020 1,040 1,060 TOTAL EXPENDITURES 8,160 11,620 11,040 20,190 15,220 16,100 16,660 17,140 17,630

OTHER REVENUE AND EXPENSE
GRANTS 80 300 110 820 70 170 170 170 170
INTEREST (30) 170 240 160 290 250 180 150 120
50 470 350 980 360 420 350 320 290
TRANSFERS (TRANSIT STATION) 0 0 0 (10,490) (3,670) 0000 ENDING WORKING CAPITAL 340 4 40 6 80000000
DEFERRED REVENUE 10,820 12,490 12,510 9,520 8,310 6,060 4,920 3,850 2,870

CITY OF CLOVIS
Transit - Financial Forecast (dollars in thousands)
Transit 2/27/2026 8:45 AM
34

Transit Revenue: 2.00%
LTF revenue is projected to grow by its historical average increase 5.00% Other revenue is projected to grow by CPI 2.90%
Interest: 3.00% OF PREVIOUS YEAR'S WORKING CAPITAL
Deferred Revenue: REVENUE RECEIVED AND NOT SPENT
Salaries: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00%
Salary Base: $3,130 $3,200 $3,260 $3,330 $3,400 $3,470
Additional Personnel:

Extra Help: INCREASE PER YEAR FOR ADDITIONAL DEMAND IN ROUNDUP TRANSIT SERVICES 5.00% Overtime: INCREASE BY CPI 2.90%
Retirement: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

29.37% 27.75% 27.70% 28.60% 28.10% 27.50%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 7.00%
Other Benefits: -WORKERS COMP 4.00% OF SALARIES 1.56% FOR ADMIN -MEDICARE 1.45% OF SALARIES and EXTRA HELP
-DEFERRED COMP/SICK LEAVE/OTHER 5.25% OF SALARIES
Other SMS: INCREASE BY CPI 2.90%
Ca
pital Outlay: BASED ON BEST ESTIMATES FOR BUSES AND OTHER ADJUSTED BY CPI 2.90%
(PERS ESTIMATE)
** State Transit Assistance, for fiscal years 2019/20 through 2025/26, a transit agency may expend funds apportioned on any operating or capital costs to maintain transit service levels.

For fiscal years 2025/26 and 2026/27, the significant increase is due to one-time funds from the Transit and Intercity Rail Capital Program (TIRCP).**
Measure C revenue is projected to grow at its historical average annual increase. * Although the Measure C sales tax may expire in 2027, currently authorized funds are anticipated to remain available until fully expended; however, the exact duration of those funds is unknown. As a result, projections for FY 2027/28 through FY 2030/31 are subject to availability and may be adjusted based on actual receipts and remaining balances.* Transit- Revenue Assumptions
Transit- Expense Assumptions
Transit 2/27/2026 8:45 AM
35

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36

Planning and Development Services Enterprise
The Planning and Developm ent Services (PDS) Department transitioned into an Enterprise Fund in 2012/13, allowing services to be adjus ted as demand fluctuates. The 2026/27 forecast estimates the construction of 750 residential uni ts, which falls slightly below our 20-year historical average of 800 units per year. For the 2025/26 fiscal year, an estimated 700 residential units (420 multi-family, 280 single-family) are projected to be issued. This slight dip is primarily due to the continuat ion of higher interest rates and recent inflationary pressures suppressing consumer housing demand.

Revenues fluctuate based on construction valuation for different project types; census housing unit numbers are just one indicator. Commercia l activity, in total numbers issued, has performed better this year than our historic average, with high er permit volumes but lower valuations. This is due to fewer applications for
large-scale projects (like hotels) this year, but
more applications overall, typically for smalle r projec ts such as t enant improvements. The 10-
year moving average for commercial valuation fr om 2015/16 through 2024/25 is $51.8 million .

For FY 2025/26, we have already recorded $22 millio
n in commercial valuatio
n, with
expectations of reaching $60 million by year-end. If achieved, the new 10-year moving average
would increase by $2.7 million to $54.5 million at fiscal year-end.

The current Measure C transporta tion tax will expire in 2027. It is currently unknown what the succession alternatives are fo
r Measure C, but PDS is moni t
oring the situation and will
evaluate impacts and timing on both project funding and staff, as well as investigate potential sources of replacement funding. Currently, authorized Measure C funds will remain available until fully expended; however, we have not yet estimated their duration. The current projections for our Community Investment Program for FY 2027/28 and beyond do not reflect any changes to our Measure C funding and will be adjust
ed subject to funding availability.

The PDS Department is projected to
finish 2025/26 with a working capital balance of
approximately $10.1 million. The forecast reflects that the PDS Department will maintain a prudent reserve that allows for immediate adjustments should they become necessary. 37

CITY OF CLOVIS
Planning & Development Services - Financial Forecast (dollars in thousands) RESIDENTIAL UNITS PER YEAR 658 610 637 700 750 750 750 750 750 Actual Actual Actual Estimated Pro jected Pro jected Pro jected Pro jected Pro jected 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 BEGINNING WORKING CAPITAL 9,890 9,520 9,080 9,250 10,190 11,120 11,750 12,030 12,120

REVENUES
BUILDING PERMITS 3,650 3,580 4,000 5,680 5,230 5,380 5,410 5,250 5,240 PLANNING FEES 1,300 2,120 1,840 1,810 1,980 2,160 2,110 2,190 2,270 GENERAL PLAN CONSULTANT 320 360 890 2,740 1,870 730 720 720 720 ENGINEERING FEES 2,410 1,720 2,400 2,670 2,710 2,780 2,850 2,920 2,990 CAPITAL IMPROVEMENT CHARGES 3,840 4,000 4,150 4,080 4,860 4,980 5,100 5,230 5,360 TOTAL REVENUES 11,520 11,780 13,280 16,980 16,650 16,030 16,190 16,310 16,580

EXPENDITURES
SALARIES 5,990 6,050 6,170 6,940 8,010 8,380 8,630 8,800 8,980 EXTRA HELP 120 150 110 50 60 60 60 60 60
OVERTIME 80 40 80 140 100 100 100 100 100

BENEFITS
RETIREMENT 1,150 1,210 1,310 1,340 1,630 1,630 1,760 1,750 1,730 HEALTH 870 850 820 890 980 1,050 1,120 1,200 1,280
OTHER 440 450 460 590 600 610 620 630 640
SERVICES, MATERIALS & SUPPLIES 3,840 3,970 3,860 4,620 4,020 4,100 4,180 4,260 4,350 GENERAL PLAN CONSULTANT 320 360 890 2,040 1,500 650 650 650 650 CAPITAL 10 160 10 160 50 50 50 50 50
TOTAL EXPENDITURES 12,820 13,240 13,710 16,770 16,950 16,630 17,170 17,500 17,840

OTHER REVENUE AND EXPENSE
INTEREST 260 510 570 600 600 590 610 620 620
OTHER REVENUES/GRANTS 370 140 100 80 80 80 80 80 80
TRANSFERS FROM GENERAL FUND 300 370 350 350 350 350 350 350 350 TRANSFERS FROM MEASURE Y FUND 0 0 0 130 270 280 290 300 310 TOTAL ADDITIONAL ITEMS 930 1,020 1,020 1,160 1,300 1,300 1,330 1,350 1,360 NET INC/(DEC) TO WORKING CAPITAL (370) (440) 590 1,370 1,000 700 350 160 100

OTHER ITEMS
(USE OF)/ADDITION TO EMERGENCY RESERVE 0 0 420 430 70 70 70 70 70 ENDING WORKING CAPITAL 9,520 9,080 9,250 10,190 11,120 11,750 12,030 12,120 12,150 Emergency Reserve - (Dollars) 2,500 2,500 2,920 3,350 3,420 3,490 3,560 3,630 3,700 Emergency Reserve as a % of Expenditures 19.5% 18.9% 21.3% 20.0% 20.2% 21.0% 20.7% 20.7% 20.7% Planning Development Services 2/23/2026 9:48 AM
38

Planning & Development Services - Revenue Assumptions (dollars in dollars ) 2024/25 (Act.) 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Residential Units Per Year: 637 700 750 750 750 750 750 Non-Residential Valuation %: 20% 20% 20% 20% 20% 20% 20% Averages based on two years actuals and estimate to close Average Permit Fees Per Unit: Building Planning Engineering International Code Council 2% Increase:
$5,600 $2,500 $2,900 2025/26 2028/29 2031/32
CPI: 2.90%
2024/25 (Act.) 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Planning Program Fee (Staff): $1,010,000 $1,160,000 $1,370,000 $1,410,000 $1,450,000 $1,490,000 $1,530,000 Gen. Plan Consultant Admin Fee: $0 $540,000 $240,000 $80,000 $70,000 $70,000 $70,000 Plan. Prgm. Fee (Consultant): $890,000 $2,200,000 $1,630,000 $650,000 $650,000 $650,000 $650,000 Other Planning Fees: $830,000 $650,000 $610,000 $750,000 $660,000 $700,000 $740,000 Total FY $2,730,000 $4,550,000 $3,850,000 $2,890,000 $2,830,000 $2,910,000 $2,990,000 Capital Improvement Charges: BASED ON HOURLY RATE CHANGES (AS NEEDED) Interest: 3.00% OF PREVIOUS YEAR'S WORKING CAPITAL
Other Revenues: INCREASE BY CPI 2.90%
Grants: BASED ON AWARDED GRANTS
Planning & Development Services - Expense Assumptions (dollars in thousands) Salaries: (CPTA) 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 7/1 3.00% 2.00% 2.00% 2.00% 2.00% 2.00%
Salary Base: $8,060 $8,220 $8,380 $8,550 $8,800 $8,980
Additional Personnel: $80
Extra Help: $50 $60 $60 $60 $60 $60
Overtime: WILL REMAIN FLAT THROUGHOUT PROJECTION YEARS
Retirement: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31

29.37% 27.75% 27.70% 28.60% 28.10% 27.50%
PERS Cost Sharing: -8.40% -8.40% -8.40% -8.40% -8.40% -8.40% Health: INCREASE PER YEAR 7.00%
Other Benefits & SMS: INCREASE BY CPI 2.90%
General Plan Consultant: 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 General Plan Update & Housing Element $1,600 $1,000 $100 $100 $100 $100 Misc. Services (Legal, Housing, Design, Engr) $280 $280 $280 $280 $280 $280 Specific Plan/Master Plan Prep/Updates $0 $0 $0 $0 $0 $0 Utility Plans & Engineering Studies $100 $100 $100 $100 $100 $100 Planning Studies Guidelines $20 $0 $100 $100 $100 $100
LAFCO Budget Contribution $70 $70 $70 $70 $70 $70
Other Consulting $130 $180 $0 $0 $0 $0
Total FY $2,200 $1,630 $650 $650 $650 $650
Capital Outlay: BASED ON CAPITAL NEEDS PROJECTED FOR DEPARTMENT Transfers: GENERAL FUND DISCRETIONARY FUNDING $350 PER YEAR

MEASURE Y DISCRETIONARY FUNDING VARIES PER YEAR
(PERS ESTIMATE)
Planning Development Services 2/23/2026 9:48 AM
39

INTERNAL SERVICE FUNDS
The Internal Service Fund group is projected to be self-balanc ing throughout the Five-Year Forecast. Since this group is funded by charges to the operating funds, issues that will affect the Internal Service Funds are dealt with in conjuncti on with an analysis of their impact on the operating funds. Each of the funds within the Internal Service Fund group is continually reviewed to
determine where more cost-effect ive programs and services can be utilized.

Expenditure reductions have been made in recent years to reduce the impact of cost-sharing on all other City operations.

DEBT SERVICE FUNDS
The Debt Service Fund group, out of necessity and legal obligation, will be fully funded in order to make the required debt payments.
40

Report to the City Council

To: City Council
From: Administration
Date: March 16, 2026
Staff: Paul Armendariz, Assistant City Manager
Subject: Consider Approval — Res. 26-___, Acknowledging the upcoming expiration of Measure C in 2027, Recognizing the City’s Benefit from Measure C Funds since 1986, and Expressing Support for a Citizen-Led Transportation Funding Measure for Fresno County.

Recommendation: Consider
Attachments:

1. Transportation Measure ATT 1 Res. 26- ___

2. Transportation Measure ATT 2 Fresno County Transportation Improvement Act

3. Transportation Measure ATT 3 Fix Our Roads Fresno County Transportation Improvement Measure

Recommendation:

For the City Council to consider approval of a resolution acknowledging the upcoming expiration of Measure C in 2027, recognizing the City’s benefit from Measure C Funds since 1986, and expressing support for a citizen-led transportation funding measure for Fresno County.

Executive Summary:

On March 9, 2026, the City Council provided direction to staff to return with a resolution acknowledging the upcoming expiration of Measure C and consider support of a citizen-led transportation funding initiative for Fresno County.

Measure C is the current Fresno County transportation half-cent sales tax that provides funding for transportation improvements, roadway maintenance, and related infrastructure projects throughout Fresno County, including within the City of Clovis. The current Measure C program was approved by voters in 1986, renewed in 2006 and is scheduled to expire in 2027.

Currently there are two citizen-led transportation funding initiatives seeking to address long-term transportation and infrastructure needs throughout Fresno County. The proposed resolution acknowledges the upcoming expiration of Measure C in 2027, recognizes the importance of transportation funding for the region, and provides the City Council the opportunity to consider

expressing support for a future citizen-led transportation funding measure that would benefit jurisdictions throughout Fresno County, including the City of Clovis.

Background:

Measure C is the existing Fresno County transportation half-cent sales tax that provides funding for transportation improvements, roadway maintenance, and related infrastructure projects throughout Fresno County, including within the City of Clovis. The current Measure C program was originally approved by voters in 1986, renewed in 2006 and is scheduled to expire in 2027.

