East Palo Alto City Council March 1, 2022 Agenda Page 1 of 3
EAST PALO ALTO CITY COUNCIL
REGULAR MEETING AGENDA
March 1, 2022, 6:30 p.m.
EPA Government Center
2415 University Ave, First Floor
East Palo Alto, CA 94303
NOTICE
This City Council meeting will be conducted in accordance with City of East Palo Alto Resolution adopted in accordance with Assembly Bill 361. All members of the City Council will participate in the meeting by video conference, with no physical meeting location available to the public.
Community members may provide comments by emailing [email protected] or using the “RAISE HAND” feature when the Mayor or City Clerk call for public comment. Emailed comments should include the specific agenda item on which you are commenting.
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International numbers available: https://zoom.us/u/aMWYF4KT East Palo Alto City Council March 1, 2022 Agenda Page 2 of 3
1. CALL TO ORDER AND ROLL CALL
2. APPROVAL OF THE AGENDA
(Government Code Section 54957.7(a))
3. APPROVAL OF CONSENT CALENDAR
1. Minutes of the September 7, 2021 Regular Meeting
Recommendation: Adopt the minutes of the September 7, 2021- November 2, 2021 Meetings
2. Contract Extension McNabb Construction
Recommendation: Adopt a resolution authorizing the City Manager to Extend the contract with McNabb Construction, Inc, dba, DK Environmental for Five (5) years with two one year extensions for an amount not-to-exceed $34,916. Approve a budget in the amount of $9,800 annually for the period of this contract to apply an approved herbicide.
Waive the bidding requirements due to the special circumstances.
3. University Avenue/101 Pedestrian Overcrossing Project, 100% Plans, Specifications, and Estimate
Recommendation: Adopt a resolution approving the Plans, Specifications, and Estimate for the University Avenue/101 Pedestrian Overcrossing Project (“Project”) and authorize the City Manager to advertise the Project to solicit bids for the construction phase.
4. Minimum Purchase Transfer from the City of Mountain View Recommendation: Adopt a resolution approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto.
5. Women's History and Culture Month Proclamation
Recommendation: Present the proclamation for Women's History and Culture Month.
6. City Attorney Recruitment and Process Development
Recommendation: Direct staff to authorize CPS HR to support City Attorney recruitment and to work with the Mayor and Vice Mayor to develop next steps.
4. CLOSED SESSION
1. GC 54956.9 Conference with Legal Counsel – Anticipated Litigation: Significant exposure to litigation pursuant to paragraphs (2) and (3) of subdivision (d) of Section 54956.9: (2 potential cases)
A. PUBLIC COMMENT ON CLOSED SESSION ITEMS
B. ADJOURNMENT INTO CLOSED SESSION
C. RECONVENE INTO OPEN SESSION
D. REPORT OUT OF CLOSED SESSION
5. PUBLIC COMMENT
Members of the public wishing to address the City Council on items not listed on the agenda may do so under this item. Each speaker is limited to two minutes. The Mayor has the discretion to adjust speaking times. 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.
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).
6. INFORMATIONAL REPORTS
1. EPA Draft Climate Action Plan CAP 2030
Recommendation: Receive and File
7. SPECIAL PRESENTATIONS
8. PUBLIC HEARINGS
East Palo Alto City Council March 1, 2022 Agenda Page 3 of 3
1. Introduction of East Palo Alto Opportunity to Purchase Act ("EPA OPA") Ordinance Recommendation: Waive the first reading and introduce an Ordinance titled “East Palo Alto Opportunity to Purchase Act” (“EPA OPA”), adding Chapter 14.26 to the East Palo Alto Municipal Code.
9. POLICY AND ACTION
1. Mid-year Budget Amendment FY21-22
Recommendation: Adopt a Resolution approving:
1. Amendments to the Fiscal Year (FY) 2021-22 Budget
2. Federal Community Project Funding Requests (Earmarks) Recommendation: Receive informational report on Community Project Funding requests.
3. COVID-19 Vaccination Program Regular Update
Recommendation: Discuss the COVID-19 vaccination program update and provide direction to staff.
10. COUNCIL REPORTS
11. ADJOURNMENT
This AGENDA is posted in accordance with Government Code Section 54954.2(a) This Notice of Availability of Public Records: All public records relating to an open session item which are not exempt from disclosure pursuant to the Public Records Act, that are distributed to the majority of the City Council will be available for public inspection at the City Clerk’s Office, 2415 University Avenue, East Palo Alto, CA at the same time that the public records are distributed or made available to the City Council. Such documents may also be available on the East Palo Alto website www.cityofepa.org subject to staff’s ability to post the documents prior to the meeting. Information may be obtained by calling (650) 853-3100.
The City Council meeting packet may be reviewed by the public in the Library or the City Clerk's Office. Any writings or documents pertaining to an open session item provided to a majority of the City Council less than 72 hours prior to the meeting, shall be made available for public inspection at the front counter at the City Clerk's Office, 2ND Floor, City Hall, 2415 University Avenue, East Palo Alto, California 94303 during normal business hours.
Information distributed to the Council at the Council meeting becomes part of the public record. A copy of written material, pictures, etc. should be provided for this purpose.
East Palo Alto City Council Chambers is ADA compliant. Requests for disability related modifications or accommodations, aids or services may be made by a person with a disability to the City Clerk's office at (650) 853-3127 no less than 72 hours prior to the meeting as required by Section 202 of the Americans with Disabilities Act of 1990 and the federal rules and regulations adopted in implementation thereof.
DECLARATION OF POSTING
This Notice is posted in accordance with Government Code §54954.2(a) or §54956. Members of the public can view electronic agendas and staff reports by accessing the City website. Under penalty of perjury, this Agenda was posted to the public at least 72 hours prior to the meeting.
POSTED: February 25, 2022
ATTEST:
James Colin
Acting City Clerk
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: James Colin, Executive Assistant
SUBJECT: Minutes of the September 7, 2021 Regular Meeting Recommendation
Adopt the minutes of the September 7, 2021- November 2, 2021 Meetings Background
The City Council will consider adopting the minutes of the September 7, 2021- November 2, 2021 Meetings.
Attachments
1. Draft Minutes 9-7-2021
2. Draft Minutes 9-14-2021
3. Draft Minutes 9-21-2021
4. Draft Minutes 9-28-2021
5. Draft Minutes 10-2-2021
6. Draft Minutes 10-5-2021
7. Draft Minutes 10-19-2021
8. Draft Minutes 11-1-2021
9. Draft Minutes 11-2-2021
3.1 Packet Pg. 4
East Palo Alto City Council September 7, 2021 Minutes Page 1 of 5
EAST PALO ALTO CITY COUNCIL
REGULAR MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
1. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Mayor Carlos Romero at 6:30 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Present
Ruben Abrica Vice Mayor Present
Lisa Gauthier Councilor Present
Antonio Lopez Councilor Present
Regina Wallace-Jones Councilor Absent
2. APPROVAL OF THE AGENDA
RESULT: APPROVE [3 TO 1]
MOTION BY:
SECOND:
AYES: Romero, Abrica, Gauthier
NAYS: Lopez
ABSENT: Wallace-Jones
3. CLOSED SESSION
City Attorney reported that no action was taken.
A. PUBLIC COMMENT ON CLOSED SESSION ITEMS
B. ADJOURNMENT INTO CLOSED SESSION
C. RECONVENE INTO OPEN SESSION
D. REPORT OUT OF CLOSED SESSION
4. PUBLIC COMMENT
(Team Member) with YCS re: info on event.
Lee & Anna re: Palo Mobile Estates
Eric Baker re: Palo Mobile Estates
Jason Taracone re: Palo Mobile Estates legal
Tim re: Palo Mobile Estates
Mora Ommen YCS re: thanking for National Day of Service and vaccines Joyce Talawagger re: Palo Mobile Estates
Mr. Loretta re: Palo Mobile Estates
Jeff Beam re: Palo Mobile Estates
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Attachment: Draft Minutes 9-7-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 7, 2021 Minutes Page 2 of 5 Romero: Would like staff & council to look at letters, rent certification, etc. and look at solution to protect the tenants. Would like this on ‘fast track.’
5. COUNCIL PRESENTATIONS
6. SUCCESSOR AGENCY CONSENT
Presentation by Brenda Olwin Motion: Abrica 2nd: Gauthier. Motion passes unanimously.
1. Approval of San Mateo Community College District Fiscal Year 2021-22 Obligation
7. APPROVAL OF CONSENT CALENDAR
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
AYES: Romero, Abrica, Gauthier, Lopez
ABSENT: Wallace-Jones
1. Latino/a Culture & History Month
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
2. Proclamation Honoring Irene Camarena for Her Years of Service to the City RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
3. Consideration of Gift Acceptance of Outdoor Fitness Equipment for Jack Farrell Park
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
4. Ratify the purchase of software and software licensing services from Trace3 formerly known as Groupware Technology in the amount of $8,139.32. Authorize additional purchases in an amount not to exceed $36,000 and wave the formal bid procedures.
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
5. Martin Luther King (MLK) Park Agreement with Verde Design RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
6. Agreement with Wellness Solutions for East Palo Alto Police Department’s Health and Wellness
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Attachment: Draft Minutes 9-7-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 7, 2021 Minutes Page 3 of 5 RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
7. Agreement with CONCERN an Employee Assistance Program (EAP) for East Palo Alto Employees
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
8. Approval of the Terms of a Tentative Agreement with the East Palo Alto Management Employees Association (MEA/IFPTE Local 21) and Successor MOU RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
9. Contract with EK Health Transforming Managed Care To Provide Public Sector Ergonomic Services.
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
10. Approve the Job Classification and Compensation Schedule for Part-time Racial and Identity Profiling Act (RIPA) Management Analyst I
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
11. Agreement with MRG, LLC Consulting Services
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
12. Monthly Cash Report for July 2021
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
13. FY 2020-21 Fourth Quarter Treasury Report
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
14. Purchase of a Police Vehicle and Installation of Emergency / Communications Equipment
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Attachment: Draft Minutes 9-7-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 7, 2021 Minutes Page 4 of 5 RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
15. Engaging Youth Community Service to Distribute Gift Cards to Encourage Vaccination
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
16. Fiscal Year 2020-21 Limited Budget Amendments
RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
17. Intelligent Transit Signal Priority Project Memorandum of Understanding RESULT: APPROVE [UNANIMOUS]
MOTION BY:
SECOND:
8. ORAL REPORTS
1. Staff Reports
i. Introduction of new Finance Director, Tomohito Oku
2. City Council Reports
9. INFORMATIONAL REPORTS
10. SPECIAL PRESENTATIONS
1. Veolia Presentation to Discuss Transition to Monthly Billing Transition to Monthly Billing starting Oct 1st with presentation by Richard Perez of Veolia.
Will agendize.
2. Seamless Transit Overview
The TUF program in Canopy presentation by Juanita Ibarra.
3. Canopy's Teen Urban Foresters Program (TUF)
Ian Griffith with Seamless Bay Area transit systems going over the initiatives.
11. PUBLIC HEARINGS - NONE
12. POLICY AND ACTION
1. Fiscal Year 2021-22 Limited Budget Amendments – American Rescue Act Plan Funding and Pandemic Emergency Response
Fiscal Year 2021-22 Limited Budget Amendments: presentation by Tomo. Motion: Lopez. 2 nd: Gauthier. Motion passes unanimously.
2. Agenda Setting Process
Agenda Setting Process: Presentation by Fontes. Romero tasks Fontes to get more solutions. Lopez, too. Agendize. No action.
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Attachment: Draft Minutes 9-7-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 7, 2021 Minutes Page 5 of 5
3. COVID-19 Vaccination Program Regular Update
COVID-19 Vaccination Program Regular Update: presentation by City Manager Jaime M.
Fontes.
13. ADJOURNMENT
The meeting was adjourned at 11:50 p.m.
3.1.a
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Attachment: Draft Minutes 9-7-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 14, 2021 Minutes Page 1 of 2
EAST PALO ALTO CITY COUNCIL
SPECIAL MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
1. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Mayor Carlos Romero at 6:31 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Remote
Ruben Abrica Vice Mayor Remote
Lisa Gauthier Councilor Remote
Antonio Lopez Councilor Remote
Regina Wallace-Jones Councilor Remote
2. APPROVALOF THE AGENDA
Motion: Lisa Guathier
Seconded by: Ruben Abrica
3. PUBLIC COMMENT ON CLOSED SESSION ITEMS
Public Comment
Jason Tarricone, Housing Attorney Palo Mobile Estates
4. ADJOURNMENT INTO CLOSED SESSION
5. CITY COUNCIL TO RECONVENE INTO OPEN SESSION
6. REPORT OUT OF CLOSED SESSION
Council discussed and approved legation on one case.
7. POLICY AND ACTION
Patrick Heisinger provided a report.
Public Speakers
Kelly
Lee and Anna
Tim
Ms. James Guillen
Robert Allen Fisk
1. Update on the Palo Mobile Estates Conversion Process Legal Council will relay decision to Palo Mobil Estates on delay of: choosing three neutral CPAs.
3.1.b
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Attachment: Draft Minutes 9-14-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 14, 2021 Minutes Page 2 of 2 RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
AYES: Romero, Abrica, Lopez, Wallace-Jones
ABSENT: Gauthier
8. ADJOURNMENT
The meeting was adjourned at 8:34:25 PM
3.1.b
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Attachment: Draft Minutes 9-14-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 21, 2021 Minutes Page 1 of 3
EAST PALO ALTO CITY COUNCIL
REGULAR MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
1. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Mayor Carlos Romero at 6:30 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Remote
Ruben Abrica Vice Mayor Absent
Lisa Gauthier Councilor Remote
Antonio Lopez Councilor Remote
Regina Wallace-Jones Councilor Late
2. APPROVAL OF THE AGENDA
Move informational reports to after closed session
Remove informational report place on following meeting.
Motion: Romero
Second: Gauthier
Motion passes unanimously
3. APPROVAL OF CONSENT CALENDAR
Motion: Gauthier
Second: Lopez
Motion passes unanimously
1. Calwest Fourth Amendment - Provide Additional Services and Emergency Repair
2. Authorization to apply for the 2021 Measure A and Measure W Highway Program Grant
3. Extension of Planning Entitlements and Building Permits due to the COVID-19 pandemic
4. Response to San Mateo County Civil Grand Jury Report: “Building greater trust between the community & law enforcement via the Racial and Identity Profiling Act”
4. CLOSED SESSION
Rafael Alvarado City Attorney reported that the council took no reportable action.
A. PUBLIC COMMENT ON CLOSED SESSION ITEMS
B. ADJOURNMENT INTO CLOSED SESSION
C. RECONVENE INTO OPEN SESSION
D. REPORT OUT OF CLOSED SESSION
5. INFORMATIONAL REPORTS
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Attachment: Draft Minutes 9-21-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 21, 2021 Minutes Page 2 of 3
1. Capital Improvement Program Update - Communication Strategy Around Projects Humza Javed Provided a report
Q&A with Council & City Mgr.
Danita Churchill Provided public comment.
2. Informational Report on operations between Senior Center Inc. (SCI) and the City of East Palo Alto.
Item moved to following Council Meeting.
3. Council Administrative Support Approaches
City Manager provided report.
Council would like to agendize.
6. PUBLIC COMMENT
Letti, resident since 1989 provided comment.
Gail Wilkerson provided comment.
7. ORAL REPORTS
1. Staff Reports
2. City Council Reports
8. SPECIAL PRESENTATIONS
9. PUBLIC HEARINGS
Batool Zaro provided report.
1. Introduction of the Backflow Prevention and Cross-Connection Control Ordinance RESULT: ADOPT [UNANIMOUS]
MOTION BY: Gauthier
SECOND: Wallace-Jones
AYES: Romero, Gauthier, Lopez, Wallace-Jones
ABSENT: Abrica
10. POLICY AND ACTION
1. Reserve Management Policy
Brenda Olwin provided a report.
Adjustment at 85%
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Gauthier
SECOND: Wallace-Jones
AYES: Romero, Gauthier, Lopez, Wallace-Jones
ABSENT: Abrica
2. COVID-19 Vaccination Program Regular Update
City Manager Jaime M. Fontes provided a report.
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Attachment: Draft Minutes 9-21-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 21, 2021 Minutes Page 3 of 3 RESULT: RECEIVED AND FILED [UNANIMOUS]
MOTION BY: Romero
SECOND: Gauthier
AYES: Romero, Gauthier, Lopez, Wallace-Jones
ABSENT: Abrica
11. COUNCIL PRESENTATIONS
Council members Wallace Jones, Gauthier, Lopez and Mayor Romero provided an update.
12. ADJOURNMENT
The meeting was adjourned at 9:48:20 PM.
Mayor
ATTEST:
City Clerk
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Attachment: Draft Minutes 9-21-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 28, 2021 Minutes Page 1 of 2
EAST PALO ALTO CITY COUNCIL
SPECIAL MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
I. Call to Order
The meeting was called to order by Mayor Carlos Romero at 6:00 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Present
Ruben Abrica Vice Mayor Present
Lisa Gauthier Councilor Present
Antonio Lopez Councilor Present
Regina Wallace-Jones Councilor Present 6:08 PM
II. APPROVAL OF THE AGENDA
Motion: Regina Wallace-Jones
Second: Lisa Gauthier
Motion: Fisk
Second: Mashack
Motion Passes
III. STAFF REPORTS
Patrick Heisinger presented
Matt Raimi from Rami + Associates provided a presentation Michelle Hunt
Public Comment:
- Juan Estrada
- Christopher Kao
- Danita Churchill
- Domingo Huerta
- Gale Moorer
- Linda Mandolini
- Alok Gupta
- Patricia Lopez
- Court Skinner
- Mark Dinan
- Steve Bisset
- Edwin Magana-Lopez
- Blair Volckmann
3.1.d
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Attachment: Draft Minutes 9-28-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council September 28, 2021 Minutes Page 2 of 2 - Millie McKean
-Alice Kaufman
- Gita Dev
- Kevin Keating
Public Comment 9:05 PM:
- Alicia McKean
- Zaineb Qazwini
- Patricia Lopez
- Gale Moorer
- Danita Churchill
- Domingo Huerta
- Adrienne Bryant
- Alice Kaufman
- Camellia P.
1. Actions Related to the Ravenswood Business District Specific Plan Update IV. ADJOURNMENT
The meeting was adjourned at 10:00:12 PM
Mayor
ATTEST:
City Clerk
3.1.d
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Attachment: Draft Minutes 9-28-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 2, 2021 Minutes Page 1 of 1
EAST PALO ALTO CITY COUNCIL
SPECIAL MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
1. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Carlos Romero at 6:00 PM Attendee Name Title Status Arrived
Carlos Romero Mayor Remote
Ruben Abrica Vice Mayor Remote
Lisa Gauthier Councilor Remote
Antonio Lopez Councilor Late 8:35 PM
Regina Wallace-Jones Councilor Late 8:43 PM
2. APPROVAL OF THE AGENDA
Motion: Lisa Gauthier
Second: Ruben Abrica
RWJ: Absent
1. AB 361 Authority To Continue Virtual Public Meetings RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
AYES: Romero, Abrica, Gauthier, Lopez
ABSENT: Wallace-Jones
3. FACILITATOR PRESENTATION
Patricia Francisco provided a presentation.
Gale Moorer and Adrienne Bryant provided public comment.
4. PUBLIC COMMENT
5. ADJOURNMENT
The meeting was adjourned at 11:59:53 PM
Mayor
ATTEST:
City Clerk
3.1.e
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Attachment: Draft Minutes 10-2-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 5, 2021 Minutes Page 1 of 3
EAST PALO ALTO CITY COUNCIL
REGULAR MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
1. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Carlos Romero at 6:30 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Present
Ruben Abrica Vice Mayor Present
Lisa Gauthier Councilor Late
Antonio Lopez Councilor Present
Regina Wallace-Jones Councilor Present
2. APPROVAL OF THE AGENDA
RESULT: ADOPT [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
AYES: Romero, Abrica, Lopez, Wallace-Jones
ABSENT: Gauthier
3. APPROVAL OF CONSENT CALENDAR
RESULT: ADOPT [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
AYES: Romero, Abrica, Lopez, Wallace-Jones
ABSENT: Gauthier
1. Monthly Cash Report for August 2021
RESULT: ADOPT [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
2. City’s Lease of 219 Demeter Street for Police Department Activities RESULT: ADOPT [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
3. Proposed Increase to City's Local Minimum Wage by the Consumer Price Index RESULT: ADOPT [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
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Attachment: Draft Minutes 10-5-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 5, 2021 Minutes Page 2 of 3
4. Award Enterprise Resource Planning Financial Software and Services to Caselle RESULT: ADOPT [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
5. Insurance Process and Requirements Review
RESULT: ADOPT [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
6. Proclamation designates the 2nd week of October as Code Enforcement Officer Appreciation week
RESULT: ADOPT [UNANIMOUS]
MOTION BY: Romero
SECOND: Gauthier
4. CLOSED SESSION
A. PUBLIC COMMENT ON CLOSED SESSION ITEMS
B. ADJOURNMENT INTO CLOSED SESSION
C. RECONVENE INTO OPEN SESSION
D. REPORT OUT OF CLOSED SESSION
Report out from City Attorney Rafael E. Alvarado: no reportable action.
5. PUBLIC COMMENT
Court Skinner
Liz Brimhall
Michael Mashack
Bridget Grant
6. ORAL REPORTS
Jeff Liu provided a report.
1. Staff Reports
7. STAFF INFORMATIONAL REPORTS
Azalea Renfield provided report.
Speakers: Mrs. Grant and Earl Robinson (president of senior center)
1. Senior Center Inc./ City Report: Informational Report RESULT: RECEIVED AND FILED [UNANIMOUS]
MOTION BY: Romero
SECOND: Abrica
AYES: Romero, Abrica, Gauthier, Lopez, Wallace-Jones
8. SPECIAL PRESENTATIONS - NONE
9. PUBLIC HEARINGS - NONE
10. POLICY AND ACTION
1. Woodland Park Euclid Improvements Project Affordable Housing Proposal Presenters
Patrick Heisinger with Amy Chen
Mike Kramer with Sandhill
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Attachment: Draft Minutes 10-5-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 5, 2021 Minutes Page 3 of 3 Andea Osgood with Ian Housing
Public Speakers:
Letty Arroyo (for Mr. Martinez)
Laudia Rubio
James Gomez
Teresa Morales
Ofelia Bello
Mariesla Ramos
Gale Moore
Natalia Ferrera
Karla Facundo
Q Smith
Danita Churchill
Shawna O'Heva
Comment from Mayor and City Manager on lack of translation and set up Study Session
2. City Council Direction on a Tenant Opportunity to Purchase Act/Community Opportunity to Purchase Act (TOPA/COPA)
Karen Camacho, Rachel Horst and Victor Ramirez provided presentation and comment.
Public Speakers:
Gale Moorer,
Shanna Uhila,
Laura Rubio
Ofelia Bello,
3. COVID-19 Vaccination Program Regular Update
Jaime Fontes, City Manager provided report.
11. COUNCIL REPORTS
12. ADJOURNMENT
The meeting was adjourned at 12:00:48 AM
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Attachment: Draft Minutes 10-5-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 19, 2021 Minutes Page 1 of 4
EAST PALO ALTO CITY COUNCIL
REGULAR MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
1. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Mayor Carlos Romero at 6:30 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Remote
Ruben Abrica Vice Mayor Remote
Lisa Gauthier Councilor Remote
Antonio Lopez Councilor Remote
Regina Wallace-Jones Councilor Remote
2. APPROVAL OF THE AGENDA
RESULT: ADOPT [UNANIMOUS]
MOTION BY: Gauthier
SECOND: Wallace-Jones
AYES: Romero, Abrica, Gauthier, Lopez, Wallace-Jones
3. APPROVAL OF CONSENT CALENDAR
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
AYES: Romero, Abrica, Gauthier, Lopez, Wallace-Jones
1. Ratifying Purchases and Authorizing New Purchases from Comcast RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
2. Appropriation of Chan Zuckerberg Initiative Grant Funds for 2021 Fall Park Activation
Marie McKenzie, Azalea Renfield and Maurice Baker provided clarification.
RWJ: Amend motion for $8000 limit.
