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, February 10, 2026
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 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 meeting portal link: https://www.youtube.com/@cityofcotati7280/streams
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/81740629911?pwd=32GUZQsni82AQyWm82MZeMCQAEXE6q.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: 817 4062 9911 Passcode: 998358
+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 in writing and included as part of the record of the meeting. They will not be read aloud into the record at 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, in accordance with the City Council Rules of Conduct.
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.
Accommodations: Upon request, this agenda will be made available in appropriate formats to persons with disabilities as required by Section Cotati City Council Agenda February 10, 2026
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 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.
• Audience members are advised to keep conversations to a minimum or conduct them outside the building. • Members of the public are prohibited from speaking, yelling, or otherwise making loud noises from the audience that disrupt the orderly proceeding of the meeting.
• 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.
Public Comment: Public comment on any one agenda item is limited to no more than three (3) minutes per person, in accordance with the City Council Rules of Conduct.
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).
Announcements:
A. Meeting Orientation for New Attendees/Viewers. In conformance with the Brown Act and the adopted City Council Rules, if the City Council is considering an item in which action will be taken, citizens will be invited to provide comments relevant to the item being discussed.
The meeting agenda also includes a Citizen Business item, which is the designated place on the agenda where citizens have the right to comment on any matter within the City’s subject matter jurisdiction. However, Citizen Business items do not generally receive a response because the Brown Act prohibits the City Council from taking action or considering any item that is not on this agenda, so as to ensure that other members of the community who wish to provide comment are notified in advance through a properly noticed meeting agenda. Nonetheless, in accordance with the Brown Act, the Council may briefly respond, may ask a question for clarification, or may direct an item be placed on a future agenda.
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 nonemergency 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.
City Council meetings are conducted according to City Council Policy 2025-03: City Council Rules of Conduct. 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 - ROLL CALL
2. 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 – REGULAR MEETING – JAN 27, 2026
3. PROCLAMATIONS (ACTION)
A. PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF COTATI DECLARING THE MONTH OF FEBRUARY 2026 BLACK HISTORY MONTH Cotati City Council Agenda February 10, 2026
4. AGENDA REVIEW (ACTION)
5. 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 2025-03, 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.
6. CONSENT CALENDAR (ACTION)
A. CONSIDERATION AND ADOPTION OF A RESOLUTION APPROVING 2026 ROLLIN' ROSIES CAR SHOW IN LA PLAZA PARK ON MAY 9, 2026 It is recommended that the City Council of the City of Cotati adopt a resolution approving the 2026 Rollin' Rosies Car Club Car Show Fundraiser in La Plaza Park.
B. APPROVAL OF 2026 CITY OF COTATI KIDS DAY EVENT IN LA PLAZA PARK It is recommended that the City Council adopt a resolution approving the 2026 City of Cotati Kids Day Parade & Festival.
7. DIRECTION ON FUTURE AGENDA ITEMS
8. REGULAR AGENDA (ACTION)
A. CIRA INSURANCE UPDATE
It is recommended that the City Council receive a presentation on the state of the general liability insurance market and insurance captives. No action will be taken.
B. MID-YEAR FINANCIAL REPORT FOR FISCAL YEAR 2025/26
It is recommended the City Council receive and file the Mid-Year Financial Report for Fiscal Year 2025/26; and adopt a Resolution amending the Fiscal Year 2025/26 Operating Budget to reflect updated revenue projections and expenditure adjustments.
C. STRATEGIC PRIORITY REVIEW AND UPDATE
It is recommended that the City Council receive an update on the status of the Strategic Planning projects and programs for FY 25-26 and FY 26-27 and provide direction to staff, as appropriate.
D. TRAFFIC SIGNALIZATION PROJECT
It is recommended that the City Council adopt a resolution authorizing the City Manager to execute the necessary agreements with DC Electric and allocation of the necessary funds for the detailed traffic signal improvements and emergency backup.
E. DISCUSSION ON POTENTIAL TOPICS FOR FUTURE COMMUNITY-POLICE
ADVISORY COMMITTEE MEETINGS
It is recommended that the City Council discuss and provide direction to staff, if any, on items that the City Council would like the Community Police Advisory Committee to consider.
9. LAND ACKNOWLEDGMENT & PLEDGE OF ALLEGIANCE
The City of Cotati recognizes that we’re on the ancestral lands of the Coastal Miwok, who are the Cotati City Council Agenda February 10, 2026
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 millenia. This acknowledgment does not take the place of authentic relationships with Indigenous communities but serves as a gesture of respect to the land we are on.
10. CITY MANAGER'S REPORT & COUNCILMEMBER REPORTS
11. INFORMATION RECEIVED AFTER THE AGENDA WAS POSTED
12. 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 February 6, 2026. /s/ Kevin Patterson, City Clerk
MINUTES
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, January 27, 2026
6:00 PM REGULAR MEETING
1. CALL TO ORDER - ROLL CALL
Mayor Lemus called the meeting to order at 6:00pm.
Attendee Name Title Status
Sylvia Lemus Mayor Present
Susan Harvey Vice Mayor Present
Ben Ford Councilmember Present
Laura Sparks Councilmember Absent
John Savage Councilmember Present
Staff Present: City Manager Damien O’Bid, City Attorney John Bakker, City Clerk Kevin Patterson, Director of Administrative Services Angela Courter, Director of Community Development Noah Housh, Director of Public Works/City Engineer Craig Scott, Police Lieutenant Paul Goodin, Recreation Manager Ashley Wilson
2. 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 – REGULAR MEETING – JAN 13, 2026 No public comment.
RESULT: Approve [4 TO 0]
MOVER: Susan Harvey, Councilmember
SECONDER: John Savage, Councilmember
AYES: Lemus, Harvey, Ford, Savage
NAYS: None
ABSENT: Sparks
3. AGENDA REVIEW (ACTION)
Mayor Lemus requested to move item 7A to after 7C. There being no objection from the Council, the item was moved.
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4. 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 2025-03, 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.
Public Comment:
Laurie Alderman of Cotati
George Barich of Cotati
Michael Ceremello
5. CONSENT CALENDAR (ACTION)
A. COUNCIL ASSIGNMENTS AS REPRESENTATIVES AND LIAISONS TO VARIOUS COMMITTEES FOR CALENDAR YEAR 2026
B. CONSIDERATION AND ADOPTION OF RESOLUTION APPROVING THE 2026 CITY
OF COTATI CLIMATE READY COTATI FAIR
C. MEASURE S ANNUAL REPORT AND LETTER FROM OVERSIGHT COMMITTEE FOR FISCAL YEAR 2024/25
D. ENDORSEMENT OF THE CITY OF COTATI’S APPLICATION FOR THE WHALE
TAIL GRANT FUNDS FROM THE CALIFORNIA COASTAL COMMISSION RESULT: Adopt [4 TO 0]
MOVER: Susan Harvey, Councilmember
SECONDER: Ben Ford, Mayor
AYES: Lemus, Harvey, Ford, Savage
NAYS: None
ABSENT: Sparks
6. DIRECTION OF FUTURE AGENDA ITEMS
Councilmember Ford requested a future agenda item for the Council to discuss topics they would like agendized for the Community-Police Advisory Committee.
7. REGULAR AGENDA (ACTION)
B. RANCHO ADOBE FIRE DISTRICT LEASE EXTENSION - COTATI FIRE STATION Presentation by City Manager Damien O’Bid.
Councilmembers comment.
Public Comment:
Jeff Velliquette of Rancho Adobe Fire District
Laurie Alderman of Cotati
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George Barich of Cotati
Council asked Staff to investigate options for striping the parking area adjacent to the Lion’s Club on E. Sierra Ave.
C. APPROVAL OF 2026 COTATI CULTURAL GRANT AWARDEES
Before the presentation of this item, Mayor Lemus announced that she would recuse herself due to family connections with some of the groups applying for the cultural grant.
Presentation by Recreation Manager Ashley Wilson.
Councilmembers comment.
Public Comment:
Tom Kearney
Lilia Gonzalez
Maria Lemus
RESULT: Approve [3 TO 0]
MOVER: Ben Ford, Councilmember
SECONDER: John Savage, Councilmember
AYES: Harvey, Ford, Savage
NAYS: None
ABSENT: Sparks
RECUSED: Lemus
A. 120 EAST COTATI AVENUE DISPOSITION AND DEVELOPMENT AGREEMENT This item was moved to after item C during Agenda Review.
Before the presentation of this item, Councilmember Ford announced that he would recuse himself due to owning property near the project site.
Presentation by City Manager Damien O’Bid and Robin Zimbler of FreeBird Development.
Councilmembers comment.
Public Comment:
Laurie Alderman of Cotati
George Barich of Cotati
Aaron Hadzess
Katie Stupian
Chris Palomo
Chrissy
Damon H.
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RESULT: Adopt [3 TO 0]
MOVER: Susan Harvey, Councilmember
SECONDER: John Savage, Councilmember
AYES: Lemus, Harvey, Savage
NAYS: None
ABSENT: Sparks
RECUSED: Ford
After this item, Council took a brief recess.
D. FOOD AND MOBILE BUSINESS ORDINANCE WORKSHOP
Presentation by Director of Community Development Noah Housh.
Councilmembers comment.
Public Comment:
Laurie Alderman of Cotati
George Barich of Cotati
Michael Ceremello
Jessica N of Cotati
Council provided general feedback to Staff for a potential ordinance, including:
-Support for expansion of community gardens, market gardens, and chicken keeping -Limitations on operating hours for food trucks parked next to residential parcels -Limitations on operating locations for food trucks, to not interfere with existing restaurants -Limitations on operating hours for outdoor dining/parklets that abut residential/mixed use parcels
E. REVIEW OF THE CITY OF COTATI’S DRAFT CYBERSECURITY AND DATA
PROTECTION POLICIES
Presentation by Director of Administrative Services Angela Courter.
Councilmembers comment.
No public comment.
Council recommended that Staff reach out to Cal Cities and/or CIRA to inquire if they have a model policy.
8. LAND ACKNOWLEDGMENT & PLEDGE OF ALLEGIANCE
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 millenia. This acknowledgment does not take the place of authentic relationships with Indigenous communities but serves as a gesture of respect to the land we are on.
9. CITY MANAGER'S REPORT & COUNCILMEMBER REPORTS
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Report by City Manager Damien O’Bid.
Councilmembers report out on local and regional events and meetings.
10. INFORMATION RECEIVED AFTER THE AGENDA WAS POSTED
11. ADJOURNMENT
Mayor Lemus adjourned the meeting at 10:07pm.
/s/ Kevin Patterson, City Clerk
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PROCLAMATION
OF THE CITY COUNCIL OF THE CITY OF COTATI
DECLARING THE MONTH OF FEBRUARY 2026 BLACK HISTORY MONTH WHEREAS, National African American History Month first originated as Negro History Week in 1926 as part of an initiative by writer and educator Dr. Carter G. Woodson to recognize the heritage and achievements of African Americans and to enhance knowledge about African American history; and
WHEREAS, the national theme for Black History Month in 2026 is "A Century of Black History Commemorations” honors 100 years of celebrating, studying, and preserving Black history, recognizing the evolution from a week-long initiative to a month-long national, and global, observance; and
WHEREAS, as we celebrate the 250th birthday of our country, this theme highlights the importance of preserving Black history, especially in the face of efforts to erase this history from our public spaces, museums and schools; and
WHEREAS, in celebrating the entire history of African Americans, the City places into the national spotlight the wide-ranging contributions to the history of the United States with an eye towards what the rest of the twenty-first century will bring.
NOW, THEREFORE, BE IT PROCLAIMED that the City Council of the City of Cotati proclaims the month of February as Black History Month in Cotati and calls on the community to study African American history and advocate for preserving an inclusive and accurate history in our schools and public spaces by visiting sites such as asalh.org (Association for the Study of African American Life and History), attending local Black History Month events, and to acknowledging the value that African American community members add to the vibrancy and culture of our city.
Approved:______________________________
Mayor
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Cotati City Council
Agenda Staff Report
Item type: CONSENT CALENDAR (ACTION)
To: City Council
Subject: CONSIDERATION AND ADOPTION OF A RESOLUTION
APPROVING 2026 ROLLIN' ROSIES CAR SHOW IN LA
PLAZA PARK ON MAY 9, 2026
Date: February 10, 2026
Written by: Ashley Wilson, Recreation Manager
Recommendation
It is recommended that the City Council of the City of Cotati adopt a resolution approving the 2026 Rollin' Rosies Car Club Car Show Fundraiser in La Plaza Park.
Background
The Rollin’ Rosies Car Club is an all-female car club based in Sonoma County. They are a 501c3 nonprofit organization supporting mental health awareness and suicide prevention in the community.
They are proposing to host their large fundraiser event this year in La Plaza Park for the fourth time.
Given its prime location and success from the past three years, they are again proposing to host this year’s event La Plaza Park on Saturday, May 9, 2026.
Analysis/Discussion
Rollin’ Rosies Car Clubs has requested the following: 1) exclusive use of La Plaza Park; 2) food truck and vendor sales of food and beverages; 3) live, amplified entertainment; 4) alcoholic beverage sales; 5) street closures of La Plaza between West Sierra Ave and Old Redwood Highway; 6) parking lot closure of the public parking lot on the corner of La Plaza Street and West Sierra Ave.
The event is a “Poker Run” fundraiser event, which begins in Healdsburg and travels to four 11 of 140
other stops, will end in La Plaza Park, where they will have live music, food, and drink vendors.
Classic cars will be parked on La Plaza Street between Old Redwood Highway and West Sierra Avenue, as well as in the public parking lot adjacent to the park on West Sierra Avenue. This event is family friendly and free to the public to attend but there will be a fee charged to participants of the “Poker Run” portion of the event. The event will feature music and vendors between 2:00pm-6:00pm. Rollin’ Rosies Car Club is requesting exclusive use of the park, closed street/parking lot, and bandstand from 9:00am-7:00pm to allow for setup, breakdown, and cleanup. They will remain in the park until 8:00pm for cleanup but the street and parking lot can reopen by 7:00pm. The event at La Plaza Park will be free of charge to attend. The event will include vendors and food trucks selling food, beverages, and merchandise. Alcoholic beverages will be sold in association with the festival.
Rollin’ Rosies Car Club has reviewed the City’s insurance requirements and has indicated that they will provide adequate insurance. A Condition of Approval has been included which requires proof of insurance be supplied to the City before the event.
A Condition of Approval has been included which requires the California Department of Alcohol and Beverage Control to approve a temporary permit to allow for the sale of alcohol to be supplied to the City before the events.
Financial Considerations
Rollin’ Rosies Car Club has requested fee waivers for their event. Financial considerations for the City would be a 50% fee waiver per the City Park Use and Special Event Policy since they are a registered nonprofit organization.
In accordance to the Park Use and Special Event Policy, fees will be assessed as follows:
Fees Amount Discount Adjusted Fee
Special Event Application Fee $54.00 $(27.00) $27.00
Small Street Closure Fee 769.00 (384.50) 384.50
Restroom Cleaning Fee 100.00 (50.00) 50.00
Large Event Non-Resident Permit Fee 548.00 (274.00) 274.00 Total Fees Before Deposit $1,471 ($735.50) $735.50
Special Event Refundable Security Deposit 500.00 - 500.00 Total Fees and Refundable Deposit Collected $1,971 ($735.50) $1,235.50 TOTAL FEES COLLECTED (including refundable deposit): $1,235.50 12 of 140
Environmental Issues
This action is exempt from the California Environmental Quality Act (CEQA) because it is not a project which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, pursuant to CEQA Guideline section 15378.
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RESOLUTION NO. (XX)
APPROVING 2026 ROLLIN’ ROSIES CAR SHOW IN PLAZA PARK ON MAY 9, 2026
WHEREAS, the Rollin’ Rosies Car Club submitted an application to the City for the Car Show Fundraiser on July 15, 2025; and
WHEREAS, it will be necessary to conform to certain conditions as described in Exhibit A, attached hereto, to facilitate this event; and
WHEREAS, the City Council finds that this event is part of a comprehensive economic development strategy by the City in that it will increase visitation to the City, promote the Cotati community and result in increased sales tax revenues; and WHEREAS, the City Council further finds that the health, safety, and welfare of the citizens of the City of Cotati will not be jeopardized by the approval of this event; and WHEREAS, the application for these events is attached as Exhibit B; and WHEREAS, in accordance with the adopted Park Use policy, groups with an IRS nonprofit designation, or other governmental organizations, can request a 50% discount in the permit fees if there are no admission fees associated with the planned event; and WHEREAS, the action of approving a Car Show Fundraiser event does not constitute a project as defined by California Environmental Quality Act Guidelines Section 15378; therefore, no further environmental review is required.
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Cotati as follows:
Section 1. Findings. The above recitals are declared to be true and correct and are incorporated herein as findings of the City Council.
Section 2. Approval of Conditions. The City Council hereby approves the Conditions of Approval for these events, attached as Exhibit A, and Rollin Rosies Car Club is hereby required to comply with the attached Conditions of Approval.
Section 3. Approval of Fee Waivers for the Rollin Rosies Car Club. The 50% fee waivers (per the City Park Use Policy), as described in the accompanying Staff Report, is hereby approved to facilitate these events.
Section 4. Effective Date of this Resolution. This Resolution shall become effective immediately.
Section 5. Severability. Each portion of this resolution is severable. Should any portion of this resolution be adjudged to be invalid and unenforceable by a body of competent jurisdiction, then the remaining resolution portions shall be and continue in full force and effect, except as to those resolution portions that have been adjudged invalid. The City Council of the 14 of 140
City of Cotati hereby declares that it would have adopted this resolution and each section, subsection, clause, sentence, phrase and other portion thereof, irrespective of the fact that one or more section, subsection, clause, sentence, phrase or other portion may be held invalid or unconstitutional.
IT IS HEREBY CERTIFIED that the foregoing resolution was duly adopted at a regular meeting of the City Council of the City of Cotati held on February 10, 2026, by the following vote, to wit:
Approved:___________________________
Mayor
Attest:______________________________
Kevin Patterson, City Clerk
Approved as to form:______________________________
City Attorney
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EXHIBIT A
CONDITIONS OF APPROVAL
1. The applicant is granted exclusive use of La Plaza Park from Saturday, May 9th, 2026, at 9:00 a.m. through 7:00 p.m. for the event scheduled from 2:00 p.m. to 6:00 p.m. This approval includes amplified live entertainment.
2. The applicant shall submit a deposit of $500 within 30 days of approval of this event.
3. Applicant shall provide the City with proof of insurance for all events and vendors, as required, to the satisfaction of the City, prior to the event.
4. Applicant shall provide the City with a map of the event, specifically where vehicles will be parked for the car show, no later than 7 days prior to the event.
5. Applicant shall obtain a Daily License from the Department of Alcoholic Beverage Control (ABC). The City authorizes the sale and consumption of beer and wine only; a copy of the license, as well as evidence of responsible beverage service training, shall be provided to the City prior to the event date.
6. Applicant shall notify all neighboring businesses and residents of the event and street closures, no later than 14 days prior to the event.
7. The applicant shall obtain the required permits and follow all regulations from the Sonoma County Environmental Health Department and shall ensure each food vendor complies with Health Department requirements.
8. The applicant shall ensure that all vendors follow Cotati Municipal Code 8.20.030 (Prohibited food service ware and products), which bans the selling or serving of food ware that contains polystyrene foam or PFAS.
9. The applicant shall comply with all local, state, and federal laws regarding trash, recycling, and composting collection and sorting.
10. The applicant shall ensure the public facilities (park, parking spaces, and streets) are cleaned completely and returned to pre-event conditions within 2 hours of event end time.
11. The event shall be carried out as described in the written descriptions submitted by the applicant and in compliance with these Conditions of Approval.
12. The applicant shall contact the Rancho Adobe Fire Protection District and comply with any permit requirements of the District.
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Cotati City Council
Agenda Staff Report
Item type: CONSENT CALENDAR (ACTION)
To: City Council
Subject: APPROVAL OF 2026 CITY OF COTATI KIDS DAY EVENT IN
LA PLAZA PARK
Date: February 10, 2026
Written by: Ashley Wilson, Recreation Manager
Recommendation
It is recommended that the City Council adopt a resolution approving the 2026 City of Cotati Kids Day Parade & Festival.
