AGENDA
JOINT MEETING OF THE COTATI CITY COUNCIL AND THE SUCCESSOR AGENCY TO THE
FORMER COTATI COMMUNITY REDEVELOPMENT AGENCY
City Council Chamber, City Hall 201 W. Sierra Avenue
Tuesday, March 11, 2025
6:00 PM REGULAR MEETING
The Cotati City Council welcomes you to its meetings that are generally scheduled for the 2nd and 4th Tuesday of every month. Your interest and participation are encouraged and appreciated.
City Council meeting agendas, minutes and recordings are posted on the City’s Meeting Portal at www.cotaticity.gov. For questions about the agenda or to receive the City Council agenda by e-mail, contact the Deputy City Clerk at [email protected] or 707-665-3622.
Cotati City Council Meetings will be conducted in person in the Council Chamber. To guarantee your ability to participate, you must attend the meeting in person. As a courtesy to the public, the City allows citizens the opportunity to view and offer public comments virtually through Zoom Online video conferencing platform. Technical difficulties may occur that make the Zoom platform unavailable. If Zoom is unavailable, the meeting will continue. Participants considering using Zoom should consider attending in person, if they desire to ensure their ability to view the meeting and offer public comments.
Subject to the above disclaimer, Zoom Online video conferencing is available to watch or listen in the following ways:
1. Using the following online livestream link: https://www.youtube.com/@cityofcotati7280
2. Cable T.V. Broadcast, local channel 28
Members of the public can participate in the meeting online by clicking the link below:
https://us02web.zoom.us/j/89546096895?pwd=aVQy59dq7YeVQppqzsoqgCanQ4GWlz.1 If you do not have the ability to join online, but would like to participate in the meeting, you can call into the meeting using your telephone, by dialing one of the following numbers and entering the meeting credentials:
Webinar ID: 895 4609 6895 Passcode: 999532
+1 (669) 900-6833 or +1 (346) 248-7799 or +1 (253) 215-8782 or +1 (301) 715-8592 or +1 (312) 626-6799 or +1 (929) 436-2866 Attendees may join the meeting any time after 5:45pm. Attendees will be muted until they are called upon for Public Comment. To make a public comment, use the “raise hand” icon on your smart device or desktop computer, or dial *9 if you are using just your telephone. Please listen carefully for the Mayor or City Clerk to address you by name (or phone number) and for the audible Zoom notification that you have been unmuted. Once you begin your public comment, your three minutes will begin.
If you would prefer to submit your public comment in writing, please email your comments to [email protected]. If you are commenting on a specific agenda item or items, please state the agenda item number(s) in the subject line of the email. All comments received via email will be provided to the City Council or Planning Commission in writing and included as part of the record of the meeting.
Notice is hereby given that Council may discuss and/or take action on any or all of the items listed on this agenda.
Any writings or documents provided to a majority of the Cotati City Council regarding any item on this agenda will be made available for inspection in the online Meeting Portal at www.cotaticity.gov and in the City Manager’s office located at 201 West Sierra Avenue, Cotati, California, during the City’s posted business hours.
Disabled Accommodation: Upon request, this agenda will be made available in appropriate formats to persons with disabilities as required by Section 202 of the Americans with Disabilities Act of 1990. Any person with a disability who requires a modification or accommodation in order to participate in a meeting should contact the Deputy City Clerk at (707) 665-3622 at least 48 hours in advance of the meeting.
Rules of Decorum: To avoid distraction, the following meeting etiquette shall be enforced. • Silence electronic devices, including cell phones.
Cotati City Council Packet March 11, 2025
• Audience members are advised to keep conversations to a minimum or conduct them outside the building. • Photographs or video recordings using tri-pods or other means that would be distracting are to be taken only from the designated media area. • The Presiding Officer shall request that the audience withhold expressions of support or opposition for speakers in the interest of time and to encourage the full expression of differing views. (City Council Policy 2023-01 III.B.1.) Public Comment (Action items): Public comment on any one agenda item where the City Council will be taking some action is limited to no more than three (3) minutes per person. Action items are typically designated on the agenda title.
Public Comment (Non-Action items): Public comment on non- action agenda items shall be received during the designated portion of the agenda.
Comments shall be limited to no more than three (3) minutes for all non-action agenda items.
Waiver Warning: If you challenge decisions/direction of the City Council of the City of Cotati in court, you may be limited to raising only those issues you or someone else raised at public hearing(s) described in this agenda, or in written correspondence delivered to the City of Cotati at, or prior to, the public hearing(s).
City Council meetings are conducted according to City Council Policy 2023-01: City Council Rules. This policy available for inspection in the online Meeting Portal at www.cotaticity.gov and in the City Manager’s office located at 201 West Sierra Avenue, Cotati, California, during the City’s posted business hours.
Those wishing to address the Council are asked to complete a speaker card and give it to the City Clerk. When you are called, step to the podium and state your name and address for the record. Persons wishing to address the Council are not required to identify themselves or complete a speaker card; (Gov’t. Code § 54953.3); however, this information assists the Mayor by ensuring that all persons wishing to address the Council are recognized and it assists the City Clerk in preparing the City Council meeting minutes.