Public Speakers
Danita Churchill
Michael Mishak
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Attachment: Draft Minutes 10-19-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 19, 2021 Minutes Page 2 of 4 RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
3. Quarterly COVID-19 Emergency Reporting
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
4. Agreement with San Francisco Public Utility Commission for the O’Brien Turnout Regina Wallace Jones: Concern about quality of document.
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Gauthier
SECOND: Wallace-Jones
5. Actions Related to CalHome Grant Program & Agreement with EPACANDO for CalHome Program Administration
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
6. Approval of the Guidelines and Qualifying Criteria for the Deferred Gap Loans to Palo Mobile Estates Residents
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
7. East Palo Alto Razorbacks Rugby Club Proclamation
Video tape shown: three national championships.
Public Speaker
Gale Wilkerson
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Gauthier
SECOND: Abrica
8. Adoption of the Backflow Prevention and Cross-Connection Control Ordinance RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
4. CLOSED SESSION
A. PUBLIC COMMENT ON CLOSED SESSION ITEMS
B. ADJOURNMENT INTO CLOSED SESSION
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Attachment: Draft Minutes 10-19-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 19, 2021 Minutes Page 3 of 4 C. RECONVENE INTO OPEN SESSION
D. REPORT OUT OF CLOSED SESSION
Marc Hynes reported out of closed session: no reportable action.
5. PUBLIC COMMENT
Public Speakers
- Justin Mates, Deputy County Mgr.
- Mora Oomen with YCS
6. ORAL REPORTS
None
1. Staff Reports
7. STAFF INFORMATIONAL REPORTS
8. SPECIAL PRESENTATIONS
Millie Tolleson from SamTrans provided presentation.
Danita Churchill provided public comment.
1. SamTrans Presentation
9. PUBLIC HEARINGS
10. POLICY AND ACTION
1. Update on Homeless Encampment at Bell Street Park
Presentation by Patrick Heisenger and Rachel Forest
Council discussion on 'law of land' citing City of Boise case.
Gail Wilkerson provided public comment.
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Gauthier
AYES: Romero, Abrica, Gauthier, Lopez, Wallace-Jones
2. East Palo Alto Career Center and Technical Advisory Committee Structure Presentation by Patrick Heisinger
Public Speakers
- Danita Churchill
- Michael Mashack
- Barrie Hathaway
- Frank Luna
- Lorena Solorio
3. City Council’s Priority Setting Process for FY 2022-2023 Patrick Heisinger, Assistant City Manager presented.
4. COVID-19 Vaccination Program Regular Update
Jaime M. Fontes, City Manager presented.
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Attachment: Draft Minutes 10-19-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council October 19, 2021 Minutes Page 4 of 4 Ambassador program: Gift Card incentive for vaccinations
11. COUNCIL REPORTS
Councilmember Wallace-Jones re: Palo Mobil Estates and Running-Mead Gardens meeting on housing
Councilmember Lopez learning about Packard at meeting.
12. ADJOURNMENT
The meeting was adjourned at 11:34:32 PM
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Attachment: Draft Minutes 10-19-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council November 1, 2021 Minutes Page 1 of 2
EAST PALO ALTO CITY COUNCIL
STUDY SESSION MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
I. Call to Order
The meeting was called to order by Mayor Carlos Romero at 6:04 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Present
Ruben Abrica Vice Mayor Present
Lisa Gauthier Councilor Absent
Antonio Lopez Councilor Present
Regina Wallace-Jones Councilor Present
II. Approval of the Agenda
Motion: Ruben Abrica
Second: Regina Wallace Jones
Vote: CR, RA, RWJ unanimously
III. CONSENT
1. AB 361 Findings to Continue Virtual Public Meetings for the City Council and City Advisory Bodies
Continue virtual public meetings
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Abrica
SECOND: Wallace-Jones
AYES: Romero, Abrica, Wallace-Jones
ABSENT: Gauthier
AWAY: Lopez
IV. Staff Reports
Introduction of two items by Amy Chen
1. Measure HH Study Session
Eddie Ahn provided a presentation. Patrick Heisinger provided additional presentation.
Public Comment:
Stewart Hyland
Gail Wilkerson
Owen Byrd
Adrienne Bryant
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Attachment: Draft Minutes 11-1-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council November 1, 2021 Minutes Page 2 of 2 (Slight recess)
2. First Source Hiring
Patrick Heisinger provided a presentation
Council discussion.
Public Speakers:
Jeff Poetsch
Adrienne Bryant
Gail Wilkerson
Q Smith
Patrick also presented recommendations for City Funded/Subsidized Projects and Private ones.
V. Adjournment
The meeting was adjourned at 9:25 p.m.
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Attachment: Draft Minutes 11-1-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council November 2, 2021 Minutes Page 1 of 4
EAST PALO ALTO CITY COUNCIL
REGULAR MEETING MINUTES
EPA Government Center
2415 University Ave, First Floor – City Council Chamber East Palo Alto, CA 94303
1. CALL TO ORDER AND ROLL CALL
The meeting was called to order by Mayor Carlos Romero at 6:30 p.m.
Attendee Name Title Status Arrived
Carlos Romero Mayor Present
Ruben Abrica Vice Mayor Present
Lisa Gauthier Councilor Absent
Antonio Lopez Councilor Late 6:36 PM
Regina Wallace-Jones Councilor Present
2. APPROVAL OF THE AGENDA
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Romero
SECOND: Abrica
AYES: Romero, Abrica, Wallace-Jones
ABSENT: Gauthier
AWAY: Lopez
3. APPROVAL OF CONSENT CALENDAR
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
AYES: Romero, Abrica, Wallace-Jones
ABSENT: Gauthier
AWAY: Lopez
1. Regional Early Action Planning Grant Sub-Allocation Agreement with Association of Bay Area Governments/Metropolitan Transportation Commission (ABAG/MTC) RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
2. CSG Amendment #1 - Addison Avenue Green Street
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
3. Approval of the Terms of a Tentative Agreement and Memorandum of Understanding with the Police Officers’ Association (POA)
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Attachment: Draft Minutes 11-2-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council November 2, 2021 Minutes Page 2 of 4 RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
4. City Council Consideration of an Agreement for Grant Writing Services RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
5. FY 2021-22 First Quarter Treasury Report
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
6. City’s Response to the San Mateo County’s Grand Jury Report: "California's Ground Zero for Sea Level Rise"
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
7. Veterans Day Proclamation
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
8. Interim Strategy for Interpretation of Public Meetings RESULT: APPROVE [UNANIMOUS]
MOTION BY: Wallace-Jones
SECOND: Abrica
4. CLOSED SESSION
A. PUBLIC COMMENT ON CLOSED SESSION ITEMS
B. ADJOURNMENT INTO CLOSED SESSION
C. RECONVENE INTO OPEN SESSION
D. REPORT OUT OF CLOSED SESSION
No reportable action on both closed session items.
5. PUBLIC COMMENT
Michele Rodriguez with SF Airport Round Table re: noise reduction. Would like to present in future meeting. (agendize)
Gail Wilkerson
Andrew
6. INFORMATIONAL REPORTS
Jeff Liu provided an informational report and asking for public feedback.
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Attachment: Draft Minutes 11-2-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council November 2, 2021 Minutes Page 3 of 4
1. Runnymede Gardens Update
Jeff Liu, Interim Police Chief gave update
Councilmember Wallace-Jones and Vice Mayor Abrica gave additional feedback.
7. SPECIAL PRESENTATIONS-NONE
8. PUBLIC HEARINGS
Humza Javed and TJ Carter with ReThink Waste gave presentation Council discussion.
1. Implementation of SB1383 Short-Lived Climate Pollutants: Organic Waste Methane Emissions Reductions
Vote clarification by Council: two 1832 and 2.84 ordinances and two resolutions. A total of four actions.
RESULT: APPROVE [UNANIMOUS]
MOTION BY: Lopez
SECOND: Abrica
AYES: Romero, Abrica, Lopez, Wallace-Jones
ABSENT: Gauthier
9. POLICY AND ACTION
1. East Palo Alto Career Center’s Technical Advisory Committee Patrick Heisinger gave presentation.
Public Comment:
- Barrie Hathaway
- Michael Mashack
Vote to accept option 2 of the Policy and Action Item.
RESULT: APPROVE [3 TO 1]
MOTION BY: Lopez
SECOND: Abrica
AYES: Romero, Abrica, Lopez
NAYS: Wallace-Jones
ABSENT: Gauthier
2. COVID-19 Vaccination Program Regular Update
Report provided by City Manager, Jaime M. Fontes.
RESULT: RECEIVED AND FILED [UNANIMOUS]
MOTION BY: Romero
SECOND: Abrica
AYES: Romero, Abrica, Lopez, Wallace-Jones
ABSENT: Gauthier
10. COUNCIL REPORTS
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Attachment: Draft Minutes 11-2-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings) East Palo Alto City Council November 2, 2021 Minutes Page 4 of 4 Councilman Lopez update on re-districting in a couple of weeks and office hours 6-7.
11. ADJOURNMENT
The meeting was adjourned at 8:49 p.m.
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Attachment: Draft Minutes 11-2-2021 (2128 : Minutes of the September 7, 2021- Novermber 2, 2021 Meetings)
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Jay Farr, Maintenance Division Manager
Kamal Fallaha, Public Works Director
SUBJECT: Contract Extension McNabb Construction
Recommendation
Adopt a resolution authorizing the City Manager to Extend the contract with McNabb Construction, Inc, dba, DK Environmental for Five (5) years with two one year extensions for an amount not-to-exceed $34,916. Approve a budget in the amount of $9,800 annually for the period of this contract to apply an approved herbicide. Waive the bidding requirements due to the special circumstances.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 4: Improve Public Facilities and Infrastructure Background
On July 3, 2018, the City Council approved Resolution 4983 authorized the City Manager to award a 3-year contract to McNabb Construction, Inc., dba, DK Environmental located at 3527 Mt. Diablo Blvd. in Lafayette, CA for maintaining the Runnymede Drainage Channel for grading and removing overgrowing vegetations including Cattails in the channel that is blocking waterflow to the pump station. The current contract will expire in September 2022.
Analysis
The Runnymede drainage channel phases I&II projects has been completed. Storm water flows through this channel from Runnymede outfall to the pump station. The City is required to
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establish a long-term routine maintenance program for the Runnymede drainage channel that includes grading and removal of debris and submerged vegetations including Tule, Cattails (Typha Latifolia), and other vegetations blocking water flow.
Fiscal Impact
Associated contract funding of $44,716 will be allocated from National Pollution Discharge Elimination System (NPDES) Fund (203-71500-5325).
Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin board outside City Hall and making the agenda and report available at the City’s website.
Environmental
The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a “project” pursuant to 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant impact on the environment.
Attachments
1. 3-1-2022 Resolution - Runnymede Drainage Channel Contract Extension
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1 of 1
RESOLUTION NO. __________
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF EAST PALO ALTO
ADOPT A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXTEND THE
CONTRACT WITH MCNABB CONSTRUCTION, INC, DBA, DK ENVIRONMENTAL FOR FIVE (5) YEARS WITH TWO ONE YEAR EXTENSIONS AND WAIVE THE BIDDING REQUIREMENTS DUE TO THE SPECIAL CIRCUMSTANCES.
WHEREAS, implementation of ongoing maintenance program for the Runnymede Drainage Channel is required by the Reginal Water Quality Board and preventing flooding in local streets; and WHEREAS, on July 3, 2018 the City Council approved Resolution 4983 authorizing the City Manager to award a 3-year contract to McNabb Construction, Inc. for maintaining the Runnymede Drainage Channel by removing overgrown vegetations including Tule, Cattails (Typha Latifolia), and other vegetations blocking waterflow; and
WHEREAS, current contract will expire in September 2022; and WHEREAS, contract extension will be for a period of five year with two–one year extensions; and
WHEREAS, funds will be allocated from NPDES and available in the public works maintenance department budget.
(Signatures on next page)
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Attachment: 3-1-2022 Resolution - Runnymede Drainage Channel Contract Extension (2093 : Contract Extension McNabb Construction) 2 of 1
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY adopt a Resolution authorizing the City Manager to:
1) Extend the contract with McNabb construction Inc., dba, dk environmental for five (5) years with two one year extensions to manage and remove overgrown vegetations in the Runnymede drainage channel that is blocking waterflow to the pump station for an amount not-to-exceed $34,916. 2) Approve a budget in the amount of $9,800 annually for the period of this contract to apply an approved herbicide as needed to control any vegetation growth in the channel. 3) Waive the bidding requirements under section
2.84.070 of the Muni Code due to the special circumstances of having to remove vegetations in the drainage channel for storm water to flow to the pump station as quickly as possible to reduce the risk of flooding in the city.
PASSED AND ADOPTED this 1
st day of March 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Ruben Abrica, Mayor
ATTEST: APPROVED AS TO FORM:
, City Clerk , City Attorney
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Attachment: 3-1-2022 Resolution - Runnymede Drainage Channel Contract Extension (2093 : Contract Extension McNabb Construction)
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Humza Javed, City Engineer
Kamal Fallaha, Public Works Director
SUBJECT: University Avenue/101 Pedestrian Overcrossing Project, 100% Plans, Specifications, and Estimate
Recommendation
Adopt a resolution approving the Plans, Specifications, and Estimate for the University Avenue/101 Pedestrian Overcrossing Project (“Project”) and authorize the City Manager to advertise the Project to solicit bids for the construction phase.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 1: Enhance Public Safety and Emergency Preparedness Priority No. 2: Enhance Economic Vitality
Priority No. 4: Improve Public Facilities and Infrastructure Priority No. 6: Create a Healthy and Safe Community
Background
The University Avenue/101 Pedestrian Overcrossing Project (project) proposes to improve the connectivity for pedestrians and bicyclists as well as relieving traffic congestion for the motorists at the interchange. On September 2, 2014, the City Council adopted Resolution No. 4544 approving a contract with URS (now known as AECOM) in the amount of $924, 979 to perform design services related to the project. The project was environmentally cleared in November 2017.
The project would construct a 12-foot-wide Class I pedestrian and bicycle facility that includes a new pedestrian/bicycle overcrossing (POC) along the north side of the US 101/University Avenue overcrossing. The overcrossing would be a 4-span structure approximately 560 feet long. On the east side of the freeway, a Class I facility would be constructed from the south
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side of the northbound US 101/University Avenue loop off-ramp to the new structure. The facility would be constructed over a new embankment with side slopes of 4 to 1 or flatter. On the west side of the interchange, a 12-foot-wide Class I facility would be constructed from the structure to the northeast corner of the intersection of University Avenue and Woodland Avenue. The existing sidewalk would be converted to a landscaped buffer between the Class I facility and University Avenue. In order to minimize right-of-way impacts, the project proposes to narrow the southbound University Avenue left and right turn lanes at Woodland Avenue from 12 feet to 11 feet wide and reduce the minimum median width from 6 feet to 4 feet.
The northbound US 101 to southbound University Avenue loop off-ramp would be realigned to square up with University Avenue with a tighter radius-curve for pedestrian and bicyclist safety enhancement. Additionally, the project includes improvements to the southbound 101 off-ramp to improve traffic flow and reduce traffic conflicts.
On March 28, 2019, the City split the project into two separate construction packages based on feedback from the San Mateo County Transportation Authority in order manage the two separate scopes. The first package (Package 1) would construct the southbound US 101/University Avenue off-ramp widening and the northbound US 101/University Avenue loop off-ramp realignment, while the second contract (Package 2), would construct the pedestrian overcrossing and the Class 1 facility along the north side of University Avenue.
Analysis
Over the course of the last two years, City staff along with its consultant AECOM has been working on the following specific items: design changes based on updates to new seismic design standards; modifications to the northbound off-ramp next to the proposed north side of the overcrossing in order to reduce potential conflicts with pedestrians and bicyclists; addition of a new lane to the existing southbound off-ramp based on results from the traffic analysis to improve traffic flow; additional roadway reconstruction area; relocation of street lights; coordination of overcrossing alignment with University Circle, and traffic signal modifications.
The City worked with AECOM to submit an encroachment permit application package to Caltrans for Package 1 improvements which included the northbound loop off-ramp realignment and southbound ramp widening in April 2020. Additionally, the encroachment permit application for Package 2 was submitted to Caltrans in January 2022. Caltrans is in the process of reviewing the encroachment permit package. The final design package ready for bidding will include both packages.
The current tentative schedule for the project is as follows:
May 2022 Caltrans approve the encroachment permit
June 8, 2022 Advertise the project for construction bids July 6, 2022 Open Bids
July 19, 2022 City Council award of construction contract October 2022 Start of Construction
December 2023 Construction completion
Through May of 2022, staff will be working with the various funding agencies including Caltrans, County of San Mateo/Santa Clara, and Samtrans to complete all funding agreements, permits, and project approvals that are required to be completed prior to
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advertising the project for construction. This work has been underway with Caltrans for several months.
At its February 16, 2022 Public Works and Transportation Commission (PWTC) meeting, the PWTC recommended to the City Council, approval of the 100% Plans, specifications and Estimate package. The 100% plans are located at the following link:
<https://www.cityofepa.org/publicworks/project/university-avenue101-pedestrian-overcrossingproject> Fiscal Impact
The updated cost estimate is summarized as follows:
POC + Class I + N/B Off Ramp + S/B Off Ramp $10,900,000 10% Contingency $1,100,000
Design Services during Construction $480,000
Construction Management $1,800,000
Total Estimate: $14,300,000
Construction funds have been secured as follows:
Measure A San Mateo County Transportation Authority (TA) $4,892,500 Federal Earmark $771,000
Stanford Recreation Mitigation Grant $1,000,000
Measure W $5,700,000
LPP Discretionary funds $2,300,000
Total funding secured $14,663,500
Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin board outside City Hall and making the agenda and report available at the City’s website and at the San Mateo Co. Library located at 2415 University Avenue, East Palo Alto.
Environmental
This Project is cleared both CEQA and NEPA.
Attachments
1. Resolution
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Resolution No. XX-2022 1 of 2
RESOLUTION NO. XX – 2021
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF EAST PALO ALTO
APPROVING THE PLANS, SPECIFICATIONS, AND ESTIMATE FOR THE UNIVERSITY AVENUE/ 101 PEDESTRIAN OVERCROSSING PROJECT AND AUTHORIZING THE CITY MANAGER TO
ADVERTISE THE PROJECT TO SOLICIT BIDS FOR THE CONSTRUCTION PHASE WHEREAS, the University Avenue/101 Pedestrian Overcrossing Project (project) proposes to improve the connectivity for pedestrians and bicyclists as well as relieving traffic congestion for the motorists at the interchange; and
WHEREAS, the project began design in 2014 and it proposes to construct a 12-foot-wide Class I pedestrian and bicycle facility that includes a new pedestrian/bicycle overcrossing (POC) along the north side of the US 101/University Avenue overcrossing; and WHEREAS, the project also includes improvements to the northbound 101 off-ramp as well as the southbound 101 off-ramp to accommodate the POC as well as to improve traffic flow and reduce traffic conflicts; and
WHEREAS, the project was environmentally cleared in November 2017; and WHEREAS, the project is included in the City’s FY 2021-2022 Capital Budget that was adopted by the City Council at its regular meeting on September 15, 2020; and WHEREAS, construction funding for the project has been fully secured in the amount of $14,663,500 through various grant funding sources including Measure A, Federal Earmark, Stanford Recreation Mitigation, Measure W, and LPP Discretionary funds; and WHEREAS, at the February 16, 2022 meeting, the Public Works and Transportation Commission recommended City Council approval of the 100% plans, specifications, and estimate.
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY approves the plans, specifications, and estimate for the University Avenue/101 Pedestrian Overcrossing Project and authorizes the City Manager to advertise the project to solicit bids for the construction phase.
PASSED AND ADOPTED this 1
st day of March 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
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Attachment: Resolution (2122 : University Avenue/101 Pedestrian Overcrossing Project, 100% Plans, Specifications, and Estimate) Resolution No. XX
-20222 of 2
Ruben Abrica, Mayor
ATTEST: APPROVED AS TO FORM:
City Clerk Valerie J. Armento, Interim City Attorney
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Attachment: Resolution (2122 : University Avenue/101 Pedestrian Overcrossing Project, 100% Plans, Specifications, and Estimate)
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Batool Zaro, Assistant Civil Engineer
Kamal Fallaha, Public Works Director
SUBJECT: Minimum Purchase Transfer from the City of Mountain View Recommendation
Adopt a resolution approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 1: Enhance Public Safety and Emergency Preparedness Priority No. 2: Enhance Economic Vitality
Priority No. 4: Improve Public Facilities and Infrastructure Priority No. 6: Create a Healthy and Safe Community
Background
In June 2009, The City of East Palo Alto, entered into a Water Supply Agreement with the City and County of San Francisco (San Francisco) and Wholesale Customers in Alameda County, San Mateo County and Santa Clara County (WSA). The WSA establishes the terms by which the twenty-six Wholesale Customers purchase water from the San Francisco Regional Water System. The WSA builds upon the 1984 "Settlement Agreement and Master Water Sales Contract between the City and County of San Francisco and Certain Suburban Purchasers in San Mateo County, Santa Clara County and Alameda County." In September 2017, the Bay Area Water Supply and Conservation Agency (BAWSCA) and the Water Management Representatives (WMRs) of the BAWSCA member agencies began reviewing the issue of Minimum Purchase Quantities, as described in Section 3.07.C of the WSA, and discussing the creation of a process to transfer Minimum Purchase Quantities.
Throughout 2017 and 2018, the WMRs held multiple meetings during which the agencies
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currently subject to Minimum Purchase Quantity requirements and the other Wholesale Customers shared their interests and concerns regarding changes to the Minimum Purchase Quantity requirements and allowing transfers of Minimum Purchase Quantities.
In 2017, the City of Mountain View ("Mountain View") and the City of East Palo Alto ("East Palo Alto") were interested in transferring 1.0 million gallons per day ("MGD") of Mountain View's Minimum Purchase Quantity to East Palo Alto, however, at the time, there was no procedure in the WSA to effectuate such a transfer without amending the WSA. Therefore, the parties elected to execute a water rights transfer agreement by which East Palo Alto agreed to pay Mountain View $5 Million for the permanent transfer of all rights, title, interest to 1.0 MGD of Mountain View’s Individual Supply Guarantee (ISG) to East Palo Alto.
In 2019, the Wholesale Customers directed BAWSCA to draft a proposed amendment to the Amended and Restated WSA to provide a procedure for expedited and permanent transfers of Minimum Purchase Quantities that safeguards the financial and water supply interests of Wholesale Customers not participating in such transfers. In 2020, Mountain View and East Palo Alto began discussing a possible future transfer of a portion of Mountain View's Minimum Purchase Quantity to East Palo Alto.
The Councils of East Palo Alto and Mountain View each approved the conversion of the 1.0 MGD of Mountain View's ISG sold to East Palo Alto in 2017 into a transfer of up to 1.0 MGD of Mountain View's Minimum Purchase Quantity to East Palo Alto, in increments of 0.25 MGD, subject to the City Councils' approval of an agreement for each incremental transfer and the approval of the Wholesale Customers and San Francisco. East Palo Alto and Mountain View are authorized and prepared to execute a negotiated agreement memorializing a 0.25 MGD transfer of Mountain View's Minimum Purchase Quantity to East Palo Alto. At this meeting, the City Council considered and approved the "2021 Amended and Restated Water Supply Agreement Between the City and County of San Francisco and Wholesale Customers in Alameda County, San Mateo County, and Santa Clara County" ("2021 WSA") as amended to allow Wholesale Customers with ISGs to permanently transfer a portion of Minimum Purchase Quantity through an expedited procedure. In conjunction with consideration of the 2021 WSA, East Palo Alto and Mountain View propose the Wholesale Customers and San Francisco approve, in advance, the terms and conditions for converting up to 1.0 MGD of Mountain View's ISG purchased by East Palo Alto in 2017 into at transfer of 1.0 MGD of Mountain View's Minimum Purchase Quantity to East Palo Alto, in 0.25 MGD increments, if Mountain View and East Palo Alto mutually agree to such incremental transfers in the future and provided the conditions outlined below are met. Because the 2017 Mountain View/East Palo Alto ISG transfer predates the Minimum Purchase Amendment, the Mountain View/East Palo Alto Minimum Purchase Transfer must be accomplished separately from the adoption of the Minimum Purchase Amendment.