Background
The Annual Kids Day Parade and Festival has been ongoing for many years in Cotati. This year, the City will once again be producing this annual event, the 33rd Annual Cotati Kids Day Parade and Festival, to take place on Saturday, July 11th, 2026 with a theme of construction and building.
Analysis/Discussion
Below is a summary of the event. The logistics, operation, and participants are anticipated to be very similar to the 2025 event. The request includes the following: 1) exclusive use of La Plaza Park; 2) closure of public streets, including parking spaces; 3) live, amplified entertainment as well as dogs and other animals (ponies and reptiles) and inflatable jump houses in the park; 4) food truck and other vendor sales in the park.
Event: Kids Day Parade & Festival
Attendance: 3,000
Dates: Saturday, July 11
Times (including set-up): 7:00am-7:00pm
California Vehicle Code Section 21101 (e) authorizes the temporary closing of any street for celebrations, parades, local events, and other purposes when, in the opinion of local authorities 24 of 140
having jurisdiction, the closing is necessary for the safety and protection of persons who are to use that portion of the street during the temporary closing. In these instances, the public street would be heavily used for the parade, vendor logistics, porta-potties and equipment, so closure would be in the best interest of public safety. The Police Department will notify the appropriate public and emergency response agencies of the closures.
The Kids Day Parade and Festival is a yearly event that brings thousands of children and adults together. The parade will begin at 10:00 am with staging at the Community Center on East School Street, continuing east on West Sierra Avenue to Henry Street to Old Redwood Highway, where it will turn north to terminate at La Plaza Park. Participants will then enjoy multiple activities and events for children in La Plaza Park, including amplified live entertainment, until 3:00 pm. To maximize the safety of those attending, the Police Department would need to temporarily close certain streets during the parade portion of the event. Additionally, La Plaza Street from Old Redwood Highway to West Sierra Avenue behind the park will need to be closed for the duration of the event.
Financial Considerations
This event is widely marketed and has increased the number of visitors to the City. The increased visitation is evidenced at the event and local businesses. The event provides increased opportunities to promote economic development and increased sales tax revenue.
Financial considerations for the City would be expenditures of approximately $30,000 in supplies, vendors, and staff costs accommodated in both FY 25-26 and FY 26-27 budgets.
Summary of estimated costs by function and department are below:
Staff Time
Recreation - 132 Hours* $ 16,662
Public Works - 20 Hours** 3,820
Police - 20 Hours*** 4,460
Supplies/Vendors
Emcee 500
Decorations 3,000
Prizes 500
Stage Rental 500
Volunteer Meals (mutual aid, cadets, etc.) 500
$ 29,942
* Recreation prep work and day of event – 132 hours (57 part time staff hours, 75 full time staff hours)
** Public Works prep work, day of event, and next day cleanup - 20 hours
*** Police day of event – 20 hours
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A portion of the costs associated with hosting the event are recovered through sponsors and fees collected by vendors attending the festival. The 2025 event brought in $13,038 in revenues for sponsorship donations and vendor fees. The revenues for 2026 are expected to be similar.
Environmental Issues
This action is exempt from the California Environmental Quality Act (CEQA) because it is not a project which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect change in the environment, pursuant to CEQA Guideline section 15378.
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RESOLUTION NO. (XX)
APPROVAL OF KIDS DAY FESTIVAL AND PARADE ON JULY 11, 2026,
INCLUDING CLOSURE OF STREETS DURING CERTAIN HOURS, USE OF LA
PLAZA PARK AND OTHER RELATED APPROVALS
WHEREAS, the City of Cotati produces the annual Cotati Kids Day Festival, traditionally held in La Plaza Park, and Parade; and
WHEREAS, California Vehicle Code Section 21101(e) authorizes temporary street closures where certain conditions exist; and
WHEREAS, it will be necessary to temporarily close certain streets, as described in the Exhibits attached to facilitate these events; and
WHEREAS, the closure is necessary for the safety and protection of persons who are to use that portion or portions of the street(s) during the temporary closing; and WHEREAS, the Chief of Police of the City of Cotati will arrange for temporary street closure and traffic re-routing, which would minimize the traffic hazard conditions and allow for orderly movement of traffic; and
WHEREAS, the Chief of Police will contact the Rancho Adobe Fire Protection District, ambulance service providers, bus service providers, and others who may need ingress, egress, or the ability to traverse the affected area and will reasonably provide for their needs; and WHEREAS, the City Council finds that this event is part of a comprehensive economic development strategy by the City of Cotati in that it increases visitation to the City, promotes the Cotati community and results in increased sales tax revenues; and WHEREAS, the action of approving a Kids Day Parade and Festival does not constitute a project as defined by California Environmental Quality Act Guidelines Section 15378; therefore, no further environmental review is required.
NOW THEREFORE BE IT RESOLVED, that the City Council finds:
1. The above recitals are true and correct and are incorporated herein by reference.
2. The closure of La Plaza Park for use for the Kids Day Festival on Saturday, July 11, 2026, between 7:00 a.m. and 7:00 p.m. is hereby approved, to include amplified music, food truck and other vendor sales, and other Kids Day activities as described in the accompanying staff report.
3. The temporary closure of portions of La Plaza, East School Street, West Sierra Avenue, Henry Street and Old Redwood Highway on July 11, 2026, between the hours of 7:00am and 7:00pm is hereby approved.
4. The use of staff time and City Funds for the Kids Day Parade and Festival, as further described in the accompanying staff report, is hereby approved. 27 of 140
5. The Conditions of Approval, attached as Exhibit A to this resolution, are hereby approved.
IT IS HEREBY CERTIFIED that the foregoing resolution was duly adopted at a regular meeting of the City Council of the City of Cotati held on February 10, 2026, by the following vote, to wit:
Approved:___________________________
Mayor
Attest:______________________________
Kevin Patterson, City Clerk
Approved as to form:______________________________
City Attorney
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EXHIBIT A
CONDITIONS OF APPROVAL
KIDS’ DAY PARADE AND FESTIVAL
1. The City of Cotati shall ensure the public facilities (park, parking spaces and streets) are cleaned completely and returned to pre-event condition within 48 hours of the event.
2. The event shall be carried out as described in the written descriptions submitted by the applicant, approved by the City Council, and in compliance with these Conditions of Approval.
3. The City of Cotati is granted exclusive use of La Plaza Park, including closure of all public streets and parking spaces necessary to accommodate the parade and event, on Saturday, July 11th, 2026 from 7:00 am to 7:00 pm for the event to be held from 10:00 am to 3:00 pm. This approval includes amplified live entertainment and parade assembly at 9:00 am at the Community Center, then traveling from City Hall to La Plaza Park via E. School Street, West Sierra Avenue, Henry Street and Old Redwood Highway.
4. The City of Cotati shall arrange for trash, recycling, and compost bins and porta-potties to be delivered and collected.
5. The City of Cotati shall provide at least twenty-four volunteers who will support public safety activities. Each volunteer shall wear a reflective vest provided by the Cotati Police Department.
6. The City of Cotati shall adhere to the following approved event area and parade route:
Festival
o West Cotati Avenue from Olof/William Streets to La Plaza o La Plaza from West Sierra Avenue to West Cotati Avenue o La Plaza from West Cotati Avenue to Old Redwood Highway Parade Staging Area & Route
o East School Street
o El Rancho Drive
o West Sierra Avenue between Valparaiso Avenue and Old Redwood Highway o Henry Street
o Olof Street
o Delano Street
o Page Street
o Old Redwood Highway between Henry/Charles Streets and La Plaza o East Cotati Avenue between La Plaza and Old Redwood Highway 29 of 140
Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: CIRA INSURANCE UPDATE
Date: February 10, 2026
Written by: Damien O'Bid, City Manager
Recommendation
It is recommended that the City Council receive a presentation on the state of the general liability insurance market and insurance captives. No action will be taken.
Background
The City is a member of the California Intergovernmental Risk Authority (CIRA), a statewide risk-sharing Joint Powers Authority (JPA) providing comprehensive coverage to cities, towns, and non-municipal public agencies throughout California. Representing over 60 California cities and growing, they primarily provide coverage for general liability, property, workers compensation and a variety of sublines.
Analysis/Discussion
The insurance market, particularly in general liability, continues to experience significant challenges for a variety of reasons. Staff will review the current state of the insurance market.
Attached is a summary of the general liability market for reference.
Partially in response to this, CIRA is working on forming a ”captive” insurance company, which is also summarized in the attached slides.
Financial Considerations
There are no financial impacts related to receiving this presentation.
Environmental Issues
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Where it can be determined with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA review.
This general rule can be applied to activities which could be subject to the CEQA process, but which logic dictates should not be subject to CEQA review. Therefore, based on the information provided above, the proposed resolution is exempt from CEQA pursuant to Section 14.03.021 of the CEQA Guidelines in that there is no possibility that the activity may have a significant impact on the environment.
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January 28, 2026
To: General Liability Program Members
From: Gina Dean, CEO
Re: GL Programs Stakeholder Communication
We’ve all heard that doing the same thing over and over again and expecting a different result is the definition of insanity. As respects the general liability market, we continue to see the same factors that have created extreme hard market conditions - nuclear verdicts and settlements driven by (among other things):
• Legal system abuse
• Changes in the regulatory and legal environment
• Growing distrust of large corporations/government
• An increasing propensity to sue
• Courts/Juries favoring plaintiffs
• An extremely aggressive and organized plaintiffs’ bar • Third Party Litigation Financing (TPLF)
And while even the most optimistic among us don’t expect much of a different result for this year’s renewal (so not really meeting the definition of insanity) it is certainly enough to drive us all crazy!
The dramatic increase in severity losses that the industry has experienced over the last decade has caused the hard market conditions we continue to face has similarly impacted PRISM’s GL programs as well. Our members have experienced the same sort of extreme large loss activity as others throughout the market, resulting in higher premiums in recent years. However, the ability to collectively retain more risk and the combined purchasing power of the group continues to produce a dramatically better result than what could be achieved through individual placements in the market. In what is a dramatically shrinking insurance market in terms of available capacity, just the fact that PRISM is able to purchase reinsurance, opens up additional markets that individual risks can’t access. As the liability environment that we operate within continues to re-set, PRISM remains the best solution for California public entities.
As we work towards creating a different result, PRISM and our members continue to leverage our size and resources as a group to address these increasing costs by taking action to prevent, control, and mitigate losses. We are also actively engaging in efforts to affect positive legislative reform and helping oppose adverse changes. Lastly, we continue to communicate on the trends and issues that we are faced with so that we can effectively 32 of 140
explain them to our various constituents and provide a clear picture of what we are doing together to address them. The attached document is one step in that effort.
To further educate our membership regarding the challenges in the GL marketplace and the things PRISM is doing to take on those challenges, we plan to hold several Zoom meetings over the coming weeks during which we will discuss these issues in greater detail and answer any questions that members have after reviewing these materials. We are prepared to also have individual calls/meetings with members who may want assistance in preparing communications to their stakeholders. In the meantime, myself and the rest of the PRISM and Alliant staff stand ready to answer questions and assist any way that we are able.
As noted above, the collective financial strength, expertise, and resources continue to make PRISM the best solution even, and perhaps especially, through these hard market conditions.
Please don’t hesitate to reach out to us for assistance.
Sincerely,
Gina Dean
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The same thing over and over
The Casualty insurance market continues to be extremely challenging, driven by the same factors that have caused the hard market conditions that we have experienced over most of the last decade. There has been a real shift in terms of available capacity, underwriters’ appetite, and pricing adequacy. This shift is a result of the much higher volume of larger losses than in the past. In other words, the frequency of severity. The disproportionate rise in claims
cost is illustrated in the graph to
the left showing that the
percentage increase for liability
insurance losses has
dramatically outpaced the
change in the consumer price
index over the last 10 years.
Supporting this data, Advisen,
a leading provider of data to the
Property & Casualty (P&C)
market, reported that the
median cost of a single fatality
trended at a 20% increase per
year from 2016-2021. Swiss
Re, one of the world’s largest reinsurance companies, noted that U.S. Liability claims costs rose by an annual average of 16% over that same time period. Unfortunately, social inflation is alive and well.
Nuclear/Thermonuclear Verdicts
Across the United States, nuclear verdicts continue to be a leading driver of the rising liability costs. The number of verdicts exceeding $10M rose to 135 in 2024, representing a 52% increase from the prior year, and the total sum of all nuclear verdicts for the year was a staggering $31.1B. The claim values are getting so big that the new category of Thermonuclear verdicts (those over $100M) had 49 such claims in 2024 alone. Due to the various factors we will discuss later in this report (often collectively referred to as “social inflation”), the cost of claims is dramatically higher today than in the past. A very good example of this increase can be seen in 2 different “hot coffee” cases separated by 30 years. We probably all remember the original McDonalds case from the early ‘90s where a woman who had spilled a hot cup of coffee in her lap sued the hamburger chain, resulting in what was then a shocking almost $3M award ($6.4M in today’s dollars). Fast forward to March of last year where a similar incident at a Southern California Starbucks resulted in a $50M verdict. Even by Starbucks standards that is one expensive cup of coffee!
Source: APCIA via BLS Federal Reserve Economic Data and S&P Global Market Intelligence. 34 of 140
Larger Verdicts Lead to Larger Settlements
The size of these verdicts also drives much larger settlement amounts, further increasing the total cost of liability claims. Defendants facing skyrocketing demands and observing the verdicts described above often feel forced to settle at higher and higher values. No better recent example exists than the historic $4B settlement that the County of Los Angeles agreed to in 2025 to resolve almost 7,000 claims of child sexual abuse tied to its juvenile detention facilities and the now-closed MacLaren Children’s Center foster care facility (a second $828M settlement was reached for additional claimants later in the year). Claims for the abuse alleged to have taken place during the 1980s through the early 2000s were made possible due to AB 218, the so-called Reviver statute that temporarily extended the statute of limitations for survivors of childhood sexual abuse and permanently increased the statute going forward. The initial settlement of just over $4B is the largest sexual abuse settlement in history.1 While this is the biggest example, L.A. County is far from the only public entity impacted by AB 218. Although school districts have been especially negatively impacted by these revived claims, counties, cities, towns, and medical providers have also been impacted causing significant strain on budgets and detrimental impact on their ability to provide services. Many entities are resorting to creative financing to manage the financial impact.
For example, in June 2025, the Los Angeles Times reported that the LAUSD Board had approved selling up to $500M in bonds to help finance their own AB 218 related claims, which will add to the total claims costs but will spread the impact over 15 years and reduce the impact on its annual budget. And it’s certainly not just sexual abuse claims resulting in extreme settlement values. Just last month, the City of San Diego approved a $30M settlement in a single plaintiff fatal police shooting case. Nuclear verdicts have certainly led to nuclear settlements.
Legal System Abuse
None of the above is to imply that legitimate victims don’t deserve appropriate compensation. However, the cost of that
compensation has increased
substantially and disproportionately over
the last decade, with a significant portion
of both jury awards and settlements
going to those other than the plaintiff.
According to the latest research from the
U.S. Chamber’s Institute for Legal
Reform (ILR), costs and compensation in
the U.S. tort system amounted to $529B
in 2022, equivalent to 2.1% of U.S. GDP
and $4,207, per American household.
1 The County of Los Angeles is not a member of PRISM.
$2,000 -
$2,750
$2,750 -
$3,000
$3,000 -
$3,750
$3,750 -
$5,000 $5,000+
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The study also found that only 53 cents of every dollar go to plaintiffs. The rest covers litigation costs and other expenses. These eye-popping numbers show that our civil legal system is: 1) expensive; 2) inefficient; and 3) broken. As a result, every household in the U.S. is footing the bill through higher prices on everything from household products to services to insurance costs.
Plaintiffs’ Bar
If only 53 cents out of every dollar is going to the plaintiff, then the other 47 cents is making others rich…namely the Plaintiffs’ Bar. The increased payouts severely impact defendants, as well as society (and for government agencies, ultimately the taxpayers), but are a massive incentive for the plaintiff bar to keep seeking cases and pushing for larger and larger outcomes. We have all been so inundated with the advertisements on television, radio, billboards, and the internet promising millions if you’ve been injured or wronged that we are likely desensitized to just how pervasive they are. The following facts about the amount of advertising done by the Plaintiffs’ Bar are disturbing and, sadly, true:
• $2.6B spent on almost 27 million plaintiff attorney ads in 2024 • $11.3B spent in the 5-year period from 2020 to 2024
• A 39% increase over that time period
• States with the most money spent: CA, FL, TX, NY and GA • Jurors concerned/influenced by advertisements = 90%
• 15.3X Result increase with attorney involvement
The Plaintiffs’ Bar is not only interested in driving up verdicts and settlements, they are also very well organized and successful. They have developed proven tactics such as the Reptile Theory where they use juror anger to instill a sense of fear or danger in the juror’s minds, so they lash out at the perceived attacker (i.e. the defendant) and/or use safety rules to divert the juror’s attention away from the real legal standard. Another favorite and highly lucrative approach is the use of Anchoring. This involves the plaintiff attorney throwing out arbitrary and very high verdict values early and often throughout the trial process so that when it comes time for the jury to deliberate an award, the number that has been repeated by plaintiff’s counsel throughout the trial seems reasonable and appropriate. Even if the jury doesn’t award the entire anchored number, it is typically set so high that even coming off the number to perhaps “somewhere in the middle” still results in a largely inflated verdict. Jurisdictions are taking steps to address Anchoring, with 1/3 of the States now limiting Anchoring in some way (Campbell, Chao, & Robertson, 2017).
Unfortunately, California is not yet one of them.
Third-Party Litigation Funding (TPLF)
It’s not just the Plaintiffs’ Bar that is investing in the outcome of these claims. Third Party Litigation Funding (TPLF), a rapidly growing, multibillion-dollar global industry allows outside investors to provide capital to a party (plaintiff or law firm) to cover legal expenses in exchange for a share of any successful settlement or judgment, operating on a nonrecourse basis (no repayment if the case loses). This practice is purely speculative with the financers betting on the outcome of the trial. While TPLF is often described by those 36 of 140
that partake in it as providing funds to enhance the pursuit of justice, in practice, it often has the opposite effect. By making it more likely that plaintiffs or their attorneys will have sufficient funding to prosecute even questionable claims at trial, third-party funding may create pressure on defendants to settle all but the most frivolous claims, and at amounts much higher than the probable value based on the merits. In fact, third-party funding is likely to encourage even the filing of frivolous lawsuits in cases where the potential payout is not very large.
Impact of Third-Party Litigation Funding
1. Increasing the volume of litigation - External capital through TPLF has enabled law firms – including small law firms – to expand plaintiff recruitment efforts through increased advertising
2. Increasing settlement values - Plaintiffs are seeking greater recoveries to satisfy their obligations to the funder. Because the rates of repayment are so high, plaintiffs are rejecting fair settlement offers to seek extra money to make up the amount they must repay
3. Increasing litigation costs - Since plaintiffs are receiving money up front, they have little incentive to settle a case early and reasonably, which leads to longer and costlier litigation. Businesses and insurance carriers will have to decide whether they are willing to pay more early on to resolve a case or pay the extra costs and expenses to litigate
4. Increasing frivolous claims - TPLF may incentivize plaintiffs to pursue frivolous lawsuits, especially in cases where the potential payout is very large, such as cases involving Commercial Auto and Umbrella policies.
5. Increasing premiums - The increased cost of TPLF is being passed down to the policyholder, resulting in higher insurance premiums. TPLF pushing up settlement and verdict size has had the greatest effects on premiums 37 of 140
Jurisdiction
The jurisdiction within which we operate continues to have a significant impact on claims costs, and our jurisdiction continues to be among the worst in the country. Since 2002, The American Tort Reform Foundation’s (ATRF) Judicial Hellholes® program has identified and documented places where judges in civil cases systematically apply laws and court procedures in an unfair and unbalanced manner, generally to the disadvantage of defendants.
More recently, as the lawsuit industry has aggressively lobbied for legislative and regulatory expansions of liability, the Judicial Hellholes® report has evolved to include law and rule-making activity, much of which can affect the fairness of any given jurisdiction’s civil justice climate as readily as judicial actions. At the right is the list of the top 10 Judicial Hellholes® for 2025/26.
