Colton City Council
February 17, 2026

3 (BB&K: 06/2024)
23152.06000\32391457.2
SIGNATURE PAGE FOR AMENDMENT NO. 3 TO

PROFESSIONAL SERVICES AGREEMENT

BETWEEN THE CITY OF COLTON
AND PBLA ENGINEERING, INC.

IN WITNESS WHEREOF, the Parties have entered into this Amendment No. 3 to the Professional Services Agreement as of the day and year first above written.

CITY OF COLTON

By: _________________________
William R. Smith
City Manager

Attest: _________________________
Isaac T. Suchil
City Clerk

PBLA ENGINEERING, INC

A CALIFORNIA CORPORATION

By: _________________________
Steven Busby
Principal In-Charge

_________________________
Name (Print)

SDSD
PBLA
PLAB

Item: 5.

Staff Report

Meeting Date: February 17, 2026
To: City Council
From: Bill Smith, City Manager
Prepared By: Chad Blais, PW & Utility Services Director Item Name: Contract Award - Preferred General Services - Approve Award of Contract to Preferred General Services as the Lowest Responsive and Responsible Bidder for the Police Department Restroom Remodel Project in the Amount of $83,318.91.

Recommended Action:

Staff recommend that the City Council authorize the award of contract to Preferred General Services as the lowest responsive and responsible bidder for the Police Department Restroom Remodel Project in the amount of $83,318.91 and authorize the City Manager to execute the contract agreement.

Background:

Police Department Restroom Remodel Project is located in the police department facility at the City Hall building. The scope of the project includes removing wall and floor tiles (4’ high on walls, 8’ high on shower walls), fixtures, partitions, counters, shelves, and accessories attached to the walls. The contractor is responsible for patching, repairing or replacing drywall and skim coating walls and ceiling as needed. Work will also include framing, drywall installation, painting interior walls, and installation of new floor and wall tiles, toilets, sinks, vanities, partitions, fixtures, and lighting. The detailed scope of the project is shown on the attached project plans.

Issues/Analysis:

In accordance with Colton Municipal Code (CMC) Section 3.08.090, a request for Notice Inviting Formal Bids was published in The Press Enterprise on December 5, 2025, and December 12, 2025. Bids were opened on January 22, 2026, and staff received the following bids:

1. Preferred General Services $ 83,318.91

2. KNC Construction, Inc. $ 87,000.00

3. R Dependable Construction, Inc. $100,000.00

4. MLC Constructors, Inc. $130,994.00

5. Leonida Builders Inc. $146,600.00

6. Ambit Construction and Design Inc. $242,138.00

Staff reviewed and evaluated submitted bids and Preferred General Services is the apparent low bidder. Preferred General Services completed similar projects in the cities of San Bernardino, Colton, Hesperia and Yucaipa. Staff recommend awarding the attached construction contract for the Police Department Restroom Remodel Project to Preferred General Services as the lowest responsive and responsible bidder in the amount of $83,318.91.

Fiscal Impacts:

Sufficient appropriations for Police Department Restroom Remodel Project, including a 5% contingency, are available in Building Maintenance Fund Capital Outlay Building account no. 605-6150-6211-4950-0000-000.

Alternatives:

1. Provide alternative direction to staff.

Attachments:

1. Plan - PD Restroom Remodel

2. Construction Contract - PD Restroom Remodel

CONTRACT
1 CITY OF COLTON

CONSTRUCTION CONTRACT

POLICE DEPARTMENT RESTROOM REMODEL PROJECT

1. PARTIES AND DATE.

This Contract is made and entered into this 18th day of January 2026 by and between the City of Colton, a municipal corporation organized under the laws of the State of California with its principal place of business at 650 North La Cadena Drive, Colton, California 92324, County of San Bernardino, State of California (“City”) and Preferred General Services, a sole proprietorship with its principal place of business at 19622 Shoshonee Rd., Apple Valley, CA 92307 (“Contractor”). City and Contractor are sometimes individually referred to as “Party” and collectively as “Parties” in this Contract.

2. RECITALS.

2.1 City. City is a public agency organized under the laws of the State of California, with power to contract for services necessary to achieve its purpose.

2.2 Contractor. Contractor desires to perform and assume responsibility for the provision of certain construction services required by the City on the terms and conditions set forth in this Contract.

Contractor represents that it is duly licensed and experienced in providing installation of sinks, faucets, vanities, tiling, painting, framing and drywall related construction services to public clients, that it and its employees or subcontractors have all necessary licenses and permits to perform the services in the State of California, and that it is familiar with the plans of City. The following license classifications are required for this Project: Class B

2.3 Project. City desires to engage Contractor to render such services for the Police Department Restroom Remodel (“Project”) as set forth in this Contract.

2.4 Project Documents & Certifications. Contractor has obtained, and delivers concurrently herewith, performance bond, payment bond, insurance documents and other certifications as required by the Contract.

3. TERMS

3.1 Incorporation of Documents. This Contract includes and hereby incorporates in full by reference the following documents, including all exhibits, drawings, specifications and documents therein, and attachments and addenda thereto:
• Services/Schedule (Exhibit “A”)
• Plans and Specifications (Exhibit “B”)
• Special Conditions (Exhibit “C”)
• Contractor’s Certificate Regarding Workers’ Compensation (Exhibit “D”) • Public Works Contractor Registration Certification (Exhibit “E”) • Payment and Performance Bonds (Exhibit “F”)
• Federal Requirements (Exhibit “G”)
• Addenda
• Change Orders executed by the City

CONTRACT
2 • 2024 Edition of the Standard Specifications for Public Works Construction (The Greenbook), Excluding Sections 1-9
• Notice Inviting Bids, if any
• Instructions to Bidders, if any
• Contractor’s Bid

3.1.1 Precedence. To the extent there is a conflict between any portions of this Contract, the order of precedence shall be as follows: change orders, special conditions, technical specifications, plans/construction drawings, general contract terms, scope of work, standard plans, advertisements for bid/proposals, bids/proposals or other documents submitted by Contractor.

3.2 Contractor’s Basic Obligation; Scope of Work. Contractor promises and agrees, at its own cost and expense, to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately complete the Project, including all structures and facilities necessary for the Project or described in the Contract (hereinafter sometimes referred to as the “Work”), for a Total Contract Price as specified pursuant to this Contract. All Work shall be subject to, and performed in accordance with the above referenced documents, as well as the exhibits attached hereto and incorporated herein by reference. The plans and specifications for the Work are further described in Exhibit “B” attached hereto and incorporated herein by this reference. Special Conditions, if any, relating to the Work are described in Exhibit “C” attached hereto and incorporated herein by this reference.

3.2.1 Change in Scope of Work. Any change in the scope of the Work, method of performance, nature of materials or price thereof, or any other matter materially affecting the performance or nature of the Work shall not be paid for or accepted unless such change, addition or deletion is approved in advance and in writing by a valid change order executed by the City.

3.2.1.1 Change Orders. Changes to the Contract Time (as defined in Section

3.3) or Total Contract Price shall be in the form of a written Change Order, either signed by both parties or issued unilaterally by the City. No adjustment shall be made to the Contract Time unless the delay impacts the critical path to completion and the delay was not caused in whole or in part by the Contractor.

Failure to timely request a Change Order shall constitute a waiver of any right to adjust the Contract Time or the Total Contract Price. All requests for Change Orders shall be accompanied by detailed supporting documentation, including but not limited to payroll records, invoices, schedules, and any other documentation requested by the City for the purpose of determining the additional costs or the impact of any delay. If the change involves Work bid at a unit price, then the Total Contract Price shall be increased at the unit price. If there is no unit price, then the Total Contract Price shall be adjusted to account for costs actually incurred plus an allowed mark-up of fifteen percent (15%), which shall constitute the entire amount of profit, mark-ups, field or home office overhead costs, including personnel, equipment or office space, any materials, or any costs of equipment idle time for such work. Nothing herein shall prevent the Parties from agreeing to a lump sum cost.
(A) Changes Ordered By City. City may at any time issue a written directive ordering additions, deletions, or changes to the Work. Contractor shall proceed with the work in accordance with the directive. To the extent the directive results in extra work or requires additional Contract Time, Contractor shall request a Change Order within seven (7) days of receiving the Work Directive. If any costs are not capable of being determined within seven (7) days, then Contractor shall request a Change Order within seven (7) days of when the costs are capable of being determined.
(B) Changes Requested By Contractor. With respect to any matter that may involve or require an adjustment to the Contract Time or the Contract Price, Contractor shall provide written notice of the underlying facts and circumstances that gave

CONTRACT
3 rise to the potential change within seven (7) days or prior to the alteration of conditions, whichever is earlier. Failure to give notice shall constitute a waiver of Contractor’s right to a change order. If any costs are not capable of being determined within seven (7) days, then Contractor shall request a Change Order within seven (7) days of when the costs are capable of being determined.

3.2.2 Substitutions/”Or Equal”. Pursuant to Public Contract Code Section 3400(b), the City may make a finding that designates certain products, things, or services by specific brand or trade name. Unless specifically designated in this Contract, whenever any material, process, or article is indicated or specified by grade, patent, or proprietary name or by name of manufacturer, such Specifications shall be deemed to be used for the purpose of facilitating the description of the material, process or article desired and shall be deemed to be followed by the words “or equal.” Contractor may, unless otherwise stated, offer for substitution any material, process or article which shall be substantially equal or better in every respect to that so indicated or specified in this Contract. However, the City may have adopted certain uniform standards for certain materials, processes and articles. Contractor shall submit requests, together with substantiating data, for substitution of any “or equal” material, process or article no later than thirty-five (35) days after award of the Contract. To facilitate the construction schedule and sequencing, some requests may need to be submitted before thirty-five (35) days after award of Contract. Provisions regarding submission of “or equal” requests shall not in any way authorize an extension of time for performance of this Contract. If a proposed “or equal” substitution request is rejected, Contractor shall be responsible for providing the specified material, process or article. The burden of proof as to the equality of any material, process or article shall rest with Contractor.

The City has the complete and sole discretion to determine if a material, process or article is an “or equal” material, process or article that may be substituted. Data required to substantiate requests for substitutions of an “or equal” material, process or article data shall include a signed affidavit from Contractor stating that, and describing how, the substituted “or equal” material, process or article is equivalent to that specified in every way except as listed on the affidavit. Substantiating data shall include any and all illustrations, specifications, and other relevant data including catalog information which describes the requested substituted “or equal” material, process or article, and substantiates that it is an “or equal” to the material, process or article. The substantiating data must also include information regarding the durability and lifecycle cost of the requested substituted “or equal” material, process or article. Failure to submit all the required substantiating data, including the signed affidavit, to the City in a timely fashion will result in the rejection of the proposed substitution.

Contractor shall bear all of the City’s costs associated with the review of substitution requests. Contractor shall be responsible for all costs related to a substituted “or equal” material, process or article. Contractor is directed to the Special Conditions (if any) to review any findings made pursuant to Public Contract Code section 3400.

3.3 Period of Performance and Liquidated Damages. Contractor shall perform and complete all Work under this Contract within 40 working days, beginning the effective date of the Notice to Proceed (“Contract Time”). Contractor shall perform its Work in strict accordance with any completion schedule, construction schedule or project milestones developed by the City. Such schedules or milestones may be included as part of Exhibits “A” or “B” attached hereto, or may be provided separately in writing to Contractor. Contractor agrees that if such Work is not completed within the aforementioned Contract Time and/or pursuant to any such completion schedule, construction schedule or project milestones developed pursuant to provisions of the Contract, it is understood, acknowledged and agreed that the City will suffer damage. Pursuant to Government Code Section 53069.85, Contractor shall pay

CONTRACT
4 to the City as fixed and liquidated damages the sum of One-Thousand Dollars ($1,000) per day for each and every calendar day of delay beyond the Contract Time or beyond any completion schedule, construction schedule or Project milestones established pursuant to the Contract.

3.4 Standard of Performance; Performance of Employees. Contractor shall perform all Work under this Contract in a skillful and workmanlike manner, and consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California.

Contractor represents and maintains that it is skilled in the professional calling necessary to perform the Work. Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Work assigned to them. Finally, Contractor represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Work, including a City Business License, and that such licenses and approvals shall be maintained throughout the term of this Contract. As provided for in the indemnification provisions of this Contract, Contractor shall perform, at its own cost and expense and without reimbursement from the City, any work necessary to correct errors or omissions which are caused by Contractor’s failure to comply with the standard of care provided for herein. Any employee who is determined by the City to be uncooperative, incompetent, a threat to the safety of persons or the Work, or any employee who fails or refuses to perform the Work in a manner acceptable to the City, shall be promptly removed from the Project by Contractor and shall not be re-employed on the Work.

3.5 Control and Payment of Subordinates; Contractual Relationship. City retains Contractor on an independent contractor basis and Contractor is not an employee of City. Any additional personnel performing the work governed by this Contract on behalf of Contractor shall at all times be under Contractor’s exclusive direction and control. Contractor shall pay all wages, salaries, and other amounts due such personnel in connection with their performance under this Contract and as required by law.

Contractor shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, and workers’ compensation insurance.

3.6 City’s Basic Obligation. City agrees to engage and does hereby engage Contractor as an independent contractor to furnish all materials and to perform all Work according to the terms and conditions herein contained for the sum set forth above. Except as otherwise provided in the Contract, the City shall pay to Contractor, as full consideration for the satisfactory performance by Contractor of the services and obligations required by this Contract, the below-referenced compensation in accordance with compensation provisions set forth in the Contract.

3.7 Compensation and Payment.

3.7.1 Amount of Compensation. As consideration for performance of the Work required herein, City agrees to pay Contractor the Total Contract Price of Eighty Three Thousand Three Hundred Eighteen and 91/100 Dollars ($83,318.91) (“Total Contract Price”) provided that such amount shall be subject to adjustment pursuant to the applicable terms of this Contract or written change orders approved and signed in advance by the City.

3.7.2 Payment of Compensation. If the Work is scheduled for completion in thirty (30) or less calendar days, City will arrange for payment of the Total Contract Price upon completion and approval by City of the Work. If the Work is scheduled for completion in more than thirty (30) calendar days, City will pay Contractor on a monthly basis as provided for herein. On or before the fifth (5th) day of each month, Contractor shall submit to the City an itemized application for payment in the format supplied by the City indicating the amount of Work completed since commencement of the Work or since the last progress payment. These applications shall be supported by evidence which is required by this Contract and such other documentation as the City may require. The Contractor shall certify that the Work for which payment is requested has been done and that the materials listed are stored where indicated. Contractor may be required to furnish a detailed schedule of values upon request of the City and in such detail and form as the City shall request, showing the quantities, unit prices, overhead, profit,

CONTRACT
5 and all other expenses involved in order to provide a basis for determining the amount of progress payments.