Proposed Amendment
The proposed amendment would provide advance approval for the conversion of up to 1.0 MGD of Mountain View's ISG, sold to East Palo Alto in 2017 into a transfer of up to 1.0 MGD of Mountain View's ISG plus up to 1.0 MGD of Mountain View’s Minimum Purchase Quantity to East Palo Alto, in 0.25 MGD increments, if all of the following terms and conditions are satisfied:
a. Mountain View will transfer up to 1.0 MGD of its Minimum Purchase Quantity to East
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Palo Alto, in increments of 0.25 MGD, subject to the Mountain View City Council's and the East Palo Alto City Council's approval of an agreement for each incremental transfer.
b. For each incremental transfer, a Temporary Modified Minimum Annual Purchase Quantity will be calculated for East Palo Alto that is equal to the City's five-year average water use from the SFPUC for the most recent non-drought years prior to the 2017 ISG purchase, plus the incremental transfer amount(s).
c. For each incremental transfer, Mountain View will maintain, and be responsible for paying any imputed sales for, its current Minimum Purchase requirement in effect at that time, as set forth in Attachment E of the WSA, including up to 1.0 MGD ISG transfer to East Palo Alto, until East Palo Alto's water use meets the Temporary Modified Minimum Annual Purchase Quantity for three consecutive years.
d. East Palo Alto will not be required to pay imputed sales associated with the Temporary Modified Minimum Annual Purchase Quantity for any incremental transfer of the 1.0 MGD of Mountain View's Minimum Purchase requirement.
e. For each incremental transfer, once East Palo Alto has met the Temporary Modified Minimum Annual Purchase Quantity for three consecutive years, the incremental portion of Mountain View's Minimum Purchase Quantity transferred to East Palo Alto will become East Palo Alto's Minimum Purchase Quantity, and Mountain View's Minimum Purchase Quantity will be reduced by an equivalent amount. East Palo Alto's new Minimum Purchase Quantity will be included in Attachment E and both cities' Individual Water Sales Contracts will be updated to reflect this transfer. f. With exception of the incremental transfers that are the subject of this resolution and the agreement between East Palo Alto and Mountain View described herein, any additional transfers of Minimum Purchase Quantity, either from another Wholesale Customer or from Mountain View in excess of the 1.0 MGD, are subject to Section 3.04 of the 2021 WSA.
Fiscal Impact
▪ The City will pay Mountain View $5M from the Water Capacity Fund for the transfer of water.
▪ The $5M cost of the water transfer is funded from the following sources:
▪ $1.53M pro rata shares from developers party to the Water Implementation Agreement;
▪ $2M Inter-fund Loan Agreement utilizing Silicon Valley Community Foundation gifted funds;
▪ $1M Reimbursement Agreement with Sobrato Organization; and, ▪ $470,000 Inter-fund Loan Agreement from City General Fund Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin outside City Hall and making the agenda and report available at the City’s website.
Environmental
3.4 Packet Pg. 42
The City prepared a Negative Declaration for the Water Transfer and released it for public comment on May 19, 2017. The City Council adopted the Negative Declaration on June 20, 2017.
Attachments
1. Resolution Approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto
2. Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View
3.4 Packet Pg. 43
RESOLUTION NO. XX -2022
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF EAST PALO ALTO
APPROVING A MINIMUM PURCHASE TRANSFER FROM THE CITY OF MOUNTAIN
VIEW TO THE CITY OF EAST PALO ALTO
WHEREAS, the City and County of San Francisco ("San Francisco") Public Utilities Commission ("SFPUC" or "Commission") operates the Regional Water System, which delivers water to water supply agencies in Alameda, San Mateo, and Santa Clara Counties (collectively, “the Parties”); and
WHEREAS, in April 2003, water supply agencies in Alameda, San Mateo and Santa Clara Counties (collectively, the "Wholesale Customers") established the Bay Area Water Supply and Conservation Agency ("BAWSCA"), as authorized by Water Code Section 81300 et seq.; and
WHEREAS, in November of 2018, San Francisco and the Wholesale Customers (the "Parties") entered into the Amended and Restated Water Supply Agreement ("WSA"); and
WHEREAS, the Parties have identified intra-system water transfers as one potential solution to long-term water reliability needs among the Wholesale Customers; and
WHEREAS, in 2017, the City of Mountain View ("Mountain View") and the City of East Palo Alto ("East Palo Alto") were interested in transferring 1.0 million gallons per day ("MGD") of Mountain View's Minimum Annual Purchase Quantity (“Minimum Purchase”) to East Palo Alto, however, at the time, there was no procedure in the WSA to effectuate such a transfer without amending the WSA; and WHEREAS, in 2017, Mountain View and East Palo Alto executed a water rights transfer agreement in which East Palo Alto agreed to pay Mountain View $5 Million for
3.4.a
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Attachment: Resolution Approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto (2119 : Minimum the permanent transfer of all rights, title, interest to 1.0 MGD of Mountain View’s Individual Supply Guarantee (ISG) to East Palo Alto; and WHEREAS, in August 2018, BAWSCA and San Francisco provided the Wholesale Customers a revised Attachment C to the Water Supply Agreement reflecting the updated ISG amounts for Mountain View and East Palo Alto, as a result of the 1.0 MGD transfer of ISG from Mountain View to East Palo Alto; and WHEREAS, Mountain View continues to be subject to a Minimum Purchase of
8.93 MGD and the financial obligation of paying for imputed sales for the portion of Minimum Purchase that it does not use; and
WHEREAS, in 2020, Mountain View and East Palo Alto began discussing a possible future transfer of a portion of Mountain View's Minimum Purchase to East Palo Alto; and
WHEREAS, on January 26, 2021, the SFPUC adopted the 2021 Amended and Restated Water Supply Agreement ("2021 WSA"), which includes a new procedure by which Wholesale Customers with ISGs may participate in permanent expedited transfers of a portion of Minimum Purchase and ISG, without creating new or different risks to the water supply and financial interests of Wholesale Customers not participating in such transfers; and
WHEREAS, the 2021 WSA has been or will be presented to the governing body of each Wholesale Customer, and if approved, will permit Wholesale Customers with an ISG to transfer and accept a portion of another Wholesale Customer’s Minimum Purchase, if certain requirements are satisfied; and
WHEREAS, on April 20, 2021, East Palo Alto approved the conversion of the 1.0 MGD of Mountain View's ISG sold to East Palo Alto in 2017 into a transfer of up to 1.0 MGD of Mountain View's Minimum Purchase to East Palo Alto, in increments of 0.25 MGD or other amount, subject to the City Council’s approval of an agreement for each incremental transfer and the approval of the Wholesale Customers and San Francisco; and
3.4.a
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Attachment: Resolution Approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto (2119 : Minimum WHEREAS, on June 8, 2021, Mountain View approved the conversion of the 1.0 MGD of Mountain View's ISG sold to East Palo Alto in 2017 into a transfer of up to 1.0 MGD of Mountain View's Minimum Purchase to East Palo Alto, in increments of 0.25 MGD, subject to the City Council’s approval of an agreement for each incremental transfer and the approval of the Wholesale Customers and San Francisco; and WHEREAS, East Palo Alto and Mountain View are authorized and prepared to execute a negotiated agreement memorializing the terms and conditions of a 0.25 MGD transfer of Mountain View's Minimum Purchase to East Palo Alto; and WHEREAS, as noted below, one of the conditions of the negotiated agreement between Mountain View and East Palo Alto is that, in exchange for the 0.25 MGD of Minimum Purchase transfer, Mountain View will provide East Palo Alto with an immediate Right-of-First Refusal for drought water transfers at the same volume as the Minimum Purchase transfer, pursuant to Appendix H of the 2021 WSA; and WHEREAS, in conjunction with consideration of the 2021 WSA, East Palo Alto and Mountain View propose the Wholesale Customers and San Francisco approve, in advance, the terms and conditions for converting up to 1.0 MGD of Mountain View's ISG purchased by East Palo Alto in 2017 into a transfer of 1.0 MGD of Mountain View's Minimum Purchase to East Palo Alto, in 0.25 MGD increments, if Mountain View and East Palo Alto mutually agree to such incremental transfers in the future and provided the conditions outlined below are met; and
WHEREAS, if up to 1.0 MGD of Mountain View's ISG purchased by East Palo Alto in 2017 is converted into a transfer of up to 1.0 MGD of Mountain View's Minimum Purchase to East Palo Alto, up to 1.0 MGD of Minimum Purchase, in 0.25 MGD increments, will be counted towards the total Minimum Purchase that may be transferred pursuant to Section 3.04.C.1 of the 2021 WSA; and WHEREAS, this parallel action continues to require the calculation of a Temporary Modified Minimum Annual Purchase Quantity, set out in Attachment E-1 in the 2021 WSA; however, the transferor, Mountain View, is responsible for the imputed
3.4.a
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Attachment: Resolution Approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto (2119 : Minimum sales associated with transfers to East Palo Alto up to 1.0 MGD, until the terms and conditions outlined below are satisfied; and
WHEREAS, in accordance with the water transfer provisions of the 2021 WSA, Mountain View and East Palo Alto will coordinate with San Francisco and BAWSCA to document Temporary Modified Minimum Annual Purchase Quantities to be included on Attachment E-1, transferred Minimum Annual Purchase Quantities to be included on Attachment E, when timely, and amendments to each cities' Individual Water Sales Contract with San Francisco.
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY finds as follows:
1. The City Council of The City of East Palo Alto approves, in advance, the conversion of up to 1.0 MGD of Mountain View's ISG, sold to East Palo Alto in 2017 into a transfer of 1.0 MGD of Mountain View's ISG plus up to 1.0 MGD of Mountain View’s Minimum Purchase to East Palo Alto, in 0.25 MGD increments, if all of the following terms and conditions are satisfied:
a. Mountain View will transfer up to 1.0 MGD of its Minimum Purchase to East Palo Alto, in increments of 0.25 MGD, subject to the Mountain View City Council's and the East Palo Alto City Council's approval of an agreement for each incremental transfer.
b. For each incremental transfer, a Temporary Modified Minimum Annual Purchase Quantity will be calculated for East Palo Alto that is equal to the City's five-year average water use from the SFPUC for the most recent non-drought years prior to the 2017 ISG purchase, plus the incremental transfer amount(s).
c. For each incremental transfer, Mountain View will maintain, and be responsible for paying any imputed sales for, its Minimum Purchase requirement in effect at that time, as set forth in Attachment E of the WSA, including up to 1.0 MGD ISG transfer to East Palo Alto, until
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Attachment: Resolution Approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto (2119 : Minimum East Palo Alto's water use meets the Temporary Modified Minimum Annual Purchase Quantity for three consecutive years.
d. East Palo Alto will not be required to pay imputed sales associated with the Temporary Modified Minimum Annual Purchase Quantity for any incremental transfer of the 1.0 MGD of Mountain View's Minimum Purchase requirement.
e. For each incremental transfer, once East Palo Alto has met the Temporary Modified Minimum Annual Purchase Quantity for three consecutive years, the incremental portion of Mountain View's Minimum Purchase transferred to East Palo Alto will become East Palo Alto's Minimum Purchase, and Mountain View's Minimum Purchase will be reduced by an equivalent amount. East Palo Alto's new Minimum Purchase will be included in Attachment E and both cities' Individual Water Sales Contracts will be updated to reflect this transfer. f. With exception of the incremental transfers that are the subject of this resolution and the agreement between East Palo Alto and Mountain View described herein, any additional transfers of Minimum Purchase, either from another Wholesale Customer or from Mountain View in excess of the 1.0 MGD, are subject to Section 3.04 of the 2021 WSA.
PASSED AND ADOPTED this 1st day of March 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
3.4.a
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Attachment: Resolution Approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto (2119 : Minimum Rubin Abrica, Mayor
ATTEST: APPROVED AS TO FORM:
City Clerk Valerie J. Armento, Interim City Attorney
3.4.a
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Attachment: Resolution Approving a Minimum Purchase Transfer from the City of Mountain View to the City of East Palo Alto (2119 : Minimum EF/1/PSD
703-08-24-21AG 1 of 8
MINIMUM WATER PURCHASE TRANSFER AGREEMENT
BETWEEN THE CITY OF EAST PALO ALTO
AND THE CITY OF MOUNTAIN VIEW
entered into on this ____ day of November 2021, by and between the CITY OF MOUNTAIN VIEW, a California charter city and municipal corporation, whose address is 500 Castro Street, P.O. Box 7540, Mountain View, California, 94039-7540 (hereinafter a municipal corporation, whose
address is 2415 University Avenue, Second Floor, East Palo Alto, California, 94303 in View and East Palo Alto hereinafter collectively
RECITALS
A. WHEREAS, Mountain View and East Palo Alto purchase drinking water from the San Francisco Regional Water System, under the terms of the Water Supply Agreement between the City and County of San Francisco and Wholesale Customers in Alameda County, San Mateo County, and Santa Clara County, adopted in 2009 and as amended Palo
, and Mountain
B. WHEREAS, in 2017, Mountain View transferred one (1.0) million gallons per one-time payment of Five Million Dollars ($5,000,000). At the time of the 2017 transfer, the Water Supply Agreement did not allow for transfers of Minimum Purchase among the Wholesale Customers, as defined below. Since that time, an amendment to the Water Supply Agreement has been negotiated that, if approved, will allow future combined transfers of Minimum Purchase and Supply Guarantee between Wholesale Customers that have Supply Guarantees
C. WHEREAS, in conjunction with consideration of the 2021 Amendment, Mountain View and East Palo Alto have proposed that the Parties to the Water Supply San
Mountain View to East Palo Alto into a Supply Guarantee transfer that includes a Minimum Purchase transfer of up to one (1.0) MGD, in twenty-five hundredths (0.25) D. WHEREAS, East Palo Alto and Mountain View have approved the Proposed Conversion and authorized their City Managers to negotiate and execute an agreement
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum EF/1/PSD
703-08-24-21AG 2 of 8
transferring twenty-five hundredths (0.25)
to East Palo Alto; in exchange, Mountain View will provide East Palo Alto with the right of first refusal for drought water transfers conducted, pursuant to Attachment H of the Water Supply Agreement, in the same volume of approved Minimum Purchase transfers.
These actions were approved by the East Palo Alto City Council on April 20, 2021 and by the Mountain View City Council on June 22, 2021; and
E. WHEREAS, this Agreement sets forth the terms and conditions negotiated between Mountain View and East Palo Alto for the Proposed Conversion and initial twenty-five hundredths (0.25) MGD Minimum Purchase transfer. Any future incremental Minimum Purchase transfers beyond twenty-five hundredths (0.25) MGD, up to one (1.0) MGD, will require approval by East Palo Alto and Mountain View, subject to any additional terms and conditions negotiated at that time in accordance with Article B, Section 4, of this Agreement. Nothing in this Agreement obligates East Palo Alto and/or Mountain View to enter into future additional incremental Minimum Purchase transfers; and
F. WHEREAS, in the event Mountain View engages in a transfer of Supply Guarantee and Minimum Purchase to East Palo Alto beyond the one (1.0) MGD contemplated in this Agreement, or any other transfer of Supply Guarantee and Minimum Purchase, the terms of the Water Supply Agreement will apply.
AGREEMENT
ARTICLE A. DEFINITIONS.
As used in this Agreement, the following terms have the following meanings:
1. Agreement refers to this Minimum Water Purchase Transfer Agreement, by and between East Palo Alto and Mountain View.
2. BAWSCA refers to the Bay Area Water Supply and Conservation Agency.
3. Imputed Sales
metered water purchases from San Francisco and below: (a) the Minimum Annual Purchase Quantity, as specified in Attachment E of the Water Supply Agreement; or (b) the Temporary Modified Minimum Annual Purchase Quantity, as specified in Attachment E-1 of the Water Supply Agreement.
4. Individual Supply Guarantee and Supply Guarantee refer to each Francisco, as shown in Attachment C of the Water Supply Agreement.
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum EF/1/PSD
703-08-24-21AG 3 of 8
5. Individual Water Sales Contract refers to the contract between each Wholesale Customer and San Francisco contemplated in Section 9.01 of the Water Supply Agreement.
6. MGD refers to an average flow rate measured in million gallons per day.
7. Minimum Annual Purchase Quantity and Minimum Purchase refer to the minimum amount of water that a Wholesale Customer agrees to purchase from San Francisco annually, as specified in Attachment E of the Water Supply Agreement.
8. San Francisco refers to the City and County of San Francisco.
9. Temporary Modified Minimum Annual Purchase Quantity and Temporary Minimum refer to the minimum amount of water that a Wholesale Customer agrees to purchase from San Francisco on a temporary basis, as specified in Attachment E-1 of the Water Supply Agreement.
10. Water Supply Agreement refers to the Water Supply Agreement between the City and County of San Francisco and Wholesale Customers in Alameda County, San Mateo County, and Santa Clara County, as may be amended from time to time.
11. Wholesale Customers means the twenty-six (26) water customers, identified in Section 1.02 of the Water Supply Agreement, who purchase water from San Francisco pursuant to the Water Supply Agreement.
ARTICLE B. GENERAL PROVISIONS.
1. Term. The terms of this Agreement are as follows:
a. Effectivity. This Agreement shall be effective upon approval by San Francisco and the Wholesale Customers representing at least two-thirds in number and seventy five percent (75%) of the quantity of water delivered by San Francisco to all Wholesale Customers during 2021 via resolutions adopted by the respective governing bodies.
b. Expiration. This Agreement shall expire concurrent with the Water Supply Agreement, which expires in 2034 unless extended by one (1) or both five (5) year extensions, authorized by Section 2.02.A and Section 2.02.B of the Water Supply Agreement. The term of this Agreement will not continue by virtue of renewal of the Water Supply Agreement pursuant to Section 2.02.C of the Water Supply Agreement unless a written amendment extending the term of this Agreement is agreed to by the Parties at that time and approved by San Francisco and the Wholesale Customers.
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum EF/1/PSD
703-08-24-21AG 4 of 8
2. Temporary Modified Minimum Annual Purchase Quantities. Upon effectivity of this Agreement, the Bay Area Water Supply and Conservation Agency average annual water purchase from San Francisco for the most recent nondrought years prior to the 2017 Individual Supply Guarantee transfer from Mountain View to East Palo Alto, plus increments of twenty-five hundredths (0.25) MGD as follows:
a. Tempora annual
water purchase from San Francisco for the most recent nondrought years prior to the 2017 Individual Supply Guarantee transfer, plus twenty-five hundredths (0.25) MGD incremental transfer): 1.840 MGD + 0.25 MGD = 2.09 MGD. b. Temporary Minimum No. 2 (prior Temporary Minimum, plus twentyfive hundredths (0.25) MGD incremental transfer): 2.09 MGD + 0.25 MGD = 2.340 MGD. c. Temporary Minimum No. 3 (prior Temporary Minimum, plus twentyfive hundredths (0.25) MGD incremental transfer): 2.340 MGD + 0.25 = 2.590 MGD. d. Temporary Minimum No. 4 (prior Temporary Minimum, plus twentyfive hundredths (0.25) MGD incremental transfer): 2.590 MGD + 0.25 MGD = 2.840 MGD.
The calculations listed in Subsections b. through d. are included for illustrative purposes only. Any additional incremental transfer of the 1.0 MGD Minimum Purchase contemplated by this Agreement is subject to mutual approval as described in Section
4.b.
The Temporary Minimums listed above assume East Palo Alto does not receive any Minimum Purchase transfer from any other Wholesale Customer or a Minimum Purchase transfer from Mountain View in excess of the one (1.0) MGD that is the subject of this Agreement. In the event East Palo Alto receives a Minimum Purchase transfer from another Wholesale Customer, or a Minimum Purchase transfer from Mountain View in excess of the one (1.0) MGD that is the subject of this Agreement, the Temporary Minimums Nos. 2, 3, and 4 listed above are subject to change in accordance with Section
3.04 of the Water Supply Agreement, as amended, and as illustrated in the example included in Exhibit A.
3. Payment of Imputed Sales. East Palo Alto will not be required to pay Imputed Sales associated with any of the Temporary Minimums as set forth in Section 2 above.
Mountain View will maintain responsibility for paying Imputed Sales associated with forth in Attachment E of the Water Supply Agreement. Attachment E of the Water Supply Agreement will be updated to reflect Minimum Purchase transfers completed
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum EF/1/PSD
703-08-24-21AG 5 of 8
pursuant to this Agreement as described in Section 4.c. below, adjusting East Palo Alto rchases accordingly.
4. Minimum Annual Purchase Quantity Transfers.
a. Initial Transfer. East Palo Alto agrees to accept an initial transfer of twenty-five hundredths (0.25) MGD Minimum Purchase from Mountain View based on the conditions set forth herein.
b. Additional Incremental Transfers. Three (3) additional incremental transfers of twenty-five hundredths (0.25) MGD Minimum Purchase, up to one (1.0) MGD, may be mutually approved by Mountain View and East Palo Alto at any time during the duration of this Agreement. Additional terms and conditions consistent with the Water Supply Agreement may be negotiated between Mountain View and East Palo Alto and made part of this Agreement by amendment.
c. Triggers. For all incremental Minimum Purchase transfers pursuant to this Agreement mutually approved by East Palo Alto and Mountain View (initial or exceed the corresponding Temporary Minimum set forth in Article B, Section 2, of this Agreement for three (3) consecutive fiscal years, one (1) increment of twenty-five East Palo Alto.
d. Future Transfers. In the event Mountain View engages in a transfer of Supply Guarantee and Minimum Purchase to East Palo Alto beyond the one (1.0) MGD contemplated in this Agreement, or any other transfer of Supply Guarantee and Minimum Purchase, the terms of the Water Supply Agreement will apply.
5. Drought Transfer Right of First Refusal. In the event that Mountain View proposes to sell or otherwise transfer water pursuant to Attachment H of the Water Supply Agreement, East Palo Alto shall have the right of first refusal to purchase such water. This right of first refusal shall apply to the same volume of water as the total approved incremental Minimum Purchase transfer or transfers (initial and/or subsequent), at a price to be negotiated by the Parties. ///
///
///
///
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum EF/1/PSD
703-08-24-21AG 6 of 8
ARTICLE C. NOTIFICATIONS.
Mountain View agrees to provide BAWSCA and San Francisco with a copy of this Agreement, and any future amendments to this Agreement, so that BAWSCA and San Francisco may enact the following administrative actions related to this Agreement:
1. Modify Attachment E-1 of the Water Supply Agreement to reflect relevant Temporary Minimum(s) for East Palo Alto, as approved pursuant to this Agreement.
2. Modify Attachment E of the Water Supply Agreement to reflect updates to the Minimum Purchase volumes for Mountain View and East Palo Alto pursuant to the terms of this Agreement.
3. Modify the Individual Sales Contract for Mountain View and East Palo Alto to reflect updates to the Minimum Purchase volumes pursuant to the terms of this Agreement.
4. Track the total volume of Minimum Purchase transferred by the Wholesale Customers.
ARTICLE D. MISCELLANEOUS PROVISIONS.
1. Entire Agreement. This Agreement contains the entire understanding between the Parties with respect to the subject matter herein. There are no representations, agreements, or understandings (whether oral or written) between or among the Parties relating to the subject matter of this Agreement which are not fully expressed herein.
2. Amendments. This Agreement may be amended in writing and signed by both Parties.
3. Authority to Execute. The persons executing this Agreement on behalf of the Parties warrant that they are duly authorized to execute this Agreement.
4. Headings. The headings in this Agreement are inserted for convenience purposes only and shall not affect the terms of this Agreement.