Unfortunately, as shown in the following, California has ranked in the bottom 5 (meaning the worst) jurisdictions for the last 8 years with Los Angeles taking the top spot this year.
For much more detail on the jurisdictions who made the ATRA list this year, the following link will take you to the full 2025/26 Judicial Hellhole Report. A very interesting and disturbing read.
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Reserve Adequacy
The global consulting firm, Milliman, published research in 2025 showing that the cost increases described throughout this report caused U.S. casualty insurers to struggle with reserve adequacy in 2024. According to the study, insurers reported $7.8B in adverse prior-year development across all liability lines in 2024, more than double the $3.7B seen the previous year. Not surprisingly, this indicates that prior year pricing has proven to be inadequate against the rising costs of liability claims. As shown in the following graphs, this also impacts premium increases going forward as underwriters are forced to use higher and higher trend factors when forecasting future loss costs.
Trend, while warranted based on loss development in recent years, has an extreme impact on both analyzing prior year reserve adequacy and especially pricing new policy periods. Different carriers use different trend factors based on their own pricing and actuarial models. They range from 7.5% to as high as 12% to 13%. As shown above, an increase in trend has a magnified increase to the value of a claim as it gets older.
Capacity
All of the challenges described above occur to some degree or another all across the country. While California is particularly impacted, even those states with tort cap protection have been impacted as they experience accelerated migration of claims into federal courts where they are being pled as constitutional rights violations and can thereby avoid the state’s tort caps. As we operate in a finite marketplace, everything so far discussed shapes the carriers appetite for writing business and has a negative impact on the amount of capacity available in the market. The following chart from AmWins (the largest wholesale broker in the U.S.) clearly shows the decline in available capacity over the last decade. In summary, this lack of capacity has led to the hard market conditions and dramatic premium increases we have experienced in recent years. 39 of 140
Working to Create a Different Result
While we continue to see the same thing over and over in terms of the factors driving the hard market, we are not just sitting back and hoping for a different result. Instead, we are working to create a different result. PRISM and its members continue to invest effort, time, and resources into different strategies to mitigate the increasing costs.
PRISM has always been proactive in managing the GL programs with our exposure and experience-based allocation approach to ensure an equitable distribution of costs amongst the members. This year, after months of analysis and work with the Underwriting Committee, the GL1 Program implemented changes to the allocation formula making it more responsive to losses by shifting more costs to those members that are hitting the Program with higher-than-average losses. The Program also negotiated a buy-down of the Pool layer with Chubb, generating protected surplus and protecting the Pool against downside risk of adverse loss development. The Program also invested heavily in the Benchmark Analytics Early Intervention System. Benchmark works with law enforcement agencies by using data science to transform how agencies measure and improve officer performance, wellness, and success. Their predictive analytics can help to identify and prevent loss scenarios before they occur. The GL2 Program introduced a corridor deductible into the $10M xs $15M layer to mitigate premium increase. It is also considering the use of Benchmark Analytics.
PRISM was also among the first Joint Powers Authorities (JPAs) in the nation to establish its own captive insurance company, PRISM ARC. The Captive has been used strategically to earn greater investment returns on monies held to pay claims in the group corridor deductible layers. Public entities are very restricted in what they can invest in, impacting overall returns. The Captive, while still very conservative, is not as restricted and can therefore generate higher yields. This is a benefit to PRISM members as it allows PRISM to discount the premiums to the members in anticipation of the investment returns.
Domestic Capacity
Historical vs. Current Public Entity Liability Market Participation (*approximate 10 year to present)
Per Occurrence Limits only. Not reflective of restriction in Aggregates 40 of 140
The organization has also hired staff to assist in reducing the overall cost of risk in many different areas. PRISM’s claims staff works closely with the members and their TPAs to accurately reserve open claims and to develop strategies to resolve them as cost effectively as possible. With the right facts and in the right circumstances, this can mean taking the case to trial and achieving a defense verdict. Other times, it is more cost effective to reach a settlement. Members can rely on PRISM staff’s expertise to assist in making these decisions. PRISM staff see large, complex claims from all over the state and have relationships with complex claims resources at the carrier level. They are able to leverage this experience and expertise to assist in strategy, suggest expert witnesses and other resources, determine an appropriate case reserve, and advise on settlement negotiations.
PRISM is among the nation’s few JPAs with internal actuarial staff and the only one we are aware of with its own Data Scientist. These specialized human resources leverage the massive volume of data that PRISM’s Data and Analytics Department collects from the membership on a monthly basis to better predict future costs and identify loss trends.
This trend identification allows PRISM’s robust Risk Control and Member Services staff to tailor training and services to address problem exposures and developing member needs. As previously noted, a new service offering, Benchmark Analytics, is specifically designed to address one of the Program’s lead loss drivers - law enforcement liability.
PRISM also takes an active role in the legislature. The Legislative Committee works with their lobbyists to oppose legislation beneficial to the Plaintiffs’ Bar and support that which is helpful to the defense. In recent years, they have been successful in inserting immunities into numerous bills that otherwise would have created additional liability exposure for public entities. PRISM also works with other JPAs and associations to gather data to support legislative efforts.
At the recent PRISM Executive Committee and Committee Chair Retreat, a considerable amount of time was spent discussing how to best protect public funds against many of the issues discussed in this report. There was general support to invest heavily in efforts to promote tort reform and educate the public about the waste of taxpayer dollars. The Executive Committee will continue to advance these initiatives in future meetings.
Finally, PRISM and its broker, Alliant, have developed long-term relationships with excess insurance and reinsurance underwriters. They work throughout the year to not only maintain their participation on the program in a very difficult claims environment, but also to analyze structural changes and other strategies to make the overall cost as efficient as possible. This can include changes in the layering of the Program to maximize the available carrier capacity, as well as the prudent use of self-insurance in the pool layer and/or corridor deductibles, or PRISM quota share participation in the excess layers.
While PRISM’s premiums will increase for 2026/27, the premiums are still less costly than an entity would likely be faced with outside of PRISM. A testament to the continued 41 of 140
competitiveness of the Program are the new members that join each year at considerable price savings compared to their other stand-alone or JPA options. In addition to premium savings, PRISM members enjoy broader coverage and avoid coverage restrictions and limitations that are often quoted outside of PRISM.
Member’s Response
There are several steps that can, and should, be taken by members during these turbulent times.
1. First, communicate the state of the market to all your stakeholders, so there is an understanding that this is an industry-wide problem. We are happy to participate on conference calls or attend meetings to assist with this communication if so desired.
2. The severity of claims is on the rise. If you are not yet participating in the Optional Excess Liability (OEL) Program, consider doing so. This Program provides 3 options of additional limits in excess of the GL programs: $10M, $15M, or $25M.
Alliant will be prepared to offer another, higher layer of optional limits for those interested.
3. Anticipate an increase in your own SIR funding being suggested by your actuary.
4. It may be tempting to consider increasing your SIR to save premium dollars; however, this needs to be weighed against the increased cost to fund the higher SIR. In addition, given these new severity trends, all things being equal, the bias should be toward transferring risk due to the uncertainty of these changing claim trends.
5. Manage your individual risk by taking advantage of the best practices programs and service partner programs we offer. The cheapest claim is the one that didn’t happen.
6. Vigorously defend the claims that are defensible.
7. In a hard market environment, the quality of loss data will undergo additional scrutiny. Make sure your data is in good condition.
8. Stay up to date on maintenance, inspections, and trainings.
9. Support legislative change beneficial to defendants.
10.Help educate the public that the costs of nuclear verdicts are not borne by the insurance industry, but rather by the public entities and ultimately the taxpayers.
The importance of #10 cannot be stressed enough. When members have high-value claims settle or awarded by verdict, it can be tempting to comfort constituents by letting them know “we’re covered by insurance.” However, the public won’t ever truly understand the magnitude and impact of social inflation and nuclear verdicts if entities aren’t forthright in acknowledging that these do in fact cost the entity, and ultimately the taxpayer, a lot of money. Please click here for sample language for your use in messaging.
Last but not least, PRISM Risk Control staff wants you to know that you are not alone while managing the multitude of risks facing your agency. Our team of specialists is here 42 of 140
to help, whether by providing direct consultation or connecting you with one of our trusted partners. Regardless of the topic, we encourage you to reach out to the Risk Control team for assistance with your organization’s risk management challenges.
We would also like to call your attention to a few services and resources we think you should be taking advantage of:
General Liability
• PRISM members are provided free access to our in-house Labor Law/Employment Practices Services. The service provides members with unlimited telephone calls, email communications, and/or faxes to answer employment law questions as they arise. PRISM also provides step-by-step coaching and advice in a privileged context for employment law decisions and subsequent actions. • Staff has developed Resources specifically for Law Enforcement. The online brochure is designed to be a one-stop-shop for law enforcement related resources including Benchmark Analytics’ Early Intervention System, POST approved training, ConcernPlus First Responder Program (an EAP of culturally competent clinicians, Peer Support Services, and additional PRISM service partnerships. • The School Liability Handbook: Student Activities and Employment Issues was created in conjunction with Lozano Smith, a law firm specializing in school liability legal services. The Handbook consists of 5 modules, such as School Activities and the Law and Employment Issues for School Districts.
• PRISM Partner, Plexus Global, provides an electronic platform that allows employers to monitor employee driving records on demand and provides automatic e-mail notification when a reportable event occurs. The system also includes a record management system.
• PRISM staff developed a pair of resource documents designed to assist members with Road Maintenance risk. These documents include discussions regarding the use of Geographical Information Systems and other general design and maintenance best practices.
Talking points for the GL Programs
Aggregate Claims Trends
• As both frequency and severity have risen for the GL programs, just like the general liability industry, the claims trend and lack of capacity will result in anticipated rate increases.
• The natural result of this significant change in losses is that PRISM has adjusted forecasts and rates to account for new loss trends, as have our carriers. 43 of 140
The total number of claims in the GL programs over $1M in the last 5 years has more than doubled. This is a big indication of how jury verdicts (and settlements) are increasing!
Benefits of Being in a Pool
Economies of scale benefits
• Access to insurance options. PRISM’s size provides more leverage in the insurance market. It also allows access to the reinsurance markets, which are not available to individual buyers, thus expanding the universe of available coverage options. PRISM has been able to leverage this access and the Program’s premium volume to secure unique and beneficial reinsurance agreements. • Maintaining broad coverage. Public agencies with stand-alone placements are seeing reductions in their coverage limits and/or exclusions. Although the GL programs continue to face the potential for coverage restrictions, PRISM has largely been able to maintain broad coverage in the programs.
Equitability
• PRISM’s members with large loss experience have better coverage and premium options in the pool than finding coverage alone, but members with less severe loss experience also receive benefits from pooling as they are recognized and rewarded through premium reductions.
General Market and Program Information
• The size of our program, with 130 members, more than $8.4B in payroll and 703,000 ADA, offers great purchasing power to our members and provides much greater stability than smaller programs or individual risks. • The liability market continues to harden. We continue to see a significant increase in plaintiff demands and high dollar liability claims. Jury verdicts (and settlements) are much higher than they have been in years past and that is affecting the industry’s surplus.
• There are many factors causing this including tactics plaintiff’s counsel are using (such as the use of the Reptile Theory and Anchoring) to drive up claims’ verdicts and settlements. The selection of appropriate defense counsel, who are experienced in dealing with these tactics, has never been more important. • Markets continue to be more judicious with how and where they deploy their capacity and/or limit their exposure, with some leaving the market entirely. The overall “supply” of limits has been reduced by more than 50% in the last 5 years.
The size, stability, and premium volume of the GL programs have attracted markets that may not consider participation otherwise.
• We have always been proactive in our management and funding approach, and this remains the same today. One of the strengths of the GL programs is the active 44 of 140
involvement of the Underwriting and GL2 Committees and their ability to be flexible. This approach often means modifying the program structure and the program's retained risk to keep premiums as low as possible for the members. • We are not unique in experiencing rate increases for liability coverage as the claims environment in California and across the nation is increasingly adverse for public entities.
• Our membership has increased every year. This shows that the programs are still competitive in the market.
• The benefits of pooling shine brightest during a hard market when our economies of scale, our leverage in the reinsurance markets, and our sharing of best practices help our members manage risk.
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1 Captive 101
Overview
August 2024
Proprietary & Confidential
© 2024 Alliant Insurance Services, Inc. All rights reserved. 46 of 140
Overview
2 ✓ What is a captive; benefits, risks and use
✓ Types of captives
✓ Captive Implementation – feasibility study, domicile selection ✓ Timeline
✓ Costs and Fees
✓ Captive Team
✓ Q&A
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Captives are special purpose insurance or reinsurance
companies.
Captives insure, reinsure and cover the risks of their
owners and affiliates
A formal approach to projecting and funding for loss
and exposure.
3 WHAT IS A CAPTIVE?
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Goals Of Captive Participation
4 Manage
Insurance
Costs
Control Risk
Underwriting
and
Investment
Income
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Advantages of a Captive
5 ✓ Own and manage a portion of your insurance risk
✓ Share in potential underwriting profits and investment income on your insurance premium
✓ Control risk management and claims
✓ Stabilize premium rates
✓ Direct access to reinsurance markets
✓ Reduce dependence on commercial insurance markets
✓ Gain purchasing power for the participating entities
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Advantages of a Captive: Public Entity Pools
6 ✓ Enhanced investment opportunities
✓ Retention of captive surplus to control volatility
✓ Leverage in excess/reinsurance placements via more participation ✓ Segregation of financials statement specific to captive
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7 Business Risks of a
Captive
Potential loss of underwriting profits and
investment income
Potential loss of investment/collateral funding
Sharing risk among participating members
Long term commitment
Frictional cost & upfront capital investment
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8 Use of a Captive
❑ Placement of controllable frequency layer of
risk
❑ Deductible Reimbursement
❑ Fill coverage gaps in insurance program
❑ Financing risks that cannot be placed in the
traditional insurance market
❑ Optimizing capital deployment for risk
financing
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Captive Can Participate in Risk on
Various Lines of Coverage
9 CAPTIVE
PARTICIPATION
Workers’
Compensation
Management
Liability
Cyber
Excess or Deductible
Reimbursement
General
Liability
Auto/Commercial
Vehicle
Terrorism
Employee
Benefits
Windstorm, EQ
and Flood
Pollution
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Types of Captives
10 Single Parent Captive Group Captive
A captive insurance company with one
corporate owner, insuring only the risks of
the parent organization or its subsidiaries.
Also called a pure captive.
Plus “Brother-Sister” captive with a
single-parent
A group of non-related
organizations that finance
risk through a group pool.
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SINGLE PARENT OR GROUP CAPTIVE
OWN OR RENT?
11 Own Your Captive
Single Parent Captive
A captive owner
funds the formation
expenses, capital
and surplus.
Group Captive
Captive participants
collectively fund the
formation expenses,
capital and surplus.
Rent-A-Captive
An arrangement in which a
captive participant “rents”
the facilities of an outside
organization. This provides
the benefits of a captive
without the start up costs.
$$$
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RENT-A-CAPTIVE
12 ▪ The cell facility owner creates and capitalizes the core facility and rents its capital and insurance
license to cell participants.
▪ Built around the core company, each cell essentially
functions as its own captive for its participant.
▪ Each cell insures a different risk/participant and its assets and liabilities are legally segregated.
▪ Keeping It Simple:
▪ Speed to market.
▪ Faster regulatory process.
▪ Minimal start up costs.
▪ No separate capitalization requirement for each
cell.
Cell
Facility
Owner
Cell 6
CIRA
JPA
Pool
Cell 5
Cell 4
Cell 2
Cell 3
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CIRA CAPTIVE CONCEPTUAL APPROACH
13 Public
Entity 2
CIRA JPA Pool Captive
CIRA JPA
Captive Owner
Public
Entity 4
Public
Entity 1
Public
Entity 5
Public
Entity 3
Premium Insurance
Policies
Reinsurance Premium
Claims Payments
Capital/Collateral
Underwriting
Profit
&
Investment
Income
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Captive Feasibility Study
14 • Data Analysis
• Loss Estimates
• Capitalization Requirements
• Domicile
• Fees
• Coverages, Retentions, Limits
• Expenses
• Reinsurance Costs
• Regulatory Issues
• Pro forma Financials 59 of 140
Captive Domicile Selection
15 Other factors
• Capital/surplus requirements
• Operating costs
• Political stability
• Infrastructure
• Domicile meeting requirements
• Local director requirements
• Operating costs
• Ease of travel
• Perception, particularly for nonprofits
• Availability of home state as a domicile
• Unique characteristics of the domicile
Driving factors
• Structure/Coverage Needs
• Regulatory environment; history
• Tax considerations
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Captive Domicile Rankings
16 TOP US CAPTIVE DOMICILES 2023
1. Vermont: 659
2. Utah: 439
3. North Carolina: 311
4. Delaware: 289
5. Hawaii: 263
6. South Carolina: 221
7. Arizona: 176
8. Tennessee: 162
9. District of Columbia: 120
10. Montana: 100
11. Nevada: 100
TOP NORTH AMERICAN OFFSHORE CAPTIVE DOMICILES 2023
1. Bermuda 670
2. Cayman Islands 661
3. Barbados 253
*Source: Business Insurance Survey, Business Insurance, April 2024. 61 of 140
Captive Expense
17 ✓ Start-Up
✓ Ongoing
*Projected Capital at 4:1 Ratio
Projected Combined Premium = $22,885,110/4 =
$5,721,278 (Projected Initial Capital Funding)
Illustration of Projected Start-Up and Ongoing Operating Expenses Owned Single Parent Captive Rent-A-Captive (VT)
Minimum one time capital
and surplus funding $250,000 $0
Feasibility Study $45,000 $30,000
Application Processing
Fees
$20,000 $10,000
Legal Fees $10,000-$20,000 $5,000
Application Fee $2,000-$10,000. Varies by domicile $2,000 ESTIMATED TOTAL $327,000-$345,000 $47,000
Owned Single Parent Captive VT RAC
Domicile Management $60,000 $50,000
UW and Ops Consulting $50,000 $45,000
Actuary $18,000 $15,000
Annual Audit $25,000 $15,000
Annual Domicile Tax
Flat Fee or % of Premium with
minimum tax
0.214 % Premium
Claims Administration TBD TBD
Reinsurance $0 $0
Carrier Fronting Fee $0 $0
Brokerage TBD TBD
Misc (Bank Fees/Travel) $10,000 $10,000
Premium to Capital Ratio 4 to 1* TBD - Regulator Review Start Up Expenses
Ongoing Direct Operating Costs
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Captive Formation Timeline
18 ▪ Single Parent - 3-6 Months
▪ Rent-A-Captive - 1-2 Months
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Captive Service Team
19 ▪ Insurance/Captive Manager
▪ Insurance Broker/Consultant - Alliant
▪ Legal Advisor (w/Captive experience)
▪ Claims Administrator
▪ Actuary
▪ Auditor
▪ Bank/Investment Advisor
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20 Investment Income
Your captive program earns investment
income net of losses and expenses
Losses are paid out over several years
While the captive is waiting to pay losses, the
captive earns investment income.
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The More Rewarding
Way to Manage Risk
Proprietary & Confidential
© 2024 Alliant Insurance Services, Inc. All rights reserved. 66 of 140
Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: MID-YEAR FINANCIAL REPORT FOR FISCAL YEAR 2025/26 Date: February 10, 2026
Written by: Angela Courter, Director of Administrative Services Recommendation
It is recommended the City Council receive and file the Mid-Year Financial Report for Fiscal Year 2025/26; and adopt a Resolution amending the Fiscal Year 2025/26 Operating Budget to reflect updated revenue projections and expenditure adjustments.
Background
Overall, the City remains in a stable financial position, with most revenues and expenditures tracking as expected based on historical timing patterns. Based on updated forecasts and operational needs identified through the mid-year review, staff are recommending several targeted budget amendments. These amendments are intended to reflect conservative revenue estimates, recognize higher-than-anticipated revenues in certain areas, and provide appropriate funding for unanticipated but necessary expenditures.