1. CALL TO ORDER
2. ROLL CALL
3. LAND ACKNOWLEDGEMENT
The City of Cotati recognizes that we’re on the ancestral lands of the Coastal Miwok, who are the original caretakers of this area. We respectfully acknowledge the Indigenous peoples who have been stewarding and maintaining a relationship on this land as knowledge keepers for millennia. This acknowledgement does not take the place of authentic relationships with Indigenous communities but serves as a gesture of respect to the land we are on.
4. PLEDGE OF ALLEGIANCE
5. APPROVAL OF MINUTES AND NOTICE OF WAIVING OF READING OF ALL
RESOLUTIONS AND ORDINANCES INTRODUCED AND/OR ADOPTED UNDER THIS
AGENDA (ACTION)
A. COTATI CITY COUNCIL – SPECIAL MEETING – FEB. 18, 2025 B. COTATI CITY COUNCIL – REGULAR MEETING – FEB 25, 2025
6. ANNOUNCEMENTS
A. Meeting Orientation for New Attendees/Viewers. In conformance with the Brown Act and the adopted City Council Rules, the meeting agenda includes items labeled as Action Items, where the City Council may consider the item. If the City Council considers the item, citizens will be afforded the opportunity to provide comments relevant to the item being discussed. The meeting agenda also includes a Citizens Business item, which is the designated place on the agenda where citizens have the right to say whatever they wish. However, the Brown Act prohibits the City Council from taking action or considering any item that is not on this agenda, to ensure that other members of the community who wish to provide comment are notified in advance through a properly noticed meeting agenda.
Cotati City Council Packet March 11, 2025
B. Measure S supports police services, a variety of recreation programs for all ages, and the maintenance of our streets, parks, and public buildings. See details on the web at cotaticity.gov.
C. Citizens interested in receiving City of Cotati community alerts via text or email are encouraged to enroll with CivicReady, by signing up on the City’s website, www.cotaticity.gov, under the “How do I” link at the top of the homepage.
D. Have you noticed a street light out, pothole, or issues in a City Park? We want to keep Cotati beautiful and running smoothly, so please let us know what needs to be fixed by going to the City website under “How do I” and “Report a Service Request.” E. Like always, we love to hear from you, so please feel free to contact the City at 707-792-4600 or [email protected]. If you have a non-emergency issue after normal business hours, you can contact us at 707-792-4611 and of course if you have an emergency, please contact 9-1-1. Continue to look for updates on the City's website and social media channels available on Facebook, Instagram, and CivicReady.
7. PROCLAMATIONS
A. PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF COTATI DECLARING MARCH 2025 AS AMERICAN RED CROSS MONTH
B. A PROCLAMATION BY THE CITY COUNCIL OF THE CITY OF COTATI DECLARING MARCH 16-22 AS NATIONAL SURVEYOR'S WEEK IN THE CITY OF COTATI
C. PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF COTATI DECLARING MARCH 2025 AS WOMEN’S HISTORY MONTH
8. PRESENTATIONS
A. PETALUMA PEOPLES SERVICES CENTER (PPSC) SERVICES IN COTATI It is recommended that the City Council receive a presentation from Petaluma Peoples Services Center (PPSC). No action will be taken.
9. APPROVAL OF FINAL AGENDA (ACTION)
This item will only be opened for the public comment if the City Council proposes to take any action to modify this agenda.
10. CITIZEN BUSINESS AND PUBLIC COMMENT FOR CONSENT CALENDAR ITEMS Any member of the public wishing to speak to the Council on any item(s) listed on the Consent Calendar or any matter(s) not listed on the agenda that are within the subject matter jurisdiction of the Council may do so at this time. Pursuant to the Brown Act, the Council is not allowed to consider issues or take action on any item not listed on the agenda. Pursuant to City Council Policy 2023-01, comments of any member of the public are normally restricted to a total of three (3) minutes in length per person for matters not on the agenda and a total of three (3) minutes per person in length for any and all items on the Consent Calendar. The Mayor may extend the time limit for a reasonable time where a disability accommodation has been requested. To facilitate public comment, the timer indicator lights will display yellow when there are thirty seconds remaining, and red when time has expired.
11. CONSENT CALENDAR (ACTION)
A. CONSIDERATION OF STANDARD SERVICE AGREEMENT FOR WELL 3 CAMERA Cotati City Council Packet March 11, 2025
AND DEVELOPMENT AND PUMP INSTALLATION
It is recommended the City of Cotati City Council by Motion approve a Standard Service Agreement with Weeks Drilling & Pump Co. for completing camera inspection, well development, pump installation and associated tasks for Well 3 and authorize the City Manager to execute said agreement and any needed change orders up to $60,000 which is within the total amount for the Well 1A/Well 3 Treatment Renewal and Replacement Project.
12. DIRECTION ON FUTURE AGENDA ITEMS
13. REGULAR AGENDA (ACTION)
A. PRESENTATION OF THE GENERAL PLAN ANNUAL REPORT
It is recommended the City Council review and accept the General Plan Annual Report.
B. PRESENTATION OF THE HOUSING ELEMENT ANNUAL REPORT
It is recommended the City Council review and accept the Housing Element Annual Progress Report (APR).
