Dublin City Council
September 6, 2022

September 06, 2022 Dublin City Council Regular Meeting Agenda 1

COUNCILMEMBERS City Council Chamber
Melissa Hernandez, Mayor Dublin Civic Center
Jean Josey, Vice Mayor 100 Civic Plaza
Shawn Kumagai, Councilmember Dublin, CA 94568
Dr. Sherry Hu, Councilmember www.dublin.ca.gov
Michael McCorriston, Councilmember

Regular Meeting of the

DUBLIN CITY COUNCIL

Tuesday, September 6, 2022 Location: City Council Chamber 100 Civic Plaza
Dublin, CA 94568

CLOSED SESSION 6:00 PM
REGULAR MEETING 7:00 PM

Pursuant to AB 361, the City is authorized to hold public meetings via teleconferencing and to make public meetings accessible telephonically or otherwise electronically to all members of the public, without making available any physical location for the public.

Additional Meeting Procedures Available During the COVID-19 Pandemic

This City Council meeting will be broadcast live on Comcast T.V. channel 28 beginning at 7:00 p.m. This meeting will also be livestreamed at www.tv30.org and on the City’s website at: https://dublin.ca.gov/ccmeetings

Members of the public who wish to participate in the meeting electronically have the option of giving public comment via Zoom, subject to the following procedures:

 Fill out an online speaker slip available at www.dublin.ca.gov. The speaker slip will be made available at 10:00 a.m. on Tuesday, September 6, 2022. Upon submission, you will receive Zoom link information from the City Clerk. Speakers slips will be accepted until the public comment period ends, or until the public comment period on non-agenda items is closed.

 Once connected to the Zoom platform using the Zoom link information from the City Clerk, the public speaker will be added to the Zoom webinar as an attendee and muted. The speaker will be able to observe the meeting from the Zoom platform.

 When the agenda item upon which the individual would like to comment is addressed, the City Clerk will announce the speaker in the meeting when it is their time to give public comment. The speaker will then be unmuted to give public comment via Zoom.
1 September 06, 2022 Dublin City Council Regular Meeting Agenda 2

CLOSED SESSION 6:00 PM

I. Conference with Legal Counsel – Anticipated Litigation Significant exposure to litigation pursuant to paragraph (2) or (3) of subdivision (d) of Section 54956.9: 1 case

II. Public Employee Performance Evaluation
Title: City Attorney

II. Conference with Labor Negotiators
Agency Designated Representatives: Mayor Hernandez and Councilmember Hu Unrepresented Employee: City Attorney

REGULAR MEETING 7:00 PM

1. CALL TO ORDER AND PLEDGE OF ALLEGIANCE

2. REPORT ON CLOSED SESSION

3. ORAL COMMUNICATIONS

3.1 Presentation of the Constitution Week Proclamation and Certificate of Recognition to Daughters of the American Revolution Poster Contest Winner The City Council will present the Constitution Week Proclamation to the Daughters of the American Revolution (DAR) and a Certificate of Recognition to Dublin resident and DAR poster contest winner, Bilal Tariq Rauf.

STAFF RECOMMENDATION:

Present the proclamation and certificate of recognition.

Staff Report
Attachment 1 - Constitution Week Proclamation
Attachment 2 - Certificate of Recognition

3.2 Presentation of Lawrence Livermore Laboratory's 70th Anniversary Commendation The City Council will present a commendation to the Lawrence Livermore Laboratory in celebration of its 70th anniversary.

STAFF RECOMMENDATION:

Present the commendation.

Staff Report
Attachment 1 - Lawrence Livermore Laboratory's 70th Anniversary Commendation

3.3 Preview of Splatter
The City Council will receive a presentation previewing Splatter, taking place September 10, 2022 at Emerald Glen Park.

STAFF RECOMMENDATION:

Receive the presentation.

Staff Report
Item 3.3 - PowerPoint Presentation

2 September 06, 2022 Dublin City Council Regular Meeting Agenda 3

3.4 Public Comment
At this time, the public is permitted to address the City Council on non-agendized items. Please step to the podium and clearly state your name for the record. COMMENTS SHOULD NOT EXCEED THREE (3) MINUTES. In accordance with State Law, no action or discussion may take place on any item not appearing on the posted agenda. The Council may respond to statements made or questions asked, or may request Staff to report back at a future meeting concerning the matter. Any member of the public may contact th e City Clerk’s Office related to the proper procedure to place an item on a future City Council agenda. The exceptions under which the City Council MAY discuss and/or take action on items not appearing on the agenda are contained in Government Code Section 54954.2(b)(1)(2)(3).

4. CONSENT CALENDAR
Consent Calendar items are typically non-controversial in nature and are considered for approval by the City Council with one single action. Members of the audience, Staff or the City Council who would like an item removed from the Consent Calendar for purposes of public input may request the Mayor to remove the item.

4.1 Approval of the August 16, 2022 Regular City Council Meeting Minutes The City Council will consider approval of the minutes of the August 16, 2022 Regular City Council Meeting.

STAFF RECOMMENDATION:

Approve the minutes of the August 16, 2022 Regular City Council Meeting.

Staff Report
Attachment 1 - August 16, 2022 Regular City Council Meeting Minutes

4.2 City Manager’s Employment Agreement
The City Council will consider approving the Second Amendment to the City Manager’s Employment Agreement. The sole change would be to extend the timeframe in which the City Manager may be removed following any City election for membership on the City Council.

STAFF RECOMMENDATION:

Approve and authorize the Mayor to execute the Second Amendment to City Manager’s Employment Agreement.

Staff Report
Attachment 1 - Proposed Second Amendment to City Manager’s Employment Agreement Attachment 2 - City Manager’s Employment Agreement and First Amendment

4.3 2022 Development Agreement Review
The City Council will receive a report on the annual review of active Development Agreements to ensure compliance with the terms and provisions of the Agreements pursuant to the California Government Code, Sections 65864 - 65869.5, and to Chapter 8.56 of the Dublin Municipal Code.

STAFF RECOMMENDATION:

Adopt the Resolution Finding that Developers Having Obligations Under Active Development Agreements and Supplemental Agreements as Amended, Have Complied in Good Faith with the Terms and Provisions of the Agreements.

Staff Report
3 September 06, 2022 Dublin City Council Regular Meeting Agenda 4

Attachment 1 - Resolution Finding that Developers Having Obligations Under Active Development Agreements and Supplemental Agreements as Amended, Have Complied in Good Faith with the Terms and Provisions of the Agreements

4.4 Authorizing Remote Meetings of City Council and City Commissions Due to Increase in COVID-19 Cases
From March 2020 through September 2021, the City conducted meetings of its legislative bodies remotely pursuant to various executive orders that suspended certain Brown Act provisions. In October 2021, the City returned to in-person meetings and the Brown Act was amended to allow for teleconferencing during a state of emergency. Under the new law, AB 361, the City can continue to conduct virtual meetings where the Governor has proclaimed a State of Emergency, or state or local health officials have imposed or recommended social distancing, if the City Council makes certain required findings.

From January 11 – February 10, 2022, and since May 3, 2022, the City Council has operated under a resolution pursuant to AB 361 authorizing teleconferenced meetings for at least 30 days. The City Council will consider adopting a resolution that would allow for virtual attendance for the next 30 days.

STAFF RECOMMENDATION:

Adopt the Resolution Finding That There is a Proclaimed State of Emergency; Finding That Meeting in Person Would Present Imminent Risks to the Health or Safety of Attendees as a Result of the State of Emergency; and Authorizing Remote Teleconferenced Meetings of the Legislative Bodies of the City of Dublin Pursuant to AB 361.

Staff Report
Attachment 1 - Resolution Finding That There is a Proclaimed State of Emergency; Finding That Meeting in Person Would Present Imminent Risks to the Health or Safety of Attendees as a Result of the State of Emergency; and Authorizing Remote Teleconferenced Meetings of the Legislative Bodies of the City of Dublin Pursuant to AB 361

4.5 Second Reading of Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System and Approval of Resolution Adopting the City of Dublin Official District Map

The City Council will consider adopting an Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System and Approving a Resolution Adopting the City of Dublin Official District Map. The City Council waived the first reading and introduced the Ordinance on August 16, 2022 and is now requested to waive the second reading and adopt the Ordinance.

STAFF RECOMMENDATION:

Waive the second reading and adopt the Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System and approve the Resolution Adopting the City of Dublin Official District Map.

Staff Report
Attachment 1 - Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System
Attachment 2 - Resolution Adopting the City of Dublin Official District Map 4 September 06, 2022 Dublin City Council Regular Meeting Agenda 5

Attachment 3 - Exhibit A to the Resolution - Map 112

4.6 Purchase of Replacement Chairs, Tables, and Related Equipment for Shannon Community Center
The City Council will consider authorizing the purchase of replacement chairs, tables, and related equipment from MityLite for Shannon Community Center.

STAFF RECOMMENDATION:

Adopt the Resolution Authorizing the Purchase of Replacement Chairs, Tables, and Related Equipment from MityLite for Shannon Community Center.

Staff Report
Attachment 1 - Resolution Authorizing the Purchase of Replacement Chairs, Tables, and Related Equipment from MityLite for Shannon Community Center Attachment 2 - Exhibit A to the Resolution - MityLite Government Pricing Schedule

4.7 First Amendment to the Agreement with European Mobile Werks The City Council will consider approving an amendment to the agreement with European Mobile Werks to increase the not-to-exceed compensation amount.

STAFF RECOMMENDATION:

Adopt the Resolution Approving the First Amendment to the Contractor Services Agreement with European Mobile Werks for On-Call Maintenance and Repair Services.

Staff Report
Attachment 1 - Resolution Approving the First Amendment to the Contractor Services Agreement with European Mobile Werks for On-Call Maintenance and Repair Services Attachment 2 - Exhibit A to the Resolution - First Amendment to the Contractor Services Agreement Between the City of Dublin and European Mobile Werks Attachment 3 - Contractor Services Agreement Between the City of Dublin and European Mobile Werks

4.8 Annual Review of City’s Investment Policy
The City Council will consider approval of the City’s Investment Policy, including proposed changes to enable the City to purchase securities with a final maturity greater than five years as permitted by California Government Code. While not required by statute, annual review of a local agency’s investment policy is recommended by the California Debt and Investment Advisory Commission and is included as a requirement in the City Policy.

STAFF RECOMMENDATION:

Adopt the Resolution Approving the 2022 Annual Review of Investment Policy and Delegation of Authority to Complete Investment Transactions.

Staff Report
Attachment 1 - Resolution Approving the 2022 Annual Review of Investment Policy and Delegation of Authority to Complete Investment Transactions Attachment 2 - Exhibit A to the Resolution - Statement of Investment Policy for the City of Dublin
Attachment 3 - 2022 Statement of Investment Policy for the City of Dublin (Redline)

5. WRITTEN COMMUNICATION – None.

5 September 06, 2022 Dublin City Council Regular Meeting Agenda 6

6. PUBLIC HEARING – None.

7. UNFINISHED BUSINESS

7.1 Climate Action Plan 2030 and Beyond Reach Codes Report The City Council will receive a report on potential code options for three measures included in the City of Dublin’s Climate Action Plan 2030 and Beyond. The three measures under consideration include Measure EE-1, Achieve All-Electric New Construction; Measure SM-1, Adopt an Electric Vehicle Charging Station Ordinance; and Measure MM- 2, Reduce the Embodied Greenhouse Gas Emissions Associated with Building Materials.

STAFF RECOMMENDATION:

Receive the report and provide direction on the three Climate Action Plan 2030 and Beyond measures.

Staff Report (REVISED)
Attachment 1 - Resolution 100-20 Adopting the City of Dublin Climate Action Plan 2030 and Beyond
Attachment 2 - Measures EE-1, SM-1, and MM-2 excerpts from the Climate Action Plan 2030 and Beyond
Attachment 3 - Resolution 04-21 Requesting East Bay Community Energy Enroll City of Dublin Residential Accounts in Renewable 100 as the Default Electricity Product Attachment 4 - Resolution 28 -22 Requesting East Bay Community Energy Enroll Dublin Non-Residential Accounts in Renewable 100 as the Default Electricity Product Item 7.1 - PowerPoint Presentation

7.2 Parks and Community Services Report on Dublin-Based Non-Profit and Fundraising Fees
The City Council will receive a report on Dublin-based non-profit and fundraising fees at City of Dublin facilities and their fiscal impact. Options for the City Council to consider are included.

STAFF RECOMMENDATION:

Receive the report and provide direction on Dublin-based non-profit and fundraising fees.

Staff Report

8. NEW BUSINESS – None.

9. OTHER BUSINESS
Brief information only reports from City Council and/or Staff, including committee reports and reports by City Council related to meetings attended at City expense (AB1234).

10. ADJOURNMENT

This AGENDA is posted in accordance with Government Code Section 54954.2(a)

If requested, pursuant to Government Code Section 54953.2, this agenda shall be made available in appropriate alternative formats to persons with a disability, as required by Section 6 September 06, 2022 Dublin City Council Regular Meeting Agenda 7

202 of the Americans with Disabilities Act of 1990 (42 U.S.C. Section 12132), and the federal rules and regulations adopted in implementation thereof. To make a request for disability- related modification or accommodation, please contact the City Clerk’s Office (925) 833-6650 at least 72 hours in advance of the meeting.

Mission

The City of Dublin promotes and supports a high quality of life, ensures a safe and secure environment, fosters new opportunities, provides equity across all programs, and champions a culture of diversity and inclusion.

7 STAFF REPORT

CITY COUNCIL

Agenda Item 3.1
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Presentation of the Constitution Week Proclamation and Certificate of Recognition to Daughters of the American Revolution Poster Contest Winner Prepared by: Cierra Fabrigas, Executive Aide
EXECUTIVE SUMMARY:

The City Council will present the Constitution Week Proclamation to the Daughters of the American Revolution (DAR) and a Certificate of Recognition to Dublin resident and DAR poster contest winner, Bilal Tariq Rauf.

STAFF RECOMMENDATION:

Present the proclamation and certificate of recognition.

FINANCIAL IMPACT:

None.

DESCRIPTION:

The Daughters of the American Revolution (DAR), a nonprofit organization promoting patriotism and history, created Constitution Week in 1955 to promote the celebration and study of the nation’s foundingdocument. Constitution Week was later adopted by the U.S. Congress and signed into public law on August 2, 1956, by President Dwight D. Eisenhower. It is celebrated annually during the week of September 17-23.

The aims of the Constitution Week celebration are to:
 Emphasize citizens’ responsibilities to protect and defend the Constitution.  Inform people that the Constitution is the basis for America’s great heritage and the foundation for our way of life.
 Encourage the study of the historical events which led to the framing of the Constitution in September 1787.
8

The City Council will present the Constitution Week proclamation and recognize Dublin resident Bilal Tariq Rauf, winner of the 2022 poster contest sponsored by the DAR.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Constitution Week Proclamation
2) Certificate of Recognition
9 Attachment 1

A PROCLAMATION OF THE CITY COUNCIL

CITY OF DUBLIN, CALIFORNIA
“Constitution Week”
September 17-23, 2022
WHEREAS, September 17, 2022 marks the 235th anniversary of the drafting of the Constitution of the United States of America by the Constitutional Convention; and
WHEREAS, it is fitting and proper to accord official recognition to this magnificent document and its memorable anniversary; and to the patriotic celebrations which will commemorate the occasion; and WHEREAS, the National Society of the Daughters of the American Revolution (NSDAR) upholds the goals of Constitution Week, supporting Dublin libraries, schools, and civic organizations in teaching all citizens, especially youth and newly naturalized citizens, about our founding documents; and
WHEREAS, Public Law 915 guarantees the issuing of a proclamation each year by the President of the United States of America designating September 17 through 23 as Constitution Week.

NOW, THEREFORE, BE IT RESOLVED, that the Dublin City Council does hereby proclaim September 17, 2022 through September 23, 2022, as Constitution Week, and encourages our citizens to reaffirm the ideals that the framers of the Constitution had in 1787 by vigilantly protecting the freedom guaranteed to us through this guardian of our liberties, and remembering that lost rights may never be regained.

DATED: September 6, 2022

Mayor Melissa Hernandez Vice Mayor Jean Josey

Councilmember Sherry Hu Councilmember Shawn Kumagai Councilmember Michael McCorriston 10 Attachment 2

CERTIFICATE OF RECOGNITION
Given to

BILAL TARIQ RAUF
In recognition of winning the Constitution Week Poster Contest 1st Place Honors from the Daughters of the American Revolution, and demonstrating the outstanding qualities of dependability, service, leadership, and patriotism in your home, school, and in the Dublin community.

Presented by the
The City of Dublin
Dated: September 6, 2022

Mayor Melissa Hernandez Vice Mayor Jean Josey

Councilmember Sherry Hu Councilmember Shawn Kumagai Councilmember Michael McCorriston 11 STAFF REPORT

CITY COUNCIL

Agenda Item 3.2
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Presentation of Lawrence Livermore Laboratory’s70th Anniversary Commendation
Prepared by: Cierra Fabrigas, Executive Aide
EXECUTIVE SUMMARY:

The City Council will present a commendation to the Lawrence Livermore Laboratory in celebration of its 70th anniversary.

STAFF RECOMMENDATION:

Present the commendation.

FINANCIAL IMPACT:

None.

DESCRIPTION:

The Lawrence Livermore National Laboratory (LLNL) is celebrating its 70th anniversary as one of the nation’s leading applied science and research institutions, with world class contributions in national security, supercomputing, energy research, high energy density physics, engineering, materials science, physics, chemistry, and biotechnology.

The Livermore Lab Foundation is a nonprofit organization that works with the LLNL to provide outreach programs for students of Science, Technology, Engineering, and Math (STEM) and internships and fellowship programs at collegiate levels.

The City Council will recognize the LLNL and the Foundation for continuing to expand the Lab’s reach, impact, and opportunities in the advancement of science and technology, providing outstanding science and research for seven decades, with strong leaders dedicated to our nation’s best interests.
12

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Lawrence Livermore Laboratory’s 70th Anniversary Commendation 13 Attachment 1

A COMMENDATION OF THE CITY COUNCIL

CITY OF DUBLIN, CALIFORNIA
Lawrence Livermore Laboratory – 70 th Anniversary
WHEREAS, Lawrence Livermore National Laboratory (the Lab) was founded September 2, 1952 in Livermore, California, and is managed by Lawrence Livermore National Security, LLC, for the U.S.

Department of Energy’s National Nuclear Security Administration; and WHEREAS, for more than 70 years the Lab has served as one of the nation's leading applied science and research institutions, with world class contributions in national security, supercomputing, energy research, high energy density physics, engineering, materials science, physics, chemistry, and biotechnology; and WHEREAS, these accomplishments are now setting the stage for even greater opportunities ahead, with the Lab continuing to demonstrate how to make the 'impossible possible’; and

WHEREAS, the Livermore Lab Foundation is a 501c3 nonprofit organization dedicated to promoting science in the national interest as well as the development of philanthropic investments and public-private partnerships at the Lab; and
WHEREAS, since the Foundation's inception in 2016, it has strived to open the door to the next generation of Science, Technology, Engineering, and Math (STEM) students by accelerating outreach programs for high school students and implementing Lab internships and fellowship programs at the undergraduate and graduate level, impacting more than 2,300 students nationwide and creating a strong alumni network and pool of future Lab leaders; and
WHEREAS, the Foundation's fundamental research investments, via private philanthropic contributions in neurodegenerative diseases and climate resiliency, have also expanded the Lab's reach, impact, and opportunities in the advancement of science and technology; and WHEREAS, both the Foundation and the Lab continue to add to this important legacy by providing an historic glimpse in how the Lab has served at the nexus of outstanding science and research for seven decades, with strong leaders dedicated to our nation's best interests.

NOW, THEREFORE, BE IT RESOLVED that the Dublin City Council does hereby commend the Lawrence Livermore National Laboratory, including all current and former employees, on this 8th day of September 2022, for 70 years of science and research excellence on behalf of the nation.

BE IT FURTHER RESOLVED that the Livermore Lab Foundation is also commended in its efforts as a private philanthropic partner in providing an opportunity for all in our community to embrace the idea that 'science does matter.’
DATED: September 6, 2022
______________________
Mayor Melissa Hernandez
________________________ _______________________ Vice Mayor Jean Josey Councilmember Sherry Hu ________________________ ___________________________ Councilmember Shawn Kumagai Councilmember Michael McCorriston 14 STAFF REPORT

CITY COUNCIL

Agenda Item 3.3
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Preview of Splatter
Prepared by: Lauren Marriott, Recreation Coordinator
EXECUTIVE SUMMARY:

The City Council will receive a presentation previewing Splatter, taking place September 10, 2022 at Emerald Glen Park.

STAFF RECOMMENDATION:

Receive the presentation.

FINANCIAL IMPACT:

Splatter is included in the City’s annual operating budget.

DESCRIPTION:

Splatter will take place on Saturday, September 10, 2022, at Emerald Glen Park. This year’s event will continue to celebrate music, food, art, and culture while also wrapping up the City’s celebration of its 40th anniversary of incorporation.

Multicultural Focus
Splatter will continue to celebrate the diversity of Dublin and surrounding communities by incorporating multicultural elements throughout the festival’sfootprint.

As part of the recommendations from the City’s Task Force on Diversity, Equity, and Inclusion, a focus group was convened and tasked with reviewing the 2021 event and providing input on how these efforts can be expanded for 2022 and beyond. On May 4, 2022, Staff conducted a meeting with the focus group. The focus group included the following individuals: Margaret Laing, Sameer Hakim, Kristin Speck, Vanessa Thomas, Adam Lumia, Regis Harvey, Beatriz Ballesteros, Michele Wayland, Natasha Tripplett, and Julia Tomtania. Suggestions for Splatter 2022 from the focus 15

group included:
 Utilize varying food options to focus on cultural diversity. The focus group believed that one of the best representations of a culture is its food and suggested including a diverse selection of food vendors to develop a “small plates” program that allows event goers to sample from multiple vendors rather than choosing just one for a meal.  Further develop the passport/scavenger hunt activity to keep people engaged in various multicultural-themed activities.
 Continue to expand on the inclusion of multicultural music and entertainment throughout the event.
 Utilize books and story reading as an activity to highlight and represent the community’s diversity and to share stories from different cultures.

Staff has incorporated these suggestions into the 2022 event. In addition, Splatter will showcase multicultural performances including Bollywood, Chinese Dance, Kung Fu demonstrations, and more. A diverse and unique blend of food vendors will be available in the “Dine Around the World” food court featuring a multitude of cuisines from various regions of the world. Similarly, guests will have the opportunity to shop around the world in the “Arts and Crafts World Market.” Visitors will be given a passport that will guide them through the events and get stamped to collect a prize.

Additionally, the city has collaborated with the Dublin Library to bring the mobile library to Splatter. The mobile library will have a collection of books and stories celebrating Dublin’s diversity.

Entertainment
Splatter will feature three stages of live performances as well as roaming entertainment scattered throughout the event footprint. The amphitheater stage will feature an array of multicultural performances. The Side Yard Stage will highlight the community’s talents in performing arts such as music, dance, and poetry. The Main Stage will feature live musical entertainment during the day. At night, this Main Stage will become the focal point of a “community dance party” lead by headliners Neon Velvet, a high energy dance band, and Tainted Love, a 1980’s cover band that will take attendees back to the early days of cityhood.

Food and Beverage
As mentioned earlier, guests will be invited to “Dine Around the World’ and receive an elevated culinary experience that features a vast array of international cuisines. Participating food vendors will provide “small plates” in the $5-$8 range. The Rotary Club of Dublin will be serving local craft beer and wine from the Livermore valley.
16

The Arts
Splatter will continue to celebrate the arts throughout the event footprint with activities for all.

The “I Am Dublin” community mural will return this year due to its overwhelmingly positive response. Hosted in coordination with the Dublin Arts Collective, “The High Life” art exhibit will be on display inside The Wave. The exhibit will display fine arts originated by local high school artists.

Grand Finale
Lastly, given the positive response from 2021 and growing popularity, the evening will culminate with a synchronized, 100-drone light show. This year’s drone show will be customized to celebrate Dublin’s 40th anniversary and the Splatter event.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:

None.
17 splatter
City Council Meeting
September 6, 2022
18 Event Details
• Saturday, September 10, 2022 – Emerald Glen Park
• Time: 12:00 p.m. – 8:30 p.m.
• Day Time – Family Friendly Events &
Entertainment
• Late Afternoon/Evening – Headlining
Entertainers & Grand Finale Celebrating Dublin's
40th Anniversary
• Expanded Multicultural Focus Throughout Event
19 Multicultural Experiences
20 Splatter 2022
• Three Stages of Entertainment
– Main Stage
• Headliners & Grand Finale
– Amphitheater Stage
• Community & Multicultural Performances
– Side Yard Stage
• Local Acoustic Musicians & Performances
• Roaming Entertainment
21 Splatter 2022 contd.
• Dine Around the World
• Arts & Crafts World Market
• Carnival & Games
• Interactive Arts & Crafts
• Festival Scavenger Hunt
• “High Life” – Art Gallery
featuring local High School
students
22 Headlining Entertainment
Featuring:

Neon Velvet and Tainted Love
23 Grand Finale Drone Show
24 Questions?
25 STAFF REPORT

CITY COUNCIL

Agenda Item 4.1
EXECUTIVE SUMMARY:

The City Council will consider approval of the minutes of the August 16, 2022 Regular City Council Meeting.

STAFF RECOMMENDATION:

Approve the minutes of the August 16, 2022 Regular City Council Meeting.

FINANCIAL IMPACT:

None.

DESCRIPTION:

The City Council will consider approval of the minutes of the August 16, 2022 Regular City Council Meeting.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) August 16, 2022 Regular City Council Meeting Minutes DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Approval of the August 16, 2022 Regular City Council Meeting Minutes Prepared by: Marsha Moore, MMC, City Clerk
26 MINUTES OF THE CITY COUNCIL

OF THE CITY OF DUBLIN
Regular Meeting: August 16, 2022

DUBLIN CITY COUNCIL MINUTES

REGULAR MEETING
August 16, 2022
The following are minutes of the actions taken by the City of Dublin City Council. A full video recording of the meeting with the agenda items indexed and time stamped is available on the City’s website at:https://dublin.ca.gov/ccmeetings
CLOSED SESSION 6:00 PM
I. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION Initiation of litigation pursuant to paragraph (4) of subdivision (d) of Section 54956.9: 1 case.

II. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Property: APN 985-27-2 and APN 905-1-6-3
Agency Negotiator: City Manager
Negotiating Parties: GH PacVest LLC
Under Negotiation: Price and terms of payment
III. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Property: APN 901-1-5-2
Agency Negotiator: City Manager
Negotiating Parties: Milton Righetti and Gloria Righetti Under Negotiation: Price and terms of payment
IV. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Property: APN 905- 1-1-2 and APN 905-1-3-2
Agency Negotiator: City Manager
Negotiating Parties: Livbor Manning LLC
Under Negotiation: Price and terms of payment
V. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Property: APN 905-1-4-4
Agency Negotiator: City Manager
Negotiating Parties: Bex Development LLC
Under Negotiation: Price and terms of payment
VI. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Property: APN 905-1-4-3
Agency Negotiator: City Manager
Negotiating Parties: Town and County H Fund LLC and CHMH Dublin LLC Under Negotiation: Price and terms of payment
Attachment 1
27 DUBLIN CITY COUNCIL MINUTES

REGULAR MEETING
August 16, 2022
REGULAR MEETING 7:00 PM
A Regular Meeting of the Dublin City Council was held on Tuesday, August 16, 2022, in the City Council Chamber. The meeting was called to order at 7:07 PM., by Mayor Hernandez. 1) CALL TO ORDER
Attendee Name Status
Melissa Hernandez, Mayor Present
Jean Josey, Vice Mayor Present
Shawn Kumagai, Councilmember Present - via Zoom
Michael McCorriston, Councilmember Present
Dr. Sherry Hu, Councilmember Present
Mayor Hernandez reported there was no reportable action out of Closed Session. 2) PLEDGE OF ALLEGIANCE
3) ORAL COMMUNICATIONS

3.1) Presentation of a Resolution from Assemblymember Bauer-Kahan Recognizing the City of Dublin’s 40th Anniversary
The City Council received a resolution from Assemblymember Rebecca Bauer-Kahan in recognition of the City of Dublin’s 40th Anniversary.

3.2) Employee Introduction
New City of Dublin Staff member, Jason Earl, with the Community Development Department was introduced.

3.3) Presentation of American Muslim Appreciation and Awareness Month Proclamation
The City Council presented the American Muslim Appreciation and Awareness Month proclamation.

3.4) Public Comment
Krishna Yalamanchi provided public comment.
4) CONSENT CALENDAR
28 DUBLIN CITY COUNCIL MINUTES

REGULAR MEETING
August 16, 2022

4.1) Approved the July 19, 2022 Regular City Council Meeting Minutes.

4.2) Received a report of the Two-Year Strategic Plan Accomplishments.

4.3) Adopted the following proclamations for the month of September in the City of Dublin:

Alcohol and Drug Addiction Recovery Month, Wilderness Month, Childhood Cancer Awareness Month, Childhood Obesity Awareness Month, Hispanic Heritage Month, Ovarian Cancer Awareness Month, Preparedness Month, Prostate Cancer Awareness Month, and Suicide Prevention Awareness Month.

This item was pulled from the Consent Calendar by Mayor Hernandez to call attention to the proclamations.

4.4) Waived the second reading and adopted Ordinance No. 09-22 titled, “Approving Amendments to Dublin Municipal Code Section 8.12.050 (Permitted and Conditionally Permitted Land Uses), Section 8.76.080 (Parking Requirements by Use Type), and Section

8.108.020 (Uses Permitted with a Temporary Use Permit).”

4.5) Adopted Resolution No. 101-22 titled, “Finding That There is a Proclaimed State of Emergency; Finding That Meeting in Person Would Present Imminent Risks to the Health or Safety of Attendees as a Result of the State of Emergency; and Authorizing Remote Teleconferenced Meetings of the Legislative Bodies of the City of Dublin Pursuant to AB 361.”

4.6) Received the City Treasurer’s Informational Report of Investments for the Quarter Ending June 30, 2022.

4.7) Received a report on the Dublin Transit Center Parking Garage Public Art Project.

4.8) Adopted Resolution No. 102-22 titled, “Approving Amendment #1 to the Agreement with All City Management Services Inc. for Crossing Guard Services.” Motion by Mayor Hernandez, seconded by Councilmember McCorriston, and by unanimous vote, the City Council adopted the Consent Calendar items, except item 4.3.

RESULT: ADOPTED [UNANIMOUS]
MOVED BY: Jean Josey, Vice Mayor
SECOND: Sherry Hu, Councilmember
AYES: Hernandez, Josey, Kumagai, McCorriston, Hu
Motion by Mayor Hernandez, seconded by Councilmember McCorriston, and by unanimous vote, the City Council adopted Consent Calendar item 4.3.

RESULT: ADOPTED [UNANIMOUS]
MOVED BY: Melissa Hernandez, Mayor
SECOND: Michael McCorriston, Councilmember
29 DUBLIN CITY COUNCIL MINUTES

REGULAR MEETING
August 16, 2022
AYES: Hernandez, Josey, Kumagai, McCorriston, Hu
5) WRITTEN COMMUNICATION - None.
6) PUBLIC HEARING

6.1) Dublin Districts— Public Hearing 5: Final Map Selection, Introduction of Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System
The City Council held a Public Hearing to give the community an opportunity to provide feedback regarding the boundaries and composition of the Draft Final Maps 112 and 112b.

Mayor Hernandez opened the public hearing.

Upon receiving no public comment, Mayor Hernandez closed the public hearing.

On motion by Vice Mayor Josey, seconded by Councilmember McCorriston, and by unanimous vote, the City Council waived the reading, introduced the Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System, and approved Map 112.

RESULT: UNANIMOUS
MOVED BY: Jean Josey, Vice Mayor
SECOND: Michael McCorriston, Councilmember
AYES: Hernandez, Josey, Kumagai, McCorriston, Hu
7) UNFINISHED BUSINESS

7.1) Bicycle and Pedestrian Plan Update
The City Council received an update on the draft Bicycle and Pedestrian Plan, which updates and replaces the City’s 2014 Bicycle and Pedestrian Master Plan and will inform future infrastructure and program and policy recommendations.

The City Council asked clarifying questions and provided their input on the draft plan.

7.2) Update on the Dublin Boulevard Extension Project
The City Council received an update on the Dublin Boulevard Extension Project. The City of Dublin, in cooperation with the City of Livermore, Alameda County Transportation Commission, and Alameda County, proposes to extend Dublin Boulevard approximately 1.5 miles eastward through unincorporated Alameda County and connect to North Canyons Parkway in Livermore, from its current terminus at Fallon Road.

The City Council asked clarifying questions and provided their input on the project. 30 DUBLIN CITY COUNCIL MINUTES

REGULAR MEETING
August 16, 2022
8) NEW BUSINESS

8.1) Review of Childcare in Downtown Dublin
The City Council received a report reviewing childcare within the City and in the Downtown.

This item was in response to an Item 9 request by the City Council for information regarding childcare, particularly for those families living in affordable units in the Downtown area.

8.1) Designation of Voting Delegates for the 2022 National League of Cities City Summit
The City Council appointed Vice Mayor Josey as a voting delegate, and Councilmembers Hu and McCorriston as alternates, to attend and vote on the City’s behalf at the National League of Cities City Summit in November 2022.
9) OTHER BUSINESS
The City Council and Staff provided brief information-only reports, including committee reports and reports by City Council related to meetings attended at City expense (AB1234). 10) ADJOURNMENT
Mayor Hernandez adjourned the meeting at 9:34 p.m.

Mayor
ATTEST:

City Clerk
31 STAFF REPORT

CITY COUNCIL

Agenda Item 4.2
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Agency Negotiating Team (Vice Mayor Josey and Councilmember McCorriston)
SUBJECT: City Manager’s Employment Agreement
EXECUTIVE SUMMARY:

The City Council will consider approving the Second Amendment to the City Manager’s Employment Agreement. The sole change would be to extend the timeframe in which the City Manager may be removed following any City election for membership on the City Council.

STAFF RECOMMENDATION:

Approve and authorize the Mayor to execute the Second Amendment to the City Manager’s Employment Agreement.

FINANCIAL IMPACT:

Sufficient funding is available in the Fiscal Year 2022-23 Budget.

DESCRIPTION:

On March 1, 2022, the City Council appointed an Agency Negotiating Team, consisting of Vice Mayor Josey and Councilmember McCorriston, to meet with the City Manager to discuss terms and conditions of employment. As a result of those discussions, the City’s Agency Negotiating Team, after consulting with the City Council in closed session, is recommending that the City Council approve an amendment to the City Manager’s employment agreement, to be effective July 1, 2022.

The sole change reflected in the amendment would be to extend the timeframe in which the City Manager may be removed following any City election for membership on the City Council.

Specifically, Section V.B.3. of the Agreement would be amended to read as shown in underline:
“The City Manager shall not be removed during the 90-day period preceding or the 180-day period following any City election for membership on the City Council, or during the 90-day period following any change in membership of the City Council, except upon four-fifths vote of the City 32

Council.”
STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Proposed Second Amendment to City Manager’s Employment Agreement 2) City Manager’s Employment Agreement and First Amendment 33 SECOND AMENDMENT TO

AGREEMENT BETWEEN CITY OF DUBLIN
AND

LINDA SMITH

FOR EMPLOYMENT AS CITY MANAGER
This Second Amendment is made and entered into this 6th day of September , 2022 by and between the City of Dublin, California, a municipal corporation and general law (the “City”), and Linda Smith, an individual (the “City Manager”).

Recitals
A. City and City Manager are parties to an Employment Agreement, dated November 5, 2019 (the “ Agreement”).

B. On June 1, 2021, the City Council approved an amendment to the Employment Agreement to make adjustments to the salary, management leave and deferred compensation.

C. The Parties desire to amend the Agreement, effective July 1, 2022, to extend the timeframe in which the City Manager may be removed following any City election for membership on the City Council.

NOW, THEREFORE, in consideration of the mutual promises, conditions and covenants herein contained, the parties agree to amend the Agreement as follows:

1. Section V.B.3. of the Agreement is amended to read as follows:
“The City Manager shall not be removed during the 90-day period preceding or 180-day period following any City election for membership on the City Council, or during the 90-day period following any change in membership of the City Council, except upon four-fifths vote of the City Council.”

2. The foregoing amendments shall become effective on July 1, 2022.

3. Except as amended herein, the Agreement shall remain in full force and effect, as amended.

IN WITNESS WHEREOF, the parties hereto have executed this First Amendment in duplicate at Dublin, California, the day and year first above written.

Attachment 1
34 City
By: _________________________
Mayor Melissa Hernandez
City Manager
___________________________
Linda Smith, City Manager
ATTEST:

______________________________
Marsha Moore, City Clerk
35 Attachment 2
36 37
38 39
40 41
42 43
44 45
46 47
48 49
50 51
52 53

STAFF REPORT

CITY COUNCIL

Agenda Item 4.3
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: 2022 Development Agreement Review
Prepared by: Jeff Baker, Community Development Director and Anastasia Nelson, Acting Administrative Aide
EXECUTIVE SUMMARY:

The City Council will receive a report on the annual review of active Development Agreements to ensure compliance with the terms and provisions of the Agreements pursuant to the California Government Code, Sections 65864 - 65869.5, and to Chapter 8.56 of the Dublin Municipal Code.

STAFF RECOMMENDATION:

Adopt the Resolution Finding that Developers Having Obligations Under Active Development Agreements and Supplemental Agreements as Amended, Have Complied in Good Faith with the Terms and Provisions of the Agreements.

FINANCIAL IMPACT:

The fiscal impacts of these projects were addressed as part of a fiscal analysis performed for each approved project. All financial obligations of the subject developers have been met pursuant to the terms provided in their respective Development Agreements.

DESCRIPTION:

An annual review of active Development Agreements is required by California Government Code Section 65865.1 and Chapter 8.56 of the Dublin Municipal Code. During the review period, occurring in July and August of each year, Staff reviews each active Development Agreement to ensure compliance with the terms and provisions of the agreement. The burden of demonstrating good faith compliance is on the respective developer and/or property owner. Staff from the Administrative Services, Community Development, Fire Prevention, Parks and Community Services, and Public Works departments complete a thorough and detailed assessment of the developer’s compliance with the requirements contained in the applicable agreements. 54

Following the review, Staff presents the findings and recommends to the City Council to either: (1) determine that the parties are in compliance and conclude the review; or, (2) determine that the parties have not complied in good faith, in which case the City Council must request that the matter of compliance be considered at a noticed public hearing. At said public hearing, the City Council may modify or terminate the Development Agreement upon making certain findings based on substantial evidence that the developer has not complied in good faith with the Agreement.

The following active Development Agreements, identified in Table 1 below, were subject to the 2022 annual review. Based on Staff’s review, all required public improvements, payments, and scheduled financial obligations have been satisfied by each of the developers and property owners. Staff concluded that each of the developers/owners are proceeding in good faith with the terms of their Development Agreement, and is therefore recommending that the report be accepted by the City Council and the annual review be concluded.

Table 1: Active Development Agreements
No. Development Project Expiration Date Compliant

1. Ashton at Dublin Station 08/16/2023 Yes

2. Dublin Crossings (Boulevard) 12/20/2033 Yes

3. Dublin Ranch West (Wallis Ranch) 02/19/2024 Yes

4. Kaiser Dublin Medical Center 11/04/2041 Yes
STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

No public notice is required. However, a formal notification of the 2022 Development Agreement Annual Review was sent to the parties of the Development Agreements. The City Council Agenda was posted.

ATTACHMENTS:
1) Resolution Finding that Developers Having Obligations Under Active Development Agreements and Supplemental Agreements as Amended, Have Complied in Good Faith with the Terms and Provisions of the Agreements.
55 Attachment 1
Reso. No. XX-22, Item X.X, Adopted 09/06/2022 Page 1 of 1 RESOLUTION NO. XX – 22

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN

FINDING THAT DEVELOPERS HAVING OBLIGATIONS UNDER ACTIVE DEVELOPMENT

AGREEMENTS AND SUPPLEMENTAL AGREEMENTS AS AMENDED, HAVE COMPLIED IN

GOOD FAITH WITH THE TERMS AND PROVISIONS OF THE AGREEMENTS WHEREAS, as of July 1, 2022, the following projects have active Development Agreements with the City of Dublin: Ashton at Dublin Station, Dublin Crossings (Boulevard), Dublin Ranch West (Wallis Ranch), and Kaiser Dublin Medical Center; and WHEREAS, the annual review of active Development Agreements is required by California Government Code Sections 65864 – 65869.5, and Chapter 8.56 of the Dublin Municipal Code; and
WHEREAS, during the review period, occurring in July and August of each year, Staff reviews the development agreements to ensure compliance of the terms and provisions of the Agreements; and
WHEREAS, the burden of demonstrating good faith compliance with the Agreements rests with the Developers; and
WHEREAS, the appropriate City Departments have reviewed each of the active Development Agreements, and confirmed that the developers are in compliance with the terms of the Agreements; and
WHEREAS, Staff presents and recommends the City Council determine the parties are in compliance and conclude the review.

NOW, THEREFORE, BE IT RESOLVED that the Dublin City Council concludes its review of the above referenced active Development Agreements and Supplemental Agreements as Amended, and determines that the Developers having obligations under said Agreements have complied in good faith with the terms and provisions of the Agreements.

PASSED, APPROVED AND ADOPTED this 6th day of September 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_______________________
City Clerk
56 STAFF REPORT

CITY COUNCIL

Agenda Item 4.4
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Authorizing Remote Meetings of City Council and City Commissions Due to Increase in COVID-19 Cases
Prepared by: John Bakker, City Attorney
EXECUTIVE SUMMARY:

From March 2020 through September 2021, the City conducted meetings of its legislative bodies remotely pursuant to various executive orders that suspended certain Brown Act provisions. In October 2021, the City returned to in-person meetings and the Brown Act was amended to allow for teleconferencing during a state of emergency. Under the new law, AB 361, the City can continue to conduct virtual meetings where the Governor has proclaimed a State of Emergency, or state or local health officials have imposed or recommended social distancing, if the City Council makes certain required findings. From January 11 – February 10, 2022, and since May 3, 2022, the City Council has operated under a resolution pursuant to AB 361 authorizing teleconferenced meetings for at least 30 days. The City Council will consider adopting a resolution that would allow for virtual attendance for the next 30 days.

STAFF RECOMMENDATION:

Adopt the Resolution Finding That There is a Proclaimed State of Emergency; Finding That Meeting in Person Would Present Imminent Risks to the Health or Safety of Attendees as a Result of the State of Emergency; and Authorizing Remote Teleconferenced Meetings of the Legislative Bodies of the City of Dublin Pursuant to AB 361.

FINANCIAL IMPACT:

None.
57

DESCRIPTION:

On March 4, 2020, Governor Newsom declared a State of Emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments, and help the State address the broader spread of COVID-19.

On March 18, 2020, the City Council adopted a resolution ratifying the proclamation of a local state of emergency by the Director of Emergency Services due to COVID-19.

On March 17, 2020, in response to the COVID-19 pandemic, Governor Newsom issued Executive Order N-29-20, which suspended certain provisions of the Brown Act in order to allow local legislative bodies to conduct meetings telephonically or by other means. Additionally, the State implemented a shelter-in-place order, requiring all non-essential personnel to work from home.

At that time and through September 2021, the City’s legislative bodies met by teleconference. On June 11, 2021, Governor Newsom issued Executive Order N-08-21, which among other things, rescinded certain clauses of Executive Order N-29-20 after September 30, 2021, including clauses that suspended certain provisions of the Brown Act. Thus, effective October 1, 2021, agencies would have had to transition back to public meetings held in full compliance with the Brown Act.

The City of Dublin began meeting in person beginning in October 2021.

Since the Governor issued Executive Order N-08-21, the highly contagious Delta variant has emerged, causing a spike in cases throughout the state and within the Alameda County.

Additionally, since then, the Omicron variants have emerged and been designed as a variant of concern by the United States, and the number of cases in the City have increased over the last month.

On September 16, 2021, the Governor signed AB 361 (2021) which allows for local legislative and advisory bodies to continue to conduct meetings via teleconferencing under specified conditions and includes a requirement that the Council make specified findings. AB 361 took effect immediately.

AB 361 allows local legislative bodies to continue to meet remotely after the expiration of the clauses of Executive Order N-29-20. Under AB 361, the City and its legislative bodies may meet remotely when:
· The local agency holds a meeting during a declared state of emergency; · State or local health officials have imposed or recommended measures to promote social distancing;
· Legislative bodies declare the need to meet remotely due to present imminent risks to the health or safety of attendees.

On January 11, 2022, the City Council adopted a resolution authorizing remote teleconferenced meetings for a period of 30 days pursuant to AB 361. That resolution expired on February 10, 2022.
58

At its April 19, 2022 meeting, the City Council directed Staff to bring a resolution to the May 3, 2022 meeting to allow the City Council and the City’s legislative bodies to meet virtually, including hybrid meetings, pursuant to AB 361. At its May 3, May 17, June 7, June 21, July 19, and August 16, 2022 meetings, the City Council adopted Resolution Nos. 39-22, 48-22, 65-22, 84-22, 92-22, and 101-22 respectively, that included the necessary findings pursuant to AB 361 to allow the City Council and the City’s legislative bodies to meet remotely or in a hybrid format for 30 days.

The City meets the requirements to hold meetings remotely in order to ensure the health and safety of the public:
· The Governor has declared a State of Emergency, and the City Council has ratified the proclamation of a local emergency by the Director of Emergency Services; · The CDC recommends social distancing of at least six feet due to COVID-19; · There’s been an increase of COVID-19 cases within the state and throughout Alameda County;
· Meeting in person would present imminent risks to the health or safety of attendees, the legislative bodies, and staff.

The proposed resolution includes the necessary findings pursuant to AB 361 to allow the City Council and the City’s legislative bodies to meet remotely or in a hybrid format for the next 30 days. The City Council would need to adopt a subsequent resolution declaring the need to continue to meet remotely to allow for such meetings after that 30-day period.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Resolution Finding That There is a Proclaimed State of Emergency; Finding That Meeting in Person Would Present Imminent Risks to the Health or Safety of Attendees as a Result of the State of Emergency; and Authorizing Remote Teleconferenced Meetings of the Legislative Bodies of the City of Dublin Pursuant to AB 361
59 Attachment 1
Reso. No. XX-22, Item X.X, Adopted XX/XX/2022 Page 1 of 3 RESOLUTION NO. xx-22

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN
FINDING THAT THERE IS A PROCLAIMED STATE OF EMERGENCY; FINDING THAT MEETING

IN PERSON WOULD PRESENT IMMINENT RISKS TO THE HEALTH OR SAFETY OF ATTENDEES AS A RESULT OF THE STATE OF EMERGENCY; AND AUTHORIZING REMOTE

TELECONFERENCED MEETINGS OF THE LEGISLATIVE BODIES OF THE CITY OF DUBLIN PURSUANT TO AB 361
WHEREAS, all meetings of the City of Dublin’s legislative bodies are open and public, as required by the Ralph M. Brown Act (Cal. Gov. Code sections 54950 – 54963), so that any member of the public may attend, participate, and watch the City’s legislative bodies conduct their business; and
WHEREAS, on March 4, 2020, Governor Newsom declared a State of Emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments, and help the State prepare for a broader spread of the novel coronavirus disease 2019 (“COVID-19”); and
WHEREAS, on March 18, 2020, the City Council adopted a resolution ratifying the proclamation of a local emergency by the Director of Emergency Services due to COVID-19; and WHEREAS, on March 17, 2020, in response to the COVID-19 pandemic, Governor Newsom issued Executive Order N-29-20 suspending certain provisions of the Ralph M. Brown Act in order to allow local legislative bodies to conduct meetings telephonically or by other means; and WHEREAS, as a result of the COVID-19 pandemic, and pursuant to Executive Order N-29-20 and its successors, the City Council met primarily virtually through September 2021; and WHEREAS, on June 11, 2021, Governor Newsom issued Executive Order N-08-21, which, effective September 30, 2021, ended the provisions of Executive Order N-29-20 that allows local legislative bodies to conduct meetings telephonically or by other means; and WHEREAS, on September 16, 2021, Governor Newsom signed AB 361 (2021) which allows for local legislative bodies and advisory bodies to conduct meetings via teleconferencing under specified conditions and includes a requirement that the City Council make specified findings. AB 361 (2021) took effect immediately; and
WHEREAS, under AB 361 (2021), an agency meeting virtually requires that the Governor declare a State of Emergency pursuant to Government Code section 8625; and WHEREAS, AB 361 (2021) further requires that state or local officials have imposed or recommended measures to promote social distancing, or, requires that the legislative body determines that meeting in person would present imminent risks to the health and safety of attendees; and
WHEREAS, such conditions now exist in the City, specifically, Governor Newsom has 60 Reso. No. XX-22, Item X.X, Adopted XX/XX/2022 Page 2 of 3 declared a State of Emergency due to COVID-19; and
WHEREAS, since the issuance of Executive Order N-08-21, the highly contagious Delta variant of COVID-19 has emerged, causing an increase in COVID-19 cases throughout the State and Alameda County; and
WHEREAS, on November 30, 2021, the Omicron variant was designated as a variant of concern by the United States; and
WHEREAS, cases of the highly contagious Omicron variant, including a subvariant called BA.2, have caused surges of COVID-19 and there has been an increase in cases during the last month in Alameda County; and
WHEREAS, the Centers for Disease Control and Prevention (“CDC”) continues to recommend physical distancing of at least 6 feet from others outside of the household; and WHEREAS, because of the recent rise in COVID-19 cases due in part to the highly contagious Omicron variants of COVID-19, the City is concerned about the health and safety of all individuals who intend to attend City Council and meetings of the City’s other legislative bodies; and WHEREAS, the City Council finds that the imminent risks of the City’s legislative bodies holding in person meetings to the health or safety of attendees exists due in part to the Omicron variants of COVID-19; and
WHEREAS, the City Council finds, acting as a legislative body pursuant to Government Code section 54952(a) and for the benefit of all legislative bodies created by the City Council pursuant to Government Code section 54952(b), that the presence of COVID-19 and the Delta and Omicron variants would present imminent risks to the health or safety of attendees, staff, and members; and WHEREAS, teleconference meetings may include hybrid meetings, in which all or some members of the legislative body meet in person while others attend by teleconference, and members of the public are either allowed to participate only by teleconference or both in person and by teleconference (“hybrid meetings”). The purpose of hybrid meetings is to allow for multiple modes of attending meetings while reducing the risks of COVID-19, including the Delta and Omicron variants; and
WHEREAS, the City shall ensure that its meetings comply with the provisions required by AB 361 (2021) for holding teleconferenced meetings.

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

1. The above recitals are true and correct, and incorporated into this Resolution.

2. In compliance with AB 361 (2021), and in order to continue to conduct teleconference meetings without complying with the usual teleconference meeting requirements of the Brown Act, the City Council makes the following findings:
a) The City Council has considered the circumstances of the state of emergency; and b) The state of emergency, as declared by the Governor and City Council, and as specifically related to the current increase in cases apparently resulting from the 61 Reso. No. XX-22, Item X.X, Adopted XX/XX/2022 Page 3 of 3 Omicron variant, directly impacts the ability of the City Council and the City’s legislative bodies, as well as staff and members of the public, to meet safely in person; and c) The CDC continues to recommend physical distancing of at least six feet due to COVID-19 and as a result of the presence of COVID-19 and the increase of cases due to the Omicron variant, meeting in person would present imminent risks to the health or safety of attendees, the legislative bodies and staff.