Analysis/Discussion
The mid-year financial review evaluated the actual revenues and expenditures through December 31, assessing trends, and recommending budget amendments where appropriate. These mid-year results are considered in the context of normal timing differences, including; Revenues that are received later in the fiscal year; Annual or upfront expenditures incurred early in the year; and Capital projects that span multiple fiscal years.
Citywide Revenues and Expenditures
Citywide financial activity is within expected ranges. Special Revenue Funds and Capital 67 of 140
Projects reflect timing-related variances, particularly transfers for capital improvements and debt service. Special Revenue Funds have earned approximately $66,000 in investment interest year-to-date. Capital Projects total more than $5.5 million and are funded through a mix of grants, special revenues, and General Fund contributions.
Internal Service Fund revenues appear low at mid-year due to the timing of fleet replacement transfers, which are expected to be completed later in the fiscal year.
General Fund
Revenues – operating revenues are approximately $212,000 (5%) higher than the same period last year and are at 40.9% of the annual budget, consistent with historical timing.
Key items include:
• Property Tax: Up 2.8% year-over-year and expected to meet budget. • Sales Tax: Down 1.5% compared to the prior year mid-year. Updated forecasts indicate a modest shortfall; staff recommend reducing the FY 2025/26 sales tax budget by approximately $92,000 to remain conservative. • Other Taxes (Cannabis): Under review due to compliance findings; no budget adjustment is proposed at this time.
• Charges for Services: Increased development activity has resulted in Community Development exceeding budget; staff recommend increasing this revenue budget by $18,000.
• Investment Earnings: Lower due to reduced interest rates and reduced proportional cash balances.
Expenditures – increased approximately 21.3% compared to the prior year, primarily due to the timing of transfers to capital projects. Expenditures are at 53.6% of the annual budget as of mid-year. Key factors include:
• Increased contract services for legal and IT support. • Salary and benefit increases resulting from negotiated labor agreements and onetime payouts. • Unanticipated legal services related to ongoing Code Enforcement matters.
Staff recommend a budget amendment to increase the legal services appropriation to address these unplanned but necessary costs. With the proposed amendments, General Fund expenditures are expected to remain within available resources.
Enterprise Funds
Water Fund
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Total revenues exceed budget by 11.2% and are 5.1% higher than the prior year due to increased rates and usage. Investment earnings are also exceeding budget; staff recommend increasing the investment earnings budget by $30,000. Operating expenses are below budget and aligned with expectations, and no expenditure adjustments are recommended at this time.
Wastewater Fund
Revenues are tracking above budget at 53.3%, including $63,000 in unbudgeted connection fee revenue related to a development project. Investment earnings are also exceeding initial budget expectations. Staff recommend increasing the Wastewater Fund revenue budget to recognize additional $30,000 in investment earnings. Operating expenses are lower than the prior year due to debt service and capital project timing.
Cash and Investments
As of December 31, 2025, the City’s cash and investment balances comply with the adopted investment policy and are sufficient to meet anticipated expenditure needs for the remainder of the fiscal year.
Financial Considerations
The proposed budget amendments adjust revenues and expenditures within existing fund balances and do not negatively impact the City’s overall financial condition. All recommended amendments are supported by updated forecasts, realized revenues, or necessary operational expenditures.
The City’s financial position at mid-year remains stable. Revenues and expenditures are generally aligned with expectations when accounting for timing differences. The proposed budget amendments ensure that the FY 2025/26 budget remains accurate, conservative, and responsive to current conditions. Staff will continue to monitor financial performance and report back to the City Council during future financial updates.
Environmental Issues
The action of a mid-year budget review 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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RESOLUTION NO. (XX)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COTATI AMENDING THE FISCAL YEAR 2025/26 OPERATING BUDGET
WHEREAS, the City Council of the City of Cotati adopted the Fiscal Year 2025/26 Operating Budget; and
WHEREAS, the City Financial Reporting and Budgeting Policies limit the approval of adjustments to the annual budget to the City Council where there is an increase in expenditures appropriations for a single fund (cost center), and
WHEREAS, the City Council has reviewed the Mid-Year Financial Report for Fiscal Year 2025/26 for the period ending December 31, 2025; and WHEREAS, updated revenue forecasts, realized revenues, and operational needs require certain budget adjustments to ensure the budget remains accurate and fiscally prudent; and WHEREAS, the proposed budget amendments reflect conservative revenue estimates and provide necessary appropriations for unanticipated but essential expenditures while maintaining overall fiscal stability;
NOW THEREFORE BE IT RESOLVED, that
1) The Fiscal Year 2025/26 Operating Budget is hereby amended to incorporate the revenue and expenditure adjustments identified in the Mid-Year Financial Report, including but not limited to:
a) Adjustments to General Fund sales tax revenues based on updated forecasts; b) Increased appropriations for General Fund legal services related to Code Enforcement;
c) Adjustments to Community Development charges for services; and d) Recognition of increased investment earnings in the Water and Wastewater Funds.
2) The Administrative Services Department is authorized and directed to make all necessary accounting entries and administrative changes to implement this resolution. 3) This resolution shall take effect immediately upon adoption.
IT IS HEREBY CERTIFIED that the foregoing resolution was duly adopted at a regular meeting of the City Council of the City of Cotati held on February 10, 2026, by the following vote, to wit:
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Approved:___________________________
Mayor
Attest:______________________________
Kevin Patterson, Deputy City Clerk
Approved as to form:______________________________
City Attorney
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P a g e 0 | 7
Mid-Year Financial Report
Fiscal Year to Date: July 1, 2025, to December 31, 2025 Administrative Services 2/6/26 Q1-Q2 2025/26
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Introduction
This financial report provides an overview of where we are within the budget cycle, then a summary of the City’s financial position through the mid-year of Fiscal Year (FY) 2025/26 (July 1, 2025, through December 31, 2025) for (1) Citywide Revenues and Expenses, (2) the General Fund, (3) Enterprise Funds, and (4) Summary of Cash and Investments. Notable cumulative mid-year to midyear and preliminary amended budget to actual comparisons are included in this report.
The following factors should be taken into consideration when analyzing mid-year data:
Revenues reported herein are calculated based on actual receipts through December 31, 2025.
Some revenues are received later in the year, and as such can appear to be low at mid-year with variances smoothing out over the Fiscal Year.
Some costs, such as subscription services and other dues, are typically incurred at the beginning of the Fiscal Year, so they appear high at mid-year but are on-budget for the fiscal year, with variances smoothing out over the Fiscal Year.
Construction projects, specifically street improvements, have a different project cycle which is offset from the Fiscal Year. As such, major projects are typically funded across two or more Fiscal Years.
Standard Budget Process Cycle - Where We Are Now & Next Steps:
Tentative Financial Reporting Schedule:
February 10th – Strategic Projects Update
April 21st – Third Quarter 2025/26 Financial Update
June 23rd – Fiscal Year 2025/26 Financial Review and Financial Policies Update 73 of 140
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Citywide Revenues and Expenses
*Other Special Revenues consists of the following funds: Grants, CDBG Grants, Gas Tax, MTC Streets, RMRA, Traffic Mitigation Fees, Park-In-Lieu, PEG, Public Safety, K9 Program, Inclusionary Housing, Linkage Affordable Housing, Community Facilities Districts, Measure M Parks, PEG, Bed Tax, and all Local Landscaping and Maintenance Districts.
City-wide Significant Variances
Typically, the City provides detailed variance descriptions on funds where the revenues were less than 40 percent or expenditures are greater than 60 percent of budget. However, all funds were outside of this variance range. As such we have provided a summary for the non-major fund classes that are not detailed in subsequent pages.
Other Special Revenues and Expenditures are related to timing of receipts and use of funds for special purposes. Most significant expenditures to date are for transfers for contributions to capital projects and debt services interest expense. Year to date the special revenue funds have accrued almost $66,000 in investment interest earnings.
Capital Projects are subject to construction timing of the projects. The City has programed over $5.5 million in capital projects, utilizing funding from a combination of funding sources including the State and Local Grants, Special Revenue Funds, and General Fund Contributions. Capital Projects timeframes vary due to design and review processes before construction as well as the time to be constructed. For more information on the City projects they are displayed online both on the City budget at https://city-cotati-ca-cleardoc.cleargov.com/11305/351805/d and on the City’s transparency portal at www.tinyurl.com/CotatiProjects.
Internal Service revenues indicate as low due to the timing of transferred funds required for the purchase of replacement fleet vehicles. This transfer is expected to be completed by the end of the fiscal year.
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General Fund: Operating Revenues
The following table includes cumulative revenue comparisons through the first half of the Fiscal Year 2024/25 and a revenue budget to actual comparison for Fiscal Year 2025/26.
General Fund operating revenues through mid-year are approximately $123,000, or 2.7% above the same period in FY 2024/25. Although revenues are only at 40.9%, this is a decrease from the previous year’s comparison, which was at 42.1% of the budget through mid-year. The percentage at mid-year is typically less than 50% due to the timing associated with receiving some of the larger revenue sources. For instance, sales tax is the largest General Fund revenue source, but the receipts are received two months after the period paid by the consumers. The following is an explanation of other variations in revenues:
- Property Taxes received to date have increased over the prior year by approximately 2.8%, which is primarily due to property valuations compared to the prior year. This is a slight decrease from the prior year which had a 3.2% increase. We anticipate meeting the total annual budget for Fiscal Year 2025/26.
- Sales Tax revenues are approximately 1.5% or $30,000 less than last year’s cumulative mid-year balance. Using an annualized basis, projected sales tax would come in at approximately 3.4% or $200,000 less than budget. In working with our sales tax consultants, they have provided updated forecasts where the combined sales tax revenues should be decreased by approximately $92K. As such staff have proposed this adjustment to the budget.
With the new proposed budget, total sales tax would have a combined sales tax revenue of just under $5.78 million, down $49,889 or 0.9% from the previous year’s actual balance of $5.83 million. Due to the continued uncertainty of the economic environment, staff are proposing to reduce the existing budget to remain conservative. This revenue stream will continue to be monitored, and staff will provide the City Council with updated information during the next quarterly financial update.
The fiscal year 2026/27 estimated sales taxes receipts compared to the adopted budget have also been reduced by approximately $100K or 2.3%. Staff are not proposing an adjustment at this time but will be monitoring economic changes and putting forth an adjustment with the budget update. - Other Taxes are primarily made up of Cannabis Business Tax. Staff are continuing to monitor this revenue account. Financial reviews of each cannabis business have concluded, and two significant items were noted. One business had missing taxable income, and another had overstated income. We are subsequently applying credits for the business who are overpaid and working with the other business to gain compliance. As these adjustments are still forthcoming no amounts have been included herein. These changes will continue to be monitored for possible adjustments in budget. 75 of 140
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- Licenses, Permits and Franchises are subject to timing as most franchise payments are due annually near the end of the fiscal year.
- Rents are primarily related to revenue from renting community facilities and park space and subject to variability in timing. Even with the decrease from the previous year, the total rental revenues are on track to surpass the adopted budget.
- Other Agencies increased from the previous year due to the timing of receipts for the State Mandated Cost from the State and the timing of receipts from SSU for the negotiated Dispatching Contract. - Charges for Services have increased over the last year for both Community Development and Public Works due to continued development projects. Community Development has already exceeded budget, as such staff are proposing an adjustment to increase the budget by $18K for the year. The Public Safety Department charges for services have seen a slowdown compared to prior year but is expected to meet budget.
- Investment Earnings have decreased primarily due to reduced interest earnings rates as well as reduced proportional cash held within the general fund. - Other miscellaneous revenues are receipts received by the City for general purposes. These are made up of one-time unbudgeted receipts.
General Fund: Department Operating Expenditures
The following table includes cumulative mid-year actual expenditure comparisons by department and again by expenditure type for Fiscal Year 2024/25 and Fiscal Year 2025/26 and an expenditure budget to actual comparison for Fiscal Year 2025/26.
Expenditures by Type
Overall, cumulative mid-year General Fund expenditure increased from the previous year by approximately 21.3% or $1.3 million. Most of the increase was due to the timing of transfers out for capital projects. The increase in Contract Services is primarily related to legal and IT services, as well as contracts for ongoing operations and maintenance at Falletti Ranch. Staff are proposing a budget amendment for the legal services associated with Code Enforcement due to unusual on-going matters which were unplanned for in the adopted budget for the fiscal year. Increased salaries & benefits are derived from MOU negotiated increases as well as one-time payouts incurred at the beginning of the fiscal year.
Expenses compared to budget have increased from 43.9% of budget to 53.6% of the annual budget as of December 31, 2025. This increase is also primarily due to the timing of both transfers out for capital projects as well as Other Expenses during the same period of time. With the proposed adjustments for contract services staff anticipate that expenses will be in line with the budget. 76 of 140
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Expenditures by Department
Spending by the General Fund Departments is consistent with the prior year with noted increases in Community Development due to ongoing code enforcement items which were noted previously. The other departments include increases in City Managers’ department due to increased legal activity as was budgeted, and for the Public Works department which is due to timing of repairs and maintenance for streets and on-going contract services including Veronda-Falletti Ranch operations.
The first six months, as compared to budget, General Fund expenditures are mostly tracking as expected with all operating departments (all departments except transfers out) averaging 48.3% of the budget. Overall expenditure is in line with staff expectations.
Enterprise Funds: Operating Revenue
The following table includes cumulative revenue and expenses comparisons through the first half of the Fiscal Year 2024/25 and 2025/26 and a revenue budget to actual comparison for Fiscal Year 2025/26 for the Enterprise Funds.
Water Funds
General Fund Expenditures by
Department FY 2024/25 FY 2025/26 $ Variance % Variance FY 2025/26 Budget % Budget
City Council $ 98,151 $ 72,150 $ (26,001) -26.5% $ 172,515 41.8% City Manager 368,223 450,607 82,384 22.4% 995,952 45.2% Admin Services 241,480 244,825 3,345 1.4% 549,770 44.5% Community Development 476,124 631,891 155,767 32.7% 969,243 65.2% Public Works 816,973 849,785 32,812 4.0% 1,970,547 43.1% Police 2,479,055 2,467,402 (11,653) -0.5% 5,381,939 45.8% Recreation 272,205 248,163 (24,042) -8.8% 508,729 48.8% Transfers Out 1,432,568 2,536,637 1,104,069 77.1% 3,443,589 73.7% Total: $ 6,184,779 $ 7,501,459 $ 1,316,680 21.3% $ 13,992,284 53.6% Mid-Year Actuals Comparison
(July 1 - December 31) Budget to Actual Comparison
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Wastewater Funds
The Water and Wastewater Fund revenues are made up of charges for services, connection fees other revenues, and development fees. The operating revenues for the Water and Wastewater Funds (removing one-time interfund debt service and investment earnings) have increased primarily compared to the prior year due to applied rates. For Fiscal Year 2025/26, most expenses are in line with budget at mid-year.
Water Funds – Operating Revenues for the water funds charges for services are tracking at 11.2% above budget and 5.1% greater than the same period in the last year. This increase is primarily related to continued water usage with increased rates. The investment earnings for this fund have exceeded the budget expectations. As such staff are proposing a budget increase of $30,000 for the year to a total of $102,500.
Expenses as of mid-year are below budget but in line with expectations. Aqueduct water usage continues to be the main operating expense for the fund at approximately $403,000 and we expect this cost to increase for the next two quarters as the community goes back to more normalized water use and irrigation during the summer. Contract Services and Other Expenses are the other major expenses for water funds. Contract services have primarily been agreements for the IT SCADA system maintenance and updates including a move from one software service to another which will save the City approximately $10K per year. Other Expenses have been related to repairs and maintenance for emergency hydrant work which was approximately $100K for this period. No adjustments to expenses are deemed required for these funds at this time.
Sewer Funds – Revenues are currently tracking above budget at 53.3%. Other Non-Operating revenues increased due to receipt of funds related to connection fees of $63K received for a development.
This was an unbudgeted receipt and as such staff have proposed a budget adjustment to increase the revenues to include this balance. Investments in the sewer funds are also exceeding expectations and as such staff are proposing increasing the budget by $30,000 to a new adjusted budget of $98,600.
Operating Expenses at mid-year decreased by approximately $97,000 or 4.9% compared to the prior fiscal year. This is primarily due to the amount of debt payments outstanding and the timing of capital outlay projects. Increased expenses compared to budget are primarily contract services. These funds will continue to be monitored, and staff will provide the City Council with updated information at the next financial update.
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Cash and Investments
The tables below show the cash and investments held by the City as of December 31, 2025. The current cash and investment balances are in line with the City adopted investment policy and as budgeted are enough to meet the City’s expenditure requirements for the remainder of the fiscal year.
Cash and Investment Detail by Composition
Conclusion
Except for identified variances, expenditures and revenues are tracking as expected. Staff will continue to monitor these variances and provide updated information to the City Council during financial updates for the remainder for Fiscal Year 2025/26 and into next budget year 2026/27. 79 of 140
MID-YEAR
BUDGET &
ACTUALS REVIEW
Fiscal Year 2025/26 City of Cotati
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FINANCIAL
REPORTING
• Citywide Overview
• General Fund
• Enterprise Funds
• Cash & Investments
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CITY WIDE
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CITYWIDE
REVENUES
&
EXPENSES
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CITYWIDE
OVERVIEW
• Proposing minor budget adjustments to realign
to revised expectations
Revenues and Expenses On
Target
• General Fund Revenues Sales tax and Other
Tax are collected 1-2 months after relevant
taxing period.
• Internal Service –revenue varies due to timing
of payouts or transfers of funds required for
fleet replacement.
• Capital Projects – In line, but vary due to the
timing of capital projects
Revenues are at 48.1% of
Budget
• Special Revenues –Timing of projects for
transferring of funds.
• Capital Projects Funds– are subject to timing of
the projects in place and related activity
incurred during the fiscal year.
Expenses are at 45.9% of Budget
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GENERAL FUND
Mid - Year Budget Analysis
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COMPARATIVE
REVENUES & EXPENDITURES
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Proportion of General Fund Revenues
Property Tax, $1,231,618
Sales Tax, $1,888,945
Other Taxes,
$274,284
Licenses, Permits &
Franchises,
$265,075
Rents,
$80,292
Other Agencies,
$119,061
Community
Development
Charges, $352,935
Public Works
Charges,
$53,011
Public Safety
Charges, …
Other Revenues,
$120,883
Investment
Earnings,
$73,799
Transfers In,
$111,269
Proportion of General Fund Revenues
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BY EXP. TYPE BY DEPARTMENT
GENERAL FUND EXPENDITURES
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ENTERPRISE
FUNDS
SUMMARY OF WATER AND
WASTEWATER FUNDS
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ENTERPRISE FUNDS ANALYSIS
WATER• Revenues are at 61.2% of budget
• Expenses are at 44.9% of budget
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ENTERPRISE FUNDS ANALYSIS
WASTEWATER • Revenues are at 50.1% of budget
• Expenses are at 48.7% of budget
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CASH & INVESTMENTS
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SUMMARY OF CASH
AND INVESTMENTS
AT
DECEMBER 31, 2025
• Total Exceeds $14.9M
• In line with the City
adopted investment
policy.
• Enough to meet
operational needs for
next 6 months in fiscal
year.
• City Utilizes Pooled
Cash and Investments.
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GEN. OPERATING,
$2,224,115.96 , 15.35%
SPECIAL REVENUES,
$2,977,397 , 20.56%
SUCCESSOR AGENCY, WATER OPERATING &
CAPITAL, $4,496,351 ,
31.04%
WASTEWATER OPERATING &
CAPITAL, $2,689,728 , 18.57%
CAPITAL INTERNAL SERVICE,
DEPOSIT
Cash and Investment Value By Funds
$14.9 Million
OPERATING
CASH, $627,808 …
LAIF,
$8,006,65…
SCIP, …
US BANK TRUST,
$6,254,576 , 42%
CAMP, $20,409 , 0%
Investment Portfolio Composition
$14.9 Million
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FISCAL RESILIENCE
General Fund
• Cash coverage temporarily reduced due to early-year expenditures for subscriptions and projects.
• Revenues-to-expenditures ratio at 93% vs. 110% goal, and from 94% in the prior year. Primarily due to timing of receipts.
Water Fund
• Sonoma County Water Agency rate increase is 3% higher than budgeted (15% vs. 12%).