C. REVIEW PROPOSED SONOMA WATER TRANSMISSION SYSTEM BUDGET FOR FISCAL YEAR 2025-2026 AND PROVIDE DIRECTION TO CITY'S WATER
ADVISORY COMMITTEE MEMBER
It is recommended the City Council adopt a motion providing direction to the City’s Water Advisory Committee Member to endorse the proposed Sonoma Water Fiscal Year 2025-2026 Water Transmission System Budget
14. CITY MANAGER'S REPORT
15. CITY COUNCIL MEMBER REPORTS
16. PUBLIC COMMENT ON NON-ACTION AGENDA ITEMS
17. INFORMATION RECEIVED AFTER THE AGENDA WAS POSTED
18. ADJOURNMENT
Certification of Posting of the Notice: I declare under penalty of perjury that I am employed by the City of Cotati and that I posted this notice on the City’s website, bulletin boards of City Hall, Veterans’ Memorial Building and the SMART Train Depot, on or before March 7, 2025. /s/ Kevin Patterson, Deputy City Clerk
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PROCLAMATION
OF THE CITY COUNCIL OF THE CITY OF COTATI
DECLARING MARCH 2025 AS AMERICAN RED CROSS MONTH
WHEREAS, this March, we celebrate American Red Cross Month by recognizing the compassionate acts of people in Cotati and by renewing our commitment to lend a helping hand to our neighbors in need; and
WHEREAS, since Clara Barton founded the American Red Cross almost 150 years ago, generation after generation has stepped up to deliver relief and care across our country and around the world; and
WHEREAS, the volunteers, blood and platelet donors, and financial supporters who now give back through the Sonoma/Napa Disaster Response Area of the American Red Cross remain unwavering in their commitment to prevent and alleviate human suffering in the face of today’s emergencies; and
WHEREAS, these voluntary and generous contributions shine a beacon of hope in people’s darkest hours — whether it’s delivering shelter, food and comfort during disasters; providing critical blood donations for hospital patients; supporting service members, veterans and their families; saving lives with first aid, CPR, AED and other skills; or delivering international aid and reconnecting loved ones separated by global crises; and WHEREAS, this work to uplift our community is truly made possible by those who selflessly answer the call to help, whenever and wherever it’s needed; and WHEREAS, we hereby recognize this month of March in honor of their remarkable service, and we ask everyone to join in their commitment to care for one another.
NOW THEREFORE BE IT PROCLAIMED on this 11th day of March, 2025, that the City Council of the City of Cotati does hereby proclaim March 2025 as American Red Cross Month, and encourages all citizens of Cotati to reach out and support its humanitarian mission. ______________________________
Mayor
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PROCLAMATION
OF THE CITY COUNCIL OF THE CITY OF COTATI
DECLARING MARCH 16-22 AS NATIONAL SURVEYOR'S WEEK IN THE CITY OF COTATI
WHEREAS, surveying has been an essential element in the development of the human environment since the beginning of recorded history and it is a requirement in the planning and execution of nearly every form of construction with its most familiar modern uses in the fields of transport, building and construction, communications, mapping, and the definition of legal boundaries for land ownership; and
WHEREAS, in order to accomplish their objectives, surveyors use elements of engineering, physics, mathematics, astronomy, law, and history; and WHEREAS, since the colonial days of the United States, surveyors have been leaders in the community, statesmen, influential citizens, and shapers of cultural standards. Former notable surveyors include George Washington, Thomas Jefferson, Abraham Lincoln, Lewis and Clark, Daniel Boone, and Henry David Thoreau, among many others; and WHEREAS, many services are now provided through the use of sophisticated surveying equipment and techniques, including satellite-borne remote sensing devices and automated positioning, measuring, recording, and plotting equipment; and WHEREAS, the establishment of the week of March 16-22, 2025 as National Surveyors Week is a fitting tribute to all surveyors
NOW, THEREFORE, BE IT PROCLAIMED on this day of March 11, 2025, by the City Council of the City of Cotati that March 16-22, 2025, is hereby declared National Surveyor’s Week in the City of Cotati.
Approved:_____________________________
Mayor
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PROCLAMATION
OF THE CITY COUNCIL OF THE CITY OF COTATI
A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF COTATI DECLARING MARCH 2025 AS WOMEN'S HISTORY MONTH
WHEREAS, women have always played a critical role in shaping the economic, cultural, and social fabric of our society through their participation in the labor force, working both inside and outside the home, in leadership positions, and through creative inspiration; and WHEREAS, Women's History Month provides an opportunity for schools and communities to expand and enhance what our children and our community know about the women’s roles in history and their contributions to the development of this nation; and WHEREAS, the story of American women is the story of women of all ages, races and cultural backgrounds who led campaigns for equality and civil rights, advanced professional and educational opportunities, founded entirely new enterprises, and contributed significantly to the arts, sciences and humanistic causes; and
WHEREAS, women from every background have long realized that an uneven playing field will never bring equality or justice, and we all need to eliminate bias and discrimination entirely for our lives and institutions; and
WHEREAS, the 2025 theme for Women's History Month is “Moving forward together! Women Educating and Inspiring Generations”, which celebrates the collective strength and influence of women who have dedicated their lives to education, mentorship, and leadership; and WHEREAS, Women’s History Month is both a call to acknowledge outstanding women we know by name and to pay homage to the dedication of nameless women who contributed to our nation.