3.7.3 Prompt Payment. City shall review and pay all progress payment requests in accordance with the provisions set forth in Section 20104.50 of the California Public Contract Code.

However, no progress payments will be made for Work not completed in accordance with this Contract.

Contractor shall comply with all applicable laws, rules and regulations relating to the proper payment of its employees, subcontractors, suppliers or others.

3.7.4 Contract Retentions. From each approved progress estimate, five percent (5%) will be deducted and retained by the City, and the remainder will be paid to Contractor. All Contract retention shall be released and paid to Contractor and subcontractors pursuant to California Public Contract Code Section 7107.

3.7.5 Other Retentions. In addition to Contract retentions, the City may deduct from each progress payment an amount necessary to protect City from loss because of: (1) liquidated damages which have accrued as of the date of the application for payment; (2) any sums expended by the City in performing any of Contractor’s obligations under the Contract which Contractor has failed to perform or has performed inadequately; (3) defective Work not remedied; (4) stop notices as allowed by state law; (5) reasonable doubt that the Work can be completed for the unpaid balance of the Total Contract Price or within the scheduled completion date; (6) unsatisfactory prosecution of the Work by Contractor; (7) unauthorized deviations from the Contract; (8) failure of Contractor to maintain or submit on a timely basis proper and sufficient documentation as required by the Contract or by City during the prosecution of the Work; (9) erroneous or false estimates by Contractor of the value of the Work performed; (10) any sums representing expenses, losses, or damages as determined by the City, incurred by the City for which Contractor is liable under the Contract; and (11) any other sums which the City is entitled to recover from Contractor under the terms of the Contract or pursuant to state law, including Section 1727 of the California Labor Code. The failure by the City to deduct any of these sums from a progress payment shall not constitute a waiver of the City’s right to such sums.

3.7.6 Substitutions for Contract Retentions. In accordance with California Public Contract Code Section 22300, the City will permit the substitution of securities for any monies withheld by the City to ensure performance under the Contract. At the request and expense of Contractor, securities equivalent to the amount withheld shall be deposited with the City, or with a state or federally chartered bank in California as the escrow agent, and thereafter the City shall then pay such monies to Contractor as they come due. Upon satisfactory completion of the Contract, the securities shall be returned to Contractor. For purposes of this Section and Section 22300 of the Public Contract Code, the term “satisfactory completion of the contract” shall mean the time the City has issued written final acceptance of the Work and filed a Notice of Completion as required by law and provisions of this Contract. Contractor shall be the beneficial owner of any securities substituted for monies withheld and shall receive any interest thereon. The escrow agreement used for the purposes of this Section shall be in the form provided by the City.

3.7.7 Payment to Subcontractors. Contractor shall pay all subcontractors for and on account of work performed by such subcontractors in accordance with the terms of their respective subcontracts and as provided for in Section 7108.5 of the California Business and Professions Code.

Such payments to subcontractors shall be based on the measurements and estimates made and progress payments provided to Contractor pursuant to this Contract.

3.7.8 Title to Work. As security for partial, progress, or other payments, title to Work for which such payments are made shall pass to the City at the time of payment. To the extent that title has not previously been vested in the City by reason of payments, full title shall pass to the City at delivery of the Work at the destination and time specified in this Contract. Such transferred title shall in each case be good, free and clear from any and all security interests, liens, or other encumbrances. Contractor promises and agrees that it will not pledge, hypothecate, or otherwise encumber the items in any manner

CONTRACT
6 that would result in any lien, security interest, charge, or claim upon or against said items. Such transfer of title shall not imply acceptance by the City, nor relieve Contractor from the responsibility to strictly comply with the Contract, and shall not relieve Contractor of responsibility for any loss of or damage to items.

3.7.9 Labor and Material Releases. Contractor shall furnish City with labor and material releases from all subcontractors performing work on, or furnishing materials for, the Work governed by this Contract prior to final payment by City.

3.8 Labor

3.8.1 Prevailing Wages. Contractor is aware of the requirements of California Labor Code Section 1720 et seq., and 1770 et seq., as well as California Code of Regulations, Title 8, Section 16000 et seq., (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on “public works” and “maintenance” projects. Since the Work is being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and since the total compensation is $1,000 or more, Contractor agrees to fully comply with such Prevailing Wage Laws. City shall provide Contractor with a copy of the prevailing rates of per diem wages in effect at the commencement of this Contract. Contractor shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Work available to interested parties upon request, and shall post copies at Contractor’s principal place of business and at the project site. Contractor shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. Contractor and any subcontractor shall forfeit a penalty of up to $200 per calendar day or portion thereof for each worker paid less than the prevailing wage rates.

3.8.2 Apprenticeable Crafts. When Contractor employs workmen in an apprenticeable craft or trade, Contractor shall comply with the provisions of Section 1777.5 of the California Labor Code with respect to the employment of properly registered apprentices upon public works. The primary responsibility for compliance with said section for all apprenticeable occupations shall be with Contractor. The Contractor or any subcontractor that is determined by the Labor Commissioner to have knowingly violated Section 1777.5 shall forfeit as a civil penalty an amount not exceeding $100 for each full calendar day of noncompliance, or such greater amount as provided by law.

3.8.3 Hours of Work. Contractor is advised that eight (8) hours labor constitutes a legal day’s work. Pursuant to Section 1813 of the California Labor Code, Contractor shall forfeit a penalty of $25.00 per worker for each day that each worker is permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week, except when payment for overtime is made at not less than one and one-half (1-1/2) times the basic rate for that worker.

3.8.4 Payroll Records. Contractor and each subcontractor shall keep an accurate payroll record, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by him or her in connection with the public work. The payroll records shall be certified and shall be available for inspection at all reasonable hours at the principal office of Contractor in the manner provided in Labor Code section 1776. In the event of noncompliance with the requirements of this section, Contractor shall have 10 days in which to comply subsequent to receipt of written notice specifying in what respects such Contractor must comply with this section. Should noncompliance still be evident after such 10-day period, Contractor shall, as a penalty to City, forfeit not more than $100.00 for each calendar day or portion thereof, for each worker, until strict compliance is effectuated. The amount of the forfeiture is to be determined by the Labor Commissioner.

A contractor who is found to have violated the provisions of law regarding wages on Public Works with the intent to defraud shall be ineligible to bid on Public Works contracts for a period of one to three years as determined by the Labor Commissioner. Upon the request of the Division of Apprenticeship Standards or the Division of Labor Standards Enforcement, such penalties shall be withheld from progress payments

CONTRACT
7 then due. The responsibility for compliance with this section is on Contractor. In accordance with Labor Code section 1771.4, the Contractor and each subcontractor shall furnish the certified payroll records directly to the DIR on a weekly basis and in the format prescribed by the DIR, which may include electronic submission. The requirement to submit certified payroll records directly to the Labor Commissioner under Labor Code section 1771.4 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Section 1771.4.

3.8.5 Contractor and Subcontractor Registration. Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be registered with the Department of Industrial Relations.

No bid will be accepted nor any contract entered into without proof of the contractor’s and subcontractors’ current registration with the Department of Industrial Relations to perform public work. Contractor is directed to review, fill out and execute the Public Works Contractor Registration Certification attached hereto as Exhibit “E” prior to contract execution. Notwithstanding the foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1.

3.8.6 Labor Compliance; Stop Orders. This Project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. It shall be the Contractor’s sole responsibility to evaluate and pay the cost of complying with all labor compliance requirements under this Contract and applicable law. Any stop orders issued by the Department of Industrial Relations against Contractor or any subcontractor that affect Contractor’s performance of Work, including any delay, shall be Contractor’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Contractor caused delay subject to any applicable liquidated damages and shall not be compensable by the City. Contractor shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claim or liability arising out of stop orders issued by the Department of Industrial Relations against Contractor or any subcontractor.

3.9 Performance of Work; Jobsite Obligations.

3.9.1 Water Quality Management and Compliance.

3.9.1.1 Water Quality Management and Compliance. Contractor shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance with all local, state and federal laws, rules and regulations that may impact, or be implicated by the performance of the Work including, without limitation, all applicable provisions of the Federal Water Pollution Control Act (33 U.S.C. §§ 1300); the California Porter-Cologne Water Quality Control Act (Cal Water Code §§ 13000-14950); local ordinances regulating discharges of storm water; and any and all regulations, policies, or permits issued pursuant to any such authority regulating the discharge of pollutants, as that term is used in the Porter-Cologne Water Quality Control Act, to any ground or surface water in the State.

3.9.1.2 Compliance with the Statewide Construction General Permit.

Contractor shall comply with all conditions of the most recent iteration of the National Pollutant Discharge Elimination System General Permit for Storm Water Discharges Associated with Construction Activity, issued by the California State Water Resources Control Board (“Permit”). It shall be Contractor’s sole responsibility to file a Notice of Intent and procure coverage under the Permit for all construction activity which results in the disturbance of more than one acre of total land area or which is part of a larger common area of development or sale. Prior to initiating work, Contractor shall be solely responsible for preparing and implementing a Storm Water Pollution Prevention Plan (SWPPP) as required by the Permit. Contractor shall be responsible for procuring, implementing and complying with the provisions of the Permit and the SWPPP, including the standard provisions, and monitoring and reporting requirements as required by the Permit. The Permit requires the SWPPP to be a “living document” that changes as necessary to meet the conditions and requirements of the job site as it progresses through difference phases of construction and is subject to different weather conditions. It shall be Contractor’s

CONTRACT
8 sole responsibility to update the SWPPP as necessary to address conditions at the project site. Without in any way diminishing Contractor's sole responsibility for obtaining coverage under, and complying with, the Permit, the City will use reasonable efforts to assist Contractor in filing the Notice of Intent when the City's participation is required by the Permit.

3.9.1.3 Other Water Quality Rules, Regulations, and Policies. Contractor shall comply with the lawful requirements of the Environmental Protection Agency, the State Water Resources Control Board, the Santa Ana Regional Water Quality Control Board, and the City, as well as any other applicable municipality, drainage district, or local agency regarding discharges of storm water to separate storm drain systems or other watercourses under their jurisdiction, including applicable requirements in municipal storm water management programs.

3.9.1.4 Cost of Compliance. Storm, surface, nuisance, or other waters may be encountered at various times during construction of the Work. Therefore, the Contractor, hereby acknowledges that it has investigated the risk arising from such waters and assumes any and all risks and liabilities arising therefrom.

3.9.1.5 Liability for Non-Compliance. Failure to comply with the Permit is a violation of federal and state law. Pursuant to the indemnification provisions of this Contract, Contractor hereby agrees to defend, indemnify and hold harmless the City and its directors, officials, officers, employees, volunteers and agents for any alleged violations of this Section 3.9.1.5, including the Permit or any of the laws, rules, regulations and policies provided for herein.. In addition, City may seek damages from Contractor for any delay in completing the Work in accordance with the Contract, if such delay is caused by or related to Contractor’s failure to comply with the Permit.

3.9.1.6 Reservation of Right to Defend. City reserves the right to defend any enforcement action brought against the City for Contractor’s failure to comply with the Permit or any other relevant water quality law, regulation, or policy. Pursuant to the indemnification provisions of this Contract, Contractor hereby agrees to be bound by, and to reimburse the City for the costs (including the City’s attorney’s fees) associated with, any settlement reached between the City and the relevant enforcement entity.

3.9.1.7 Training. In addition to the standard of performance requirements set forth in paragraph 3.4, Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to perform the work assigned to them without impacting water quality in violation of the laws, regulations and policies described in paragraph 3.9.1. Contractor further warrants that it, its employees and subcontractors will receive adequate training, as determined by City, regarding the requirements of the laws, regulations and policies described in paragraph 3.9.1 as they may relate to the Work provided under this Contract. Upon request, City will provide the Contractor with a list of training programs that meet the requirements of this paragraph.

3.9.2 Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. Contractor shall comply with the requirements of the specifications relating to safety measures applicable in particular operations or kinds of work. In carrying out its Work, Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the Work and the conditions under which the Work is to be performed. Safety precautions as applicable shall include, but shall not be limited to, adequate life protection and lifesaving equipment; adequate illumination for underground and night operations; instructions in accident prevention for all employees, such as machinery guards, safe walkways, scaffolds, ladders, bridges, gang planks, confined space procedures, trenching and shoring, fall protection and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and adequate facilities for the proper inspection and maintenance of all safety measures. Furthermore, Contractor shall prominently display the names and telephone numbers of at least two medical doctors practicing in the vicinity of the

CONTRACT
9 Project, as well as the telephone number of the local ambulance service, adjacent to all telephones at the Project site.

3.9.3 Laws and Regulations. Contractor shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Contract or the Work, including all Cal/OSHA requirements, and shall give all notices required by law. Contractor shall be liable for all violations of such laws and regulations in connection with the Work. If Contractor observes that the drawings or specifications are at variance with any law, rule or regulation, it shall promptly notify the City in writing. Any necessary changes shall be made by written change order. If Contractor performs any work knowing it to be contrary to such laws, rules and regulations and without giving written notice to the City, Contractor shall be solely responsible for all costs arising therefrom. City is a public entity of the State of California subject to certain provisions of the Health & Safety Code, Government Code, Public Contract Code, and Labor Code of the State. It is stipulated and agreed that all provisions of the law applicable to the public contracts of a municipality are a part of this Contract to the same extent as though set forth herein and will be complied with. Contractor shall defend, indemnify and hold City, its officials, directors, officers, employees and agents free and harmless, pursuant to the indemnification provisions of this Contract, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

3.9.4 Permits and Licenses. Contractor shall be responsible for securing City permits and licenses necessary to perform the Work described herein, including, but not limited to, a City Business License. While Contractor will not be charged a fee for any City permits, Contractor shall pay the City’s applicable business license fee. Any ineligible contractor or subcontractor pursuant to Labor Code Sections 1777.1 and 1777.7 may not perform work on this Project.