Revenue generated through Measure C has historically supported a variety of transportation-related projects, including local street and road maintenance, regional transportation improvements, and other transportation infrastructure improvements across Fresno County jurisdictions.

Currently, there are two citizen-led transportation funding initiatives seeking to address long-term transportation and infrastructure needs within Fresno County jurisdictions.

For a County-wide initiative to qualify for the ballot, approximately 22,000 valid signatures are required. There are two methods available to verify signatures: a random sample verification process or a full count verification process. Due to election timelines, and the significant time involved in a full count signature verification process, the County Elections Office has indicated that qualifying through a full count process is no longer possible to meet the November 2026 election. As a result, any measure must qualify through the random sample verification method to appear on the November ballot, which requires a total of approximately 33,000 signatures.

The deadline to submit petition signatures to the Fresno County Elections Office is May 4, 2026.

Submissions received after that date would not qualify for the November 2026 election based on the election calendar and verification timelines.

If a petition with the required number of signatures is submitted by the May 4, 2026, deadline and signatures verified by the Fresno County Elections Office, the Fresno County Board of Supervisors is required to place the measure on the next regularly scheduled election ballot. If the deadline is not met, the next potential opportunity for a vote on a new transportation funding tax measure would be in 2028, unless a special election is called in 2027.

Fiscal Impact:

With the upcoming expiration of Measure C in 2027, the City will lose approximately $4.1 million annually for road maintenance and about $2.2 million in annual funding for Clovis Transit. This also does not include the millions invested in regional projects within Clovis over the past 40 years.

Continuation of a County-wide tax similar to Measure C, in either form as proposed in the two measures, will ensure Clovis continues to receive funding to continue providing the level of maintenance and service our residents expect.

Reason for Recommendation:

City Council provided direction to staff on March 9, 2026, to return with a resolution acknowledging the upcoming expiration of Measure C and allowing the City Council to consider expressing support for a future citizen-led transportation funding measure.

Actions Following Approval:

If the City Council adopts the resolution no further action by the City will occur. If the City Council

chooses to approve the resolution and support one of the two measures, the proponents of the supported measure will likely use the City Council’s approval of the resolution to support gathering signatures and in future campaigning materials.

Conflict of Interest:

None.

Attachment 1
RESOLUTION 26-__

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CLOVIS
ACKNOWLEDGING THE UPCOMING EXPIRATION OF MEASURE C IN 2027, RECOGNIZING THE CITY’S BENEFIT FROM MEASURE C FUNDS SINCE 1986,

AND EXPRESSING SUPPORT FOR A CITIZEN-LED TRANSPORTATION FUNDING

MEASURE FOR FRESNO COUNTY

WHEREAS, Measure C, the Fresno County Transportation Sales Tax Measure, was originally approved by voters in 1986 and provides funding for transportation improvements, street maintenance, and related infrastructure projects throughout Fresno County, including the City of Clovis; and

WHEREAS, the current Measure C Transportation Sales Tax Measure is scheduled to expire in 2027; and

WHEREAS, funding provided through Measure C has supported transportation improvements, roadway maintenance, and other transportation-related improvements within the City of Clovis; and

WHEREAS, continued funding for transportation and street maintenance is important to maintain and improve infrastructure within the City of Clovis and throughout Fresno County; and

WHEREAS, there are two citizen-led transportation measures seeking to address long-term transportation and infrastructure needs for Fresno County jurisdictions, including the City of Clovis; and

WHEREAS, the City Council desires to acknowledge the upcoming expiration of Measure C and the importance of transportation funding for the City of Clovis.

NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Clovis as follows:

1. The City Council acknowledges that the current Measure C Transportation Sales Tax Measure is scheduled to expire in 2027.

2. The City Council recognizes the importance of transportation and street maintenance funding for the City of Clovis and jurisdictions throughout Fresno County.

3. The City Council acknowledges that two citizen-led transportation funding measures are being considered to address long-term transportation and infrastructure needs in Fresno County.

Attachment 1

4. The City Council expresses support for a citizen-led transportation funding measure intended to provide continued resources for transportation improvements, roadway maintenance, and related infrastructure benefiting the City of Clovis and all Fresno County jurisdictions.

5. The City Council has reviewed and received information on both proposed measures, and has determined to express support for the citizen-led County-wide transportation funding measure named _________________________________.

6. A copy of this resolution and reference to this approval may be made to signify the Clovis City Council’s support for the citizen-led County-wide transportation funding measure named _____________________________________.

The foregoing resolution was introduced and adopted at a regular meeting of the City Council of the City of Clovis on March 16, 2026, by the following vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

DATED: March 16, 2026

______________________________ ______________________________ Mayor City Clerk

Fresno County
Transportation
Improvement Act

ATTACHMENT 2

The people of the County of Fresno ordain as follows:

SECTION 1. TITLE.

This Act shall be known, and may be cited, as the “Fresno County Transportation Improvement Act.”
SEC. 2. FINDINGS AND DECLARATIONS.

The people of the County of Fresno hereby find and declare all of the following:
(a) Fresno County is a great place to live and raise a family, but crumbling streets, unsafe roads, and lack of transportation options threaten our quality of life. (b) Aging infrastructure, including the roads connecting our cities and the sidewalks on streets near our homes, schools, and parks, is in serious need of investment. An estimated $5.4 billion is needed to bring roads to “good” and “safe” condition and reduce deferred maintenance.
(c) Connected and well-maintained streets and roads, as well as enhanced safety improvements and traffic calming measures, facilitate access by first responders and reduce the time it takes to respond to emergencies.
(d) More than 100 people are killed and over 300 are severely injured on Fresno County roads each year, with pedestrians and bicyclists facing disproportionate risk.

Improving roadway safety and building and maintaining protected pedestrian and bike lanes are urgently needed.
(e) Repairing, rebuilding, and maintaining the road system will improve travel time, accessibility, traffic safety, and public health, and will also address transportation related costs. (f) Since 1986, transportation sales tax proceeds have largely been spent on state freeways and new roads, leaving local roads in disrepair. Pothole-riddled streets lead to increased costs for car maintenance and fuel, with repairs from pothole damage costing each driver up to $2,000.
(g) Approximately 80% of public transit users in Fresno County are entirely dependent on public transportation and lack access to a private vehicle. Current public transportation services do not transport people to all the places they need to go and often do not operate at the times people need to travel. Additionally, the rising cost of housing in Fresno County and the lack of services in rural areas often force longer commutes and trips to access doctor’s appointments and grocery stores.
(h) To keep Fresno County safe, livable, and thriving, we need to invest in projects to reduce traffic, fix crumbling streets and roads, and improve transportation countywide.

ATTACHMENT 2

2 (i) The increasing frequency of major rain and flooding events, extreme heat, and forest fires requires investments in resilient infrastructure to decrease property damage and improve public health and safety.
(j) This Act is focused on the essential transportation improvements that will make our existing roads safer and more efficient, improve our transit system, and make life better for Fresno County residents by increasing access to jobs, education, healthcare, groceries, and other basic amenities.
(k) The time is now. Without this measure, we will experience further road deterioration; little to no investment in basic infrastructure like sidewalks, crosswalks, curbs, gutters, bike lanes, and trails; and a reduction in transportation services countywide. (l) Funding from this Act is guaranteed to go directly to Fresno County transportation priorities and nothing else. The funds go directly into a special account politicians can’t touch and, if the funds are misused, violators will be subject to possible criminal prosecution by the Fresno County District Attorney and State Attorney General.
(m) Independent audits every year and a Citizens Oversight Committee will ensure transparency and that funds are spent on transportation priorities as the voters intend.

SEC. 3. PURPOSE AND INTENT.

It is the intent of the people of the County of Fresno in enacting this Act to do all of the following:
(a) Fix what matters most by repairing and maintaining existing local streets and roads first. (b) Keep people and our kids safe by investing in safety improvements, including enhanced lighting, road safety, and safe routes to school.
(c) Get people where they need to go efficiently by improving the accessibility and affordability of public transit systems that connect the public to essential services and amenities. (d) Improve transportation alternatives by building and maintaining bikeways, pedestrian facilities, and public transit options.
(e) Keep the transportation system safe with repairs, retrofits, and safety upgrades, allowing students, seniors, and people with disabilities to travel safely. (f) Allow seniors, students, people with disabilities, veterans, and active military personnel to access public transit at no cost.
(g) Create thousands of local quality jobs that pay a living wage and provide healthcare and retirement benefits for workers.

3 (h) Build strong, vibrant communities by adding shade, trees, and other features to combat heat, beautify transportation corridors, and ensure no neighborhood is left behind. (i) Foster innovation by making smart investments that keep our county competitive and connected — now and in the future.
(j) Reduce air pollution to protect Fresno County’s environment and quality of life. (k) Protect taxpayers with strict accountability measures, including independent audits and citizens’ oversight, to ensure funds are spent as intended by voters.

SEC. 4. FRESNO COUNTY TRANSPORTATION IMPROVEMENT ACT.

Chapter 4.60 is added to Title 4 of the Ordinance Code of Fresno County to read as follows:

Chapter 4.60. Fresno County Transportation Improvement Act

4.60.010. Title.

This chapter shall be known as the Fresno County Transportation Improvement Act.

4.60.020. Definitions.

For the purposes of this chapter, the following definitions shall apply:

A. “Act” means the Fresno County Transportation Improvement Act.

B. “Board of Supervisors” means the Fresno County Board of Supervisors.

C. “Class I Facilities” means bike paths or shared-use paths that provide a completely separated right-of-way designated for the exclusive use of bicycles and pedestrians, with crossflows by motorists minimized, as defined in subdivision (a) of Section 890.4 of the California Streets and Highways Code.

D. “Class II Facilities” means bike lanes that provide a restricted right-of-way designated for the exclusive or semi-exclusive use of bicycles, with through travel by motor vehicles or pedestrians prohibited, but with vehicle parking and crossflows by pedestrians and motorists permitted, as defined in subdivision (b) of Section 890.4 of the California Streets and Highways Code.

E. “Class III Facilities” means bike routes that provide a right-of-way on-street or off-street, designated by signs or permanent markings and shared with pedestrians and motorists, as defined in subdivision (c) of Section 890.4 of the California Streets and Highways Code.

4 F. “Class IV Facilities” means cycle tracks or separated bikeways that provide a right-of-way designated exclusively for bicycle travel adjacent to a roadway and that are separated from vehicular traffic by physical elements, including, but not limited to, grade separations, flexible posts, inflexible physical barriers, or on-street parking, as defined in subdivision (d) of Section 890.4 of the California Streets and Highways Code.

G. “Committee” means the Citizens Oversight Committee established pursuant to Section

4.60.170.

H. “Complete street” means a transportation facility that is planned, designed, constructed, operated, and maintained to provide comfortable and convenient mobility, and improve accessibility and connectivity to essential community destinations for all users, regardless of whether they are traveling as pedestrians, bicyclists, public transportation riders, or drivers.

I. “Council of Governments” means the Fresno Council of Governments.

J. “County” means the county government of the County of Fresno.

K. “County region” or “District” means the geographic territory of the County of Fresno, including all incorporated and unincorporated areas therein.

L. “Existing neighborhoods” means neighborhoods in existence within the adopted legal boundaries of each jurisdiction with permanent structures and public infrastructure or public utilities as of November 3, 2026.

M. “Fund” means the Fresno County Transportation Improvement Act Fund established by Section 4.60.040.

N. “Operative Date” means July 1, 2027.

4.60.030. Purpose.

This Act is adopted to achieve the following purposes, and directs that the provisions hereof be interpreted to accomplish those purposes:

A. To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code.

B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code.

C. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefor that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least

5 possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

D. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code, minimizes the cost of collecting the transactions and use taxes, and at the same time, minimizes the burden of record keeping upon persons subject to taxation under the provisions of this Act.

E. To raise appropriate revenues to support transportation investments and programs to fix and maintain roads, improve neighborhood infrastructure, enhance public transit and rideshare options, and support active transportation. These programs include the following:

1. The Existing Neighborhood Streets and Roads Repair and Maintenance Program, which is intended to bring the road systems within the incorporated cities and the rural unincorporated areas of the county region, including arterials, collectors, and neighborhood streets, to an average Pavement Condition Index (PCI) of 70, which is within the “Good” category as indicated in the Pavement Management System (PMS) report. Funds under this program go directly to incorporated cities and the County for local street and road repair and maintenance, traffic safety, active transportation, bicycle and pedestrian facilities, and safe routes to school.

2. The Public Transportation Program, which addresses public transit systems and services throughout the county region. The funding under this program will be used to improve bus, microtransit, and mass transit frequencies; paratransit services; transit infrastructure, such as shelters and transfer centers; and point-to-point programs for seniors, children, students, veterans, active military personnel, and mobility-challenged individuals.

3. The Regional Connectivity Program, which facilitates the movement of people and goods, and the efficient delivery of services, by providing matching funds for major projects benefiting multiple jurisdictions within the county region that enhance connectivity along major corridors, strengthen connections within the urban area and between the cities and rural communities, and foster economic growth.

4. The Access and Innovation Program, which provides for planning and projects that enable new technologies, invest in zero-emission infrastructure, and increase access to destinations.

5. The Administration, Performance Measures, Requirements, and Indicators Program, which includes administration and planning activities of the Council of Governments.

F. To require annual audits and oversight by a citizens oversight committee to ensure funds are used exclusively for these purposes.

4.60.040. Fresno County Transportation Improvement Act Fund.

6 There is hereby established in the treasury of the County a special fund called the Fresno County Transportation Improvement Act Fund, which shall be maintained by the County.

4.60.050. Receipt of Proceeds.

All revenue generated by this Act shall be deposited into the Fresno County Transportation Improvement Act Fund.

4.60.060. Use of Proceeds.

A. Monies in the Fund shall be used to reimburse the County for the costs imposed by the California Department of Tax and Fee Administration to collect and administer the tax imposed by this Act, pursuant to Section 4.60.210.