3. City staff is directed to facilitate any teleconference meetings, including hybrid meetings, of the City Council and City’s legislative bodies in compliance with AB 361, in order to better ensure the health and safety of the public for a period of thirty days following the adoption of this resolution.

PASSED, APPROVED, AND ADOPTED this 6th day of September 2022 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_____________________________
City Clerk
62 STAFF REPORT

CITY COUNCIL

Agenda Item 4.5
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Second Reading of Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System and Approval of Resolution Adopting the City of Dublin Official District Map Prepared by: John Stefanski, Assistant to the City Manager EXECUTIVE SUMMARY:

The City Council will consider adopting an Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System and Approving a Resolution Adopting the City of Dublin Official District Map. The City Council waived the first reading and introduced the Ordinance on August 16, 2022, and is now requested to waive the second reading and adopt the Ordinance.

STAFF RECOMMENDATION:

Waive the second reading and adopt the Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System and approve the Resolution Adopting the City of Dublin Official District Map.

FINANCIAL IMPACT:

None.

DESCRIPTION:

On February 15, 2022, the City Council adopted Resolution 17-22 declaring its intention to transition from an at-large election system to a district-based election system in conformance with the California Voting Rights Act and established a timeframe for doing so. The result of this work is the City Council’s selection of Map 112 (Attachment 3) and an election sequence where Districts 1 and 3 would occur at the November 2024 municipal election and every four years thereafter, and elections for Districts 2 and 4 occurring at the November 2026 municipal election and every four years thereafter.
63

On August 16, 2022, the City Council waived the reading and introduced an ordinance (Attachment 1) to amend Chapter 2.32 of the Dublin Municipal Code establishing a District-Based Election System.

Attachment 2 includes the Resolution which adopts Map 112 as the City’s Official District Map.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Ordinance Amending Chapter 2.32 of the Dublin Municipal Code Establishing a District-Based Election System e number outline for Attachments
2) Resolution Adopting the City of Dublin Official District Map 3) Exhibit A to the Resolution – Map 112
64 Attachment 1
Ord. No. XX-22, Item X.X, Adopted XX/XX/22 Page 1 of 4 ORDINANCE NO. XX – 22

AN ORDINANCE OF THE CITY COUNCIL

OF THE CITY OF DUBLIN
AMENDING CHAPTER 2.32 OF THE DUBLIN MUNICIPAL CODE

ESTABLISHING A DISTRICT-BASED ELECTION SYSTEM
WHEREAS, members of the City Council of the City of Dublin (“City”) are currently elected in “at-large” elections, in which each City Councilmember is elected by the registered voters of the entire City; and
WHEREAS, California Government Code Section 34886 permits the legislative body of a city to adopt an ordinance to change its method of election from an “at-large” system to a “district-based” system in which each councilmember is elected only by the voters in the district in which the candidate resides; and
WHEREAS, the City received a letter on January 4, 2022, from Kevin Shenkman of the law firm of Shenkman & Hughes, on behalf of Southwest Voter Registration Education Project and its unidentified members residing within Dublin, alleging that the City’s at-large councilmember electoral system violates the California Voting Rights Act (“CVRA”) and threatening litigation if the City declines to voluntarily change to a district-based election system for electing councilmembers; and
WHEREAS, under Elections Code section 14028(a), a violation of the CVRA is established if it is shown that racially polarized voting occurs in elections. “Racially polarized voting” means voting in which there is a difference in the choice of candidates or other electoral choices that are preferred by voters in a protected class, and in the choice of candidates and electoral choices that are preferred by voters in the rest of the electorate (Elections Code Section 14026, subd. (e)); and
WHEREAS, under the provisions of California Elections Code Section 10010, a city that changes from an at-large city council method of election to a district-based city council method of election must hold a series of public hearings, which includes at least two public hearings regarding potential voting district boundaries prior to the release and consideration of any draft voting district maps, and at least two public hearings following the release of draft voting district maps; and
WHEREAS, on February 15, 2022, the City Council adopted Resolution 17-22 declaring its intention to transition from an at-large election system to a district-based election system in conformance with the CVRA and establishing the timeframe for doing so; and WHEREAS, the City retained the services of a qualified demographer to provide a detailed analysis of the City’s current demographics and to prepare draft maps that divide the City into voting districts in a manner consistent with the intent and purpose of the CVRA and all other applicable laws; and
WHEREAS, as required by California Elections Code Section 10010, the City Council held public hearings on April 19, 2022 and May 17, 2022 to consider input from the public on the composition of the City Council districts and criteria for determining district boundaries; and 65 Attachment 1
Ord. No. XX-22, Item X.X, Adopted XX/XX/22 Page 2 of 4 WHEREAS, as required by California Elections Code Section 10010, the City Council held public hearings on June 21, 2022, and July 19, 2022, where the public was invited to provide comments and input on the draft maps and the proposed sequence of elections; and WHEREAS, throughout the foregoing process, the City engaged in a significant amount of public outreach and engagement beyond the public hearings and other procedures required by California Elections Code Section 10010, including but not limited to hosting two community workshop meetings, creating a dedicated district elections web page and a multi-media outreach approach with significant social media engagement. Additional outreach included a Citywide Community Workshop postcard to all Dublin postal customers, several press releases, emails to website districting subscribers, calls and emails to civic and community business organizations, and process flyers posted to the website and distributed at the Dublin Farmers’ Market; and WHEREAS, the City Council considered all oral and written information, testimony, and comments received during the public review process. All draft maps were published more than seven days before the public hearing at which they were discussed; and WHEREAS, at a public hearing on July 19, 2022, the City Council agreed to sequence elections such that elections for Districts 1 and 3 would occur at the November 2024 municipal election, and every four years thereafter, and elections for Districts 2 and 4 would occur at the November 2026 municipal election, and every four years thereafter; and WHEREAS, at a public hearing on August 16, 2022, the City Council voted to proceed with a final map, identified as Map 112; and
WHEREAS, the purpose of this Ordinance is to enact, pursuant to California Government Code Section 34886, an ordinance providing for the election of members of the City Council of the City of Dublin by district in four single-member districts and this change in the method of electing members of City Council is being made in furtherance of the purposes of the California Voting Rights Act of 2001. The City will maintain the at-large election for Mayor.

NOW, THEREFORE, The City Council of the City of Dublin does ordain as follows:

Section 1. Municipal Code Amendment. Chapter 2.32 (Elections) of the Dublin Municipal Code is hereby amended to add the following:

2.32.030 District Based Electoral System.

A. Subject to Section 2.32.050, Councilmembers shall be elected on a district-based electoral system from four single-member city council districts pursuant to Government Code Sections 34886 and 34871. For purposes of this section, the term “district-based electoral system” shall mean the election of Councilmembers by the voters of the district alone.

B. Except as provided in subsection C, below, each Councilmember elected to represent a district must reside in that district and be a registered voter in that district, and any candidate for City Council must reside in, and be a registered voter in, the district in which they seek election at the time nomination papers are issued, pursuant to Government Code Section 34882 and Elections Code Section 10227. Termination of residency in a district by a Councilmember shall create an immediate vacancy for that district unless a substitute residence within the district is established within thirty (30) days after that termination of residency. 66 Attachment 1
Ord. No. XX-22, Item X.X, Adopted XX/XX/22 Page 3 of 4 C. An at-large Councilmember shall continue in office until the expiration of the full term to which they were elected or appointed and until their successor is qualified. If vacancies in Councilmember offices elected at-large occur before expiration of the full term thereof, such vacancies shall be filled pursuant to California Government Code Section 36512.

D. Upon expiration of the full term of each Councilmember elected at-large, that Councilmember’s successor shall be elected on a by-district basis in the districts established in Section 2.32.040.A and as provided in Section 2.32.050.

2.32.040 City Council Districts Established By Resolution.

A. Subject to Section 2.32.050, Councilmembers shall be elected on a by­district basis from the Council Districts depicted on the Official District Map, as adopted separately by resolution and incorporated by this reference, a copy of which shall be on file in the City Clerk’s office.

B. The Council Districts specified in 2.32.040 subsection A, above, shall continue in effect until they are amended or repealed in accordance with law. The Council Districts shall be adjusted following each decennial federal census, as required by the Elections Code and other applicable law.

2.32.050 Election Schedule.

Councilmembers shall be elected in Council Districts 1 and 3 beginning at the general municipal election in November 2024, and every four years thereafter. Councilmembers shall be elected in Council Districts 2 and 4 beginning at the general municipal election in November 2026, and every four years thereafter. The term and election schedule for the Mayor is not affected by this Section.

Section 2. Technical Adjustments. If necessary to facilitate the implementation of this Ordinance, the City Clerk is authorized to make technical adjustments to the district boundaries that do not substantively affect the populations in the districts, the eligibility of candidates, or the residence of elected officials within any district. The City Clerk shall consult with the City Manager and City Attorney concerning any technical adjustments deemed necessary and shall advise the City Council of any such adjustments required in the implementation of the districts.

Section 3. CEQA. The City Council finds that the proposed amendments to the Dublin Municipal Code are exempt from the requirements of the California Environmental Quality Act pursuant to Title 14 of the California Code of Regulations, Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.

Section 4. Severability. If any part of this ordinance is declared invalid by a court, such invalidity shall not affect any of the remaining parts.

Section 5. Effective Date. This Ordinance shall take effect and be enforced thirty (30) days following its final adoption.
67 Attachment 1
Ord. No. XX-22, Item X.X, Adopted XX/XX/22 Page 4 of 4 Section 6. Posting. The City Clerk of the City of Dublin shall cause this Ordinance to be posted in at least three (3) public places in the City of Dublin in accordance with Section 36933 of the Government Code of the State of California.

PASSED, APPROVED AND ADOPTED this 6th day of September 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_________________________________
City Clerk
5160199.3
68 Attachment 2
Reso. No. XX-22, Item X.X, Adopted XX/XX/22 Page 1 of 3 RESOLUTION NO. XX – 22

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN

ADOPTING THE CITY OF DUBLIN OFFICIAL DISTRICT MAP
WHEREAS, members of the City Council of the City of Dublin (“City”) are currently elected in “at-large” elections, in which each City Councilmember is elected by the registered voters of the entire City; and
WHEREAS, California Government Code Section 34886 permits the legislative body of a city to adopt an ordinance to change its method of election from an “at-large” system to a “district-based” system in which each councilmember is elected only by the voters in the district in which the candidate resides; and
WHEREAS, the City received a letter on January 4, 2022, from Kevin Shenkman of the law firm of Shenkman & Hughes, on behalf of Southwest Voter Registration Education Project and its unidentified members residing within Dublin, alleging that the City’s at-large councilmember electoral system violates the California Voting Rights Act (“CVRA”) and threatening litigation if the City declines to voluntarily change to a district-based election system for electing councilmembers; and
WHEREAS, under Elections Code section 14028(a), a violation of the CVRA is established if it is shown that racially polarized voting occurs in elections. “Racially polarized voting” means voting in which there is a difference in the choice of candidates or other electoral choices that are preferred by voters in a protected class, and in the choice of candidates and electoral choices that are preferred by voters in the rest of the electorate (Elections Code Section 14026, subd. (e)); and
WHEREAS, under the provisions of California Elections Code Section 10010, a city that changes from an at-large city council method of election to a district-based city council method of election must hold a series of public hearings, which includes at least two public hearings regarding potential voting district boundaries prior to the release and consideration of any draft voting district maps, and at least two public hearings following the release of draft voting district maps; and
WHEREAS, on February 15, 2022, the City Council adopted Resolution 17-22 declaring its intention to transition from an at-large election system to a district-based election system in conformance with the CVRA and establishing the timeframe for doing so; and WHEREAS, the City retained the services of a qualified demographer to provide a detailed analysis of the City’s current demographics and to prepare draft maps that divide the City into voting districts in a manner consistent with the intent and purpose of the CVRA and all other applicable laws; and
WHEREAS, as required by California Elections Code Section 10010, the City Council held public hearings on April 19, 2022 and May 17, 2022 to consider input from the public on the composition of the City Council districts and criteria for determining district boundaries; and 69 Reso. No. XX-22, Item X.X, Adopted XX/XX/22 Page 2 of 3 WHEREAS, as required by California Elections Code Section 10010, the City Council held public hearings on June 21, 2022, and July 19, 2022, where the public was invited to provide comments and input on the draft maps and the proposed sequence of elections; and WHEREAS, throughout the foregoing process, the City engaged in a significant amount of public outreach and engagement beyond the public hearings and other procedures required by California Elections Code Section 10010, including but not limited to hosting two community workshop meetings, creating a dedicated district elections web page and a multi-media outreach approach with significant social media engagement. Additional outreach included a Citywide Community Workshop postcard to all Dublin postal customers, several press releases, emails to website districting subscribers, calls and emails to civic and community business organizations, and process flyers posted to the website and distributed at the Dublin Farmers’ Market; and WHEREAS, the City Council considered all oral and written information, testimony, and comments received during the public review process. All draft maps were published more than seven days before the public hearing at which they were discussed; and WHEREAS, at a public hearing on July 19, 2022, the City Council agreed to sequence elections such that elections for Districts 1 and 3 would occur at the November 2024 municipal election, and every four years thereafter, and elections for Districts 2 and 4 would occur at the November 2026, and every four years thereafter; and
WHEREAS, at a public hearing on August 16, 2022, the City Council voted to proceed with a final map, identified as Map 112, and introduced Ordinance No. 10-22 to establish a district-based electoral system.

NOW, THEREFORE, BE IT RESOLVED after due consideration of the considerable public comment and testimony received, the City Council of the City of Dublin adopts the map attached as “Exhibit A” to this Resolution as the City of Dublin Official District Map; and BE IT FURTHER RESOLVED , a copy of this Official District Map shall be maintained at all times in the Office of the City Clerk until the map is superseded or replaced by subsequent City Council resolution.

BE IT FURTHER RESOLVED , the City Clerk is directed to provide a copy of the Official District Map to the Alameda County Elections Division.
{Signatures on the following page}
70 Reso. No. XX-22, Item X.X, Adopted XX/XX/22 Page 3 of 3 PASSED, APPROVED AND ADOPTED this 6th day of September 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_________________________________
City Clerk
5160201.1
71 1.79% Total DeviationSelected Election Sequence:
2024: Districts 1 and 3
2026: Districts 2 and 4
Map layers
D Map 112
-- River
Streets
©2021 CALIPER
Map 112
Broder Blvd
Glr-a.s_o.o Dr
Fai1field St "-�----'
Sur
mer Glen Dr
ual '?1<-'i
l'faven Pl cel"I O �
2nd St Dublin Bi'vd 3: � -� I � VJ Ma�tinelle
\
Way ,..,. 3: �ro g ic.:
41,ltamirano Ave 1 �_l_;l,_�:
0 u
Q
Dublin 2022 Districting
Attachment 3
Exhibit A to the Resolution
72 Map 112
District 1
Total Pop 17,867
Deviation from ideal
% Deviation 0.00%
% Hisp 15.0%
% NH White 39%
% NH Black 3%
% Asian-American 40%
Total 13,714
% Hisp 14%
% NH White 42%
% NH Black 3%
% Asian/Pac.Isl. 37%
Total 10,907
% Latino est. 13%
% Spanish-Surnamed 12%
% Asian-Surnamed 16%
% Filipino-Surnamed 3%
% NH White est. 66%
% NH Black 3%
Total 9,270
% Latino est. 13%
% Spanish-Surnamed 12%
% Asian-Surnamed 16%
% Filipino-Surnamed 3%
% NH White est. 66%
% NH Black 3%
Total 6,726
% Latino est. 12%
% Spanish-Surnamed 12%
% Asian-Surnamed 12%
% Filipino-Surnamed 2%
% NH White est. 71%
% NH Black est. 3%
ACS Pop. Est. Total 16,939
age0-19 25%
age20-60 56%
age60plus 19%
immigrants 27%
naturalized 60%
english 67%
spanish 7%
asian-lang 18%
other lang 8%
Language Fluency Speaks Eng. "Less than Very Well" 11%
hs-grad 30%
bachelor 37%
graduatedegree 20%
Child in Household child-under18 40%
Pct of Pop. Age 16+ employed 69%
income 0-25k 5%
income 25-50k 9%
income 50-75k 8%
income 75-200k 50%
income 200k-plus 28%
single family 87%
multi-family 13%
rented 23%
owned 77%
Total population data from the 2020 Decennial Census.

Surname-based Voter Registration and Turnout data from the California Statewide Database.

Latino voter registration and turnout data are Spanish-surname counts adjusted using Census Population Department undercount estimates. NH White and NH Black registration and turnout counts estimated by NDC. Citizen Voting Age Pop., Age, Immigration, and other demographics from the 2015-2019 American Community Survey and Special Tabulation 5-year data.
2 18,057
190

1.06%
18%
32%
7%
39%
14,417
18%
34%
7%
37%
7,581
13%
12%
17%
3%
60%
7%
6,338
12%
11%
17%
3%
61%
7%
3,808
11%
11%
11%
3%
65%
6%
13,304
25%
61%
14%
39%
43%
57%
6%
20%
17%
14%
25%
39%
25%
41%
72%
7%
9%
8%
55%
21%
50%
50%
55%
45%
3 17,737
-130
-0.73%
6%
18%
4%
70%
12,458
7%
20%
4%
66%
7,126
10%
9%
30%
3%
49%
8%
6,013
9%
9%
31%
3%
48%
8%
3,567
10%
9%
26%
3%
52%
8%
16,586
30%
58%
12%
42%
45%
41%
4%
36%
18%
18%
16%
38%
37%
51%
74%
5%
7%
7%
44%
37%
56%
44%
42%
58%
4 17,807
-60
-0.34%
5%
11%
2%
80%
11,794
4%
13%
2%
79%
8,593
7%
7%
45%
3%
37%
6%
7,507
7%
7%
44%
3%
38%
6%
4,134
7%
7%
42%
3%
41%
5%
13,504
32%
56%
12%
50%
57%
40%
3%
34%
23%
17%
13%
38%
38%
63%
74%
5%
1%
2%
36%
55%
90%
10%
15%
85%
Total
71,468
320

1.79%
11%
25%
4%
57%
52,383
11%
28%
4%
54%
34,207
11%
10%
26%
3%
54%
6%
29,128
10%
10%
26%
3%
54%
5%
18,235
10%
10%
21%
3%
59%
5%
60,333
28%
58%
14%
39%
51%
52%
5%
27%
16%
15%
22%
38%
30%
47%
72%
5%
7%
7%
47%
34%
70%
30%
35%
65%
07/07/2022 2:45 Page 1 of 1
Total Pop
Citizen Voting Age Pop
Voter Registration
(Nov 2020)
Voter Turnout
(Nov 2020)
Voter Turnout
(Nov 2018)
Age
Immigration
Language spoken at home
Education
(among those age 25+)
Household Income
Housing Stats
73 STAFF REPORT

CITY COUNCIL

Agenda Item 4.6
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Purchase of Replacement Chairs, Tables, and Related Equipment for Shannon Community Center
Prepared by: Tyler Phillips, Recreation Supervisor
EXECUTIVE SUMMARY:

The City Council will consider authorizing the purchase of replacement chairs, tables, and related equipment from MityLite for Shannon Community Center.

STAFF RECOMMENDATION:

Adopt the Resolution Authorizing the Purchase of Replacement Chairs, Tables, and Related Equipment from MityLite for Shannon Community Center.

FINANCIAL IMPACT:

The funding to purchase replacement tables, chairs, and related equipment, at an estimated cost of $72,000, is included in the Fiscal Year 2022-23 General Fund Budget.

DESCRIPTION:

The City replaces tables, chairs, and other furniture when these items reach the end of service life or become unsafe for use. The banquet furniture at Shannon Community Center is designated to be replaced and is more than 12 years old. The furniture is used for private events, recreation programs, and various other activities in the banquet room and multi-purpose rooms.

Staff is recommending procurement of MityLite brand furniture. The City has existing MityLite furniture at Shannon Community Center, the Dublin Senior Center, and other City facilities.

Replacement with similar furniture will allow for the use of current storage racks and carts and the ability to share matching furniture amongst facilities/rooms as needed. The quality of MityLite products and customer service has been well-regarded by Staff. MityLite also offers warranties on furniture that range from 12 to 15 years. The total cost of the replacement furniture is estimated 74

at $72,000, which exceeds the City Manager’s purchasing authority. The attached Resolution (Attachment 1) authorizes this transaction.

Furthermore, Staff seeks to waive the competitive bidding process for these purchases via Section

2.36.100.B.9 of the City Municipal Code. This section provides an exemption to a competitive bidding process “when another public agency has administered a competitive bidding process and has a current valid agreement for the same or substantially similar consultant or professional services, general services, supplies, or equipment”. MityLite offers its products at negotiated prices to local government agencies based on pricing submitted through a negotiated contract utilizing the California Department of General Services (DGS) and BuyBoard, a purchasing cooperative that conducted the bidding process. DGS Multiple Award Schedules are long-term government contracts with commercial firms providing federal, state, and local government buyers with access to commercial supplies and services at discount pricing. The DGS Authorized Multiple Award Schedule (CMAS #4-22-07-1020), and BuyBoard contract #667-22 are valid through March 2023 and provided as Attachment 2 to this Staff Report.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

None.

ATTACHMENTS:
1) Resolution Authorizing the Purchase of Replacement Chairs, Tables, and Related Equipment from MityLite for Shannon Community Center
2) Exhibit A to the Resolution – MityLite Government Pricing Schedule 75 Attachment 1
Reso. No. XX-22, Item X.X, Adopted 09/06/2022 Page 1 of 1 RESOLUTION NO. XX – 22

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN

AUTHORIZING THE PURCHASE OF REPLACEMENT CHAIRS, TABLES, AND RELATED

EQUIPMENT FROM MITYLITE FOR SHANNON COMMUNITY CENTER
WHEREAS, the City requires chairs, tables, and related equipment at Shannon Community Center, and routinely replaces furniture and related equipment that has reached the end of its useful life; and
WHEREAS, Section 2.36.100(B)(9) of the Dublin Municipal Code allows for exceptions to the typical public bidding process when the City is able to procure items from a competitive bid process administered by another public agency; and
WHEREAS, MityLite has a valid pricing agreement (CMAS #4-22-07-1021 and BuyBoard #667-22) attached hereto as Exhibit A) publicly bid by the BuyBoard purchasing cooperative, which meets this Municipal Code provision for a publicly bid agreement, and the contract is valid through March, 2023; and
WHEREAS, Section 2.36.090 of the Dublin Municipal Code requires City Council approval of equipment and services with a cost greater than or equal to forty-five thousand dollars ($45,000).

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin hereby authorizes the City Manager to procure chairs, tables, and related equipment from MityLite, in excess of $45,000 and subject to available budget appropriations, under a purchasing agreement previously publicly bid and valid through the term of the contract.