3.9.5 Trenching Work. If the Total Contract Price exceeds $25,000 and if the Work governed by this Contract entails excavation of any trench or trenches five (5) feet or more in depth, Contractor shall comply with all applicable provisions of the California Labor Code, including Section 6705. To this end, Contractor shall submit for City’s review and approval a detailed plan showing the design of shoring, bracing, sloping, or other provisions to be made for worker protection from the hazard of caving ground during the excavation of such trench or trenches. If such plan varies from the shoring system standards, the plan shall be prepared by a registered civil or structural engineer.

3.9.6 Hazardous Materials and Differing Conditions. As required by California Public Contract Code Section 7104, if this Contract involves digging trenches or other excavations that extend deeper than four (4) feet below the surface, Contractor shall promptly, and prior to disturbance of any conditions, notify City of: (1) any material discovered in excavation that Contractor believes to be a hazardous waste that is required to be removed to a Class I, Class II or Class III disposal site; (2) subsurface or latent physical conditions at the site differing from those indicated by City; and (3) unknown physical conditions of an unusual nature at the site, significantly different from those ordinarily encountered in such contract work. Upon notification, City shall promptly investigate the conditions to determine whether a change order is appropriate. In the event of a dispute, Contractor shall not be excused from any scheduled completion date and shall proceed with all Work to be performed under the Contract, but shall retain all rights provided by the Contract or by law for making protests and resolving the dispute.

3.9.7 Underground Utility Facilities. To the extent required by Section 4215 of the California Government Code, City shall compensate Contractor for the costs of: (1) locating and repairing damage to underground utility facilities not caused by the failure of Contractor to exercise reasonable care; (2) removing or relocating underground utility facilities not indicated in the construction drawings; and (3) equipment necessarily idled during such work. Contractor shall not be assessed liquidated damages for delay caused by failure of City to provide for removal or relocation of such utility facilities.

3.9.8 Air Quality.

CONTRACT
10 3.9.8.1 Contractor must fully comply with all applicable laws, rules and regulations in furnishing or using equipment and/or providing services, including, but not limited to, emissions limits and permitting requirements imposed by the South Coast Air Quality Management District (SCAQMD) and/or California Air Resources Board (CARB). Although the SCAQMD and CARB limits and requirements are more broad, Contractor shall specifically be aware of their application to "portable equipment", which definition is considered by SCAQMD and CARB to include any item of equipment with a fuel-powered engine. Contractor shall indemnify City against any fines or penalties imposed by SCAQMD, CARB, or any other governmental or regulatory agency for violations of applicable laws, rules and/or regulations by Contractor, its subcontractors, or others for whom Contractor is responsible under its indemnity obligations provided for in this Contract.

3.9.8.2 Contractor shall comply, and ensure all subcontractors comply, with all applicable requirements of Title 13, California Code of Regulations Division 3, Chapter 9 (“Regulation”).

3.9.8.3 Throughout the Project, and for three (3) years thereafter, Contractor shall make available for inspection and copying any and all documents or information associated with Contractor’s and any subcontractors’ fleet including, without limitation, all Certificates of Reported Compliance, fuel/refueling records, maintenance records, emissions records, and any other information the Contractor is required to produce, keep or maintain pursuant to the Regulation upon two (2) calendar days’ notice from the City.

3.9.9 State Recycling Mandates. Contractor shall comply with State Recycling Mandates. Any recyclable materials/debris collected by the contractor that can be feasibly diverted via reuse or recycling must be hauled by the appropriate handler for reuse or recycling.

3.9.10 Inspection Of Site. Contractor has visited sites where Work is to be performed and has become acquainted with all conditions affecting the Work. Contractor warrants that it has made such examinations as it deems necessary to determine the condition of the Work sites, its accessibility to materials, workmen and equipment, and to determine the Contractor’s ability to protect existing surface and subsurface improvements. No claim for allowances–time or money–will be allowed as to such matters.

3.9.11 Field Measurements. Contractor shall make field measurements, verify field conditions and shall carefully compare such field measurements and conditions and other information known to Contractor with the Contract Documents before commencing activities. Errors, inconsistencies or omissions discovered shall be reported to the City immediately and prior to performing any work or altering the condition.

3.10 Completion of Work. When Contractor determines that it has completed the Work required herein, Contractor shall so notify City in writing and shall furnish all labor and material releases required by this Contract. City shall thereupon inspect the Work. If the Work is not acceptable to the City, the City shall indicate to Contractor in writing the specific portions or items of Work which are unsatisfactory or incomplete. Once Contractor determines that it has completed the incomplete or unsatisfactory Work, Contractor may request a re-inspection by the City. Once the Work is acceptable to City, City shall pay to Contractor the Total Contract Price remaining to be paid, less any amount which City may be authorized or directed by law to retain. Payment of retention proceeds due to Contractor shall be made in accordance with Section 7107 of the California Public Contract Code.

3.11 Claims; Government Code Claim Compliance.

3.11.1 Intent. Effective January 1, 1991, Section 20104 et seq., of the California Public Contract Code prescribes a process utilizing informal conferences, non-binding judicial supervised mediation, and judicial arbitration to resolve disputes on construction claims of $375,000 or less. Effective January 1, 2017, Section 9204 of the Public Contract Code prescribes a process for negotiation and mediation to resolve disputes on construction claims. The intent of this Section is to implement Sections

CONTRACT
11 20104 et seq. and Section 9204 of the California Public Contract Code. This Section shall be construed to be consistent with said statutes.

3.11.2 The following requirements apply to all contracts entered into after January 1, 1991, and all claims to which this section applies:

3.11.2.1 Prerequisites. If any dispute shall arise between the City and Contractor regarding performance of the work, or any alleged change in the work, Contractor shall timely perform the disputed work and shall give written notice of a claim for additional compensation for the work to the City within three (3) days after commencement of the disputed work. Contractor’s failure to give written notice within the three (3)-day period constitutes an agreement by Contractor that it will receive no extra compensation for the disputed work and shall constitute a waiver of the right to these procedures.

3.11.2.2 Claim Submittal. For purposes of this section, “Claim” means a separate demand by the Contractor, after a change order duly requested in accordance with the terms of this Contract has been denied by the City, for (A) a time extension, (B) payment of money or damages arising from Work done by or on behalf of the Contractor pursuant to the Contract, or (C) an amount the payment of which is disputed by the City. Claims governed by this section may not be filed unless and until the Contractor completes all procedures for giving notice of delay or change and for the requesting of a time extension or change order, including but not necessarily limited to the change order procedures contained herein, and Contractor’s request for a change has been denied in whole or in part. The claim shall be submitted in writing to the City and shall include on its first page the following in 16 point capital font: “THIS IS A CLAIM.” Claims governed by this procedure must be filed on or before the date of final payment. Nothing in this section is intended to extend the time limit or supersede notice requirements otherwise provided by contract for the filing of claims, including all requirements pertaining to compensation or payment for extra work, disputed work, and/or changed conditions. Failure to follow such contractual requirements shall bar any claims or subsequent lawsuits for compensation or payment thereon.

3.11.2.3 Supporting Documentation: The Contractor shall submit all claims in the following format:
(1) Summary of claim merit and price, reference Contract Document provisions pursuant to which the claim is made
(2) List of documents relating to claim:
(A) Specifications
(B) Drawings
(C) Clarifications (Requests for Information)
(D) Schedules
(E) Other
(3) Chronology of events and correspondence
(4) Analysis of claim merit
(5) Analysis of claim cost
(6) Time impact analysis in CPM format

3.11.2.4 City’s Response. Upon receipt of a claim pursuant to this section, City shall conduct a reasonable review of the claim and, within a period not to exceed 45 days, shall provide the Contractor a written statement identifying what portion of the claim is disputed and what portion is undisputed. Any payment due on an undisputed portion of the claim will be processed and made within 60 days after the public entity issues its written statement.

CONTRACT
12 (1) If the City needs approval from the City Council to provide the Contractor a written statement identifying the disputed portion and the undisputed portion of the claim, and the City Council does not meet within the 45 days or within the mutually agreed to extension of time following receipt of a claim sent by registered mail or certified mail, return receipt requested, the City shall have up to three days following the next duly publicly noticed meeting of the City Council after the 45-day period, or extension, expires to provide the Contractor a written statement identifying the disputed portion and the undisputed portion.
(2) Within 30 days of receipt of a claim, the City may request in writing additional documentation supporting the claim or relating to defenses or claims the City may have against the Contractor. If additional information is thereafter required, it shall be requested and provided pursuant to this subdivision, upon mutual agreement of City and the Contractor.
(3) The City’s written response to the claim, as further documented, shall be submitted to the Contractor within 30 days (if the claim is less than $50,000, within 15 days) after receipt of the further documentation, or within a period of time no greater than that taken by the Contractor in producing the additional information or requested documentation, whichever is greater.

3.11.2.5 Meet and Confer. If the Contractor disputes the City’s written response, or the City fails to respond within the time prescribed, the Contractor may so notify the City, in writing, either within 15 days of receipt of the City’s response or within 15 days of the City’s failure to respond within the time prescribed, respectively, and demand an informal conference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand, the City shall schedule a meet and confer conference within 30 days for settlement of the dispute.

3.11.2.6 Mediation. Within 10 business days following the conclusion of the meet and confer conference, if the claim or any portion of the claim remains in dispute, the City shall provide the Contractor a written statement identifying the portion of the claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the City issues its written statement. Any disputed portion of the claim, as identified by the contractor in writing, shall be submitted to nonbinding mediation, with the City and the Contractor sharing the associated costs equally. The City and Contractor shall mutually agree to a mediator within 10 business days after the disputed portion of the claim has been identified in writing, unless the parties agree to select a mediator at a later time. (1) If the parties cannot agree upon a mediator, each party shall select a mediator and those mediators shall select a qualified neutral third party to mediate with regard to the disputed portion of the claim. Each party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator.
(2) For purposes of this section, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third party or board assists the parties in dispute resolution through negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the timeframes in this section. (3) Unless otherwise agreed to by the City and the contractor in writing, the mediation conducted pursuant to this section shall excuse any further obligation under Section 20104.4 to mediate after litigation has been commenced.

CONTRACT
13 (4) The mediation shall be held no earlier than the date the Contractor completes the Work or the date that the Contractor last performs Work, whichever is earlier. All unresolved claims shall be considered jointly in a single mediation, unless a new unrelated claim arises after mediation is completed.
(5) If following the mediation, the claim or any portion remains in dispute, the Contractor must file a claim pursuant to Chapter 1 (commencing with Section 900) and Chapter 2 (commencing with Section 910) of Part 3 of Division 3.6 of Title 1 of the Government Code. For purposes of those provisions, the running of the period of time within which a claim must be filed shall be tolled from the time the Contractor submits his or her written claim pursuant to subdivision (a) until the time the claim is denied, including any period of time utilized by the meet and confer conference or mediation.

3.11.2.7 Civil Actions. The following procedures are established for all civil actions filed to resolve claims subject to this section:
(1) Within 60 days, but no earlier than 30 days, following the filing or responsive pleadings, the court shall submit the matter to non-binding mediation unless waived by mutual stipulation of both parties or unless mediation was held prior to commencement of the action in accordance with Public Contract Code section 9204 and the terms of these procedures.. The mediation process shall provide for the selection within 15 days by both parties of a disinterested third person as mediator, shall be commenced within 30 days of the submittal, and shall be concluded within 15 days from the commencement of the mediation unless a time requirement is extended upon a good cause showing to the court.
(2) If the matter remains in dispute, the case shall be submitted to judicial arbitration pursuant to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, notwithstanding Section 1114.11 of that code. The Civil Discovery Act of 1986 (Article 3 (commencing with Section 2016) of Chapter 3 of Title 3 of Part 4 of the Code of Civil Procedure) shall apply to any proceeding brought under this subdivision consistent with the rules pertaining to judicial arbitration. (A) In addition to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, (A) arbitrators shall, when possible, be experienced in construction law, and (B) any party appealing an arbitration award who does not obtain a more favorable judgment shall, in addition to payment of costs and fees under that chapter, also pay the attorney’s fees on appeal of the other party.

3.11.2.8 Government Code Claims. In addition to any and all contract requirements pertaining to notices of and requests for compensation or payment for extra work, disputed work, construction claims and/or changed conditions, the Contractor must comply with the claim procedures set forth in Government Code Section 900, et seq. prior to filing any lawsuit against the City.

Such Government Code claims and any subsequent lawsuit based upon the Government Code claims shall be limited to those matters that remain unresolved after all procedures pertaining to extra work, disputed work, construction claims, and/or changed conditions have been followed by Contractor. If no such Government Code claim is submitted, or if the prerequisite contractual requirements are not satisfied, no action against the City may be filed. A Government Code claim must be filed no earlier than the date the work is completed or the date the Contractor last performs work on the Project, whichever

CONTRACT
14 occurs first. A Government Code claim shall be inclusive of all unresolved claims unless a new unrelated claim arises after the Government Code claim is submitted.

3.11.2.9 City’s Responses. The City’s failure to respond to a claim from the Contractor within the time periods described in this section or to otherwise meet the time requirements of this section shall result in the claim being deemed rejected in its entirety. City’s failure to respond shall not waive City’s rights to any subsequent procedures for the resolution of disputed claims.

3.12 Loss and Damage. Except as may otherwise be limited by law, Contractor shall be responsible for all loss and damage which may arise out of the nature of the Work agreed to herein, or from the action of the elements, or from any unforeseen difficulties which may arise or be encountered in the prosecution of the Work until the same is fully completed and accepted by City. In the event of damage proximately caused by an Act of God, as defined by Section 7105 of the Public Contract Code, the City may terminate this Contract pursuant to Section 3.18.3; provided, however, that the City needs to provide Contractor with only one (1) day advanced written notice.

3.13 Indemnification.

3.13.1 Scope of Indemnity. To the fullest extent permitted by law, Contractor shall defend, indemnify and hold the City, its officials, employees, agents and volunteers free and harmless from any and all claims, demands, causes of action, suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements, loss, damage or injury of any kind, in law or equity, regardless of whether the allegations are false, fraudulent, or groundless, to property or persons, including wrongful death, (collectively, “Claims”) in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Contractor, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Contractor’s services, the Project or this Contract, including without limitation the payment of all expert witness fees, attorneys’ fees, and other related costs and expenses. Notwithstanding the foregoing, to the extent required by Civil Code section 2782, Contractor’s indemnity obligation shall not apply to liability for damages for death or bodily injury to persons, injury to property, or any other loss, damage or expense arising from the sole or active negligence or willful misconduct of the City or the City’s agents, servants, or independent contractors who are directly responsible to the City, or for defects in design furnished by those persons.