NOW, THEREFORE, BE IT PROCLAIMED on this day of March 11, 2025, by the City Council of the City of Cotati, in recognition of the significant role played by women, whose courage and vision inspire hope for today’s women to make tomorrow’s history, thereby proclaim the month of March 2025 as Women’s History Month in Cotati. .
Approved:______________________________
Mayor
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Cotati City Council
Agenda Staff Report
Item type: PRESENTATIONS
To: City Council
Subject: PETALUMA PEOPLES SERVICES CENTER (PPSC)
SERVICES IN COTATI
Date: March 11, 2025
Written by: Damien O'Bid, City Manager
Recommendation
It is recommended that the City Council receive a presentation from Petaluma Peoples Services Center (PPSC). No action will be taken.
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Cotati City Council
Agenda Staff Report
Item type: CONSENT CALENDAR (ACTION)
To: City Council
Subject: CONSIDERATION OF STANDARD SERVICE AGREEMENT
FOR WELL 3 CAMERA AND DEVELOPMENT AND PUMP
INSTALLATION
Date: March 11, 2025
Written by: Craig Scott, Director of Public Works/City Engineer Recommendation
It is recommended the City of Cotati City Council by Motion approve a Standard Service Agreement with Weeks Drilling & Pump Co. for completing camera inspection, well development, pump installation and associated tasks for Well 3 and authorize the City Manager to execute said agreement and any needed change orders up to $60,000 which is within the total amount for the Well 1A/Well 3 Treatment Renewal and Replacement Project.
Background
The City owns and operates a public water system providing drinking water for its residents and businesses. The water system consists of three wells which require ongoing maintenance and occasionally, a major piece of equipment will fail causing the well to be out of service. When equipment fails, the City needs to act quickly to make the repairs and bring the well back into service. During the period the well is offline, the City relies more on its other sources of water including its other wells and the water delivered from Sonoma Water.
Analysis/Discussion
In late-January this year, the submersible pump at the City’s Well 3 failed and the City reached out to two well servicing companies for quotes to replace the pump and perform inspections and development of the well. Development is typically done when well production has dropped or when the opportunity arises when the pump and piping have been removed for servicing. The development ensures the well operates efficiently and removes fine sediment that has accumulated clearing any blockages in the well screens improving water flow through the screens. The pump that failed was installed in 2014 and had exceeded its useful life of 7 to 9 years and, prior to its failure, Public Works staff had noticed a decrease in water production.
Therefore, cleaning the well, at this time, is recommended.
Staff requested and received quotes from two well-servicing companies to replace the pump and bring the well back into service. The quotes were similar with total prices of $77,573 from PumpMan and $51,795.28 from Weeks Drilling & Pump Co. with the low bid including the added tasks of well development and sanitizing the well. The City is responsible for collecting the bacteriological test and sending it to the lab for final clearance of the water quality before bringing it back into production.
Staff have reviewed and negotiated the service contract with Weeks Drilling & Pump Co., finds it to be fair and reasonable and recommends it for approval. Once approved, the pump is anticipated to take two weeks for delivery and the installation would be scheduled within a week or two. The work is expected to take a few days and clearing the well for production another few days. Therefore, the well is anticipated to be back in production by early April.
Financial Considerations
The City’s adopted Fiscal Year 24/25 budget includes the Well 1A/Well 3 Treatment Renewal and Replacement Project with a total Project amount of $68,000 and is sufficient to cover the proposed Well 3 work. The proposed well development (cleaning) and pump replacement are within the intended scope of this Project. There are additional renewal and replacement needs at Well sites 1a and 3, and Capital Improvement Projects are being proposed for the upcoming FY25/26 and 26/27 Budgets to address these needs.
Environmental Issues
This action is found to qualify for a Class 1 Categorical Exemption under CEQA Section 15301 in that the project consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of the existing or former use. 28 of 626
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Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: PRESENTATION OF THE GENERAL PLAN ANNUAL
REPORT
Date: March 11, 2025
Written by: Eli Arreola, Planning Technician
Recommendation
It is recommended the City Council review and accept the General Plan Annual Report.
Background
The City of Cotati General Plan identifies the City’s vision for the future and provides a framework that will guide decisions on growth, development, and conservation of open space and resources in a manner consistent with the quality of life desired by the City’s residents and businesses. The City adopted its current General Plan in March 2015. Annual Progress Reports (APRs) on General Plan implementation must be submitted to the State of California annually by April 1.
A General Plan is required by State of California law. While Annual Progress Reports on the Housing Element of the General Plan have been required by the State for many years, the requirement to provide a report on the other Elements of the General Plan is relatively new. The first year for which the State Office of Planning and Research (OPR) required an Annual Progress Report (APR) for the remainder of the General Plan was 2019.
Analysis/Discussion
Staff has prepared the 2024 General Plan APR, describing the City’s progress in implementing the goals of the Plan (excluding the Housing Element) during calendar year 2024. The APR reports on the specific actions set forth in the General Plan, and is organized by the different Elements of the Plan, which include:
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• Circulation
• Community Health and Wellness
• Community Services and Facilities
• Conservation
• Economic Vitality
• Land Use
• Noise
• Open Space
• Safety
• (Housing—APR prepared and submitted separately)
Cotati’s 2024 APR will be submitted to the state by March 26, 2025.