B. The remaining monies in the Fund shall be appropriated each fiscal year to the Council of Governments solely for the purposes specified in this Act.

4.60.070. Existing Neighborhood Streets and Roads Repair and Maintenance Program.

A. 1. Sixty-five percent of the annual revenue in the Fund shall be allocated for the purpose of repairing, rebuilding, and maintaining the road system in the incorporated cities and the unincorporated areas of the county region to improve travel time and accessibility, traffic safety, and public health, as further provided in subsections B to H, inclusive.

2. a. The Council of Governments shall make separate allocations of funds under this section to each of the incorporated cities within the county region, for expenditures by each city within its own jurisdiction, and to the County, for expenditures in the unincorporated areas of the county region.
b. Funds allocated under this paragraph 2 shall be distributed as follows:
i. Each jurisdiction shall receive a base allocation of four hundred thousand dollars ($400,000) each year.
ii. Following allocations made under clause i, the balance of funding to be allocated under this section shall be allocated in proportion to each jurisdiction’s population based on the most recent population estimates prepared by the California Department of Finance, weighted 80 percent, and in proportion to each jurisdiction’s number of maintained public roadway miles as determined by the most recent Pavement Condition Survey, weighted 20 percent. The allocation to the County shall be based on the population and roadway miles in the unincorporated areas of the county region.

3. Each jurisdiction may use funds provided under this section for any program specified in this section.

7 4. Nothing in this Act prohibits the eligible jurisdictions from issuing bonds or using other financing mechanisms secured by future revenues to accelerate implementation of this section.

5. Jurisdictions may accumulate program funds for up to five years for match purposes or to fund large-scale projects.

6. All streets and roads constructed or improved in whole or in part with revenue from the Fund shall include complete street features, whenever feasible, to create an overall complete street system for neighborhoods. To reduce overall costs under a single contract, jurisdictions that receive funds under this section may also use other funding sources to address the entire roadway infrastructure under one project.

7. Eligible expenditures under this program include all recognized project phases, including planning and environmental analysis; conceptual, preliminary, and design engineering; right-of-way acquisition, support, and relocation; utilities relocation; construction engineering and inspection; vehicles and equipment; direct staff time, including salary and benefits; consultants and construction contractors selected pursuant to local agency selection processes; and labor, materials, and equipment for day labor.

B. Repair, Maintain, and Construct Local Streets and Roads Program.

1. Jurisdictions that receive funds under this section may expend those funds for purposes of the Repair, Maintain, and Construct Local Streets and Roads Program established by this subsection B. Expenditures under this subsection shall prioritize improvements to local streets that connect to existing neighborhood homes, schools, parks, community services, public transportation, and places of employment. Project development, capital, and maintenance costs shall be eligible for expenditures under this subsection.

2. Projects eligible for expenditures under the Repair, Maintain, and Construct Local Streets and Roads Program shall include all of the following:
a. Repaving and reconstruction of existing local streets to prevent deterioration of the roadway system, based on an industry-standard pavement management system designed to inform cost-effective roadway maintenance. Components for routine accommodation of bicycle and pedestrian travel shall be incorporated, as appropriate, as part of construction projects, including sidewalks, bicycle facilities, rehabilitation and curb ramps, and elements to improve resilience, safety, and accessibility.
b. Public sidewalk repair, reconstruction, and construction in existing neighborhoods; construction of new and maintenance of additional pedestrian facility improvements, including pedestrian bridges, retaining walls, and guardrails; maintenance of pedestrian and bicycle safety improvements, including, but not limited to, safe-hit posts, painted safety zones, green bicycle lanes, and crosswalks; and rehabilitation of other bicycle facilities, such as bicycle paths.

8 c. Programmatic improvements to the transportation system to make it safer for all users and help achieve greenhouse gas (GHG) reduction requirements. Projects eligible for expenditures may include, but are not limited to, all of the following:
i. Traffic calming projects to reduce vehicular speeds and improve safety, including speed bumps/humps; new or improved pedestrian safety measures, such as ladder crosswalks, curb extensions (bulb-outs) on corners, and pedestrian islands in the medians of major thoroughfares; new and upgraded bicycle lanes and paths; traffic striping and channelization; and bicycle and personal mobility device parking facilities. Quick builds, pilot projects, permanent improvements, intersection redesigns, and larger corridor projects are eligible for expenditures.

Related landscaping components may be included.
ii. Installation, maintenance, and upgrade of traffic signs and signals, including for pedestrians and bicyclists; and communications systems, including changeable message signs for incident and special-event traffic management.
d. Multimodal street improvements to improve pedestrian, bicycle, transit, and vehicle circulation and connectivity.
e. Pothole repair, crack sealing, slurry sealing, asphalt overlays, resurfacing, slab replacement, permeable pavement, vegetation control, curb and gutter maintenance, stormwater and drainage controls, shoulder grading, guardrail and barrier repair, bridge maintenance, sign and marking upkeep, street sweeping, landscaping and beautification, and snow and ice removal. f. Streetlights, signals, traffic calming and other safety features; standard traffic lights, flashing signals, green arrows, pedestrian signals, out-of-service signals, guardrails, rumble strips, sign and pavement marking, speed humps, speed tables, raised crosswalks, and horizontal devices, such as roundabouts and bulb-outs; traffic signal timing, traffic operations centers, and Intelligent Transportation System components.
g. Sidewalks, alleys, bikeways, pedestrian safety features, infrastructure compliant with the Americans with Disabilities Act, crosswalks, traffic calming features, including flashing beacons, lighting, and neighborhood slow zones, pedestrian and bicycle overcrossings and undercrossings, pedestrian paths, walkways, bikeways, and protected bicycle facilities. h. New curb ramps compliant with the Americans with Disabilities Act, reconstruction of existing ramps, and related roadway work to permit ease of movement. i. Vehicles and equipment may be purchased with funds provided under this Act only when necessary to carry out work associated with projects funded under this Act. Costs for such purchases must be charged proportionally to each funded project based on actual or reasonably estimated use and may not exceed the pro rata share attributable to projects funded under this Act.
j. Litter-abatement activities pursuant to a state matching-funds program.

9 3. Each jurisdiction may spend no more than 5 percent of its allocation under the Existing Neighborhood Streets and Roads Repair and Maintenance Program on road expansion or capacity-increasing projects per year. Before a jurisdiction can expend funds pursuant to this paragraph, every local street and road within the jurisdiction shall reach a Pavement Condition Index score of 65 or above.

4. Road expansion or capacity-increasing projects shall not be prohibited by paragraph 3 if they involve significant safety or mobility benefits, as supported by traffic studies that demonstrate reductions in fatalities and serious injuries for all road users. Eligible road expansion or capacity increasing projects shall only include the following:
a. Dedicated public transportation lanes.
b. Dedicated and protected Class I or Class IV Facilities. c. Safety-motivated turn lanes or intersection improvements that protect all road users and that do not impede bicycle or pedestrian facilities.

5. Funds shall not be used for street or roadway construction in new growth areas or new town developments.
a. For purposes of this paragraph 5, “new growth areas” means geographic areas designated for future residential, commercial, industrial, or mixed-use development that, as of the passage date of this Act, were not zoned for urban development, substantially developed with permanent structures and public infrastructure, and included within an adopted municipal or regional growth boundary, service area, or comprehensive plan authorizing such development.

Preliminary approvals, conceptual plans, or applications pending approval shall not be considered evidence of existence.
b. For purposes of this paragraph 5, “new town developments” means large-scale, master-planned developments intended to function as self-contained communities, including residential, commercial, public, and transportation infrastructure that were not incorporated, approved, or under active construction as of the passage date of this Act and require the extension of new public streets, roadways, or transportation infrastructure to serve the development. Preliminary approvals, conceptual plans, or applications pending approval shall not be considered evidence of existence.

6. The County shall annually expend a minimum of between 12 percent and 15 percent of its local allocation in identified disadvantaged unincorporated communities, as defined by paragraph (2) of subdivision (a) of Section 65302.10 of the California Government Code. The Council of Governments shall determine the specific minimum percentage by completing a needs assessment of complete streets pursuant to Section 4.60.140. The County may spend any remaining funds set aside for disadvantaged unincorporated communities in other unincorporated areas of the county region once identified needs have been met, the average Pavement Condition Index score for all disadvantaged unincorporated communities reaches 70, and each local road

10 within all disadvantaged unincorporated communities attains a Pavement Condition Index score of at least 65.

7. Jurisdictions shall prioritize funding for existing neighborhood roads with the lowest Pavement Condition Index score or in project areas in need of improvement in disadvantaged neighborhoods and communities.

C. Active Transportation.

1. Jurisdictions that receive funds under this section may expend those funds to create a comprehensive, connected network of pedestrian and bicycle routes that link homes, workplaces, schools, parks, transit, and other destinations.

2. Funds expended pursuant to this subsection C may be used to redesign existing streets to be complete streets, prioritizing non-car options, increasing the safety and comfort of pedestrians and cyclists, and improving connections to transit.

3. Every street or road constructed or reconstructed in whole or in part with revenue from the Fund pursuant to this subsection shall include sidewalks, paths, walkways, or equivalent facilities, where feasible and according to the adopted Active Transportation Plan in each jurisdiction.

4. Any maintenance to a street or road funded in whole or in part with revenue from the Fund pursuant to this subsection shall, at a minimum, maintain the existing level of pedestrian and bicycle access, facilities, and safety features along and across the street, road, or highway.

5. Where feasible, every expressway, super-arterial, arterial, or collector road constructed in whole or in part with revenue from the Fund pursuant to this subsection shall include accommodations for bicycle travel at minimum by a striped shoulder with a minimum width of four feet. This four-foot shoulder may be provided as a bike lane or a cycle track. If an existing expressway, super-arterial, or collector road is reconstructed and reconstruction includes pavement widening, that project shall be subject to this requirement.

6. All roadways receiving pavement reconstruction without pavement widening, rehabilitation, or an overlay, slurry seal, chip seal, or seal coat funded in whole or in part with revenue from the Fund pursuant to this subsection shall include accommodations for bicycle travel at a minimum by Class I and Class IV Facilities, unless there is insufficient right-of-way or if there are other physical constraints as determined by a licensed engineer. This four-foot shoulder may be provided as a bike lane or a cycle track.

7. On a multi-lane roadway, funds expended pursuant to this subsection may be used for conversion of travel lanes to bicycle facilities, provided the responsible agency has determined that excess roadway capacity exists and that the bicycle facilities are allowable. Owing to the different costs associated with Class I and Class IV Facilities, funding for this requirement must be roughly equivalent based on expenditures. A jurisdiction may meet this requirement through a combination of other state, federal, and local funding sources, aside from revenue from the

11 Fund. Safe Routes to Schools projects that include Class I or Class IV Facilities may be counted toward satisfying this requirement.

8. Jurisdictions that expend funds under this subsection shall not expend funds on privately owned streets and roads.

9. Jurisdictions that expend funds under this subsection shall certify to the Council of Governments that expenditures of funds under this subsection meet the following criteria:
a. With respect to Class I Facilities:
i. Class I Facilities are not limited to bicycle use and are available for pedestrian use. Canal banks located in existing neighborhoods that cannot be paved may also be considered Class I Facilities for purposes of this Act.
ii. Class I Facilities, including shared-use paths constructed with funds expended under this subsection, are to the greatest extent possible designed in accordance with the bicycle path design criteria set forth in Chapter 1000 (Bicycle Transportation Design) of the California Highway Design Manual.
iii. Within the Fresno–Clovis Metropolitan Area, Class I Facilities constructed with funds expended under this subsection are a minimum of 12 feet in width, where feasible. iv. Within the Fresno–Clovis Metropolitan Area, Class I Facilities constructed with funds expended under this subsection are designed so that at-grade crossings are limited to one crossing every one-half mile at signalized intersections for new developments, where feasible and provided that such design does not violate property owner rights. v. Class I Facilities constructed within existing neighborhoods are designed so that mid-block crossings on collectors, arterials, super-arterials, or expressways satisfy one of the following:

I. Each crossing is controlled by at-grade pedestrian waiting mechanisms, including signalized or flashing crossings or other warning devices.

II. Each crossing is controlled with grade-separated crossings when warranted due to pedestrian or bicycle safety risks, where feasible. vi. Class I bikeways in rural areas that link rural communities and cities are, to the greatest extent possible, constructed in accordance with Chapter 1000 (Bicycle Transportation Design) of the California Highway Design Manual.
b. Class II and Class III bikeways are, to the greatest extent possible, designed and installed in accordance with Chapter 1000 (Bicycle Transportation Design) of the California Highway Design Manual and the California Manual on Uniform Traffic Control Devices.

12 c. Class IV bikeways, including separated bikeways or cycle tracks, are, to the greatest extent possible, designed and installed in accordance with Caltrans Design Information Bulletin

89. 10. Any new or modified types of facilities shall be eligible for funding under the Existing Neighborhood Streets and Roads Repair and Maintenance Program if such facilities are included in any future revision of the California Highway Design Manual or related Caltrans design guidance.

11. Trails designed strictly for recreational purposes shall be ineligible for expenditures under this Act.

D. Transit-Oriented Development.

1. A jurisdiction that receives funds under this section may expend the funds to support transportation and other costs to enable housing in mixed-use zone districts within existing neighborhoods. The jurisdiction shall ensure the developments are mixed income and include deed-restricted units affordable to lower-income households.

2. For the purpose of this subsection D, lower-income means 80 percent or less of Area Median Income (AMI), including low-income (50 to 80 percent of AMI), very low-income (30 to 50 percent of AMI), and extremely low-income (below 30 percent of AMI).

E. Bicycle and Pedestrian Facilities Maintenance.

Jurisdictions receiving funds under this section may use the funds for maintenance of bicycle and pedestrian facilities, including, but not limited to, landscaping and tree care; pavement, root-damage, and pothole repairs; irrigation system operation and repair; lighting, signage, striping, and surface resurfacing; litter and weed removal; utility costs; and maintenance of adjacent trailheads or parks.