PASSED, APPROVED AND ADOPTED this 6th day of September 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_________________________________
City Clerk
76 Attachment 2
77 Attachment 2
78 Attachment 2
79 Vendor Name Vendor Catalog Information Percent
Discount Award
The Local Government Purchasing Cooperative
For the Period 04/01/2022 to 03/31/2023
Final Catalog Award Report for Furniture for School, Office, Science, Library and Dormitory 667-22

2. Discount (%) Off Catalog /Pricelist for All Auditorium Seating Furniture Krueger International, Inc. Krueger International pricelist 43% No Krug Inc. Krug pricelist 56% No
Liberty Office Products Liberty Office Products pricelist 15% No Alamo Classroom Solutions Marco Group pricelist 36% No
Educator's Depot, Inc. MityLite pricelist 35% No
Mity-Lite MityLite pricelist 59% Yes
Evans Facility Consultants National Public Seating pricelist 37% Yes Kay-Twelve National Public Seating pricelist 35% Yes
Educator's Depot, Inc. National Public Seating pricelist 30% No NorvaNivel USA, LLC NorvaNivel pricelist 30% No
Thompson Educational
Furnishings, LLC NPS & Oklahoma Sound pricelist 41% Yes Office Furniture Distributors OFD pricelist 50% No
Library Interiors of Texas, LLC OFS/Carolina pricelist 40% No Paragon Furniture, LP Paragon Furniture pricelist 40% No PS Furniture, Inc. PS Furniture pricelist 55% No
Educator's Depot, Inc. PS Furniture pricelist 35% No
Library Interiors of Texas, LLC RFM pricelist 30% Yes
3 Oaks Resource Group
International SAFCO Products pricelist 50% No
Sauder Manufacturing Co. Sauder Manufacturing Co. pricelist 55% Yes SchoolOutlet.com SchoolOutlet pricelist 7% Yes
Sedia Systems, Inc. Sedia Systems pricelist 51% Yes
Indeco Sales, Inc. Sedia Systems pricelist 51% Yes
Shiffler Equipment Sales, Inc. Shiffler catalog 10% No
Smith System Manufacturing Sm ith System pricelist 35% Yes Attachment 2
80 Vendor Name Vendor Catalog Information Percent
Discount Award
The Local Government Purchasing Cooperative
For the Period 04/01/2022 to 03/31/2023
Final Catalog Award Report for Furniture for School, Office, Science, Library and Dormitory 667-22

3. Discount (%) Off Catalog /Pricelist for All Cafeteria/Dining Room Furniture Mien Company, Inc. MiEN Buyboard pricelist 45% No
Educator's Depot, Inc. Mitchell pricelist 32% Yes
Mity-Lite MityLite pricelist 55% Yes
J. R., Inc. Mooreco pricelist 40% No
Hertz Furniture Systems, LLC Mooreco pricelist 39% No
ABF USA Ltd. Muzo pricelist 25% No
3 Oaks Resource Group
International Muzo pricelist 25% No
Library Interiors of Texas, LLC Muzo pricelist 30% No
J. R., Inc. National Public Seating pricelist 40% Yes
Indeco Sales, Inc. National Public Seating pricelist 37% Yes Evans Facility Consultants National Public Seating pricelist 37% Yes MeTEOR Education, LLC National Public Seating pricelist 33% No School Specialty, LLC National Public Seating pricelist 34% No School Outfitters National Public Seating pricelist 35% No South Texas School Furniture National Public Seating pricelist 20% No National Business Furniture NBF pricelist 2% Yes
Neutral Posture, Inc. Neutral Posture Seating pricelist 53% No Library Interiors of Texas, LLC Nevins pricelist 35% Yes Library Interiors of Texas, LLC Nienkamper pricelist 35% No Library Interiors of Texas, LLC Nook pricelist 30% Yes
NorvaNivel USA, LLC NorvaNivel pricelist 30% No
School Outfitters Norwood Commercial Furniture pricelist 32% Yes Hertz Furniture Systems, LLC NPS pricelist 43% Yes
Library Interiors of Texas, LLC Oasis/Berco pricelist 40% No Attachment 2
81 Vendor Name Vendor Catalog Information Percent
Discount Award
The Local Government Purchasing Cooperative
For the Period 04/01/2022 to 03/31/2023
Final Catalog Award Report for Furniture for School, Office, Science, Library and Dormitory 667-22

8. Discount (%) Off Catalog /Pricelist for All Office Furniture Officewise Furniture and Supply Lorell pricelist 20% No 3 Oaks Resource Group
International Luxor Furniture pricelist 33% Yes
Library Interiors of Texas, LLC Luxout Shades pricelist 15% No South Texas School Furniture Maverick pricelist 20% Yes Office Design Concepts, LLC Maxon pricelist 50% No
Hertz Furniture Systems, LLC Maxon pricelist 69% Yes
Library Interiors of Texas, LLC Media Technologies pricelist 40% No Steelcase MGBW 187 pricelist 18% Yes
Mien Company, Inc. MiEN Buyboard pricelist 45% No
Mity-Lite MityLite pricelist 56% Yes
Library Interiors of Texas, LLC Montel pricelist 40% Yes Best Buy Stores, L.P. MooreCo pricelist 10% No
Hertz Furniture Systems, LLC Mooreco pricelist 39% Yes
J. R., Inc. Mooreco pricelist 40% Yes
Mediatechnologies MT pricelist 44% Yes
ABF USA LTD. Muzo pricelist 25% Yes
Indeco Sales, Inc. National Office Furniture pricelist 61% Yes MeTEOR Education, LLC National Office Furniture pricelist 40% No Perry Office Plus National Office pricelist 52% No
School Outfitters National Public Seating pricelist 35% No National Business Furniture NBF pricelist 2% Yes
Neutral Posture, Inc. Neutral Posture Equity pricelist 64% No South Texas School Furniture Neutral Posture pricelist 20% No Neutral Posture, Inc. Neutral Posture Seating pricelist 53% No Attachment 2
82 Vendor Name Vendor Catalog Information Percent
Discount Award
The Local Government Purchasing Cooperative
For the Period 04/01/2022 to 03/31/2023
Final Catalog Award Report for Furniture for School, Office, Science, Library and Dormitory 667-22

14. Discount (%) Off Catalog /Pricelist for All Other Business and Workplace Furniture Office Design Concepts, LLC Maxon pricelist 50% No
Mien Company, Inc. MiEN Buyboard pricelist 45% Yes
Mity-Lite MityLite pricelist 55% Yes
Best Buy Stores, L.P. MooreCo pricelist 10% No
ABF USA LTD. Muzo pricelist 25% Yes
3 Oaks Resource Group
International Muzo pricelist 25% Yes
MeTEOR Education, LLC National Office Furniture pricelist 40% Yes National Business Furniture NBF pricelist 2% Yes
Neutral Posture, Inc. Neutral Posture Equity pricelist 64% No Neutral Posture, Inc. Neutral Posture Seating pricelist 53% No NorvaNivel USA, LLC NorvaNivel pricelist 30% No
ECFS, LLC Nova Desk pricelist 44% Yes
Library Interiors of Texas, LLC Oasis/Berco pricelist 40% No Office Furniture Distributors OFD pricelist 60% Yes
Evans Facility Consultants Office Source pricelist 50% Yes OFGO Studio OFGO Studio pricelist 50% Yes
Office Furniture for Less OFL pricelist 50% Yes
School Outfitters OFM pricelist 40% Yes
School Specialty, LLC OFM pricelist 49% Yes
Palmer Hamilton, LLC Palmer Hamilton pricelist 30% Yes
Hertz Furniture Systems, LLC Palmer Hamilton pricelist 44% Yes 3 Oaks Resource Group
International Palmieri Furniture pricelist 50% Yes
Paragon Furniture, LP Paragon Furniture pricelist 40% No Hertz Furniture Systems, LLC Penco Lockers & Shelving pricelist 55% No Attachment 2
83 STAFF REPORT

CITY COUNCIL

Agenda Item 4.7
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: First Amendment to the Agreement with European Mobile Werks Prepared by: Nate Schmidt, Captain Dublin Police Services EXECUTIVE SUMMARY:

The City Council will consider approving an amendment to the agreement with European Mobile Werks to increase the not-to-exceed compensation amount.

STAFF RECOMMENDATION:

Adopt the Resolution Approving the First Amendment to the Contractor Services Agreement with European Mobile Werks for On-Call Maintenance and Repair Services.

FINANCIAL IMPACT:

The original agreement with European Mobile Werks was not to exceed $44,500. The amendment to the agreement adds $120,000 for a total not-to-exceed cost of $164,500. There is sufficient funding in the Police Services budget for the current year costs. Future costs will be included in the Fiscal Year 2023-24 budget proposal.

DESCRIPTION:

On September 1, 2021, the City of Dublin engaged European Mobile Werks in an agreement for on- call maintenance and repair services for emergency police vehicles that are not currently under factory warranty. European Mobile Werks responds to the Public Safety Complex to provide service to such vehicles, eliminating the time and cost of towing the vehicles to an alternative location. This is the sole vendor in the area to provide this mobile service.

The current agreement with European Mobile Werks includes a not-to-exceed compensation of $44,500 and has an expiration date of June 30, 2024. However, because there is a limited supply of new police vehicles, many of Dublin Police Services’ existing vehicles are now outside the factory warranty period; additionally, maintenance and repair costs have increased significantly. As a 84

result, Dublin Police Services has utilized the entire contract amount with two fiscal years remaining in the agreement term.

The proposed amendment adds $120,000 to the agreement for a total not-to-exceed amount of $164,500. This proposed additional cost is based on estimated maintenance needs and historical data. There is sufficient funding in the Police Services budget for anticipated costs in the current year. The remainder of the contract will be included in next year’s budget proposal.

STRATEGIC PLAN INITIATIVE:

None
NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Resolution Approving the First Amendment to the Contractor Services Agreement with European Mobile Werks for On-Call Maintenance and Repair Services 2) Exhibit A to the Resolution – First Amendment to the Contractor Services Agreement Between the City of Dublin and European Mobile Werks
3) Contractor Services Agreement Between the City of Dublin and European Mobile Werks 85 Attachment 1
Reso. No. XX-22 Item X.X, Adopted XX/XX/2022 Page 1 of 2 RESOLUTION NO. XX – 22

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN

APPROVING THE FIRST AMENDMENT TO THE CONTRACTOR SERVICES AGREEMENT

WITH EUROPEAN MOBILE WERKS FOR ON-CALL MAINTENANCE AND REPAIR

SERVICES
WHEREAS, the City of Dublin uses European Mobile Werks for on-call maintenance and repair services of Dublin Police vehicles; and
WHEREAS, on September 1, 2021, the City of Dublin and European Mobile Werks entered into an agreement for on-call maintenance and repair to police vehicles with a not-to- exceed amount of $44,500; and
WHEREAS, the current agreement with European Mobile Werks expires on June 30, 2024; and
WHEREAS, due to an aging fleet of police vehicles outside the factory warranty, and increases in maintenance and repair costs, the current not-exceed amount of $44,500 was utilized in Fiscal Year 2021-22; and
WHEREAS, the City and European Mobile Werks now wish to amend the agreement to increase the not-to-exceed amount by $120,000 for a total of $164,500 based on anticipated maintenance and historical data; and
WHEREAS, there is sufficient funding in the Police Operating budget for this amendment in the current year, with the balance included in the Fiscal Year 2023-24 proposed budget.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby approve the First Amendment to the Contractor Services Agreement with European Mobile Werks attached hereto as Exhibit A.

BE IT FURTHER RESOLVED that the City Council authorizes the City Manager to execute the amendment to the agreement with European Mobile Werks and make any necessary minor adjustments to carry out the intent of this Resolution. {Signatures on the following page}
86 Reso. No. XX-22 Item X.X, Adopted XX/XX/2022 Page 2 of 2 PASSED, APPROVED AND ADOPTED this 6th day of September 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_________________________________
City Clerk
87 Attachment 2
Exhibit A to the Resolution

FIRST AMENDMENT TO THE CONTRACTOR SERVICES AGREEMENT

BETWEEN THE CITY OF DUBLIN AND EUROPEAN MOBILE WERKS

FOR ON-CALL MAINTENANCE AND REPAIR SERVICES

WHEREAS, on September 1, 2021, the City of Dublin (her einafter referred to as "CITY") and European Mobile Werks (hereinafte r referred to as "CONTRACTOR") entered into a Contractor Services Agreement for On-Call Maintenance and Repair Services for Emergency Police Vehicles (hereinafter referred to as the “AGREEMENT”); and WHEREAS, the existing AGREEMENT expires on June 30, 2024; and WHEREAS, due to an aging fleet of police vehi cles outside the factory warranty, maintenance and repair costs have increased significantly; and WHEREAS, the current not-to-e xceed amount of $44,500 was utilized for vehicle maintenance and repair in Fiscal Year 2021-22 with two Fiscal Years remaining in the agreement; and
WHEREAS, THE CITY and CONTRACTOR now wish to amend the AGREEMENT to increase the not-to-exceed amount by $120,000 for a total of $164,500 based on anticipated maintenance and historical data.

NOW THEREFORE, for good and valuable consideration, the sufficiency of which is hereby acknowledged, the AGREEMENT is amended as follows:
1) Section 2 - shall be rescinded and replaced with the following:
owing:

COMPENSATION. City hereby agrees to pay CONTRACTOR a sum not to exceed $164,500, notwithstanding any contrary indications that may be contained in CONTRACTOR’s proposal, for services to be performed and reimbursable costs incurred under this Agreement. In the event of a conflict between this Agreement and CONTRACTOR’s proposal, attached as Exhibit B, regarding the amount of compensation, the Agreement shall prevail. City shall pay CONTRACTOR for services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to CONTRACTOR for services rendered pursuant to this Agreement. CONTRACTOR shall submit all invoices to City in the manner specified herein. Except as specifically authorized by City in writing, CONTRACTOR shall not bill City for duplicate services performed by more than one person.

CONTRACTOR and City acknowledge and agree that compensation paid by City to CONTRACTOR under this Agreement is based upon CONTRACTOR’s actual costs of providing the services required hereunder, including salaries and benefits of DocuSign Envelope ID: A64F5B27-3932-4EC4-9C79-F16BA52D0C77 88 Attachment 2
Exhibit A to the Resolution

employees and subcontractors of CONTRACTOR. Consequently, the Parties further agree that compensation hereunder is intended to include the costs of contributions to any pensions and/or annuities to which CONTRACTOR and its employees, agents, and subcontractors may be eligible. City therefore has no responsibility for such contributions beyond compensation required under this Agreement. 2) Except to the extent inconsistent with this First Amendment, the Parties ratify and confirm all of the terms and conditions of the AGREEMENT. 3) All requisite insurance policies to be maintained by the CONTRACTOR pursuant to the Agreement, as may have been amended from time to time, shall include coverage for the amended term, as described above.
4) The individuals executing this Amendment and the instruments referenced in it on behalf of CONTRACTOR each represent and warrant that they have the legal power, right and actual authority to bind CONTRACTOR to the terms and conditions of this Amendment.

SIGNATURES ON THE FOLLOWING PAGE

DocuSign Envelope ID: A64F5B27-3932-4EC4-9C79-F16BA52D0C77 89 Attachment 2
Exhibit A to the Resolution

IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to be executed as of the date of the City Manager’s signature below.

CITY OF DUBLIN EUROPEAN MOBILE WERKS

By: _____________________________ By: _____________________________ Linda Smith, City Manager M ilton Rodriguez, Owner

Dated:

ATTEST:

By: _____
Marsha Moore, City Clerk

APPROVED AS TO FORM:

By: _____________________________
City Attorney

DocuSign Envelope ID: A64F5B27-3932-4EC4-9C79-F16BA52D0C77 90 91
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STAFF REPORT

CITY COUNCIL

Agenda Item 4.8
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Annual Review of City’s Investment Policy
Prepared by: Chris Rhoades, Financial Analyst
EXECUTIVE SUMMARY:

The City Council will consider approval of the City’s Investment Policy, including proposed changes to enable the City to purchase securities with a final maturity greater than five years as permitted by California Government Code. While not required by statute, annual review of a local agency’s investment policy is recommended by the California Debt and Investment Advisory Commission and is included as a requirement in the City Policy.

STAFF RECOMMENDATION:

Adopt the Resolution Approving the 2022 Annual Review of Investment Policy and Delegation of Authority to Complete Investment Transactions.

FINANCIAL IMPACT:

None.

DESCRIPTION:

The current Investment Policy, adopted on August 21, 2007, states that it is subject to annual review by the City Council and that the review shall be conducted by the second meeting in September (Section XVIII). The Policy was last reviewed on August 17, 2021, with revisions made to be consistent with the California Government Code.

After consultation with the City’s investment advisor, Chandler Asset Management, Staff is proposing changes to the following sections of the Policy, as described below. 107

Revise Sections IX.1 United States Treasury Issues, IX.2 Federal Agency Obligations, and IX.12 Municipal Securities
The proposed changes extend the maximum maturity of these securities from five years to 10 years as permitted by California Government Code. This is consistent with the City’s primary investment objectives of Safety, Liquidity, Return, and Diversification, while providing the flexibility to leverage the City’s substantial portfolio to take on added risk over a longer investment cycle to enhance total returns. The investments in these securities with maturity beyond five years can begin three months after September 6, 2022, the date of change to the Policy.

Revise Section IX.11 Asset Backed Mortgages
The proposed change adds language in the section header to better differentiate that Government Sponsored Mortgage securities are accounted for in the Federal Agency section (IX.2).

There are no other changes proposed to the Policy with this annual review. The Administrative Services Director is still designated as the City Treasurer and the City Manager and/or Assistant Administrative Services Director as the Deputy City Treasurer, as dictated in Section IV Delegation of Authority. The attached Resolution documents the annual review and confirms the delegation of authority to Staff to complete investment transactions. The Policy is attached as Exhibit A to the Resolution.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:
1) Resolution Approving the 2022 Annual Review of Investment Policy and Delegation of Authority to Complete Investment Transactions
2) Exhibit A to the Resolution - Statement of Investment Policy for the City of Dublin 3) 2022 Statement of Investment Policy for the City of Dublin (Redline) 108
Attachment I
Reso. No. XX-22, Item X.X, Adopted XX/XX/2022 Page 1 of 2 RESOLUTION NO. XX – 22

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN
APPROVING THE 2022 ANNUAL REVIEW OF INVESTMENT POLICY AND

DELEGATION OF AUTHORITY TO COMPLETE INVESTMENT TRANSACTIONS WHEREAS, on August 21, 2007 the City Council adopted Resolution 152-07 approving a City Investment Policy (Policy); and
WHEREAS, Section XVIII of the Policy requires an annual review by the City Council no later than the second meeting in September; and
WHEREAS, the last modification to the Policy was approved by the Council at the City Council meeting of August 17, 2021; and
WHEREAS, the focus of the annual review is to allow for any adjustments as a result of changes in State laws or other recommended modifications; and WHEREAS, consistent with the provisions of Government Code Section 53607, the Policy provides for the City Council to delegate for a one-year period the authority to invest City funds to the City Treasurer and any duly appointed Deputy City Treasurer; and WHEREAS, Staff recommends changes to the Investment Policy aligning with current best practices and clarifying language; and
WHEREAS, the City Council reviewed the Investment Policy at the September 6, 2022 meeting.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby in accordance with California Government Code 53646(a)(2) complete and approve the 2022 Annual Review of the Investment Policy, as attached hereto as Exhibit A.

BE IT FURTHER RESOLVED that the City Council action explicitly renews the delegation of authority to complete investment transactions by City Staff (Administrative Services Director designated as the City Treasurer and the City Manager and/or Assistant Administrative Services Director designated as the Deputy City Treasurer), as described in Section IV of the Policy.
{Signatures on the following page}
109
Reso. No. XX-21, Item X.X, Adopted XX/XX/21 Page 2 of 2 PASSED, APPROVED AND ADOPTED this 6th day of September 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
______________________________
Mayor
ATTEST:
_________________________________
City Clerk
110

Attachment 2

1 STATEMENT OF INVESTMENT POLICY FOR THE CITY OF DUBLIN

I. INTRODUCTION

This Statement of Investment Policy is intended to identify various policies and procedures that will foster a prudent and systematic investment program designed to seek the City's objectives of safety, liquidity and return through a diversified investment portfolio. This policy also serves to organize and formalize the City's investment-related activities, while complying with all applicable status governing the investment of public funds.

II. SCOPE

This policy covers all funds and investment activities under the direct authority of the City of Dublin, as set forth in the State Government Code, sections 53600 et seq., excluding any bond­ related proceeds or reserves, which are governed by their bond indentures. Cash held by the City shall be pooled in order to more effectively manage City cash resources. All pooled funds are accounted for in the City's Comprehensive Annual Financial Report and include:

Funds
General Fund
Special Revenue Funds
Capital Project Funds
Internal Service Funds
Enterprise Funds
Agency Funds

This original investment policy was adopted by the City of Dublin (the "City"), on August 21, 2007. This update to the Policy is effective on September 6, 2022 and replaces any previous versions.

III. OBJECTIVES

The overall program shall be designed and managed with a degree of professionalism worthy of the public trust. The primary objectives, in order of priority, of the City's investment activities shall be:

I) Safety: Safety of principal is the foremost objective of the investment program.

The City's investments shall be undertaken in a manner that seeks to safeguard the principal of the funds under its control by maintaining an appropriate risk level.
2) Liquidity: The City's investment portfolio will remain sufficiently liquid to enable the City to meet its reasonably anticipated cash flow requirements.

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2 3) Return: Return should become a consideration only after the basic requirements of safety and liquidity have been met. The City seeks to attain market average rate of return on its investments throughout economic cycles, consistent with constraints imposed by its safety objectives and cash flow considerations.

4) Diversification: The investment portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions. This shall also conform with applicable sections of the Government Code.

IV. DELEGATION OF AUTHORITY

As authorized in Government Code Section 53607, the City Council delegates the authority to invest funds of the City to the City Treasurer and/or any duly appointed Deputy City Treasurer. The City Treasurer and any duly appointed Deputy City Treasurer shall make all investment decisions and transactions in strict accordance with State law and this investment policy. The Administrative Services Director shall be designated as the City Treasurer and the City Manager and/or Assistant Administrative Services Director shall be designated as the Deputy City Treasurer.

This delegation shall be for a one-year period until the delegation of authority is revoked or expires. The City Council may renew the authority each year as part of an annual review of this policy.

The City Treasurer shall establish procedures for the operation of the investment program. The City Treasurer shall be also responsible for all transactions undertaken and establishing a system of controls to regulate the activities of subordinates.

The City recognizes that in a diversified portfolio, occasional measured losses may be inevitable and must be considered within the context of the overall portfolio's return and the cash flow requirements of the City. Authorized individuals acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments.

The City may engage the services of one or more external investment managers to assist in the management of the City's investment portfolio in a manner consistent with the City's objectives. Such external managers may be granted discretion to purchase and sell investment securities in accordance with this investment policy.

Such managers must be registered under the Investment Advisors Act of 1940.

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3 V. PRUDENCE

Pursuant to California Government Code Section 53600.3, all persons authorized to make investment decisions on behalf of the City are trustees and therefore fiduciaries subject to the prudent investor standard: "When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency."

VI. ETHICS AND CONFLICTS OF INTEREST

All participants in the investment process shall acts as custodians of the public trust.

Investment officials shall recognize that the investment portfolio is subject to public review and evaluation. The overall program shall be designed and managed with a degree of professionalism that is worthy of the public trust. Thus employees and officials involved in the investment process shall refrain from personal business activity that conflicts with proper execution of the investment program, or impairs their ability to make impartial investment decisions. Additionally, the City Treasurer and the Deputy Treasurer shall file applicable financial disclosures as required by the Fair Political Practices Commission (FPPC).

VII. INTERNAL CONTROLS

The Treasurer is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the entity are protected from loss, theft or misuse. The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by management. Periodically as deemed appropriate by City Management and/or the City Council an independent analysis by an external auditor shall be conducted to review internal controls, account activity and compliance with policies and procedures.

VIII. AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS

To the extent practical the Treasurer shall endeavor to complete investment transactions using a competitive bid process whenever possible. It shall be the City's policy to purchase securities only from authorized institutions and firms. No deposit of public funds shall be made except in a qualified public depository as 113

4 established by state laws.

Institutions eligible to transact investment business with the City include:

1. Primary government dealers as designated by the Federal Reserve Bank and non-primary government dealers

2. Nationally or state chartered banks

3. The Federal Reserve Bank

4. Direct issuers of securities eligible for purchase

The Treasurer shall maintain procedures for the establishing a list of authorized broker/dealers and financial institutions which are approved for investment purposes.

These may include primary or regional dealers that qualify under Securities & Exchange Commission Rule 15C3-l (uniform net capital rule). The City requires each firm that will be used for the purchase or sale of securities to be evaluated by the Treasurer prior to any investments. The firms shall submit current financial statements, and annual audited financial statements each year thereafter, which are to be evaluated by the Treasurer. At a minimum, the firm must be financially sound and have been in business a minimum of three years. In addition, the firms must provide: proof of National Association of Security Dealers membership, proof of state registration or exemption, and certificate of having read the City's investment policy.

If an investment adviser is retained by the City, then that adviser will be permitted to use their own list of approved broker/dealers and financial institutions for investment purposes.

IX. AUTHORIZED AND SUITABLE INVESTMENTS

The City's investments are governed by Government Code, Sections 53600 et seq.

Within the investments permitted by the Government Code, the City seeks to further restrict eligible investments to the guidelines listed below. In the event an apparent discrepancy is found between this Policy and the Government Code, the more restrictive parameters will take precedence. Percentage holding limits listed in this section apply at the time the security is purchased. Any investment currently held at the time the Policy is adopted which does not meet the new Policy guidelines can be held until maturity, and shall be exempt from the current Policy. At the time of the investment's maturity or liquidation such funds shall be reinvested only as provided in the most current Policy.

An appropriate risk level shall be maintained by primarily purchasing securities that are of high quality, liquid, and marketable. The portfolio shall be diversified by security type and institution to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions. 114

5 1. United States Treasury Issues. United States Treasury notes, bonds, bills, or certificates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. There is no limitation as to the percentage of the portfolio that may be invested in this category. The maximum maturity of these securities is ten years. The City Council authorized investments in United States Treasury Issues beyond five years on September 6, 2022.

2. Federal Agency Obligations. Federal agency or United States government- sponsored enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government­ sponsored enterprises. There is no limitation as to the percentage of the portfolio that may be invested in this category. However, the portfolio's exposure to any one federal agency issuer is limited to 35% of the overall portfolio. The limit of the overall portfolio's exposure to callable federal agency securities is 25%. The maximum maturity for agency securities is ten years.

The City Council authorized investments in Federal Agency Obligations beyond five years on September 6, 2022.

3. Bankers' Acceptances. Bankers' acceptances, otherwise known as bills of exchange or time drafts, that are drawn on and accepted by a commercial bank.

Bankers' acceptances must be secured by the irrevocable primary obligation of the accepting domestic bank. Purchasers are limited to issuers whose short-term debt is rated "A-1" or higher, or the equivalent, by a Nationally Recognized Statistical-Rating Organization (NRSRO). Bankers' acceptances cannot exceed a maturity of 180 days. A maximum of 40% of the portfolio may be invested in this category. The amount invested in bankers' acceptances with any one financial institution in combination with any other debt from that financial institution shall not exceed 20% of the portfolio.

4. Commercial Paper. Commercial paper of "prime" quality rated "A-1" or higher, or the equivalent, by a NRSRO. The entity that issues the commercial paper shall meet all of the following conditions in either paragraph (A) or paragraph (B):

(A) The entity meets the following criteria: (i) Is organized and operating in the United States as a general corporation. (ii) Has total assets in excess of five hundred million dollars ($500,000,000). (iii) Has debt other than commercial paper, if any, that is rated "A" or higher by a nationally recognized statistical-rating organization.

(B) The entity meets the following criteria: (i) Is organized within the United States as a special purpose corporation, trust, or limited liability company. 115

6 (ii) Has program wide credit enhancements including, but not limited to, over collateralization, letters of credit, or surety bond. (iii) Has commercial paper that is rated "A-1" or higher, or the equivalent, by a nationally recognized statistical-rating organization.

Eligible commercial paper shall have a maximum maturity of 270 days or less and not represent more than 10% of the outstanding paper of an issuing corporation.

A maximum of 25% of the portfolio may be invested in this category. Under a provision of the California Government Code sunsetting on January 1, 2026, no more than 40% of the portfolio may be invested in Commercial Paper if the Agency’s investment assets under management are greater than $100,000,000. The amount invested in commercial paper of any one issuer in combination with any other debt from that issuer shall not exceed 20% of the portfolio.

5. Negotiable Certificates of Deposit. Negotiable certificates of deposit (NCDs) issued by a nationally or state-chartered bank, a savings association or a federal association, a state or federal credit union, or by a state-licensed branch of a foreign bank. Purchases are limited to institutions which have long-term debt rated "A" or better and/or have short-term debt rated at least "A-1" or higher, or the equivalent by a NRSRO. A maximum of 30% of the portfolio may be invested in this category. The amount invested in NCDs with any one financial institution in combination with any other debt from that financial institution shall not exceed 20% of the portfolio. The maximum maturity of these securities is five years.