Financial Considerations
Not applicable.
Environmental Issues
The action of receiving the annual general plan report does not constitute a project as defined by California Environmental Quality Act Guidelines Section 15378; therefore, no further environmental review is required.
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Cotati City Council
Agenda Staff Report
Item type: REGULAR CALENDAR (ACTION)
To: City Council
Subject: PRESENTATION OF THE HOUSING ELEMENT ANNUAL
REPORT
Date: March 11, 2025
Written by: Eli Arreola, Planning Technician
Recommendation
It is recommended the City Council review and accept the Housing Element Annual Progress Report (APR).
Background
All cities and counties in California are required to have a General Plan and among the required elements of a General Plan is the “Housing Element.” A Housing Element provides an analysis of a community's housing needs for all income levels and identifies strategies to respond to and provide for those housing needs. In 1980, the State began requiring scheduled Housing Element updates and (pursuant to Government Code Section 65400) General Law Cities are required to submit an annual report on Housing Element progress (Annual Progress Report or APR) to the Office of Planning and Research (OPR) and the Department of Housing and Community Development (HCD), outlining the progress made towards implementing the City’s Housing Element.
Specifically, the Progress Report is required to detail local efforts to implement the City’s adopted Housing Element programs. The Progress Report must also detail the actions taken by the local government towards completion of the other adopted Housing Element programs and the status of the local government’s compliance with any associated deadlines in its Housing Element. The APR is to be considered at a public meeting before the legislative body where members of the public shall be allowed to provide oral testimony and written comments. This report was presented to the Planning Commission on March 3, 2025, and the City Council on March 11, 2025, and will be submitted to the HCD and OPR ahead of the April 1, 2025, deadline.
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California Department of Housing and Community Development The California Department of Housing and Community Development (HCD) reviews every local government’s housing element to determine whether it complies with state law and then submits written findings back to each local government. Jurisdictions must update their housing elements on a set schedule, with most following an eight-year cycle. Like most cities, the City of Cotati is on an eight-year cycle, with the current “6th Cycle” being from 2023-2031, making this APR the second report for the 6th Cycle.
These housing cycles have historically partially aligned with the schedule that the local council of governments/metropolitan planning organizations (or COGs/MPOs) use to update their Regional Transportation Plans (which are updated every four years). Additionally, the Regional Transportation Plans are now mandated to align with housing plans in Regional Sustainable Communities Strategies. In the Bay Area, the COG is commonly known as the Association of Bay Area Governments (ABAG) and the MPO is known as the Metropolitan Transportation Commission (MTC). These two organizations merged in 2016 and Plan Bay Area 2050 is the combined transportation plan and sustainable community strategy, the foundational document for all Bay-area communities’ Housing Elements.
Calculating the Housing Need in Each Region
HCD is responsible for determining the regional housing needs assessment (RHNA), segmented by income levels, for each COG. HCD starts with demographic population information from the Census and California Department of Finance and uses a formula to calculate a figure for each region/COG. Each COG uses its own demographic figures and growth projections to calculate what it believes the regional housing need is, gathering input from the individual communities within the COG to further refine their projections. Each COG then coordinates with HCD — considering additional factors which may not have been captured in the calculations — to arrive at a final figure. This final figure is the regional housing needs assessment (RHNA) for the region.
Regional Housing Needs Assessment Allocation
Once HCD and the COG have agreed to the region’s assessment figure (the amount of housing that must be planned for), the COG is responsible for allocating the housing need amongst all of the jurisdictions (cities/counties) within that region. The COG does this in a Regional Housing Need Allocation Plan (RHNA Plan) created with input from a Housing Methodology Committee (HMC), made of elected and staff representatives from individual communities, and based on individual input and statutory requirements. This methodology is then used to allocate individual communities their “share” of the regional RHNA. In a COG as diverse as the San Francisco Bay Area, it can be challenging to meet all the various needs and individual characteristics of each jurisdiction within the COG (for example Cotati is very different from Oakland, but both communities are under the ABAG/MTC COG). Both the methodology and individual RHNA allocations are ultimately approved by HCD before they are formally approved for each community within the COG. Cotati’s 6th Cycle RHNA is 234 units.
Finally, HCD was also mandated to evaluate the reasonableness of local fees charged to new developments, as defined. This study is required to include findings and recommendations 139 of 626
regarding potential amendments to the Mitigation Fee Act to substantially reduce fees for residential development. The results of this study could affect how communities throughout the State structure their development fees. The City Council has supported a review and update of impact fees as a component of the FY24/25 workplan for the Community Development Department and this update is underway. Staff anticipates final adoption of the fee update in Spring 2025.
Analysis/Discussion
As identified, the current eight-year 6th cycle “RHNA”, runs from 2023 to 2031. The number of housing units constructed during this timeframe provides one metric for how HCD assesses a jurisdiction’s progress toward meeting the assigned RHNA numbers for that cycle. The Annual Production Report (attached) provides the basis for this assessment. As identified, the City is reporting to begin the current eight-year RHNA cycle which began Jan. 1, 2023. This is also the basis by which HCD may exercise its’ new authority to refer jurisdictions to the State Attorney General for enforcement due to lack of progress in housing production.