5. Notices. Any notice given under this Agreement shall be in writing and shall be given by delivering the same to such Party in person, by delivering the same to such Party by reputable overnight courier or express service, or by sending the same to such Party by registered or certified mail, return receipt requested, with postage prepaid. The
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum EF/1/PSD
703-08-24-21AG 7 of 8
address(es) of each Party for the giving of notices hereunder are, until changed as hereinafter provided, the following:
To MOUNTAIN VIEW: Public Works Director
City of Mountain View
500 Castro Street
P.O. Box 7540
Mountain View, CA 94039-7540
With a copy to: City Clerk
City of Mountain View
500 Castro Street
P.O. Box 7540
Mountain View, CA 94039-7540
To EAST PALO ALTO: City Manager
City of East Palo Alto
2415 University Avenue, Second Floor
East Palo Alto, CA 94303
With a copy to: Public Works Director
City of East Palo Alto
1960 Tate Street
East Palo Alto, CA 94303
Any notice will be deemed given on the date of delivery, on the date of refusal to accept delivery, or when delivery is first attempted but cannot be made due to a change of address for which no notice was given. A Party may change its notice address(es) at any time by giving written notice of such change to the other Party in the manner provided herein. Notice given by counsel shall be deemed given by the Party represented by such counsel.
6. Applicable Laws and Venue. This Agreement shall be construed and enforced pursuant to the laws of the State of California. Any suit, claim, or legal proceeding of any kind related to this Agreement shall be filed and heard in a court of competent jurisdiction in the County of Santa Clara.
7. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, but all of which in the aggregate shall constitute one and the same instrument, and the Parties agree that signatures on this Agreement shall be sufficient to bind the Parties.
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum EF/1/PSD
703-08-24-21AG 8 of 8
IN WITNESS WHEREOF, this Minimum Water Purchase Transfer Agreement, dated November ____, 2021, between the City of Mountain View and the City of East Palo Alto, is executed.
CITY OF MOUNTAIN VIEW,
a California charter city and municipal
corporation
By:
Kimbra McCarthy, City Manager
Attest:
City Clerk
APPROVED AS TO CONTENT:
Public Works Director
FINANCIAL APPROVAL:
Finance and Administrative
Services Director
APPROVED AS TO FORM:
City Attorney
CITY OF EAST PALO ALTO,
a California municipal corporation
By:
Jaime M. Fontes, City Manager
Attest:
City Clerk
APPROVED AS TO FORM:
City Attorney
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City of Mountain View (2119 : Minimum Exhibit A
Illustrations of a Transfer of a Portion of Minimum Annual Purchase Quantity from Mountain View to East Palo Alto Scenario 3: Transferee Already Subject to Temporary Minimum Annual Purchase Requirement A BC D E2 F = A + D
Line # Wholesale Customer
Pre‐Transfer
Permanent Minimum
Purchase1
5 Previous Non‐
Drought‐Year
Average Usage
Existing Temporary
Modified Minimum
Minimum Purchase
Transfer
Temporary Modified
Minimum Purchase3
(TMMP)
Post‐Transfer
Permanent
Minimum4
1 Transferor Mountain View (1st Trans) 8.930 N/A N/A (0.25) N/A 8.6802 Transferor Y 3.0 N/A N/A (1.0) N/A 2.03 Transferor Mountain View (2nd Trans) 8.680 N/A N/A (0.25) N/A 8.4304 Transferee East Palo Alto5 Transfer 1: MV ‐> EPA N/A 1.840 N/A 0.25 2.090 * 0.256 Transfer 2: Y ‐> EPA N/A N/A 2.090 * 1.0 3.090 1.257 Transfer 3: MV ‐> EPA 1.25 2.890 N/A 0.25 3.140 ** 1.50 Year 0
Pre‐Transfer
Year 1
Transfer 1 Effective
Year 2
1st Year Meeting
Temp Min 1
Year 3
Transfer 2 Effective
Year 4
3rd Year Meeting
Temp Min 1
Year 5
1st Year Meeting
Temp Min 2
Year 6
Year 7
3rd Year Meeting
Temp Min 2
Year 8
Year 9
Transfer 3
Effective
Year 10
1st Year Meeting
Temp Min 3
Year 11
2nd Year Meeting
Temp Min 3
Year 12
3rd Year Meeting
Temp Min 3
Year 13
Transferor Mountain View
8 Permanent Minimum Purchase 8.930 8.930 8.930 8.930 8.930 8.680 8.680 8.680 8.680 8.680 8.680 8.680 8.680 8.430 9 Annual Purchase 7.797 7.797 7.797 7.797 7.797 7.797 7.797 7.797 7.797 7.797 7.797 7.797 7.797 7.797 10 = 8 ‐ 9 Imputed Sales 1.133 1.133 1.133 1.133 1.133 0.883 0.883 0.883 0.883 0.883 0.883 0.883 0.883 0.633 11 = 9 + 10 Total Purchases 8.930 8.930 8.930 8.930 8.930 8.680 8.680 8.680 8.680 8.680 8.680 8.680 8.680 8.430 Transferor Y
12 Permanent Minimum Purchase 3.0 3.0 3.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 13 Annual Purchase 3.0 3.0 3.0 3.0 3.0 2.0 1.8 2.0 2.0 2.0 2.0 2.0 2.0 2.0 14 = 12 ‐ 13 Imputed Sales ‐ ‐ ‐ ‐ ‐ ‐ ‐ 0.2 ‐ ‐ ‐ ‐ ‐ ‐ 15 = 13 + 14 Total Purchases 3.0 3.0 3.0 3.0 3.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 2.0 Transferee East Palo Alto
16 Permanent Minimum Purchase N/A N/A N/A N/A N/A 0.25 0.25 0.25 1.25 1.25 1.25 1.25 1.25 1.5017 TMMP Not Financially Obligated N/A 2.090 2.090 N/A 5 N/A 5 N/A N/A N/A N/A N/A N/A N/A N/A N/A18 TMMP Financially Obligated N/A N/A N/A 3.090 3.090 3.090 3.090 3.090 N/A 3.140 3.140 3.140 3.140 N/A 19 Annual Purchase 1.890 1.890 2.090 2.090 2.590 3.090 3.090 3.090 2.590 3.000 3.140 3.140 3.140 3.000 20=17or18‐19 Imputed Sales ‐ ‐ ‐ 1.000 0.500 ‐ ‐ ‐ ‐ 0.140 ‐ ‐ ‐ ‐ 21 = 19 + 20 Total Purchases 1.890 1.890 2.090 3.090 3.090 3.090 3.090 3.090 2.590 3.140 3.140 3.140 3.140 3.000 1 “Minimum Purchase” and "Permanent Minimum Purchase" are used in the tables in this Exhibit A as shorthand references to the term Minimum Annual Purchase Quantity. 2 The Temporary Modified Minimum Purchase for Transfer 1 and Transfer 3 is E = B + D; the Temporary Modified Minimum Purchase for Transfer 2 is E = C + D. (See * and ** below for calculation details.)3 If a transferee already has a Temporary Modified Minimum Annual Purchase Quantity, the additional Minimum Annual Purchase Quantity from transfer 2 is added to the transferee's existing Temporary Modified Minimum Annual Purchase Quantity, not to the transferee's 5 non-drought-year average usage. 4 Cumulative total, including transfers 1, 2, and 3.5 Although EPA is assigned a new TMMP (3.090 mgd) due to Transfer 2, the three consecutive non‐drought years requirement associated with the prior TMMP (2.090 mgd) resulting from Transfer 1 still exists.
As a result, EPA is assigned a permanent MP of 0.25 mgd in Year 5 after meeting the prior TMMP in Years 2‐4, based on the example in this illustration.
FY13‐14 1.482FY12‐13 2.076FY11‐12 1.945FY10‐11 1.880FY09‐10 1.815 ** Year 4 2.590
Year 5 3.090
Year 6 3.090
Year 7 3.090Year 8 2.590
1st Transfer from MV starting FY17‐18 (MV transferred 1mgd ISG to EPA in June 2017)
0.25 mgd
Average FY09‐10 thru FY13‐14
1.840 mgd
EPA's 1st Temporary Modified Minimum Purchase Would Be (MGD)
2.090 mgd = 1.840 + 0.25
3rd Transfer from MV starting Year 9
0.25 mgd
Average Year 4 thru Year 8
2.890 mgd
EPA's 3rd Temporary Modified Minimum Purchase Would Be (MGD)
3.140 mgd = 2.890 + 0.25
* East Palo Alto Actual Purchase (MGD) in Previous Non-Drought Years
3.4.b
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Attachment: Minimum Water Purchase Transfer Agreement Between the City of East Palo Alto and the City
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: James Colin, Executive Assistant
SUBJECT: Women's History and Culture Month Proclamation Recommendation
Present the proclamation for Women's History and Culture Month.
Attachments
1. Proclamation for Women's History and Culture Month 2022
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Ruben Abrica
3.5.a
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Attachment: Proclamation for Women's History and Culture Month 2022 (2125 : Women's History and
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Patrick Heisinger, Assistant City Manager
Greg Henry, Senior Management Analyst
SUBJECT: City Attorney Recruitment and Process Development Recommendation
Direct staff to authorize CPS HR to support City Attorney recruitment and to work with the Mayor and Vice Mayor to develop next steps.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 1: Enhance Public Safety and Emergency Preparedness Priority No. 2: Enhance Economic Vitality
Priority No. 3: Increase Organizational Effectiveness and Efficiency Priority No. 4: Improve Public Facilities and Infrastructure Priority No. 5: Improve Communication and Enhance Community Engagement Priority No. 6: Create a Healthy and Safe Community
Background
With a current vacancy in the City Attorney position, the City Council needs to direct staff on next steps for the process of providing the City with long term legal expertise.
On February 1, 2022, the City Council approved two contracts for as needed consulting services. With this authority, should the Council wish to continue fill the City Attorney position with staff, we would select CPS HR to manage this recruitment. CPS HR has provided a general executive recruitment scope (for $25,000) as an outline.
Analysis
This authorization will initiate the process to fill the City Attorney position. Working with the Mayor and Vice Mayor staff will return to Council with a plan including the timeline and
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process.
Fiscal Impact
While it is anticipated that the recruitment of a new City Attorney will cost about $25,000 these funds have already been approved the City Council. While it is anticipated that the recruitment of a new City Attorney will cost about $25,000 these funds have already been approved the City Council.
Public Notice
N/A
Environmental
The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a “project” pursuant to 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant impact on the environment.
Attachments
1. General Scope of Work for ES
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General Scope of Work
Executive Search Services
Phase I:
• Meet with appropriate stakeholder(s) to gatherinformation on the organization and to develop the specifications and ideal candidate profile for the position • Coordinate with the Agency on development ofrecruitment brochure forthe desired position; prepare brochure design
• Complete recruitment brochure and post brochure on CPS HR website • Place adsin agreed upon trade journals, web sites and other appropriate sources • Print and distribute brochure/job announcement
• Receive allresumes and acknowledge receiptthereof
• Respond to inquiriesfrom applicants and potential applicants • Keep client posted on recruitment progress
• Conduct aggressive outreach by initiating contact with potential applicants and with referralsources
Phase II:
• Review application materials and identify candidatesforfurther consideration • Conductpreliminary screening interviews
• Submit “Client Report” (includesresumes,summary ofresumes, notes, overview) • Meet with the Agency to discussthe report and the results of the screening interviews in order for the Agency to identify an appropriate number to interview as finalists (or semi- finalists)
• Notify all applicants ofstatusin the recruitment
Phase III:
• Prepare an assessment processfor finalistsin coordination with the Agency • Schedule candidatesfor participation in finalist assessment;send invitationsto candidatesandcoordinatetravel/accommodations
• Prepareevaluationmaterials
• Facilitate finalist assessment processin coordination with the Agency • Conduct reference and background checks on top identified candidate(s) following assessmentprocess
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Attachment: General Scope of Work for ES (2126 : City Attorney Initiation) Professional Services
Our professional fixed fee covers all CPS HR services and deliverables associated with Phases I, II, and III of the recruitment process. CPS HR can offer three levels of service as listed below.
Outreach Package – Targeted sourcing, brochure, and advertising $7,500 Partial Recruitment – Phase I and II $19,000
Full Recruitment – Phase I, II, and III $25,000
Travel expenses for candidates who are invited forward in the interview process are not included.
However, should the Agency desire CPS HR’s Travel Team to assist with these arrangements, we are happy to do so. This might require an amount be added to our contract.
One Year Guarantee
If the employment of the candidate selected and appointed by the Agency, as a result of a full executive recruitment (Phases I, II, and III), comes to an end before the completion of the first year of service, CPS HR will provide the Agency with professional services to appoint a replacement.
Professional consulting services will be provided at no cost. The Agency would be responsible only for expenses such as re-advertising, consultant travel, additional background checks, etc. This guarantee does not apply to situations in which the successful candidate is promoted or reassigned within the organization during the one-year period. Additionally, should the initial recruitment efforts not result in a successful appointment, CPS HR will extend the aggressive recruiting efforts and screen qualified candidates until an offer is made and accepted. CPS HR does not provide a guarantee for candidates placed as a result of a partial recruitment effort.
3.6.a
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Attachment: General Scope of Work for ES (2126 : City Attorney Initiation)
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Humza Javed, City Engineer
Michelle Daher, Management Analyst
SUBJECT: EPA Draft Climate Action Plan CAP 2030
Recommendation
Receive and File
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 1: Enhance Public Safety and Emergency Preparedness Priority No. 5: Improve Communication and Enhance Community Engagement Priority No. 6: Create a Healthy and Safe Community
Background
There is broad scientific agreement that to avoid extreme effects of climate change, communities will need to reduce their greenhouse gases (GHG) by 80 percent below 1990 levels by the year 2050. By contrast, during the development of the first East Palo Alto Climate Action Plan in 2010/2011, it was widely expected that GHG would need to be reduced by 50 percent below 1990 levels to avoid the most serious climate change impacts. It is now widely accepted that in addition to reducing the amount of GHG being emitted, additional drawdown of climate warming GHG emissions from the atmosphere is also needed to secure a safe future.
According to leading climate scientists from around the world, human-caused climate effects that are predictable include increased heat, severe weather, and flooding scenarios generated by the added carbon in the atmosphere, worldwide. A primary example is a recently released scientific study in the journal Nature Climate Change which noted that the southwestern United States is in a 22 year "Megadrought," which is the worst in at least 1,200 years. Humancaused climate change has contributed an increased severity of this ongoing drought, likely to last an additional 8 years.
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The City of East Palo Alto is considered to be particularly vulnerable to the inevitable climate change impacts, with above-average risks to the noted effects. Many residents in the City of East Palo Alto lack resources to be resilient to the current and anticipated effects of climate change, and will likely require government support to sustain through extreme heat and flooding, as well as potential new diseases from rising and warming waters. Rection of GHG emissions in East Palo Alto will support collectively reduced impacts of global warming while also reducing the health impacts of local emissions.
Local Progress
The California Global Warming Solutions Act of 2006, also known as Assembly Bill-32 (AB-32), required a sharp reduction of greenhouse gas (GHG) emissions, setting the stage for a transition to a sustainable low-carbon future. The goal of AB-32 required California to reduce its GHG emissions to 1990 levels by 2020. This represents a reduction of about 15% of anticipated emissions under a "business as usual" scenario.
The City Council of East Palo Alto responded to AB-32 with the adoption of the 2011 City of East Palo Alto Climate Action Plan (2011 EPA CAP) with twenty-three actions to address our changing climate. Developed to achieve AB-32 objectives, the City Council directed staff to implement the actions through a variety of efforts.
The California Global Warming Solutions Act of 2016, also referred to as Senate Bill 32 (SB32), was signed into law to build on AB-32 to further reduce greenhouse gas (GHG) emissions in California to 40% below 1990 levels by 2030. The California Air Resources Board (CARB) was given the responsibility through AB-197 to ensure the state goals are met. This action increased the legislative oversight of CARB.
In 2017, the City of East Palo Alto joined the County of San Mateo along with all 20 cities within the county, to establish a Community Choice Aggregation (CCA) and formed a Joint Powers Authority, Peninsula Clean Energy (PCE). Tasked with the procurement of electricity for all businesses and residents in the County from sustainable sources, PCE now has laid a path towards fully renewable power by 2025 for all customers.
In October 2020, the City Council adopted Amendments to the California Building Codes Title 24 Parts 6 and 11 going beyond the State's minimum requirements to increase energy efficiency, reduce GHG emissions, and meet climate action goals. The effort is intended to help expedite implementation of measures to mitigate climate change by lowering carbon emissions in conjunction with the 2011 East Palo Alto Climate Action Plan.
A 2017 Scoping Plan has been provided by CARB to develop a plan for California to achieve the 2030 GHG targets and CARB is currently developing the 2022 Scoping Plan Update to achieve carbon neutrality by 2045.
The City Council has directed staff to work with the Institute for Local Government (ILG) to leverage resources with various agencies and contractors to update the 2011 EPA CAP to meet the increasing requirements to reduce GHG emissions. City Staff has been working with ILG, San Mateo County Office of Sustainability, Peninsula Clean Energy, and Resource Management and Climate Protection Committee (RICAPS) of San Mateo County to develop a Draft update of the 2011 EPA CAP, to be newly titled East Palo Alto Climate Action Plan 2030 (EPA CAP 2030) with the intention of laying a framework of feasible solutions designed to
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reduce GHG emissions outlined by California, for the benefit of this community and beyond.
Analysis
From 2011 to 2017, the City of East Palo Alto has made continuous progress towards reducing GHG emissions through discrete and combined initiatives. In 2005, East Palo Alto emitted an estimated 136,027 metric tons (MT) of carbon dioxide equivalent (CO2e) from the residential, commercial, industrial, transportation, waste, and municipal sectors. In 2017, East Palo Alto emitted an estimated 108,665 MT. In comparison to the base year of 2005, the city realized a 20 percent decrease in total community emissions.
Major contributors of this decline include a 6 percent reduction in total electricity use and an 18 percent reduction in total natural gas use. Some of the attributed reductions were made with the closing of the Romic Environmental Technologies (at 2020 Bay Road) in 2008 due to significant community pressure. This 20 percent reduction compared to baseline 2005 emissions is a good start, but East Palo Alto will have to significantly increase its emission reduction rate in order to achieve a 50 percent reduction in emissions by 2030.
Implementation of the 2011 EPA CAP, focused community involvement and participation in economically beneficial programs and has reduced emissions, while the City partnered with local non-profits such as Canopy, Acterra, and Grassroots Ecology to expand the urban forest, educate future generations about the importance of native plants, energy and water conservation in the home, and current preparation of the first City of East Palo Alto Urban Forest Management Plan. Many other local benefits have been achieved and noted in the Draft EPA CAP 2030.
Presently, the City of East Palo Alto faces costly and time intensive barriers to reducing GHG emissions. Transportation emissions accounted for 74 percent of total 2017 GHG emissions in East Palo Alto. Travel on local roads accounted for 18 percent of total emissions; travel on state highways within city limits accounted for 51 percent; and emissions from off-road equipment, such as lawn, garden, and construction equipment, accounted for 5 percent.
It is anticipated that the primary goals for the EPA CAP 2030 will rely on electrification of these transportation sector elements, which will have the added benefit of improved outdoor air quality for the community. It is further expected that conversion of existing gas appliances to electric appliances will also support emissions reductions, which aligns with improved indoor air quality for residents. All of these improvements will require increased staff time and funding opportunities to implement.
Building Local Resilience Capacity
In preparation of the Draft EPA CAP 2030, Acterra, a local non-profit focused on sustainability initiatives, through the Climate Resilient Communities program, has hosted the East Palo Alto Citizens' Climate Change Team (CCCT). Supported by local participation, the Climate Resilient Communities began in 2016 as a volunteer-driven commitment to helping residents reduce their energy costs, improve home health, and gain access to local resources such as subsidized solar panels and home energy audits along with weatherization upgrades.
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In 2018, the CCCT was launched by Acterra in partnership with San Mateo County Office of Sustainability and is composed of city residents, city officials, youth, and leaders from business, developers, and faith-based communities. Meetings have been held regularly with a goal of building resilience and capacity in the community to adapt to climate change threats including sea-level rise. The CCCT is agendized by the group and topics of interest selected.
Acterra staff bring together experts that support areas of focus to broaden and deepen the CCCT collective deepened understanding of climate change.
In 2019, with the help from many local residents and community-based groups, the CCCT conducted a survey of households in East Palo Alto, focusing on residents' attitudes about climate change and its impacts. Stanford University researchers supported a statistically relevant design and helped analyze the data. The final report provided vulnerability data to inform adaptation planning in East Palo Alto. The recommendations of this effort included the following primary needs: 1) advocate for community-driven strategies and priorities; 2) increase collaboration with the City and its leaders; 3) engage the community in planning for climate change; 4) secure financial support to implement community-based solutions that provide opportunities for the residents; 5) mainstream the topic of climate change in the school curriculum.
Due to the specific interest and broad base of the CCCT, the City worked to engage this group in early development of the EPA CAP 2030 to ensure the initial framing of the draft document includes the issues of highest concern to the members. In 2019, the CCCT was asked for input as the team drafts the EPA CAP 2030. Issues of highest regard included developing a community outreach program to engage the community and ensure the future plan includes significant educational, health and equity components. With this direction, an online survey was launched to obtain input from community members with access to the online survey. The survey was posted on the City's web page from 2020 through 2021. Information gathered through this survey was incorporated into the Draft EPA CAP 2030.
Public Engagement Schedule
In March 2022, due to the high level of interest and broad reach of the CCCT, the Draft EPA CAP 2030 is expected to be previewed in its entirety in early March, 2022.
For information on the schedule, the public can contact Cade Cannedy with Climate Resilient Communities at 575-776-7667 or [email protected] .
March 16, 2022 at 5:30 p.m. the Public Works and Transportation Committee will review items in the Draft EPA CAP 2030 related to the public right of way.
On April 25, 2022 at 7:00 p.m., the Planning Commission will review items in the Draft EPA CAP 2030 related to private property.
On May 17, 2022, the City Council will receive the revised Draft EPA CAP 2030 for full public review and comment, opening a 30-day public comment period.
On June 21, 2022, a Public Hearing is expected to be held to receive the Final EPA CAP 2030 for public comment.
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Fiscal Impact
There are no anticipated fiscal impacts for the review of the Draft EPA CAP 2030. There will be noted fiscal impacts for implementation of the final document. These fiscal impacts will be noted in the May 27, 2022 City Council public review.
Public Notice
Public notice will be provided for the City Council meetings noted above.
Environmental
The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a “project” pursuant to 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant impact on the environment.
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EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Rachel Horst, Housing and Economic Development Manager Karen Camacho, Housing Project Manager
SUBJECT: Introduction of East Palo Alto Opportunity to Purchase Act ("EPA OPA") Ordinance
Recommendation
Waive the first reading and introduce an Ordinance titled “East Palo Alto Opportunity to Purchase Act” (“EPA OPA”), adding Chapter 14.26 to the East Palo Alto Municipal Code.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 6: Create a Healthy and Safe Community
Background
At a public hearing on January 25, 2022,1the City Council considered an ordinance titled East Palo Alto Opportunity to Purchase Act (“EPA OPA” or “Ordinance”). The City Council voted to continue the public hearing to March 1, 2022.
The following updated chart details the major milestones in the EPA OPA process.
EPA OPA Milestones
Date Description
June 4, 2019
Council adopted Resolution No. 5128, authorizing the City Manager to submit an application to the Partnership for the Bay’s Future for a Challenge Grant for Housing Protection and Preservation (“Challenge Grant”).
November 2019 The City was awarded a Challenge Grant. Challenge Grant Fellow began work in February 2020 and continued through 2020 and 1 The full January 25, 2022 public hearing item can be viewed at:
http://eastpaloalto.iqm2.com/Citizens/Detail_Meeting.aspx?ID=1486
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2021.
January 2021
City Council adopted as one of its Council Priorities, “Advancing the Concept of TOPA/COPA and Other Homeownership
Opportunities.”
July 20, 2021
Staff provided an update on Challenge Grant progress to City Council and received authorization to apply for a Partnership for the Bay’s Future Breakthrough Grant.
July 2021 –
September 2021
Nine Affinity Group meetings (67 participants) and two Focus Group meetings (19 participants) were conducted to gather community input. Participants consisted of homeowners, tenants, landlords, and real estate agents.
October 5, 2021
Policy & Action City Council item to provide a report on OPA progress and seek direction on development of an ordinance. City staff were directed to bring back a proposed OPA Ordinance for hearing.
November 16,
2021
Public hearing for OPA Ordinance. City Council directed staff to hold a community meeting on OPA and return to the next City Council meeting with an updated Ordinance.