6. Time Certificates of Deposit. Time Certificates of Deposit (TCDs) placed with commercial banks and savings and loans. The purchase of TCDs from out-of- state banks or savings and loans is prohibited. The amount on deposit shall not exceed the shareholder's equity in the financial institution. To be eligible for purchase, the financial institution must have received a minimum overall satisfactory rating for meeting the credit needs of California Communities in its most recent evaluation, as provided Government Code Section 53635.2. TCDs are required to be collateralized as specified under Government Code Section 53630 et. seq. The Treasurer, at his discretion, may waive the collateralization requirements for any portion that is covered by federal (FDIC) insurance. The City shall have a signed agreement with the depository per Government Code Section 53649. The maximum maturity of these securities may not exceed one (1) year in maturity. A maximum of 10% of the portfolio may be invested in this category.

7. Mutual Funds and Money Market Mutual Funds that are registered with the Securities and Exchange Commission under the Investment Company Act of 1940, provided that,

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7 a. MUTUAL FUNDS that invest in the securities and obligations as authorized under California Government Code, Section 53601 (a) to (k) and (m) to (q) inclusive and that meet either of the following criteria:

1. Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or

2. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.

3. No more than 10% of the total portfolio may be invested in shares of any one mutual fund.

b. MONEY MARKET MUTUAL FUNDS registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and issued by diversified management companies and meet either of the following criteria:

1. Have attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or

2. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience managing money market mutual funds with assets under management in excess of $500 million.

3. No more than 20% of the total portfolio may be invested in Money Market Mutual Funds.

c. No more than 20% of the total portfolio may be invested in these securities. .

8. State of California Local Agency Investment Fund (LAIF). The City may invest up to the maximum as permitted by LAIF. For due diligence, the Treasurer shall maintain on file a copy of LAIF's current Answer Book.

9. California Asset Management Program (CAMP). Shares of beneficial interest issued by a joint powers authority organized pursuant to Government Code Section 6509.7 that invests in the securities and obligations authorized in subdivisions (a) to (n), inclusive of Government Code Section 53601. For due diligence, the Treasurer shall maintain on file a copy of CAMP's current Information Statement.

10. Medium- T erm Notes. Medium-term notes, defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating within the United States or by depository institutions licensed by the United States or any state and operating within the United States. Purchases are limited to securities rated 117

8 "A" or higher, or the equivalent, by a NRSRO. A maximum of 30% of the City's portfolio may be invested in this category and a maximum of 5% with any one issuer. The maximum maturity of these securities is five years.

11. Asset-Backed, Mortgage-Backed, Mortgage Pass-Through Securities, and Collateralized Mortgage Obligations, from issuers not defined in the Federal Agency Obligations Subdivision. The City may purchase such securities provided that they are rated "AA" or higher, or the equivalent, by a NRSRO. Purchase of securities authorized by this subdivision may not exceed 20% of the portfolio, and a maximum of 5% per issue. The maximum maturity of these securities is five years.

12. Municipal Securities. Obligations of the State of California, any of the other 49 states, or any local agency within the state of California, may be purchased by the City provided that long-term obligations are rated "A" or higher, or the equivalent, by at least one NRSRO. There are no limits on the dollar amount or percentage that the city may invest in municipal securities; however, investments in these securities are limited to a maximum of 5% with any single issuer. The maximum maturity of these securities is ten years. The City Council authorized investments in Municipal Securities beyond five years on September 6, 2022.

13. Supranationals provided that issues are US dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter-American Development Bank. The securities must be rated in a rating category of “AA” or its equivalent by a NRSRO. No more than 30% of the portfolio may be invested in these securities, and no more than 10% of the portfolio may be invested in any single issuer. The maximum maturity does not exceed five (5) years.

X. AUTHORIZED INVESTMENTS FOR BOND PROCEEDS

Bond proceeds shall be invested in securities permitted by the applicable bond documents. If the bond documents are silent as to the permitted investments, bond proceeds will be invested in securities permitted by this Policy. Notwithstanding the provisions of Policy, the percentage or dollar portfolio limitations listed in elsewhere in this Policy do not apply to bond proceeds. In addition to the securities listed in Section IX above, bond proceeds may be invested in structured investment products if approved by the Treasurer.

XI. PROHIBITED INVESTMENT PRACTICES AND INSTRUMENTS

The City shall not make investments for the purpose of trading or speculation as the dominate criterion such as anticipation of appreciation of capital value through changes in market rates. Securities are purchased with the intent to hold to maturity. 118

9 Any investment in a security not specifically listed as an Authorized and Suitable Investment above, but otherwise permitted by the Government Code, is prohibited without the prior approval of the City Council. Section 53601.6 of the Government Code specifically disallows investments in invoice floaters, range notes, or interest- only strips that are derived from a pool of mortgages. Under a provision of the California Government Code sunsetting on January 1, 2026, securities backed by the United States Government that could result in a zero or negative interest accrual if held to maturity are permitted.

XII. REVIEW OF INVESTMENT PORTFOLIO

The City Treasurer shall periodically, but no less than quarterly, review the portfolio to identify investments that do not comply with this investment policy and establish protocols for reporting major and critical incidences of noncompliance to the City Council.

XIII. TERM OF INVESTMENTS

Funds of the City will be invested in accordance with sound treasury management principles. It is the objective of this Policy to provide a system which will accurately monitor and forecast revenues and expenditures so that the City can invest funds to the fullest extent possible.

The maximum maturity of individual investments shall not exceed the limits set forth in under Authorized and Suitable Investments. No investment shall exceed a maturity of five years from the date of purchase unless the City Council has granted express authority to make that investment either specifically or as a part of an investment program approved by the City Council no less than three months prior to the investment.

XIV. INVESTMENT RISK

(A) MARKET RISK

Market risk is the risk that the portfolio will decline in value (or will not optimize its value) due to changes in the general level of interest rates. The City recognizes that, over time, longer-term portfolios achieve higher returns. On the other hand, longer-term portfolios have higher volatility of return. The City shall mitigate market risk by providing adequate liquidity for short-term cash needs, and by making some longer-term investments only with funds that are not needed for current cash flow purposes.
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10 The City further recognizes that certain types of securities, including variable rate securities, securities with principal pay-downs prior to maturity, and securities with embedded options, will affect the market risk profile of the portfolio differently in different interest rate environments. The City, therefore, adopts the following strategies to control and mitigate its exposure to market risk:

1) The maximum stated final maturity of individual securities in the portfolio shall be five years, unless otherwise stated in this policy;

2) The City shall maintain a minimum of three months of budgeted operating expenditures in cash, cash equivalents and short term investments; and

3) The duration of the portfolio will typically be approximately equal to the duration of a market index, selected by the City as its performance benchmark, which meets the City's needs for cash flow and level of risk tolerance plus or minus 20%.

(B) CREDIT RISK

In general, the City's portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions, such as credit risk. Credit risk is the risk that a security or a portfolio will lose some or all of its value due to a real or perceived change in the ability of the issuer to repay its debt. The City shall mitigate credit risk by adopting the following strategies:

I) The diversification requirements included in Section IX are designed to mitigate credit risk in the portfolio;
2) No more than 5% of the total portfolio may be deposited with or invested in securities issued by any single issuer unless otherwise specified in this policy.

3) The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to improve the quality, liquidity or return of the portfolio in response to market conditions or the City's risk preferences; and

4) If a security owned by the City is downgraded to a level below the requirements of this policy, making the security ineligible for additional purchases, the following steps will be taken:

a) Any actions taken related to the downgrade by the investment manager will be communicated to the City in a timely manner.
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11 b) If a decision is made to retain the security, the credit situation will be monitored and reported back to the City.

XV. SAFEKEEPING AND CUSTODY

Investment securities are to be purchased when possible in book-entry form in the City's name. All security transactions entered into by the City shall be conducted on a delivery-versus-payment (DVP) basis. All cash and securities in the City's portfolio shall be held in safekeeping in the City's name by a third party bank trust department, acting as agent for the City under the terms of a custody agreement executed by the bank and the City. All investment transactions will require a safekeeping receipt or acknowledgment generated from the trade. A monthly report will be received by the City from the safekeeping institution listing all securities held in safekeeping with current market data and other information. The only exception to the foregoing shall be depository accounts and securities purchases made with: (i) local government investment pools; (ii) time certificates of deposit, and, (iii) money mutual funds, since the purchased securities are not deliverable. Term and non-negotiable instruments, such as certificates of deposit, can be held by the Treasurer, or in safekeeping as the Treasurer deems appropriate.

XVI. PERFORMANCE BENCHMARK

The investment portfolio shall be designed to attain a market-average rate of return throughout budgetary and economic cycles, taking into account the City's risk constraints, the cash flow characteristics of the portfolio, and state and local laws, ordinances or resolutions that restrict investments. The Treasurer shall monitor and evaluate the portfolio's performance relative to market benchmark, which will be included in the Treasurer's quarterly report. The Treasurer shall select an appropriate, readily available index to use as a benchmark.

XVII. REPORT INFORMATION

The Treasurer shall prepare a report to the City Council not less than semi-annually which is available each year within 60 days following December 31st and June 30th. The semi-annual report shall be presented at a subsequent regularly scheduled City Council Meeting. The report shall be inclusive of a monthly listing of investment transactions. At a minimum the report shall include the following (Revised 9-18- 2012):

a) Type of Investment
b) Issuer
c) Date of Maturity
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12 d) Par and dollar amount invested
e) Current Market Value as of the date of the report
f) Source of the market value information
g) A list of investment transactions.
h) A statement of compliance with the investment policy i) A statement as to the ability of the City to meet its expenditure requirements for the next six months

In addition, the City Treasurer will submit a monthly transaction report to the City Council.

XVIII. REVIEW OF INVESTMENT POLICY

This policy shall be subject to review by the City Council on an annual basis, by the second Council meeting in September. Any recommended modifications or amendments shall be presented by Staff to the City Council for their consideration and adoption.
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13 GLOSSARY OF TERMS

ACCRUED INTEREST: Interest earned but not yet received.

AGENCIES: Federal agency securities and/or Government-sponsored enterprises. Examples of well-known agencies that issue bonds are Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac"), Federal National Mortgage Association (FNMA or "Fannie Mae"), and the Federal Home Loan Bank.

AMORTIZATION: An accounting practice of gradually decreasing (increasing) an asset's book value by spreading its depreciation (accretion) over a period of time.

ASKED: The price at which securities are offered.

ASSET BACKED SECURITIES: Securities supported by pools of installment loans or leases or by pools of revolving lines of credit.

BANKERS' ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer.

BASIS POINT: One basis point is one hundredth of 1% (.0 I ).

BENCHMARK: A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments.

BID PRICE: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer.

BOND: A financial obligation for which the issuer promises to pay the bondholder a specified stream of future cash flows, including periodic interest payments and a principal repayment.

BOOK ENTRY: The system maintained by the Federal Reserve, by which most money market securities are delivered to an investor's custodial bank. The Federal Reserve maintains a computerized record of the ownership of these securities and records any changes in ownership corresponding to payments made over the Federal Reserve wire (delivery versus payment.)

BOOK VALUE: The value at which a debt security is shown on the holder's balance sheet.

Book value is acquisition cost less amortization of premium or accretion of discount.

BROKER: A broker brings buyers and sellers together for a commission.

CALLABLE BOND: A bond issue in which all or part of its outstanding principal amount may be redeemed before maturity by the issuer under specified conditions.

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14 CALL PRICE: The price at which an issuer may redeem a bond prior to maturity. The price is usually at a slight premium to the bond's original issue price to compensate the holder for loss of income and ownership.

CALL RISK: The risk to a bondholder that a bond may be redeemed prior to maturity.

CERTIFICATE OF DEPOSIT (CD): A deposit insured up to $100,000 by the FDIC at a set rate for a specified period of time.

COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.

COLLATERALIZED MORTGAGE OBLIGATION (CMO): Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities.

COMMERCIAL PAPER: An unsecured promissory note of industrial corporations, utilities and bank holding companies having assets in excess of $500 million and an "A" or higher rating for the issuer's debentures. Interest is discounted from par and calculated using the actual number of days on a 360-day year. The notes are in bearer form, mature from one to 270 days and generally start at $100,000. There is a secondary market for commercial paper and an investor may sell them prior to maturity. Unused lines of credit back commercial paper from major banks.

COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual financial report for the City. It includes combined statements and basic financial statements for each individual fund and account group prepared in conformity with Generally Accepted Accounting Principles (GAAP). Supplemental information is also included including a detailed multi-year comparative statistics.

COST YIELD: The annual income from an investment divided by the purchase cost. Because it does not give effect to premiums and discounts which may have been included in the purchase cost, it is an incomplete measure of return.

COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment date.

CREDIT RISK: The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer.

CURRENT YIELD: The interest paid on an investment expressed as a percentage of the current price of the security.

CUSTODY: A banking service that provides safekeeping for the individual securities in a 124

15 customer's investment portfolio under a written agreement which also calls for the bank to collect and pay out income, and to buy, sell, receive and deliver securities when ordered to do so by the account holder.

DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account.

DEBENTURE: A bond secured only by the general credit of the issuer.

DELIVERY VERSUS PAYMENT (DVP): Delivery versus payment is delivery of securities with an exchange of money for the securities.

DERIVATIVES: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities).

DISCOUNT: The difference between the cost price of a security and its value at maturity when quoted at lower than face value.

DISCOUNT SECURITIES: Non-interest bearing money market instruments that are issued a discount and redeemed at maturity for full face value, e.g., U.S. Treasury Bills.

DIVERSIFI CATI0N: Dividing investment funds among a variety of securities offering independent returns.

DURATION: A measure of the timing of the cash flows, such as the interest payments and the principal repayment, to be received from a given fixed-income security. This calculation is based on three variables: term to maturity, coupon rate, and yield to maturity. The duration of a security is a useful indicator of its price volatility for given changes in interest rates.

FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L's, small business firms, students, farmers, farm cooperatives, and exporters.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $100,000 per deposit.

FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open-market operations.

FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12 regional banks) which lend funds and provide correspondent banking services to member commercial banks, thrift institutions, credit unions and insurance companies.

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16 FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or Fannie Mae): FNMA, like GNMA was chartered under the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD). The corporation is called, is a private stockholder-owned corporation. The corporation's purchases include a variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages.

FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money.

FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven member Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial banks that are members of the system.

FED WIRE: A wire transmission service established by the Federal Reserve Bank to facilitate the transfer of funds through debits and credits of funds between participants within the Fed system.

FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC or Freddie Mac): A United States government sponsored corporation.

GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae):

Securities
influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by the FHA, VA or FmHA mortgages. The term "pass­ throughs" is often used to describe Ginnie Maes.

HAIRCUT: The margin or difference between the actual market value of a security and the value assessed by the lending side of a transaction (i.e. a repo).

INTEREST RATE: The annual yield earned on an investment, expressed as a percentage.

LEVERAGE: Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing.

LIQUIDITY: Refers to the ability to easily and rapidly convert a security into cash.

LOCAL AGENCY INVESTMENT FUND (LAIF): The local Agency Investment Fund (LAIF) is a special fund in the California State Treasury created and governed pursuant to Government Code Sections 16429.1 et seq. There are limits on the maximum dollars deposited by a city as well as 126

17 the number of transactions allowed each month.

LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in custody of the State Treasurer for investment and reinvestment.

MAKE WHOLE CALL: A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole."

MARGIN: The difference between the market value of a security and the loan a broker makes using that security as collateral.

MARKET RISK: The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates.

MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold on a specific date.

MARKING TO MARKET: The process of posting current market values for securities in a portfolio.

MATURITY: The date upon which the principal or stated value of an investment becomes due and payable.

MEDIUM TERM NOTES (MTNs): Unsecured, investment-grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis. MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences.

MODIFIED DURATION: The percent change in price for a 100 basis point change in yields.

Modified duration is the best single measure of a portfolio's or security's exposure to market risk.

MONEY MARKET: The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker's acceptances) are issued and traded.

MONEY MARKET MUTUAL FUND: Mutual funds that invest solely in money market instruments (short­ term debt instruments, such as Treasury bills, commercial paper, bankers' acceptances, and federal funds).

MORTGAGE PASS THROUGH SECURITIES: A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security.

MUNICIPAL SECURITIES: Securities issued by state and local agencies to finance capital and operating expenses.
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18 MUTUAL FUND: An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund's prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund's prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio.

NATIONAL ASSOCIATION OF SECURITIES DEALERS (NASD): A self-regulatory organization (SRO) of brokers and dealers in the over-the-counter securities business. Its regulatory mandate includes authority over firms that distribute mutual fund shares as well as other securities.

NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATIONS (NSROs); Credit rating agencies whose ratings are permitted to be used for regulatory purposes such as those imposed by the Securities and Exchange Commission.

NEGOTIABLE CERTIFICATE OF DEPOSIT: A large denomination certificate of deposit which can be sold in the open market prior to maturity.

NEW ISSUE: Term used when a security is originally "brought" to market.

OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid.

OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserve' s most important and most flexible monetary policy tool.

PORTFOLIO: Collection of securities held by an investor.

PREMIUM: The amount by which the price paid for a security exceeds the security's par value.

PREPAYMENT SPEED: A measure of how quickly principal is repaid to investors in mortgage securities.

PREPAYMENT WINDOW: The time period over which principal repayments will be received on mortgage securities at a specified prepayment speed.

PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities broker-dealers, banks, and a few unregulated firms.
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19 PRINCIPAL: The face value or par value of a debt instrument, or the amount of capital invested in a given security.

PRUDENT PERSON (PRUDENT INVESTOR) RULE: A standard of responsibility which applies to fiduciaries. In California, the rule is stated as "Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes."

PURCHASE DATE: The date in which a security is purchased for settlement on that or a later date.

RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond or the current income return.

REALIZED YIELD: The change in value of the portfolio due to interest received and interest earned and realized gains and losses. It does not give effect to changes in market value on securities, which have not been sold from the portfolio.

REGIONAL DEALER: A financial intermediary that buys and sells securities for the benefit of its customers without maintaining substantial inventories of securities and that is not a primary dealer.

REPURCHASE AGREEMENT (RP OR REPO): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security "buyer" in effect lends the "seller" money for the period of the agreement, and the terms of the agreement are structured to compensate him for this.

RULE 2a-7 OF THE INVESTMENT COMPANY ACT: Applies to all money market mutual funds and mandates such funds to maintain certain standards, including a 13- month maturity limit and a 90-day average maturity on investments, to help maintain a constant net asset value of one dollar ($1.00).

SAFEKEEPING: See CUSTODY.

SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution.

SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors m securities transactions by administering securities legislation.

SETTLEMENT DATE: The date on which a trade is cleared by delivery of securities against funds.

STRUCTURED NOTE: A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when 129

20 other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the ten-year Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements.

TENNESSEE VALLEY AUTHORITY (TVA): The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds.

TIME CERTIFICATE OF DEPOSIT: A non-negotiable certificate of deposit which cannot be sold prior to maturity.

TOTAL RATE OF RETURN: A measure of a portfolio's performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value; it includes interest earnings, realized and unrealized gains, and losses in the portfolio.

TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year and are sold on a discount basis.

TREASURY BONDS: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years.

TREASURY NOTES: Medium-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of I to 10 years.

U.S. GOVERNMENT AGENCIES: Instruments issued by various US Government Agencies most of which are secured only by the credit worthiness of the particular agency.

VOLATILITY: The rate at which security prices change with changes in general economic conditions or the general level of interest rates.

WEIGHTED AVERAGE MATURITY (WAM): The average maturity of all the securities that comprise a portfolio that is typically expressed in days or years.

YIELD: The rate of annual income return on an investment, expressed as a percentage. It is obtained by dividing the current dollar income by the current market price of the security.

YIELD TO MATURITY: The rate of income return on an investment, minus any premium or plus any discount, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond, expressed as a percentage.

YIELD CURVE: The yield on bonds, notes or bills of the same type and credit risk at a specific date for maturities up to thirty years.

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21 ZERO-COUPON SECURITY: Security that is issued at a discount and makes no periodic interest payments. The rate of return consists of a gradual accretion of the principal of the security and is payable at par upon maturity.
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Attachment 3

1 STATEMENT OF INVESTMENT POLICY FOR THE CITY OF DUBLIN

I. INTRODUCTION

This Statement of Investment Policy is intended to identify various policies and procedures that will foster a prudent and systematic investment program designed to seek the City's objectives of safety, liquidity and return through a diversified investment portfolio. This policy also serves to organize and formalize the City's investment-related activities, while complying with all applicable status governing the investment of public funds.

II. SCOPE

This policy covers all funds and investment activities under the direct authority of the City of Dublin, as set forth in the State Government Code, sections 53600 et seq., excluding any bond­ related proceeds or reserves, which are governed by their bond indentures. Cash held by the City shall be pooled in order to more effectively manage City cash resources. All pooled funds are accounted for in the City's Comprehensive Annual Financial Report and include:

Funds
General Fund
Special Revenue Funds
Capital Project Funds
Internal Service Funds
Enterprise Funds
Agency Funds

This original investment policy was adopted by the City of Dublin (the "City"), on August 21, 2007. This update to the Policy is effective on September 6, 2022 and replaces any previous versions.

III. OBJECTIVES

The overall program shall be designed and managed with a degree of professionalism worthy of the public trust. The primary objectives, in order of priority, of the City's investment activities shall be:

I) Safety: Safety of principal is the foremost objective of the investment program.

The City's investments shall be undertaken in a manner that seeks to safeguard the principal of the funds under its control by maintaining an appropriate risk level.
2) Liquidity: The City's investment portfolio will remain sufficiently liquid to enable the City to meet its reasonably anticipated cash flow requirements.

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2 3) Return: Return should become a consideration only after the basic requirements of safety and liquidity have been met. The City seeks to attain market average rate of return on its investments throughout economic cycles, consistent with constraints imposed by its safety objectives and cash flow considerations.

4) Diversification: The investment portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions. This shall also conform with applicable sections of the Government Code.

IV. DELEGATION OF AUTHORITY

As authorized in Government Code Section 53607, the City Council delegates the authority to invest funds of the City to the City Treasurer and/or any duly appointed Deputy City Treasurer. The City Treasurer and any duly appointed Deputy City Treasurer shall make all investment decisions and transactions in strict accordance with State law and this investment policy. The Administrative Services Director shall be designated as the City Treasurer and the City Manager and/or Assistant Administrative Services Director shall be designated as the Deputy City Treasurer.

This delegation shall be for a one-year period until the delegation of authority is revoked or expires. The City Council may renew the authority each year as part of an annual review of this policy.

The City Treasurer shall establish procedures for the operation of the investment program. The City Treasurer shall be also responsible for all transactions undertaken and establishing a system of controls to regulate the activities of subordinates.

The City recognizes that in a diversified portfolio, occasional measured losses may be inevitable and must be considered within the context of the overall portfolio's return and the cash flow requirements of the City. Authorized individuals acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments.

The City may engage the services of one or more external investment managers to assist in the management of the City's investment portfolio in a manner consistent with the City's objectives. Such external managers may be granted discretion to purchase and sell investment securities in accordance with this investment policy.

Such managers must be registered under the Investment Advisors Act of 1940.

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3 V. PRUDENCE

Pursuant to California Government Code Section 53600.3, all persons authorized to make investment decisions on behalf of the City are trustees and therefore fiduciaries subject to the prudent investor standard: "When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency."

VI. ETHICS AND CONFLICTS OF INTEREST

All participants in the investment process shall acts as custodians of the public trust.

Investment officials shall recognize that the investment portfolio is subject to public review and evaluation. The overall program shall be designed and managed with a degree of professionalism that is worthy of the public trust. Thus employees and officials involved in the investment process shall refrain from personal business activity that conflicts with proper execution of the investment program, or impairs their ability to make impartial investment decisions. Additionally, the City Treasurer and the Deputy Treasurer shall file applicable financial disclosures as required by the Fair Political Practices Commission (FPPC).

VII. INTERNAL CONTROLS

The Treasurer is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the entity are protected from loss, theft or misuse.

The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by management. Periodically as deemed appropriate by City Management and/or the City Council an independent analysis by an external auditor shall be conducted to review internal controls, account activity and compliance with policies and procedures.

VIII. AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS

To the extent practical the Treasurer shall endeavor to complete investment transactions using a competitive bid process whenever possible. It shall be the City's policy to purchase securities only from authorized institutions and firms. No deposit of public funds shall be made except in a qualified public depository as established by state laws.

Institutions eligible to transact investment business with the City include:

1. Primary government dealers as designated by the Federal Reserve Bank and non- 134

4 primary government dealers

2. Nationally or state chartered banks

3. The Federal Reserve Bank

4. Direct issuers of securities eligible for purchase

The Treasurer shall maintain procedures for the establishing a list of authorized broker/dealers and financial institutions which are approved for investment purposes. These may include primary or regional dealers that qualify under Securities & Exchange Commission Rule 15C3-l (uniform net capital rule). The City requires each firm that will be used for the purchase or sale of securities to be evaluated by the Treasurer prior to any investments. The firms shall submit current financial statements, and annual audited financial statements each year thereafter, which are to be evaluated by the Treasurer. At a minimum, the firm must be financially sound and have been in business a minimum of three years. In addition, the firms must provide: proof of National Association of Security Dealers membership, proof of state registration or exemption, and certificate of having read the City's investment policy.

If an investment adviser is retained by the City, then that adviser will be permitted to use their own list of approved broker/dealers and financial institutions for investment purposes.

IX. AUTHORIZED AND SUITABLE INVESTMENTS

The City's investments are governed by Government Code, Sections 53600 et seq. Within the investments permitted by the Government Code, the City seeks to further restrict eligible investments to the guidelines listed below. In the event an apparent discrepancy is found between this Policy and the Government Code, the more restrictive parameters will take precedence. Percentage holding limits listed in this section apply at the time the security is purchased. Any investment currently held at the time the Policy is adopted which does not meet the new Policy guidelines can be held until maturity, and shall be exempt from the current Policy. At the time of the investment's maturity or liquidation such funds shall be reinvested only as provided in the most current Policy.