The attached APR is a template report required by HCD to demonstrate progress on the current housing element. As such, it includes both accounting metrics on the number of homes approved and constructed within the City, and a progress summary for each of the programs in the current housing element. Staff directs the public, Planning Commission, and City Council to Table D for more information on each of these topics. Below is a summary of the housing units by income level required to be constructed by December 31, 2031, in compliance with the City’s RHNA allocation.
Income
Level:
Very Low
Income
(<50% of Area
Median Income)
Low Income
(50-80% of Area
Median Income)
Moderate
Income
(80-120% of Area
Median Income)
Above
Moderate
Income
(>120% of Area
Median Income)
Total
RHNA
Allocation:
60 34 39 101 234
The above table displays the City’s RHNA allocation for the 6th cycle, distributed by affordability level. As of December 31, 2024, the City has issued entitlements, building permits, and/or certificates of occupancy for approximately 346 total units within this planning period.
Projects in various stages of the development process will contribute units toward the City’s RHNA (upon issuance of Building Permits) as identified below:
Income
Level:
Very Low
Income
(<50% of Area
Median Income)
Low Income
(50-80% of Area
Median Income)
Moderate
Income
(80-120% of Area
Median Income)
Above
Moderate
Income
(>120% of Area
Median Income)
Total
RHNA
Allocation:
36 4 3 303 346
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As shown in the table above, Cotati will have issued sufficient entitlements to meet its allocation of above moderate-income units and have made significant progress in meeting its allocation of very low-income units if these project move forward with development. The proposed 100% affordable development at 120 East Cotati Avenue will significantly help with the City’s remaining BMR unit allocations by contributing approximately 44 units between the VLI and MI income categories.
City Affordable Housing Requirements
In accordance with Chapter 17.31 of the Cotati Municipal Code, all housing developments of 10 or more units must deed-restrict 15% of their housing units as designated affordable housing.
Developments of 9 or fewer units may pay a “Housing in-lieu” fee. Generally, affordable housing must be built distributing portions of the below market rate units across income levels, at a ratio based on the City’s unmet RHNA. Affordable housing must be similar to the market rate units within the development, and must be distributed throughout the project, unless a housing plan has been approved by the City Council allowing the affordable units to be built elsewhere in the City, or the developer applies a “concession on incentive” allowed under state density bonus law. All affordable units are restricted for a minimum of 55 years.
Legislative Update Summary
Below staff has provided a short description of the most consequential housing related legislation passed in 2024. This is a partial list of housing legislation affecting the City’s review of housing development projects and applicable regulations. Further, staff has attached a summary of the 2024 housing bills passed by the State legislature, and the most recent changes in mandates to the local review process for housing development. This summary is brief and incomplete but is intended to provide a contemporary perspective on the recent laws affecting the development review process and the policy direction to be recommended by staff in the coming months and years, including programs to implement the 6th Cycle Housing Element Programs.
AB 3093 (Ward)-Housing Element Updates
AB 3093 adds two new income categories that jurisdictions must plan for in their 7th cycle housing elements: extremely low-income and acutely low-income households. Extremely lowincome is defined as between 15% and 30% of the area median income, and acutely low-income is defined as between 0% and 15% of the area median income. Effectively, this legislation requires jurisdictions to plan for housing suitable for some percentage of said jurisdiction’s homeless population.
SB 937 (Wiener) Impact Fee Deferrals
SB 937 allows for development impact fees to be paid at building occupancy instead of building permit issuance for “designated residential development projects.” These projects include: 100% affordable projects, low-barrier navigation projects, several types of projects that qualify for streamlined approvals, density bonus projects, and projects with fewer than 10 units. This bill aims to reduce the impact of market fluctuations and high interest rates on housing development by delaying the collection of impact fees.
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AB 2729 (Patterson) Entitlement Extensions
AB 2729 provides an 18-month entitlement extension for residential developments that were issued entitlements prior to January 1, 2024, and are set to expire before December 31, 2025.
This bill is a response to economic conditions that have correlated with housing projects not moving forward with development. For the City, this extension will apply to the entitlements issued for the Cotati Station project. Further, this legislation does not preclude the City from issuing its own extensions for any approved entitlements.
Financial Considerations
The City maintains an Affordable Housing Fund intended to support the development of affordable housing within Cotati. Affordable housing in-lieu payments are remitted to this account for residential development projects which are allowed to pay in-lieu fees (generally those which are less than 10-units in size) and commercial projects paying the linkage fee. The City recently utilized approximately $1,650,000 of this fund to purchase 120 E. Cotati Avenue and the account has an outstanding loan to the sewer fund for approximately $700,000 Separately, the City has committed approximately $620,000 to support the affordable housing units of the Cotati Station apartment project. The Fiscal Year 24/25 budget will reflect these commitments (as appropriate). Staff anticipates the remaining fund balance will support implementation of the City’s 6th Cycle affordable housing programs.
CD staff was also successful in obtaining $415,000 in Priority Development Grant funds, in addition to the $50,000 in competitive REAP grant previously received to support an update to the Santero Way Specific Plan. The project was approved by the council on February 11, 2025.
Environmental Issues
The action of receiving the annual housing report does not constitute a project as defined by California Environmental Quality Act Guidelines Section 15378; therefore, no further environmental review is required.