F. Safe Routes to School.

1. A jurisdiction that receives funds under this section may use this funding to support Safe Routes to School (SRTS) projects, including infrastructure, education, outreach, and planning to support safe transportation to and from schools.

2. Each jurisdiction shall coordinate with school districts within its boundaries to identify and ensure the highest-priority SRTS projects are funded each year. Funds shall be used to prioritize SRTS projects identified as highest priority and urgent.

3. Funds may be used to achieve conformance with Section 22352.5 of the California Vehicle Code, lowering the speed limit in school zones to twenty miles per hour by January 1, 2031. When updating signage and other compliance needs in school zones, jurisdictions should seek to make other SRTS improvements where needed and appropriate.

13 G. The following metrics shall be used to evaluate performance under this section:

1. The average Pavement Condition Index score for each jurisdiction that receives funds under this section, including arterial, collector, and neighborhood streets, shall be maintained at a minimum average level of 70.

2. At least 120 miles of new Class I or Class IV Facilities shall be maintained and constructed by 2057, as identified in the applicable Active Transportation Plan for each jurisdiction. This requirement shall be apportioned as follows:
a. The cities of Fresno and Clovis shall collectively be responsible for at least 84 miles. b. The County shall be responsible for at least 36 miles. c. Any Class I or Class IV Facilities constructed by the remaining cities may be credited toward fulfilling the County’s obligation under this paragraph 2. d. Safe Routes to Schools projects that include new Class I or Class IV Facilities may be counted toward satisfaction of this requirement.
e. Up to 20 percent of this requirement may be met through routine maintenance.

3. a. At least 150 Safe Routes to School projects shall be completed by 2057 that improve walkability, safety, and connectivity for students and reduce serious injuries and fatalities.

Projects shall include infrastructure, engineering improvements, and traffic-calming strategies to enhance safety and accessibility for walking and bicycling within a one-mile radius of school zones.
b. The requirement imposed by subparagraph a shall be apportioned as follows:
i. The cities of Fresno and Clovis shall collectively be responsible for at least 105 projects.
ii. The remaining cities and the County shall collectively be responsible for at least 45 projects.
c. Jurisdictions may collectively satisfy the requirement imposed by subparagraph a by one or more of the following:
i. By completing five Safe Routes to School projects per year, 70 percent in the cities of Fresno and Clovis and 30 percent in the remaining incorporated cities and the unincorporated areas of the county region.
ii. By completing at least 50 projects every 10 years, 70 percent in the cities of Fresno and Clovis and 30 percent in the remaining cities and the unincorporated areas of the county region.

14 4. The County and each incorporated city within the county region shall pursue reductions in greenhouse gas emissions consistent with targets established quadrennially by the California Air Resources Board.

H. By July 1, 2029, each jurisdiction within the county region, to be eligible for continued funding under this section, shall complete and adopt an Active Transportation and Safe Routes to Schools Implementation and Performance Analysis to establish a baseline assessment and track progress towards achieving the established metrics of this Act. A jurisdiction may use funds allocated in this section to pay the reasonable costs of developing the analysis. The analysis shall include the following:

1. An Active Transportation Analysis addressing Class I, II, III, and IV Facilities that promote connectivity and complete streets throughout the county region and its urbanized areas.

This analysis shall, at a minimum, include all of the following:
a. A regional sidewalk, bikeway, and trail inventory assessing the condition, connectivity, and accessibility of sidewalks and pedestrian and bicycle pathways. b. Actionable strategies to improve and construct new sidewalks, pathways, and bicycle facilities within existing neighborhoods in compliance with established metrics of this Act in order to facilitate travel to major points of interest or destination centers, including, but not limited to, employment centers, educational facilities, parks and open spaces, and medical services.
c. Adopted Active Transportation Plans or Fresno Regional Active Transportation Plans shall serve as the guiding document for the upgrade, installation, and funding of active transportation facilities, provided that the plans include the requirements identified in subparagraphs a and b.

2. A Safe Routes to School (SRTS) analysis developed in coordination with the school districts within its jurisdictional boundaries. The analysis shall include:
a. The number of serious injuries and fatalities within a one-mile radius of each school during the previous five years and annual reduction targets. b. The highest-priority SRTS projects to be funded to ensure compliance with this section.
c. Adopted SRTS projects or similar plans shall serve as the guiding document for the upgrade, installation, and funding of SRTS facilities, provided that the plans include requirements identified in subparagraphs a and b of paragraph 1 and are coordinated with school districts within the jurisdiction’s boundaries.

15 3. Each jurisdiction within the county region shall develop Active Transportation and Safe Routes to Schools Implementation and Performance Analysis through a robust public process.

The public process shall include, at a minimum, all of the following:
a. The jurisdiction shall notify the public of its intent to initiate an analysis and publicly notice the process through which it will solicit public input. b. The jurisdiction shall hold at least three publicly noticed meetings to solicit public input. Meetings shall be held at accessible locations outside of regular business hours.

Translation of materials and interpretation shall be provided. c. Upon completion of the public meetings, the jurisdiction shall prepare, publish, and formally adopt an analysis, which shall include a prioritized list of projects to be funded during the ensuing five-year period and an accompanying analysis documenting the manner in which public input was solicited, reviewed, and incorporated into the final recommendations, following a public review period of not less than 30 days.
d. Funded projects shall be included in a public database maintained by the Council of Governments, and progress toward completion shall be reported annually until completion, consistent with subsection J of Section 4.60.110.

4.60.080. Public Transportation Program.

A. Twenty-five percent of the annual revenue in the Fund shall be allocated to support an integrated, rapid, resilient, and cost-effective transit network that coordinates public transportation services, where feasible, to reduce costs of service and avoid service duplication, and prioritize improving public transportation system access and use.

B. The Council of Governments shall allocate funding under this section as follows:

1. Ten percent to Clovis Transit.

2. Seventy percent to Fresno Area Express.

3. Twenty percent to the Fresno County Rural Transit Agency.

C. Funds provided under this section shall be expended for the following purposes:

1. Operations, maintenance, and capital costs for maintaining and improving public transportation services.

2. Expanded hours and increased frequency of transit services; evening and weekend service; non-emergency medical transportation; increased frequency between and among cities and communities; first and last mile connections; emergency planning; service integration; paratransit service; community shuttles; and university and college transit options.

16 3. Deployment of buses, microtransit, carshare, rideshare, vanpool, and Bus Rapid Transit or light rail services.

4. Public transit supportive infrastructure, including disability access infrastructure; sheltered and weather protective bus stops; lighting at bus stops; trash disposal; enhanced pedestrian and bicycle facilities that improve access to transit stops; optimized traffic signals for smoother traffic flow; and investments in modern vehicles and technology, including real-time tracking and audible announcements for passengers. At main hubs and transit centers, where possible, public transportation operators are encouraged to provide and improve water stations and public restrooms.

D. Each transit agency shall ensure services are available for continued support for paratransit, curb-to-curb, van, taxi, and other transportation services for seniors 62 years old and older, and people with disabilities who are unable to use fixed-route transit services. Funds may be expended for operations support, replacement of accessible vans, and replacement and upgrades of supporting equipment. Each year, each transit agency shall certify to the Council of Governments that revenue provided under this section is first being used for this subsection D.

E. Transportation agencies may use the funds allocated under this section for public transportation projects that are included in a local agency capital improvement program or annual budget, or that are approved by resolution at a public hearing of each local agency identifying the eligible project or list of projects or programs.

F. Funds in this section may be used by the Council of Governments to conduct a Regional Transit Consolidation Study to identify opportunities to coordinate or consolidate transit services in order to achieve a seamless passenger travel system for the public, provided that any study, recommendation, or resulting action ensures the protection of public transit employees, including the preservation of wages, benefits, collective bargaining rights, and employment security. The findings and recommendations of the study shall be considered for implementation by the Council of Governments Policy Board.

G. The following metrics shall be used to evaluate performance under this section:

1. For each transit agency receiving funds under this section, transit accessibility performance shall demonstrate year-over-year improvement. Performance shall be measured using a composite index composed of the following indicators: (1) percentage change in total ridership; (2) percentage of urban routes operating at 15-minute or better headways and, in rural areas, average transit travel time relative to comparable personal vehicle travel times or an equivalent accessibility metric; (3) average travel distance or time required to reach a defined set of key destinations; (4) average number of transfers required on commonly used routes; (5) average transfer wait times; and (6) on-time performance, measured as the percentage of trips operating on schedule from origin to destination. Where feasible, each indicator shall be reported both in aggregate and disaggregated by demographic, geographic, and rider group.

2. For each transit agency receiving funds under this section, the annual percentage increase in transit-supportive infrastructure shall grow every year. Performance shall be

17 measured by quantifiable increases in the following: (1) the number of bus stops and multimodal access points that meet or exceed applicable local, state, and federal accessibility standards; and (2) the linear miles, area coverage, or facility count of bicycle, sidewalk, and pedestrian infrastructure providing direct access to bus stops, transit hubs, schools, population centers, employment centers, and essential services.

H. By July 1, 2029, each transit agency, to be eligible for continued funding under this section, shall complete and adopt a Public Transit Improvement Plan to establish a baseline assessment and track progress towards improving the metrics described in paragraphs 1 and 2 of subsection G of this section. Funds allocated in this section may be used by an agency to pay the reasonable costs of developing the Plan. The Plan shall include the following:

1. Proposed transit service improvement and expansion plans, including mass transit, micro-transit and on-demand transit services.

2. Programs and services that provide continued support for paratransit, curb-to-curb, van, taxi, and other transportation services for those who are unable to use fixed-route transit services, including seniors 62 years old and older and people with disabilities.

3. Strategies for how Fund revenues will be leveraged with state and federal funding to maximize program and service impact.

4. Strategies for the coordination of services and programs across the transit agencies.

I. Each transit agency shall develop a Public Transit Improvement Plan through a robust public process, which shall include, at a minimum, all of the following:

1. The agency shall notify the public of its intent to initiate a plan and publicly notice the process through which it will solicit public input.

2. The agency shall hold at least three publicly noticed meetings to solicit public input.

Meetings shall be held at accessible locations outside of regular business hours. Translation of materials and interpretation shall be provided.

3. Upon completion of the public meetings, the agency shall prepare, publish, and formally adopt a plan, which shall include a prioritized list of projects to be funded during the ensuing five-year period and an accompanying analysis documenting the manner in which public input was solicited, reviewed, and incorporated into the final recommendations, following a public review period of not less than 30 days.

4. Funded projects shall be included in a public database maintained by the Council of Governments, and progress toward completion shall be reported annually until completion, consistent with subsection J of Section 4.60.110.

4.60.090. Regional Connectivity Program.

18 A. One percent of the annual revenue in the Fund shall be allocated to the Fresno Yosemite International Airport. Funds may be used to support operations, infrastructure, transportation access improvements, and multi-modal connections to and from the airport.

B. Four percent of the annual revenue in the Fund shall be allocated to fund regional street, road, and highway improvement projects with direct local benefits.

1. The Council of Governments shall provide funding on the following schedule:
a. By June 30, 2028, for years 1 to 7 of this Act.
b. By June 30, 2034, for years 8 to 15 of this Act.
c. By June 30, 2041, for years 16 to 24 of this Act.
d. By June 30, 2048, for the remaining years of this Act.

2. Agencies eligible for funding under this subsection B shall include the incorporated cities within the county region, the County, and the California Department of Transportation.

3. Projects funded under this subsection B may include projects on the state highway system, regional transportation projects, and projects on major local arterials that serve more than one city or area of the county region. Funds allocated under this section may be used as matching funds for litter-abatement activities pursuant to a state matching-funds program.

4. Each agency shall request project funding from the Council of Governments, which shall be provided through a cooperative funding agreement. These agreements shall allocate funding for the initial project phases. All funding agreements shall reimburse implementing agencies for funds expended. The agreements shall not provide agencies with advance funding.

5. The Council of Governments shall conduct a public engagement process to identify and prioritize projects in the county region. Selected projects shall achieve one or more of the following: reduced vehicle miles traveled, increased multi-modal travel, increased safety by reducing the number of collisions of all road users, improved air quality, increased access to good local jobs, or other direct local benefits to communities. The Council of Governments may prioritize projects that identify state and federal funding to leverage matching funds. The agencies shall complete this process as follows:
a. The Council of Governments shall notify the Citizens Oversight Committee of its intent to initiate a public process and publicly notice the process through which it will solicit public input.

19 b. The Council of Governments shall publish project solicitation guidelines for projects that further the goals identified in this paragraph 5 and allow at least 60 days for eligible agencies to submit proposals.
c. Upon receipt of project proposals, the Council of Governments shall publish a list of projects and hold at least three publicly noticed meetings across the county region, with at least one on the east side of the county region, at least one on the west side of the county region, and at least one in the urban metro area, for public input. Meetings shall be held at accessible locations outside of regular business hours, and translation of materials and live interpretation shall be provided.
d. Following the public workshops, the Council of Governments shall prepare and publish a list of projects recommended for funding, together with an analysis documenting how public input was considered and incorporated into the recommendations. e. Projects will be considered and approved by the Council of Governments Policy Board at least 30 days after the list of projects is publicly posted.

6. The Council of Governments may consider bonding future revenues if project needs and deliverability exceed available cash flow.

C. Agencies that receive funds under this section shall report project progress to the Council of Governments. Any project cost increases not associated with subsequent project phases shall be thoroughly justified by the implementing agency, and a funding agreement amendment shall be approved prior to the expenditure of funds in excess of the approved project budget.

Agencies that receive any funds under this section shall furnish, install, and maintain project funding signage recognizing the funding contributed by this Act.