• Note: Revenues stronger but will be watched in relation to cost escalation.
Sewer Fund
• Revenues-to-expenditures ratio slightly below the 110% target at 107%, but increased from prior years 92%
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CONCLUSION
Fiscal Year was primarily on track with
Budget and improved over fiscal year
2025/26
Budget Adjustment Requests
City staff will continue to update the Council
with quarterly financial reports.
City staff are committed to exercising
prudence and integrity in the management of
public funds and provide transparent
accountability for its use
96 of 140
FINANCE DEPARTMENT
DATE: January 21, 2026
TO: Honorable Mayor and City Council
VIA: Damien O’Bid, City Manager
FROM: Angela Courter, Administrator Services Director
SUBJECT: INVESTMENT REPORT FOR THE QUARTER ENDED
DECEMBER 31, 2025
Attached for your information is the quarterly report of investments as of December 31, 2025.
The total cash and investment portfolio book value (cost) held by the City as of December 31, 2025 was $14,947,417.
The cash and investments held by the City include the following components:
Managed Investment Portfolio ($6,254,576), State of CA Local Agency Investment Fund ($8,006,651), California Asset Management Program (CAMP) Pooled Investment Fund ($20,409), Sonoma County Investment Pool ($1,619), Cash/Time Deposits ($627,808), and accrued interest on investments ($36,354). (Earned interest is the interest earned on investments over a specific time period, accrued interest is the interest that an investment has earned, but hasn’t yet been received, and paid interest is the interest that has already been received as payment).
Cash and investments held by the City and the trustees continue to be invested in accordance with the Government Code and the Council Investment Policy as adopted on May 9, 2023.
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Council Information
FY 2025-26 Q2 Quarterly Investment Report
December 31, 2025
Two-year Treasuries were yielding 3.60% at the beginning of the quarter and ended the quarter at 3.47%, which was a decrease of 13 basis points for the quarter.
As of December 31, 2025, the Weighted Yield to Maturity on the Managed Investment Portfolio was 4.13%.
At the end of this quarter, the Weighted Average Maturity of the Managed Investment Portfolio was 2.16 years.
The Federal Open Market Committee (FOMC) meets approximately every six weeks and determines the level of the Federal Funds Rate. At the December 10th meeting, the FOMC voted to lower the target range for the federal funds rate by 1/4 percentage point to 3-1/2 to 3-3/4 percent.
Summary from the December 10th meeting:
"Available indicators suggest that economic activity has been expanding at a moderate pace. Job gains have slowed this year, and the unemployment rate has edged up through September. More recent indicators are consistent with these developments. Inflation has moved up since earlier in the year and remains somewhat elevated.
The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. Uncertainty about the economic outlook remains elevated. The Committee is attentive to the risks to both sides of its dual mandate and judges that downside risks to employment rose in recent months.
In support of its goals and in light of the shift in the balance of risks, the Committee decided to lower the target range for the federal funds rate by 1/4 percentage point to 3-1/2 to 3-3/4 percent. In considering the extent and timing of additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee is strongly committed to supporting maximum employment and returning inflation to its 2 percent objective.
In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of incoming information for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee’s goals. The Committee’s assessments will take into account a wide range of information, including readings on labor market conditions, inflation 98 of 140
Council Information
FY 2025-26 Q2 Quarterly Investment Report
December 31, 2025
pressures and inflation expectations, and financial and international developments."
Finance staff hired Optimized Investment Partners in May 2023 to help improve the investment returns for the city and to ensure compliance with California Government Code by ensuring safety of principal and sufficient liquidity for operations. Ongoing portfolio management activity will continue to be performed in partnership with Optimized Investment Partners, the City Manager, and the Administrator Services Director.
Considering the projected timing of cash receipts and disbursements and the structure of the Pooled Investment Portfolio, the City will be able to comfortably meet overall cash flow needs over the next six months.
If you have any questions, please feel free to contact me at 707-665-4236. 99 of 140
Par Value (1) Market Value (2) Book Value (3)
Cash & Investments Held by City
Investment Portfolio
Managed Investments
U.S. Bank Custodial Cash Account $ 87,881 $ 87,881 $87,881 0.59% U.S. Treasury Bill/ Note 3,285,000 3,235,048 $3,203,701 21.49% Federal Agency Bond 800,000 790,424 $747,994 5.02%
Certificate of Deposit 2,215,000 2,238,918 $2,215,000 14.85% Managed Investments Subtotal $ 6,387,881 $ 6,352,271 $6,254,576 41.95% Pooled Investments
State of CA Local Agency Investment Fund $ 8,006,651 $ 8,006,651 $8,006,651 53.70% CAMP 20,409 20,409 $20,409 0.14%
Sonoma County Investment Pool 1,619 1,619 $1,619 0.01%
Pooled Investments Subtotal $ 8,028,679 $ 8,028,679 $8,028,679 53.84% Investment Portfolio Subtotal $ 14,416,559 $ 14,380,950 $14,283,255 95.79% Cash/Time Deposits $ 627,808 $ 627,808 $627,808 4.21%
Funds Available for Investment $ 15,044,367 $ 15,008,758 $14,911,063 100.00% Accrued Interest $ 36,354 $ 36,354 $36,354
Total Cash & Investments Held by City $ 15,080,721 $ 15,045,112 $14,947,417 Notes:
1. Par value is the principal amount of the investment on maturity.
2. Market values contained herein are received from sources we believe are reliable; however, we do not guarantee their accuracy.
3. Book value is par value of the security plus or minus any premium or discount on the security.
City of Cotati
Portfolio Assets % of Portfolio
Summary of Cash and Investments for the Quarter Ended December 31, 2025 100 of 140
2.16 4.13%
*Note: Cash/time deposits not included in WYTM
Excludes Pooled Investments and U.S. Bank Custodial Cash Account Under 1 Year
Maturity Dec 2025 Sep 2025 Change 1 - 2 Years
3-Month 3.67% 4.02% -0.35% 2 - 3 Years
1-Year 3.48% 3.68% -0.20% 3 - 4 Years
2-Year 3.47% 3.60% -0.13% 4 - 5 Years
3-Year 3.55% 3.61% -0.06% Total
5-Year 3.73% 3.74% -0.01%
10-Year 4.18% 4.16% 0.02%
Oct
Nov
Dec 2025 Dec 2024 Dec 2023 Dec 2022 Dec
3.47% 4.25% 4.23% 4.41% Total for Quarter
Note: Interest Earnings figures do not include capital gains or losses $ 138,357 165,384 $ (27,027) $
$ 3,408 61,107 $
$ 54,628 $ (20,759) 33,869 $
2-Year U.S. Treasury Yield - Historical Data 43,381 $ (9,676) $ $ 13% 800,000
$ 100% 6,300,000
Interest Earnings FY 24-25 FY 25-26 Change
$ 57,698
$ 53,057
$ 28% 1,783,000
$ 18% 1,118,000
$ 13% 815,000
U.S. Treasury Yields - Quarterly Comparison $ 28% 1,784,000 Book Value (COST) 14,283,255 $
Market Value 14,380,950 $
Weighted Average Maturity (in years)
Weighted Yield to Maturity*
Portfolio Maturity PAR Maturing % Maturing
City of Cotati
Investment Portfolio Summary and Key Statistics
Portfolio Key Statistics
PAR Value 14,416,559 $
Investment Report for the Quarter Ended December 31, 2025
53.70%
21.49%
14.85%
5.02%
4.21% 0.59%
0.14%
0.01%
LOCAL AGENCY INVESTMENT FUND 53.70%
U.S. TREASURY BILL/NOTE 21.49%
CERTIFICATE OF DEPOSIT 14.85%
FEDERAL AGENCY BOND 5.02%
CASH/TIME DEPOSITS 4.21%
INVESTMENT CASH ACCOUNT 0.59%
CAMP 0.14%
Sonoma County Investment Pool 0.01%
0%
5%
10%
15%
20%
25%
30%
Under 1
Year
1 - 2 Years 2 - 3 Years 3 - 4 Years 4 - 5 Years
28% 28%
18%
13% 13%
Portfolio Maturity Distribution
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2/5/2026 4:42:44 PM Page 1 of 3
Budget Adjustment Register
Cotati, CA Adjustment Detail
Packet: GLPKT14126 - Mid-Year Proposed Adjustments
Adjustment Number Budget Code Description Adjustment Date BA0000080 Adopted Budget for FY 2025… General Fund - Sales Tax Reduction 2/10/2026 Summary Description: Reduce the projected sales tax for both Bradley Burns and Measure S.
Account Number Account Name Adjustment Description Before Adjustment After 101-00-60300-000000 SALES TAX General Fund - Sales Tax Reduction -2,803,200.00 49,840.00 -2,753,360.00 January: 49,840.00
101-00-60306-000000 SALES TAX-MEAS. G/S General Fund - Sales Tax Reduction -3,063,800.00 41,800.00 -3,022,000.00 January: 41,800.00
Adjustment Number Budget Code Description Adjustment Date BA0000081 Adopted Budget for FY 2025… Enterprise Funds - Increased Interest Allocation 2/10/2026 Summary Description: Increase the budget for interest for both the water and wastewater funds.
Account Number Account Name Adjustment Description Before Adjustment After 401-00-65010-000000 INVESTMENT EARNINGS Enterprise Funds - Increased Interest Allocation -50,100.00 -20,000.00 -70,100.00 January: -20,000.00
402-00-65010-000000 INVESTMENT EARNINGS Enterprise Funds - Increased Interest Allocation -22,400.00 -10,000.00 -32,400.00 January: -10,000.00
404-00-65010-000000 INVESTMENT EARNINGS Enterprise Funds - Increased Interest Allocation -62,300.00 -30,000.00 -92,300.00 January: -30,000.00
Adjustment Number Budget Code Description Adjustment Date BA0000082 Adopted Budget for FY 2025… General Fund - Expenditures - Code Enforcement 2/10/2026 Summary Description: Increase the expected expenditures for the fiscal year.
Account Number Account Name Adjustment Description Before Adjustment After 101-25-80185-000000 CNTRCT SVCS-PROFESSIONAL S… General Fund - Expenditures - Code Enforceme… 50,000.00 70,000.00 120,000.00 January: 70,000.00
101-25-80285-000000 SVCS-LEGAL General Fund - Expenditures - Code Enforceme… 2,000.00 169,000.00 171,000.00 January: 169,000.00
Adjustment Number Budget Code Description Adjustment Date BA0000083 Adopted Budget for FY 2025… Increase-Service Charges Comm. Dvmt 2/10/2026 Summary Description: Increase expected revenues for Community Development Service Charges based on revised expectations.
Account Number Account Name Adjustment Description Before Adjustment After 101-17-62004-000000 BUILDING PERMIT REVENUE Increase - Service Charges -175,000.00 -18,000.00 -193,000.00 January: -18,000.00
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Budget Adjustment Register Packet: GLPKT14126 - Mid-Year Proposed Adjustments 2/5/2026 4:42:44 PM Page 2 of 3
Budget Budget Description Account Account Description After Budget Code Summary
Before Adjustment
2025-2026 Adopted Budget for FY 20… 101-00-60300-000000 SALES TAX -2,803,200.00 49,840.00 -2,753,360.00 101-00-60306-000000 SALES TAX-MEAS. G/S -3,063,800.00 41,800.00 -3,022,000.00 101-17-62004-000000 BUILDING PERMIT REVENUE -175,000.00 -18,000.00 -193,000.00 101-25-80185-000000 CNTRCT SVCS-PROFESSIONAL SVCS 50,000.00 70,000.00 120,000.00 101-25-80285-000000 SVCS-LEGAL 2,000.00 169,000.00 171,000.00 401-00-65010-000000 INVESTMENT EARNINGS -50,100.00 -20,000.00 -70,100.00 402-00-65010-000000 INVESTMENT EARNINGS -22,400.00 -10,000.00 -32,400.00 404-00-65010-000000 INVESTMENT EARNINGS -62,300.00 -30,000.00 -92,300.00 2025-2026 Total: -6,124,800.00 252,640.00 -5,872,160.00 Grand Total: -6,124,800.00 252,640.00 -5,872,160.00
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Budget Adjustment Register Packet: GLPKT14126 - Mid-Year Proposed Adjustments 2/5/2026 4:42:44 PM Page 3 of 3
Fund After
Fund Summary
Before Adjustment
Budget Code:2025-2026 - Adopted Budget for FY 2025/26 Fiscal: 2025-2026 101 -5,990,000.00 312,640.00 -5,677,360.00
401 -50,100.00 -20,000.00 -70,100.00
402 -22,400.00 -10,000.00 -32,400.00
404 -62,300.00 -30,000.00 -92,300.00
Budget Code 2025-2026 Total: -6,124,800.00 252,640.00 -5,872,160.00 Grand Total: -6,124,800.00 252,640.00 -5,872,160.00
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City of Cotati
Summary of Fiscal Resilience Enterprise Fund Factors
As of:
General Fund:
Cash*
Budget Operating
Expenses Cash Coverage Goal
A. Cash Coverage Ratio = $ 2,224,116 $ 10,558,688 21.06% > 25% Cash* Current Liabilities** Quick Ratio Goal
B. Liquidity Ratio = $ 2,224,116 $ 197,598 11.26 > 2.00 Twelve Month
Rolling Revenues To
12/31/2025
Twelve Month
Rolling Budget
Revenues
Revenues to
Budget Goal
C.1 Rolling Twelve Months Revenue to Budget = $ 10,405,592 $ 11,325,810 -8% > - 10% Fiscal Year Total
Revenues To
12/31/2025
Prior Fiscal Year
Revenues *
12/31/2024
Revenues to Prior
Year
C.2 Current Fiscal Year Revenue to Prior Fiscal Year = $ 4,602,671 $ 4,479,737 3% D. Increase in Expenditures
Operating
Expenditures
12/31/2025
Budget Expenditures
(6 Months)
Expenditures to
Budget Goal
Operating Expenditures Compared to Budget $ 4,964,822 $ 5,279,344 -6% < 10% Operating
Expenditures
12/31/2025
Prior Fiscal Year
Expenditures
12/31/2024
Expenditures to
Prior Year
Operating Expenditures Compared to Prior Year $ 4,964,822 $ 4,752,211 4% E. Significant Revenue Sources Changes
Current Fiscal Year
12/31/2025
Prior Fiscal Year
12/31/2024 % Change Goal
Bradley Burns $ 919,190 $ 895,067 2.7% > - 10%
Measure S $ 969,755 $ 1,023,375 -5.2%
Combined Sales Tax $ 1,888,945 $ 1,918,442 -1.5%
Property Tax $ 1,231,618 $ 1,198,222 2.8%
Current Fiscal Year
12/31/2025
Budget
(4 Months) % Change Goal
Bradley Burns* $ 919,190 $ 934,400 -1.6% > - 10%
Measure S* $ 969,755 $ 1,021,267 -5.0%
Combined Sales Tax* $ 1,888,945 $ 1,955,667 -3.4%
Property Tax $ 1,231,618 $ 1,073,140 14.8%
Wednesday, December 31, 2025
* - Sales Tax - 4 of the 12 monthly payments have been received to date as they are received two months after the collection period they represent. Staff have proposed an adjustment to reduce the estiamted sales tax receipts for the fiscal year. If adopeted the adjusted amount will be resented within this evaluation within the next quarterly update.
** - Property Tax - Payments are received in December, April and a true up in August. As such, 1 of the two main payments have been received for the fiscal year.
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City of Cotati
Summary of Fiscal Resilience Enterprise Fund Factors
As of:
General Fund:
Wednesday, December 31, 2025
F. Community Event Identification:
Fiscal Year Total
Revenues To
12/31/2025
Fiscal Year
Operating
Expenditures
12/31/2025
Current Year
Revenues to
Expenses Goal
G. Current Fiscal Year Revenues to Operating Expenditures $ 4,602,671 $ 4,964,822 93% > 110% Prior Fiscal Year
Revenues *
12/31/2024
Prior Fiscal Year
Expenditures
12/31/2024
Prior Year
Revenues to
Expenses
Prior year Revenues to Operating Expenditures $ 4,479,737 $ 4,752,211 94% Ref:
* Cash incudes the pooled cash attributable to the evaluated fund which consists of all liquid available cash and investments held including CD's and Treasury notes. ** Current Liabilities are the total of all liabilities for the evaluated fund, as of the reporting date, that are due and payable within one year.
Staff have identified reduced revenues due to (1) decreased sales tax where by staff have proposed a budget adjustment to continue to have a reasonably conservative sales tax budget for the year and (2) timing of other reimbursable grant work staff are working to complete projects to book reimbursements. With these changes to revenue we beleive revenues will both be back on track to meet operating expenses and budget for the fiscal year. This will continue to be monitored for risk.
- None Noted. Cannabis business mentioned in report is known to be implementing changes with unknown impacts to the City revenues at this time. 106 of 140
City of Cotati
Summary of Fiscal Resilience Enterprise Fund Factors
As of:
Water Enterprise Fund
Cash*
Budget Operating
Expenses Cash Coverage Goal
A. Cash Coverage Ratio = $ 4,290,480 $ 2,647,271 162.07% > 33% Cash* Current Liabilities** Quick Ratio Goal
B. Liquidity Ratio: = $ 4,290,480 $ 121,411 35.34 > 2.0 Twelve Month
Rolling Revenues To
12/31/2025
Twelve Month
Rolling Budget
Revenues Revenues to Budget Goal
C.1 Rolling Twelve Months Revenue to Budget = $ 2,843,589 $ 2,355,812 21% > - 10% Fiscal Year Total
Revenues To
12/31/2025
Prior Fiscal Year
Revenues *
12/31/2024
Revenues to Prior
Year
C.2 Current Fiscal Year Revenue to Prior Fiscal Year = $ 1,637,428 $ 1,557,835 5% D. Increase in Expenditures Operating
Expenditures
12/31/2025
Budget Expenditures
(6 Months)
Expenditures to
Budget Goal
Operating Expenditures Compared to Budget $ 1,187,575 $ 1,323,636 -10% < 10% Operating
Expenditures
12/31/2025
Prior Fiscal Year
Expenditures
12/31/2024
Expenditures to
Prior Year
Operating Expenditures Compared to Prior Year $ 1,187,575 $ 1,252,655 -5% E. Supporting Agency Change In Rates
1-Jul-25 Goal
Budgeted Rate Agency Rate Difference < 2%
Sonoma County Water Agency (65% of supply) 12.00% 15.00% 3.0000% F.
Fiscal Year Total
Revenues To
12/31/2025
Fiscal Year
Operating
Expenditures
12/31/2025
Revenues to
Expenses Goal
Operating Revenues to Operating Expenditures $ 1,637,428 $ 1,187,575 138% > 110% Prior Fiscal Year
Revenues *
12/31/2024
Prior Fiscal Year
Expenditures
12/31/2024
Prior Year Revenues
to Expenses
Prior Year Revenues to Operating Expenditures $ 1,557,835 $ 1,252,655 124% Wednesday, December 31, 2025
* Cash incudes the pooled cash attributable to the evaluated fund which consists of all liquid available cash and investments held including CD's and Treasury notes. ** Current Liabilities are the total of all liabilities for the evaluated fund, as of the reporting date, that are due and payable within one year. 107 of 140
City of Cotati
Summary of Fiscal Resilience General Fund Factors
As of:
Sewer Enterprise Funds
Cash*
Budget Operating
Expenses Cash Coverage Goal
A. Cash Coverage Ratio = $ 2,566,575 $ 3,879,422 66.16% > 33% B. Cash* Current Liabilities** Quick Ratio Goal
Liquidity Ratio: = $ 2,566,575 $ 275,756 9.31 > 2.0
C.1 Twelve Month
Rolling Revenues To
12/31/2025
Twelve Month
Rolling Budget
Revenues Revenues to Budget Goal
Rolling Twelve Months Revenue to Budget = $ 3,757,259 $ 3,742,216 0% > - 10% C.2 Fiscal Year Total
Revenues To
12/31/2025
Prior Fiscal Year
Revenues *
12/31/2024
Revenues to Prior
Year Goal
Current Fiscal Year Revenue to Prior Fiscal Year = $ 2,024,012 $ 1,829,586 11% > - 10% D. Increase in Expenditures Operating
Expenditures
12/31/2025
Budget Expenditures
(6 Months)
Expenditures to
Budget Goal
Operating Expenditures Compared to Budget $ 1,889,034 $ 1,939,711 -3% < 10% Operating
Expenditures
12/31/2025
Prior Fiscal Year
Expenditures
12/31/2024
Expenditures to
Prior Year
Operating Expenditures Compared to Prior Year $ 1,889,034 $ 1,986,768 -5% E. Supporting Agency Change In Rates
1-Jul-25 Goal
Budgeted Rate Agency Rate Difference < 2%
Santa Rosa Wastewater Treatment 6.00% 2.09% -3.9100%
F.