3.13.2 Additional Indemnity Obligations. Contractor shall defend, with counsel of City’s choosing and at Contractor’s own cost, expense and risk, any and all Claims covered by this section that may be brought or instituted against City or its officials, employees, agents and volunteers. In addition, Contractor shall pay and satisfy any judgment, award or decree that may be rendered against City or its officials, employees, agents and volunteers as part of any such claim, suit, action or other proceeding. Contractor shall also reimburse City for the cost of any settlement paid by City or its officials, employees, agents and volunteers as part of any such claim, suit, action or other proceeding. Such reimbursement shall include payment for City’s attorney’s fees and costs, including expert witness fees.

Contractor shall reimburse City and its officials, employees, agents and volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Contractor’s obligation to indemnify shall survive expiration or termination of this Contract, and shall not be restricted to insurance proceeds, if any, received by the City, its officials, employees, agents and volunteers.

3.14 Insurance.

3.14.1 Time for Compliance. Contractor shall not commence Work under this Contract until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Contractor shall not allow any subcontractor to commence work on any subcontract until it has provided evidence satisfactory to the City that the subcontractor has secured all insurance required under this section. Failure to provide and maintain all required insurance shall be grounds for the City to terminate this Contract for cause.

CONTRACT
15 3.14.2 Minimum Requirements. Contractor shall, at its expense, procure and maintain for the duration of the Contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Work hereunder by Contractor, its agents, representatives, employees or subcontractors. Contractor shall also require all of its subcontractors to procure and maintain the same insurance for the duration of the Contract. Such insurance shall meet at least the following minimum levels of coverage:

3.14.2.1 Minimum Scope of Insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 00 01) OR Insurance Services Office Owners and Contractors Protective Liability Coverage Form (CG 00 09 11 88) (coverage for operations of designated contractor); (2) Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 00 01, code 1 (any auto); (3) Workers’ Compensation and Employer’s Liability: Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance; and (4) Builders’/All Risk: Builders’/All Risk insurance covering for all risks of loss, including explosion, collapse, underground excavation and removal of lateral support (and including earthquakes and floods if requested by the City).

Policies shall not contain exclusions contrary to this Contract, including but not limited to endorsements or provisions limiting coverage for (1) contractual liability (including but not limited to ISO CG 24 26 or 21 29); or (2) cross liability for claims or suits by one insured against another.

3.14.2.2 Minimum Limits of Insurance. Contractor shall maintain limits no less than: (1) General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used including, but not limited to, form CG 2503, either the general aggregate limit shall apply separately to this Contract/location or the general aggregate limit shall be twice the required occurrence limit; (2) Automobile Liability: $1,000,000 per accident for bodily injury and property damage; (3) Workers’ Compensation and Employer’s Liability: Workers’ compensation limits as required by the Labor Code of the State of California. Employer’s Liability limits of $1,000,000 each accident, policy limit bodily injury or disease, and each employee bodily injury or disease; and (4) Builders’/All Risk: Completed value of the project. Defense costs shall be available in addition to the limits. Notwithstanding the minimum limits specified herein, any available coverage shall be provided to the parties required to be named as additional insureds pursuant to this Contract.

3.14.2.3 Notices; Cancellation or Reduction of Coverage. At least fifteen (15) days prior to the expiration of any such policy, evidence showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or materially reduced, Contractor shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies. In the event any policy of insurance required under this Contract does not comply with these specifications or is canceled and not replaced, the City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by the City will be promptly reimbursed by Contractor or the City may withhold amounts sufficient to pay premium from Contractor payments. In the alternative, the City may suspend or terminate this Contract.

3.14.3 Insurance Endorsements. The insurance policies shall contain the following provisions, or Contractor shall provide endorsements (amendments) on forms supplied or approved by the City to add the following provisions to the insurance policies:

3.14.3.1 General Liability. The general liability policy shall include or be endorsed (amended) to state that: (1) using ISO CG forms 20 10 and 20 37, or endorsements providing the exact same coverage, the City of Colton, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the Services or ongoing and completed operations performed by or on behalf of Contractor, including materials, parts or equipment furnished in connection with such work; and (2) using ISO form 20 01, or endorsements providing the exact same

CONTRACT
16 coverage, the insurance coverage shall be primary insurance as respects the City, its directors, officials, officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of Contractor’s scheduled underlying coverage. Any excess insurance shall contain a provision that such coverage shall also apply on a primary and noncontributory basis for the benefit of the City, before the City’s own primary insurance or self-insurance shall be called upon to protect it as a named insured. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents and volunteers shall be excess of Contractor’s insurance and shall not be called upon to contribute with it in any way. Notwithstanding the minimum limits set forth in Section 3.14.2.2, any available insurance proceeds in excess of the specified minimum limits of coverage shall be available to the parties required to be named as additional insureds pursuant to this Section 3.14.3.1.

3.14.3.2 Automobile Liability. (1) The City, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by Contractor or for which Contractor is responsible; and (2) the insurance coverage shall be primary insurance as respects the City, its directors, officials, officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of Contractor’s scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents and volunteers shall be excess of Contractor’s insurance and shall not be called upon to contribute with it in any way. Notwithstanding the minimum limits set forth in Section 3.14.2.2, any available insurance proceeds in excess of the specified minimum limits of coverage shall be available to the parties required to be named as additional insureds pursuant to this Section 3.14.3.2.

3.14.3.3 Workers’ Compensation and Employer’s Liability Coverage. The insurer shall agree to waive all rights of subrogation against the City, its directors, officials, officers, employees, agents and volunteers for losses paid under the terms of the insurance policy which arise from work performed by Contractor.

3.14.3.4 All Coverages. Each insurance policy required by this Contract shall be endorsed to state that: (1) coverage shall not be suspended, voided, reduced or canceled except after thirty (30) days (10 days for nonpayment of premium) prior written notice by certified mail, return receipt requested, has been given to the City; and (2) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the City, its directors, officials, officers, employees, agents and volunteers. Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officials, officers, employees, agents and volunteers, or any other additional insureds.

3.14.4 Builders’/All Risk Policy Requirements. The builders’/all risk insurance shall provide that the City be named as loss payee. In addition, the insurer shall waive all rights of subrogation against the City.

3.14.5 Separation of Insureds; No Special Limitations; Waiver of Subrogation. All insurance required by this Section shall contain standard separation of insureds provisions. In addition, such insurance shall not contain any special limitations on the scope of protection afforded to the City, its directors, officials, officers, employees, agents and volunteers. All policies shall waive any right of subrogation of the insurer against the City, its officials, officers, employees, agents, and volunteers, or any other additional insureds, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against City, its officials, officers, employees, agents, and volunteers, or any other additional insureds, and shall require similar written express waivers and insurance clauses from each of its subcontractors.

3.14.6 Professional Liability Insurance. All architects, engineers, consultants or design professionals retained by Contractor shall also procure and maintain, for a period of five (5) years following completion of the Contract, errors and omissions liability insurance with a limit of not less than

CONTRACT
17 $1,000,000 per occurrence. This insurance shall name the City, its directors, officials, officers, employees, agents and volunteers as additional and insureds with respect to Work performed, and shall otherwise comply with all requirements of this Section. Defense costs shall be paid in addition to the limits.

3.14.7 Deductibles and Self-Insurance Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. Contractor shall guarantee that, at the option of the City, either: (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its directors, officials, officers, employees, agents and volunteers; or (2) the Contractor shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses.

3.14.8 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best’s rating no less than A:VIII, licensed to do business in California, and satisfactory to the City.

3.14.9 Verification of Coverage. Contractor shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Contract on forms satisfactory to the City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms supplied or approved by the City. All certificates and endorsements must be received and approved by the City before work commences. The City reserves the right to require complete, certified copies of all required insurance policies, at any time.

3.14.10 Subcontractors. Contractor shall not allow any subcontractors to commence work on any subcontract relating to the work under the Contract until they have provided evidence satisfactory to the City that they have secured all insurance required under this Section. If requested by Contractor, the City may approve different scopes or minimum limits of insurance for particular subcontractors. The Contractor and the City shall be named as additional insureds on all subcontractors’ policies of Commercial General Liability using ISO form 20 38, or coverage at least as broad. In addition, Contractor shall include all subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated herein.

3.14.11 Reporting of Claims. Contractor shall report to the City, in addition to Contractor’s insurer, any and all insurance claims submitted by Contractor in connection with the Work under this Contract.

3.15 Bond Requirements.

3.15.1 Payment Bond. If required by law or otherwise specifically requested by City in Exhibit “C” attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Contract a Payment Bond in an amount required by the City and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until the bond has been received and approved by the City.

3.15.2 Performance Bond. If specifically requested by City in Exhibit “C” attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Contract a Performance Bond in an amount required by the City and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until the bond has been received and approved by the City.

3.15.3 Bond Provisions. Should, in City’s sole opinion, any bond become insufficient or any surety be found to be unsatisfactory, Contractor shall renew or replace the effected bond within (ten) 10 days of receiving notice from City. In the event the surety or Contractor intends to reduce or cancel any required bond, at least thirty (30) days prior written notice shall be given to the City, and Contractor shall post acceptable replacement bonds at least ten (10) days prior to expiration of the

CONTRACT
18 original bonds. No further payments shall be deemed due or will be made under this Contract until any replacement bonds required by this Section are accepted by the City. To the extent, if any, that the Total Contract Price is increased in accordance with the Contract, Contractor shall, upon request of the City, cause the amount of the bond to be increased accordingly and shall promptly deliver satisfactory evidence of such increase to the City. If Contractor fails to furnish any required bond, the City may terminate the Contract for cause.

3.15.4 Surety Qualifications. Only bonds executed by an admitted surety insurer, as defined in California Code of Civil Procedure Section 995.120, shall be accepted. If a California-admitted surety insurer issuing bonds does not meet these requirements, the insurer will be considered qualified if it is in conformance with Section 995.660 of the California Code of Civil Procedure, and proof of such is provided to the City.

3.16 Warranty. Contractor warrants all Work under the Contract (which for purposes of this Section shall be deemed to include unauthorized work which has not been removed and any non-conforming materials incorporated into the Work) to be of good quality and free from any defective or faulty material and workmanship. Contractor agrees that for a period of one year (or the period of time specified elsewhere in the Contract or in any guarantee or warranty provided by any manufacturer or supplier of equipment or materials incorporated into the Work, whichever is later) after the date of final acceptance, Contractor shall within ten (10) days after being notified in writing by the City of any defect in the Work or non-conformance of the Work to the Contract, commence and prosecute with due diligence all Work necessary to fulfill the terms of the warranty at its sole cost and expense. Contractor shall act sooner as requested by the City in response to an emergency. In addition, Contractor shall, at its sole cost and expense, repair and replace any portions of the Work (or work of other contractors) damaged by its defective Work or which becomes damaged in the course of repairing or replacing defective Work.

For any Work so corrected, Contractor’s obligation hereunder to correct defective Work shall be reinstated for an additional one year period, commencing with the date of acceptance of such corrected Work. Contractor shall perform such tests as the City may require to verify that any corrective actions, including, without limitation, redesign, repairs, and replacements comply with the requirements of the Contract. All costs associated with such corrective actions and testing, including the removal, replacement, and reinstitution of equipment and materials necessary to gain access, shall be the sole responsibility of Contractor. All warranties and guarantees of subcontractors, suppliers and manufacturers with respect to any portion of the Work, whether express or implied, are deemed to be obtained by Contractor for the benefit of the City, regardless of whether or not such warranties and guarantees have been transferred or assigned to the City by separate agreement and Contractor agrees to enforce such warranties and guarantees, if necessary, on behalf of the City. In the event that Contractor fails to perform its obligations under this Section, or under any other warranty or guaranty under this Contract, to the reasonable satisfaction of the City, the City shall have the right to correct and replace any defective or non-conforming Work and any work damaged by such work or the replacement or correction thereof at Contractor’s sole expense. Contractor shall be obligated to fully reimburse the City for any expenses incurred hereunder upon demand.

3.17 Employee/Labor Certifications.

3.17.1 Contractor’s Labor Certification. By its signature hereunder, Contractor certifies that he is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker’s Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Work. A certification form for this purpose, which is attached to this Contract as Exhibit “D” and incorporated herein by reference, shall be executed simultaneously with this Contract.

3.17.2 Equal Opportunity Employment. Contractor represents that it is an equal opportunity employer and that it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex, age or other interests protected by the

CONTRACT
19 State or Federal Constitutions. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

3.17.3 Verification of Employment Eligibility. By executing this Contract, Contractor verifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time, and shall require all subcontractors and sub- subcontractors to comply with the same. The City shall not be responsible for any costs or expenses related to Contractor’s compliance with the requirements provided for in Section 3.17 or any of its sub- sections.

3.18 General Provisions.

3.18.1 City’s Representative. The City hereby designates the Director of Public Works and Utilities or his or her designee, to act as its representative for the performance of this Contract (“City’s Representative”). City’s Representative shall have the power to act on behalf of the City for all purposes under this Contract. Contractor shall not accept direction or orders from any person other than the City’s Representative or his or her designee.

3.18.2 Contractor’s Representative. Before starting the Work, Contractor shall submit in writing the name, qualifications and experience of its proposed representative who shall be subject to the review and approval of the City (“′Contractor’s Representative”). Following approval by the City, Contractor’s Representative shall have full authority to represent and act on behalf of Contractor for all purposes under this Contract. Contractor’s Representative shall supervise and direct the Work, using his best skill and attention, and shall be responsible for all construction means, methods, techniques, sequences and procedures and for the satisfactory coordination of all portions of the Work under this Contract. Contractor’s Representative shall devote full time to the Project and either he or his designee, who shall be acceptable to the City, shall be present at the Work site at all times that any Work is in progress and at any time that any employee or subcontractor of Contractor is present at the Work site.

Arrangements for responsible supervision, acceptable to the City, shall be made for emergency Work which may be required. Should Contractor desire to change its Contractor’s Representative, Contractor shall provide the information specified above and obtain the City’s written approval.