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Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: REVIEW PROPOSED SONOMA WATER TRANSMISSION
SYSTEM BUDGET FOR FISCAL YEAR 2025-2026 AND
PROVIDE DIRECTION TO CITY'S WATER ADVISORY
COMMITTEE MEMBER
Date: March 11, 2025
Written by: Craig Scott, Director of Public Works/City Engineer Recommendation
It is recommended the City Council adopt a motion providing direction to the City’s Water Advisory Committee Member to endorse the proposed Sonoma Water Fiscal Year 2025-2026 Water Transmission System Budget
Background
Sonoma Water has a Technical Advisory Committee (TAC) comprised of staff from the prime water contractors (specific cities and water districts that purchase water from Sonoma Water, as named in the Restructured Agreement for Water Supply), and a Water Advisory Committee (WAC) comprised of designated elected officials from these same prime water contractors.
At the TAC meeting on March 3, 2025, Sonoma Water presented the attached proposed budget for the TAC consideration and recommendation to the WAC. The TAC unanimously approved the proposed budget. At the prior joint WAC/TAC meeting on February 3, 2025, the WAC Chair set April 7, 2025, as the special meeting date to have the WAC vote on the proposed FY 25/26 Water Agency water transmission system budget.
Analysis/Discussion
The proposed Budget package prepared by Sonoma Water is attached and contains a summary, table of contents and budget detail sheet. In January, the Technical Advisory Committee (TAC) formed a Budget Subcommittee, and the Committee met with Sonoma Water staff over the past six weeks to review the proposed budget. The Committee met several times and sent questions to 206 of 626
Sonoma Water Staff. These questions were responded to and helped guide several iterations of the proposed Budget package. Questions addressed topics including ensuring costs for work on the Potter Valley Project are not included in the rates, requesting a list of projects specifically planned for each aqueduct, potential of extending bond terms to lower impact on rates, the status of active capital projects, and the status of on-going studies including the Regional resiliency Study. A summary of the changes made from the initial January 17, 2025, draft, are on page iv of the attached Budget package.
The Committee’s intent was to seek transparency in the budget process and ensure drivers of the rates are not overstated. For example, Capital Project budgets have been consistently overstated as not all the projects are initiated or advanced according to the budget’s schedule. This year, as with prior years, Sonoma Water scaled back its capital program to reflect more realistic delivery schedules, resulting in a significant reduction in the proposed rate. The Committee’s understanding is that critical projects are not postponed as a result of it’s inquiries into the budget. Rather, any adjustments are a result of a more in-depth review of the practicality of delivering these projects in a given timeframe.
In accordance with the Restructured Agreement for Water Supply (the wholesale water supply agreement for the prime water contractors, including Cotati), the City’s wholesale water rate is tied to the Petaluma Aqueduct rate. The proposed overall increase to the wholesale water rate for FY 25/26 is 10.76 percent. Based on the Restructured Agreement for Water Supply, the rates are to be based on the lower of the prior 12-month average or 3-year average (44,530 or 42,407 Acre-Feet, respectively). The projected water deliveries for use in the FY25/26 budget, therefore, is the 3-Year average of 42,407.
The water rate is comprised of four groupings of charges as follows: 1) Operations and Maintenance, 2) Aqueduct Facilities Capital Charges, 3) Storage Facilities Capital Charge, and 4) Common Facilities Capital Charge. Page 7 of the attached budget shows the proposed water rate for the aqueducts and broken down by these groups. The rate groupings are each described below.
Operations and Maintenance
This charge consists of a base O&M charge and four sub-charges that together make up the “Total O&M Charge”. The base O&M charge would increase by $13.77/AF (1.4%) due to cost for maintenance equipment, equipment rentals and leases, SCADA system contributions, utilities, staff labor costs tied to negotiated labor agreements, and other expenditure increases offset by decreases in contract services. Operating Transfers increased due to the increase in Petaluma Aqueduct Capital Charges. A summary of the O&M fund changes for FY25/26 compared to the FY24/25 adopted budget is shown on page vi, and changes to the O&M rate, revenues and expenditures are shown on pages xii and xiii of the attached documents.
The four sub-funds within the Total O&M Charge are as follows:
1. Water Management Planning. This sub-fund increases by $4.22/AF. This sub-charge is used primarily to fund the Urban Water Management Plan and the annual water supply and demand 207 of 626
assessment. The plan is required by the State for years ending in zero and five. The increase is due to work needed to prepare and submit the 2025 Urban Water Management Plan and offset by the existing fund balance of $156,000.
2. Watershed Planning/Restoration. This sub-charge is used primarily to fund activities required for the implementation of the Biological Opinion. This sub-charge would increase by $5.66/AF (14.1%) which is on top of an 11% increase in FY24/25. The rate increase is primarily a result of costs associated with maintenance of Dry Creek Phases 4 and 5, RRIFR Estuary Management & Monitoring, the new Biological Opinion, and fire fuel reduction offset by the increased use of fund balance.
3. Recycled Water & Local Supply. This sub-charge is used primarily for funding recycled water and local supply projects. Fiscal Year 2025/26 rate is increased from zero to $0.14/AF for depreciation. Expenditures were decreased due to Sonoma Water’s share of Groundwater Sustainability Agency mandatory fees moving to the Agency Operating Fund.