Fiscal Year Total
Revenues To
12/31/2025
Fiscal Year
Operating
Expenditures
12/31/2025
Revenues to
Expenses Goal
Operating Revenues to Operating Expenditures $ 2,024,012 $ 1,889,034 107% > 110% Prior Fiscal Year
Revenues *
12/31/2024
Prior Fiscal Year
Expenditures
12/31/2024
Prior Year Revenues
to Expenses
Prior Year Revenues to Operating Expenditures $ 1,829,586 $ 1,986,768 92% Note:
Wednesday, December 31, 2025
** Current Liabilities are the total of all liabilities for the evaluated fund, as of the reporting date, that are due and payable within one year.
This item is improving over prior year and aligned with the utility rate study. Revenues have improved in part due to the move to monthly billing which more closely ties to the cost of services rendered. This will continue to be monitored for increased risk. * Cash incudes the pooled cash attributable to the evaluated fund which consists of all liquid available cash and investments held including CD's and Treasury notes. 108 of 140
Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: STRATEGIC PRIORITY REVIEW AND UPDATE
Date: February 10, 2026
Written by: Angela Courter, Director of Administrative Services Recommendation
It is recommended that the City Council receive an update on the status of the Strategic Planning projects and programs for FY 25-26 and FY 26-27 and provide direction to staff, as appropriate.
Background
On April 1, 2025, the City Council reviewed and approved the City’s Vision, Mission, and City Council Strategic Goals and Objectives for the FY 25-26 and FY 26-27 budget years. As part of that process, the City Council reviewed a list of current and proposed projects and programs aligned with the adopted Strategic Goals. The Strategic Plan was intended to guide City operations over the two-year budget period, with the understanding that projects and priorities may be revisited and adjusted as circumstances change, funding availability evolves, and progress is made.
This item provides an update on the status of those previously identified projects and programs, including progress to date, key milestones achieved, items currently underway, and projects anticipated to move forward in the upcoming period.
Analysis/Discussion
Staff is presenting the same Strategic Planning projects and programs previously reviewed and approved by the City Council, with updated status information for each item. The update is intended to:
• Provide transparency regarding progress on Council-adopted priorities • Identify projects that have been completed, are ongoing, or are pending • Highlight any challenges, delays, or changes in scope or timing 109 of 140
• Confirm continued alignment with the City Council’s Strategic Goals and Objectives Where applicable, staff will also note any anticipated adjustments to project timelines, funding assumptions, or implementation strategies. This update supports ongoing Council oversight and helps inform future budget decisions and work plan adjustments.
Financial Considerations
Financial impacts associated with the Strategic Planning projects and programs are reflected in the adopted FY 25-26 and FY 26-27 budgets, as amended. Any future changes with fiscal impacts will be brought forward for City Council consideration through the budget adjustment process.
Environmental Issues
Receiving a status update on previously approved Strategic Planning projects and programs does not constitute a project under the California Environmental Quality Act (CEQA) and is therefore exempt.
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Day to Day Activities
Effective
FTE
Day-to-Day Responsibilities (CM)
Administration 0.73
Budget/Strategic Planning 0.06
City Council 0.38
Police Advisory Committee/Other Commissions 0.04 City Records Management 0.42
Economic Development 0.08
Claims Mgmt/Insurance Matters/JPA 0.06
Emergency Response 0.10
General Customer Service 0.16
HR/Miscellaneous-Personnel 0.15
Litigation 0.07
Meetings - Staff Meetings 0.23
Operations/Department Oversight 0.03
PRA Request/Subpoenas 0.15
Public Information and Outreach 0.23
Records and Policies 0.11
SAFE Crisis Team Support/Admin 0.05
Safety Program Development/Mtgs 0.08
Technology 0.08
Training 0.08
Translation Services 0.01
Vehicle Fleet Maint/Mngmt 0.07
Sub-Total Day-to-Day Duties - CM 3.37
City Council 0.01
Current Classes Program Mgt 0.23
Events 0.61
Facility Rental Mgt 0.36
General Administration 0.05
Meetings - Instructor/Staff/Public/Customer Meetings 0.03 Meetings - Staff Meetings 0.10
Park Management 0.15
Facility Maintenance/Cleans 0.07
Public Information and Outreach 0.06
Camp Cotati 1.04
Training 0.08
Sub-Total Day-to-Day Duties - REC 2.79
Representation at Regional Meetings and Coordination with Outside Groups 0.06 Rotary/Health Action Committee/CPRS/Rancho Cotati HS/Other Groups 0.11 Sub-Total Regional Representation 0.17
Jury Duty 0.06
Holidays/Sick/Vacation 1.08
Sub-Total Day-to-Day Before Projects 7.47
Budgeted Effective FTE 7.20
Propopsed FTE 7.20
Remaining FTE Before Projects (0.27)
Department Name: City Managers
Day-to-Day Responsibilities (REC)
Regional Representation
Paid Time Off
CM & REC Office-Day-to-Day 2025
111 of 140
Day to Day Activities
Effective FTE
Day-to-Day Duties
Accounting 0.50
Accounts Payable 0.82
Accounts Receivable & Revenue 0.25
Auditing 0.12
Technology 0.10
Backflow Program 0.01
Banking & Investments 0.66
Budget/Strategic Planning 0.19
Cannabis Permitting 0.01
City Council 0.06
City Records Management 0.01
Customer Service 0.20
Departmental Support 0.01
Financial Reporting 0.15
General Administration 0.22
HR/Miscellaneous 0.04
Meetings - Staff Meetings 0.11
Payroll 0.27
Purchasing/Contracts 0.36
Training 0.06
Utility Billing 0.61
Sub-Total Day-to-Day 4.76
California Society of Municipal Finance Officers (CSMFO) 0.03 County Oversight 0.01
Sub-Total Regional Representation 0.04 Jury Duty 0.01
Holidays/Sick/Vacation 0.68
Sub-Total Day-to-Day Before Projects 5.49
Budgeted FTE 5.50
Propopsed FTE 5.50
Remaining FTE Before Projects 0.01
Department Name: Administrative Services
Regional Representation
Paid Time Off
Admin Services-Day-To-Day 2024
112 of 140
Day to Day Activities
Effective FTE
Day-to-Day Duties
City Council 0.02
Budget/Strategic Planning 0.02
Building Dept. Support 0.50
Cannabis Activities 0.01
Code Enforcement 0.10
Customer Service 0.45
Economic Development 0.05
General Administration 0.68
HR/Miscellaneous 0.01
Grants 0.03
Housing Compliance 0.11
Long Range Planning 0.18
Meetings 0.26
Plan Check-Permitting 0.03
Planning Commission 0.05
Private Development Project Time 0.33
Project Review-Entitlement 0.00
Regional Planning 0.00
Reporting 0.00
Training 0.15
Sub-Total Day-to-Day Duties 2.98
Regional Representation
Regional Planning Representation 0.11
Sub-Total Regional Representation 0.11
Paid Time Off
Holidays/Sick/Vacation 0.75
Sub-Total Day-to-Day Before Projects 3.84
Budgeted FTE 4.70
Propopsed FTE 4.70
Remaining FTE Before Projects 0.86
Department Name: Community Development
Community Dev-Day-To-Day
113 of 140
Day to Day Activities
Effective FTE
Day-to-Day Duties
ENGINEERING AND PUBLIC WORKS
Accident Repairs 0.01
Budget and Strategic Planning 0.07
City Council 0.05
City Emergency Response 0.02
City Records Management 0.22
City Wide General 0.05
Engrg-Building Plan Check Permitting 0.01
Engrg-Encroachment Permits 0.16
Gen Employee HR 0.01
General Administration 0.47
General Customer Service 0.08
Govt Bldgs-Landscape & Outside Property Maintenance 0.11 Govt Bldgs-Maintenance 0.27
LLADs-Administration 0.03
Parks - Landscape & Irrigation 0.12
Parks - Playground Inspections 0.05
Parks - Structures & Lighting 0.05
Public Information 0.02
Safety Meetings/Tailgate 0.02
Sewer-Flushing & Cleaning 0.02
Sewer-Maintenance 0.12
Sewer-Permit Inspections 0.00
Sewer-Regulatory Reporting & Sampling 0.02
Staff Meetings 0.17
Storm Water-Maintenance 0.13
Storm Water-MS4 Activities 0.05
Street Landscape Maintenance 1.22
Street Pavement Repair- Striping Maintenance 0.12
Street Signage Maintenance 0.07
Training 0.04
USA Markouts 0.08
Vehicle Fleet Maintenance 0.02
Water Meter Installation/Change 0.01
Water Reading/Re-Reads/Shutoffs 0.11
Water Well and Treatment System Inspections 0.03
Water-Backflow Program 0.84
Water-Regulatory Reporting, Water Sampling 0.20
Water-Service Line Repair/Replacement 0.24
Water-Water Conservation Activities 0.01
Weed Abatement 0.19
Events 0.12
Misc. Small Community Events 0.01
Private Development Project Time 0.04
5.66 OTHER 0
Regional Meetings 0.11
0.11 Paid Time Off
Jury Duty 0.01
Holidays/Sick/Vacation 1.87
Sub-Total Day-to-Day Before Projects 7.65
Budgeted FTE 8.50
Propopsed FTE 8.50
Remaining FTE Before Projects 0.85
Department Name: Public Works
Public Works-Day-To-Day
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Day to Day Activities
Effective FTE
Patrol 8.36
General Dispatching 2.69
City Wide General 1.30
General Dispatching 1.23
General Administration 1.19
Records-General 0.81
Field Training Officer 0.68
Training 0.46
Police Academy Trainee 0.39
Staff Meetings 0.35
Gen Employee HR 0.25
Fleet/Equipment Maintenance 0.17
Technology 0.09
K-9 Training 0.08
Community Outreach/ Beat Meetings 0.07
General Customer Service 0.07
Cannabis Activities 0.07
Budget and Strategic Planning 0.05
City Council 0.04
Court 0.04
Mutual Aid 0.03
Police Advisory Committee 0.03
SAFE Crisis Team Support/Admin 0.02
PRA Request/Subpoenas 0.01
Meetings-MOU Association 0.01
City Records Management 0.01
Events 0.03
Projects 0.01
Sub-Total Day-to-Day Duties 18.94
Regional Planning Representation 0.06
Sub-Total Regional Representation 0.06
Holidays/Sick/Vacation 1.65
Sub-Total Day-to-Day Before Projects 20.65
Budgeted FTE 21.40
Propopsed FTE 21.40
Remaining FTE Before Projects 0.75
Department Name: Police Department
Day-to-Day Duties
Regional Representation
Paid Time Off
Police Department-Day-To-Day
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City of Cotati Strategic Priorities Work Plan 2025-2026 and 2026-2027 City Manager's Office = 1st Priority Proposed Projects
= 2nd Priority Proposed Projects
= 3rd Priority Proposed Projects Lead/Support Priority Strategic Projects Strategic FY Long-Term Vitality Address Climate Change Best-in Class Services Community Engagement Equity and Diversity Status Multi-Year Project % Complete at End of FY
Estimated
Completion Estimated FTE
City Manager's Office
L 1 City Website Refresh 2025/26 X X In-Progress 50% Summer 2026 0.08 L 1 Explore EIFD/CRA/CRIA for Infrastructure/Affordable Housing 2025/26 X X X In-Progress 15% Dec-26 0.04 S 1 120 E. Cotati Avenue Re-Entitlement/Development, Housing JPA 2024/25 X X X In-Progress 75% Feb-26 0.06 L 1 Impact Fee Schedule Update for Affordable Housing 2024/25X On Going 50% Summer 2026 0.00 L 1
Economic Development (Cannabis, Industrial Area Zoning) + Outreach and Engagement 2024/25
X X On Going Yes 25% Winter 2025 0.10
L 1 1-Year Evaluation of Veterans Hall Leasing Arrangement 2024/25 X X On Going 50% Summer 2026 0.00 S 1 Develop/Implement IT system master plan 2025/26X X On Going X 50% Summer 2026 0.04 L 1 Vehicle Asset Tracking 2025/26 X X On Going 90% Summer 2026 0.04 L 1 Veronda Falletti Barn Fund Raising 2025/26 X X On Going X 0% Spring 2026 0.08 L 1 RFP/RFQ for on-going contract services 2025/26 X X X On Going 0% Summer 2026 0.04 L 1 MOU negotiations, POA Salary Survey 2025/26 X X On Going 0% TBD 0.08 S 1 Accessibility Plan 2025/26 X X X On Going 0% Summer 2027 0.04 L 1 Tobacco License Ord. Evaluation and Implementation 2024/25 X On Going 10% Summer 2026 0.00 L 1 Recology Detailed Rate Review / Potential Franchise Agrmnt 2025/26 X On Going 33% Spring 2026 0.04 L 1 Measure O Funding for SAFE 2025/26 X X X On Going 75% Spring 2026 0.06 L 1 Renewal Enterprise District (RED) JPA Review 2025/26 X On Going 10% Spring 2026 0.03 L 1 Personnel Rules Update (Legal, EV Charge Pilot, Transit) 2024/25 X X On Hold Yes 25% Summer 2026 0.10 L 1
Microgrid City Hall Complex & Corp Yard, EV Charging Evaluation + Generator
2024/25
X X X On Hold 75% Summer 2026 0.00
L 1
Model Ordinance - Extended Producer Liability Household Hazardous Waste
2024/25
X X On Hold 0% TBD 0.02
L 1 Cannabis Business Tax Resolution Update 2025/26 X On Hold 0% 0.01 L 1 Downtown Parking Study 2025/26 X X X On Hold 0% 0.06 L 2
Dogs in Parks Ordinance Update 2024/25
X X Complete 100% Winter 2025 0.02
L 2 Update City Council Rules 2025/26 X X Complete 100% Summer 2025 0.01 L 2 Develop Policy on Gen. Artificial Intelligence (AI), AI Pilot, and social 2024/25 X In-Progress 75% Spring 2026 0.04 L 2 Records Digitization & Management Project 2024/25 X On Going X 25% TBD 0.10 S 2 Update cell facility ordinance to require FCC Report & Post Install 2024/25 X X On Hold 25% Summer 2025 0.00 L 2 Explore Community Engagement Opportunities including youth 2024/25 X On Hold 0% TBD 0.11 L 3 Ordinance to Update Parks/Event Approvals Requirement 2024/25 X X Complete 100% Fall 2025 0.02 L 3 Joint City Procurement Coordination/Policy Update 2024/25 X On Going 50% TBD 0.02 Note: Project in red text were added during the fiscal year.
Proposed Priority 1 FTE 0.87
Available FTE -0.27
-1.14
Proposed Priority 2 & 3 FTE 0.25
Available FTE -0.27
-0.52
Strategic Goals 2024/25
FISCAL YEAR 2025/26
FISCAL YEAR 2026/27
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City of Cotati Strategic Priorities Work Plan 2025-2026 and 2026-2027 Community Development Department = 1st Priority Proposed Projects = 2nd Priority Proposed Projects
= 3rd Priority Proposed Projects Lead/Support Priority Strategic Projects Strategic FY Long-Term Vitality Address Climate Change Best-in Class Services Community Engagement Equity and Diversity Status Multi-Year Project % Complete at End of FY
Estimated
Completion Estimated FTE
Community Development
S 1 Impact Fee Schedule Update for Affordable Housing 2024/25 X Complete 50% Summer 2025 0.00 L 1 Housing Element Program Implementation - 2024/25 X X X X X Complete 100% Summer 2025 0.00 L 1 120 E. Cotati Avenue Re-Entitlement/Development 2024/25 X X Complete 100% Spring 2025 0.00 L 1 Code Efficiency Improvements Ordinance 2024/25 X X X Complete 100% Spring 2025 0.09 L 1
ADU - Publish Grant Information/Types of Funding support 2024/25 X X X X Complete 100% Winter 2025 0.02
L 1 Housing Legislation Implementation - 2024/25 X X X Complete 100% Summer 2025 0.40 L 1 Business Focused Website Improvements 2025/26 X X X Complete 100% TBD 0.04 L 1 Update CMC & Implement Impact Fee Deferral per State Law 2025/26 X Complete 100% TBD 0.06 L 1 TOC & Santero Way Rezoning Ordinances 2025/26 X X X X Complete 100% Winter 2025 0.12 S 1 Economic Development (Cannabis, Industrial Area Zoning) In-Progress 20% Summer 2026 0.09 L 1 Full Electronic File Management Transition - Record Keeping 2024/25 X In-Progress 75% Winter 2026 0.12 S 1 Cultural and Community Event Promotion-Streamline process and support 2025/26 X X X In-Progress 50% Summer 2026 0.08 L 1 Implement Existing Business Outreach Program 2025/26 X X X In-Progress 20% Summer 2026 0.08 L 1
Business Oriented Code Improvements: -
Pop Up Business Ordinance -
Ordinance Update Commercial Land Use Tables targeting specific business types -Create
Freeway Oriented Zoning Overlay -Food
Based Business Ordinance
2025/26
X In-Progress 20% Summer 2026 0.25
L 1 Market Cotati Policy Improvements to housing developers and property 2025/26 X X In-Progress 10% Summer 2026 0.06 L 1 Prohousing Designation Application 2025/26 X X In-Progress 75% Spring 2026 0.02 L 1 Ag + Openspace Grant Application -Faletti Ranch 2025/26 X X X X In-Progress 5% Spring 2026 0.04 L 1 Climate Ready Cotati-Fair and Workshop Series 2025/26 X X X X X In-Progress 75% Fall 2026 0.06 S 1 Renewal Enterprise District (RED) JPA Review 2025/26 X X X In-Progress 10% Summer 2026 0.04 L 1 Building Community Outreach - online permitting 2024/25 On Going 50% Summer 2026 0.06 L 1 Engage with County on Habitat Conservation Plan Development 2024/25 X X On Going X 25% Winter 2025 0.08 S 1 Support Hwy 116/W Cotati Ave Intersection Safety Improvements 2024/25 X On Going X 50% Winter 2026 0.04 L 1 Electronic Permit Management Implementation 2025/26 X X X X On Going 75% Summer 2026 0.25 L 1 Coordinate with County on BAFHA Funding Plan Development 2024/25 X X X On Hold 100% Fall 2024 0.02 L 1 Explore Limited Vacation Rental Ordinance 2025/26 X On Hold 0% Fall 2026 0.06 S 1 Downtown Parking Study 2024/25 X X On Hold 0% TBD 0.08 L 2
Update cell facility ordinance to require FCC Report & Post Install Measurements & Potentially Residential Separation 2025/26 X X New 0% Winter 2026 0.04 L 2 Implement ATP Projects and Policy 2025/26 X X On Going 20% TBD 0.20 L 2 Dark Sky Lighting Ordinance 2024/25 X X On Hold 40% Winter 2026 0.03 L 3 Explore and implement opportunities to improvement government 2025/26 X X X New 0% TBD 0.05 L 3 MHP Ordinance Updates (Tenant Protections) 2024/25 X X X On Hold 0% TBD 0.05 L 3 General Plan Focused Update (Safety Element, Circulation, Social Justice) 2024/25 X X X X X On Hold 0% TBD 0.35 L 3 Building electrification (if needed) 2024/25 X X On Hold 0% TBD 0.00 Note: Project in red text were added during the fiscal year.