3.18.3 Termination. This Contract may be terminated by City at any time, either with our without cause, by giving Contractor three (3) days advance written notice. In the event of termination by City for any reason other than the fault of Contractor, City shall pay Contractor for all Work performed up to that time as provided herein. In the event of breach of the Contract by Contractor, City may terminate this Contract immediately without notice, may reduce payment to Contractor in the amount necessary to offset City’s resulting damages, and may pursue any other available recourse against Contractor. Contractor may not terminate this Contract except for cause. In the event this Contract is terminated in whole or in part as provided, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated. Further, if this Contract is terminated as provided, City may require Contractor to provide all finished or unfinished documents, data, diagrams, drawings, materials or other matter prepared or built by Contractor in connection with its performance of this Contract. Contractor shall be required to provide such document and other information within fifteen (15) days of the request. The City shall not be liable for any costs other than the charges or portions thereof which are specified herein. Contractor shall not be entitled to payment for unperformed Work, including, without limitation, any overhead and profit on the portion of the Work that is terminated and shall not be entitled to damages or compensation of any kind or nature for termination of Work.

3.18.4 Contract Interpretation. Should any question arise regarding the meaning or import of any of the provisions of this Contract or written or oral instructions from City, the matter shall be referred to City’s Representative, whose decision shall be binding upon Contractor.

CONTRACT
20 3.18.5 Anti-Trust Claims. This provision shall be operative if this Contract is applicable to California Public Contract Code Section 7103.5. In entering into this Contract to supply goods, services or materials, Contractor hereby offers and agrees to assign to the City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Section 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700, of Part 2 of Division 7 of the Business and Professions Code) arising from purchases of goods, services, or materials pursuant to the Contract.

This assignment shall be made and become effective at the time the City tender final payment to Contractor, without further acknowledgment by the Parties.

3.18.6 Notices. All notices hereunder and communications regarding interpretation of the terms of the Contract or changes thereto shall be provided by the mailing thereof by registered or certified mail, return receipt requested, postage prepaid and addressed as follows:

CONTRACTOR:

PREFERRED GENERAL SERVICES
19622 SHOSHONEE RD.

APPLE VALLEY, CA 92307
ATTN: GARY WITTHANS, OWNER
CITY:

CITY OF COLTON
650 NORTH LA CADENA DRIVE
COLTON, CA 92324
ATTN: CHAD BLAIS, DIRECTOR OF PUBLIC WORKS AND UTILITIES Any notice so given shall be considered received by the other Party three (3) days after deposit in the U.S. Mail as stated above and addressed to the Party at the above address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

3.18.7 Time of Essence. Time is of the essence in the performance of this Contract.

3.18.8 Assignment Forbidden. Contractor shall not, either voluntarily or by action of law, assign or transfer this Contract or any obligation, right, title or interest assumed by Contractor herein without the prior written consent of City. If Contractor attempts an assignment or transfer of this Contract or any obligation, right, title or interest herein, City may, at its option, terminate and revoke the Contract and shall thereupon be relieved from any and all obligations to Contractor or its assignee or transferee.

3.18.9 No Third Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.18.10 Laws, Venue. This Contract shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Contract, the action shall be brought in a state or federal court situated in the County of San Bernardino, State of California.

3.18.11 Counterparts. This Contract may be executed in counterparts, each of which shall constitute an original.

CONTRACT
21 3.18.12 Successors. The Parties do for themselves, their heirs, executors, administrators, successors, and assigns agree to the full performance of all of the provisions contained in this Contract.

3.18.13 Solicitation. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Contract. Further, Contractor warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Contract. For breach or violation of this warranty, City shall have the right to terminate this Contract without liability.

3.18.14 Conflict of Interest. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Contract. Further, Contractor warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Contract. For breach or violation of this warranty, City shall have the right to rescind this Contract without liability. For the term of this Contract, no director, official, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Contract, or obtain any present or anticipated material benefit arising therefrom. In addition, Contractor agrees to file, or to cause its employees or subcontractors to file, a Statement of Economic Interest with the City’s Filing Officer as required under state law in the performance of the Work.

3.18.15 Certification of License.

3.18.15.1 Contractor certifies that as of the date of execution of this Contract, Contractor has a current contractor’s license of the classification indicated below under Contractor’s signature.

3.18.15.2 Contractors are required by law to be licensed and regulated by the Contractors’ State License Board which has jurisdiction to investigate complaints against contractors if a complaint regarding a patent act or omission is filed within four (4) years of the date of the alleged violation. A complaint regarding a latent act or omission pertaining to structural defects must be filed within ten (10) years of the date of the alleged violation. Any questions concerning a contractor may be referred to the Registrar, Contractors’ State License Board, P.O. Box 26000, Sacramento, California 95826.

3.18.16 Authority to Enter Contract. Each Party warrants that the individuals who have signed this Contract have the legal power, right and authority to make this Contract and bind each respective Party.

3.18.17 Entire Contract; Modification. This Contract contains the entire agreement of the Parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Contract may only be modified by a writing signed by both Parties.

3.18.18 Non-Waiver. None of the provisions of this Contract shall be considered waived by either party, unless such waiver is specifically specified in writing.

3.18.19 City’s Right to Employ Other Contractors. City reserves right to employ other contractors in connection with this Project or other projects. [Signatures on Next Page]

CONTRACT
22 SIGNATURE PAGE FOR CONSTRUCTION CONTRACT

BETWEEN THE CITY OF COLTON

AND PREFERRED GENERAL SERVICES
IN WITNESS WHEREOF, the Parties have entered into this Contract as of the 18th day of February 2026.

CITY OF COLTON PREFERRED GENERAL SERVICES
a Sole Proprietorship

By: ____________________________ By: _________________________ William R. Smith Gary Witthans
City Manager Owner

Attest:

____ By: _________________________
Isaac T. Suchil [***INSERT NAME***]
City Clerk [***INSERT TITLE***]

____606321-B_______________________
Contractor’s License Number/Classification

____1001088565_____________________
DIR Registration Number

Approved as to Form:

______________________________
Best Best & Krieger LLP
City Attorney

CONTRACT
23 EXHIBIT “A”

SERVICES / SCHEDULE

SCOPE OF WORK AS SPECIFIED PER PROJECT PLAN NO. 10652 DATED 11/26/2025 AND BID CONTRACT DOCUMENT/SPECIFICATION DATED 11/25/2025.

CONTRACT
24 EXHIBIT “B”

PLANS AND SPECIFICATIONS

1. PROJECT PLAN NO. 10652 DATED 11/26/2025

2. BID CONTRACT DOCUMENT AND SPECIFICATION DATED 11/25/2025

CONTRACT
25 EXHIBIT “C”

SPECIAL CONDITIONS
ARTICLE 1. BONDS
Concurrently with this Contract, the Contractor shall deliver to the City four identical counterparts of the Performance Bond and Payment Bond on the forms supplied by the City and included as Exhibit “F” to the Contract. The surety supplying the bond must be an admitted surety insurer, as defined in Code of Civil Procedure Section 995.120, authorized to do business as such in the State of California and satisfactory to the City. The Performance Bond and the Payment Bond shall be for one hundred percent (100%) of the Total Contract Price.

LABOR CODE CERTIFICATION
26 EXHIBIT “D”

CERTIFICATION
LABOR CODE - SECTION 1861
I, the undersigned Contractor, am aware of the provisions of Section 3700, et seq., of the California Labor Code which require every employer to be insured against liability for Worker’s Compensation or to undertake self-insurance in accordance with the provisions of the Code, and I, the undersigned Contractor, agree to and will comply with such provisions before commencing the performance of the Work on this Contract.

Preferred General Services

By: _________________________
Signature
_________________________
Name (Print)
_________________________
Title (Print)

CONTRACTOR REGISTRATION CERTIFICATION
27 EXHIBIT “E”

PUBLIC WORKS CONTRACTOR REGISTRATION CERTIFICATION
Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be registered with the Department of Industrial Relations. See http://www.dir.ca.gov/Public- Works/PublicWorks.html for additional information.

No bid will be accepted nor any contract entered into without proof of the contractor’s and subcontractors’ current registration with the Department of Industrial Relations to perform public work.

Contractor hereby certifies that it is aware of the registration requirements set forth in Labor Code sections 1725.5 and 1771.1 and is currently registered as a contractor with the Department of Industrial Relations.1
Name of Contractor:

DIR Registration Number:

DIR Registration Expiration:__________________________
Small Project Exemption: _____ Yes or _____ No
Unless Contractor is exempt pursuant to the small project exemption, Contractor further acknowledges:

1. Contractor shall maintain a current DIR registration for the duration of the project.

2. Contractor shall include the requirements of Labor Code sections 1725.5 and 1771.1 in its contract with subcontractors and ensure that all subcontractors are registered at the time of bid opening and maintain registration status for the duration of the project.

3. Failure to submit this form or comply with any of the above requirements may result in a finding that the bid is non-responsive.

Name of Contractor:____________________
Signature:

Name and Title:

Dated:

1 If the Project is exempt from the contractor registration requirements pursuant to the small project exemption under Labor Code Sections 1725.5 and 1771.1, please mark “Yes” in response to “Small Project Exemption.”

PERFORMANCE BOND
28 EXHIBIT “F”

PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:

THAT WHEREAS, the City of Colton (hereinafter referred to as “City”) has awarded to ____________________, (hereinafter referred to as the “Contractor”) _______________________ an agreement for Police Department Restroom Remodel (hereinafter referred to as the “Project”).

WHEREAS, the work to be performed by the Contractor is more particularly set forth in the Contract Documents for the Project dated ________________, (hereinafter referred to as “Contract Documents”), the terms and conditions of which are expressly incorporated herein by reference; and
WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents.

NOW, THEREFORE, we, _______________, the undersigned Contractor and _____________________________________________ as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of ___________________________ DOLLARS, ($____________), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents.

THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its officers and agents, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.

As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally protect the City from loss or damage resulting from or caused by defective materials or faulty workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rights or the Contractor or Surety’s obligations under the Contract, law or equity, including, but not limited to, California Code of Civil Procedure section 337.15.

Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City’s option:

PERFORMANCE BOND
29 (1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or
(2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
(3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.

Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor.

Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City’s objection to Contractor’s further participation in the completion of the Project.

The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code.

Remainder of This Page is Intentionally Left Blank

PERFORMANCE BOND
30 IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20__).
(Corporate Seal)
Contractor/ Principal
By
Title

(Corporate Seal)
Surety
By
Attorney-in-Fact
Signatures of those signing for the Principal and Surety must be notarized and evidence of corporate authority attached. An original Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.

The rate of premium on this bond is ____________ per thousand. The total amount of premium charges, $_______________________________.
(The above must be filled in by corporate attorney.)

THIS IS A REQUIRED FORM
Any claims under this bond may be addressed to:
(Name and Address of Surety)

(Name and Address of Agent or
Representative for service of process
in California, if different from above)

(Telephone number of Surety and
Agent or Representative for service of
process in California)

PERFORMANCE BOND
31 Notary Acknowledgment
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally

appeared , who proved to me on the basis of satisfactory

evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature of Notary Public

OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.

CAPACITY CLAIMED BY SIGNER
￿ Individual

DESCRIPTION OF ATTACHED DOCUMENT
￿ Corporate Officer

Title(s) Title or Type of Document
Partner(s) ￿ Limited ￿
￿ General Number of Pages
￿ Attorney-In-Fact
￿ Trustee(s)
￿ Guardian/Conservator Date of Document
￿ Other:

Signer is representing:

Name Of Person(s) Or Entity(ies)

Signer(s) Other Than Named Above

PERFORMANCE BOND
32 PAYMENT BOND
KNOW ALL MEN BY THESE PRESENTS That
WHEREAS, the City of Colton (hereinafter designated as the “City”), by action taken or a resolution passed ___________ , 20____has awarded to ________________ hereinafter designated as the “Principal,” a contract for the work described as follows:

Police Department Restroom Remodel (the “Project”); and WHEREAS, the work to be performed by the Principal is more particularly set forth in the Contract Documents for the Project dated __________________ (“Contract Documents”), the terms and conditions of which are expressly incorporated by reference; and
WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth.

NOW, THEREFORE, we, the Principal and __________________________, a corporation organized and existing under the laws of the State of _______________ and authorized to transact surety business under the laws of the State of California as Surety, are held and firmly bound unto City in the sum of ______________ Dollars ($___________) lawful money of the United States of America, the sum not being less than One Hundred Percent (100%) of the total amount of the Contract, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents.

THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein above specified, and also, in case suit is brought upon this bond, all litigation expenses incurred by City in such suit, including reasonable attorneys’ fees, court costs, expert witness fees and investigation expenses.

PERFORMANCE BOND
33 This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon this bond.

It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or modification of any terms of payment or extension of the time for any payment pertaining or relating to any scheme or work of improvement herein above described, nor by any rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions of sections 2819 and 2845 of the California Civil Code.

The Remainder of this Page is Intentionally Left Blank

PERFORMANCE BOND
34 IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20__.
(Corporate Seal)
Contractor/ Principal
By
Title

(Corporate Seal) Surety
By

Attorney-in-Fact
Title
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. An original Power-of-Attorney authorizing the person signing on behalf of the Surety to do so much be attached hereto.

The rate of premium on this bond is ____________ per thousand. The total amount of premium charges, $_______________________________.
(The above must be filled in by corporate attorney.)

THE FOLLOWING INFORMATION IS MANDATORY
Any claims under this bond may be addressed to:
(Name and Address of Surety) ___________________________________________ ___________________________________________
___________________________________________
(Name and Address of Agent or ___________________________________________ Representative for service of
process in California, if different ___________________________________________ from above)
___________________________________________
(Telephone number of Surety and ___________________________________________

PERFORMANCE BOND
35 Agent or Representative for service
of process in California)

PERFORMANCE BOND
36 Notary Acknowledgment
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally

appeared , who proved to me on the basis of satisfactory

evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature of Notary Public

OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.

CAPACITY CLAIMED BY SIGNER
￿ Individual

DESCRIPTION OF ATTACHED DOCUMENT
￿ Corporate Officer

Title(s) Title or Type of Document
Partner(s) ￿ Limited ￿
￿ General Number of Pages
￿ Attorney-In-Fact
￿ Trustee(s)
￿ Guardian/Conservator Date of Document
￿ Other:

Signer is representing:

Name Of Person(s) Or Entity(ies)

Signer(s) Other Than Named Above

Item: 6.

Staff Report

Meeting Date: February 17, 2026
To: City Council
From: Bill Smith, City Manager
Prepared By: Ray Bruno, Fire Chief
Item Name: Disposition - Surplus Sewing Machines - Approve the Disposition of Two Surplus Consew Industrial Sewing Machines.