D. All major roads, regional transportation projects, and highways constructed, improved, or reconstructed under this section shall comply with paragraphs 5 and 6 of subsection C of Section

4.60.070.

4.60.100. Access and Innovation Program.

A. Four percent of the annual revenue in the Fund shall be allocated for planning and projects that enable new technologies, invest in zero-emission infrastructure, and increase access to destinations.

B. The Council of Governments shall first allocate funds to Clovis Transit, Fresno Area Express, and the Fresno County Rural Transit Agency to ensure the implementation and maintenance of zero-fare programs for special populations. For purposes of this subsection, “special populations” means people with disabilities, veterans and active-duty military personnel, seniors 62 years of age and older, children, and students.

20 C. If funds remain after the purposes under subsection B are met, the Council of Governments shall award competitive grants, and shall develop implementation policies and guidelines, for projects in the following categories:

1. Clean Energy Projects, which may include electric-vehicle charging stations, hydrogen fueling facilities, compressed natural gas infrastructure, and similar clean-fuel facilities; a Regional Zero-Emission Vehicle Readiness and Implementation Plan developed by the Council of Governments; local agency Zero-Emission Vehicle Readiness and Implementation Plans; clean-vehicle power support facilities; microgrid or solar electric-vehicle battery-charging infrastructure; autonomous vehicle infrastructure projects; or other projects or programs that further clean transportation goals.

2. Travel Choice Projects, which may include regional transportation hubs and micro- mobility hubs designed to provide and identify a range of connected travel choices; innovations in micro-mobility; increased opportunities for telecommuting; and broadband infrastructure to support telecommuting and educational facility purposes.

3. Future Technology Projects, which may include other new technology applications or improvements in emerging or future transportation technologies.

D. The agencies eligible to apply for funding under subsection C shall include the incorporated cities within the county region, the County, the Council of Governments, Fresno Area Express, the Fresno County Rural Transit Agency, and Clovis Transit. Private-sector entities, nonprofit organizations, or other governmental agencies may also submit applications for funding, provided that such applications are submitted through, and sponsored by, the local government agency of the jurisdiction in which the project is located. The incorporated cities within the county region and the County shall generally serve as the primary applicants for program funds; however, for projects or programs of a regional nature, the Council of Governments may serve as the appropriate applicant. For any competitive grant program for which the Council of Governments seeks to apply for funding, the Council of Governments shall adopt a written policy establishing an independent panel to review and score all applications.

4.60.110. Administration, Performance Measures, Requirements, and Indicators Program.

One percent of the annual revenue in the Fund shall be allocated to the Council of Governments to administer this Act. Activities that may be funded under this section shall include the following:

A. Preparing and adopting an annual work program and budget outlining planned expenditures, oversight activities, and administrative costs, and distributing funds pursuant to this Act.

B. Developing requirements for each funding program established by this Act and undertaking specialized studies needed to implement those programs effectively.

21 C. Undertaking and completing the reporting requirements and technical assistance pursuant to Section 4.60.140.

D. Establishing and updating priority lists for regional connectivity, in coordination with member jurisdictions and consistent with this Act.

E. Conducting an independent audit to ensure compliance, fiscal integrity, and accountability to the public.

F. Conducting reviews to ensure compliance with and progress towards attainment of performance measures under each program.

G. Carrying out ongoing outreach and public education efforts to keep taxpayers informed about project progress, financial performance, and planned updates.

H. Issuing bonds when appropriate to expedite project delivery, reducing overall project costs by leveraging future revenues for near-term improvements.

I. Providing staff support to advisory committees and furnishing staff- or consultant-based technical assistance to member jurisdictions to ensure consistent, equitable, and effective program implementation. Technical assistance may also include grant preparation and submission.

J. Developing and implementing a searchable public database that allows the public to easily access information on how funds are used and how they align with guiding principles and any implementing guideline requirements.

4.60.120. Local Hiring Preference.

Projects funded by this Act are intended to provide direct and indirect economic benefits to the county region through investments in infrastructure and related construction-associated economic activity, including the creation of well-paying jobs for the county region’s businesses and residents. In furtherance of these objectives, the Council of Governments, in coordination with its member agencies, shall develop and implement reasonable local hiring and contracting goals and related strategies to help maximize these economic benefits by July 1, 2029, and shall be updated every five years thereafter.

4.60.130. Design and Implementation Elements.

A. Funds allocated to each jurisdiction shall supplement, not supplant, other sources of revenue.

B. Projects funded in part or in whole with revenues from the Fund shall incorporate design and implementation elements that address heat, increased precipitation and flooding, wildfire management, and improvements to air quality, including through the following:

22 1. Where feasible, the addition, establishment, and maintenance of landscaping and tree canopy along pedestrian walkways, bicycle facilities, local and major roads, highways, and trails in the public right-of-way; provided, however, that each project shall include an analysis of the elements considered, and if trees or shade canopy elements are not included, the project shall document the reasons for such exclusion.

2. Funding shall be prioritized for projects in neighborhoods and communities with lower tree canopy coverage.

3. Where feasible, the addition of curb, gutter, and stormwater drainage improvements.

4. Vegetation management.

C. Funds may be used for the maintenance of landscaping and tree canopy along pedestrian walkways, bicycle facilities, local and major roads, highways, and trails in the public right-of- way, including, but not limited to, irrigation system operation and repair, pruning, landscape and tree canopy preservation, and litter and weed removal.

D. All streets and roads constructed or improved in whole or in part with revenue from the Fund shall include complete street features, where feasible.

E. Expenditures under this Act for street maintenance and repair are encouraged to include complete street elements that do not require additional pavement width.

F. It is the intent of the people of Fresno County that each jurisdiction that receives funding under this Act adopt and follow “dig once” construction project principles, requiring public and private roadway projects to accommodate the installation of conduit to support community needs, including but not limited to, broadband fiber optics, stormwater systems, and sidewalks.

G. Jurisdictions or agencies shall use best efforts to implement projects consistent with the intent of this Act. In the event a jurisdiction or agency determines that a proposed project or project requirement is not feasible, the jurisdiction or agency shall, following a duly noticed public hearing, formally declare and document the reasons for such infeasibility.

H. Funds made available under this Act may be used, in whole or in part, as matching funds for eligible state and federal programs in order to increase benefits to residents of the county region.

4.60.140. Council of Governments Reporting Requirements and Technical Assistance.

A. By July 1, 2029, the Council of Governments shall complete and adopt the following studies and analyses to establish a baseline assessment and track progress towards achieving metrics described in Sections 4.60.070 and 4.60.080. The Council of Governments shall be eligible to receive reimbursement for reasonable costs incurred in completing the required studies and analyses from the jurisdictions and agencies that receive funding in sections 4.60.070 and 4.60.080. The studies and analyses shall include the following:

23 1. A countywide Pavement Management System analysis, the results of which shall be furnished to each eligible agency. The Council of Governments shall use the Pavement Management System analysis to evaluate each agency’s progress toward achieving metrics described in paragraph 1 of subsection G of Section 4.60.070.

2. A Regional Transit Agency Service Consolidation study in coordination with the existing transit agencies and jurisdictions to assess the feasibility of consolidating services to achieve a seamless passenger system for the public.

3. A needs assessment of complete streets, including determining the Pavement Condition Index of disadvantaged unincorporated communities pursuant to paragraph 6 of subsection B of Section 4.60.070.

B. The Council of Governments shall establish and regularly update protocols and procedures to assist jurisdictions and agencies in the implementation of this Act. Protocols and procedures may include the following:

1. Compliance with Act requirements at the annual, five-year, and ten-year intervals.

2. Technical assistance to eligible jurisdictions and agencies to comply with Act requirements.

3. Standard reporting templates.

4. Guidelines for implementation of the competitive funding program described in subsection C of Section 4.60.100.

4.60.150. Reporting and Review Requirements.

A. Each agency that receives funds under this Act shall complete and submit to the Council of Governments an annual independent audit to verify that program funds were expended in compliance with the requirements of this Act. Any agency found to be out of compliance shall be subject to withholding of program funds until appropriate reimbursements are made and compliance is achieved.

B. On an annual basis, each agency that receives funds under this Act shall complete and submit a performance report to the Council of Governments identifying expended funds and projects that used proceeds from this Act in whole or in part. Any agency that expends funds allocated under Section 4.60.070 on services shall also describe such uses in its annual report.

The Council of Governments shall establish any additional reporting requirements necessary to carry out the purposes of this Act.

C. The Council of Governments shall conduct an independent audit of the proceeds generated by this Act, as well as the expenditures from the Fund. An independent auditor’s report may be

24 funded by the revenues from the Fund. This shall include an accounting of revenues received and expenditures made from the Fund and shall be presented annually to the Council of Governments and Board of Supervisors and made available for public review. The audit report shall be posted on the internet website of the Council of Governments.

D. On an annual basis, the Council of Governments shall publish a report identifying projects completed or supported by Fund revenues by eligible agencies.

E. By July 1, 2029, and updated annually thereafter, the Council of Governments shall develop and implement a public database that allows the public to easily access information on how funds are used, completed projects, progress towards projects under construction, and compliance with the requirements of this Act.

F. The Council of Governments shall establish compliance check requirements, fund accumulation and noncompliance requirements, claims and dispute-resolution procedures, monitoring and reporting requirements, including the establishment of deadlines for reports required under this section, and an audit requirement for jurisdictions that receive funds under this Act.

4.60.160. Five Year Plan Updates.

A. Each jurisdiction’s Active Transportation and Safe Routes to Schools Implementation and Performance Analysis required by subsection H of Section 4.60.070, and each transit agency’s Public Transit Improvement Plan required by subsection H of Section 4.60.080, shall be updated every five years over the life of this Act through a robust public process.

B. The public process required by subsection A shall include, at a minimum, all of the following:

1. The jurisdiction or agency shall notify the public of its intent to initiate an update to the adopted plan or plans and publicly notice the process through which it will solicit public input.

2. The jurisdiction or agency shall hold at least three publicly noticed meetings to solicit public input. Meetings shall be held at accessible locations outside of regular business hours.

Translation of materials and live interpretation shall be provided.

3. Upon completion of the public meetings, the jurisdiction or agency shall prepare, publish, and formally adopt an updated plan or analysis, which shall include a prioritized list of projects to be funded during the ensuing five-year period and an accompanying analysis documenting the manner in which public input was solicited, reviewed, and incorporated into the final recommendations, following a public review period of not less than 30 days.

4. Funded projects shall be included in a public database maintained by the Council of Governments, and progress toward completion shall be reported annually until completion, consistent with subsection J of Section 4.60.110.

25 C. The countywide Pavement Management System analysis prepared by the Council of Governments pursuant to paragraph 1 of subsection a of Section 4.60.140 shall be updated every five years following its initial publication.

4.60.170. Citizens Oversight Committee.

A. The Citizens Oversight Committee shall be formed within six months following the effective date of this Act.

B. The purpose of the Committee is to inform the public and to ensure that expenditures from the proceeds of the tax imposed by this Act are spent in accordance with the Act, and the Committee shall have the following responsibilities:

1. Receiving, reviewing, and recommending action on independent financial and performance audits.

2. Receiving, reviewing, and recommending action on reports, studies, and plans directly related to programs, revenues, or expenditures.

3. Reviewing and commenting on expenditures for consistency with this Act.

4. Annually reviewing sales-tax expenditures and publicizing findings.

5. Presenting recommendations and findings in a formal annual public report.

6. Conducting the comprehensive review of the Act, at a minimum, every ten years pursuant to section 4.60.170.

7. Referring any misuse of revenue to the Fresno County District Attorney, the Attorney General, and any other appropriate agency.

C. The Committee shall consist of 11 members. Each member shall satisfy all of the following:

1. Be a United States citizen who is at least 18 years of age and a resident of Fresno County.

2. Not be a holder of any elected office.

3. Not be an employee of the County, any incorporated city in the county region, the Fresno County Rural Transit Agency, Caltrans, or the Council of Governments.

4. Have no financial interest in any Council of Governments-funded project.

D. The membership of the Committee shall be comprised as follows:

26 1. Six members shall be at-large public members who satisfy the following geographic requirements:
a. Three members shall reside within the Fresno-Clovis Metropolitan Area. b. Three members shall reside outside the Fresno-Clovis Metropolitan Area, including one member from the east side of the county region, one from the west side of the county region, and one from an unincorporated area.
c. At least one member shall reside in each of the five Fresno County supervisorial districts.

2. Five members representing the diversity of the county region, providing a balance of viewpoints.

E. Committee members shall be selected by the Council of Governments Policy Board, consisting of the mayors of the incorporated cities in the county region and the Chair of the Fresno County Board of Supervisors or their designee. Whenever vacancies occur, openings shall be publicly noticed at least 60 days prior to the application deadline.

F. Members shall serve four-year terms and may serve consecutive terms. Members shall receive compensation of fifty dollars ($50) for each meeting attended.

G. Members shall serve no more than eight years, except that a member appointed to an initial term of less than four years may serve up to 10 total years. Vacancies shall be filled using the same selection process for the remainder of the term. Terms shall be staggered to avoid replacing more than two members in any recruitment period.

H. The Committee shall annually select a Chair and Vice Chair from among its members, each serving a one-year term. The Chair shall call meetings, set agendas, and preside over meetings. The Vice Chair shall perform these duties in the Chair’s absence.

I. The Committee shall meet at least quarterly and at such additional times as the Committee deems necessary. All meetings shall comply with the Ralph M. Brown Act and shall be conducted in accordance with Robert’s Rules of Order. The Committee shall not employ proxy voting.

J. Members of the Committee shall annually file a Statement of Economic Interests in accordance with Chapter 7 of Title 9 of the California Government Code.

K. The Committee may establish subcommittees to carry out specific aspects of its duties.

All subcommittees shall consist of an odd number of members.

L. A quorum shall consist of a majority of active Committee members. Actions shall be approved by a simple majority of the quorum present.