An appropriate risk level shall be maintained by primarily purchasing securities that are of high quality, liquid, and marketable. The portfolio shall be diversified by security type and institution to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions.

1. United States Treasury Issues. United States Treasury notes, bonds, bills, or certificates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. There is no limitation as to the percentage of the portfolio that may be invested in this category. The maximum maturity of these securities is five ten years. The City Council authorized investments in United States Treasury Issues beyond five years on September 6, 2022.

2. Federal Agency Obligations. Federal agency or United States government-sponsored 135

5 enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government­ sponsored enterprises. There is no limitation as to the percentage of the portfolio that may be invested in this category. However, the portfolio's exposure to any one federal agency issuer is limited to 35% of the overall portfolio. The limit of the overall portfolio's exposure to callable federal agency securities is 25%. The maximum maturity for agency securities is five ten years. The City Council authorized investments in Federal Agency Obligations beyond five years on September 6, 2022.

3. Bankers' Acceptances. Bankers' acceptances, otherwise known as bills of exchange or time drafts, that are drawn on and accepted by a commercial bank. Bankers' acceptances must be secured by the irrevocable primary obligation of the accepting domestic bank. Purchasers are limited to issuers whose short-term debt is rated "A-1" or higher, or the equivalent, by a Nationally Recognized Statistical-Rating Organization (NRSRO). Bankers' acceptances cannot exceed a maturity of 180 days. A maximum of 40% of the portfolio may be invested in this category. The amount invested in bankers' acceptances with any one financial institution in combination with any other debt from that financial institution shall not exceed 20% of the portfolio.

4. Commercial Paper. Commercial paper of "prime" quality rated "A-1" or higher, or the equivalent, by a NRSRO. The entity that issues the commercial paper shall meet all of the following conditions in either paragraph (A) or paragraph (B):

(A) The entity meets the following criteria: (i) Is organized and operating in the United States as a general corporation. (ii) Has total assets in excess of five hundred million dollars ($500,000,000). (iii) Has debt other than commercial paper, if any, that is rated "A" or higher by a nationally recognized statistical-rating organization.

(B) The entity meets the following criteria: (i) Is organized within the United States as a special purpose corporation, trust, or limited liability company. (ii) Has program wide credit enhancements including, but not limited to, over collateralization, letters of credit, or surety bond. (iii) Has commercial paper that is rated "A-1" or higher, or the equivalent, by a nationally recognized statistical-rating organization.

Eligible commercial paper shall have a maximum maturity of 270 days or less and not represent more than 10% of the outstanding paper of an issuing corporation. A maximum of 25% of the portfolio may be invested in this category. Under a provision of the California Government Code sunsetting on January 1, 2026, no more than 40% of the portfolio may be invested in Commercial Paper if the Agency’s investment assets under management are greater than $100,000,000. The amount invested in commercial paper of any one issuer in combination with any other debt from that issuer shall not exceed 20% of the portfolio.

5. Negotiable Certificates of Deposit. Negotiable certificates of deposit (NCDs) issued by a nationally or state-chartered bank, a savings association or a federal association, a state 136

6 or federal credit union, or by a state-licensed branch of a foreign bank. Purchases are limited to institutions which have long-term debt rated "A" or better and/or have short- term debt rated at least "A-1" or higher, or the equivalent by a NRSRO. A maximum of 30% of the portfolio may be invested in this category. The amount invested in NCDs with any one financial institution in combination with any other debt from that financial institution shall not exceed 20% of the portfolio. The maximum maturity of these securities is five years.

6. Time Certificates of Deposit. Time Certificates of Deposit (TCDs) placed with commercial banks and savings and loans. The purchase of TCDs from out-of-state banks or savings and loans is prohibited. The amount on deposit shall not exceed the shareholder's equity in the financial institution. To be eligible for purchase, the financial institution must have received a minimum overall satisfactory rating for meeting the credit needs of California Communities in its most recent evaluation, as provided Government Code Section 53635.2. TCDs are required to be collateralized as specified under Government Code Section 53630 et. seq. The Treasurer, at his discretion, may waive the collateralization requirements for any portion that is covered by federal (FDIC) insurance. The City shall have a signed agreement with the depository per Government Code Section 53649. The maximum maturity of these securities may not exceed one (1) year in maturity. A maximum of 10% of the portfolio may be invested in this category.

7. Mutual Funds and Money Market Mutual Funds that are registered with the Securities and Exchange Commission under the Investment Company Act of 1940, provided that,

a. MUTUAL FUNDS that invest in the securities and obligations as authorized under California Government Code, Section 53601 (a) to (k) and (m) to (q) inclusive and that meet either of the following criteria:

1. Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or

2. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.

3. No more than 10% of the total portfolio may be invested in shares of any one mutual fund.

b. MONEY MARKET MUTUAL FUNDS registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and issued by diversified management companies and meet either of the following criteria:

1. Have attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or

2. Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience managing money market mutual funds with assets under management in excess of $500 million.
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7 3. No more than 20% of the total portfolio may be invested in Money Market Mutual Funds.

c. No more than 20% of the total portfolio may be invested in these securities. .

8. State of California Local Agency Investment Fund (LAIF). The City may invest up to the maximum as permitted by LAIF. For due diligence, the Treasurer shall maintain on file a copy of LAIF's current Answer Book.

9. California Asset Management Program (CAMP). Shares of beneficial interest issued by a joint powers authority organized pursuant to Government Code Section 6509.7 that invests in the securities and obligations authorized in subdivisions (a) to (n), inclusive of Government Code Section 53601. For due diligence, the Treasurer shall maintain on file a copy of CAMP's current Information Statement.

10. Medium- T erm Notes. Medium-term notes, defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating within the United States or by depository institutions licensed by the United States or any state and operating within the United States. Purchases are limited to securities rated "A" or higher, or the equivalent, by a NRSRO. A maximum of 30% of the City's portfolio may be invested in this category and a maximum of 5% with any one issuer. The maximum maturity of these securities is five years.

11. Asset-Backed, Mortgage-Backed, Mortgage Pass-Through Securities, and Collateralized Mortgage Obligations, Securitiesfrom issuers not defined in the Federal Agency Obligations Subdivision. The City may purchase such securities provided that they are rated "AA" or higher, or the equivalent, by a NRSRO. Purchase of securities authorized by this subdivision may not exceed 20% of the portfolio, and a maximum of 5% per issue. The maximum maturity of these securities is five years.

12. Municipal Securities. Obligations of the State of California, any of the other 49 states, or any local agency within the state of California, may be purchased by the City provided that long-term obligations are rated "A" or higher, or the equivalent, by at least one NRSRO. There are no limits on the dollar amount or percentage that the city may invest in municipal securities; however, investments in these securities are limited to a maximum of 5% with any single issuer. The maximum maturity of these securities is five ten years. The City Council authorized investments in Municipal Securities beyond five years on September 6, 2022.

13. Supranationals provided that issues are US dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter-American Development Bank. The securities must be rated in a rating category of “AA” or its 138

8 equivalent by a NRSRO. No more than 30% of the portfolio may be invested in these securities, and no more than 10% of the portfolio may be invested in any single issuer. The maximum maturity does not exceed five (5) years.

X. AUTHORIZED INVESTMENTS FOR BOND PROCEEDS

Bond proceeds shall be invested in securities permitted by the applicable bond documents.

If the bond documents are silent as to the permitted investments, bond proceeds will be invested in securities permitted by this Policy. Notwithstanding the provisions of Policy, the percentage or dollar portfolio limitations listed in elsewhere in this Policy do not apply to bond proceeds. In addition to the securities listed in Section IX above, bond proceeds may be invested in structured investment products if approved by the Treasurer.

XI. PROHIBITED INVESTMENT PRACTICES AND INSTRUMENTS

The City shall not make investments for the purpose of trading or speculation as the dominate criterion such as anticipation of appreciation of capital value through changes in market rates. Securities are purchased with the intent to hold to maturity.

Any investment in a security not specifically listed as an Authorized and Suitable Investment above, but otherwise permitted by the Government Code, is prohibited without the prior approval of the City Council. Section 53601.6 of the Government Code specifically disallows investments in invoice floaters, range notes, or interest-only strips that are derived from a pool of mortgages. Under a provision of the California Government Code sunsetting on January 1, 2026, securities backed by the United States Government that could result in a zero or negative interest accrual if held to maturity are permitted.

XII. REVIEW OF INVESTMENT PORTFOLIO

The City Treasurer shall periodically, but no less than quarterly, review the portfolio to identify investments that do not comply with this investment policy and establish protocols for reporting major and critical incidences of noncompliance to the City Council.

XIII. TERM OF INVESTMENTS

Funds of the City will be invested in accordance with sound treasury management principles.

It is the objective of this Policy to provide a system which will accurately monitor and forecast revenues and expenditures so that the City can invest funds to the fullest extent possible.

The maximum maturity of individual investments shall not exceed the limits set forth in under Authorized and Suitable Investments. No investment shall exceed a maturity of five years from the date of purchase unless the City Council has granted express authority to make that investment either specifically or as a part of an investment program approved by the City Council no less than three months prior to the investment. 139

9 XIV. INVESTMENT RISK

(A) MARKET RISK

Market risk is the risk that the portfolio will decline in value (or will not optimize its value) due to changes in the general level of interest rates. The City recognizes that, over time, longer-term portfolios achieve higher returns. On the other hand, longer-term portfolios have higher volatility of return. The City shall mitigate market risk by providing adequate liquidity for short-term cash needs, and by making some longer- term investments only with funds that are not needed for current cash flow purposes.

The City further recognizes that certain types of securities, including variable rate securities, securities with principal pay-downs prior to maturity, and securities with embedded options, will affect the market risk profile of the portfolio differently in different interest rate environments. The City, therefore, adopts the following strategies to control and mitigate its exposure to market risk:

1) The maximum stated final maturity of individual securities in the portfolio shall be five years, unless otherwise stated in this policy;

2) The City shall maintain a minimum of three months of budgeted operating expenditures in cash, cash equivalents and short term investments; and

3) The duration of the portfolio will typically be approximately equal to the duration of a market index, selected by the City as its performance benchmark, which meets the City's needs for cash flow and level of risk tolerance plus or minus 20%.

(B) CREDIT RISK

In general, the City's portfolio will be diversified to avoid incurring unreasonable and avoidable risks regarding specific security types or individual financial institutions, such as credit risk. Credit risk is the risk that a security or a portfolio will lose some or all of its value due to a real or perceived change in the ability of the issuer to repay its debt. The City shall mitigate credit risk by adopting the following strategies:

I) The diversification requirements included in Section IX are designed to mitigate credit risk in the portfolio;
2) No more than 5% of the total portfolio may be deposited with or invested in securities issued by any single issuer unless otherwise specified in this policy.

3) The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to improve the quality, liquidity or return of the portfolio in response to market conditions or the City's risk preferences; and 140

10 4) If a security owned by the City is downgraded to a level below the requirements of this policy, making the security ineligible for additional purchases, the following steps will be taken:

a) Any actions taken related to the downgrade by the investment manager will be communicated to the City in a timely manner.
b) If a decision is made to retain the security, the credit situation will be monitored and reported back to the City.

XV. SAFEKEEPING AND CUSTODY

Investment securities are to be purchased when possible in book-entry form in the City's name. All security transactions entered into by the City shall be conducted on a delivery- versus-payment (DVP) basis. All cash and securities in the City's portfolio shall be held in safekeeping in the City's name by a third party bank trust department, acting as agent for the City under the terms of a custody agreement executed by the bank and the City. All investment transactions will require a safekeeping receipt or acknowledgment generated from the trade. A monthly report will be received by the City from the safekeeping institution listing all securities held in safekeeping with current market data and other information. The only exception to the foregoing shall be depository accounts and securities purchases made with: (i) local government investment pools; (ii) time certificates of deposit, and, (iii) money mutual funds, since the purchased securities are not deliverable. Term and non-negotiable instruments, such as certificates of deposit, can be held by the Treasurer, or in safekeeping as the Treasurer deems appropriate.

XVI. PERFORMANCE BENCHMARK

The investment portfolio shall be designed to attain a market-average rate of return throughout budgetary and economic cycles, taking into account the City's risk constraints, the cash flow characteristics of the portfolio, and state and local laws, ordinances or resolutions that restrict investments. The Treasurer shall monitor and evaluate the portfolio's performance relative to market benchmark, which will be included in the Treasurer's quarterly report. The Treasurer shall select an appropriate, readily available index to use as a benchmark.

XVII. REPORT INFORMATION

The Treasurer shall prepare a report to the City Council not less than semi-annually which is available each year within 60 days following December 31st and June 30th. The semi-annual report shall be presented at a subsequent regularly scheduled City Council Meeting. The report shall be inclusive of a monthly listing of investment transactions. At a minimum the report shall include the following (Revised 9-18-2012):

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11 a) Type of Investment
b) Issuer
c) Date of Maturity
d) Par and dollar amount invested
e) Current Market Value as of the date of the report
f) Source of the market value information
g) A list of investment transactions.
h) A statement of compliance with the investment policy i) A statement as to the ability of the City to meet its expenditure requirements for the next six months

In addition, the City Treasurer will submit a monthly transaction report to the City Council.

XVIII. REVIEW OF INVESTMENT POLICY

This policy shall be subject to review by the City Council on an annual basis, by the second Council meeting in September. Any recommended modifications or amendments shall be presented by Staff to the City Council for their consideration and adoption.

GLOSSARY OF TERMS

ACCRUED INTEREST: Interest earned but not yet received.

AGENCIES: Federal agency securities and/or Government-sponsored enterprises. Examples of well-known agencies that issue bonds are Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac"), Federal National Mortgage Association (FNMA or "Fannie Mae"), and the Federal Home Loan Bank.

AMORTIZATION: An accounting practice of gradually decreasing (increasing) an asset's book value by spreading its depreciation (accretion) over a period of time.

ASKED: The price at which securities are offered.

ASSET BACKED SECURITIES: Securities supported by pools of installment loans or leases or by pools of revolving lines of credit.

BANKERS' ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer.

BASIS POINT: One basis point is one hundredth of 1% (.0 I ).

BENCHMARK: A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments.
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12 BID PRICE: The price offered by a buyer of securities. (When you are selling securities, you ask for a bid.) See Offer.

BOND: A financial obligation for which the issuer promises to pay the bondholder a specified stream of future cash flows, including periodic interest payments and a principal repayment.

BOOK ENTRY: The system maintained by the Federal Reserve, by which most money market securities are delivered to an investor's custodial bank. The Federal Reserve maintains a computerized record of the ownership of these securities and records any changes in ownership corresponding to payments made over the Federal Reserve wire (delivery versus payment.)

BOOK VALUE: The value at which a debt security is shown on the holder's balance sheet.

Book value is acquisition cost less amortization of premium or accretion of discount.

BROKER: A broker brings buyers and sellers together for a commission.

CALLABLE BOND: A bond issue in which all or part of its outstanding principal amount may be redeemed before maturity by the issuer under specified conditions.

CALL PRICE: The price at which an issuer may redeem a bond prior to maturity. The price is usually at a slight premium to the bond's original issue price to compensate the holder for loss of income and ownership.

CALL RISK: The risk to a bondholder that a bond may be redeemed prior to maturity.

CERTIFICATE OF DEPOSIT (CD): A deposit insured up to $100,000 by the FDIC at a set rate for a specified period of time.

COLLATERAL: Securities, evidence of deposit or other property which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies.

COLLATERALIZED MORTGAGE OBLIGATION (CMO): Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities.

COMMERCIAL PAPER: An unsecured promissory note of industrial corporations, utilities and bank holding companies having assets in excess of $500 million and an "A" or higher rating for the issuer's debentures. Interest is discounted from par and calculated using the actual number of days on a 360-day year. The notes are in bearer form, mature from one to 270 days and generally start at $100,000. There is a secondary market for commercial paper and an investor may sell them prior to maturity. Unused lines of credit back commercial paper from major banks.

COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual financial report 143

13 for the City. It includes combined statements and basic financial statements for each individual fund and account group prepared in conformity with Generally Accepted Accounting Principles (GAAP). Supplemental information is also included including a detailed multi-year comparative statistics.

COST YIELD: The annual income from an investment divided by the purchase cost. Because it does not give effect to premiums and discounts which may have been included in the purchase cost, it is an incomplete measure of return.

COUPON: (a) The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value. (b) A certificate attached to a bond evidencing interest due on a payment date.

CREDIT RISK: The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer.

CURRENT YIELD: The interest paid on an investment expressed as a percentage of the current price of the security.

CUSTODY: A banking service that provides safekeeping for the individual securities in a customer's investment portfolio under a written agreement which also calls for the bank to collect and pay out income, and to buy, sell, receive and deliver securities when ordered to do so by the account holder.

DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account.

DEBENTURE: A bond secured only by the general credit of the issuer.

DELIVERY VERSUS PAYMENT (DVP): Delivery versus payment is delivery of securities with an exchange of money for the securities.

DERIVATIVES: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities).

DISCOUNT: The difference between the cost price of a security and its value at maturity when quoted at lower than face value.

DISCOUNT SECURITIES: Non-interest bearing money market instruments that are issued a discount and redeemed at maturity for full face value, e.g., U.S. Treasury Bills.

DIVERSIFI CATI0N: Dividing investment funds among a variety of securities offering independent returns.
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14 DURATION: A measure of the timing of the cash flows, such as the interest payments and the principal repayment, to be received from a given fixed-income security. This calculation is based on three variables: term to maturity, coupon rate, and yield to maturity. The duration of a security is a useful indicator of its price volatility for given changes in interest rates.

FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L's, small business firms, students, farmers, farm cooperatives, and exporters.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures bank deposits, currently up to $100,000 per deposit.

FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open-market operations.

FEDERAL HOME LOAN BANKS (FHLB): Government sponsored wholesale banks (currently 12 regional banks) which lend funds and provide correspondent banking services to member commercial banks, thrift institutions, credit unions and insurance companies.

FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or Fannie Mae): FNMA, like GNMA was chartered under the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD). The corporation is called, is a private stockholder-owned corporation. The corporation's purchases include a variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages.

FEDERAL OPEN MARKET COMMITTEE (FOMC): Consists of seven members of the Federal Reserve Board and five of the twelve Federal Reserve Bank Presidents. The President of the New York Federal Reserve Bank is a permanent member, while the other Presidents serve on a rotating basis. The Committee periodically meets to set Federal Reserve guidelines regarding purchases and sales of Government Securities in the open market as a means of influencing the volume of bank credit and money.

FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven member Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial banks that are members of the system.

FED WIRE: A wire transmission service established by the Federal Reserve Bank to facilitate the transfer of funds through debits and credits of funds between participants within the Fed system.

FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC or Freddie Mac): A United States government sponsored corporation.

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15 GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae):

Securities
influencing the volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial banks, savings and loan associations, and other institutions. Security holder is protected by full faith and credit of the U.S. Government. Ginnie Mae securities are backed by the FHA, VA or FmHA mortgages. The term "pass­ throughs" is often used to describe Ginnie Maes.

HAIRCUT: The margin or difference between the actual market value of a security and the value assessed by the lending side of a transaction (i.e. a repo).

INTEREST RATE: The annual yield earned on an investment, expressed as a percentage.

LEVERAGE: Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing.

LIQUIDITY: Refers to the ability to easily and rapidly convert a security into cash.

LOCAL AGENCY INVESTMENT FUND (LAIF): The local Agency Investment Fund (LAIF) is a special fund in the California State Treasury created and governed pursuant to Government Code Sections 16429.1 et seq. There are limits on the maximum dollars deposited by a city as well as the number of transactions allowed each month.

LOCAL GOVERNMENT INVESTMENT POOL (LGIP): The aggregate of all funds from political subdivisions that are placed in custody of the State Treasurer for investment and reinvestment.

MAKE WHOLE CALL: A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole."

MARGIN: The difference between the market value of a security and the loan a broker makes using that security as collateral.

MARKET RISK: The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates.

MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold on a specific date.

MARKING TO MARKET: The process of posting current market values for securities in a portfolio.

MATURITY: The date upon which the principal or stated value of an investment becomes due and payable.

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16 MEDIUM TERM NOTES (MTNs): Unsecured, investment-grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis. MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences.

MODIFIED DURATION: The percent change in price for a 100 basis point change in yields.

Modified duration is the best single measure of a portfolio's or security's exposure to market risk.

MONEY MARKET: The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker's acceptances) are issued and traded.

MONEY MARKET MUTUAL FUND: Mutual funds that invest solely in money market instruments (short­ term debt instruments, such as Treasury bills, commercial paper, bankers' acceptances, and federal funds).

MORTGAGE PASS THROUGH SECURITIES: A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security.

MUNICIPAL SECURITIES: Securities issued by state and local agencies to finance capital and operating expenses.

MUTUAL FUND: An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund's prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund's prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio.

NATIONAL ASSOCIATION OF SECURITIES DEALERS (NASD): A self-regulatory organization (SRO) of brokers and dealers in the over-the-counter securities business. Its regulatory mandate includes authority over firms that distribute mutual fund shares as well as other securities.

NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATIONS (NSROs); Credit rating agencies whose ratings are permitted to be used for regulatory purposes such as those imposed by the Securities and Exchange Commission.

NEGOTIABLE CERTIFICATE OF DEPOSIT: A large denomination certificate of deposit which can be sold in the open market prior to maturity.

NEW ISSUE: Term used when a security is originally "brought" to market.

OFFER: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid.

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17 OPEN MARKET OPERATIONS: Purchases and sales of government and certain other securities in the open market by the New York Federal Reserve Bank as directed by the FOMC in order to influence the volume of money and credit in the economy. Purchases inject reserves into the bank system and stimulate growth of money and credit; sales have the opposite effect. Open market operations are the Federal Reserve' s most important and most flexible monetary policy tool.

PORTFOLIO: Collection of securities held by an investor.

PREMIUM: The amount by which the price paid for a security exceeds the security's par value.

PREPAYMENT SPEED: A measure of how quickly principal is repaid to investors in mortgage securities.

PREPAYMENT WINDOW: The time period over which principal repayments will be received on mortgage securities at a specified prepayment speed.

PRIMARY DEALER: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities broker-dealers, banks, and a few unregulated firms.

PRINCIPAL: The face value or par value of a debt instrument, or the amount of capital invested in a given security.

PRUDENT PERSON (PRUDENT INVESTOR) RULE: A standard of responsibility which applies to fiduciaries. In California, the rule is stated as "Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes."

PURCHASE DATE: The date in which a security is purchased for settlement on that or a later date.

RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond or the current income return.

REALIZED YIELD: The change in value of the portfolio due to interest received and interest earned and realized gains and losses. It does not give effect to changes in market value on securities, which have not been sold from the portfolio.

REGIONAL DEALER: A financial intermediary that buys and sells securities for the benefit of its customers without maintaining substantial inventories of securities and that is not a primary dealer.

REPURCHASE AGREEMENT (RP OR REPO): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security 148

18 "buyer" in effect lends the "seller" money for the period of the agreement, and the terms of the agreement are structured to compensate him for this.

RULE 2a-7 OF THE INVESTMENT COMPANY ACT: Applies to all money market mutual funds and mandates such funds to maintain certain standards, including a 13- month maturity limit and a 90-day average maturity on investments, to help maintain a constant net asset value of one dollar ($1.00).

SAFEKEEPING: See CUSTODY.

SECONDARY MARKET: A market made for the purchase and sale of outstanding issues following the initial distribution.

SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors m securities transactions by administering securities legislation.

SETTLEMENT DATE: The date on which a trade is cleared by delivery of securities against funds.

STRUCTURED NOTE: A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the ten-year Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements.

TENNESSEE VALLEY AUTHORITY (TVA): The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds.

TIME CERTIFICATE OF DEPOSIT: A non-negotiable certificate of deposit which cannot be sold prior to maturity.

TOTAL RATE OF RETURN: A measure of a portfolio's performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value; it includes interest earnings, realized and unrealized gains, and losses in the portfolio.

TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year and are sold on a discount basis.

TREASURY BONDS: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years.

TREASURY NOTES: Medium-term coupon-bearing U.S. Treasury securities issued as direct 149

19 obligations of the U.S. Government and having initial maturities of I to 10 years.

U.S. GOVERNMENT AGENCIES: Instruments issued by various US Government Agencies most of which are secured only by the credit worthiness of the particular agency.

VOLATILITY: The rate at which security prices change with changes in general economic conditions or the general level of interest rates.

WEIGHTED AVERAGE MATURITY (WAM): The average maturity of all the securities that comprise a portfolio that is typically expressed in days or years.

YIELD: The rate of annual income return on an investment, expressed as a percentage. It is obtained by dividing the current dollar income by the current market price of the security.

YIELD TO MATURITY: The rate of income return on an investment, minus any premium or plus any discount, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond, expressed as a percentage.

YIELD CURVE: The yield on bonds, notes or bills of the same type and credit risk at a specific date for maturities up to thirty years.

ZERO-COUPON SECURITY: Security that is issued at a discount and makes no periodic interest payments. The rate of return consists of a gradual accretion of the principal of the security and is payable at par upon maturity.

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REVISED STAFF REPORT

CITY COUNCIL

Agenda Item 7.1
DATE: September 6, 2022

TO: Honorable Mayor and City Councilmembers

FROM: Linda Smith, City Manager

SUBJECT:

Climate Action Plan 2030 and Beyond Reach Codes Report
Prepared by: Shannan Young, Environmental & Sustainability Manager

EXECUTIVE SUMMARY:

The City Council will receive a report on potential code options for three measures included in the City of Dublin’s Climate Action Plan 2030 and Beyond. The three measures under consideration include Measure EE-1, Achieve All-Electric New Construction; Measure SM-1, Adopt an Electric Vehicle Charging Station Ordinance; and Measure MM-2, Reduce the Embodied Greenhouse Gas Emissions Associated with Building Materials.

STAFF RECOMMENDATION:

Receive the report and provide direction on the three Climate Action Plan 2030 and Beyond measures.