Recommended Action:

Approve the disposition of two surplus Consew industrial sewing machines to a retiring employee at fair market value, as determined by the City.

Background:

In 2004, the Fire Department purchased two Consew industrial sewing machines to support in- house repair of firefighter turnout gear and fabrication of department textile equipment. One machine is designed for flat work and the other for cylindrical items such as pant legs. These machines were originally purchased for approximately $899 and $1,200.

At the time of purchase, the department operated under a limited budget, and the machines were acquired at a reasonable cost. Over the years, they were used to repair turnout gear and fabricate EMS equipment, hose bed covers, and other custom textile items that benefited departmental operations.

Issues/Analysis:

In 2023, Cal/OSHA implemented new regulations requiring firefighter personal protective equipment (PPE) to be inspected, cleaned, and repaired annually by an independent, qualified service provider. As a result, in-house repairs of turnout gear are no longer permitted. The department subsequently contracted with CA PPE to perform all required PPE inspections, cleanings, and repairs for 2024 and 2025 in compliance with Cal/OSHA standards.

Due to these regulatory changes, the Consew sewing machines are no longer used for PPE- related work. Additionally, no department personnel have expressed interest in learning or maintaining the specialized sewing skills required to utilize the equipment for other purposes.

The machines are now over 22 years old. While exact valuation information is limited, comparable older industrial sewing machines have been listed in the $200–$300 range, often for higher-quality models than those currently owned by the City. Given their age and limited departmental use, the machines are anticipated to be declared surplus and likely sold at auction, resulting in little to no return to the City.

The department is requesting to disposition the equipment to the person who utilized and cared for the machines for 22 years at fair market value. Pursuant to Colton Municipal Code Section

3.08.150(B), "Surplus supplies and equipment May be sold to the public if so prescribed by the City Manager and/or the City Council. City officials and Employees, and their immediate families, however, Shall not be eligible to purchase such surplus items." Staff recommends City Council approve an exception to this Code Section for these extenuating circumstances.

Approval of this request would allow the City to recoup value from surplus equipment while avoiding storage, auction, or disposal costs.

Fiscal Impacts:

Sale proceeds are estimated at $200, based on comparable used equipment. The original purchase was from a General Fund Fire Department operations expense account, so the one-time proceeds from the sale will be deposited in General Fund Sale of City Property account number 100-7801-000.

Alternatives:

1. Declare the sewing machines surplus and sell them through a public auction process.

2. Retain the equipment in storage with no identified future use.

Attachments:

None

Item: 7.

Staff Report

Meeting Date: February 17, 2026
To: City Council
From: Bill Smith, City Manager
Prepared By: Charles Berry, Electric Utility Director
Item Name:

Purchase - McAvoy & Markham Engineering & Sales Company, Inc. - Approve Purchase of Itron Electric Meters from McAvoy & Markham Engineering & Sales Company, Inc.

Recommended Action:

It is recommended that the Colton City Council approve the annual purchase of Itron electric meters from McAvoy & Markham Engineering & Sales Company, Inc. in an amount not-to- exceed $750,000, in accordance with Colton Municipal Code 3.08.140(b)(e). And, authorize the City Manager or his designee to execute all necessary documents and take all administrative actions to implement the project.

Background:

The Colton Electric Department (CED) has progressed from using encoder receiver transmitter (ERT) meters and automated meter reading (AMR) for collecting consumption data from its utility customers, to the CENTRON Bridge Meter. The CENTRON Bridge Meter is the bridge between Itron communication architectures that enable advanced metering infrastructure (AMI) and smart grid functionality. This meter was first deployed in 2000 and is the current standard for CED. The meter’s adaptability allows it to be incorporated alongside existing Itron electric meters with a mobile collection or fixed network systems, delivering advanced metering benefits associated with interval data, remote service switch and demand reset. These revenue quality meters give CED a standardized solution for multiple metering applications, including net- energy metering and two-way communication allowing remote connecting and disconnecting functions. The CENTRON Bridge Meter is consistent with the City Council action on June 1, 1999, for the standardization of the Itron metering reading system.

CED’s ultimate goal is to replace all AMR meters with AMI technology. CED currently has approximately 15,250 AMI meters installed for service to its customers. There are approximately 4,650 AMR meters installed at customer locations. CED intends to purchase and replace approximately 3,550 AMI meters this fiscal year.

Issues/Analysis:

McAvoy & Markham Engineering and Sales Company, Inc. is the only distributor authorized to sell Itron electric meters to utilities in Southern California. The pricing will be firm for the entire fiscal year as follows:

FM 2S, Centron Bridge meter, CL200 with disconnect switch, Cat. #C95-0527 $189.88 each FM1S, Centron Bridge meter, CL200 with disconnect switch, Cat. #C95-0528 $189.88 each FM12S, Centron Bridge meter, CL200 with disconnect switch, Cat. #C95-0530 $223.36 each FM2S, Centron Bridge meter, CL 320, Cat. #C95-0531 $189.88 each FM 2S, Centron, CP3 Bridge meter, 120-480V, CL200, Cat. #C95-0536 $440.81 each FM 45S, Centron CP3 Bridge meter for TOU applications, Cat. #C95-0539 $440.81 each FM 9S, Centron CP3 Bridge meter for TOU applications, Cat. #C95-0537 $440.81 each FM 16S, Centron CP3 Bridge meter, CL200, Cat. #C95-0538 $440.81 each FM 4S, Centron CP3 Bridge meter for TOU applications CL20, Cat. #C95-0540 $440.81 each FM 3S, Centron CP3SRV meter, CL20, Cat. #C95-0541 $440.81 each FM 12S, Centron CP3SRV meter, CL200, Cat. #C95-0542 $440.81 each

Colton Municipal Code, Title 3, Chapter 3.08.140, Section (b) allows for the competitive bidding requirement to be waived for non-public projects when there is no competitive market.

Specifically, Section (b) allows that the competitive bidding process may be waived, “[w]hen the City Council determines, in accordance with applicable law, that a competitive market does not exist and that no competitive advantage will be gained by the public bidding process.” In addition, Colton Municipal Code 3.08.140 Section (e) also states the bidding requirements may be waived, “[w]hen the City Manager determines that it is in the best interest of the City and its administrative operations to dispense with public bidding for non-public projects under this chapter. Prior City Council concurrence with the City Manager’s determination shall be required for non-public project purchases over $100,000.”

Since McAvoy and Markham Engineering & Sales Company is the only authorized distributor of the Itron electric meters for utilities in Southern California, a competitive market does not exist.

If CED were to change to a different meter type, it would also have to change the meter reading software and equipment at significant cost to the Electric Department. CED suggests that it is in the City’s best interest to continue with the standardization of equipment and uniformity efforts and requests to continue purchasing Itron meters, as previously approved by City Council on September 17, 2024 (Business Item # 18). McAvoy & Markham Engineering and Sales Co., Inc. is the only vendor authorized to sell Itron meters to the Southern California region, and there is no competitive market or advantages to be gained by public bidding.

Fiscal Impacts:

Sufficient appropriations are available in the FY2025-26 adopted budget for the purchase of electric meters in Electric Utility Fund Capital Improvement Meters Account Number 520-8000- 8024-3890-0107-000.

Alternatives:

1. Provide alternative direction to staff.

Attachments:

1. FY2025_2026_electric_meters

2. OpenWay Centron Meter

Itron Electric Meter Summary - Colton Public Utilities - FY2025/2026 Prices valid through 6/30/2026
McAvoy & Markham Engineering
16 Technology Dr #113
Irvine, CA 92618
01/21/2026
Catalog Number Description Form Unit Cost
C95-0527 Centron Bridge Meter, CL200 with disconnect switch 2S $189.88 C95-0528 Centron Bridge Meter, CL200 with disconnect switch 1S $189.88 C95-0530 Centron Bridge Meter, CL200 with disconnect switch, 120V only 12S $223.36 C95-0531 Centron Bridge Meter, CL320 2S $189.88
C95-0539 Centron CP3 Bridge Meter for TOU applications 45S $440.81 C95-0538 Centron CP3 Bridge Meter, CL200 16S $440.81
C95-0537 Centron CP3 Bridge Meter for TOU applications 9S $440.81 C95-0536 Centron CP3 Bridge Meter, 120-480V, CL200 2S $440.81 C95-0540 Centron CP3 Bridge meter, CL20 4S $440.81
C95-0541 Centron CP3SRV, CL20 3S $440.81
C95-0542 Centron CP3SRV, CL200, 120-480V 12S $440.81
Notes:

Pricing is freight allowed, FOB origin

OpenWay
®
CENTRON® Meter
The OpenWay system delivers a truly smart meter for the residential mass market.

Itron engineers have built upon our proven CENTRON solid-state platform to deliver an advanced meter that provides a cornerstone technology for the smart grid.

Featuring open-standards architecture, modular design for flexibility in communications, and extensive features and functionality, the OpenWay CENTRON supports the most demanding smart grid
business requirements today and well into the future.

A key component of any advanced metering or smart grid
initiative, the OpenWay CENTRON meter is a truly smart device used to collect, process and transmit vital energy information to utility systems. Rather than simply inserting a network communication card into a standard meter, Itron developed an advanced meter where calculations and usage data are calculated within the meter itself, allowing utilities to leverage time-based rates, demand response, home networking and many other
smart grid applications.

The OpenWay CENTRON system provides enhanced security
and a reliable approach to data collection and communications between the meter and the network. Storage and transport of register data are provided through ANSI C12.19 and C12.22 open standards technology. In addition, each OpenWay
CENTRON meter comes factory-equipped with a ZigBee®
radio to provide a built-in communications pathway into the home for data presentation, load control and demand response.

ZigBee also provides a communication channel with 2.4GZ OpenWay Gas Modules.

The OpenWay CENTRON also provides robust data storage
capability to support time-of-use pricing, load profile data and other data-intensive applications, as well as the most advanced feature set available to support smart grid requirements. These features include full two-way communication, a load-limiting remote disconnect and reconnect switch, positive outage detection and restoration notification, voltage monitoring, automatic tamper and theft detection, as well as the ability to reprogram the meter remotely and upload new firmware via the network.

The OpenWay CENTRON meter is the smart meter for the
smart grid.

SPECIFICATIONS

FEATURES
Time-of-Use and Critical Peak Pricing
» The OpenWay CENTRON supports four TOU rates as
well as CPP
» TOU registers may be displayed on the meter’s display Load Profi le
» Four channels of confi gurable load profi le data are available in the following default parameters: (1) single channel 30-minute data 753 days; (2) two channels 30-minute data 501 days
» Modifi ed parameters are available via confi guration download » The OpenWay CENTRON module provides over one year of
15-minute load profi le data storage
OpenWay RFLAN Module
» Two-way, unlicensed RF module
» Adaptive-tree RFLAN architecture provides easy installation and self-healing capabilities
Home Area Network (HAN)
» Every OpenWay CENTRON meter includes a ZigBee radio
for interfacing with the HAN, in-home displays and load control devices
» The OpenWay CENTRON can store consumption from 2.4GZ
OpenWay gas modules utilizing the ZigBee radio
Bi-Directional Metering
» The OpenWay CENTRON measures and displays active energy (kWh) delivered, received, uni-directional and/or net or apparent energy (kVAh) delivered and/or received
Disconnect/Reconnect with Load Limiting
» The OpenWay CENTRON forms 1S, 2S, 12S network, and 25S is available with a 200 amp remote disconnect/reconnect switch as an optional feature. The switch can be operated on demand, or automatically as part of a service-limiting confi guration Tamper Detection
» Tamper indications can be communicated regularly through the OpenWay system
» Tampers include: inversion, removal and reverse power fl ow » SiteScan Diagnostics (advanced polyphase register only) Non-Volatile Memory
» All programming, register, TOU and load profi le data are stored in the EEPROM during a power outage. A battery maintains just the clock circuitry during a power outage
Voltage Monitoring
» Instantaneous voltage
» Voltage monitoring system
Standard Features
» Electronic LCD display
» Polycarbonate cover
» Optical tower
» Test LED
Register Capabilities
» 4 energies, 1 demand:
• Wh (delivered, received, net, uni-directional)
• VAh (delivered arithmetic, received arithmetic, Lag)
• W (max delivered, max received, max net, max uni-directional) » Confi gurable event log
» All programming, register, TOU and load profi le data are stored in the EEPROM during a power outage. Battery maintains the clock circuitry during a power outage
Option Availability
» Identifi cation/accounting aids
» Remote disconnect/reconnect
» Multiple WAN options including GPRS and CDMA
» Option slot for additional communications options
Technical Data
Meets applicable standards:
» ANSI C12.1 - 2008 (American National Standard for Electric Meters - Code for Electricity Metering)
» ANSI C12.18 - 1996 (American National Standard - Protocol Specifi cation for ANSI Type 2 Optical Port)
» ANSI C12.19 - 2008 (American National Standard - Utility Industry End Device Data Tables)
» ANSI C12.20 - 2002 for Hardware 2.0 and 3.0
(American National Standard for Electricity Meters - 0.2 and 0.5 Accuracy Classes)
» ANSI C12.20 - 2010 for Hardware 3.1 (American National Standard for Electricity Meters - 0.2 and 0.5 Accuracy Classes) » ANSI C12.22 - 2008 (consult Section 9 of the standard) » ANSI/IEEE C62.41.1-2002 (Characterization of surges on Low- Voltage AC Power Circuits)
» ANSI/IEEE C62.41.2-2002 (Characterization of surges on Low- Voltage AC Power Circuits)
» IEC 61000-4-2
» IEC 61000-4-4
» UL2735 for Hardware 3.1
Reference Information
» OpenWay CENTRON Technical Reference Guide
» Hardware Specifi cation Form

SPECIFICATIONS
Specifi cations
Power Requirements
Voltage Rating: 120 V, 240 V
Operating Voltage: ± 20% (60Hz)
Battery Voltage: 3.6 V nominal
Frequency: 60Hz
Operating Range: ± 3 Hz
Battery Operating Range: 3.6 V nominal; 3.4 V - 3.8 V
Operating Environment Temperature: -40° to +85°C Humidity: 0% to 95% non-condensing Transient / Surge Suppression IEC 61000-4-4-2004-0ANSI C62.45-2002 Accuracy ANSI C12.20 0.5 accuracy class
General Demand interval lengths:

Demand calculation: Peak
Programmable: 5, 6, 10, 12, 15, 20, 30 and 60 min.