27 M. The Council of Governments shall provide technical and administrative staffing support, subject to Committee approval. Staffing costs and necessary outside services shall be paid from the monies identified in Section 4.60.110. Expert staff may be requested to present information to the Committee as needed.

N. The Committee shall review all reports published by each city and the County detailing planned budgets and financial expenditures of proceeds from the Fund.

O. The Committee shall oversee an annual fiscal and compliance audit using an independent auditor, identifying all directly funded projects and accumulated revenues and expenditures. The Committee shall oversee and publish an annual report presenting audit results to the Council of Governments Policy Board.

4.60.180. Amendments to The Act
A. It is the intent of the people of the County of Fresno that this Act be amended only through a public review process, except as expressly provided in this section and only to the extent the amendment is consistent with the purposes and intent of this Act.

B. 1. The Council of Governments Policy Board shall initiate a comprehensive review of the Act, at a minimum, every ten years and refer the public review process to the Citizens Oversight Committee.

2. The Citizens Oversight Committee shall conduct the comprehensive review and evaluation of the Act.

3. The Citizens Oversight Committee shall oversee the public process, which shall allow a minimum of 90 days to conduct at least three public workshops. At least one public workshop shall be held in the east side of the county region, at least one public workshop shall be held in the west side of the county region, and at least one public workshop shall be held in the urban metro area. Public meetings shall be accessible to the public and held at accessible locations outside of regular business hours. Translation of materials and live interpretation services shall be provided.

4. Following the public process, the Committee shall submit evaluation findings and recommendations to the Council of Governments Policy Board and the public for review and input. The Committee shall allow a minimum of 30 days for public comment.

5. a. The Council of Governments Policy Board shall consider evaluation findings and recommendations at a public hearing and shall adopt proposed amendments to the Act at the next regularly scheduled meeting. The Council of Governments Policy Board shall approve any amendments in accordance with its double-weighted voting system. b. Each member shall be assigned a weighted voting percentage based on population.

Approval of any action shall require satisfaction of both of the following conditions:

28 i. Jurisdictions representing over 40 percent of the population of the county region must be in favor of an action.
ii. A majority of all members must support the action.

6. The Council of Governments Policy Board shall submit any proposed amendments to the Act to the Board of Supervisors, which may adopt the amendments only if the amendments further the purposes of this Act.

C. The Citizens Oversight Committee may propose amendments to the programs established by this Act under the public review procedures provided in subsection B and shall submit any proposed amendments to the Council of Governments Policy Board and the Board of Supervisors for approval as provided by paragraphs 5 and 6 of subsection B.

D. The people of the County of Fresno declare that the elimination of any program established by this Act does not further the purposes of the Act. Any modification to the allocation of revenues between programs established by this Act shall require approval of the voters.

E. After a request from the Council of Governments Policy Board, the Board of Supervisors may amend the Act outside the comprehensive review process to address a locally declared emergency, an immediate threat to public health and safety, or the need to timely leverage large- scale, one-time state or federal funding opportunities.

F. During the term of this Act, the Board of Supervisors may authorize the transfer of public transportation funding allocated under Section 4.60.080 to a newly created regional transit district, or similar entity, in connection with a merger or consolidation of the existing public transportation agencies identified in Section 4.60.080.

4.60.190. Supplement to Existing Funding For Transportation.

The people of the County of Fresno find and declare that the transportation infrastructure needs of the county region require more resources than what are currently provided. In adopting this Act, the people of the County of Fresno choose to provide additional resources to supplement, and not supplant, local, state, federal, and other funding for transportation infrastructure county- wide.

4.60.200. Regional Transportation Mitigation Fee.

A. Consistent with existing law, the Regional Transportation Mitigation Fee Program established in 2006 as part of Measure C may be used to provide funding for projects funded by this Act, provided that such use is consistent with state law governing impact mitigation fees.

B. The Council of Governments, consistent with nexus requirements, shall have the authority to allocate Regional Transportation Mitigation Fee revenues based upon regional priority needs

29 within the county region, in a manner consistent with Sections 4.60.070 to 4.60.100, inclusive, and in a manner consistent with state law governing impact mitigation fees.

C. No later than June 30, 2028, all jurisdictions shall extend the Joint Powers Agreement establishing the Regional Transportation Mitigation Fee Program, consistent with Section 7 of that Joint Powers Agreement. Any city or the County that elects not to implement the Regional Transportation Mitigation Fee shall forfeit annually from its allocation under Section 4.60.070 an amount equal to the Regional Transportation Mitigation Fee that would otherwise have been paid for development projects within that jurisdiction during the applicable year. An agency that elects not to implement the Regional Transportation Mitigation Fee shall notify the Council of Governments of that decision and shall file an advisory report with the Council of Governments for each development project indicating the amount of the fee that would have been paid. The Council of Governments shall calculate the total annual Regional Transportation Mitigation Fee obligation for that agency and deduct the appropriate amount from that agency’s allocation under Section 4.60.070.

4.60.210. Contract with State.

Prior to the operative date of this chapter, the County shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance, provided that, if the County shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date of this chapter, it shall nevertheless so contract and in such a case the operative date of this chapter shall be the first day of the first calendar quarter following the execution of such a contract.

4.60.220. Transactions Tax Rate.

For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated and unincorporated territory of the District at the rate of 0.5 percent of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this Act.

4.60.230. Place Of Sale.

For the purposes of this Act, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration.

4.60.240. Use Tax Rate.

30 An excise tax is hereby imposed on the storage, use or other consumption in the District of tangible personal property purchased from any retailer on and after the operative date of this Act for storage, use or other consumption in said territory at the rate of 0.5 percent of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.

4.60.250. Adoption Of Provisions Of State Law.

Except as otherwise provided in this Act and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this Act as though fully set forth herein.

4.60.260. Limitations On Adoption Of State Law And Collection Of Use Taxes.

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A. Wherever the State of California is named or referred to as the taxing agency, the name of this County shall be substituted therefor. However, the substitution shall not be made when:

1. The word “State” is used as a part of the title of the State Controller, State Treasurer, State Treasury, or the Constitution of the State of California.

2. The result of that substitution would require action to be taken by or against this County or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Act.

3. In those sections, including, but not limited to, sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:
a. Provide an exemption from this tax with respect to certain sales, storage, use, or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use, or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code; or b. Impose this tax with respect to certain sales, storage, use, or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

31 B. The word “District” shall be substituted for the word “State” in the phrase “retailer engaged in business in this State” in Section 6203 and in the definition of that phrase in Section 6203.

1. “A retailer engaged in business in the County” shall also include any retailer that, in the preceding calendar year or the current calendar year, has total combined sales of tangible personal property in this state or for delivery in the State by the retailer and all persons related to the retailer that exceeds five hundred thousand dollars ($500,000). For purposes of this section, a person is related to another person if both persons are related to each other pursuant to Section 267(b) of Title 26 of the United States Code and the regulations thereunder.

4.60.270. Permit Not Required.

If a seller’s permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor’s permit shall not be required by this Act.

4.60.280. Exemptions And Exclusions.

A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

B. There are exempted from the computation of the amount of transactions tax the gross receipts from:

1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the County in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2. Sales of property to be used outside the District that is shipped to a point outside the District, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the District shall be satisfied:
a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-District address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and

32 b. With respect to commercial vehicles, by registration to a place of business out-of- District and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this Act.

4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this Act.

5. For the purposes of subparagraphs 3 and 4 of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C. There are exempted from the use tax imposed by this Act, the storage, use or other consumption in this County of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this Act.

4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this Act.

5. For the purposes of subparagraphs 3 and 4 of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6. Except as provided in subparagraph 7, a retailer engaged in business in the District shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the District or participates within the District in

33 making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the District or through any representative, agent, canvasser, solicitor, subsidiary, or person in the District under the authority of the retailer.

7. “A retailer engaged in business in the District” shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the District.

D. Any person subject to use tax under this Act may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use, or other consumption of which is subject to the use tax.

4.60.290. Amendments to California Revenue and Taxation Code.

All amendments subsequent to the effective date of this Act to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this Act, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this Act.

4.60.300. Enjoining Collection Forbidden.

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action, or proceeding in any court against the State or the County, or against any officer of the State or the County, to prevent or enjoin the collection under this Act, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

4.60.310. Termination of Transactions and Use Tax.

This chapter shall remain operative for 30 years from the operative date of this Act and shall be repealed by operation of this section on that date, unless a later measure is adopted before that date which deletes or extends the termination date.

SEC. 5. EFFECTIVE DATE.

This Act shall take effect 10 days after the certification by the Board of Supervisors of the election results indicating passage of the measure by a majority of the voters casting votes in the election; however, the Operative Date of the tax imposed by this measure shall be July 1, 2027.

34 SEC. 6. SEVERABILITY.

If any section, subsection, sentence, clause, phrase or word of this Act is for any reason held to be invalid by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Act. The people of the County of Fresno hereby declare they would have passed and adopted this Act and each and all provisions hereof irrespective of the fact that any one or more of said provisions be declared invalid.

SEC. 7. LIBERAL CONSTRUCTION.

This measure is an exercise of the initiative power of the people of the County of Fresno to implement a special tax to fund the purposes set forth in the Act, and it shall be liberally construed to effectuate these purposes.

SEC. 8. AMENDMENTS.

The expenditure plan adopted pursuant to this Act may be amended in accordance with Section

4.60.180. Any other amendments to this Act shall require approval by the voters of the County of Fresno.

SEC. 9. CONFLICTING MEASURES.

This measure is intended to be comprehensive. It is the intent of the people of the County of Fresno that, in the event this measure and one or more measures relating to a special tax to fund transportation infrastructure shall appear on the same ballot, the provisions of the other measure or measures shall be deemed in conflict with this measure. In the event that this measure receives a greater number of affirmative votes, the provisions of this measure shall prevail in their entirety, and all provisions of the other measure or measures shall be null and void.

Fix Our Roads
Fresno County
Transportation
Improvement
Measure

ATTACHMENT 3

1 FIX OUR ROADS FRESNO COUNTY TRANSPORTATION IMPROVEMENT MEASURE THE VOTERS OF THE COUNTY OF FRESNO DO ORDAIN AS FOLLOWS:

Section 1. TITLE. This ordinance shall be known as the Fix Our Roads Fresno County Transportation Improvement Measure”. The Transportation Authority hereinafter shall be called "Authority." This ordinance shall be applicable in the incorporated and unincorporated territory of the County of Fresno, which shall be referred to herein as "District." Section 2. OPERATIVE DATE. "Operative Date" means the first day of the first calendar quarter commencing more than 120 days after the adoption of this ordinance, the date of such adoption being as set forth below. The Operative Date shall be July 1, 2027.

Section 3. PURPOSE. This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

A. To continue the imposition of a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 142000 et.seq. of the Public Utilities Code, which authorizes the Authority to adopt this tax ordinance if a majority of electors voting on the measure, which measure was designated as " FIX OUR ROADS FRESNO COUNTY TRANSPORTATION IMPROVEMENT MEASURE " on November 3, 2026, Fresno County general election ballot, voted to approve the imposition of said tax.

B. To adopt a new Expenditure Plan which will result in countywide local street and road improvements, improvements in emergency response and evacuation routes, street widening, signalization, pedestrian, bicyclist, and driver safety improvements. These needed improvements shall be funded by a one-half of one percent retail transactions and use tax established for a twenty-year period. The revenues shall be deposited in a special fund, used solely for the transportation projects, improvements, and programs described in the Expenditure Plan attached as Exhibit A hereto, which is considered a part of this Ordinance and hereby incorporated by reference as if fully set forth herein.

C. To adopt the extension of a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California, insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

D. To adopt the extension of a retail transactions and use tax ordinance that imposes a tax and provides a measure therefor that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

ATTACHMENT 3

2 E.To adopt the extension of a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance.

F.To provide for highway capital improvements and to meet local transportation needs in accordance with the provisions of Division 15 (commencing with Section 142000) of the Public Utilities Code and to permit, but not require, the Authority to issue bonds payable solely from the proceeds of this tax.

G.To set a maximum term of twenty (20) years during which time this tax shall be imposed pursuant to the authority specified in Public Utilities Code Sections 142250 and 142251.

Section 4. CONTRACT WITH STATE. Prior to the operative date, the Authority shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the Authority shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.

Section 5. TRANSACTIONS TAX RATE OF ONE-HALF OF ONE PERCENT. For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated and unincorporated territory of the District at the rate of one-half of one percent (0.5%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this ordinance.

Section 6. PLACE OF SALE. For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of- state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration.

Section 7. USE A TAX RATE OF ONE-HALF OF ONE PERCENT. An excise tax is hereby imposed on the storage, use, or other consumption in the District of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use, or other consumption in said territory at the rate of one-half of one percent (0.5%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax, regardless of the place to which delivery is made.

3 Section 8. ADOPTION OF PROVISIONS OF STATE LAW. Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.

Section 9. LIMITATIONS ON ADOPTION OF STATE LAW AND COLLECTION OF USE TAXES. In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A. Wherever the State of California is named or referenced to as the taxing agency, the name of this Authority shall be substituted therefor. However, the substitution shall not be made when:

1. The word "State" is used as a part of the title of the State Controller, State Treasurer, State Treasury, or the Constitution of the State of California.

2. The result of that substitution would require action to be taken by or against this Authority or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance.

3. In those sections, including, but not necessarily limited to, sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:
a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use, or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or; b. Impose this tax with respect to certain sales, storage, use, or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797, or 6828 of the Revenue and Taxation Code.

B. The word "District" shall be substituted for the word "State" in the phrase “retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203.

4 1. "A retailer engaged in business in the District" shall also include any retailer that, in the preceding calendar year or the current calendar year, has total combined sales of tangible personal property in this state or for delivery in the State by the retailer and all persons related to the retailer that exceeds five hundred thousand dollars ($500,000). For purposes of this section, a person is related to another person if both persons are related to each other pursuant to Section 267(b) of Title 26 of the United States Code and the regulations thereunder.