4. Water Conservation. This sub-charge is used for funding regional water conservation efforts, such as regional media ads and supporting the regional Sonoma-Marin Water Saving Partnership. This sub-charge is to increase by $4.29/AF (7.2%) following a 10.2% increase the prior year. The rate increase is primarily due to not being able to use as much fund balance to offset rates as was used in prior two years.
Summaries of the major expenses in each of these sub-funds can be found on pages xiii through xv of the attached Proposed Sonoma Water FY 25/26 Transmission System Budget.
Aqueduct Facilities Capital Charge
A discretionary charge is added by the water Contractors to build fund balance for future aqueduct capital projects and to provide rate stabilization. The Contractors on the Petaluma Aqueduct, Cotati, Rohnert Park and Petaluma, decided the past two years to use the fund to stabilize rates and the funding rate is zero. This year, the Contractors decided to reinstate the charge at $10/AF.
Storage Facilities Capital Charge
FY25/26 rate is $31.5 and is to increase by $18.6/AF (59.2%). The rate is calculated by dividing the annual debt service and reserve requirements by water deliveries. Total Debt service is higher than previous year due to issuance of 2025 Bonds for capital projects in the Storage Fund and decrease in budgeted water deliveries. The debt was to fund the construction of new storage tanks. Sonoma Water does not consider tank remediation (i.e. recoating, seismic retrofits, cathodic protection systems) as capital projects so these are paid for out of the O&M fund and not the Capital fund.
Common Facilities Capital Charge
The rate increase is $65.1/AF or 49.6%. The rate is calculated by dividing the annual debt 208 of 626
service and reserve requirements by water deliveries. The total debt service is higher than the previous year due to issuance of 2025 Bonds for capital projects in the Common Fund and a decrease in budgeted water deliveries.
Petaluma Aqueduct Bond/Loan Charge
This is a new charge of $15.7/AF to Cotati, Rohnert Park and Petaluma. Petaluma Aqueduct pays an additional revenue bond charge for the bonds associated with Ely BPS Flood Control and Electrical Upgrade and Wilfred Booster Station Projects. Reduced Aqueduct Capital Charge and use of Fund Balance in prior years results in total Debt service and rate increase that are higher in FY 2025/26 as Petaluma Aqueduct will be bonding for the first time with the 2025 Revenue Bond Issuance.
Financial Considerations
Approval of the budget is expected to result in an increase of 10.76 percent to the wholesale rate of water that the City purchases from Sonoma Water. Purchases from Sonoma Water account for 30.5 percent of the City’s total water operating expenses. This is following a10 percent rate increase last year. The City’s 5-Year rate model includes a 5.5 percent increase for the years 2024, 2025, and 2026. However, due in part to Sonoma Water increases significantly exceeding projected increases used in the City’s rate model, the City has updated its rate analysis and is including rate adjustments in line with Sonoma Water’s proposed increase.
Cotati, Rohnert Park and Petaluma TAC representatives all agreed to add the discretionary Capital Charge back into their rate at $10/AF which adds 0.78 percent to the rate.
this year and the prior two years averaging about 10 percent are a deviation from the prior 12 years where rates of increase varied between 3.5 and 6.9%.
A slide of the attached power point, shows a chart comparing the proposed Sonoma Water rate increase to other wholesale water agencies. Even with the proposed rate increase, Sonoma Water’s rate remains well below those of other wholesale water agencies. It is important to note, however, other agencies have complex treatment plants and other factors which make the system's costs not fully comparable.
As with the City’s financial planning, the Sonoma Water long range financial model’s goal is to provide long term rate stability while preparing for long range capital projects. The goal is to build up capacity for future projects, while avoiding large year-over-year rate increases.
Environmental Issues
Council action on this item is exempt from the California Environmental Quality Act (CEQA) because it does not constitute a project as defined by CEQA Guidelines Section 15378. 209 of 626
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Cotati City Council
Agenda Staff Report
Item type: INFORMATION RECEIVED AFTER THE AGENDA WAS POSTED To: City Council
Subject: INFORMATION RECEIVED AFTER THE AGENDA WAS POSTED Date: March 11, 2025
Written by: Kevin Patterson, Deputy City Clerk
Recommendation
Information or written comments pertaining to this meeting, and which was received after the agenda was posted, is attached below.
Pursuant to City Council Policy 2023-01: City Council Rules section IV A., written Communications, interested persons or their authorized representative may address the Council by written communication on any matters concerning the City’s business, or any matters over which the Council has control.
1. To be considered for inclusion in the agenda packet, such written communication shall be delivered to the Deputy City Clerk no later than 11:00 a.m. of the Wednesday the week preceding the regular Council meeting for which such written communication is intended.
2. If received after the above date and time, but no later than noon the day before the meeting, written communications received by the Deputy City Clerk shall be posted on the website by the end of that day and notification provided to the electronic Agenda mailing list by the end of the day. All written communications received by the Deputy City Clerk by 5 pm on the City Council meeting day shall be made available to the City Council and public at the City Council meeting.
City Council Policy 2023-01 is available at the online meeting portal at www.cotaticity.gov or by request from the Deputy City Clerk at 707-665-3622 or [email protected]. 314 of 626