Energy calculation: Basic: Wh and VAh
Time
Line sync: Power line frequency
Battery: +0.005%@25°C; +0.005% to -0.02% over full
temperature range
Crystal sync: +0.01% @ 25°C; +0.025% over full
temperature range
Display
Nine-digit liquid crystal display
Six-digit data height: 0.4"
Annunciator height: 0.088"
Display duration: 1-15 seconds
Three-digit code number height: 0.24"
3-segment electronic load indicator
Characteristic Data Starting Current: 20 mA (Class 200), 5 mA (Class 20) Register Burden 0.66W
Burden Data (C2S0D)
(United States)
Form Watt Loss VA Loss Test Voltage
1S 2.796 6.759 120
2S 3.773 12.357 240
3S 2.123 7.0 6 8 120
3S 2.350 14.255 240
4S 2.535 14.619 240
12S 2.861 6.751 120
Burden Data (C2S0D)
(Canada)
Form Watt Loss VA Loss Test Voltage
1S 2.686 6.999 120
2S 3.203 11.89 240
3S 2.123 7.0 6 8 120
3S 2.350 14.255 240
4S 2.535 14.619 240
12S 2.831 7.393 120
Service Switch (Optional) 200A; can be programmed as service (load) limiting Service Switch is available in Forms 1S, 2S, and 12S/25S Modules Standard OpenWay Register
Additional Base Functionality Cell Relay (available in Form 2S only) Product Availability
Volts / Service Meter Class Test Amps Kh (Pulse/Wh) Meter Form Register Descriptions 120 V 200 30 1.0 1S OpenWay RF with or without Disconnect 240 V 200 30 1.0 2S OpenWay RF with or without Disconnect 240 V 320 50 1.0 2S OpenWay RF
120 V 20 2.5 1.0 3S OpenWay RF
240 V 20 2.5 1.0 3S OpenWay RF
240 V 20 2.5 1.0 4S OpenWay RF
120 V 200 30 1.0 12S/25S OpenWay RF with or without Disconnect

SPECIFICATIONS
Dimensions
C2S0/C2S0D - Forms 1S, 2S and 12S

A B C D E F G

6.95" 5.27" 4.37" 3.97" 3.47" 5.68" 6.30"

17.6 6
cm

13.39 cm

11.10 cm

10.08 cm

8.82 cm

14.43 cm
16 cm
C2S0/C2S0D - Forms 3S and 4S

A B C D E F G

6.95" 4.56" 3.66" 3.23" 2.73" 5.56" 6.42"

17.6 6
cm

11.59 cm

9.30 cm

8.21 cm

6.94 cm

14.13 cm

16.31 cm
Shipping Weights
Polycarbonate C2S0/C2S0D
Pounds Kilograms
4 Meter Cartons 11 lbs 5 kg
96 Meter Pallets 280 lbs 127 kg
C2S0/C2S0D Dimensions
While Itron strives to make the content of its marketing materials as timely and accurate as possible, Itron makes no claims, promises, or guarantees about the accuracy, completeness, or adequacy of, and expressly disclaims liability for errors and omissions in, such materials. No warranty of any kind, implied, expressed, or statutory, including but not limited to the warranties of non-infringement of third party rights, title, merchantability, and fi tness for a particular purpose, is given with respect to the content of these marketing materials. ITRON is a registered trademark of Itron, Inc. © Copyright 2016 Itron. All rights reserved. 100808SP-10 2/16 Join us in creating a more resourceful world .

To learn more visit itron.com

CORPORATE HQ
2111 North Molter Road
Liberty Lake, WA 99019 USA
Phone: 1.800.635.5461
Fax: 1.509.891.3355

Item: 8.

Staff Report

Meeting Date: February 17, 2026
To: City Council
From: Bill Smith, City Manager
Prepared By: Heidi Duron, Director
Item Name: Second Reading of Ordinance No. O-03-26 & O-04-26 - Approve Second Readings of Ordinance O-03-26 and O-04-26 of the City Council of the City of Colton, California, to approve a Development Agreement Between the City of Colton and IDI Agua Mansa, LLC for the Agua Mansa Logistics Center Project for Property Generally Located at 1400 Agua Mansa Road in the City of Colton (Case Index No. DAP-001-816), and to Approve a Development Agreement Between the City of Colton and Lineage Logistics, LLC for the Agua Mansa Logistics Center Project, for Property Generally Located at 1500 Agua Mansa Drive in the City of Colton (Case File Index No. DAP-001-816), Ordinance No. O-03-26 & O-04-26.

Recommended Action:

Staff recommends that the City Council approve the second reading of an Ordinance of the City Council of the City of Colton, California to approve a Development Agreement No. O-03-26 between the City of Colton and Lineage Logistics, LLC for the Agua Mansa Logistics center project, for property generally located at 1500 Agua Mansa drive in the City of Colton (Case Index No. DAP-001-816), Ordinance No.O-03-26; and to approve of the second reading for an Ordinance of the City Council of the City of Colton, California to an Ordinance of the City Council of the City of Colton, California, Approving A Development Agreement No. O-04-26 Between the City of Colton And IDI Agua Mansa, LLC for the Agua Mansa Logistics Center Project for Property Generally Located at 1400 Agua Mansa Road in the City of Colton (Case Index No. Dap-001-816), Ordinance No. O-04-26.

Background:

Issues/Analysis:

Fiscal Impacts:

Alternatives:

Attachments:

1. Ordinance No. O-03-26

2. Ordinance No. O-04-26

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

ORDINANCE NO. O-03-26

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

COLTON, CALIFORNIA TO APPROVE A DEVELOPMENT
AGREEMENT NO. O-03-26 BETWEEN THE CITY OF COLTON

AND LINEAGE LOGISTICS, LLC FOR THE AGUA MANSA

LOGISTICS CENTER PROJECT, FOR PROPERTY GENERALLY
LOCATED AT 1500 AGUA MANSA DRIVE IN THE CITY OF
COLTON (CASE INDEX NO. DAP-001-816)

WHEREAS, the City of Colton (“City”) has found that development agreements will strengthen the public planning process, encourage private participation in comprehensive planning by providing a greater degree of certainty in that process, reduce the economic costs of development, allow for the orderly planning of public improvements and services, allocate costs to achieve maximum utilization of public and private resources in the development process, and ensure that appropriate measures to enhance and protect the environment are achieved; and

WHEREAS, pursuant to California Government Code Sections 65864 et seq. and Colton Municipal Code Section 18.58.102, the City is authorized to enter into development agreements providing for the development of land under terms and conditions set forth therein; and

WHEREAS, Lineage Logistics, LLC, a Delaware limited liability company (“Developer”) proposes to develop the Building 1 of the Agua Mansa Logistics Center (Case No. DAP-001-816), more particularly described in Exhibit “B-1”, attached hereto and incorporated herein by reference (“Project”); and

WHEREAS, on May 9, 2023, the Planning Commission of the City of Colton approved the Architectural & Site Plan Review, Conditional Use Permit, Major Certificate of Appropriateness and Tentative Parcel Map to provide for the orderly growth and quality development of the Project in accordance with the General Plan; and

WHEREAS, because of the logistics, magnitude of the expenditure and considerable lead time prerequisite to planning and developing the Project, Developer has proposed to enter into a development agreement concerning the Project (“Development Agreement”) to provide assurances that the Project can proceed without disruption caused by a change in the City's planning policies and requirements except as provided in the Development Agreement, which assurance will thereby reduce the actual or perceived risk of planning for and proceeding with development of the Project; and

WHEREAS, at a duly noticed public hearing held on May 9, 2023, the Planning Commission considered the Staff Report, the Development Agreement, all recommendations by staff, and public testimony, and adopted Resolution No. R-06-23, recommending to the City Council approval of the Development Agreement; and

WHEREAS, the City desires the timely, efficient, orderly and proper development of the Project in furtherance of the goals and policies of the City’s General Plan; and

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

WHEREAS, the City Council has found that this Development Agreement is consistent with the City’s General Plan; and

WHEREAS, the City Council has determined that by entering into the Development Agreement: (i) the City will promote orderly growth and quality development on the Property in accordance with the goals and policies set forth in the General Plan; (ii) significant benefits will be created for City residents and the public generally from increased employment, property tax revenue, and contributions from Developer toward public capital improvements; and

WHEREAS, the City and Developer have reached mutual agreement and desire to voluntarily enter into the Development Agreement to facilitate development of the Project subject to conditions and requirements set for therein; and

WHEREAS, previously, on June 20 and July 18, 2023, City Council adopted Resolution Nos. R-6-23 and R-73-23, which approved the Tentative Parcel Map No. 20358 and other related project approvals, including Ordinances Nos. O-06-23 and O-05-23 and the approval and adoption of the Initial Study/15183 Analysis pursuant to Public Resources Code section 21083.3 and State CEQA Guidelines section 15183 (“15183 Analysis”); and

WHEREAS, subsequently, the San Bernardino Superior Court (Case No.

CIVSB2317228) issued a peremptory writ of mandate, directing the City of Colton to void, vacate, and set aside the approvals set forth in Resolution Nos. R-6-23 and R-73-23, and any other resolutions related to the project, and further directed that prior to City Council taking any action with regard to issuance of any approvals related to Resolution Nos. R-60-23 and R-73- 23, the City shall conduct a mitigation analysis as it pertains to operational air quality impacts pursuant to the Court’s June 3, 2024 ruling and State CEQA Guidelines section 15183; and

WHEREAS, on February 3, 2025, City Council adopted Resolution No. R-04-26, to void, vacate, and set aside the approvals set forth in Resolution Nos. R-60-23, R-73-23, R-15- 24, R-16-24, and R-17-24 and Ordinances Nos. O-06-23 and O-05-23; and

WHEREAS, in order to address the peremptory writ of mandate in Case No.

CIVSB2317228, the City prepared a revised 15183 Analysis, in accordance with the provisions of the California Environmental Quality Act (“CEQA”); and

WHEREAS, pursuant to CEQA Guidelines section 15183, projects which are consistent with the development density established by existing zoning, community plan, or general plan policies for which an EIR was certified shall not require additional environmental review, except as might be necessary to examine whether there are project-specific significant effects which are peculiar to the project or its site; and

WHEREAS, Lineage Logistics is seeking City approval to allow for the construction of a new warehouse/office building at 1400 Agua Mansa Road and developer IDI Logistics is seeking City approval to allow for the construction and operation of a new warehouse/office buildings at 1500 Agua Mansa Road (“Project”);and

WHEREAS, the City has conducted an analysis of the Project, consistent with CEQA Guidelines section 15183 (“Section 15183 Analysis”), and found that it is in conformance with

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

the analysis and conclusions of the General Plan EIR, that there are no new significant off-site or cumulative impacts that were not analyzed in the General Plan EIR, that there are no adverse impacts that are more severe than those previously identified in the General Plan EIR.

WHEREAS, on February 3, 2026, the City Council held a duly noticed public hearing on the Development Agreement No. O-03-26 attached herein as Exhibit B-1; and

WHEREAS, at the public hearing, the City Council considered the Staff Report, the Development Agreement, and public testimony.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF
COLTON DOES ORDAIN AS FOLLOWS:

SECTION 1. . COMPLIANCE WITH THE CALIFORNIA ENVIRONMENTAL QUALITY ACT. As a decision-making body for the Project, the City Council has reviewed and considered the information contained in the Revised 15183 Analysis, comments received, and other documents contained in the administrative record for the Project. Based on the City Council independent review and analysis it finds that the Revised 15183 Analysis and administrative record contain a complete and accurate reporting of the environmental impacts associated with the Project, and that the Revised 15183 updated Analysis has been completed in compliance with CEQA and the State CEQA Guidelines.

SECTION 2. FINDINGS ON ENVIRONMENTAL IMPACTS. Based on the whole record before it, including the Revised 15183 Analysis, the administrative record, and all other written and oral evidence, the City Council finds that the Project will not have an adverse impact on the environment. According to Section 15183(a) (Projects Consistent with a Community Plan or Zoning), of the CEQA Guidelines, additional environmental review is not required for projects “which are consistent with the development density established by existing zoning, community plan, or general plan policies for which an EIR was certified,” except as might be necessary to determine whether there are project-specific significant effects. A Revised 15183 Analysis was prepared to evaluate the proposed Project’s consistency with the certified 2013 City General Plan EIR to determine whether it would have new or more severe significant environmental effects beyond those identified in the 2013 General Plan EIR. Environmental impacts associated with the proposed Project would be similar to those anticipated for the project area in the 2013 General Plan EIR. Mitigation beyond that identified in the 2013 General Plan EIR is not required. As such, pursuant to CEQA Guidelines section 15183, no additional environmental review or documentation is required under CEQA because all environmental impacts of the Project (DAP-001-816) are either less than significant or can be mitigated to a level of less than significant under the mitigation measures outlined in the Revised 15183 Analysis, alternatively, there is no substantial evidence in the administrative record supporting a fair argument that the Project may result in any significant environmental impacts.

SECTION 3. ADOPTION OF THE REVISED 15183 ANALYSIS. The City Council hereby approves and adopts the Revised 15183 Analysis as attached hereto as Exhibit “A-1.”.

SECTION 4. ADOPTION OF THE MITIGATION MONITORING AND

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

REPORTING PROGRAM. In accordance with Public Resources Code section 21081.6, the City Council hereby adopts the MMRP previously adopted for the General Plan EIR as it pertains to the Project. In the event of any inconsistencies between the Mitigation Measures as set forth in the Section 15183 Analysis and the MMRP, the MMRP.

SECTION 5. LOCATION AND CUSTODIAN OF RECORDS. The documents and materials that constitute the record of proceedings on which this Resolution has been based are located at 659 N La Cadena Drive, Colton, CA 92324. The custodian for these records is Development Services Department. . This information is provided in compliance with Public Resources Code section 21081.6.

SECTION 6. NOTICE OF DETERMINATION. The City Council hereby directs staff to prepare, execute, and file a Notice of Determination with the County Clerk’s office and the Office of Planning and Research within five (5) working days of adoption of this Ordinance.

SECTION 7. Pursuant to California Government Code Section 65865, the City Council hereby approves the Development Agreement No. O-03-26, attached hereto as Exhibit "B-1", entitled "A Development Agreement No. O-03-26 between City of Colton and Lineage Logistics LLC, a Delaware limited liability company” attached herein in Exhibit B-1 (aka “Agua Mansa Logistics Center, Building 1 Development Agreement”) (the "Development Agreement").