Section 10. PERMIT NOT REQUIRED. If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by thisordinance.

Section 11. EXEMPTIONS AND EXCLUSIONS.

A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

B. There are exempted from the computation of the amount of transactions tax the gross receipts from:

I. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the County in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2. Sales of property to be used outside the District, which is shipped to a point outside the District, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the District shall be satisfied:
a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-District address and by a declaration under penalty of pe1jury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and
b. With respect to commercial vehicles, by registration to a place of business out-of-District and declaration under penalty of perjury, signed by the buyer that the vehicle will be operated from that address.

5 3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C. There are exempted from the use tax imposed by this ordinance, the storage, use, or other consumption in this District of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6 6. Except as provided in subparagraph (7), a retailer engaged in business in the District shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the District or participates within the District in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the district or through any representative, agent, canvasser, solicitor, subsidiary, or person in the District under the authority of the retailer.

7. "A retailer engaged in business in the District" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter I (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the District.

D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.

Section 12. AMENDMENTS. All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance.

Section 13. ENJOINING COLLECTION FORBIDDEN. No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the Authority, or against any officer of the State or the Authority, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

Section 14. SEVERABILITY. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.

Section 15. EFFECTIVE DATE. This ordinance relates to the levying and collecting of the District transactions and use taxes and shall take effect immediately.

Section 16. CONFLICTING MEASURES. This measure is intended to be comprehensive. It is the intent of the people of the County of Fresno that, in the event this measure and one or more measures relating to a special tax to fund transportation infrastructure appear on the same

7 ballot, the provisions of the other measure or measures shall be deemed in conflict with this measure. In the event that this measure receives the votes of a majority of electors in the November 3, 2026, election and receives a greater number of affirmative votes than any conflicting measure or measures, the provisions of this measure shall prevail in their entirety, and all provisions of the other measure or measures shall be deemed null and void.

Section 17. TERMINATION DATE. The authority to levy the tax imposed by this ordinance shall expire on June 30, 2047.

2026 Fix Our Roads Measure Expenditure Plan
i
Contents
Table of Contents
SUMMARY ........................................................................................................................................... 1 Fix Our Roads Measure Overview...................................................................................................................... 1 The Fix Our Roads Measure Program ............................................................................................................... 1 Program 1: Fix Local Roads Program $3.2 Billion or 82% ........................................................................ 2 Program 2: Transit Reimagined $702 Million or 18% .................................................................................. 3 Governance ................................................................................................................................................................ 3 Impact .......................................................................................................................................................................... 3 Acknowledgements .............................................................................................................................................. 4 INTRODUCTION and PURPOSE ...................................................................................................... 5 OVERVIEW ......................................................................................................................................... 5 The Fix Our Roads Measure Program .............................................................................................................. 5 Program 1: Fix Local Roads Program $3.20 Billion, or 82% ................................................................... 6 Program 2: Transit Reimagined $702 Million or 18% ................................................................................. 6 EXPECTED FIX OUR ROADS MEASURE PROCEEDS ................................................................... 7 COUNTY-WIDE PRIORITIES ............................................................................................................ 7 PROGRAM DETAIL ............................................................................................................................ 7 Program 1: Fix Local Roads Program $3.20 Billion, or 82% .................................................................... 7 Program 2: Transit Reimagined Program $702 Million or 18% ............................................................. 21 GOVERNANCE ................................................................................................................................. 23 Fresno County Transportation Authority Structure Under the Fix Our Roads Measure Program ..................................................................................................................................................................................... 23 PROGRAM ADMINISTRATION ....................................................................................................... 23 Program Management ........................................................................................................................................ 24 Agency Responsibility for Fix Our Roads Measure Funding Recognition ..................................... 24 Local Hiring Preference ...................................................................................................................................... 24 PLAN UPDATE AND APPROVAL PROCESS ................................................................................. 25 Regional Transportation Plan and Sustainable Communities Strategies ........................................ 25 Major Corridor Transportation Plan Update ............................................................................................... 25 Strategic Implementation Plan Update ........................................................................................................ 25 Expenditure Plan Amendments ...................................................................................................................... 25

2026 Fix Our Roads Measure Expenditure Plan
ii
Compliance with the California Environmental Quality Act ................................................................ 26 Citizen Oversight Committee ........................................................................................................................... 26 Independent Financial Audits .......................................................................................................................... 26 Bonding .................................................................................................................................................................... 26 Expenditure Plan Renewal ................................................................................................................................ 26 Impact ...................................................................................................................................................................... 27 APPENDIX A .................................................................................................................................... 28 Fix Our Roads Fresno County Transportation Improvement Measure Implementing Procedures ............................................................................................................................................................... 28

List of Figures and Tables
Figure S1 – Fix Our Roads Measure Funding Allocations by Program and Subprogram ........ 1xx Figure 1 – Fix Our Roads Measure Funding Allocations by Program and Subprogram .............. 6 Figure 2 – Fix Our Roads Measure - Tier 1 and 2 Urban Projects Map .............................................. 17 Figure 3 – Fix Our Roads Measure - Tier 1 and 2 Rural Projects Map ................................................ 18

Table S1 – Fix Our Roads Measure Expenditure Plan - Allocation of Funding by Program and Subprogram ............................................................................................................................................................ 2 Table 1 – Fix Our Roads Measure Expenditure Plan - Allocation of Funding by Program and Subprogram ............................................................................................................................................................ 8 Table 2 – Fix Our Roads Measure Expenditure Plan Local Agency Formula Allocation ............. 9 Table 3 – Fix Our Roads Measure Major Streets and Highways - Improve Safety/Reduce Congestion
Subprogram Estimated Revenues ............................................................................................................... 13 Table 4 – Major Streets and Highways - Improve Safety/Reduce Congestion Subprogram 1.3:

Fix Our Roads Measure - Urban Tier 1 Project List ................................................................................ 15 Table 5 - Major Streets and Highways - Improve Safety/Reduce Congestion Subprogram 1.3:

Fix Our Roads Measure - Rural Tier 1 Project List .................................................................................. 16 Table 6 - Major Streets and Highways - Improve Safety/Reduce Congestion Subprogram 1.3:

Fix Our Roads Measure - Urban Tier 2 Project List ............................................................................... 19 Table 7 - Major Streets and Highways - Improve Safety/Reduce Congestion Subprogram 1.3:

Fix Our Roads Measure - Rural Tier 2 Project List ................................................................................ 20

2026 Fix Our Roads Measure Expenditure Plan
1 SUMMARY
Fix Our Roads Measure Overview
Measure C has served as Fresno County’s enduring legacy of transportaon improvement since its incepon in 1986, represenng 40 years of commitment to fullling the promises made to voters to enhance transportaon infrastructure across the region. With its expiraon on July 1, 2027, the “Fixur Roads Fresno County Transportaon Improvement Measure” (hereinaOer, “Fixur Roads Measure”) aims to connue this vital legacy by focusing on Fresno County voters’ highest priories:
ü Fix Exisng Roads
ü Reduce Congeson
ü Provide good-paying jobs
ü Keep transit fares aordable
ü Improve vehicle, bicycle, and pedestrian safety
ü Eliminate BoZlenecks
ü Improve farm to market and goods movement
ü Improve air quality
This Expenditure Plan will allocate approximately$3.90 billionin transportaon funding by extending Fresno County’s half-cent transportaon sales tax for the next two decades. The potenal to secure matching funds could signicantly increase this funding by up to $3.5 billion, resulng in a remarkable total investment in transportaon exceeding$8 billion. Importantly, the passage of this Measurewill not result in an increase in the current sales tax ratefor any cies or the County, as it will coincide with the expiraon of Measure C.

The Fix Our Roads Measure Program
Figure S1 and Table S1 provide an overview of the proposed Fixur Roads Measure Expenditure Plan funding allocaons. This plan will provide signicant funding for two programs:
ü PROGRAM 1 – Fix Local Roads Program (82%) $3.20 Billion ü PROGRAM 2 – Transit Reimagined (18%) $702 Million
Figure S1
Fix Our Roads Measure Funding Alloca;ons by Program and Subprogram Total Fix Our Roads
Measure Funding:
$ 3,900,918,441

2026 Fix Our Roads Measure Expenditure Plan
2 Table S1
Fix Our Roads Measure Expenditure Plan –
Alloca;on of Funding by Program and Subprogram *1
Program 1: Fix Local Roads Program $3.20 Billion, or 82% The Fix Local Roads Program is intended to meet each of the sixteen local agencies’ transportaon priority needs and to provide funding to enhance safety and address current and future congeson along major streets and highways throughout the county.
ü Subprogram 1.1 – Repair Roads provides funding to the cies and the County for street maintenance and repair projects to address the poor condion of our streets and roads. ü Subprogram 1.2 - Improve Local Transporta;on , provides funding to the cies and the County for any transportaon-related purpose, including:
ü Addional street and road repair projects.
ü Sidewalks.
ü BeZer access for people with disabilies.
ü Bike, pedestrian, and trails system projects.
ü Public transit services.
ü Congeson relief projects.
ü Safety improvement projects.

Subprogram Allocation % of Total
1 3,198,753,121 $ 82%

1.1 Road Repair 1,950,459,220 $ 50%

1.2 Improve Local Transportation 624,146,951 $ 16%
2 702,165,319 $ 18%
Total - Transit Services 698,165,319 $ 17.90%
Fresno Area Express 488,715,724 $ 12.53%
Clovis Transit 69,816,532 $ 1.79%
FCRTA 139,633,064 $ 3.58%
Reimagined Transit Studies4,000,000 $ 0.10%
3,900,918,441 $ 100%
MC 3 - FOR - 20 Year Measure Allocations Table 1S and 1 021426 GV06 Transit Reimagined

1.3 Major Streets and Highways/Reduce
Congestion *2
*2 This Subprogram is expected to be matched with at least $1.64 Billion in other Federal, State, and local funds (reference Table 3). *1 Administration/Planning (1% or $39,403,217) will be taken off the top by FCTA from Fix Our Roads Measure proceeds distributed to FCTA from the State ($3,940,321,658). Results in a total 20-Year allocation to Fix Our Roads Measure Programs of $3,900,918,441.

Program
624,146,951 $ 16%
Total Measure Allocation:

Fix Local Roads

2026 Fix Our Roads Measure Expenditure Plan
3 ü Subprogram 1.3 – Major Streets and Roads – Improve Safety/Reduce Conges;on Program provides funding for future enhancements to the highway system and major local streets and roads to ensure that our transportaon infrastructure not only meets current demands but also ancipates evolving community needs and promotes safer, more ecient travel for all users. Further, this Subprogram of projects has the highest likelihood of obtaining matching funds. It is ancipated that this program could leverage up to $3.5 billion in addional State and Federal funding. For a list of projects, reference Tables 4 through 7 in the Expenditure Plan.

Program 2: Transit Reimagined Program $702 Million or 18% This Program funding will maintain the current level of transit services throughout the County and support studies aimed at "Reimagining Transit" in both the Fresno-Clovis Metropolitan Area (FCMA) and the County's rural areas.

This is an eort to make transit more accessible and eecve while reducing ineciencies and lowering costs. Two studies will be required: one to evaluate consolidaon of transit services, and the other to evaluate new models of providing improved transit services at lower cost.

Governance
The Fresno County Transportaon Authority (FCTA) Structure, as established by Measure C Enabling Legislaon (PUC 142000), will remain in place u nder the Fixur Roads Measure Program. This governing structure has provided nearly 40 years ofPromises Made, Promises Keptthrough transparency and accountability.

In addion to its regular administrave and accountability role, administraon and oversight will be provided to:
ü Administer and conduct specied acvies idened in the two (2) programs described above,including increased oversight, compliance with program requirements, and performance monitoring. ü Perform and reviewaudits of agencies that receive Measurefunds as well as Authority acvies. ü Implement a robust Program Management Program tomonitor progress, control costs, increase accountability, and measure performance towards iden;fied goals.

Administraon funds are limited to 1% of the overall Fixur Roads Measure Program.

The Measure C Cizenversight CommiZee (CC) will remain in place to help ensure the transparency and accountability of the Fixur Roads Measure Program.

The “Fixur Roads Fresno County Transportaon Improvement Measure” rdinance is included as Appendix A.

Impact
The Fixur Roads Measure will :
ü Improve, enhance, and maintain all elements of Fresno County's transportaon system. ü Provide good-paying long-term jobs for residents of the county and its cies. ü Encourage local hiring preferences in project contracts. ü Smulate the local economy.

2026 Fix Our Roads Measure Expenditure Plan
4 Acknowledgements
The Fixur Roads Steering CommiZee is composed of the following members:

Tony Boren served as the Execuve Director of the Fresno Council of Governments (Fresno CG) from 2008 to 2023 and assisted with the 2022 Measure C Renewal process. Prior to that, he served as Deputy Director at Fresno CG from 2004 to 2008 and assisted in developing the current 2006 Measure C program. Fresno CG is the Regional Transportaon Planning Agency for Fresno County, responsible for coordinang transportaon services and infrastructure development. Tony is currently rered.

Malcolm Dougherty, PE, formerly held the posion of Director of Caltrans statewide from 2011 to 2018, and he also directed Caltrans District 6 for the Central Region during a prior term from 2006 to 2009. Currently, he is a Sr . Vice President in the consulng industry and has held leadership posions in California and naonally for mulplerms.

Diana Gomez, PE, has held notable leadership posions in the transportaon sector, serving as the Director of Caltrans District 6 from 2020 to 2024. Prior to this role, she was the Central Valley Regional Director for the California High-Speed Rail Authority from 2012 to 2020. Currently, Diana serves as the Senior Project Director and Vice President at HNTB Corporaon, where she focuses on transportaon soluons, a posion she has held since 2025.