December 1,
2021
Community meeting via Zoom on OPA with 276 participants of which 72 spoke during the public comment portion.
December 3 & 6,
2021
Staff hosted virtual office hours to provide residents and stakeholders with an additional opportunity to ask questions or express concerns.
December 7,
2021
Public hearing for OPA. Staff presented on recommended
changes to the Ordinance based on City Council direction and extensive community feedback. City Council took over two hours of public comment from 128 speakers and continued the item to December 22.
December 22,
2021
Public Hearing and First Reading of OPA Ordinance. Staff proposed several amendments to the draft Ordinance first proposed in November 2021. The Ordinance also included edits recognizing the extensive public feedback received to date. City staff were directed to continue the item at the next regular Council meeting in the new year.2
January 13 & 14,
2022
Staff hosted accessible office hours to receive further community input.
January 18, 2022 The City Council voted to move the item to a special meeting scheduled for January 25, 2022.
January 25, 2022
Public hearing with first reading of the Ordinance. Presentation from David Rosen & Associates on findings from their analysis on potential impacts of EPA OPA. City Council received further clarification on Qualified Nonprofits and foreclosures from staff.
Item continued to March 1, 2022.
In addition to the major milestones, on February 1, 2022, the City of East Palo Alto was 2 The full December 22, 2021 public hearing item can be viewed at:
http://eastpaloalto.iqm2.com/Citizens/Detail_Meeting.aspx?ID=1464
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announced as one of 11 Partnership for the Bay’s Future 2022-2024 Breakthrough Grant recipients.3 The City applied for a Breakthrough Grant in July 2021 to assist with, among other activities, implementation of an EPA OPA if adopted. Breakthrough Grant jurisdictions receive a Breakthrough Grant Fellow for a two-year period to implement the grant scope. If the City Council adopts an EPA OPA, the Breakthrough Grant Fellow can provide added staffing capacity to support the City over the next two years in the implementation of the Ordinance.
The purpose of this staff report is to continue the public hearing and address the following direction from City Council:
1.) Clarification on the applicability of the Ordinance to Limited Liability Companies (“LLCs”) and trusts;
2.) Consideration of potential additions to exemptions language to include transfers of property to nieces and nephews as types of family members; and
3.) Further review of Right of First Refusal and overall economic impact of the Ordinance on local real estate market.
Analysis
Clarification of OPA Applicability and Exemptions
The OPA exempts a number of property and transfer types from the provisions of the Ordinance. The full list of exempt transfers is found in subsections 14.26.040 A and B.
The City Council requested:
1.) further clarification on the exclusion of certain types of LLCs from the exemption provision in subsection A.2;
2.) further clarification on the type of transfer that is exempted from OPA pursuant to subsection B.4; and
3.) potential inclusion of nieces and nephews in subsection B.1, which describes the inter vivos transfers that are exempted from the Ordinance.
Exempt and Non-Exempt LLCs
Subsection 14.26.040.A, among other exemptions, provides an exemption from the Ordinance for owner-occupied single-family dwellings, duplexes, and triplexes, with or without Accessory Dwelling Units (ADUs). Non-owner-occupied, or absentee, properties are exempt from the OPA if the owner of the property or properties is an East Palo Alto resident who has lived in another property in the city as their principal residence for at least one year.
This exemption for properties of East Palo residents provided in subsection 14.26.040.A.2 does not apply to properties with the following types of owner entities:
a. A real estate investment trust, as defined in Section 856 of the Internal Revenue Code;
b. A corporation; or
c. A limited liability company in which at least one member is a corporation. 3 See the July 30, 2021 staff report for further details on the City's Breakthrough Grant application. http://eastpaloalto.iqm2.com/Citizens/Detail_LegiFile.aspx?Frame=&MeetingID=1420&MediaPosition=95.624&ID=1813&CssClass=
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Staff wish to clarify that LLCs4 as a type of ownership entity do not “disqualify” a property from the exemption pursuant to this subsection if all members of the LLC are natural persons. Staff noted in the January 18, 2022 staff report that this subsection uses the definition of investorowned properties in CA Civil Code Section 1947.12 (AB 1482) to further clarify that this exemption for properties of East Palo Alto residents applies when both (or more) properties are owned by a natural person or persons.
It should be noted that LLCs are included in the Definitions section in 14.26.020: “Owner” means: any natural person, corporation, association, partnership, joint venture, limited liability company, trustee, business entity and its respective agents, or any other entity, who is the owner of record of a residential property.
According to the PropertyRadar database, there are approximately 243 residential parcels owned by LLCs in East Palo Alto (5% of all East Palo Alto residential parcels). A total of approximately 230, or 94.7% of the residential parcels owned by LLCs, include at least one corporate member; a total of approximately 12, or 4.9% of the residential parcels owned by LLCs, have multiple non-corporate members; and only 1, or .4%, of all residential parcels owned by LLCs lists an individual member. EPA OPA would apply to the nearly 95% of LLCowned parcels that include corporations; approximately 5% of LLC-owned properties would be exempt because the LLC is composed of natural persons.
Revocable Trusts
Subsection 14.26.040.B.4. exempts a transfer of bare legal title into a revocable trust, without actual consideration for the transfer, where one or more transferors is a current beneficiary of the trust from the OPA.
This subsection clarifies that the action of transferring a property into a revocable trust5 does not qualify as a property transfer under the OPA, as long as the person or persons are also a beneficiary of the trust. As an example, an owner or owners placing a property into “X Family Trust” would not subject the property to any provisions of the OPA.
Inter Vivos Transfers
As currently written, the Ordinance exempts property transfers to family members from the OPA, as described in subsection 14.26.040.B.1: an inter vivos transfer, whether or not for consideration, between spouses, domestic partners, parents and children, siblings, and/or grandparents and grandchildren.
An owner may therefore sell or transfer their property to the above family members without subjecting the sale of the property to the OPA process. City Council identified nieces and nephews as additional relations that could be added to this exemption. The suggested addition of language to the Ordinance is provided in the Recommended Changes/Corrections to the Ordinance section of this staff report, below.
Impact of Right of First Refusal
4 A Limited Liability Company is a type of legal entity that is sometimes formed by individuals who invest in real estate. Generally speaking, an LLC arrangement separates and protects members’ personal assets from the business of the LLC (the real estate investment).
5 Revocable trusts are a common legal entity that owners of a property may form. Trustees of a revocable trust identify beneficiaries to whom they can pass their assets.
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At the January 25, 2022 public hearing,6 City Council asked staff to further look into the potential economic impacts of the “Right of First Refusal” in the OPA. Specifically, staff was requested to further research the question of whether, and to what extent, the Right of First Refusal may affect the East Palo Alto housing market.
As reported by David Rosen & Associates in their analysis of potential OPA impacts, dated January 14, 2022, single-family house prices are driven in large part by the regional housing market, which is characterized by high demand, limited supply, and a strong regional economy, and national trends such as rising interest rates. Such conditions, coupled with the fact that the OPA would affect only a subset of units in East Palo Alto, indicates that the overall impact of OPA on home prices is not expected to be significant.
Staff’s further review of available literature revealed very limited empirical evidence of the economic implications of a right of first refusal or a relationship between a right of first refusal in a local policy such as OPA and home prices, such that the findings could be applied to East Palo Alto in this context.
Right of First Refusal
Under EPA OPA, the Right of First Refusal period is when a Potential Eligible Purchaser has a right to match a third-party buyer’s offer (also referred to as “Third Party Purchaser’s Offer”).
Not every property or transfer subject to OPA will include a Right of First Refusal; for example, it does not apply if the Potential Eligible Purchaser does not take the required steps within the required timeframes, or if there is more than a 15% difference between a valid offer submitted by a Potential Eligible Purchaser and that of a Third-Party Purchaser.
Analyses of Right of First Refusal
A right of first refusal is a common practice in real estate transactions, businesses, statutes, and more, and courts have sanctioned rights of first refusal.7 Some studies8 have applied a theoretical framework to anticipate the potential impacts of a right of first refusal based on the behavior of all sides of a transaction: the buyer with the right of first refusal, the seller, and a third-party buyer.
It is challenging to directly apply the expected outcomes of various studies, with their 6 See: http://eastpaloalto.iqm2.com/Citizens/Detail_Meeting.aspx?ID=1486. 7 E.g., see American Broadcasting Cos. v. Wolf, 430 N.Y.S.2d 275, 281 (N.Y. App. Div.), appeal dismissed, 413 N.E.2d 1173 (N.Y. 1980), aff’d, 420 N.E.2d 363 (N.Y. 1981) (A right of first refusal is a “valuable right which has enjoyed the protection of the courts.”).
As cited previously, a January 2021 report lays out the eight jurisdictions nationwide that assign a right of first refusal to tenants, demonstrating its long-term term protection in the courts. These include Baltimore, MD (enacted in 1979 for 1-unit buildings), Washington, DC (enacted in 1980 for 1, 2-4, and 5+ units), Montgomery County, MD (enacted in 1981 for 4+ unit buildings), Takoma Park, MC (enacted in 1986 for 1, 2-6, and 7+ unit buildings), New Hampshire (enacted in 1968 for manufactured home parks), Minnesota (enacted in 1991 for mobile home parks), Prince George’s County, MD (enacted in 2013 for 20+ units), and San Francisco (enacted in 2019 for 3+ units). See: Scott Bruton and Gretchen Nicholls, “Opportunity to Purchase Policy Options for the City of Minneapolis,” LISC Twin Cities and CNHED, January 2021, pgs. 24-40, https://lims.minneapolismn.gov/Download/File/4846/Opportunity%20to%20Purchase%20Policy%20Options%20for%20the%20City %20of%20Minneapolis%202020-01178%20update.pdf.
8 See: David I Walker, "Rethinking Rights of First Refusal," Stan. JL Bus. & Fin. 5 (1999); Marcel Kahan, “An Economic Analysis of Rights of First Refusal,” NYU Center for Law and Business, Working Paper #CLB-99-009 (June 1999); Marcel Kahan, Shmuel Leshem, and Rangarajan K. Sundaram, "Rights of First Refusal," NYU Law and Economics Research Paper 07-42 (2009); Yao-Min Chiang and Jarjisu Sa-Aadu, "Right of First Refusal (ROFR) Effects in Auctions with Reserve Price: Empirical Evidence from Taiwanese Government Land Auctions,” available at SSRN 2409599 (2014); Brit Grosskopf and Alvin E. Roth, "If you are offered the Right of First Refusal, should you accept? An investigation of contract design" (2005); Sushil Bikhchandani, Steven A. Lippman, and Reade Ryan, "On the Right-of-first-refusal," Available at SSRN 621181 (2002); Leandro Arozamena and Federico Weinschelbaum, "A note on the suboptimality of right-of-first-refusal clauses,” Economics Bulletin 4, no. 24 (2006): 1-5.
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respective assumptions about information level, relative negotiating power, and values, to the proposed EPA OPA. It should be noted that the EPA OPA places limits on the Potential Eligible Purchaser to exercise the Right of First Refusal and is intended to create a level of certainty for the Third-Party Purchaser to know if their offer will require a match.9 As a reminder, EPA OPA contains the following provisions:
1. A Potential Eligible Purchaser (“PEP”) must submit a timely Statement of Interest.
No provision in the ordinance allows for a PEP that did not submit a timely Statement of Interest to exercise a Right of First Refusal.
2. In addition, a PEP must submit a timely Offer. No provision in the Ordinance allows for a PEP that did not submit a timely Offer to exercise a Right of First Refusal.
3. When a Third-Party Purchaser makes an offer within 15% of the PEP’s offer, and the owner is willing to accept that offer, the PEP may exercise the Right of First Refusal.
Otherwise, the PEP may not exercise the Right of First Refusal.10
4. If the above-mentioned conditions are met and the PEP is therefore able to exercise the Right of First Refusal, and the PEP is willing to accept all the terms and conditions of the Third-Party Purchaser’s Offer within the time specified by the Ordinance, the owner must proceed to sell the residential property to the Potential Eligible Purchaser.
Some more recent studies on the right of first refusal may provide insights into the real-world impact of a right of first refusal.11 However, it remains difficult to extrapolate the findings of any of these studies to make a substantial claim about the impact of this provision in the Ordinance on house prices in East Palo Alto.
Evidence from Washington, D.C.
Staff was requested to report on available data or studies published on the four-decade old Tenant Opportunity to Purchase Act (“TOPA”) policy in Washington, D.C. In 2013, a Fiscal Policy Institute Report on the Washington, D.C. policy found that the per-unit costs to acquire properties under D.C.’s First Right Purchase Program continued to rise and differed by ward due to factors such as the location, year of sale, and how much rehabilitation the building needed.12 In FY 2012 alone, 5,000 District housing units went up for sale across 99 buildings that could have potentially been supported by the local TOPA ordinance, but District resources were not adequate to meet the high demand, leading to a loss of a significant amount of lowand moderate-cost housing. Despite this increasing per unit cost, the report found that the first right to purchase remained a cost-effective preservation tool, as the cost was lower than other types of affordable housing development.
It is important to note some distinctions between the policies and housing conditions in Washington, D.C. and East Palo Alto. As just one example, Washington’s right of first refusal 9 Note: Definitions of right of first refusal vary substantively between studies and between EPA OPA and the analyses staff reviewed.
10 The proposed Ordinance states: An Owner interested in accepting a Bona Fide Offer to Purchase from a Third-Party Purchaser shall disclose that offer to any Potential Eligible Purchaser that submitted a Statement of Interest and an Offer within fifteen percent (15%) of the offer received by the Owner from the Third-Party Purchaser. 11 For example, Chiang and Sa-Aadu's (2014) paper provides empirical evidence on the effects of a Right of First Refusal for the sale of government owned land in Taiwan from 2007 to 2010. 12 Jenny Reed, "DC’s First Right Purchase Program Helps to Preserve Affordable Housing and Is One of DC’s Key AntiDisplacement Tools," Washington, DC: DC Fiscal Policy Institute (2013), https://www.dcfpi.org/wp-content/uploads/2013/09/9-24-13- First_Right_Purchase_Paper-Final.pdf.
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period is 15 days, compared to East Palo Alto’s 5 days for single family dwellings and condominiums. In addition, according to David Rosen & Associates’ January 2022 report, East Palo Alto saw a 3.6-fold increase in home values between 2012 to 2021, outperforming the
2.9-fold, 2.2-fold, and 2.1-fold increase in home values in San Mateo County, Santa Clara County, and California, respectively. Home values are expected to continue to rise due to a variety of reasons: buyers will clearly identify those home sales that are covered by the Ordinance and those that are not; new development projects and improvements, as well as other factors beyond the City’s control such as interest rates, employment, and wages, will drive demand up; and high market demand makes the market very efficient in adjusting to regulatory changes.
A 2018 D.C. Policy Center Housing Report on housing conditions in Washington found that housing prices rapidly increased between 1995-2018; those who purchased a house before 1995 saw a 4.5-fold increase in their investments, which outperformed the 2.6-fold increase in the greater Washington Metro area.13
Recommended Changes/Corrections to EPA OPA Ordinance
The Ordinance has been revised to make it clearer and address points previously raised by the City Council. Staff recommend the Ordinance attached to this report (as Attachment 1) be introduced.
Inter Vivos Transfers
As noted above, the City Council may wish to insert “nieces and nephews” into the types of family members included in an inter vivos transfer as described in Section 18.26.040B.1, as follows:
B. Exempt Transfers. The following transfers of Residential Property are not subject to the requirements of this chapter:
1. An inter vivos transfer, whether or not for consideration, between spouses, domestic partners, parents and children,14 siblings, and/or grandparents and grandchildren, and/or nieces and nephews.
Please note that the Ordinance in Attachment 1 does not contain this language. If directed by City Council via motion at this March 1, 2022 meeting, this language may be added to the Ordinance, and a revised Ordinance reflecting the changes will be presented for adoption at a later meeting.
Next Steps
If the City Council is satisfied with the revisions by the conclusion of this meeting and introduces the Ordinance, staff will return for the adoption of the Ordinance at the next regular City Council meeting.
The Ordinance takes effect on July 1, 2022. Staff anticipate that the process of developing 13 Yesmin Sayin Taylor, “Taking Stock of the District’s Housing Stock,” D.C. Policy Center (March 2018), page 6, https://www.dcpolicycenter.org/wp-content/uploads/2018/03/DC-Policy-Center-Housing-Report.final_.March25.pdf. 14 Note that stepchildren are recognized as children.
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Administrative Guidelines will take several months and therefore must commence immediately after adoption of the Ordinance.
As a reminder, the Administrative Guidelines will contain an outline of how EPA OPA works in practice, address “gray areas” for scenarios not explicitly referenced in the ordinance, set threshold criteria to fulfill the ordinance’s intent, and promote program uptake. Key topics of the Administrative Guidelines include qualification of nonprofits, transfer exemption procedures, assignment of rights procedures, noticing and disclosure requirements, prohibited conduct, and more.
Fiscal Impact
There is no fiscal impact associated with this staff report. If adopted, there will be costs related to the implementation of an EPA OPA ordinance. As discussed above, the City’s award of a Partnership for the Bay’s Future Breakthrough Grant could partially mitigate that cost by adding dedicated staff capacity from the Breakthrough Grant Fellow.
In particular, the Fellow can support the development and implementation of the Administrative Guidelines, starting with preparing the draft document for City Council consideration. This would be the first assignment for the new Fellow. Breakthrough Grant Fellows are anticipated to be onboarded with their respective jurisdictions in June 2022.
Public Notice
The public was provided notice via publication in the Palo Alto Daily News on January 7, 2022, and by making the agenda and report available on the City’s website and at the San Mateo Co.
Library located at 2415 University Avenue, East Palo Alto. A postcard was also mailed to all East Palo Alto residents announcing this City Council hearing and listing key points in the Ordinance.
Environmental
The action being considered does not constitute a “Project” within the meaning of the California Environmental Quality Act (CEQA), pursuant to CEQA Guideline section 15378 (b)(5), in that it is a government administrative activity that will not result in direct or indirect changes in the environment.
Attachments
1. Ordinance
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1 ORDINANCE NO. ___
AN ORDINANCE OF THE CITY COUNCIL
OF THE CITY OF EAST PALO ALTO
ADDING CHAPTER 14.26 TO THE EAST PALO ALTO MUNICIPAL CODE
ENTITLED THE EAST PALO ALTO OPPORTUNITY TO PURCHASE ACT WHEREAS, the City Council finds that East Palo Alto is experiencing a shortage of affordable housing, especially for extremely low-income, very low-income, low-income and moderate-income residents, and a displacement crisis; and WHEREAS, rapid displacement is evidenced in East Palo Alto by high rates of eviction, increasing rents, and increasing home values; and WHEREAS, there is a disproportionate impact of displacement, homelessness, and unmet affordable housing and homeownership needs in East Palo Alto borne by African American, Latinx, and Pacific Islander communities of color; and WHEREAS, sixty percent (60%) of East Palo Alto’s population are renters, and over half of these renters are cost-burdened, meaning they spend over thirty percent (30%) of their monthly income on rent; and
WHEREAS, according to the Bay Area Equity Atlas and the Urban Displacement Project, seventy-two percent (72%) of low-income households in East Palo Alto live in gentrifying neighborhoods; and
WHEREAS, due to state law, tenants living in single-family homes and tenants living in buildings built after 1988 are not protected by rent stabilization (although the Just Cause for Eviction provision applies); tenants in rent-stabilized units are not protected from displacement by owner-move in; and when a tenant moves out, the rent for that unit can be raised to market value; and
WHEREAS, according to the American Community Survey (2015-2019) and San Mateo County Income Limits, the median household income in East Palo Alto of $67,087 is less than half the county’s median household income, and most East Palo Alto households fall into the “extremely low-income” to “very low-income” category, or 30- 50% AMI, making residents highly susceptible to dramatic shifts in the housing market; and
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2 WHEREAS, according to the Center for Responsible Lending, during the foreclosure crisis from 2004-2008, African Americans and Latinxs in California were more than twice as likely as non-Hispanic Whites to lose their homes to foreclosure; and WHEREAS, there is a concentration of properties in East Palo Alto owned by individual and entity investors and the majority of these investors are not residents of the City of East Palo Alto; and
WHEREAS, historically, East Palo Alto residents, both owners and renters, have been denied opportunities to build wealth through property ownership due to discriminatory housing policies, including the practice of redlining that impacted longer term residents and continues to impact successive generations of East Palo Alto residents; and
WHEREAS, it is a necessary and important public purpose to provide relief for these economic and social ills arising from the housing challenges facing East Palo Alto residents; and
WHEREAS, approximately 5.8% of properties in East Palo Alto are owned by East Palo Alto residents with a primary residence elsewhere in the city; and WHEREAS, a limited exemption for these local residents who own other properties within East Palo Alto will promote the purpose of providing relief for these economic and social ills experienced by residents of East Palo Alto; and WHEREAS, Tenant and Community Opportunity to Purchase Act programs have been adopted in a number of jurisdictions including Washington, D.C. and San Francisco to protect residents’ ability to stay in a neighborhood in a cost-effective manner; and WHEREAS, the City Council desires to prevent further displacement of East Palo Alto households, to supply a variety of affordable rental and ownership housing options, and to protect the health, safety and general welfare of the public through an opportunity to purchase program; and
WHEREAS, this action is exempt from the California Environmental Quality Act ("CEQA"), each as a separate and independent basis, including but not limited to, the following: CEQA Guidelines Section 15378 (regulatory actions). Section 15061 (b) (3) (no significant environmental impact), and Section 15183 (actions consistent with the general plan and zoning.)
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO DOES ORDAIN AS FOLLOWS:
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3 SECTION 1. AMENDMENT TO THE EAST PALO ALTO
MUNICIPAL CODE
The City Council hereby adds Chapter 14.26 (“East Palo Alto Opportunity to Purchasing Act”) to the East Palo Alto Municipal Code to read as follows:
Chapter 14.26
East Palo Alto Opportunity to Purchase Act
14.26.010 Title and Purpose
A. This chapter may be referred to as the “East Palo Alto Opportunity to Purchase Act” or “EPA OPA” program.
B. The purpose of this chapter is to confer upon Tenants, Qualified Nonprofits, and the City of East Palo Alto a Right of First Offer and a Right of First Refusal upon the transfer or sale of Residential Property to prevent displacement of lower-income tenants, to facilitate ownership for residents, and to create more affordable housing opportunities in East Palo Alto.
14.26.020 Definitions
“Absentee Owner(s)” means an owner or owners of a residential property who do not occupy the residential property as the owner’s or owners’ principal residence. “Accessory Dwelling Unit (ADU)” means a separate dwelling unit providing complete independent living facilities for one or more persons containing living, sleeping, kitchen and sanitation facilities as defined in and subject to the provisions in Chapter 18.96. “Administrative Guidelines” means any requirements for implementation and administration of this chapter adopted by the City.
“50% AMI Income Household” means households whose income does not exceed fifty percent (50%) of the area median income, adjusted for family size and as published annually by the City.
“Bona Fide Offer to Purchase” means an offer to purchase a property or the interest in the property that is either:
(1) For a price and other material terms that are at least as favorable as those accepted by a purchaser in an arm’s length third-party contract; or,
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4 (2) In the absence of an arm’s length third-party contract, an offer to purchase with a price and other material terms comparable to that at which a willing seller and a willing buyer would sell and purchase the property, or the appraised value. “City” means the City of East Palo Alto, including any departments within the City that are assigned any responsibilities under this chapter.
“Condominium” means an estate in real property consisting of an undivided interest in common in a portion of a parcel of real property, together with a separate interest in space in a residential structure located on the real property in compliance with Civil Code Section 783. A condominium may include, in addition, a separate interest in other portions of the real property.
“Day or Days” means calendar day(s) unless otherwise stated. “Dwelling Unit” means a structure or the part of a structure that is used as a residence that provides complete, independent living facilities including permanent provisions for living, sleeping, eating, cooking and sanitation.
“Duplex” means a single building that contains two dwelling units or two dwelling units on a single parcel. Duplex does not include accessory residential units. “Junior Accessory Dwelling Unit (JADU)” means a dwelling unit that is no more than 500 square feet in size and contained entirely within a single-family residence, as defined in Chapter 18.96.
“Low-Income Households” are households whose income does not exceed sixty percent (60%) of the area median income, adjusted for family size and as published annually by the City.