SECTION 8. Based on the entire record before the City Council and all written and oral evidence presented, the City Council finds this Development Agreement not be detrimental to the health, safety and welfare of the community because the Development Agreement will permit land uses that best reflect community needs, including the need for local employment opportunities and increased property tax revenue to fund City services, and will allow for the most efficient and logical development of the real property governed by the Development Agreement in the City.

SECTION 9. Pursuant to California Government Code Section 65867.5(b), and based on the entire record before the City Council, including all written and oral evidence presented, the City Council hereby finds that the Development Agreement is consistent with the General Plan because the Development Agreement will result in the development of the Property that is consistent with the uses and intensity allowed under the General Plan.

SECTION 10 Based on the entire record before the City Council and all written and oral evidence presented, the City Council finds that: (i) the economic interests of Colton citizens and the public health, safety and welfare will be best served by entering into the Development Agreement; (ii) this Development Agreement is compatible with the uses authorized in, and the regulations prescribed for, the area in which the Property is located; (iii) the Development Agreement is in conformity with the public convenience, general welfare and good land use practice; and (iv) the Development Agreement will not adversely affect the orderly development or the preservation of property values for the property it governs or any other property.

The City Council further finds that among the public benefits to accrue to the residents of the City as a result of the Development Agreement are: (a) A one-time payment of $4 million to

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

the City’s general fund; (b) one-time contribution of $350,000 to the City for fire truck apparatus; (c) guaranteed annual payments to the City’s general fund in perpetuity should the developer install solar panels; and (d) agreement to annex into the City’s Maintenance and Public Safety Community Facilities Districts as fully referenced in Development Agreement No. O-03-26 hereto attached as Exhibit B-2.

SECTION 12. The City Clerk shall certify to the adoption of this Ordinance and shall cause the same to be posted as required by law. Pursuant to Government Code section 65868.5, within 10 days following the entering of the Development Agreement, as evidence by the full execution thereof, the City Clerk shall record the Development Agreement with the San Bernardino County Recorder.

PASSED, APPROVED, AND ADOPTED THIS 17 DAY OF FEBRUARY, 2026.

___________________________________
FRANK J. NAVARRO
Mayor
ATTEST:

__________________________________
ISAAC T. SUCHIL
City Clerk

APPROVED AS TO FORM:

__________________________________
Best Best & Krieger LLP
City Attorney

EXHIBIT “A-1”

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

Final Initial Study/Consistency Checklist
Sections 1 through 5 and Appendixes are available
electronically at the following Colton, Planning Website:
https://www.coltonca.gov/779/Environmental-Documents

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

EXHIBIT “B-1”
Development Agreement No. O-03-26

1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

23152.06332\44603025.1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

ORDINANCE NO. O-04-26

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

COLTON, CALIFORNIA, APPROVING A DEVELOPMENT
AGREEMENT NO. O-04-26 BETWEEN THE CITY OF COLTON

AND IDI AGUA MANSA, LLC FOR THE AGUA MANSA

LOGISTICS CENTER PROJECT FOR PROPERTY GENERALLY
LOCATED AT 1400 AGUA MANSA ROAD IN THE CITY OF
COLTON (CASE INDEX NO. DAP-001-816)

WHEREAS, the City of Colton (“City”) has found that development agreements will strengthen the public planning process, encourage private participation in comprehensive planning by providing a greater degree of certainty in that process, reduce the economic costs of development, allow for the orderly planning of public improvements and services, allocate costs to achieve maximum utilization of public and private resources in the development process, and ensure that appropriate measures to enhance and protect the environment are achieved; and

WHEREAS, pursuant to California Government Code Sections 65864 et seq. and Colton Municipal Code Section 18.58.102, the City is authorized to enter into development agreements providing for the development of land under terms and conditions set forth therein; and

WHEREAS, IDI Agua Mansa, LLC, a Delaware limited liability company, proposes to develop the Building 2 of the Agua Mansa Logistics Center (Case Nos. DAP-001-816), more particularly described in Exhibit “B-1”, attached hereto and incorporated herein by reference (“Project”); and

WHEREAS, on May 9, 2023, the Planning Commission of the City of Colton approved the Architectural & Site Plan Review, Certificate of Appropriateness and Tentative Parcel Map to provide for the orderly growth and quality development of the Project in accordance with the General Plan; and

WHEREAS, because of the logistics, magnitude of the expenditure and considerable lead time prerequisite to planning and developing the Project, Developer has proposed to enter into a development agreement concerning the Project (“Development Agreement”) to provide assurances that the Project can proceed without disruption caused by a change in the City's planning policies and requirements except as provided in the Development Agreement, which assurance will thereby reduce the actual or perceived risk of planning for and proceeding with development of the Project; and

WHEREAS, at a duly noticed public hearing held on May 9, 2023, the Planning Commission considered the Staff Report, the Development Agreement, all recommendations by staff, and public testimony, and adopted Resolution No. R-07-23, recommending to the City Council approval of the Development Agreement; and

WHEREAS, the City desires the timely, efficient, orderly and proper development of the Project in furtherance of the goals and policies of the City’s General Plan; and

23152.06332\44603025.1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

WHEREAS, the City Council has found that this Development Agreement is consistent with the City’s General Plan; and

WHEREAS, the City Council has determined that by entering into the Development Agreement: (i) the City will promote orderly growth and quality development on the Property in accordance with the goals and policies set forth in the General Plan; (ii) significant benefits will be created for City residents and the public generally from increased employment, property tax revenue, and contributions from Developer toward public capital improvements; and

WHEREAS, the City and Developer have reached mutual agreement and desire to voluntarily enter into the Development Agreement to facilitate development of the Project subject to conditions and requirements set for therein; and

WHEREAS, previously, on June 20 and July 18, 2023, City Council adopted Resolution Nos. R-6-23 and R-73-23, which approved the Tentative Parcel Map No. 20358 and other related project approvals, including Ordinances Nos. O-06-23 and O-05-23 and the approval and adoption of the Initial Study/15183 Analysis pursuant to Public Resources Code section 21083.3 and State CEQA Guidelines section 15183 (“15183 Analysis”); and

WHEREAS, subsequently, the San Bernardino Superior Court (Case No.

CIVSB2317228) issued a peremptory writ of mandate, directing the City of Colton to void, vacate, and set aside the approvals set forth in Resolution Nos. R-6-23 and R-73-23, and any other resolutions related to the project, and further directed that prior to City Council taking any action with regard to issuance of any approvals related to Resolution Nos. R-60-23 and R-73- 23, the City shall conduct a mitigation analysis as it pertains to operational air quality impacts pursuant to the Court’s June 3, 2024 ruling and State CEQA Guidelines section 15183; and

WHEREAS, on February 3, 2025, City Council adopted Resolution No. R-04-26, to void, vacate, and set aside the approvals set forth in Resolution Nos. R-60-23, R-73-23, R-15- 24, R-16-24, and R-17-24 and Ordinances Nos. O-06-23 and O-05-23; and

WHEREAS, in order to address the peremptory writ of mandate in Case No.

CIVSB2317228, the City prepared a revised 15183 Analysis, in accordance with the provisions of the California Environmental Quality Act (“CEQA”); and

WHEREAS, pursuant to CEQA Guidelines section 15183, projects which are consistent with the development density established by existing zoning, community plan, or general plan policies for which an EIR was certified shall not require additional environmental review, except as might be necessary to examine whether there are project-specific significant effects which are peculiar to the project or its site; and

WHEREAS, IDI Agua Mansa, LLCis seeking City approval to allow for the construction of a new warehouse/office building at 1400 Agua Mansa Road and developer IDI Logistics is seeking City approval to allow for the construction and operation of a new warehouse/office buildings at 1500 Agua Mansa Road (“Project”);and

23152.06332\44603025.1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

WHEREAS, the City has conducted an analysis of the Project, consistent with CEQA Guidelines section 15183 (“Section 15183 Analysis”), and found that it is in conformance with the analysis and conclusions of the General Plan EIR, that there are no new significant off-site or cumulative impacts that were not analyzed in the General Plan EIR, that there are no adverse impacts that are more severe than those previously identified in the General Plan EIR.

WHEREAS, on February 3, 2026, the City Council held a duly noticed public hearing on the Development Agreement No. O-04-26 attached herein as Exhibit B-1; and

WHEREAS, at the public hearing, the City Council considered the Staff Report, the Development Agreement, and public testimony.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF
COLTON DOES ORDAIN AS FOLLOWS:

SECTION 1. . COMPLIANCE WITH THE CALIFORNIA ENVIRONMENTAL QUALITY ACT. As a decision-making body for the Project, the City Council has reviewed and considered the information contained in the Revised 15183 Analysis, comments received, and other documents contained in the administrative record for the Project. Based on the City Council independent review and analysis it finds that the Revised 15183 Analysis and administrative record contain a complete and accurate reporting of the environmental impacts associated with the Project, and that the Revised 15183 updated Analysis has been completed in compliance with CEQA and the State CEQA Guidelines.

SECTION 2. FINDINGS ON ENVIRONMENTAL IMPACTS. Based on the whole record before it, including the Revised 15183 Analysis, the administrative record, and all other written and oral evidence, the City Council finds that the Project will not have an adverse impact on the environment. According to Section 15183(a) (Projects Consistent with a Community Plan or Zoning), of the CEQA Guidelines, additional environmental review is not required for projects “which are consistent with the development density established by existing zoning, community plan, or general plan policies for which an EIR was certified,” except as might be necessary to determine whether there are project-specific significant effects. A Revised 15183 Analysis was prepared to evaluate the proposed Project’s consistency with the certified 2013 City General Plan EIR to determine whether it would have new or more severe significant environmental effects beyond those identified in the 2013 General Plan EIR. Environmental impacts associated with the proposed Project would be similar to those anticipated for the project area in the 2013 General Plan EIR. Mitigation beyond that identified in the 2013 General Plan EIR is not required. As such, pursuant to CEQA Guidelines section 15183, no additional environmental review or documentation is required under CEQA because all environmental impacts of the Project (DAP-001-816) are either less than significant or can be mitigated to a level of less than significant under the mitigation measures outlined in the Revised 15183 Analysis, alternatively, there is no substantial evidence in the administrative record supporting a fair argument that the Project may result in any significant environmental impacts.

SECTION 3. ADOPTION OF THE REVISED 15183 ANALYSIS. The City Council hereby approves and adopts the Revised 15183 Analysis as attached hereto as Exhibit “A-1.”.

23152.06332\44603025.1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

SECTION 4. ADOPTION OF THE MITIGATION MONITORING AND
REPORTING PROGRAM. In accordance with Public Resources Code section 21081.6, the City Council hereby adopts the MMRP previously adopted for the General Plan EIR as it pertains to the Project. In the event of any inconsistencies between the Mitigation Measures as set forth in the Section 15183 Analysis and the MMRP, the MMRP.

SECTION 5. LOCATION AND CUSTODIAN OF RECORDS. The documents and materials that constitute the record of proceedings on which this Resolution has been based are located at 659 N La Cadena Drive, Colton, CA 92324. The custodian for these records is Development Services Department. . This information is provided in compliance with Public Resources Code section 21081.6.

SECTION 6. NOTICE OF DETERMINATION. The City Council hereby directs staff to prepare, execute, and file a Notice of Determination with the County Clerk’s office and the Office of Planning and Research within five (5) working days of adoption of this Ordinance.

SECTION 7. Pursuant to California Government Code Section 65865, the City Council hereby approves the Development Agreement No. O-04-26, attached hereto as Exhibit "B-1", entitled "A Development Agreement No. O-04-26 between City of Colton and IDI Agua Mansa, LLC, a Delaware limited liability company” attached herein in Exhibit B-1 (aka “Agua Mansa Logistics Center, Building 2 Development Agreement”) (the "Development Agreement").

SECTION 8. Based on the entire record before the City Council and all written and oral evidence presented, the City Council finds this Development Agreement not be detrimental to the health, safety and welfare of the community because the Development Agreement will permit land uses that best reflect community needs, including the need for local employment opportunities and increased property tax revenue to fund City services, and will allow for the most efficient and logical development of the real property governed by the Development Agreement in the City.

SECTION 9. Pursuant to California Government Code Section 65867.5(b), and based on the entire record before the City Council, including all written and oral evidence presented, the City Council hereby finds that the Development Agreement is consistent with the General Plan because the Development Agreement will result in the development of the Property that is consistent with the uses and intensity allowed under the General Plan.

SECTION 10. Based on the entire record before the City Council and all written and oral evidence presented, the City Council finds that: (i) the economic interests of Colton citizens and the public health, safety and welfare will be best served by entering into the Development Agreement; (ii) this Development Agreement is compatible with the uses authorized in, and the regulations prescribed for, the area in which the Property is located; (iii) the Development Agreement is in conformity with the public convenience, general welfare and good land use practice; and (iv) the Development Agreement will not adversely affect the orderly development or the preservation of property values for the property it governs or any other property.

23152.06332\44603025.1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

The City Council further finds that among the public benefits to accrue to the residents of the City as a result of the Development Agreement are: (a) A one-time payment of $2 million to the general fund; (b) one-time capital contribution of $245,061 toward widening of the Rialto Channel Bridge; and (c) minimum solar offset payment to the general fund; and (d) agreement to annex into the City’s Maintenance and Public Safety Community Facilities Districts as fully referenced in Development Agreement No. O-04-26 hereto attached as Exhibit B-1.

SECTION 11. The City Clerk shall certify to the adoption of this Ordinance and shall cause the same to be posted as required by law. Pursuant to Government Code section 65868.5, within 10 days following the entering of the Development Agreement, as evidence by the full execution thereof, the City Clerk shall record the Development Agreement with the San Bernardino County Recorder.

PASSED, APPROVED, AND ADOPTED THIS 17 DAY OF FEBRUARY, 2026.

___________________________________
FRANK J. NAVARRO
Mayor
ATTEST:

__________________________________
ISAAC T. SUCHIL
City Clerk

APPROVED AS TO FORM:

__________________________________
Best Best & Krieger LLP
City Attorney

23152.06332\44603025.1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

EXHIBIT “A-1”
Final Initial Study/Consistency Checklist
Sections 1 through 5 and Appendixes are available
electronically at the following Colton, Planning Website:
https://www.coltonca.gov/779/Environmental-Documents

23152.06332\44603025.1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

EXHIBIT “B-1”
Development Agreement No. O-04-26