FINANCIAL IMPACT:

There is no immediate impact to the General Fund. Depending on the direction received from City Council regarding the potential code options, there may be financial impacts associated with each specific future code adoption. Financial impact analyses will be included as part of any future City Council code adoption consideration. A discussion of the potential financial impacts to the community is included in the discussion below.

DESCRIPTION:

On September 15, 2020, the City Council approved Resolution 100-20 Adopting the City of Dublin Climate Action Plan 2030 and Beyond (CAP 2030, Attachment 1). CAP 2030 includes five strategies with a total of 22 measures intended to reduce greenhouse gas (GHG) emissions by 40% below 1990 levels by 2030 and to put the City on the path to reach carbon neutrality by 2045. The five strategies are:
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• Strategy 1 – Renewable and Carbon Free Electricity (CF) • Strategy 2 – Building Efficiency and Electrification (EE) • Strategy 3 – Sustainable Mobility and Land Use (SM)
• Strategy 4 – Materials and Waste Management (MM)
• Strategy 5 – Municipal Leadership (ML)

This report is about three CAP 2030 measures that intend to address GHG emissions associated with the built environment and transportation (Attachment 2). These are:

• Measure EE-1: Achieve All-Electric New Building Construction • Measure SM-1: Adopt an Electric Vehicle Charging Station Ordinance • Measure MM-2: Reduce the Embodied GHG Emissions Associated with Building Materials

Measure EE-1: Achieve All-Electric New Construction
Adopt an all-electric building reach code for new construction to reduce natural gas use and limit the development of new gas infrastructure in the City of Dublin.

Coupled with the communitywide 100% GHG-free energy achieved by implementing Measure CF-1, Opt-Up to 100% Renewable and Carbon-Free Electricity, all-electric new construction would result in homes and businesses that do not emit GHGs. The City Council adopted Resolution 04-21 Requesting East Bay Community Energy Enroll City of Dublin Residential Accounts in Renewable 100 as the Default Electricity Product on January 12, 2021 (Attachment 3). On April 5, 2022, the City Council adopted Resolution 28-22 Requesting East Bay Community Energy Enroll City of Dublin Non-Residential Accounts in Renewable 100 as the Default Electricity Product (Attachment 4). Community-wide enrollment in Renewable 100 will be complete by October 2022. The GHG emissions reduction potential with the implementation of Measure EE-1 in conjunction with Measure CF-1 is estimated to be 2,633 metric tons (MT) carbon dioxide equivalent (CO
2e) by 2025 and 4,828 MT CO2e by 2030.

Electrification Policy Types
Options for building electrification in California can generally be broken into three categories:

• All-Electric Municipal Ordinance. This option prohibits any gas hookups, with minimal exceptions, via municipal ordinance. The benefit of this option is that it is not tied to the building code and can be adopted indefinitely. The cons are that a municipal code may not cover buildings which have already received entitlements and there are uncertainties regarding potential legal challenges.
• All-Electric Building Code. This option is a local amendment to Title 24 of the 152

California Building Code (CALGreen). The local amendment would be a Reach Code that requires all-electric appliances. Examples of potential exemptions include commercial cooking and industrial processes. The benefits of this approach are that it can be adopted as part of the current 2022 CALGreen building code update and that it may cover buildings that have received entitlements but have not had building permits issued. The con is that it must be re-adopted with every building code cycle. • Electric Preferred Building Code. This is the base code in the 2022 California Energy Code. The code allows for mixed-fuel buildings with higher energy performance, requires additional energy efficiency measures, pre-wiring for buildings to be electric- ready, and higher ventilation rates for gas stoves. If builders install gas appliances, they will be required to install the infrastructure for an electric appliance replacement. The pro for following the 2022 CALGreen building code is that Staff can adopt the code by reference. However, this option is not recommended since the base code may not reduce GHG emissions enough to achieve the CAP 2030 GHG emissions goals. In addition, the CAP 2030 serves as the City’s qualified GHG Reduction Plan and programmatic tiering document for the purposes of the California Environmental Quality Act (CEQA) analyses of GHG emissions and climate change. The GHG emissions reduction analysis completed for the CAP 2030 anticipated an electrification ordinance.

Allowing for mixed-fuel buildings would mean that the CAP 2030 could not be used for project streamlining.

Cost of Electrification
In most cases, all-electric buildings are less expensive to build. Cost savings are achieved from not having to run gas lines, having to install fewer appliances, and the time savings of avoided inspections and sign-off of gas meters by Pacific Gas & Electric (PG&E). As an example, the cost for appliances in multifamily dwellings is less for all-electric appliances versus high efficiency gas appliances in all climate zones except climate zone 3 (Dublin is in Climate Zone 12). Figures 1 and 2 provide comparisons for upfront capital costs of appliances in all-electric homes versus mixed fuel homes. These cost savings are estimated to range from approximately $3,000 to $8,000 in climate zone 12. All electric homes typically experience lifecycle savings of $130 to $540 per year.

153

Figure 1. Capital Cost of High-Efficiency Appliances vs. Gas Alternatives in Single Family Home New Construction (Source: E3, Residential Building Electrification in California, 2019)*

*“CZ” means climate zone.

Figure 2. Capital Cost of High-Efficiency Appliances vs. Gas Alternatives in Low Rise Multifamily New Construction (Source: E3, Residential Building Electrification in California, 2019.)

Another study completed by Frontier Energy on cost-effectiveness of low rise residential new construction in 2019 showed that all-electric housing is expected to be between $3,361 and $6,171 cheaper to build on average and cost about $2,000 to $5,000 less to operate over 30 years compared to a mixed-fuel building.

Availability of Electric Technologies
It is an emerging trend that jurisdictions throughout California are adopting electrification ordinances. Staff polled cities with existing electrification codes to determine if builders would be able to acquire the electric appliances required by an all-electric code. The feedback received from Bay Area cities indicates that builders have not had issues, above and beyond Covid-19 supply chain issues, procuring all-electric appliances including induction cooktops/ranges, heat pump water heaters, or heat pump space heating/cooling appliances.

Feedback indicated some developers and contractors lack familiarity regarding installing all- electric appliances. The Bay Area Regional Energy Network (BayREN) is addressing this knowledge gap by providing virtual training events for contractors. Examples of the training 154

include heat pump water heater training for contractors and implementing energy efficiency and electrification in multifamily buildings.

Measure SM-1: Adopt an Electric Vehicle Charging Station Ordinance The City of Dublin will adopt an electric vehicle (EV) charging station ordinance for multifamily and commercial buildings to increase access to charging stations and promote the use of electric vehicles.

Increasing access to reliable electric vehicle (EV) charging stations at home and at work are key components to increasing EV adoption. Lack of access to EV charging infrastructure at home, and particular at multifamily dwellings (MFDs), is a major hurdle to EV ownership for residents. Increasing the number of EV charging stations (EVCS) will help reduce range anxiety and increase EV ownership towards the CAP 2030 goal of 33% EV ownership by 2030.

At this level of EV ownership, Dublin’s GHG emissions would reduce by an estimated 26,288 MT CO
2e by 2030.

Measure SM-1 outlines an EVCS ordinance that would require all new commercial and MFDs make 25% of parking spaces be “EV Ready,” and install Level 2 EVCS in 3% of stalls (or comparable amount of Direct Current Fast Chargers). Figure 3 illustrates the three levels of EV charging. Level 1 charging uses a standard 120-volt electrical outlet and typically takes between 20 and 43 hours to recharge a vehicle depending on the battery size. A Level 2 EVCS uses 208/240 volt chargers to fully charge vehicles in 4 to 8 hours. Direct Current Fast Chargers (DCFCs), also known as Level 3 chargers, use 480V 3-phase power and charge the typical EV in 30 minutes to one hour.

Figure 3. Standard Electric Vehicle Charging Stations (image credit to Shradha Jadhav on LinkedIn)

155

CALGreen Building Code
The 2022 CALGreen building code update includes new minimum and voluntary Tier 1 and Tier 2 EVCS requirements that meet or exceed the CAP 2030 requirements for MFD and commercial properties, as indicated in Tables 1 through 3 below. Shaded areas in the tables correspond to codes that meet or exceed the goals in the CAP 2030. Note the terminology in the CALGreen code does not match the terminology in the CAP 2030. The CAP 2030 definition of “EV Ready” is analogous to CALGreen’s definition of “EV Capable” which includes installing panel capacity and conduit to the parking stalls. CALGreen code definitions are summarized in Figure 4. Tables 1 through 3 list the CAP EV Ready requirements under EV Capable to align CALGreen definitions. Dublin currently has adopted the 2019 CALGreen Tier 2 requirements.

Those requirements are included in the tables for reference.

Bay Area Reach Codes
A consortium of organizations including East Bay Community Energy, Peninsula Clean Energy, Silicon Valley Clean Energy, the San Mateo County Office of Sustainability, the County of Santa Clara, and StopWaste developed a website and resources to assist cities with 2022 Building Electrification and EV Infrastructure Reach Code Initiatives. The goal of the consortium is to facilitate the reduction of GHG emissions in their service territories by developing forward-thinking reach codes. Template code language and other resources are provided on the website bayareareachcodes.org. The Bay Area Reach Codes model code has the advantage of pushing for higher levels of infrastructure relative to CALGreen. Considering that it is much more expensive to retrofit infrastructure, it is more cost effective to include as much infrastructure as possible during new construction. Pleasanton and Livermore staff have indicated that they will be bringing similar reach codes to those proposed in Tables 1 through 3 under the column header “Reach Codes” to their respective City Councils for consideration this Fall.

156

Figure 4. CALGreen EV Charging Definitions (image credit: Willdan Energy Solutions)

Multifamily Dwellings New Construction
As shown in Table 1, the CALGreen base code meets and exceeds the CAP 2030 goals for MFDs with twenty or more units. Table 2 shows that only the Bay Area Reach Code meets the CAP 2030 goals for MFDs with less than 20 units. The Bay Area Air Quality Management District (BAAQMD)’s “Justification Report: CEQA Thresholds for Evaluating the Significance of Climate Impacts From Land Use Projects and Plans” describes how the 2022 CALGreen base code requirements were established to meet anticipated EV charging demand through the year 2025. Base code requirements may not provide enough charging infrastructure given the higher EV adoption expected in the Bay Area and California. Consequently, the BAAQMD recommends using the CALGreen Tier 2 standards to evaluate whether new land use development projects meet their “fair share” of EV charging infrastructure in CEQA analyses.

The Bay Area Reach Codes consortium recommends an even higher level of EV charging infrastructure at multifamily dwellings, aiming for 100% of the parking to include some level of EV charging infrastructure.

Table 1. Multifamily Residential (20+ units) Codes Comparison for New Construction* 2019 Tier 2
Code (Adopted)
CAP 2030 2022 Base 2022 Tier 1 2022 Tier 2 Reach
Code
EV Capable 20% 25% 10% - - 85%
EV Ready - 25% 35% 40% -
EVCS
Installed**
- 3% 5% 10% 15% 15%
*The percentages in the columns are additive, not subsets of each other (i.e., the 2022 CALGreen base code will have a total of 30% electrified spaces with 5% EVCS installed plus 25% EV Ready). **All percentages are for Level 2 chargers, or for infrastructure capable of supporting Level 2 EVCS.

157

Table 2. Multifamily Residential (<20 units) Codes Comparison for New Construction* 2019 Tier 2 Code
(Adopted)
CAP 2030 2022 Base 2022 Tier 1 2022 Tier 2 Reach Code
EV Capable 20% 25% 10% - - 85%
EV Ready - 25% 35% 40% -
EVCS
Installed
- 3% - - - 15%**
*The percentages in the columns are additive, not subsets of each other (i.e., the 2022 CALGreen base code will have a total of 25% EV Ready plus 10% EV Capable).
**All percentages are for Level 2 EVCS, or infrastructure capable of supporting Level 2 EVCS.

Commercial New Construction
Table 3 shows the code comparison for commercial new construction related to the CAP 2030 goals. As noted, all the codes except the 2022 CALGreen base code fulfill the CAP 2030 goals.

Note that the commercial codes are not additive as they are with multifamily residential. As with the MFD tables, all percentages in Table 3 are for Level 2 EVCS, or infrastructure capable of supporting Level 2 EVCS.

Table 3. Commercial Codes Comparison for New Construction* 2019 Tier 2
Code
(Adopted)
CAP
2030
2022
Base
2022 Tier 1 2022 Tier 2 Reach Code
Office Hotel All
Other
EV
Capable
20% 25% 20% 30% 45% 30% 10% 10%
EV
Ready
- - - - - 25% -
EVCS
Installed
**
- 3% 5% (25%
of the
20%)
10% (33%
of the 30%)
15% (33%
of the 45%)
20% 5% 10%
* All percentages are for Level 2 EVCS, or infrastructure capable of supporting Level 2 EVCS. **Percentages are not additive; instead they are a subset of the total spaces impacted.

Single-Family New Construction and Existing Parking Lots The CALGreen building code and Bay Area Reach Codes also include requirements for single- family new construction and certain modifications to existing parking lots which go above and beyond Measure SM-1 in CAP 2030. The requirements are included in Tables 4 and 5 below for reference. Communication with Pleasanton and Livermore staff indicate that they are not considering Bay Area Reach Codes for existing parking lots.

158

Table 4. Single Family New Construction Codes Comparison 2019 Tier 2
Code
(Adopted)
CAP
2030
2022 Base 2022 Tier 1 2022 Tier 2 Reach Code
EV
Capable
100% - All SF
garages
- - -
EV Ready - - - All SF
garages
All SF
garages
All SF
garages
EVCS
Installed
- - - - - -

Table 5. Existing Construction Codes Comparison
Existing
Parking
Lots
2019 Tier 2
Code
(Adopted)
CAP 2030 2022 Base Reach Code
Multifamily - - If adding stalls or
altering
lighting/electrical
systems, 10% of
altered spots required
to be EV capable.

If adding stalls or
altering
lighting/electrical
systems, 10% of altered
spots required to be
EVCS.

Commercial - - -

Costs of Installing EV Chargers and Equipment
Multiple studies show it is cost effective to install EV charging infrastructure as part of new construction projects as opposed to retrofitting existing sites. In 2019, the California Air Resources Board found that adding an EV capable spot during nonresidential new construction projects costs between $870 to $960 per space, as opposed to $7,000 to $8,000 per parking space when retrofitting existing sites. An additional study completed by Peninsula Clean Energy (PCE) and Silicon Valley Clean Energy (SVCE) in 2019 also found installing EV infrastructure during new construction was cost effective compared to including EV infrastructure during retrofits for a variety of building types. Those study results are summarized in Table 6.

159

Table 6. PCE and SVCE November 2019 EV Infrastructure Cost Effectiveness Study

Code Scenario Market Rate
25% Level 2/75%
Level 1
Market Rate
25% Level
2/75% Level 1
Affordable Housing
10% Level 2/90%
Level 1
Affordable
Housing
10% Level
2/90% Level 1
Building Type New Construction Retrofit New Construction Retrofit 60 Unit MFD $1,410 $4,443 $1,049 $3,982
150 Unit MFD $1,197 $4,101 $1,002 $3,854
60 Unit Office
Building
$1,166 $3,232 N/A N/A

Measure MM-2: Reduce the Embodied GHG Emissions Associated with Building Materials The City of Dublin will require the use of low carbon concrete in new construction projects to reduce lifecycle GHG emissions and the embodied carbon associated with construction projects.

The embodied GHG emissions of a building are emissions generated by making and transporting materials to a building site, including mining, refining, and shipping. Cement production accounts for as much as 7% of global GHG emissions. Although the CAP 2030 does not quantify the lifecycle GHG emissions from the consumption of materials such as concrete, adopting a low carbon concrete building code would be a meaningful way of reducing GHG emissions associated with construction activities.

There is a variety of ways cement makers can reduce the embodied carbon of their cements.

Adding secondary cementitious materials (SCM) or more aggregate to cement mixtures can reduce GHG emissions. For instance, adding 10% SCM can reduce GHG emissions by about 10%. Low-carbon concrete must have minimum specified compressive strengths given the various applications. Adding SCM reduces the compressive strength of concrete, therefore it is important to ensure that the concrete specification applies a maximum ordinary Portland cement content to ensure compressive strength, while also meeting the maximum embodied carbon concentration. Despite the challenges, feasibility of working with low-carbon concrete is evidenced by the fact that the California Department of Transportation has been using low carbon concrete and has an authorized list of approved SCMs and blended cements available on their website.

It was anticipated in Measure MM-2 that Staff would develop a low-carbon concrete building code based on the Marin County model ordinance. Staff has discovered that Marin County has adopted, but not yet enforced, a low-carbon concrete code that can serve as a basis for Dublin’s code. Therefore, Staff proposes that the City develops template specifications that would be piloted on future City capital improvement projects before presenting a proposed low-carbon concrete building code to the City Council. Future capital improvement projects may include Wallis Ranch Community Park, Iron Horse Nature Park and Open Space, and Dublin Boulevard Extension. The advantage of conducting pilot projects would be that the 160

City would learn how to incorporate low-carbon concrete into projects and adjust the code as necessary based on direct experience prior to officially incorporating it into the building code. Staff is currently investigating local availability of the SCMs and cost to shift to low- carbon concrete. Thus far, feedback received is that it should be cost-neutral to incorporate SCMs.

Conclusion
The three building code measures included in CAP 2030 can meaningfully impact GHG emissions reductions and transform the way infrastructure in Dublin is built. Cities throughout the Bay Area, including Dublin’s Tri-Valley neighbors Pleasanton and Livermore are considering similar building reach codes.

An all-electric building or municipal code ordinance has the potential to reduce GHG emission by 4,828 MT CO
2e by 2030 and has had support from Pacific Gas & Electric (PG&E) in municipalities that have already adopted electrification codes. An all-electric code has the additional potential benefit of streamlining the plan review and inspection process compared to the 2022 California Energy Code electric-preferred building code since gas infrastructure would be minimized or eliminated.

An EVCS ordinance helps to set the stage for the transition to EVs that is mandated by the State of California. California will no longer allow the sale of traditional internal combustion engines as of 2035. State and local governments can facilitate the transition, ease range anxiety, and decrease the cost of the infrastructure required to support the huge increase in EVs by adopting an electrification ordinance.

Requiring projects to specify low-carbon concrete in construction, while maintaining strength and durability standards, will help Dublin start working towards addressing lifecycle GHG emissions. Piloting projects with low carbon concrete on Dublin capital improvement projects first will demonstrate the continued municipal leadership Dublin has shown regarding implementation of the CAP 2030 and provide invaluable learning before introducing the low carbon concrete standards into the building code.

Next Steps
Based upon direction from City Council, Staff will conduct public outreach on the selected electrification and EV charger codes and subsequently bring the codes to the City Council for consideration later this calendar year.

STRATEGIC PLAN INITIATIVE:

Strategy 3: Infrastructure Maintenance and Reinvestment: Continue to Implement the CAP 2030.

Objective E: Continue to implement measures identified in the Climate Action Plan.

161

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:

1) Resolution 100-20 Adopting the City of Dublin Climate Action Plan 2030 and Beyond 2) Measures EE-1, SM-1, and MM-2 Excerpts from the Climate Action Plan 2030 and Beyond 3) Resolution 04-21 Requesting East Bay Community Energy Enroll City of Dublin Residential Accounts in Renewable 100 as the Default Electricity Product 4) Resolution 28-22 Requesting East Bay Community Energy Enroll City of Dublin Non- Residential Accounts in Renewable 100 as the Default Electricity Product

162
Reso No. 100- 20, Item 6.1, Adopted 09/15/ 2020 Page 1 of 2 RESOLUTION NO. 100 - 20

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN
ADOPTING THE CITY OF DUBLIN CLIMATE ACTION PLAN 2030 AND BEYOND WHEREAS, on November 16, 2010 the City Council adopted Resolution 167- 10 approving the City of Dublin Climate Action Plan establishing greenhouse gas ( GHG) reduction goals for 2020; and
WHEREAS, under the California Environmental Quality Act ( CEQA) a city may prepare a qualified GHG Reduction Strategy or Climate Action Plan to evaluate a community’s cumulative impact due to GHG emissions from future planned development; and WHEREAS, if a project is consistent with an adopted, qualified GHG Reduction Strategy or Climate Action Plan, the Strategy/ Plan can be used as a basis for determining that the project would have a less than significant impact on a community’s cumulative GHG emissions under CEQA; and
WHEREAS, on October 15, 2013 the City Council adopted Resolution 177- 13 approving the City of Dublin Climate Action Plan Update to use as a basis for determining that a future project that was consistent with the adopted Climate Action Plan Update would have a less than significant impact on Dublin’s cumulative GHG emissions under CEQA through 2020; and WHEREAS, the City of Dublin is on track to meet the 2020 GHG reduction goals established by the Plans; and
WHEREAS, in 2016, the California Legislature adopted Senate Bill ( SB) 32 to extend the State’s commitment to GHG emissions reductions by tightening the target to 40% below 1990 levels by 2030; and
WHEREAS, in 2018, Governor Brown adopted Executive Order ( EO) B-55-18 setting a Statewide goal of reaching carbon neutrality by no later than 2045; and WHEREAS, on December 17, 2019, the City Council provided consensus to align the City’s future Climate Action Plan with both SB 32 and EO B-55-18 goals and consensus to proceed with the draft strategies and measures to achieve those goals; and WHEREAS, the Climate Action Plan 2030 and Beyond establishes the following targets:

1. Reduce GHG emissions to 40% below 1990 levels by 2030

2. Reach carbon neutrality by 2045; and
WHEREAS, the Climate Action Plan 2030 and Beyond contains 22 measures grouped into the five strategies listed below to reduce GHG emissions by roughly 73,000 metric tons carbon dioxide equivalent by 2030:

1. 100% Renewable and Carbon- Free Electricity

2. Building Efficiency and Electrification

3. Sustainable Mobility and Land Use
Attachment 1
163
Reso No. 100- 20, Item 6.1, Adopted 09/ 15/ 2020 Page 2 of 2

4. Material and Waste Management

5. Municipal Leadership; and
WHEREAS, the implementation of the Climate Action Plan 2030 and Beyond will result in co-benefits in the following areas: economic growth, reduced traffic congestion, improved public health, healthier ecosystems, robust landscapes, carbon sequestration, enhanced resilience, equity and inclusion, community leadership and partnerships, and cutting- edge technologies; and WHEREAS, the City Council held a properly noticed public hearing on the Climate Action Plan 2030 and Beyond and related Negative Declaration on September 15, 2020; and WHEREAS, the City Council did review and consider the Negative Declaration and the Climate Action Plan 2030 and Beyond and all said reports, recommendations, and testimony herein and set forth prior to making its decision on the Climate Action Plan 2030 and Beyond.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby approve and adopt the Climate Action Plan 2030 and Beyond attached hereto as Exhibit A to the Resolution and authorizes Staff to make any non- substantive grammatical or editing changes in the final document.

PASSED, APPROVED AND ADOPTED this 15th day of September 2020, by the following vote:

AYES: Councilmembers Goel, Hernandez, Josey, Kumagai and Mayor Haubert NOES:

ABSENT:

ABSTAIN:

Mayor
ATTEST:

City Clerk
164

6.2-2
Coupled with the communitywide 100% carbon -free energy of Measure CF -1, new building electrification results in homes and businesses that emit no GHGs.

It is estimated that if an electric building reach code is not adopted, new construction would add over three million therms of natural gas use in Dublin by 2045. Developing all-electric buildings has been found to be less expensive to construct and operate in Dublin’s climate zone compared to constructing residential and commercial buildings with both gas and electric utilities, especially when paired with solar photovoltaic and solar thermal installations, which are not yet mandatory under Title 24 of the California Building Code.

In order to meet the long-term goal of carbon neutrality by 2045, the direct GHG emissions from natural gas will need to be phased out. Therefore, it is critical to limit new natural gas infrastructure and construct buildings today that are ready for tomorrow.

Measure EE-1: Achieve
All-Electric New Building Construction
Adopt an all-electric building reach code for new construction to reduce natural gas use and limit the development of new gas infrastructure in the City of Dublin.

Key Target Metrics
Adopt a new-building electrification ordinance in 2020.

GHG Emissions Reduction Potential
2,633 MT CO2e by 2025
4,828 MT CO2e by 2030
MT= Metric Tons; CO2e= carbon dioxide equivalents
Attachment 2
165

6.2-3

Measure EE-1 Actions
1 Conduct outreach to the community as well as
builders/developers to educate them on the
proposed ordinance , t he associated GHG
emissions reductions, and cost benefits.
2 Draft a City Ordinance that favors all-electric new
construction for City Council consideration.
3 Provide training to City staff on new electric
preferred ordinance requirements.
4 Continue to evaluate cost effective opportunities to
add additional building types into the electrification
ordinance.

Co-Benefits:

Community Cost:

Cost effectiveness studies conducted for Dublin’s
climate zone show all -electric construction to be less expensive both in construction costs and operation
over the lifetime of the buildings and will therefore
save Dublin residents, businesses , and developers
money in the short and long term.1
City Cost:

Staff time will be required for community outreach,
reach code development, drafting an ordinance for
City Council consideration, and implementation of the
new ordinance. This work is estimated to cost between
$7,000 and $10,0000.

1 https://localenergycodes.com/content/2019-local-energy-ordinances/

Benefits of All-Electric New Buildings
All-electric new buildings can offer several advantages over traditional mixed fuel buildings. With advances in modern heat pump technologies, all-electric homes can
be more cost-effective in both up- front construction
costs and long -term operational costs compared to
mixed fuel homes, allowing for lower cost housing to
be developed in Dublin and improved housing equity1.

A large portion of these cost savings come s from not
having to install natural gas infrastructure in the home.

All-electric new buildings can also be operated with no GHG emissions due to M easure C F-1 which brings
100% carbon-free electricity to Dublin. Electrification also provides health benefits. R esearch has identified that natural gas combustion and low indoor ventilation
rates can cau se significant health issues including
asthma2. Homes that decide to include solar and
battery storage can also oper ate without electricity
distributed by the grid, providing the benefit of
additional resilience.