Proposed Priority 1 FTE 2.13
Available FTE 0.86
-1.27
Proposed Priority 2 & 3 FTE 0.72
Available FTE 0.86
0.14 Strategic Goals 2024/25
FISCAL YEAR 2025/26
FISCAL YEAR 2026/27
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City of Cotati Strategic Priorities Work Plan 2025-2026 and 2026-2027 Administrative Services Department = 1st Priority Proposed Projects = 2nd Priority Proposed Projects
= 3rd Priority Proposed Projects Lead/Support Priority Strategic Projects Strategic FY Long-Term Vitality Address Climate Change Best-in Class Services Community Engagement Equity and Diversity Status Multi-Year Project % Complete at End of FY
Estimated
Completion Estimated FTE
Administrative Services
L 1 Develop/Implement IT system master plan 2024/25 X X Complete 100% Summer 2026 0.00 L 1 New Business License System Implementation 2024/25 Complete 100% Spring 2026 0.05 L 1 Website Dept. Page Update/New Social Media Content 2025/26 X In Process 50% Winter 2025 0.06 L 1 Cyber Security Management 2025/26 X In Process 90% Summer 2026 0.05 L 1 365 System Tools Implementation 2025/26 X X In Process 50% Summer 2026 0.09 L 1 Text To Support 2025/26 X X New 0% Winter 2026 0.38 L 1 City Department - Cost Savings Award Program 2025/26 X In Process X 50% Fall 2026 0.04 L 1 CalCard Purchasing Process and Leveraging Evaluation 2025/26 X X New 0% TBD 0.17 L 1 Identify Funding For Water Projects 2025/26 X On Going X 5% Fall 2026 0.14 L 1 AP - AI Process Improvement Implementation 2026/27 X X On Hold X 0% TBD 0.16 L 2 Business Licensing Audits 2024/25 X Complete X 100% Fall 2025 0.08 L 2 IBS Payroll System Updates 2024/25 X Complete 100% Fall 2024 0.05 S 2 Water and Sewer Rate Review and Revenue Evaluations 2024/25 X X X Complete 100% Fall 2024 0.00 L 2 Deposit Account Process Review 2024/25 X Complete 100% Winter 2024 0.05 S 2 Develop Policy on Gen. Artificial Intelligence (AI), AI Pilot, and social 2024/25 X In Process 95% Summer 2026 0.00 L 2 Process Digitization and Automation - Paper Elimination 2024/25 X X In Process X 80% TBD 0.37 L 2
Donation Programs Creation 2025/26
X X New 0% TBD 0.17
L 2 RFP/RFQ to Contracts Processes Review and Update 2025/26 X X X New 0% TBD 0.19 L 2 New Buisness Welcome Resources 2025/26 X X New X 0% TBD 0.04 L 2 Confidential File Retention Review 2024/25 X On Hold 50% TBD 0.08 S 3 Volunteer Program / Support 2025/26 X X New X 0% TBD 0.07 L 3 Evaluate Stormwater Rate Study for Possible Implementation 2026/27 X X On Hold 0% TBD 0.12 Note: Project in red text were added during the fiscal year.
Proposed Priority 1 FTE 1.22
Available FTE 0.01
-1.21
Proposed Priority 2 & 3 FTE 1.14
Available FTE 0.01
-1.13
Strategic Goals 2024/25
FISCAL YEAR 2025/26
FISCAL YEAR 2026/27
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City of Cotati Strategic Priorities Work Plan 2025-2026 and 2026-2027 Public Works and Engineering Department = 1st Priority Proposed Projects = 2nd Priority Proposed Projects
= 3rd Priority Proposed Projects Lead/Support Updated Priority Strategic Projects Strategic FY Long-Term Vitality Address Climate Change Best-in Class Services Community Engagement Equity and Diversity Status Multi-Year Project % Complete at End of FY
Estimated
Completion Estimated FTE
Public Works
L 1 2026 Street Maintenance Project 2025/26 X X Complete 100% Summer 2026 0.00 L 1 Water and Sewer Rate Review and Revenue Evaluations 2024/25 X X X Complete 100% Spring 2025 0.00 L 1 Update & Publish Development Checklists/Review Benchmarks 2024/25 X X Complete 100% Spring 2026 0.14 L 1 Remove Eucalyptus Trees & Stumps on W. Sierra Ave 2024/25 X Complete 100% Spring 2026 0.00 S 1 Microgrid City Hall Complex & Corp Yard, EV Charging Evaluation 2024/25 X X X Complete 100% Spring 2026 0.02 L 1 Trash Implementation Plan - Phase 1 2024/25 X X Complete 100% Summer 2026 0.06 L 1 Re-Roof Police Station 2025/26 X Complete 100% Fall 2025 0.04 L 1 Cross Control Connection Plan 2025/26 X X Complete 100% Winter 2025 0.08 L 1 SCADA System Troubleshooting 2025/26 X X Complete 100% Spring 2026 0.00 L 1 Traffic Signal Pole Repainting (ORH/Myrtle & E. Cotati/ORH) 2025/26 X X Complete 100% Spring 2026 0.08 L 1 Caltrans Title VI Update (Anti-Discrimination) 2025/26 X Complete 100% Summer 2026 0.08 L 1 Engineering Asset Management, Implement 811 2025/26 X X Complete 100% Spring 2026 0.00 L 1 Putnam Park Improvements 2024/25 X In Construction X 100% Spring 2026 0.00 L 1 Sunflower Park Improvements 2024/25 X In Construction X 100% Spring 2026 0.06 L 1 Hwy 116/W Cotati Ave Intersection Safety Improvements 2024/25 X X X In Design X 50% Fall 2028 0.11 L 1 2026 Street Rehabilitation Project - (Lasker, Lund Hill, 0retsky) 2026/27 X In Design X 65% Summer 2026 0.06 L 1 Wastewater System Emergency Generator Project (Quail Hollow) 2024/25 X X In Design X 10% Fall 2026 0.05 L 1 Class 1 Pathway Maintenance & Laguna Waste Receptacle Project (Laguna 2024/25 X In-Progress 80% Summer 2026 0.03 L 1 Annual City-Wide Bicycle Pedestrian Safety Improvements Project 2025/26 X X X In-Progress X 100% Summer 2026 0.03 L 1 Sewer & Water Renewal and Replacement Master Plan 2025/26 X In-Progress 40% Fall 2026 0.09 L 1 Sewer Lift Station Renewal 2025/26 X In-Progress X 0% Spring 2027 0.05 L 1 Well 2 Renewal & Remediation 2025/26 X In-Progress X 0% Spring 2027 0.06 L 1 Well 1A/Well 3 Treatment Renewal and Replacement 2024/25 X In-Progress X 15% Fall 2026 0.06 L 1 Cypress Tank and Pipeline 2025/26 X In-Progress X 0% Summer 2027 0.29 L 1 Traffic Signal Controller Interconnection & Control 2024/25 X X In-Progress 50% Fall 2026 0.06 L 1 Digital Marquee 2025/26 X In-Progress X 80% Summer 2026 0.08 L 1 Accessibility Plan & Class IV Bike lane 2025/26 X X In-Progress X 30% Fall 2027 0.08 L 1 Emergency Response Plan - American Water Infrastructure Act (AWIA) 2025/26 X X In-Progress X 20% Winter 2026 0.08 L 1 Engineering Standards Update 2026/27 X X In-Progress X 10% TBD 0.08 L 1 Annual Landscaping Improvements Project 2025/26 X X New X 100% Spring 2026 0.02 L 1 Cator Basketball Court Resurfacing 2026/27 X New 0% Summer 2027 0.01 L 1 Local Roads Safety Plan 2026/27 X X X New X 0% Fall 2026 0.15 L 2 2028 Street Improvements Project 2026/27 X New X 0% Spring 2028 0.06 L 2 New Century Sewer Lift Station Backup Generator 2026/27 X New 0% Spring 2028 0.06 L 2 Park Meadows Landscape Improvements Project 2024/25 X X On Hold 0% TBD 0.02 L 3 West Sierra Tank Recoating 2024/25 X Complete 100% TBD 0.06 L 3 Olaf Street Storm Drain Repair 2024/25 X X X In-Progress 80% Summer 2026 0.02 L 3 Vegetative Management - Laguna De Santa Rosa - Working with 2024/25 X In-Progress 50% Summer 2026 0.04 L 3 AB 43 - Speed Zone Reduction Act - Policy on Neighborhood Traffic Safety 2026/27 X X New X 0% TBD 0.08 L 3 Water and Sewer Rate Review and Revenue Evaluations 2026/27 X X New X 0% TBD 0.08 L 3 Civic Center Park Improvements Project 2026/27 X On Hold X 30% TBD 0.10 L 3 Buildings Civic Center Parking Lot Improvements 2024/25 X On Hold 0% TBD 0.04 L 3 Gateway Signs Project - Entry Way Signs Large 2025/26 X On Hold 20% TBD 0.10 S 3 Parks Veronda Falletti Ranch Barn(s) Final Design 2025/26 X X On Hold 20% TBD 0.20 Note: Project in red text were added during the fiscal year.
Proposed Priority 1 FTE 1.91
Available FTE 0.85
-1.06
Proposed Priority 2 & 3 FTE 0.63
Available FTE 0.85
0.22 Strategic Goals 2024/25
FISCAL YEAR 2025/26
FISCAL YEAR 2026/27
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City of Cotati Strategic Priorities Work Plan 2025-2026 and 2026-2027 Police Department = 1st Priority Proposed Projects
= 2nd Priority Proposed Projects
= 3rd Priority Proposed Projects Lead/Support Priority Strategic Projects Strategic FY Long-Term Vitality Address Climate Change Best-in Class Services Community Engagement Equity and Diversity Status Multi-Year Project % Complete at End of FY
Estimated
Completion Estimated FTE
Police Department
L 1 Focused Vehicle, Pedestrian, Bicycle Safety/Enforcement 2025/26 X X In-Progress 100% Winter 2024 0.08 L 1 DUI - Focused Vehicle, Pedestrian, Bicycle Safety/Enforcement 2025/26 In-Progress 60% Summer 2026 0.08 L 1 Identify Core Specialized Training for Detective Position 2025/26 X In-Progress 25% Summer 2026 0.08 L 1 Scan Project & Records Digitization 2025/26 X X X In-Progress X 10% Spring 2027 0.50 L 1 Firearms Transition 2025/26 X In-Progress 60% Summer 2026 0.04 S 1 Measure O Funding for SAFE 2025/26 X X X X In-Progress 75% Spring 2025 0.04 L 1 "Per-Diem" - Dispatcher Program Development 2025/26 X X In-Progress 60% Summer 2026 0.08 L 1 South County SAFE Team/Mental Health Outreach & Expansion 2025/26 X X X X On Hold 25% Spring 2026 0.08 L 2 PSAP (Dispatch) Upgrade 2025/26 X On-Going 80% Fall 2026 0.19 L 3 Repurpose Holding Facility Infrastructure 2025/26 X X In-Progress 10% TBD 0.50 Note: Project in red text were added during the fiscal year.
Proposed Priority 1 FTE 0.73
Available FTE 0.75
0.02 Proposed Priority 2 & 3 FTE 0.77
Available FTE 0.75
-0.02
Strategic Goals 2024/25
FISCAL YEAR 2025/26
FISCAL YEAR 2026/27
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490 Mendocino Avenue, Suite 201 Santa Rosa, CA 95401 707.542.9500 w-trans.com SANTA ROSA • OAKLAND
January 29, 2026
Mr. Damien O’Bid
City Manager
City of Cotati
201 W. Sierra Ave.
Cotati, CA 94931
Proposal to Prepare a Downtown Parking Management Plan for the City of Cotati Dear Mr. O’Bid;
W-Trans is pleased to provide this draft proposal to prepare a downtown parking management plan for the City of Cotati. The following scope of services is suggested based on our experience with numerous other parking studies, but it can be amended as needed.
Tasks
Task 1 – Project Kick-Off
W-Trans will convene a meeting with City staff to commence the project. The primary agenda items for the meeting will include a confirmation of the scope of work, schedule, and team member responsibilities; confirmation of data collection dates and methods; discussion of key stakeholders and the public engagement process; and potential approaches to setting phased recommendations. It is assumed in this task and all subsequent ones that W-Trans will be responsible for preparing meeting materials and leading presentations as necessary.
Immediately following the kick-off meeting, W-Trans proposes a tour of the downtown with City staff and relevant stakeholders. The tour will not only give W-Trans and City staff a chance to better discuss potential project opportunities and challenges but will also allow the group to observe and photograph on- and off-street, public and private, parking conditions in various parts of the downtown.
Deliverables: Finalized Scope of Work and schedule; confirmed data collection dates and methods; city tour; meeting materials
Task 2 – Existing Conditions Review
W-Trans will work with City staff to identify and compile available relevant and recent data, reports, and studies related to parking and related programs for downtown Cotati. This step will allow the team to identify existing data and document the current policy and regulatory framework for on- and off street parking within the study area. W-Trans will record policies, objectives, strategies, and tactics identified in previous planning efforts that can inform the parking management study and minimize duplicative effort. Analysis of these materials will enable the team to cost-effectively develop an accurate and specialized data collection plan. At a minimum, the data collection effort will include gathering and analyzing the Downtown Specific Plan, City Zoning Code, current City parking management measures and policies, and any other relevant data identified.
Task 3 – Parking Data Collection
W-Trans will conduct a field survey of downtown Cotati to inventory the total parking supply by block face (onstreet) and lot (off-street). This review will include documenting the on-street parking supply by space type (unregulated, time limited, loading, etc.); verifying the off-street parking inventory (public and private); noting the presence of disabled, compact, carpool spaces or other markings; and documenting posted time restrictions and limits. The downtown study area is assumed to be the area shown in the figure below. 121 of 140
Mr. Damien O’Bid Page 2 January 29, 2026
Following the inventory, W-Trans will conduct a comprehensive field occupancy survey of all accessible public and private parking facilities within the downtown. The surveys will include parking facilities and properties that are readily accessible and where permission has been granted to enter. Parking occupancy surveys determine the peak demand for parking systemwide and for each facility, the pattern of demand across the study area, and where/when there is excess parking available. The surveys will measure parking occupancies on one (1) typical weekday and on one (1) typical Saturday for all on- and off-street public and private spaces to determine occupancy by hour of day. The utilization counts will be taken hourly from 8 a.m. to 8 p.m. to ensure peak employee and patron parking demands are assessed.
As an optional task, parking duration data may be collected during the occupancy surveys in all public spaces (onstreet and off-street). This process would involve surveyors noting at least the last four digits of each license plate to calculate how long (to the hour) a vehicle has been parked without collecting any identifying information.
During the duration counts, surveyors would also be noting the presence of employee permits to help determine the types of users frequenting spaces. This data can be useful to discover whether long-term parkers are occupying spaces in front of retail businesses that would be better suited for customers. The cost for this optional task is $12,000.
Task 4 – Current and Future Parking Demand Analysis
W-Trans will analyze parking utilization and turnover rates and patterns to assess available capacity and the resulting ability for the existing supply to meet current demand. Based on these observations, a parking surplus or deficit will be calculated and will serve as a baseline to measure future parking demand projections and the potential for growth in land uses. Peak hours of parking demand will be mapped, detailing peak usage by lot and for each block face in the downtown.
122 of 140
Mr. Damien O’Bid Page 3 January 29, 2026
In addition, W-Trans will develop a comprehensive list of land use quantities within the downtown using the most current land use data provided by the City. This data will be used to calculate both the built ratio and the demand ratio of parking. The built ratio compares the total number of existing parking spaces to the total existing square footage of occupied building space within the study area. The demand ratio represents peak hour parking occupancy within the downtown. By conducting this analysis, actual parked vehicles can be correlated to actual occupied building area to develop ratios that can be effectively compared to Code requirements and rates published in the Institute of Transportation Engineers’ (ITE) Parking Generation.
To estimate future parking demand in the downtown W-Trans will apply the demand ratios to the projected land use quantities gathered in Task 2. Based on available data as well as input received from City staff and key stakeholders, future parking demand may be calculated in phases to better schedule parking management recommendations and inform the necessary placement of needed future parking resources.
Deliverables: Current and Future Parking Demand Technical Report (Draft and Final) Task 5 – Community Engagement
W-Trans will work with City staff to develop, refine, and customize an effective outreach process to build collaborative interest in and consensus with the project given the diverse group of stakeholders that may have conflicting needs and expectations. Meeting/event design and setup, clear and easy to understand informational materials, and assistance in planning, staffing, and coordinating outreach events will also be provided. It is assumed the City would be responsible for maintaining a project website/social media and providing or distributing information to community members. All interviews, events, and workshops are assumed to be inperson. The process will include the following. • Stakeholder Interviews – W-Trans will collaborate with City staff to identify stakeholders and conduct a series of stakeholder interviews to solicit input from individuals and interest groups. The interviews will involve a series of half-hour to one-hour confidential meetings. Stakeholders could include neighborhood representatives, business owners, property owners, members of the Chamber of Commerce, City Council members, and other interested parties. It is assumed City staff will manage meeting invitations. • Community Workshop – W-Trans will organize, prepare for, and facilitate a community workshop to present the project findings and options and gain feedback from community members. The meeting will begin with a brief presentation of the project background, community outreach to date, followed by an introduction of the project goals and findings. Following the presentation, community members will discuss the findings and options and provide feedback on their likes, dislikes, and preferences. W-Trans staff will facilitate the discussion, and it is assumed that City staff will provide assistance including notices about the meeting and meeting facility. W-Trans will also provide Spanish interpretation services, if desired. • Pop-up events – In addition to facilitating the community workshop, two pop-up events will be held. Pop-up events provide an opportunity to present project material and inform and gain feedback from the public where they live, work, and play. Pop-up stations will typically include a table, E-Z Up, graphic boards, and easels displaying project materials. They can be very effective in reaching the community members who do not attend workshops/charrettes and meetings. Locations could include a farmers market, community events, school events, or a library.
• Online Community Questionnaire – It has become evident in recent years that there is proportionately more participation when an individual can provide input on their own time and in a location that best suits their availability and needs. This does not replace the synergy that can come from a workshop, but it does allow for a broader audience of participants. W-Trans will develop an online questionnaire (utilizing Microsoft Forms) to gather initial public input. W-Trans will ensure the platform is public focused with no technical jargon and easy for the public to use in both English and Spanish.
Deliverables:
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Mr. Damien O’Bid Page 4 January 29, 2026
• Prepare for, organize, and facilitate up to eight (8) hours of half-hour to one-hour stakeholder meetings • Prepare for, organize, and facilitate one (1) community workshop • Prepare for, organize, and facilitate two (2) pop-up events • Develop and provide one (1) online questionnaire
Task 6 – Parking Management Strategies
Based on the parking analysis in Task 4 and the community input received in Task 5, W-Trans will develop a phased set of parking management strategies (short-term and long-term). Proposed strategies will address managing both the demand and supply of public and private parking. Potential strategies may include the following. • Shared parking or public/private partnerships in which parking resources and funding can be shared between compatible uses, whether private or public.
• Peak period parking strategies including short-, mid-, and long-term strategies to provide parking availability during peak periods and special events, such as valet services. • Optimization of existing spaces including enhanced wayfinding and information about parking availability. • Parking regulation strategies including modifying the hours of operation or time limits to prioritize patron use of front-door parking spaces and incentivize visitors to stay, shop, and dine in the downtown. • Residential and/or employee parking permit program improvements to alleviate employee use of prime onstreet spaces and prevent spillover into residential neighborhoods. • Updated enforcement practices to encourage compliance with parking regulations and minimize punitive measures.
• Technology enhancements to better guide motorists to available parking resources and enforce parking regulations.
• Transportation demand management strategies such as unbundling parking pricing or other measures that are cost-effective compared to parking construction.
• Zoning code recommendations designed to assist in the transition of businesses and their ability to contribute to the parking situation in the space-constrained downtown. • Identification of potential future parking sites (which may be minimal considering the downtown’s limited availability of land).
The proposed parking demand and supply strategies will be summarized in a technical memorandum that includes a user-friendly matrix which clearly describes the proposed strategy, details its implementation timeline, highlights strengths and potential challenges, identifies responsible parties, and estimates annual costs or funding sources.