Michael Leonardo, PE, is the former Execuve Director for the Fresno County Transportaon Authority (FCTA) (2017 - 2024), who led preparaon of the 2022 Measure C Renewal eort, former consultant with the California High-Speed Rail Authority (2012 - 2017), former Caltrans District 6/Central Region Director (2001 - 2005), former Caltrans Chief Engineer (Statewide) (2004), and former Public Works Director for the City of Clovis (2006 - 2012). Mike is rered.

Henry Perea is a notablegure in local governance, having served on the Fresno County Board of Supervisors and as a member of the Fresno City Council. Addionally, he was a member of the Fresno County Board of Educaon and is currently a member of the California High-Speed Rail Authority, contribung to the development of the state's transportaon infrastructure.

Georgiena Vivian is President of VRPA Technologies, Inc., arm specializing in transportaon planning and civil and trac engineering (1988 to present). She assisted with the 2022 Measure C Renewal eort and preparaon of the 2006 (current) Measure C Expenditure Plan as the lead consultant. Prior to VRPA, she was a Planning Project Coordinator with Fresno CG from 1978 to 1988, where she assisted with the preparaon of the original 1986 Measure C program.

Alex Tavlian, Esq. is the principal of ParkWest Associates, a Fresno-based public aairs and strategyrm, and a specialist in ballot measure development.ver the course of 12 years, he has successfully helped elect local leaders across the Central Valley and secure billions of dollars in funding for local agencies through ballot measures, including the 2024 renewal of Measure T , Madera County's transportaon funding iniave.

2026 Fix Our Roads Measure Expenditure Plan
5 INTRODUCTION AND PURPOSE
Building on the success of the previous two Measure C programs, this Fixur Roads Measure program will follow Measure C’s guiding principle of “ Promises Made, Promises Kept .” Measure C has been Fresno County’s transportaon improvement legacy since 1986, 40 years of keeping the promises made to voters to improve transportaon throughout Fresno County. Measure C will expire July 1, 2027.

This iniave, although no longer designated “Measure C,” intends to carry on that legacy.

This “Fixur Roads Fresno County Transportaon Improvement Measure” (hereinaOer “Fixur Roads Measure”) will focus on Fresno County voters’ highest priories:
ü Fix Exisng Roads.
ü Reduce Congeson.
ü Eliminate BoZlenecks.
ü Improve vehicle, bicycle, and pedestrian safety, including safe routes to schools. ü Provide good-paying jobs.
ü Improve farm to market and other goods movement within the county, the state, and the naon. ü Keep transit fares aordable for students, people with disabilies, and seniors. ü Maintain transit services for those who depend upon them. ü Improve air quality and meet climate goals without sacricing mobility.

This plan will direct the use of approximately$3.90 billionin transportaon funding that will be generated through a connuaon of Fresno County’s half-cent transportaon sales tax for the next 20 years in the November 2026 elecon. Further, the ability to secure matching funds could increase this funding by up to $3.5 billion, resulng in total transportaon investment exceeding $8.5 billion over the 20 years. Passage of the Measure will not increase the current sales tax rate in any of the cies or the County, as it will coincide with the expiraon of Measure C.

A duraon of 20 years is proposed for a number of reasons.

1. The prior two successful Measure C Programs have had a 20-year duraon; Fresno County votes tend to support 20-yearmeframes.

2. Future transportaon needs can be beZer predicted on a 20-year basis than on a longer duraon.

3. Signicantly smaller burden on taxpayers; it is esmated that a 30-year measure would cost taxpayers $7.3 billion, while a 20-year measure would only be $3.9 billion and sll generate the same annual amount available tox roads and improve transportaon.

4.pportunies exist for a subsequent renewal in 20 years if necessary.

5. A 20-year duraon allows for moremely evaluaon of progress towards stated goals, which provides an opportunity to adjust any future Measures.

OVERVIEW
The Fix Our Roads Measure Program
Figure 1 provides an overview of the proposed Fixur Roads Measure Expenditure Plan funding allocaons. As shown in Figure 1, this plan will provide signicant funding for two programs:Fix Local Roads and Transit Reimagined.The programs are described below.

2026 Fix Our Roads Measure Expenditure Plan
6 Figure 1
Fix Our Roads Measure Funding Alloca;ons by Program and Subprogram ü PROGRAM 1 – Fix Local Roads Program (82%) $3.20 Billion 82% of Fixur Roads Measure funds will be dedicated to repairing streets and roads throughout the County. The funds will also improve local transportaon in allOeen local cies and the rural unincorporated areas of Fresno County. The funds will be available to these same jurisdicons to improve street and road safety and operaons, sustain transit, and provide bicycle and pedestrian mobility improvements, especially those that address Safe Routes to Schools and Americans with Disabilies Act (ADA) needs. In addion, funds under this Program will support the implementaon of projects in the Urban (Clovis and Fresno Spheres of Inuence) and Rural (remaining County and rural incorporated cies) areas. Such projects will be located along major local corridors and highways to reduce congeson, eliminate boZlenecks, improve safety, and enhance connecons within the urban area and between the cies and rural communies throughout the County.
ü PROGRAM 2 – Transit Reimagined (18%) $702 Million
Funding from the Fixur Roads Measure would be allocated to local transit agencies, including the Fresno Area Express (FAX), Clovis Transit, and the Fresno County Rural Transit Agency (FCRTA). This funding will maintain the current level of transit services throughout the County and support studies and changes aimed at "Reimagining Transit" in both the Fresno-Clovis Metropolitan Area (FCMA) and the County's rural areas. These studies are expected to be completed within approximately two years aOer the Fixur Roads Measure takes eect, or by December 31, 2029.nce the studies arenished, the results will be evaluated, and the Transit Program will be reassessed to determine how to allocate the remaining funding

1.1 - Road Repair Subprogram
$1,950, 459,220 (50%)

1.2 Improve Local
Transporation Subprogram
$624, 146,951 (16%)

1.3 Major Streets &
Highways/Reduce
Congestion
Subprogram
$624,146,951
(16%)

2. Transit Reimagined
Program
$702,165,319 (18%)

1. Fix Local Roads Program
(Subprograms: 1.1 Road
Repair, 1.2 Improve Local
Transportation, & 1.3 Major
Streets & Highways/Reduce
Congestion)
Total of $3,198,753,121
(82%)
Total Fix Our Roads Measure
Funding:
$ 3,900,918,441

2026 Fix Our Roads Measure Expenditure Plan
7 for transit services within the County. This Program also requires the preparaon and implementaon of a Transit Agency Consolidaon Study. Experts have indicated that Transit Consolidaon would likely result in overall savings of 7-10% across all transit funding types, not just the Fixur Roads Measure poron of transit funding.

EXPECTED FIX OUR ROADS MEASURE PROCEEDS
The Fixur Roads Measure will authorize the Fresno County Transportaon Authority (Authority or FCTA) to collect a ½-cent retail transacon and use tax for 20 years (between July 1, 2027, and June 30, 2047). This is not a new or added tax, but simply a connuaon of the current tax for transportaon purposes. Projecons indicate this connuaon will provide approximately $3.90 billion in new revenue for transportaon improvements through 2047 (see Table 1). Where possible, this $3.90 billion will be ulized to obtain matching funds from State, Federal, or other sources, thereby providing a signicant compounding eect.

COUNTY-WIDE PRIORITIES
The Fixur Roads Measure recognizes that providing funds for all modes of transportaon will help improve the quality-of-life needs of all Fresno County residents, thus enabling each of the sixteen local agencies to address the specic transportaon needs of their residents, businesses, and major industries over the 20-year life of the Fix ur Roads Measure.

This Expenditure Plan will allow theOeen cies and Fresno County to maintain and improve neighborhood and community streets and roads; improve major local roads and highways; maintain public transit funding; and support other transportaon programs that improve travel and air quality while meeng climate goals without sacricing mobility.

The Fixur Roads Measure Expenditure Plan program allocaons are detailed in Table 1. Implemenng Procedures for each of the Fixur Roads Measure programs are aZached as Appendix B. Details regarding each of the two Programs are also provided below. Finally, the requirements for administering the Fixur Roads Measure are provided in the Enabling Legislaon (PUC Code 142000).

PROGRAM DETAIL
Program 1: Fix Local Roads Program $3.20 billion, or 82% The Fix Local Roads Program is intended to meet each of the sixteen local agencies’ transportaon priority needs (Subprograms 1.1 - Repair Roads, and Subprogram 1.2 - Local Transportaon Improvements). This Program also allocates Measure funding to enhance safety and address current and future congeson along major streets and highways throughout the county (Subprogram 1.3 – Major Streets and Highways - Improve Safety/Reduce Congeson).

2026 Fix Our Roads Measure Expenditure Plan
8 Table 1
Fix Our Roads Measure Expenditure Plan Update - Alloca;on of Funding by Program and Subprogram*1 Subprogram Allocation% of Total
13,198,753,121 $ 82%

1.1 Road Repair1,950,459,220 $ 50%

1.2 Improve Local Transportation 624,146,951 $16%
2702,165,319 $ 18%
Total - Transit Services 698,165,319 $ 17.90%
Fresno Area Express 488,715,724 $ 12.53%
Clovis Transit 69,816,532 $ 1.79%
FCRTA 139,633,064 $ 3.58%
Reimagined Transit Studies4,000,000 $ 0.10%
3,900,918,441 $ 100%
MC 3 - FOR - 20 Year Measure Allocations Table 1S and 1 021426 GV06 Transit Reimagined

1.3 Major Streets and Highways/Reduce
Congestion*2
*2This Subprogram is expected to be matched with at least $1.64 Billion in other Federal, State, and local funds (reference Table 3). *1Administration/Planning (1% or $39,403,217) will be taken off the top by FCTA from Fix Our Roads Measure proceeds distributed to FCTA from the State ($3,940,321,658). Results in a total 20-Year allocation to Fix Our Roads Measure Programs of $3,900,918,441.

Program
624,146,951 $ 16%
Total Measure Allocation:

Fix Local Roads

2026 Fix Our Roads Measure Expenditure Plan
9 Table 2 provides the amount of Fixur Roads Measure funding each local agency is expected to receive over the 20 years from Subprogram 1.1 (Repair Roads) and Subprogram 1.2 (Improve Local Transportaon). The formula starts with a minimum annual allocaon of $425,000 to each agency. The remaining allocaon is based on each local agency's current populaon and road miles. Also included in Table 2 is an esmate of the total Measure C funding each local agency will receive under the current (2006) Measure C Local Transportaon Program.

Table 2
Fix Our Roads Measure Expenditure Plan Local Agency Formula Alloca;on Somefigures may not add to the total due to rounding.

The following Subprograms would be implemented under this Program:
ü Subprogram 1.1 -Repair Roads provides $1.95 billion (or 50% of overall Fixur Roads Measure funds) to the sixteen agencies. The purpose of this Subprogram is to bring the road systems within all Oeen of the incorporated cies and the rural unincorporated areas of Fresno County, including arterials, collectors, and neighborhood streets, to an average Pavement Condion Index (PCI) of 75, which is within the “Good” category as measured by engineers through a Pavement Management System (PMS). A PMS is dened as a set of procedures for collecng, analyzing, maintaining, and reporng pavement data, used to assist decision makers innding opmal strategies for maintaining pavements in serviceable condion over a given period ofme at the least cost.

2026 Fix Our Roads Measure Expenditure Plan
10 Improvements that theOeen cies and Fresno County will make to address the goal include:
• Fixing potholes with long-lasng repairs.
• Repaving streets.
• Keeping good roads in good condion through the strategic applicaon of preventave maintenance strategies.
• Ensuring that all neighborhoods, including those in disadvantaged areas, see improvements to their local roads.
• Measuring and monitoring progress towards the 75 PCI goal. • Ensure appropriate resources are ulized in areas of very low income. • Providing “Complete Streets” improvements where feasible and aordable. • Idenfying and implemenng matching fund opportunies.

Every agency that receives Fix Local Roads Program funding must allocate an appropriate percentage of its Repair Roads Subprogram to road repairs within disadvantaged areas of its jurisdicon.

Ulizaon of the PMS is a reimbursable expense under this program. ü Subprogram 1.2-Improve Local TransportaEon provides $624 million (or 16% of Fixur Roads Measure funds) and includes three categories of improvements. This funding would provide local agencies with revenue to address their most pressing transportaon needs that are unfunded or underfunded. Subprogram 1.2 funds are not split by category; instead, each local agency will determine, on an annual basis, how much of the Subprogram 1.2 funds will be allocated to each category, allowing each agency to address its highest priories in any given year .

These funds can also be used to supplement Subprogram 1.1 Repair Roads if those funds are insucient.

The categories are described below with addional detailed requirements outlined in the Implementaon Procedures (reference Appendix B).
• Category 1.2.1 -- Improve Local Streets & Roads --Improve local roads through projects or programs that increase safety, improve operations, and enhance mobility. • Category 1.2.2 -- Public Transit --Public Transit is fully funded through the Transit Reimaged Program.

However, an agency may use subprogram 1.2 funding to cover temporary funding shortfalls or to assist in implementing transit service alternatives identified through the Transit Reimagined study. • Category 1.2.3 -- Bike & Pedestrian –The current Measure C required that each local agency develop and maintain an Active Transportation Plan (ATP) for their jurisdiction. The Fixur Roads Measure will require regular updates of these ATPs. Funds from this Category can be used to improve bike & pedestrian mobility and safety, with a special emphasis on Safe Routes to Schools and Americans with Disabilities Act (ADA) improvements.

These funds would be used for a variety of purposes, including:
• Addional Street and Road repairs.
• Repair or installaon of addional sidewalks to create safe routes to school and increase accessibility for people with disabilies.
• Supplement Acve Transportaon (bike, pedestrian, and trails systems) projects. • Maintain and improve public transit services and eciencies.