2 https://www.atsjournals.org/doi/abs/10.1164/
arrd.1984.129.3.366?journalCode=arrd
166

6.3-2

Measure SM-1: Adopt an Electric
Vehicle Charging Station Ordinance
The City of Dublin will adopt an electric vehicle (EV) charging station ordinance for multifamily and c ommercial buildings to increase access to charging stations and promote the use of electric vehicles.

Access to reliable electric vehicle charging stations at home and work are key components to facilitate the purchase of EV over gas vehicles. Lack of home access to EV charging infrastructure in multifamily buildings is a major hurdle to EV ownership. An E V charging station ordinance will ensure that access to EV charging stations will be available to all those living, working, or visiting the City of Dublin. Increased access to EV chargers will reduce range anxiety and encourage a shift to EV ownership at a rate that achieves the goal of 33% EV ownership in Dublin by 2030.

To facilitate this increase in electric vehicle use, the City will adopt an electric vehicle charging station ordinance. The ordinance will require all new commercial and multifamily bui ldings to ensure 25% of parking spaces be “EV Ready” (conduit and electrical panel capacity installed), with 3% parking required to have installed and operable Level 2 EV charging stations or a comparable level of service provided by DC Fast Charging or other technology as appropriate.

Key Target Metrics
Adopt an EV Charger Ordinance in 2021
12% EV ownership by 2025
33% EV ownership by 2030
GHG Emissions Reduction Potential
8,537 MT CO2e by 2025
26,288 MT CO2e by 2030
MT= Metric Tons; CO2e= carbon dioxide equivalents

167

6.3-3
Measure SM-1 Actions
1 Conduct outreach to the community as well as
builders/developers about the ordinance.
2 Draft an updated City ordinance that requires all
new commercial and multifamily buildings to
include 25% of parking spaces as “EV Ready”
(conduit and electrical panel capacity installed),
with 3% parking required to have installed
operable Level 2 EV charging stations or a
comparable level of service provided by DC Fast
Charging or other technology as appropriate.
3 Provide training to permit counter and building
code staff on the updated new building EV
charging station requirements.
4 Provide education as needed to builders and
developers on the requirements of the ordinance.
5 Track progress including the number of chargers
installed and the percent of EV’s in Dublin
through the D epartment of Motor V ehicles
website.

Co-Benefits:

Community Cost:

While the EV Infrastructure Ordinance will increase
construction costs by $400 or more per space, overall
costs for EV charging station installation will save
money compared to the cost of retrofits. The
ordinance will also ensure more individuals can have
access to the benefits of an EV.

City Cost:

Staff time to develop and implement an EV charging
station ordinance is expected to cost $8,000-$14,000 in one-time staff costs.
1 https://fremont.gov/DocumentCenter/View/31450/PEV-
Infrastructure-Cost-Effectiveness-Report_Energy-
Solutions_July-2016
Benefits of Increasing Community EV Use
Installation of EV charg ing station infrastructure
during building construction can save up to $5,500 for
two parking spaces.1 While installation of EV charging
stations with new construction costs approximately
$400 per parking spot, retrofit projects can cost
upwards of $2,700 per space. Therefore, including
charging infrastructure as part of new construction
projects will lead to significant long-term savings of up to 76%.1
Without charging infrastructure in multifamily homes,
residents are limited in their ability to own an electric vehicle. While this ordinance may lead to increased
construction costs by a small percentage, the long-term savings to Dublin residents are considerable. Installing infrastructure with new construction will ensure homes
and businesses will not need as many retrofits in the
future and that charging stations are available to both renters and homeowners. Electric vehicles result in no
local air emissions, are quiet , and have lower lifecycle GHG emissions and costs compared to internal
combustion engines. 2 EVs will also help improve air
quality both at the building site and throughout Dublin.

Thus, lower vehicle emissions mean improved health
as well as reduced costs for the community.3
2 http://fsec.ucf.edu/en/publications/pdf/fsec-cr-2053-17.pdf 3 https://www.epa.gov/mobile-source-pollution/research- health-effects-exposure-risk-mobile-source-pollution
168

6.4-4

Although this C limate Action Plan does not quantify the lifecycle GHG emissions from the consumption of materials, the City recognizes the growing science on embodied GHG emissions in the built environment.

The “ embodied emissions ” of a building are emissions of carbon dioxide or othe r GHGs generated by making and transporting materials to a building site, including mining, refining, and shipping. Globally, embodied emissions account for 11% of a building’s lifecycle emissions1. The concrete industry is a major producer of carbon dioxide in the world, resulting in approximately 7% of worldwide GHG emissions. New technologies that replace cement with alternatives such as fly ash or carbon absorbing particles can reduce embodied GHG emissions by up to 50%.2 Requiring projects to specify low carbon concrete in their projects, while maintaining required strength and durability standards, will help the community work towards addressing lifecycle GHG emissions and make an ever-larger impact on global CO2e emissions. Although this measure will reduce GHG emissions, it is difficult to quantify and is not currently included in the State GHG inventory. Therefore, this measure is considered supportive. 1 http://www.carbonleadershipforum.org/about/why-embodied-carbon/ 2 https://materialspalette.org/concrete/
Key Target Metrics
Adopt an ordinance mandating low carbon concrete for all new development projects by 2023
GHG Reduction Potential
Supportive
Measure MM-2: Reduce the Embodied GHG
Emissions Associated with Building Materials
The City of Dublin will require the use of low carbon concrete in new construction projects to reduce lifecycle GHG emissions and the embodied carbon associated with construction projects.

169

6.4-5

Measure MM-2 Actions
1 Conduct outreach to the development community
regarding low carbon concrete using the Bay Area
Low Carbon Concrete Codes Project.
2 Present a low carbon concrete ordinance to City
Council based on the Marin County model
ordinance with specifications for residential and
non-residential development applications.
3 Educate City staff, and the development community
on the new reach code requirements.
4 Keep current on new model ordinances that identify
other building material s to target for additional
embodied carbon reductions.

Co-Benefits:

Community Cost:

Low carbon concrete is approximately equal in cost to
standard high carbon concrete due to a currently
available significant local supply of fly ash in the Bay Area.

City Cost:

Staff time will be required to update the City of Dublin Building Code and implement the new requirements.

A low carbon concrete building code update can be
modeled off the work done by Marin County under a
grant from the Bay Area Air Quality Management
District. Costs for staff time is estimate at $10,000 - $15,000.

4 https://materialspalette.org/concrete/

Benefits of Reducing Embodied Emissions
Associated with Concrete
Concrete is the most widely used construction material
in the world and contributes the most lifecycle GHG
emissions of any single building material, resulting in approximately 7% of global GHG emissions. 4 New
technologies allow concrete to be produced with less
cement (the binding agent in concrete) while
maintaining strength and durability . Some additives
can even help sequester more carbon during the curing
process. By adopting these requirements, the City of
Dublin will join a list of pioneering cities working to address lifecycle GHG emissions and embodied
carbon5. Based on data provided by the Marin County
low carbon concrete ordinance, the use of low carbon
concrete is expected to be cost competitive with
traditional concrete in the Bay Area.

5 https://www.marincounty.org/depts/cd/divisions/sustainability/low- carbon-concrete-project
170
Reso. No. 04- 21, Item 7.1, Adopted 1/12/21 Page1 of 2
RESOLUTION NO. 04 – 21

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN

REQUESTING EAST BAY COMMUNITY ENERGY ENROLL CITY OF DUBLIN RESIDENTIAL ACCOUNTS IN RENEWABLE 100 AS THE DEFAULT ELECTRICITY PRODUCT WHEREAS, the City of Dublin has been a leader in the fight against climate change, having adopted its first Climate Action Plan in 2010 with an update in 2013, with the goal to reduce greenhouse gas emissions to 1990 levels by 2020; and
WHEREAS, on September 15, 2020, the City Council of the City of Dublin adopted the City of Dublin Climate Action Plan 2030 and Beyond that includes a goal of reducing greenhouse gas emissions by 40% below 1990 levels by 2030 to align with California Senate Bill 32 and to put the City on a path to reach carbon neutrality by 2045; and
WHEREAS, Climate Action Plan 2030 and Beyond identifies renewable and carbon- free electricity as the biggest opportunity to reduce greenhouse gas emissions within the City of Dublin; and
WHEREAS, the City of Dublin’s electricity provider, East Bay Community Energy (EBCE), offers a 100% carbon- free and 100% renewable electricity product called Renewable 100; and WHEREAS, enrolling residential accounts in the Renewable 100 carbon- free electricity option is the most cost- effective way to reduce greenhouse gas emissions in Dublin and would cost the average homeowner approximately four dollars per month more than current electricity rates; and
WHEREAS, residential accounts on California Alternate Rates for Energy ( CARE), Family Electric Rate Assistance ( FERA), and medical baseline accounts will remain on the current default electric power product, EBCE’s Bright Choice power product, offered at a slight discount compared to Pacific Gas & Electric’s (PG& E) standard product; and WHEREAS, the City of Dublin and EBCE will reach out to commercial, industrial, and institutional customers to encourage opting- up to the Renewable 100 power portfolio and the City of Dublin intends to re-evaluate Renewable 100 as the default product for these customers within the next year; and
WHEREAS, residential customers in the City of Dublin would retain the option to “opt down” to an electric power portfolio with a lower percentage of carbon- free electricity or “opt out” to PG& E’s electricity; and
Attachment 3
171
Reso. No. 04- 21, Item 7.1, Adopted 1/12/21 Page2 of 2
WHEREAS, establishing a renewable and carbon- free default electricity product for residential customers would allow Dublin to showcase its environmental leadership and demonstrate efforts to create a sustainable community in line with the goals of Climate Action Plan 2030 and Beyond.

NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Dublin does request that East Bay Community Energy hereby enroll the City of Dublin in the Renewable 100 electric power portfolio as the default electricity product for all residential accounts, except for CARE, FERA, and medical baseline accounts which would remain on the Bright Choice electric power portfolio.

BE IT FURTHER RESOLVED that the City Council of the City of Dublin requests that the EBCE Board consider Dublin’s Renewable 100 default power portfolio request at the earliest possible upcoming EBCE Board Meeting.

PASSED, APPROVED AND ADOPTED this 12th day of January 2021, by the following vote:

AYES: Councilmembers Hu, Josey, Kumagai, McCorriston and Mayor Hernandez NOES:

ABSENT:

ABSTAIN:

Mayor
ATTEST:

City Clerk
172
Reso. No. 28-22, Item 4.6, Adopted 04/05/2022 Page 1 of 2 RESOLUTION NO. 28 – 22
A

RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF DUBLIN
REQUE

STING EAST BAY COMMUNITY ENERGY ENROLL CITY OF DUBLIN
NON-RESIDENTIAL ACCOUNTS IN RENEWABLE 100 AS THE DEFAULT

ELECTRICITY PRODUCT
WHEREA
S, the City of Dublin has been a leader in the fight against climate change, having adopted its first Climate Action Plan in 2010 with an update in 2013, with the goal to reduce greenhouse gas (GHG) emissions to 1990 levels by 2020; and WHEREA
S, on September 15, 2020, the City Council adopted the City of Dublin Climate Action Plan 2030 and Beyond (CAP 2030) which includes goals to reduc e GHG emissions by 40% below 1990 levels by 2030 and to put the City on a path to reach carbon neutrality by 2045; and WHERE
AS, CAP 2030 identifies renewable and carbon- free electricity as the biggest opportunity to reduce GHG emissions within the City of Dublin; and WHEREA
S, the City’s electricity provider, East Bay Community Energy (EBCE), offers a 100% carbon-free and 100% renewable electricity product called Renewable 100; and WHEREA
S, residential accounts were enrolled in Renewable 100 beginning January 1, 2022, reducing GHG emissions in Dublin by approximately 28%; and WHEREA
S, enrolling non- residential accounts in Renewable 100 has the potential to reduce GHG emissions in Dublin by an additional 25%; and
WHEREA
S, non-residential accountholders in the City would retain the option to opt down to EBCE’s discounted power portfolio, Bright Choice, which offers a lower percentage of carbon- free electricity, or opt out to electricity provided by Pacific Gas & Electric; and WHEREA
S, establishing Renewable 100 as the default electricity for both residential and non - residential accounts would allow Dublin to showcase its continued environmental leadership and demonstrate efforts to create a sustainable community in line with the goals of CAP 2030.

NOW
, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does request that EBCE hereby enroll the City of Dublin in the Renewable 100 electric power portfolio as the default electricity product for all non-residential accounts in the City.

BE IT
FURTHER RESOLVED that the City Council of the City of Dublin requests that the EBCE Board consider Dublin’s Renewable 100 default power portfolio request at the earliest possible upcoming EBCE Board Meeting.
{S
ignatures on the following page}
Attachment 4
173
Reso. No. 28-22, Item 4.6, Adopted 04/05/2022 Page 2 of 2

PASSED, APPROVED AND ADOPTED this 5th day of April 2022, by the following vote:

AYES: Councilmembers Hu, Josey, Kumagai, McCorriston, and Mayor Hernandez

NOES:

ABSENT:

ABSTAIN:

______________________________
Mayor
ATTEST:

_________________________________
City Clerk

174
Climate Action Plan 2030
and Beyond Reach Codes
Report
September 6, 2022
175
Outline
• Overview of the Climate Action Plan 2030 and
Beyond.
• Measure EE-1: Achieve All-Electric New
Construction
• Measure SM-1: Adopt an Electric Vehicle
Charging Station Ordinance
• Measure MM-2: Reduce the Embodied
Greenhouse Gas (GHG) Emissions Associated
with Building Materials
176
Climate Action Plan 2030 and Beyond
• Five strategies in the
Climate Action Plan 2030
and Beyond (CAP 2030):
– Renewable and Carbon Free
Electricity (CF)
– Building Efficiency and
Electrification (EE)
– Sustainable Mobility and
Land Use (SM)
– Materials and Waste
Management (MM)
– Municipal Leadership (ML)
177
Measure EE-1
• Implementing Measure
EE-1 plus Measure CF-1,
Opt-up to 100%
Renewable and Carbon-
Free Electricity, would
result in buildings that do
not emit GHGs.
• GHG emissions reduction
potential is estimated to be
2,633 metric tons (MT)
carbon dioxide equivalent
(CO
2e) by 2025 and 4,828
MT CO2e by 2030.
178
All-Electric Municipal Ordinance
All-Electric Municipal Ordinance would prohibit
gas hookups via municipal ordinance.
• Pro: Can be adopted indefinitely since it is not
tied to the building code.
• Con: May not cover buildings which have
already received entitlements.
• Con: There are uncertainties regarding potential
legal challenges.
179
All-Electric Building Code
All-Electric Building Code is a local amendment to
Title 24 of the California Building Code
(CALGreen) that would require electric appliances.
• Pro: Can be adopted as part of the 2022
CALGreen building code update.
• Pro: May cover buildings that have received
entitlements.
• Con: Must be re-adopted with every building
code cycle.
180
Electric Preferred Building Code
Electric-Preferred Building Code. This is the base
code in the 2022 California Energy Code. Allows for
mixed-fuel buildings with higher energy performance
and pre-wiring for electric-ready buildings.
• Pro: 2022 CALGreen building code can be adopted
by reference.
• Con: May not reduce GHG emissions enough to
meet the CAP 2030 goals.
• Con: The CAP 2030 could not be used for CEQA
streamlining.
181
Cost of Electrification
182
Cost of Electrification
183
Availability of Electric T echnologies
• All-electric appliances are available to local
builders.
– Induction cooktops/ranges, heat pump water
heaters, heat pump space heating/cooling appliances.
• Some developers and contractors lack familiarity
with installing all-electric appliances.
– Bay Area Regional Energy Network is providing
training events to address the knowledge gap.
184
Measure SM-1
• CAP 2030 goal is for
33% of vehicles in
Dublin to be electric
vehicles (EV) by 2030.
• This would result in a
reduction of
approximately 26,288
MT CO
2e by 2030.
185
Measure SM-1
• CAP 2030 target is
25% parking spaces
“EV Ready.”
– Panel capacity and
conduit installed.
• 3% of stalls have
installed Level 2
chargers, or
comparable amount
of Direct Current
Fast Chargers.
186
2022 CALGreen Building Code
• 2022 CALGreen building code includes new
minimum and voluntary Tier 1 and Tier 2 EV
charging station requirements.
• CAP 2030 definition of “EV Ready” is
analogous to the CALGreen definition of “EV
Capable.”
• Tables shown later in presentation are
CALGreen definitions.
187
Bay Area Reach Codes
• Consortium of organizations including:
– East Bay Community Energy (EBCE)
– Peninsula Clean Energy (PCE)
– Silicon Valley Clean Energy (SVCE)
– San Mateo County Office of Sustainability
– County of Santa Clara
– StopWaste
• Developed template code language and other
resources which are provided on the
bayareareachcodes.org website.
188
Multifamily Residential (20+ Units)
EV Capable: Electrical panel capacity and conduit installed for future build out of Level 2 Chargers.

EV Ready: Full circuit installed (Level 2 panel capacity, conduit, wiring, receptacle and overprotection devices similar to a dryer circuit). 189
Multifamily Residential (<20 Units)
EV Capable: Electrical panel capacity and conduit installed for future build out of Level 2 Chargers.

EV Ready: Full circuit installed (Level 2 panel capacity, conduit, wiring, receptacle and overprotection devices similar to a dryer circuit). 190
Commercial
EV Capable: Electrical panel capacity and conduit installed for future build out of Level 2 Chargers.

EV Ready: Full circuit installed (Level 2 panel capacity, conduit, wiring, receptacle and overprotection devices similar to a dryer circuit). 191
Single Family and Existing
Construction
192
Costs of Installing EV Chargers
• 2019 California Air Resources Board Study
– New construction: $870 - $960 per space
– Existing construction: $7,000 - $8,000 per space
193
Measure MM-2
• Cement production
accounts for as much as
7% of global GHG
emissions.
• Embodied carbon in
cement can be reduced
through addition of
secondary cementitious
materials.
• Pilot specifications first.
194
Conclusion
• All-electric building or municipal code could
reduce GHG emissions and has had support
from Pacific Gas & Electric. The code could
help streamline plan review and inspection.
• EV charging station ordinance sets the stage for
the transition to EVs mandated by the State.
• Low carbon concrete code would help Dublin
start working towards addressing life cycle GHG
emissions.
195
Next Steps
• Based upon direction from City Council, Staff
will conduct public outreach on the selected
electrification and EV charger codes and
subsequently bring the codes to City Council for
consideration later this calendar year.
196

STAFF REPORT

CITY COUNCIL

Agenda Item 7.2
DATE: September 6, 2022
TO: Honorable Mayor and City Councilmembers
FROM: Linda Smith, City Manager
SUBJECT: Parks and Community Services Report on Dublin-Based Non-Profit and Fundraising Fees
Prepared by: Jackie Dwyer, Director of Parks and Community Services EXECUTIVE SUMMARY:

The City Council will receive a report on Dublin-based non-profit and fundraising fees at City of Dublin facilities and their fiscal impact. Options for the City Council to consider are included.

STAFF RECOMMENDATION:

Receive the report and provide direction on Dublin-based non-profit and fundraising fees.

FINANCIAL IMPACT:

The City Council may implement any fee adjustments from the proposed options. Based on historical information— if the fundraising fee is eliminated, the cost to the City will be approximately $5,000 annually.

DESCRIPTION:

Background
On June 21, 2022, the City Council requested that the Parks and Community Services Department provide a report regarding the impact of non-profit versus fundraising fees for Dublin-based non- profit fundraising rentals at City of Dublin facilities. The City Council further expressed some interest in potential changes to the fees to allow for either a split fee, or the elimination of the fundraising fee. These options are outlined at the end of the report.

As part of the due diligence, Staff reached out to various non-profit groups that use the City’s rental facilities. A survey was sent in which Staff received two responses. Staff began following up directly with some of the users to get feedback on possible changes. In summary, the non-profit user groups were supportive of changing the rate structure but did not provide direct feedback on 197

the best approach when given the options to consider, most likely because both options presented were beneficial to the groups.

Current Fee Structure
The below fees were gathered from the fee schedule adopted on June 21, 2022. Tables reflect only those facilities with fundraising rates.

Table 1: Heritage Park & Museum – St. Raymond Church
Type (per hour) Fee Discount
Resident (R) $63
Dublin-based commercial business (C) $83
Dublin-based non-profits $17 73% off R / 80% off C
Dublin-based non-profits for fundraising $47 25% off R / 43% off C Table 2: Heritage Park & Museum – St. Raymond Church Outdoor Patio Type (per hour) Fee Discount
Resident (R) $60
Dublin-based commercial business (C) $80
Dublin-based non-profits $17 72% off R / 79% off C
Dublin-based non-profits for fundraising $45 25% off R / 44% off C Table 3: Heritage Park & Museum – Kolb Sunday School Barn Type (per hour) Fee Discount
Resident (R) $104
Dublin-based commercial business (C) $140
Dublin-based non-profits during business hours $17 84% off R / 88% off C Dublin-based non-profits $26 75% off R / 81% off C
Dublin-based non-profits for fundraising $79 24% off R / 44% off C Table 4: Heritage Park & Museum – Lawn Area
Type (per hour) Fee Discount
Resident (R) $78
Dublin-based commercial business (C) $104
Dublin-based non-profits $17 78% off R / 84% off C
Dublin-based non-profits for fundraising $59 24% off R / 43% off C Table 5: Library Community Room
Type (per hour) Fee Discount
Resident (R) $94
Dublin-based commercial business (C) $125
Dublin-based non-profits $0 100% off R / 100% off C
Dublin-based non-profits for fundraising $71 25% off R / 43% off C 198

Table 6: Senior Center – Alamilla Springs Ballroom
Type (per hour) Fee Discount
Resident (R) $193
Dublin-based commercial business (C) $256
Dublin-based non-profits $48 75% off R / 81% off C
Dublin-based non-profits for fundraising $145 23% off R / 43% off C Table 7: Senior Center – Classroom A and C/D
Type (per hour) Fee Discount
Resident (R) $39
Dublin-based commercial business (C) $51
Dublin-based non-profits $17 56% off R / 67% off C
Dublin-based non-profits for fundraising $24 39% off R / 40% off C Table 8: Senior Center – Classroom B
Type (per hour) Fee Discount
Resident (R) $29
Dublin-based commercial business (C) $40
Dublin-based non-profits $17 41% off R / 58% off C
Dublin-based non-profits for fundraising $24 17% off R / 53% off C Table 9: Shannon Community Center – Ambrose Hall
Type (per hour) Fee Discount
Resident (R) $261
Dublin-based commercial business (C) $346
Dublin-based non-profits during business hours $17 93.5% off R / 95% off C Dublin-based non-profits $89 66% off R / 74% off C
Dublin-based non-profits for fundraising $196 25% off R / 43% off C Table 10: Shannon Community Center – Outdoor Patio
Type (per hour) Fee Discount
Resident (R) $123
Dublin-based commercial business (C) $164
Dublin-based non-profits during business hours $17 86% off R / 90% off C Dublin-based non-profits $31 75% off R / 81% off C
Dublin-based non-profits for fundraising $92 25% off R / 44% off C Table 11: Shannon Community Center – Multipurpose Room Type (per hour) Fee Discount
Resident (R) $73
Dublin-based commercial business (C) $97
Dublin-based non-profits during business hours $17 77% off R / 83% off C Dublin-based non-profits $24 67% off R / 75% off C
Dublin-based non-profits for fundraising $55 25% off R / 43% off C 199

Table 12: Shannon Community Center – Classroom
Type (per hour) Fee Discount
Resident (R) $31
Dublin-based commercial business (C) $42
Dublin-based non-profits $17 45% off R / 60% off C
Dublin-based non-profits for fundraising $24 25% off R / 43% off C Table 13: Dublin-based Non-Profit Fundraising Rental Examples The below fees represent the most commonly used rental time frames (based on actuals) at various locations. Totals included here do not consider fees for linens, alcohol insurance, dance floor, stage, or other items that may be added.

Hours / Location Cost Lost Revenue
11 AM-11 PM
(12 hours) /
Shannon
Community Center
– Ambrose Hall
$2,352 Fundraising Rate
If all non-profit: $1,068
If Split Cost @ 2 hours non-profit— total: $2,138
If Split Cost @ 3 hours non-profit— total: $2,031
All non-profit: $1,284
Split @ 2: $214
Split @ 3: $321
11AM - 12 AM
(11 hours) /
Heritage Park &
Museum – St.

Raymond Church
$517 Fundraising Rate
If all non-profit: $187
If Split Cost @ 2 hours non-profit— total: $457
If Split Cost @ 3 hours non-profit— total: $427
All non-profit: $330
Split @ 2: $60
Split @ 3: $90
2 PM-12 AM
(10 hours) /
Heritage Park &
Museum – Kolb
Sunday School
Barn
$790 Fundraising Rate
If all non-profit: $260
If Split Cost @ 2 hours non-profit— total: $684
If Split Cost @ 3 hours non-profit— total: $631
All non-profit: $530
Split @ 2: $106
Split @ 3: $159
4 PM-12 AM
(8 hours) /
Senior Center –
Alamilla Springs
Ballroom
$1,160 Fundraising Rate
If all non-profit: $384
If Split Cost @ 2 hours non-profit— total: $966
If Split Cost @ 2 hours non-profit— total: $869
All non-profit: $776
Split @ 2: $194
Split @ 3: $291
Options
Staff is seeking direction from the City Council on whether the time that non-profits use for fundraising should continue to be charged at the fundraising rate for the entire rental, or changed to one of the following options:

1. Split Fees: Allow for two or three hours (total) at the Dublin-based non-profit rate. This time can be used for setup and/or takedown, but the remaining rental time will be charged 200

at the Dublin-based non-profit fundraising rate.

2. Eliminate the fundraising rate for Dublin-based non-profits. All Dublin-based non-profits will pay the Dublin-based non-profit rate regardless of the event.

STRATEGIC PLAN INITIATIVE:

None.

NOTICING REQUIREMENTS/PUBLIC OUTREACH:

The City Council Agenda was posted.

ATTACHMENTS:

None.
201