Deliverables: Parking Management Strategies Technical Report (Draft and Final) Task 7 – Downtown Parking Management Plan
W-Trans will compile all data, analysis, and recommendations into a comprehensive Downtown Parking Management Plan. The Plan will include a summary of the project goals and objectives, study approach, data, analysis, and methodology. In addition, the Plan will include the comprehensive parking inventory, a summary of key findings, specific management strategy recommendations based on the quantitative analysis and public input, and implementation procedures that will be designed to meet the specific needs of the City. The Plan will be written in a concise and clear style that will incorporate appropriate graphics to ensure that it is a user-friendly document.
Deliverables: Downtown Parking Management Plan (Draft and Final) 124 of 140
Mr. Damien O’Bid Page 5 January 29, 2026
Task 8 – City Coordination and Public Meeting Attendance W-Trans will hold monthly virtual coordination meetings with City staff. W-Trans will attend and present at up to two (2) in-person public meetings (e.g. Planning Commission, City Council).
Deliverables: Monthly virtual coordination meetings; Two (2) in-person public meetings Sincerely,
Brian Canepa, TDM-CP
Senior Principal
Enclosure: Budget
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Mr. Damien O’Bid Page 6 January 29, 2026
Task Mark
Spencer
Brian
Canepa
Kevin
Carstens
Nathan
Sarafian/
Valerie
Haines/
Jennifer
Costello/
Cade
Luongo
Admin 1 Misc Total Hours
Project Initiation 0 3 0 6 0 $80 9
Existing Conditions Review 0 9 0 26 0 $0 35
Parking Data Collection 0 7 0 13 0 $7,502 20
Community Engagement 0 33 0 48 0 $320 81
Parking Management Strategies 7 33 2 66 2 $0 110
Parking Management Plan 7 26 7 53 7 $0 100
City Coordination & Public Meetings 0 26 0 26 0 $80 52
14 137 9 238 9 $7,982 407
Task $340 $320 $235 $170 $135 LS TOTAL
Project Initiation $0 $960 $0 $1,020 $0 $80 $2,060
Existing Conditions Review $0 $2,880 $0 $4,420 $0 $0 $7,300 Parking Data Collection $0 $2,240 $0 $2,210 $0 $7,502 $11,952 Community Engagement $0 $10,560 $0 $8,160 $0 $320 $19,040 Parking Management Strategies $2,380 $10,560 $470 $11,220 $270 $0 $24,900 Parking Management Plan $2,380 $8,320 $1,645 $9,010 $945 $0 $22,300 City Coordination & Public Meetings $0 $8,320 $0 $4,420 $0 $80 $12,820 $4,760 $43,840 $2,115 $40,460 $1,215 $7,982 $100,372
Downtown Parking Management Plan
W-Trans Fee Estimate
HOURS BY STAFF MEMBER
FEE AT HOURLY RATES INDICATED
These rates are valid for work performed prior to December 31, 2026. Work performed after January 1, 2027, and any subsequent year may be billed at the revised rates established for that year. * Mileage charge will be based on the IRS Standard Mileage Rate (set at $0.725/mile effective January 1, 2026) plus 10 percent.
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Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: TRAFFIC SIGNALIZATION PROJECT
Date: February 10, 2026
Written by: Damien O'Bid, City Manager
Recommendation
It is recommended that the City Council adopt a resolution authorizing the City Manager to execute the necessary agreements with DC Electric and allocation of the necessary funds for the detailed traffic signal improvements and emergency backup.
Background
The City of Cotati currently owns and operates 8 traffic signals, as follows:
• Redwood Drive at Helman Lane
• Old Redwood Highway at Commerce
• Old Redwood Highway at Highway 116
• Old Redwood Highway at East Cotati Avenue/West Sierra • Old Redwood Highway at Myrtle/Valparaiso
• East Cotati Avenue at Adrian
• East Cotati Avenue at Lancaster
• East Cotati Avenue at Santero/SMART tracks
The signals on Highway 116 at the US 101 overcrossing and at Redwood Drive are owned, operated and maintained by Caltrans. The City pays for the maintenance of these signals proportional to the number of legs on the intersection that are City-owned streets.
As was experienced during the fires in the North Bay and subsequent Public Safety Power Shutdowns (PSPS), when power is lost signals without backup power will go dark. While drivers are supposed to treat dark intersections as four-way stops, it often results in confusion with drivers not stopping and a much higher likelihood of intersection collisions. To improve visibility, the City has added reflective tape around the signal heads so they are more apparent in 127 of 140
low light conditions, but the goal has been to work towards full backup power options on all of our traffic signals.
Analysis/Discussion
The City has been gradually working through all of our intersections to make sure they have backup power as well as a generator connection. The City has also transitioned all of the signal lights and safety lights to low power LEDs. To improve fire response, the City also added infrared signal pre-emption to all of our signals (including the Caltrans signals). For any first responder with infrared beacons, this allows for signal preemption and turns the signals green for the responding vehicle to expedite the response.
Additionally, the City has been working to interconnect all of the signals to allow for better coordination and improved traffic flow. The first part of this work was completed with the traffic signalization project several years ago. Lastly, the City has been upgrading pedestrian push buttons at signals to allow for audible signals for eyesight impaired pedestrians when using crosswalks.
The City uses DC Electric as our signalization contractor. They are the lead for regular inspections, repairs and adjustments of the City owned traffic signals. To complete the last battery backups, signal interconnects and pedestrian push button upgrades, City staff requested a quote, which is attached.
Financial Considerations
Given the current economic uncertainty and the pending cost of the road and pathway projects that will be out to bid shortly, staff are requesting approval to move forward on the emergency readiness projects only at this time. The two projects are the remaining battery backup systems ($37,500) and a new traffic signal controller to replace the antiquated controller at Old Redwood Highway at Myrtle ($25,500), for a total requested expenditure not to exceed $65,000 (with a $2,000 continency).
Once the pavement project bids have been received, if there is sufficient funding, staff would request approval at that time for the remaining projects in the attached proposal. Note that the traffic signal communication network installation proposal is connected to the potential digital marquee.
Funding for this work would come from the following budget areas:
• Old Redwood Highway at Myrtle Controller is budgeted within the Streets general fund account 101-19-80187-000000 for $30,000. The remaining $5,000 will be moved to be used for the battery backup project and contingency.
• The battery backup part of this project will be funded with the City-Wide Traffic Safety Improvements Project. These projects have an annual budget of $50,000 and this project will use $35,000 of these funds leaving $15,000 in funds to be used for the pathway into the street crosswalk at pocket park.
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To better account for the Old Redwood Highway/Myrtle signal controller part of this project, staff are proposing to move the budget from the Streets Department within the general fund to the Capital Projects Fund and reclass the additional funds to the battery backup project. No new funding is required, and there is no impact on the overall budget fund balance.
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. 129 of 140
RESOLUTION NO. (XX)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COTATI
AUTHORIZING THE CITY MANAGER TO EXECUTE AGREEMENTS AND
APPROPRIATE FUNDS FOR TRAFFIC SIGNAL IMPROVEMENTS AND
EMERGENCY BACKUP PROJECTS
WHEREAS, the City of Cotati owns and operates eight (8) traffic signals located at:
• Redwood Drive at Helman Lane
• Old Redwood Highway at Commerce
• Old Redwood Highway at Highway 116
• Old Redwood Highway at East Cotati Avenue / West Sierra • Old Redwood Highway at Myrtle / Valparaiso
• East Cotati Avenue at Adrian
• East Cotati Avenue at Lancaster
• East Cotati Avenue at Santero / SMART Tracks; and
WHEREAS, additional traffic signals located at Highway 116 at the U.S. 101 overcrossing and at Redwood Drive are owned, operated, and maintained by the California Department of Transportation (Caltrans), with the City paying a proportional share of maintenance costs based on City-owned street legs; and
WHEREAS, during recent wildfire events and Public Safety Power Shutoffs (PSPS), traffic signals without backup power became inoperable, creating confusion at intersections and increasing the likelihood of traffic collisions; and
WHEREAS, the City has taken interim safety measures such as installing reflective tape on signal heads, transitioning signal and safety lights to low-power LED fixtures, installing infrared signal pre-emption equipment for emergency responders, and upgrading pedestrian push buttons to provide audible signals for visually impaired pedestrians; and WHEREAS, the City has been working to interconnect traffic signals to improve coordination and traffic flow and to install battery backup systems and generator connections at all intersections; and
WHEREAS, the City utilizes DC Electric as its traffic signal contractor for regular inspections, repairs, and adjustments of City-owned traffic signals, and has received a proposal to complete remaining battery backup installations, signal interconnections, and pedestrian push button upgrades; and
WHEREAS, due to current economic uncertainty and anticipated roadway and pathway project costs, staff recommends proceeding at this time only with emergency readiness improvements consisting of:
• Remaining battery backup systems in the amount of $37,500; and 130 of 140
• Replacement of the antiquated traffic signal controller at Old Redwood Highway at Myrtle in the amount of $25,500; and
WHEREAS, the total requested expenditure for these emergency readiness projects is $65,000, including a $2,000 contingency; and
WHEREAS, staff intends to return to the City Council for authorization of additional signal improvement projects should sufficient funding be available following receipt of pavement project bids; and
WHEREAS, to appropriately account for the traffic signal controller replacement at Old Redwood Highway and Myrtle Avenue and the associated battery backup improvements, staff proposes a budget amendment to reclassify existing appropriations by transferring funds from the Streets Department within the General Fund to the Capital Projects Fund and reallocating a portion of those funds to the battery backup project, utilizing existing budgeted resources with no new funding required and no impact to the City’s overall fund balance; and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Cotati as follows:
1. Authorization. The City Manager is hereby authorized to execute all necessary agreements and related documents to complete traffic signal emergency readiness improvements, including battery backup installations and replacement of the traffic signal controller at Old Redwood Highway at Myrtle.
2. Funding Approval. The City Council hereby approves the budget amendment and allocation of funds in an amount not to exceed Sixty-Five Thousand Dollars ($65,000), inclusive of contingency.
3. Effective Date. This Resolution shall take effect immediately upon its adoption.
IT IS HEREBY CERTIFIED that the foregoing resolution was duly adopted at a regular meeting of the City Council of the City of Cotati held on February 10, 2026, by the following vote, to wit:
Approved:___________________________
Mayor
Attest:______________________________
Kevin Patterson, City Clerk
Approved as to form:______________________________
City Attorney
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DC Electric Group, Inc. 605 W. Sierra Ave., Cotati, CA 94931 t: (707) 992-0141 f: (888) 525-8419 Lic. #949934 DIR #1000003395 SBE #1748848
November 5, 2025
City of Cotati
Attn: Damien O’Bid, City Manager
201 West Sierra Avenue
Cotati, CA 94931-4217
Job Name: Traffic Signal Upgrades for Resiliency and Accessibility Job Location: Various Locations, Cotati, CA
Dear Damien,
Per your request, we offer to perform the following work per our standard terms and conditions, at the following price:
Traffic Signal Cabinet Replacement (ORH & Myrtle/Valparaiso):
• Remove and dispose of the existing old traffic signal cabinet and controller. • Salvage existing video detection cabinet components for reuse. • Furnish and install a new fully loaded 332L traffic signal cabinet on the existing foundation. • Furnish and install a new 2070LX controller complete with OMNI intersection control software to match other intersections in the City of Cotati.
• Furnish and install one 2010ECL conflict monitor.
• Reinstall existing video detection components.
• SWARCO/others to provide timing sheet conversion to 2070 with OMNI; DCE shall enter timing into new controller.
• Make all necessary connections and confirm proper operations.
Total Labor, Equipment, and Material… $25,500.00 (LS)
BBS Installations at 3 Locations (ORH & Myrtle/Valparaiso, Redwood & Helman, E. Cotati & Santero):
• At each of the three (3) locations, we will furnish and install one new externally mounted Alpha Battery Backup System (BBS) cabinet, complete with generator transfer switch, automatic transfer switch, and four (4) Alpha 240XTV batteries (to match other BBS systems in Cotati). o NOTE: This includes the removal of the old Tesco BBS at E. Cotati & Santero.
Total Labor, Equipment, and Material… $37,500.00 (LS)
APS at 3 Locations (ORH & Myrtle/Valparaiso, E. Cotati & ORH, E. Cotati & Lancaster):
• At each of the three (3) locations, we will remove and dispose of the existing pedestrian push-button (PPB) assemblies and furnish and install eight (8) new Accessible Pedestrian Signals (APS), including the necessary rack-mount control unit (iCCU) and cables in the traffic signal cabinet. • Each new APS will have custom voice-on-location (VOL) with street names to closely match other APS in the City of Cotati.
Total Labor, Equipment, and Material… $36,900.00 (LS)
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DC Electric Group, Inc. 605 W. Sierra Ave., Cotati, CA 94931 t: (707) 992-0141 f: (888) 525-8419 Lic. #949934 DIR #1000003395 SBE #1748848
Work can begin within (7) business days from receipt of Notice to Proceed from the City of Cotati and receipt of said material.
Estimated lead times (from receipt of approved submittals):
1.) Traffic Signal Cabinet, Controller, and Conflict Monitor = 20-24 weeks.
2.) Battery Back-up Systems = 8-10 weeks
3.) APS = 4-6 weeks
Pricing valid for 30 days.
Exclusions:
• Bonds (add 1.5% if required)
• Permits/Fees (including SMART)
• Traffic Control Plan
• Night Work
• Repair/Replacement of Conduits or Wiring.
This offer is hereby accepted on this __________ day of _________________, 2025.
City of Cotati DC Electric Group, Inc.
By: ____________________ Tim Carter
Title: __________________ Vice President
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DC Electric Group, Inc. 605 W. Sierra Ave., Cotati, CA 94931 t: (707) 992-0141 f: (888) 525-8419 Lic. #949934 DIR #1000003395 SBE #1748848
October 17, 2025
City of Cotati
Attn: Damien O’Bid, City Manager
201 West Sierra Avenue
Cotati, CA 94931-4217
Job Name: Traffic Signal Communication Network Installation Job Location: Old Redwood Hwy & E. Cotati Ave Corridors to City Hall (via La Plaza Park), Cotati, CA Dear Damien,
As requested, we offer to perform the following work per our standard terms and conditions, at the following price:
Establish temporary traffic control, as needed.
Submit USA dig ticket and pothole utilities as required. o Coordinate with City of Cotati to locate water/irrigation in La Plaza Park. Furnish and install new 2" HDPE conduit from the N/W/C pull-box at ORH/E. Cotati across the park to the band-stand closet room (via directional drilling).
Furnish and install new pre-terminated fiber optic cable through new 2" HDPE conduit and existing traffic signal conduit to the existing signal cabinet.
Furnish and install new Etherwan network switches (Etherwan 8-port 10/100/1000BASE-T(X) PoE + 2-port 100/1000BASE SFP w/ 54v 400w Power Supply (EX78922H-CIN)) at each of the six (6) City of Cotati signalized intersections.
Furnish and install one (1) additional Encom radio antenna and cable at E. Cotait & Adrian, facing west towards Laguna De Santa Rosa crosswalk.
Furnish and install two (2) (back-to-back) Encom E-Lite 450 radio antennas on existing poles at Laguna De Santa Rosa crosswalk and connect to 120V power source in crosswalk cabinet. Configure video detection and radio antenna connections to new switches. Install SFP modules, make the necessary fiber terminations, and coordinate with City IT Staff for testing. Assist City/IT Staff with viewing video stream in City-Hall.
Note: Workstation and any recording devices to be furnished and installed by City/others. This price assumes the existing switch in the band-stand closet will accept the proposed fiber.
The estimated lead-time on material is 4-6 weeks from receipt of Notice to Proceed from the City of Cotati and approved material submittals.
Total Labor, Equipment, and Material… $68,650.00 (LS)
Pricing valid for 30 days. Price excludes any additional permits/fees/etc.
This offer is hereby accepted on this __________ day of _________________, 2025.
City of Cotati DC Electric Group, Inc.
By: ____________________ Tim Carter
Title: __________________ Vice President
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2/6/2026 4:03:23 PM Page 1 of 3
Budget Adjustment Register
Cotati, CA Adjustment Detail
Packet: GLPKT14213 - ??TRAFFIC SIGNALIZATION PROJECT? - 02/10/2026
Adjustment Number Budget Code Description Adjustment Date BA0000085 Adopted Budget for FY 2025… Transfer Budget for Controller at Myrtle & ORH 2/10/2026 Move $30,000 budgeted for the controller at Old Redwood Highway and Myrtle from the streets department account within the General Fund to the Capital Projects Fund under the CCity-Wide Traffic Safety Improvement Projects.
Summary Description:
Account Number Account Name Adjustment Description Before Adjustment After 101-00-81000-000000 OPER TRANS OUT-GENL Transfer Old Redwood Highway at Myrtle Cont… 2,736,294.00 30,000.00 2,766,294.00 February: 30,000.00
101-19-80187-000000 CNTRCT SVCS-SPECIAL PROJECT Transfer Old Redwood Highway at Myrtle Cont… 75,000.00 -30,000.00 45,000.00 February: -30,000.00
605-00-67000-60PWGL OPER TRANS IN - CTYWD TRFC … Transfer Old Redwood Highway at Myrtle Cont… -50,000.00 -30,000.00 -80,000.00 February: -30,000.00
605-00-91200-60PWGL CITYWIDE TRAFFIC SAFETY Transfer Old Redwood Highway at Myrtle Cont… 50,000.00 30,000.00 80,000.00 February: 30,000.00
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Budget Adjustment Register Packet: GLPKT14213 - ??TRAFFIC SIGNALIZATION PROJECT? - 02/10/2026 2/6/2026 4:03:23 PM Page 2 of 3
Budget Budget Description Account Account Description After Budget Code Summary
Before Adjustment
2025-2026 Adopted Budget for FY 20… 101-00-81000-000000 OPER TRANS OUT-GENL 2,736,294.00 30,000.00 2,766,294.00 101-19-80187-000000 CNTRCT SVCS-SPECIAL PROJECT 75,000.00 -30,000.00 45,000.00 605-00-67000-60PWGL OPER TRANS IN - CTYWD TRFC SFT -50,000.00 -30,000.00 -80,000.00 605-00-91200-60PWGL CITYWIDE TRAFFIC SAFETY 50,000.00 30,000.00 80,000.00 2025-2026 Total: 2,811,294.00 0.00 2,811,294.00
Grand Total: 2,811,294.00 0.00 2,811,294.00
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Budget Adjustment Register Packet: GLPKT14213 - ??TRAFFIC SIGNALIZATION PROJECT? - 02/10/2026 2/6/2026 4:03:23 PM Page 3 of 3
Fund After
Fund Summary
Before Adjustment
Budget Code:2025-2026 - Adopted Budget for FY 2025/26 Fiscal: 2025-2026 101 2,811,294.00 0.00 2,811,294.00
605 0.00 0.00 0.00
Budget Code 2025-2026 Total: 2,811,294.00 0.00 2,811,294.00 Grand Total: 2,811,294.00 0.00 2,811,294.00
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Cotati City Council
Agenda Staff Report
Item type: REGULAR AGENDA (ACTION)
To: City Council
Subject: DISCUSSION ON POTENTIAL TOPICS FOR FUTURE
COMMUNITY-POLICE ADVISORY COMMITTEE MEETINGS
Date: February 10, 2026
Written by: Damien O'Bid, City Manager
Recommendation
It is recommended that the City Council discuss and provide direction to staff, if any, on items that the City Council would like the Community Police Advisory Committee to consider.
Background
At the City Council meeting on January 27, 2025, the City Council agreed to agendize a discussion on topics for review by the Community Police Advisory Committee.
Analysis/Discussion
None.
Financial Considerations
No direct financial impacts are expected. Depending on the nature and scope of the discussion requested for the Community Police Advisory Committee, staff time required to prepare the materials for discussion could be minor or more significant.
Environmental Issues
Where it can be determined with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA review.
This general rule can be applied to activities which could be subject to the CEQA process, but which logic dictates should not be subject to CEQA review. Therefore, based on the information provided above, the proposed resolution is exempt from CEQA pursuant to Section 14.03.021 of 138 of 140
the CEQA Guidelines in that there is no possibility that the activity may have a significant impact on the environment.
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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: February 10, 2026
Written by: Kevin Patterson, 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 2025-03: 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 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 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 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 2025-03 is available at the online meeting portal at www.cotaticity.gov or by request from the City Clerk at 707-665-3622 or [email protected]. 140 of 140