“Listing or Marketing” means adding the property to the Multiple Listing Service (MLS) or any other private or public online database, or adding or disseminating information about the property on paper or digitally, with the intent of informing prospective Third-Party Purchasers or their representatives about the opportunity to purchase, promoting the property, or receiving communications from prospective buyers. “Median-Income Households” are households whose income does not exceed eighty percent (80%) of the area median income, adjusted for family size and as published annually by the City.
“Moderate-Income Households” are households whose income does not exceed one hundred and twenty percent (120%) of the area median income, adjusted for family size and as published annually by the City.
“Multiple-Family Dwelling” means any property with two or more dwelling units.
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5 “Non-Exempt” means a residential property or a transfer that is not exempt under provisions of this chapter.
“Notice of Intent to Sell” means a required notice from a non-exempt residential property owner of their intent to sell a residential property, to be provided to the Potential Eligible Purchasers prior to listing or marketing the residential property for sale. “Notice Period” means the time before a non-exempt residential property owner may list or market the residential property.
“Owner” means any natural person, corporation, association, partnership, joint venture, limited liability company, trustee, business entity and its respective agents, or any other entity, who is the owner of record of a residential property. “Owner-Occupied Single-Family Dwelling” means a single-family dwelling that is occupied by the owner(s) as the owner’s or owners’ principal residence. “Owner-Occupied Duplex” means a duplex in which at least one unit is occupied by the owner(s) as the owner’s or owners’ principal residence. “Owner-Occupied Triplex” means a triplex in which at least one unit is occupied by the owner(s) as the owner’s or owners’ principal residence. “Potential Eligible Purchaser” means the qualified entity purchasing a property. “Principal Residence” means a residential dwelling that is occupied and is the usual place of return of a natural person. A dwelling qualifies as a primary residence when the person has lived in the dwelling for more than fifty percent (50%) of the time in the year prior to the proposed sale; and the person acknowledges the dwelling as the person’s primary residence by voter registration, address on tax returns, homeowners exemption, and/or mailing address.
“Purchaser(s)” means subsidized Tenants, Qualified Nonprofits, or the City who are purchasing a Residential Property.
“Qualified Nonprofit” means an organization that is exempt from federal income tax under 26 USC Section 501(c)(3), or a California cooperative corporation that has the capacity to acquire, provide and manage affordable housing for low, very low, and extremely low income households, has a commitment to prevent displacement, has a demonstrated commitment to community engagement, and is certified by the City through an application process.
“Rent” means the consideration, including security deposit, cleaning deposit and any other deposits, bonus, benefit or gratuity demanded or received for or in connection with the use or occupancy of rental units and housing services. Rent includes monies and the
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6 fair market value of goods or services rendered to or for the benefit of the landlord under the rental agreement.
“Residential Property” means any property containing one or more dwelling units and located in the City.
“Right of First Offer” means the Potential Eligible Purchaser's right to first make an offer to purchase a residential property prior to its listing or marketing, following timely submittal of a Statement of Interest.
“Right of First Refusal” means the Potential Eligible Purchaser’s right to match a Third-Party Purchaser Bona Fide Offer to Purchase.
“Single-Family Dwelling” means a building, structure or dwelling unit, or portion of a building, structure, or dwelling unit principally designed for the residential habitation of one household, with all secure entrances leading to the same set of interior common areas.
“Statement of Interest” means a document submitted by a Potential Eligible Purchaser to the Owner of a non-exempt residential property stating an interest in purchasing the residential property in response to a Notice of Intent to Sell, which must be submitted prior to the expiration of the Notice Period.
“Statement of Rights and Obligations” means a statement provided by a Qualified Nonprofit to a Tenant that assigns their rights under this Chapter, or by a Qualified Nonprofit that purchases a residential property under this Chapter, outlining its responsibilities as the Potential Eligible Purchaser and/or Subsidized Purchaser. “Subsidized Purchaser” is any Tenant, Qualified Nonprofit, or City receiving public or private subsidy to support a purchase.
“Tenant” means a renter, tenant, subtenant, lessee or sublessee of a rental unit, or successor to a renter's interest, or any group of tenants, subtenants, lessees, or sublessees of any rental unit, or any other person entitled to the use or occupancy of such rental unit. “Third-Party Purchaser” means any person or entity that has entered into a bona fide contract of sale for a Residential Property prior to an Owner giving the Potential Eligible Purchaser(s) an opportunity to purchase at a price and terms that represent a Bona Fide Offer to Purchase.
“Triplex” means a single building that contains three dwelling units or three dwelling units on a single parcel. Triplex does not include accessory residential units.
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7 14.26.030 Applicability
This chapter applies to the sale or transfer of all Residential Property in the City unless otherwise exempted.
14.26.040 Exemptions
A. Exempt Residential Property. Residential Property not subject to the requirements of this chapter:
1. Owner-Occupied Single-Family Dwellings, including those with an Accessory Dwelling Unit(s) (inclusive of any Junior Accessory Dwelling Unit) when the Owner has occupied the Single-Family Dwelling or the ADU as the Owner’s Principal Residence for at least one (1) year or more.
2. Non-Owner-Occupied Residential Property owned by an East Palo Alto resident, when the Owner has occupied a Residential Property within East Palo Alto as the Owner’s Principal Residence for at least one (1) year or more. This exemption shall not apply to any Residential Property owned by:
a. A real estate investment trust, as defined in Section 856 of the Internal Revenue Code;
b. A corporation; or
c. A limited liability company in which at least one member is a corporation.
3. Owner-Occupied Condominiums when the Owner has occupied the Condominium as the Owner’s Principal Residence for at least one (1) year or more.
4. Any Owner-Occupied Duplex with or without any Accessory Dwelling Unit(s) (inclusive of any Junior Accessory Dwelling Unit) when the Owner has occupied any Dwelling Unit on the property as the Owner’s Principal Residence for at least one (1) year or more.
5. Any Owner-Occupied Triplex with or without any Accessory Dwelling Unit(s) (inclusive of any Junior Accessory Dwelling Unit) when the Owner has occupied any Dwelling Unit on the property as the Owner’s Principal Residence for at least one (1) year or more.
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8 6. Residential Property owned by the local, state, or federal government.
7. Residential Property subject to resale price control under Chapter 18.37 of East Palo Alto’s Municipal Code.
8. Residential Property owned by and operated as a hospital, convent, monastery, extended care facility, convalescent home, or dormitories owned by educational institutions.
B. Exempt Transfers. Transfers of Residential Property not subject to the requirements of this chapter:
1. An inter vivos transfer, whether or not for consideration, between spouses, domestic partners, parents and children, siblings, and/or grandparents and grandchildren.
2. A transfer for consideration by a decedent’s estate if the consideration arising from the transfer will pass from the decedent’s estate to, or solely for the benefit of, charity.
3. A transfer of legal title or an interest in an entity holding legal title to a Residential Property pursuant to a bona fide deed of trust or mortgage, and thereafter any transfer by foreclosure sale or deed in lieu of foreclosure pursuant to a bona fide deed of trust or mortgage. This exemption does not supersede any rights to purchase afforded to Potential Eligible Purchasers under California Civil Code Sections 2924(f)-(h), 2924(m)-(n), or 2929.3.
4. A transfer of bare legal title into a revocable trust, without actual consideration for the transfer, where one or more transferors is a current beneficiary of the trust.
5. A transfer by devise, descent, or operation of the law upon the death of a natural person.
6. A transfer pursuant to court order or court-approved settlement.
7. Any transfer to a public agency, including but not limited to a transfer by eminent domain or under threat of eminent domain.
8. Any transfer of a fractional interest in a Residential Property that is less than fifty percent (50%) of an undivided interest in the Residential Property.
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9 9. Any transfer in which the transferee receives a low-income housing credit pursuant to 28 U.S.C. § 42.
10. A transfer of a Residential Property with no more than four (4) Dwelling Units made for the purpose of either: (a) paying for imminently necessary health care expenses of an Owner of the Residential Property, or (b) an emergency circumstance placing the Owner in financial hardship and at imminent risk of foreclosure or bankruptcy and the Owner has occupied the Residential Property as the Owner’s Principal Residence during the prior year. For purposes of this subsection only, “Owner” shall be limited to a natural person having an undivided interest in the Residential Property of at least fifty percent (50%). An Owner may claim this Exempt Transfer within one (1) year of having vacated the Residential Property where the Owner demonstrates the existence of the conditions set forth in this subsection.
C. Transfer Exemption Procedures. The Owner shall submit a Certificate of Exemption signed under penalty of perjury to the City after deciding to sell and before marketing the property, self-certifying one of the exemptions described in subsection B. A Certificate of Exemption must be accompanied by supporting documents as set forth in the Administrative Guidelines. The City shall make the template Certificate of Exemption available on the City website. This section shall not be construed to or used in a manner that unreasonably delays an Owner’s valid and lawful transfer of a real property interest under Exempt Transfers.
14.26.050 Qualified Nonprofits
A. Certification, Term, and Renewal. The City Council shall certify and recertify Qualified Nonprofits through an application process as set forth in the Administrative Guidelines. A nonprofit organization’s certification as a Qualified Nonprofit shall be valid for five (5) years. The City Manager or designee shall solicit new applications for Qualified Nonprofit status at least once each calendar year, at which time existing Qualified Nonprofits shall be eligible to apply for renewed certification. A list of Qualifying Nonprofits shall be published on the City’s website.
B. Disqualification of Qualified Nonprofits. The City Manager or designee shall promptly investigate any complaint alleging that a Qualified Nonprofit has failed to comply with this chapter. If after providing the Qualified Nonprofit with notice and opportunity to respond, the City Manager or designee determines that an organization listed as a Qualified Nonprofit has failed to comply with the requirements of this chapter, the City Manager or designee shall bring a recommendation to City Council to limit, suspend, or revoke that organization’s certification as a Qualified Nonprofit.
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10 14.26.060 Assignment of Rights
A. A Tenant living in a Non-Exempt Single-Family Dwelling with Absentee Owner(s) may assign rights to a Qualified Nonprofit.
B. A Qualified Nonprofit assignee shall sign and submit a “Statement of Rights and Obligations” to the Tenant. The content of the statement shall be set forth in the Administrative Guidelines.
C. The assignment of rights may occur at any time in the process, but must occur contemporaneously with actions taken pursuant to Sections 14.26.080 and 14.26.090.
D. Neither Qualified Nonprofit assignees nor the assignor shall accept any payment or reward in exchange for the assignment of rights under this section.
Continuing to rent the Single-Family Dwelling at an affordable rate shall not be considered payment or reward.
14.26.070 Notice of Intent to Sell; Statement of Interest A. Notice of Intent to Sell. An Owner of a Non-Exempt Residential Property shall provide all Potential Eligible Purchasers a Notice of Intent to Sell prior to listing or marketing a Residential Property for sale. The City shall make the template Notice of Intent to Sell available on the City website. The Notice of Intent to Sell shall be sent to each Potential Eligible Purchaser as set forth in the Administrative Guidelines, and shall include the following:
1. A statement that the Owner intends to sell the Residential Property.
2. A statement describing the rights of Potential Eligible Purchasers and stating the deadlines for exercising those rights.
3. Instructions for submitting a Statement of Interest.
B. Statement of Interest. To be eligible to submit a Statement of Interest, within fifteen (15) days of receiving the Owner’s Notice of Intent to Sell, a Potential Eligible Purchaser shall notify the Owner at the address provided in the Notice of Intent to Sell of the Potential Eligible Purchaser’s intent to submit a Statement of Interest. A Potential Eligible Purchaser then has a maximum of thirty (30) days from the receipt of the Notice of Intent to Sell to deliver the Statement of Interest to the Owner of the Residential Property. The Statement of Interest shall notify the Owner of the Potential Eligible Purchaser’s interest in exercising the Right of First Offer and/or Right of First Refusal. The City shall make the template Statement of Interest available on the City website.
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11 C. Disclosure Package. Within five (5) days of receiving a Statement of Interest, the Owner must provide a disclosure package that includes documents and information set forth in the Administrative Guidelines, and at minimum, an itemized list of annual income and expenses, including but not limited to rent and other income collected, and costs of management, insurance, utilities, maintenance, and repairs.
D. Effect of Statement of Interest. Receipt of a timely Statement of Interest and transmission of a disclosure package shall extend the Notice Period as follows:
Dwelling Type Extended Notice Period
Single Family 30 calendar days
Multiple 2-3 Units 60 calendar days
Multiple 4+ Units 90 calendar days
During the extended Notice Period, Potential Eligible Purchasers may submit an offer to purchase the property pursuant to Section 14.26.090.
E. Prohibition on Listing or Marketing Property During Notice Period. The Owner of a Residential Property shall be prohibited from listing or marketing the Residential Property for sale prior to the expiration of the Notice Period.
14.26.080 Potential Eligible Purchasers and Priority Order A. Before the Owner of a Residential Property may list or market that property for sale to any purchaser, the Owner shall give all Potential Eligible Purchaser(s) an opportunity to purchase at a price and terms that represent a Bona Fide Offer to Purchase.
The Owner is not required to give the Potential Eligible Purchaser(s) an opportunity to purchase when the Owner has received an unsolicited offer unless the Owner takes any action to accept the unsolicited offer.
B. Potential Eligible Purchasers for Tenant-Occupied Single-Family Dwellings and Condominiums from Absentee Owner(s) not maintaining a Principal Residence in City include Tenants, Qualified Nonprofits, and the City, in that order.
1. Notice of Intent to Sell. The Owner must provide all Potential Eligible Purchasers with a Notice of Intent to Sell.
2. Statement of Interest. All Potential Eligible Purchasers are allowed to submit a Statement of Interest to Purchase.
3. Right of First Offer.
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12 a. In the event a Tenant submits a Statement of Interest in response to the Notice of Intent to Sell, the statement shall be given priority over any Statement of Interest submitted by a Qualified Nonprofit or the City.
Nothing prohibits the Tenant(s) from assigning their Right of First Offer to a Qualified Nonprofit after submitting a Statement of Interest. A Qualified Nonprofit may be conferred a Right of First Offer if a Tenant assigns in writing the Tenant’s Right of First Offer, or executes a written waiver of the Tenant’s Right of First Offer, or no Tenant submits a Statement of Interest.
b. In the event Qualified Nonprofit(s) and no Tenant submits a Statement of Interest in response to the Notice of Intent to Sell, the statement(s) shall be given priority over any statement submitted by the City. c. In the event no Tenant or Qualified Nonprofit submits a Statement of Interest, any Statement of Interest submitted by the City shall be considered.
4. Right of First Refusal.
a. In the event the Owner rejects all offer(s) submitted by Potential Eligible Purchasers and receives a Third-Party Purchaser Bona Fide Offer to Purchase, the Owner must notify all the Potential Eligible Purchasers who timely submitted a Statement of Interest and an offer, and provide the Potential Eligible Purchasers an opportunity to submit a matching offer, giving priority as in the Right of First Offer. b. A Qualified Nonprofit may be conferred a Right of First Refusal if a Tenant assigns in writing the Tenants’ Right of First Refusal, or executes a written waiver of the Tenants’ Right of First Refusal, or no Tenant submits a Statement of Interest.
c. The City may be conferred a Right of First Refusal if a Tenant executes a written waiver of the Tenants’ Right of First Refusal; or no Tenant or Qualified Nonprofit submits a Statement of Interest.
C. Potential Eligible Purchasers for Non-Tenant Occupied Single Family Dwellings and Condominiums, Duplexes and Triplexes (with or without tenants) and MultipleFamily Dwellings, with four (4) or more units (with or without tenants), from Absentee Owner(s) not maintaining a Principal Residence in City include Qualified Nonprofits and the City, in that order.
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13 1. Notice of Intent to Sell. The Owner is required to provide all Potential Eligible Purchasers with a Notice of Intent to Sell.
2. Statement of Interest. All Potential Eligible Purchasers are allowed to submit a Statement of Interest.
3. Right of First Offer.
a. In the event any Qualified Nonprofit submits a Statement of Interest in response to the Notice of Intent to Sell, the statement(s) shall be given priority over any statement submitted by the City.
b. In the event no Qualified Nonprofit submits a Statement of Interest, any Statement of Interest submitted by the City shall be considered, and the City may proceed with the Right of First Offer process.
4. Right of First Refusal.
a. In the event the Owner rejects the offer(s) submitted by all Potential Eligible Purchasers and receives a Third-Party Purchaser Bona Fide Offer to Purchase, the Owner must notify all the Potential Eligible Purchasers, who timely submitted a Statement of Interest and an offer, and give priority in the order described.
b. In the event the Qualified Nonprofits do not submit a match to the Bona Fide Offer to Purchase, the City’s offer will stand.
14.26.090 Offer to Purchase
A. Submission of Offer to Purchase. The Potential Eligible Purchaser may deliver to the Owner of the Residential Property an offer to purchase the property at any time prior to the expiration of the Notice Period. The Owner may accept or reject any offer to purchase received from a Potential Eligible Purchaser following the steps set forth in Section 14.26.080.
Dwelling Type Notice Period*
Single Family 60-65 calendar days
Multiple 2-3 Units 90-95 calendar days
Multiple 4+ Units 120-125 calendar days
*Range based on Disclosure Package timeframe.
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14 B. Acceptance of Offer to Purchase. Upon acceptance of an offer to purchase a Residential Property, the Potential Eligible Purchaser shall make reasonable and good faith efforts to close escrow on the transaction. The timeline for close of escrow is:
Dwelling Type Close of Escrow Extended Escrow Period
Single Family 30 calendar days 60 calendar days*
+ any agreement between the
parties
Multiple 2-3
Units
90 calendar days Any agreement between the
parties
Multiple 4+
Units
120 calendar days Any agreement between the
parties
*If the Potential Eligible Purchaser provides written documentation that the lender requires a commercial loan for the purchase of the property.
C. Termination of Right of First Offer. Upon rejection of all offers to purchase made within the Notice Period, or the expiration of the Notice Period, the Owner may list and market for sale the Residential Property and may solicit and conditionally accept offers from a Third-Party Purchaser, subject to the requirements of Section
14.26.100.
14.26.100 Exercise of Right of First Refusal
A. Disclosure of Third-Party Offer to Purchase. An Owner interested in accepting a Bona Fide Offer to Purchase from a Third-Party Purchaser shall disclose that offer to any Potential Eligible Purchaser that submitted a Statement of Interest and an Offer within fifteen percent (15%) of the offer received by the Owner from the Third-Party Purchaser. Within two (2) days of receipt of the Third-Party Purchaser Bona Fide Offer to Purchase, the Owner shall disclose all material terms, together with all commercially reasonable disclosures, in substantially the same form and having substantially the same content as would be provided to any prospective ThirdParty Purchaser; provided, however, that any confidential information not necessary to comply with the requirements of this section shall be redacted from such offers.
B. Right of First Refusal. Any Potential Eligible Purchaser that submitted a Statement of Interest and an Offer within fifteen percent (15%) of the Offer received by the Owner from the Third-Party Purchaser may exercise a Right of First Refusal and match the Bona Fide Offer to Purchase of the Residential Property within the time period set forth in this section. To exercise its Right of First Refusal, the Potential Eligible Purchaser must accept all material terms of the Offer to Purchase except for the time to close escrow as described in this section and the deposit amount
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15 as described in Section 14.26.110; provided, however, the financing of the Potential Eligible Purchaser’s purchase shall not be considered a material term of the Offer to Purchase so long as it does not affect the net value of the Sale to the Owner.
C. Time to Exercise Right of First Refusal. The Owner shall provide any Potential Eligible Purchaser that submitted a Statement of Interest and an Offer within fifteen percent (15%) of the Offer received by the Owner from the Third-Party Purchaser with these minimum amount of times to accept the Offer:
Dwelling Type Exercise of Right of First
Refusal
Single Family 5 calendar days
Multiple 2-3
Units
20 calendar days
Multiple 4+ Units 20 calendar days
The acceptance of an Offer to Purchase by any Potential Eligible Purchaser extinguishes any Right of First Refusal of other Potential Eligible Purchasers.
D. Time to Close Escrow. Upon acceptance of the Offer to Purchase, the Potential Eligible Purchaser shall have these minimum amounts of times to close escrow:
Dwelling Type Close of
Escrow
Extended Escrow Period
Single Family 30 calendar
days
60 calendar days*
+ any agreement between the
parties
Multiple 2-3 Units 90 calendar
days
Any agreement between the
parties
Multiple 4+ Units 120 calendar
days
Any agreement between the
parties
*If the Potential Eligible Purchaser provides written documentation the lender requires a commercial loan for the purchase of the property.
E. Rejection of Offer or Failure to Close. If each Potential Eligible Purchaser entitled to receive an Offer to Purchase rejects or fails to accept the Offer to Purchase within the time set forth in this section or if a Potential Eligible Purchaser that accepts an Offer to Purchase fails to close escrow within the time set forth in this section, the Owner may immediately proceed with the sale or transfer of the Residential Property to a Third-Party Purchaser.
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16 F. Notwithstanding any other provision of this section, conditional sales agreements between an Owner and a Third-Party Purchaser are permitted so long as the agreement is subject to the contingency that no Potential Eligible Purchaser exercises a Right of First Refusal conferred by this chapter.
14.26.110 Contract Negotiation
A. Bargaining in Good Faith. The Potential Eligible Purchaser and Owner shall bargain in good faith. The following constitute prima facie evidence of not bargaining in good faith:
1. The failure of an Owner to offer the Potential Eligible Purchaser a price or term at least as favorable as that offered to a third party, without a reasonable justification for so doing;
2. The failure of an Owner to make a contract with the Potential Eligible Purchaser which substantially conforms with the price and terms of a thirdparty contract within the time periods specified in this chapter, without a reasonable justification for so doing; or
3. The intentional failure of a Potential Eligible Purchaser or an Owner to comply with the provisions of this chapter.
B. Reduced Price. If the Owner sells or contracts to sell the Residential Property to a Third-Party Purchaser for a price more than fifteen percent (15%) less than the price offered to the Potential Eligible Purchaser or for other terms which would constitute not bargaining in good faith, the sale or contract is void and the Owner shall comply anew with all requirements of this chapter as applicable.
C. Financial Assurances. The Owner may not require the Potential Eligible Purchaser to prove financial ability to perform as a prerequisite to entering into a contract. The Owner may not require the Potential Eligible Purchaser to pay the purchase price in installments unless the Owner provides deferred purchase money financing on terms reasonably acceptable to the Potential Eligible Purchaser. The Owner may require the Potential Eligible Purchaser to prove that the Potential Eligible Purchaser, either alone or in conjunction with a third party, has comparable financial ability to the Third-Party Purchaser before the Owner will be required to grant deferred purchase money financing to the Potential Eligible Purchaser on the same terms and conditions agreed between the Owner and the Third-Party Purchaser. If the Potential Eligible Purchase can prove comparable financial ability alone, the Owner may not require the Potential Eligible Purchaser to secure a third-party guarantor. This proof cannot be required as a prerequisite to contracting. It may be required only as a prerequisite to the Owner granting deferred purchase money financing at settlement.
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17 D. Transfers of Interest in a Partnership or Corporation and Master Leases. In the event of a transfer of interest in a partnership or corporation or in the event of a master lease or agreement that is considered a sale but which does not involve a transfer of record title to the real property, the Owner shall be bargaining in good faith if the Owner offers the Potential Eligible Purchaser the opportunity to acquire record title to the real property or offers the Potential Eligible Purchaser the opportunity to match the type of transfer or agreement entered into with the third party. With respect to either type of offer, all provisions of this chapter apply.
E. Deposit. The Owner shall not require the Potential Eligible Purchaser to pay a deposit of more than three percent (3%) of the contract sales price to make a contract.
The deposit is refundable in the event of a good faith failure of the Potential Eligible Purchaser to perform under the contract unless otherwise provided in the contract.
14.26.120 Long-Term Affordability and Tenant Protections in Properties Purchased Pursuant to this Chapter
All Residential Properties purchased pursuant to this chapter, except for Single-Family Dwellings purchased with no subsidy, shall be subject to rental affordability restrictions and restrictions on the resale value of a given property.
A. Subsidized Purchaser(s). In exchange for the rights conferred by this chapter, Subsidized Purchasers shall sign and submit a Statement of Rights and Obligations, available on the City website, agreeing to maintain the Residential Property as permanently affordable. This Statement of Rights and Obligations shall be recorded.
B. Rental Units. If, upon purchase, the average rental rate of the units in the property, based on the existing tenancies of the non-purchasing Tenants exceeds a rent affordable to 50% AMI households, the new Owner shall rent each vacant unit to 50% AMI income households until the 50% AMI rental rate average is achieved. Future rental rates of any vacant units shall not exceed a rent affordable to Low-Income Households.
C. Owned Multiple-Family Units. The sales price shall be calculated based on Chapter 18.37 of the East Palo Alto Municipal Code and the inclusionary housing guidelines. The sales price for any vacant units shall be set at an affordable price to Median Income Households and to Moderate Income Households, with the first vacant unit restricted to Median Income Households. The resale or transfer of ownership units shall be subject to long-term affordability covenants consistent with Section 18.37.100 of the East Palo Alto Municipal Code.
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18 D. Permanent affordability standards shall remain in force in perpetuity or for no less than ninety-nine (99) years and be renewable. The standards shall be evidenced by one of the following:
1. A restrictive covenant placed on the deed to the Residential Property that runs with the land and is enforceable by the City against the purchasers and their successors;
2. A Community Land Trust lease, which is a ninety-nine (99)-year renewable land lease with affordability and Owner-occupancy restrictions; or
3. Affordability covenants in land leases or other recorded documents which run with the land and are enforceable.
E. The sale of a Residential Property pursuant to this chapter shall not impair the rights of any Tenant under Chapter 14.04 of the East Palo Alto Municipal Code or any other applicable state law or local law. Further, any Tenant who resides in any unit at the time of the sale of a Residential Property under this chapter shall not be subject to eviction based on their failure to meet income restrictions or other eligibility requirements imposed by this section.
F. All covenants created in accordance with this section shall be recorded with the San Mateo County’s Recorder’s Office.
G. Required Filing to Certify Compliance with Affordability Restrictions. In the case that permanent affordability restrictions materialize as a covenant enforceable by the City, the Owner(s) of the Residential Property shall file a document every three (3) years with the City in which the Owner(s) affirmatively state the rents for each unit in the Residential Property.
14.26.130 Prohibited Conduct
A. The sale or transfer of any Residential Property subject to this chapter is prohibited unless the Owner complies with Section 14.26.040. Any change of ownership of real property as defined in Revenue & Taxation Code § 64(c) shall be considered a sale or transfer of Real Property for purposes of this chapter.
B. A Tenant or Potential Eligible Purchaser shall not sell any right afforded to them under this chapter or sell a waiver of any such right.
C. An Owner shall not coerce a Potential Eligible Purchaser to waive their rights, retaliate against or harass a Tenant seeking to exercise their rights, or engage in conduct intended to prevent a Tenant from exercising their rights under this chapter.
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19 D. Any agreement between the Owner and a Potential Eligible Purchaser to shorten the time periods provided for exercise of any right afforded under this chapter is prohibited unless all other Potential Eligible Purchasers have waived their rights under this chapter. Notwithstanding the foregoing, any Potential Eligible Purchaser may affirmatively indicate they have no interest in a Residential Property prior to the expiration of any deadlines and in accordance with the Administrative Guidelines.
Nothing in this section shall prohibit an agreement to extend the deadlines set forth herein.
14.26.140 Confidentiality
Any information exchanged between Owner(s) and Potential Eligible Purchasers intended to facilitate the sale of property including, but not limited to, disclosures, any intent to sell, and terms and conditions of an offer of sale, shall be kept confidential to the greatest extent permitted by law. This section shall not prohibit disclosure of information necessary to effectuate the purpose of this chapter to any Owner, Tenant, Qualified Nonprofit, or to the City or its agents or contractors, nor shall this chapter be construed to limit disclosure of information in response to a lawfully issued subpoena or court order.
14.26.150 Enforcement
A. Owner Certification. No later than thirty (30) days after any sale, the Owner(s) shall record with the San Mateo County’s Recorder's Office, through the escrow company that facilitates the sale of the property, a signed declaration, under penalty of perjury, affirming that the sale of that property substantially complied with the requirements of this chapter. Owner shall instruct the escrow company to file a copy of the Owner Certification with the City. The City will publish addresses of all such sales on its website.
B. The City Attorney, any non-exempt Owner subject to the provisions of this chapter, and/or any Potential Eligible Purchaser may bring a civil action to enforce this chapter and shall be entitled to the remedies set forth in this section to the greatest extent permitted by law.
C. A prevailing party in any action to enforce this chapter shall be entitled to civil damages according to proof and reasonable attorneys’ fees and costs. Any court of competent jurisdiction may enforce the affordability requirements of this chapter, when applicable. Any court of competent jurisdiction may enjoin a transfer or sale of Property, or rescind a sale of Property, where the Owner failed to comply with requirements of this chapter, and may order that an Owner comply with the requirements of this chapter.
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20 D. Penalties for violation of this chapter:
1. Any violation shall be subject to a civil penalty not to exceed $1,000 per day of violation. Each failure to provide the required notice or disclosure shall be considered a separate violation for each unit on a Property.
2. If the Owner’s violation was knowing or willful, mandatory civil penalties equal to ten percent (10%) of the sale price for a first violation; twenty percent (20%) for the second, and thirty percent (30%) for each violation thereafter.
E. Suspension or Disqualification of Qualified Nonprofits. The City shall promptly investigate any complaint alleging that a Qualified Nonprofit has failed to comply with this chapter. If, after providing the Qualified Nonprofit with notice and opportunity to be heard, the City determines that a Qualified Nonprofit has failed to comply with this chapter, the City may suspend or revoke a Qualified Nonprofit’s certification.
14.26.160 Financial Assistance
A. The City Manager or designee shall develop guidelines, which shall be subject to approval by the City Council, for providing financial assistance to allow for the acquisition of Residential Property. Financial assistance may be provided to Potential Eligible Purchasers. Nothing in this section commits the City Council to providing a specified level of funding for the acquisition of Residential Property under this chapter.
B. The provision of financial assistance to any Tenant who acquires an interest in a Residential Property pursuant to this chapter must be conditioned on the Tenant’s agreement to reside at the Residential Property for at least three (3) years.
The City Manager or designee is authorized to impose a lien on the Residential Property to enforce the requirements of this section.
14.26.170 Implementation
A. The City Council shall initially approve the Administrative Guidelines necessary to implement the requirements of this Chapter. Thereafter, the City Council may delegate to the City Manager the authority to amend the Administrative Guidelines as needed.
B. The City shall annually post and update the City’s website with information on the East Palo Alto Opportunity to Purchase Act process, including information
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21 about rights and sales.
C. The City Manager or designee shall develop online and printed forms and databases Qualified Nonprofit list and registry, and other administrative services to ensure efficient management of the program.
SECTION 3. CALIFORNIA ENVIRONMENTAL QUALITY ACT
This Ordinance is not subject to CEQA because it is not a “project” which would have a direct physical change or a reasonably foreseeable indirect physical change on the environment pursuant to California Environmental Quality Act ("CEQA") Guidelines section 15378. Even if it were a project subject to CEQA review, this project would be exempt from CEQA Guideline Section 15378 (regulatory actions), Section 15061(b)(3) (no significant environmental impact), and Section 15183 (actions consistent with the general plan and zoning).
SECTION 4. SEVERABILITY.
If any section, subsection, sentence, clause, phrase, or word of this Ordinance is for any reason held to be invalid by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed and adopted this Ordinance, and each and all provisions hereof, irrespective of the fact that one or more provisions may be declared invalid.
SECTION 5. EFFECTIVE DATE.
This Ordinance shall take effect and be in full force on July 1, 2022.
SECTION 6. PUBLICATION.
The City Clerk is hereby directed to cause publication of this Ordinance as required by Government Code Section 36933.
This Ordinance was introduced at the______________ meeting of the City Council of the City of East Palo Alto.
PASSED AND ADOPTED this _____ day of ______________, 2022 by the following vote:
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22 AYES:
NOES:
ABSENT:
ABSTAIN:
______________________________
Ruben Abrica, Mayor
ATTEST: APPROVED AS TO FORM:
___________________________ _______________________________ City Clerk Valerie J. Armento, Interim City Attorney
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EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Tomohito Oku, Finance Director
SUBJECT: Mid-year Budget Amendment FY21-22
Recommendation
Adopt a Resolution approving:
1. Amendments to the Fiscal Year (FY) 2021-22 Budget
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 2: Enhance Economic Vitality
Priority No. 3: Increase Organizational Effectiveness and Efficiency Priority No. 5: Improve Communication and Enhance Community Engagement Background
The City Council approved the FY 2021-22 Adopted Budget on June 15, 2021. The Adopted Budget (excluding Successor Trust) reflects total revenues of $43M and total expenditures of $41.4M resulting in positive net change in fund balance of $1.6M across all funds.:
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Description
General
Fund /
General
Reserves
Restricted
Funds
Capital
Funds
Enterprise
Funds
TOTAL CITY
FUNDS
Total Revenues 28,920 9,802 271 3,996 42,989
Total Expenditures (29,398) (7,828) (377) (3,815) (41,418) Net Sources / (Uses) (478) 1,974 (106) 181 1,571
Net Transfers 478 (699) 221 - -
Change in Fund
Balance - 1,275 115 181 1,571
(In 000's)
FY 21-22 Adopted - Citywide Funds
Since the adoption, we continue to experience COVID-19 negative impacts on the City organization in terms of revenue reductions, community needs and distress, diversion of resources, remote work within aged technology systems, and shifting economic and social trends. The City is also experiencing a high rate of employee turnover creating 16 vacancy FTEs which appears to be impacted by the nationwide phenomena called “Great Resignation”.
The turnover has been providing salary saving to the City but inversely increasing the cost in professional services which were previously approved by Council during previous meetings and included in “Approved/Carry-forward” columns in the following tables. However, salary savings are not included in such columns or “Proposed” reductions in the tables. The City appropriately estimated the potential for severe impacts during FY 2021-22, and mid-year trend information supports the general estimates and approach with noted changes, either positive or negative, in certain tax resources. What remains uncertain is the recovery trajectory of impacted industries - and what a “normal” economic cycle might be. For East Palo Alto, a lack of commercial diversity in revenue resources requires that we remain cautious and aware of the heightened risk (i.e. uncertainty) in assumptions regarding recovery to “normalcy”. We believe our budget assumptions keep us steady for the very near-term under current conditions.
Recent trend information supports maintaining the conservative budget approach adopted by Council and additionally supports a cautionary path forward in expenditure decisions due not only to continued economic impacts of the pandemic, but also, due to the City’s existing revenue challenges broadly stated as:
1) Extended gaps in taxable development projects and uncertainty in timing of development completion due to underlying infrastructure challenges1 and need to analyze and support specific plan update in the Ravenswood Business District. 2) Property tax funding shortfalls related to State legislation regarding school funding and in-lieu vehicle license fees.
3) Recent property tax funding impacts related to Redevelopment Dissolution emerging case law regarding pre-existing agreements of former Redevelopment Agencies.
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These challenges are partially offset by fiscal resiliency measures such as significant improvements to the Comprehensive Fee Schedule, new impact fees2, and continuing to address improvements in cost recovery of services performed.
Analysis
General Fund
The General Fund Amended net change in fund balance increased a total of $0.8M; from zero to $0.8 M. The amended/carryforward changes relate to Council amendments previously approved including absorption of PD personnel costs by ARPA fund for $3.4M offset by a reduction of $1.3M transfer-in from the same fund. There were additional capital expenditures of $1.6M mainly related to SFCJPA that were previously approved by the Council. The proposed mid-year changes are discussed below:
Description
FY 21-22
Adopted
Amended/
Carry -
Forward
Proposed
Total General
Fund/Reserves
Total Revenues 28,920 99 (270) 28,749
Total Expenditures (29,398) 886 2,958 (25,555)
Net Sources / (Uses) (478) 985 2,688 3,194
Net Transfers 478 (1,301) (1,558) (2,381)
Change in Fund Balance - (317) 1,130 813
(In 000's)
FY 2021-22 Q2 - General Fund and Reserves
General Fund Revenues
The General Fund amended (after proposed) decreased in revenues equals $0.2M which is mainly attributable to increases in tax revenue including Property tax in-lieu of VLF ($1.0M), TOT ($0.2M), Utility taxes ($0.13M) offset by reductions in sales tax revenues and Passthrough development revenues for $0.2M and $1.4M, respectively. Since Pass-through development revenues have associated costs reductions, there is no significant impact on the reserve. The table below shows comparison by revenue source between FY21 audit, FY22 adopted and FY22 Mid-year amended.
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FY 2020-21
AUDIT
FY 2021-221
ADOPTED
FY 2021-22 MID
YEAR
Property Tax $ 14,320,885 $ 13,935,000 $ 14,935,000
Sales Tax $ 5,422,953 $ 5,575,000 $ 5,375,000
Transient Occupancy Tax $ 152,771 $ 550,000 $ 750,000
Business License Tax $ 1,223,696 $ 1,280,000 $ 1,280,000 Other Revenues $ 5,453,463 $ 4,485,000 $ 4,714,040
Subtotal $ 26,573,767 $ 25,825,000 $ 27,054,040
Pass-Through Development $ 1,614,186 $ 3,095,000 $ 1,695,000 Total Revenues $ 28,187,953 $ 28,920,000 $ 28,749,040
Current trends by category are as follows:
Property tax - the shortfall in Property tax in-lieu of vehicle license fee (VLF) was less significant than our estimate approximately for $1.0M. This shortfall is currently projected as a reduction that will continue to occur and grow as more San Mateo County schools become “basic aid” but ultimately will be repaid by the State. Some encouraging news is that the State of California agreed to backfill the FY 2020-21 shortfall. While the State consistently has backfilled smaller shortfalls in the past, there is no legislative mandate to provide for State replacement funding, and there is no certainty regarding the State’s future response as the shortfall continues to grow. In addition, unrelated Court challenges also will result in loss of RPTTF of approximately $500,000 annually with some current impact deferred to next year.
Sales tax - due to uncertainty of sales tax revenues, Finance is providing an estimate of $5.4M which is $0.2M less than the adopted estimate and outside consultant estimates of $5.6M but down only about 10% from pre-COVID levels ($6.0M) in FY18-19. We will continue to monitor monthly payments to affirm $5M range estimate.
Transient Occupancy Tax - current trends indicate a positive budget adjustment of $0.2M with high uncertainty. The collection remains suppressed at approximately 69% below pre-COVID levels, East Palo Alto has extreme concentration risk, the hotel was experiencing high “private equity” turnover and is located in high technology hub where business travel is severely impacted.
Business License Tax - too early to determine final status, notable improvement in gross rental receipts tax as overall tax is only down approximately 19% from normal operating estimates.
Regular business license has cases pending determination, and to date receipts remain notably lower than pre-COVID activity.
Other Revenues - In FY21, we experienced notable improvements in counter activity for permits and charges for services, combined with increased fees under the updated Comprehensive Fee schedule, improved estimates significantly. However, it’s too early to determine final status for FY22 considering possible mean reversion from the previous year’s overachievement.
Pass through Development - these revenues are offset by contractual costs. Given staff disruption due to remote work, it may not be likely the City will complete $3.1M of work effort.
Current trends indicate a reduction of $1.4M in the revenues. However, the net impact on reserves is minimal since reduced revenues will be offset by reduced expenditures. Major
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projects include University Circle II, Job Train, and RBD Specific Plan update.
General Fund Expenditures
The General Fund Amended decrease in expenditures, excluding transfers, totals $3.8M.
Notable changes in expenditures include PD personnel costs absorbed by ARPA fund for $3.4M; offset by other amendments previously approved by Council. The proposed changes include $1.4M reductions associated to Pass-through development costs mentioned previously in the discussion of General fund revenue above. The proposed reductions do not include amounts for estimated vacancy savings of approximately $1.1M including the PD personnel costs transferred to ARPA fund.
General Fund transfer-out increased $1.6M due to reclassification of amended capital expenditures previously approved for $1.6M including SFCJPA Reach II Flood Project ($1.5M) and restoration of capital reductions ($0.1M). Additionally, General fund transfer-in decreased for $1.3M attributable to cancelation of ARPA fund transfer consequential to the PD personnel costs absorption by ARPA fund totaling a net increase in General fund transfers for $2.9M as noted below:
FY 2021-22
ADOPTED
FY 2021-22
MID YEAR
State Gas Tax $ 64,500 $ 64,500
NPDES $ 156,570 $ 156,570
Successor Housing $ 281,130 $ 281,130
Drainage District $ 100,140 $ 100,140
ARPA $ (1,301,450) $ -
Capital Improvement $ 220,915 $ 1,778,660
Total Transfers $ (478,195) $ 2,381,000
The table below reflects expenditure amendments by department:
9.1 Packet Pg. 104
DEPARTMENT
FY 2021-22
BASELINE
FY 2021-22
ADOPTED
FY 2021-22
MID-YEAR
AMENDED $ Chg
%
Chg
City Council 192,770 175,250 175,250 - 0.0%
City Attorney 846,435 816,435 816,435 - 0.0%
City Clerk 375,260 299,130 299,130 - 0.0%
City Manager 1,540,455 1,588,285 1,695,585 107,300 7.0% Administrative Services 1,445,490 1,427,985 1,527,775 99,790 6.9% Finance 1,285,745 1,338,035 1,343,035 5,000 0.4%
Community Development 2,967,670 2,609,550 3,221,730 612,180 20.6% CEDE - Pass Through 1,500,000 2,700,000 1,300,000 (1,400,000) -93.3% Public Works 4,040,090 3,951,150 4,038,990 87,840 2.2%
PW - Pass Through 100,000 100,000 100,000 - 0.0%
Police 13,004,670 13,011,410 9,755,350 (3,256,060) -25.0% Non-Departmental
Capital/Technology 1,306,250 579,085 458,380 (120,705) -9.2% Insurance and Settlements 997,250 615,000 615,000 - 0.0% Other Non-Departmental 638,540 1,020,790 1,042,030 21,240 3.3% Overhead Allocation (833,910) (833,910) (833,910) - 0.0% Sub-total 29,406,715 29,398,195 25,554,780 (3,843,415) -13.1% Transfers 815,735 823,255 2,381,000 1,557,745 191.0%
Total Expenditures $ 30,222,450 $ 30,221,450 $ 27,935,780 $ (2,285,670) -7.6% A detail mid-year comparison of current to prior year General Fund budget to actual is presented in Attachment 1. In comparison to the prior year, the General Fund budget, as proposed, appears within the boundaries of recent mid-year trends indicating the budget overall is within a reasonable range given current information inputs and our conservative approach.
Restricted Funds
The Restricted Funds Amended net change in fund balance decreased $0.8M from $1.3M to $0.5M. The amended/carryforward changes relate to Council amendments previously approved including the $3.4M PD personnel costs absorption by ARPA fund from General fund offset by the counterpart reduction in transfer ($1.3M). There are small capital expenditures carried forward from NPDES fund, Lighting fund and Measure W fund totaling about $0.5M as well as encumbrances carried forward from Federal and State grant fund, Measure HH fund and Local grant fund totaling about $0.4M. The proposed mid-year changes include a slight increase in TOT revenues in the CYSFF and Affordable Housing TOT funds by $50K or $25K in each fund. The proposed revenues also includes $240K CalHome grant with associated loan disbursements for the same amount which is included in the proposed expenditures offsetting a $1.7M reduction in proposed expenditures for loan matching via HEART (965 Weeks) previously approved by the Council but delayed in process and will be carried forward to the next year. The following table summarizes the amended changes in restricted funds;
9.1 Packet Pg. 105
Description
FY 21-22
Adopted
Amended/
Carry -
Forward
Proposed
Total
Restricted
Total Revenues 9,802 448 290 10,540
-
Total Expenditures (7,828) (4,320) 1,460 (10,688)
Net Sources / (Uses) 1,974 (3,871) 1,750 (147)
Net Transfers (699) 1,301 - 602
Change in Fund Balance 1,275 (2,570) 1,750 455
(In 000's)
FY 2021-22 Q2 - Restricted Funds
Capital Funds
The Capital Funds Amended net change in fund balance increased $0.2M from $0.1M to $0.3M. The amended/carryforward changes relate to carryforward capital balances for the Bay Road capital project for about $3.6M and additional change orders related to Bay Road project for about $2.3M approved in December 2021 - which is primarily grant-funded with required City matching funds which reflects an increase in grant revenues for $4.8M. The proposed mid-year changes include additional capital transfers from the General Fund for reclassification of amended capital expenditures previously approved for $1.6M including SFCJPA Reach II Flood Project ($1.5M) and restoration of capital reductions ($0.1M) as mentioned previously in General fund expenditure discussion above. The following table summarizes the amended changes in Capital funds:
Description
FY 21-22
Adopted
Amended
/ Carry -
Forward
Proposed
Total
Capital
Total Revenues 271 5,134 - 5,405
Total Expenditures (377) (6,490) - (6,867)
Net Sources / (Uses) (106) (1,356) - (1,462)
Net Transfers 221 - 1,558 1,779
Change in Fund
Balance 115 (1,356) 1,558 317
(In 000's)
FY 2021-22 Q2 - Capital Funds
Enterprise Funds
The Enterprise Funds Amended net change in fund balance decreased $0.6M from $0.2M positive to $0.4M negative. The amended/carryforward changes relate to encumbrances carryforwards for a comprehensive water asset management plan and water infrastructure design, and Council approval for a water service master plan. No further proposed changes.
9.1 Packet Pg. 106
Description
FY 21-22
Adopted
Amended
/ Carry -
Forward
Proposed
Total
Enterprise
Total Revenues 3,996 - - 3,996
Total Expenditures (3,815) (561) - (4,376)
Net Sources / (Uses) 181 (561) - (380)
Net Transfers - - - -
Change in Fund Balance 181 (561) - (380)
(In 000's)
FY 2021-22 Q2 - Enterprise Funds
Fiscal Impact
Total proposed amended budget is as follows for fiscal year 2021-22:
Description
General
Fund /
General
Reserves
Restricted
Funds
Capital
Funds
Enterprise
Funds
TOTAL
CITY
FUNDS
Total Revenues 28,749 10,540 5,405 3,996 48,690
Total Expenditures (25,555) (10,688) (6,867) (4,376) (47,485) Net Sources / (Uses) 3,194 (147) (1,462) (380) 1,205
Net Transfers (2,381) 602 1,779 - -
Change in Fund
Balance 813 455 317 (380) 1,205
FY 21-22 M id Year Amended - Citywide Funds
(In 000's)
Brief Overview of Risk Environment Framework: COVID-19
Organizational risk is often associated with financial asset controls and reporting; however, within the context of “Enterprise Risk Management” risk is viewed more broadly as both challenges and opportunities regarding organizational ability to meet strategic objectives.
As such, the COVID-19 global pandemic is a sustained event with potential impacts to the City’s strategic objective environment due to remote work protocol, diversion of staff resources for emergency response, and direct impact of high employee absence due to COVID-19 quarantine, illness, or family-care needs.
During discussions about identified resource or technical organizational needs related to a challenge or an opportunity, it is important to know the basis for the request is the application of principles of the risk environment framework, as excerpted from the study session of General Reserves Risk Study held on September 29, 2020:
9.1 Packet Pg. 107
As the City remains in a sustained COVID-19 environment, we continue to assess the organization and the sustained COVID-19 potential impacts in relation to existing conditions.
Requests for temporary positions, technical studies, new technology, and changing organizational skill requirements emanate from an assessed and perceived need to address the City’s organizational opportunities and challenges.
Environmental
The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a “project” pursuant to 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant impact on the environment.
Attachments
1. 2022.02.15 - Resolution Mid Year Budget - VA
2. Attachment 1
9.1 Packet Pg. 108
1 of 4
RESOLUTION NO. XX – 2022
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF EAST PALO ALTO
APPROVING AMENDMENTS TO THE FISCAL YEAR 2021-22 BUDGET
WHEREAS, the City Council, from time to time, reviews the annual spending plan for the City of East Palo Alto General, Special Revenue, Capital, Enterprise, and Trust Funds in order to account for anticipated revenues and to appropriate projected expenditures; and WHEREAS, the East Palo Alto Municipal Code section 3.08.110 requires the adoption of an annual budget no later than June 30th prior to the beginning of the fiscal year; and WHEREAS, the City Council adopted the Fiscal Year (“FY”) 2021-22 Budget on June 15, 2021, and has approved amendments of the budget since adoption; and WHEREAS, the City Council adopted the FY 2020-21 Classification Plan on June 15, 2021; and WHEREAS, City staff propose amendments to the budget based upon noted mid-year trends and information.
WHEREAS, upon consideration of the information presented, the City Council desires to make amendments to the FY 2021-22 Budget.
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY APPROVES:
1. Amendments to the FY 2021-22 Budget, attached hereto as Exhibit A and incorporated by this reference.
PASSED AND ADOPTED this 15th day of February 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Ruben Abrica, Mayor
ATTEST: APPROVED AS TO FORM
City Clerk Valerie J. Armento, Interim City Attorney
9.1.a
Packet Pg. 109 Attachment: 2022.02.15 - Resolution Mid Year Budget - VA (2097 : Mid-year Budget Amendment FY21-22) 2 of 4
Exhibit A
9.1.a
Packet Pg. 110 Attachment: 2022.02.15 - Resolution Mid Year Budget - VA (2097 : Mid-year Budget Amendment FY21-22) 3 of 4
Revenues Expenditures In Out
10 General Fund $ 26,955,000 $ (21,668,865) $ (458,375) $ - $ (4,279,500) $ 548,260 11 IT Replacement Fund $ - $ (927,800) $ - $ 927,800 $ - $ - 12 Equipment & Vehicles $ 59,040 $ (120,700) $ (219,040) $ 280,700 $ - $ - 13 Self Insurance $ - $ (720,000) $ - $ 690,000 $ - $ (30,000) 16 Community Benefit Fund $ - $ - $ - $ - $ - $ -
17 Com Dev Pass Thru $ 1,695,000 $ (1,400,000) $ - $ - $ - $ 295,000 99 Emergency Fund $ 40,000 $ (40,000) $ - $ - $ - $ -
$ - $ - $ - $ (1,898,500) $ 1,898,500 $ -
$ 28,749,040 $ (24,877,365) $ (677,415) $ - $ (2,381,000) $ 813,260 213 Police Grants $ 157,000 $ (153,570) $ - $ - $ - $ 3,430 215 Misc Federal and State Grants$ 170,500 $ (377,850) $ - $ - $ - $ (207,350) 230 Local Grants $ 153,000 $ (379,500) $ - $ - $ - $ (226,500) 231 CYSFF Grant Fund $ 99,750 $ (288,040) $ - $ - $ - $ (188,290) 201 State Gas Tax $ 1,396,440 $ (812,750) $ (550,000) $ 64,500 $ - $ 98,190 202 Measure A $ 611,000 $ (3,120) $ (500,000) $ - $ - $ 107,880 203 NPDES $ 445,400 $ (478,070) $ (123,900) $ 156,570 $ - $ - 206 Park In Lieu $ - $ - $ - $ - $ - $ -
221 Lighting District $ 698,700 $ (221,000) $ (264,100) $ - $ - $ 213,600 222 Drainage District $ 141,900 $ (327,010) $ (73,390) $ 100,140 $ - $ (158,360) 234 County Measure W $ 425,810 $ (31,500) $ (371,810) $ - $ - $ 22,500 204 Rent Stabilization $ 538,500 $ (735,000) $ - $ - $ - $ (196,500) 207 Housing In Lieu $ 281,000 $ (318,660) $ - $ - $ - $ (37,660) 209 Housing Assistance Program$ 4,500 $ (16,020) $ - $ - $ - $ (11,520) 218 Affordable Housing TOT $ 113,750 $ (28,660) $ - $ - $ - $ 85,090 219 Measure HH $ 1,702,280 $ (211,710) $ - $ - $ - $ 1,490,570 220 Lo-Mod Housing Successor $ 80,000 $ (546,040) $ - $ 281,130 $ - $ (184,910) 232 Measure C $ 1,000 $ (207,300) $ - $ - $ - $ (206,300) 233 Silicon Valley Community $ 1,000 $ (149,400) $ - $ - $ - $ (148,400) 290 ARPA $ 3,518,740 $ (3,518,740) $ - $ - $ - $ -
301 Capital Improvement Fund $ 555,980 $ (376,910) $ (1,903,240) $ 1,778,660 $ - $ 54,490 303 Capital Grant $ 4,733,820 $ - $ (4,586,540) $ - $ - $ 147,280 305 Parks & Trails $ 15,000 $ - $ - $ - $ - $ 15,000
306 Public Facilities $ 40,000 $ - $ - $ - $ - $ 40,000 307 Transportation $ 17,000 $ - $ - $ - $ - $ 17,000
308 RBD-I Storm D $ 1,000 $ - $ - $ - $ - $ 1,000
309 RBD-O Storm D $ 42,000 $ - $ - $ - $ - $ 42,000
510 Water Service Fund $ 320,500 $ (589,720) $ - $ - $ - $ (269,220) 511 Water Capital Fund $ 533,000 $ (291,400) $ (380,610) $ - $ - $ (139,010) 512 Water Meter Fund $ 289,000 $ - $ (285,000) $ - $ - $ 4,000 513 Water Capacity Fee Fund $ 55,000 $ - $ - $ - $ - $ 55,000 520 Garbage Service Fund $ 2,798,000 $ (2,829,320) $ - $ - $ - $ (31,320) $ 48,689,610 $ (37,768,655) $ (9,716,005) $ 2,381,000 $ (2,381,000) $ 1,204,950 705 Successor Agency Trust Fund$ 4,222,250 $ (1,686,190) $ - $ - $ - $ 2,536,060 $ 4,222,250 $ (1,686,190) $ - $ - $ - $ 2,536,060
TOTAL OF ALL FUNDS $ 52,911,860 $ (39,454,845) $ (9,716,005) $ 2,381,000 $ (2,381,000) $ 3,741,010 Net Change
Fund Balance
ELIMINATING ENTRY
TOTAL GENERAL FUND
CITY OPERATING FUNDS
SUCCESSOR AGENGY TRUST
FY 2021-22 AMENDED GENERAL FUND SUMMARY
Fund Description
Operating Capital
Improvement
Plan
Operating Transfers
9.1.a
Packet Pg. 111 Attachment: 2022.02.15 - Resolution Mid Year Budget - VA (2097 : Mid-year Budget Amendment FY21-22) Adopted Amended Proposed Amended 12/31/2021 12/31/2020 FY 2020‐21 Revenues 2022 Changes Changes 2022 Actual YTD % Actual YTD Audited % Property Tax 13,935,000 ‐ 1,000,000 14,935,000 7,470,115 50% 7,577,265 14,320,885 53% Sales Tax 5,575,000 ‐ (200,000) 5,375,000 2,137,433 40% 2,261,883 5,422,953 42% Utility Users Tax 1,535,000 ‐ 130,000 1,665,000 645,839 39% 592,264 1,630,879 36% Transient Occupancy Tax 550,000 ‐ 200,000 750,000 318,885 43% 12,651 152,771 8% Business License Tax 1,280,000 ‐ ‐ 1,280,000 110,904 9% 95,848 1,223,696 8% Fees and Permits 1,461,500 ‐ ‐ 1,461,500 566,041 39% 521,689 2,090,844 25% Fines and Forfeitures 285,000 ‐ ‐ 285,000 92,829 33% 74,178 215,495 34% Use of Money and Property 357,500 ‐ ‐ 357,500 (18,005) ‐5% 58,657 10,941 536% Grants and Intergovernmental 45,000 ‐ ‐ 45,000 ‐ 0% 393,229 489,950 80% Charges for Current Services 936,000 ‐ ‐ 936,000 354,303 38% 1,017,759 789,497 129% Other Miscellaneous 2,960,000 99,040 (1,400,000) 1,659,040 87,085 5% 46,644 1,840,041 3% Total Revenues 28,920,000 99,040 (270,000) 28,749,040 11,765,429 41% 12,652,068 28,187,953 45% Expenditures
City Council 175,250 ‐ ‐ 175,250 44,104 25% 46,574 104,796 44% City Attorney 816,435 ‐ ‐ 816,435 310,865 38% 342,811 823,024 42% City Clerk 299,130 ‐ ‐ 299,130 102,840 34% 96,866 416,925 23% City Manager 1,011,305 107,300 ‐ 1,118,605 585,532 52% 367,779 967,964 38% Human Resources 576,980 ‐ ‐ 576,980 243,882 42% 183,613 453,198 41% Administrative Services 720,435 96,490 ‐ 816,925 372,644 46% 379,358 853,065 44% Community Programs 458,870 3,300 ‐ 462,170 198,511 43% 184,735 364,078 51% Senior Services 248,680 ‐ ‐ 248,680 78,846 32% 82,210 151,021 54% Finance 1,338,035 5,000 ‐ 1,343,035 530,539 40% 561,835 1,290,444 44% Community Development 639,930 ‐ ‐ 639,930 326,800 51% 264,893 891,241 30% Building Services 1,839,440 150,000 (700,000) 1,289,440 445,781 35% 367,353 917,201 40% Planning 2,781,720 80,000 (700,000) 2,161,720 570,474 26% 864,194 2,178,972 40% Housing 48,460 382,180 ‐ 430,640 (4,371) ‐1% 94,484 331,641 28% Public Works 433,390 ‐ ‐ 433,390 187,125 43% 190,528 485,053 39% Engineering Services 1,043,820 ‐ ‐ 1,043,820 377,465 36% 254,621 646,334 39% Maintenance 2,396,210 70,700 ‐ 2,466,910 837,124 34% 971,635 2,177,087 45% Environmental Services 177,730 17,140 ‐ 194,870 42,027 22% 25,464 185,128 14% Police 4,849,690 139,040 ‐ 4,988,730 2,219,949 44% 2,567,806 4,431,166 58% Operations 6,674,120 (3,395,100) ‐ 3,279,020 2,432,705 74% 2,580,611 5,686,075 45% Investigations 1,487,600 ‐ ‐ 1,487,600 313,617 21% 584,419 1,213,195 48% Non‐Departmental:
Capital Outlay 579,085 1,437,040 (1,557,745) 458,380 101,878 0% ‐ ‐ Insurance and Settlements 615,000 ‐ ‐ 615,000 551,587 90% 386,865 386,865 100% Other Non‐departmental 1,020,790 21,240 ‐ 1,042,030 520,750 50% 502,871 757,086 66% Overhead Allocation (833,910) ‐ ‐ (833,910) (416,955) 50% (405,925) (826,223) 49% Total Expenditures 29,398,195 (885,670) (2,957,745) 25,554,780 10,973,719 43% 11,495,601 24,885,338 46% Revenues Over / (Under) (478,195) 984,710 2,687,745 3,194,260 791,709 1,156,468 3,302,615 Other Financing Sources/Uses
Transfers In 1,301,450 (1,301,450) ‐ ‐ ‐ ‐ 24,545 0% Transfers Out (823,255) ‐ (1,557,745) (2,381,000) (285,634) 12% (533,596) (5,571,938) 10% Net Operating Transfers 478,195 (1,301,450) (1,557,745) (2,381,000) (285,634) 12% (533,596) (5,547,393) 10% Change in Fund Balance ‐ (316,740) 1,130,000 813,260 506,075 622,872 (2,244,777) Other Reserve Changes (375,000) ‐ ‐ (375,000) ‐ 323,547 Projected Operating Reserves
Beginning Balance 24,350,000 ‐ ‐ 24,350,000 24,350,000 25,701,816 25,701,816 Ending Balance 23,975,000 ‐ ‐ 24,788,260 24,856,075 26,324,688 23,780,586 * Projected Reserve Fund Balance does not include certain non‐spendable, non‐cash, and assigned fund balance amounts.
City of East Palo Alto
GENERAL FUND BUDGET FY 2021‐22
For Second Quarter Ended December 31, 2021
9.1.b
Packet Pg. 112 Attachment: Attachment 1 (2097 : Mid-year Budget Amendment FY21-22)
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: Patrick Heisinger, Assistant City Manager
SUBJECT: Federal Community Project Funding Requests (Earmarks) Recommendation
Receive informational report on Community Project Funding requests.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Priority No. 1: Enhance Public Safety and Emergency Preparedness Priority No. 2: Enhance Economic Vitality
Priority No. 3: Increase Organizational Effectiveness and Efficiency Priority No. 4: Improve Public Facilities and Infrastructure Priority No. 5: Improve Communication and Enhance Community Engagement Priority No. 6: Create a Healthy and Safe Community
Background
In Late January, Ken Brown, the City’s lobbyist notified the City of East Palo Alto (“City”) that the House of Representatives will accept Member requests for Community Project Funding (commonly referred to as “earmarks”) for the upcoming fiscal year.
Each representative in Congress may only submit ten (10) requests for Community Project Funding consideration, so it is imperative that each submittal aligns with a jurisdiction’s strategic priorities and has already been vetted through a community process.
The purpose of this informational report is to provide an overview of the projects or initiatives that City staff recommends for submittal to Congresswoman Speier’s office for consideration, prior to the March 4, 2022, deadline.
Analysis
9.2 Packet Pg. 113
Status on Last Year’s Earmark Requests
Project Request Status
O’Connor Pump
Station Stormwater
Management
Improvements
$800,000 to complete essential
upgrades to improve stormwater
management, enhance local water
quality, and prevent flooding,
INCLUDED in House Interior
& Environment Appropriations
Bill passed by full House.
Cummings Small
Business Incubator
Facility
$555,000 to upgrade the
Cummings loft to house a new
small business incubator.
Request by Sen. Feinstein
INCLUDED in Senate
Financial Services
Appropriations Bill.
US 101/University
Ave. Bike/
Pedestrian
Overcrossing &
Interchange
Improvements
$9.3 million to construct a separate
bridge to provide safe route for
pedestrians and bicyclists to cross
a dangerous highway and connect
to schools, jobs, and shopping.
Request by Sen. Padilla NOT
INCLUDED in Senate
Transportation HUD
Appropriations Bill.
East Palo Alto
Water/Sewer
Infrastructure
Improvements
$600,000 to complete a
comprehensive plan for the design,
financing, and implementation of
major improvements to water and
sewer infrastructure.
Request by Sen. Padilla NOT
INCLUDED in Senate Interior
& Env. Appropriations Bill to
be considered in September.
East Bayshore Road
Safety
Improvements
$1 million to plan and design road
improvements to make it safe for
residents to walk and bike to
school, jobs, and shopping.
INCLUDED in House
Transportation Authorization
bill passed by full House.
Earmarks NOT INCLUDED in
Bipartisan Infrastructure Bill.
Potential Opportunities for FY 2022-2023
Similar to last year, the Community Project Funding process will be significantly truncated in comparison to previous years. As a first step, City Staff reviewed the City Council’s approved priorities to identify potential projects/initiatives that could be considered for Community Project Funding.
Next, City staff worked closely with the City’s lobbyist, Ken Brown, to determine which City Council-approved workplan items may be eligible for consideration as Community Project Funding requests.
Based on the above, staff has identified the following areas as potential funding requests:
• Water/wastewater infrastructure planning
• Transportation planning
• Improvements to City facilities
• Additional improvements to the O’Connor Pump Station
9.2 Packet Pg. 114
• Economic Development Planning related to the Sobrato Phase 2 incubator • Parks 1
Next Steps
The City’s Community Project Funding request must be finalized in approximately two (2) weeks. City staff will work closely with Congresswoman Speier’s office, the Mayor, and Vice Mayor to finalize the City’s requests based on the priorities for the City and the Congressional District.
Fiscal Impact
There is no fiscal impact to the City associated with this report.
Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin board outside City Hall and making the agenda and report available at the City’s website and at the San Mateo Co. Library located at 2415 University Avenue, East Palo Alto.
Environmental
The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a “project” pursuant to 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant impact on the environment.
1 Traditionally, Parks do not score well, but there may be some opportunities with climate change, stormwater, and other funding sources that could also benefit the City’s parks goals.
9.2 Packet Pg. 115
EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: March 1, 2022
TO: Honorable Mayor and Members of the City Council
VIA: Jaime M. Fontes, City Manager
BY: James Colin, Executive Assistant
James Colin, Executive Assistant
SUBJECT: COVID-19 Vaccination Program Regular Update
Recommendation
Discuss the COVID-19 vaccination program update and provide direction to staff.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
Ø Priority #5: Improve Communication and Enhance Community Engagement Ø Priority #6: Create a Healthy and Safe Community
Background
On a weekly basis the Mayor and Vice Mayor meet with key staff to discuss and coordinate City of East Palo Alto COVID-19 Vaccination Program efforts and progress.
The purpose of this report is to present the information regarding the abovementioned program and efforts in an open forum engaging all members of the Council and the public.
Analysis
See Attachment 1.
The attachments included in this report routinely cover the items typically discussed at the COVID-19 vaccination briefing with the Mayor and Vice Mayor as well as key staff.
The format is discussed as follows:
1. Review of previous week vaccination efforts. This item identifies each event by the date at which it occurred, the time, the location provider, the address, and the vaccination
9.3 Packet Pg. 116
numbers (sometimes by vaccination type and 1st or 2nd dose).
2. Review of upcoming vaccination events for the week. This follows the same content format as number 1 but concentrates on the efforts to make the upcoming event organized and successful.
3. Outreach efforts (not always discussed). This item typically involved a review of outreach efforts as discussed in item 2 but in more detail and/or a change in strategy as circumstances may change.
4. Future Efforts
5. Incentives (Previously considered).
Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin outside City Hall and making the agenda and report available at the City’s website and the San Mateo County Library at 2145 University Avenue, East Palo Alto.
Fiscal Impact
N/A as this is an informational report.
Environmental
The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a “project” pursuant to 15378(b)(4) because it is a fiscal activity which does not involve any commitment to any specific project which may result in a potentially significant impact on the environment.
Attachments
1. Draft Vaccination Meeting Agenda 2-1-2022
2. Draft Vaccination Meeting Agenda 3-1-2022 2
9.3 Packet Pg. 117
Vaccination Meeting Agenda
Tuesday, February 1, 2022
1. Review of previous week vaccination efforts:
Ravenswood Family Health Clinic
City of
EPA Pfizer Adult Pfizer Pedi Moderna J & J Total
1st 2nd 3rd 1st 2nd 3rd 1st 2nd 3rd 1st 2nd
1/18
Thurs 10 9 62 10 0 0 3 0 88 0 0 182
1/22
Sat 13 1 54 25 12 0 1 1 59 0 0 166
Total 23 10 116 35 12 0 4 1 147 0 0 348
DATE LOCATION TYPE 1
st Dose 2nd Dose 3rd Dose Booster TOTAL
1/18/22 YMCA EPA
Pfizer
Moderna
Janssen
9 -
1 4
-
-
-
49 17
1 81
1/19/22 YMCA EPA
Pfizer
Moderna
Janssen
5 -
-
5 -
-
1 -
-
21 14
-
46 1/20/22 YMCA EPA
Pfizer
Moderna
Janssen
4 3
-
6 -
-
-
33 20
1 67
1/22/22 Woodland Park
Apartments
Pfizer
(peds)
Pfizer
Moderna
Janssen
26 14
7 -
2 5
1 -
-
-
75 43
-
173
GRAND
TOTAL 69 23 1 274 367
9.3.a
Packet Pg. 118 Attachment: Draft Vaccination Meeting Agenda 2-1-2022 (2086 : COVID-19 Vaccination Program Regular Update)
2. Review of Upcoming vaccination event for week
Date Time Location Address
Tuesday, February 1, 2022 6:00pm –
9:00pm
Lewis And Joan Platt East Palo
Alto Family Ymca 2180 Euclid Ave, East Palo Alto, CA
Wednesday, February 2, 2022
6:00pm –
9:00pm
Lewis And Joan Platt East Palo
Alto Family Ymca 2180 Euclid Ave, East Palo Alto, CA
Thursday, February 3, 2022
6:00pm9:00pm
Lewis And Joan Platt East Palo
Alto Family Ymca 2180 Euclid Ave, East Palo Alto, CA
Thursday, February 3, 2022
5:00pm7:00pm RFHC 1885 Bay Rd, East Palo Alto, CA 94303 Saturday, February 5, 2022
9:00 am12:00pm RFHC 1885 Bay Rd, East Palo Alto, CA 94303 Saturday, February 5, 2022 11:00am6:00pmWoodland Park Apartments 45 Newell Rd., East Palo Alto, CA 94303
9.3.a
Packet Pg. 119 Attachment: Draft Vaccination Meeting Agenda 2-1-2022 (2086 : COVID-19 Vaccination Program Regular Update) Vaccination Meeting Agenda
Tuesday, March 1, 2022
1. Review of previous week vaccination efforts:
Ravenswood Family Health Clinic
City of
EPA Pfizer Adult Pfizer Pedi Moderna J & J Total
1st 2nd 3rd 1st 2nd 3rd 1st 2nd 3rd 1st 2nd
Thurs *X X X X X X X X X X X X
Sat X X X X X X X X X X X X
Total X X X X X X X X X X X X
*Ravenswood Family Health Clinic Numbers will be updated at the time of the City Council meeting on March 1, 2022.
DATE LOCATION TYPE 1
st Dose 2nd Dose 3rd Dose Booster TOTAL
2/15/22 YMCA EPA
Pfizer
Moderna
Janssen
1 -
-
-
-
-
-
5 2
-
8 2/16/22 YMCA EPA
Pfizer
Moderna
Janssen
-
-
-
2 -
-
-
-
-
7 4
-
13 2/17/22 YMCA EPA
Pfizer
Moderna
Janssen
1 -
-
3 1
-
-
13 8
-
26 2/19/22 Woodland Park
Apartments
Pfizer
(peds)
Pfizer
Moderna
Janssen
7 6
1 -
29 14
4 -
-
-
25 19
-
105
GRAND
TOTAL
16 53 0 83 152
9.3.b
Packet Pg. 120 Attachment: Draft Vaccination Meeting Agenda 3-1-2022 2 (2086 : COVID-19 Vaccination Program Regular Update)
2. Review of Upcoming vaccination event for week
3. Review of Testing Sites
*The Ravenswood City School District and the Sequoia Union High School District each have additional COVID testing capabilities for students of the districts. Any student or caregiver may contact either District’s main office to learn about how to secure a rapid test for the student.
4. Outreach Efforts for the Week
5. Future Efforts
6. Incentives
Date Time Location Address
Tuesday, March 1, 2022 6:00pm –
9:00pm
Lewis And Joan Platt East Palo
Alto Family Ymca 2180 Euclid Ave, East Palo Alto, CA
Wednesday, March 2, 2022
6:00pm –
9:00pm
Lewis And Joan Platt East Palo
Alto Family Ymca 2180 Euclid Ave, East Palo Alto, CA
Thursday, March 3, 2022
6:00pm9:00pm
Lewis And Joan Platt East Palo
Alto Family Ymca 2180 Euclid Ave, East Palo Alto, CA
Thursday, March 3, 2022
5:00pm7:00pm RFHC 1885 Bay Rd, East Palo Alto, CA 94303 Saturday, March 5, 2022
9:00 am12:00pm RFHC 1885 Bay Rd, East Palo Alto, CA 94303 Saturday, March 5, 2022 11:00am6:00pmWoodland Park Apartments 45 Newell Rd., East Palo Alto, CA 94303
Date Time Location Address
Tuesday - Sunday 11:00am –
4:00pm
Ravenswood Shopping
Center
1781 E Bayshore Rd, Palo Alto, CA
94303
Tuesday, Wednesday, Thursday 6:00pm –
8:00pm
Lewis And Joan Platt East Palo
Alto Family YMCA 2180 Euclid Ave, East Palo Alto, CA
Monday - Friday
12:00pm7:00pm
(weekends
10am-4pm)
(Stanford) North Fair Oaks -
Drive Through 2685 Bay Road, Redwood City, CA
Thursday Only 8:00am8:00pmNorth Fair Oaks Library 2500 Middlefield Rd, Redwood City
9.3.b
Packet Pg. 121 Attachment: Draft Vaccination Meeting Agenda 3-1-2022 2 (2086 : COVID-19 Vaccination Program Regular Update)