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Agenda packet

East Palo Alto City Council
February 20, 2024

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Agenda packet
Meeting
February 20, 2024
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East Palo Alto City Council
Pages
21
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Text extracted from the city's file for reading and search. Open the original on d3n9y02raazwpg.cloudfront.net. That file is the official record.

EAST PALO ALTO CITY COUNCIL

REGULAR SESSION AGENDA
Tuesday, February 20, 2024, 6:30 PM
EPA Government Center
2415 University Avenue, First Floor
East Palo Alto, CA 94303
NOTICE
This meeting will be held virtually and in-person at the Council Chambers located on 2415 University Ave, First Floor East Palo Alto, CA 94303. The virtual portion of this City Council meeting will be conducted in accordance with City of East Palo Alto Resolution adopted pursuant to Assembly Bill 361.

The public may participate in the City Council Meeting via Zoom Meeting or by attending inperson in the Council Chambers at 2415 University Ave, First Floor East Palo Alto, CA 94303.

Community members may provide comments by emailing [email protected], submitting a speaker card at the meeting, 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 February 20, 2024 Agenda
1 1. CALL TO ORDER AND ROLL CALL

2. APPROVAL OF THE AGENDA

3. APPROVAL OF CONSENT CALENDAR

3.1 Citywide Striping and Signing Program Agreement with Chrisp Company.

3.2 Weed Abatement & Trash Removal Maintenance Contract Services

3.3 Purchase of John Deere Compact Loader from Belkorp Ag, LLC.

Recommendation: Adopt a resolution authorizing the City Manager to execute a contract agreement with Chrisp Company for striping and signage services in the amount of $50,000 per year for five years for a not-to-exceed limit of $250,000 for the contract term.

Government Code § 84308
Applicability of Levine Act: No, because the contract has been competitively bid, it is exempt from the Levine Act.

Analysis of Levine Act Compliance: Not applicable.

Recommendation: Adopt a resolution authorizing the City Manager to execute a contract agreement with BrightView Landscape Services for weed abatement and trash removal services in an annual amount of $40,819.32 for a five-year term for a total not-to-exceed limit of $204,096.60.

Government Code § 84308
Applicability of Levine Act: No, because the contract has been competitively bid, it is exempt from the Levine Act.

Analysis of Levine Act Compliance: Not applicable.

Recommendation:

Adopt a resolution authorizing the City Manager to purchase a John Deere East Palo Alto City Council February 20, 2024 Agenda
2 3.4 Minutes of the January 9, 2024 Meeting

3.5 Parking Project on Tanklage Site
Compact Loader for Public Works Department Operations from Belkorp Ag, LLC. in the amount of $86,216.99.

Government Code § 84308
Applicability of Levine Act: No, as the entitlement involves a contract that was competitively bid, the Levine Act is not applicable.

Analysis of Levine Act Compliance: Not applicable.

Recommendation: Adopt the minutes of the January 9, 2024 Meeting.

Government Code § 84308
Applicability of Levine Act: No
Analysis of Levine Act Compliance: Not applicable.

Recommendation:

Adopt a resolution:

1. Approving an agreement negotiated by and authorizing the City Manager to execute for use of the Tanklage Site as parking, staging and construction offices for the 965 Weeks affordable housing project;

2. Finding that use of the Tanklage Site for these purposes constitutes a public use;
Government Code § 84308
Applicability of Levine Act: Yes.

East Palo Alto City Council February 20, 2024 Agenda
3 3.6
Black History Month Proclamation

3.7 Lunar New Year Proclamation

4. CLOSED SESSION

5. PUBLIC COMMENT

6. INFORMATIONAL REPORTS

6.1 Storm Emergency Preparation Update

7. SPECIAL PRESENTATIONS

8. PUBLIC HEARINGS

9. POLICY AND ACTION

9.1 City Council Direction on RFP for Administration of the City’s Existing Below Market Rate Program
Analysis of Levine Act Compliance:

Parties: Project Applicant(s) is/are Dean Leyshock, Project Director, Blach Construction.

Participant(s): Unknown at this time.

Recommendation: Accept the proclamation.

Gov’t Code § 84308: Not applicable
Recommendation: Accept the proclamation.

Gov’t Code § 84308: Not applicable
Recommendation: Accept the informational update regarding the storm preparation.

Recommendation: By motion provide direction to and authorize staff to issue a Request for Proposals (“RFP”) for administration of the City’s Below Market Rate (“BMR”) Program.

Government Code § 84308
Applicability of Levine Act: No, as the entitlement involves a contract that is proposed to be competitively bid, the Levine Act is not applicable.

East Palo Alto City Council February 20, 2024 Agenda
4 10. COUNCIL REPORTS

10.1 Letter from Councilmember Ruben Abrica

11. ADJOURNMENT
Analysis of Levine Act Compliance: Not applicable.

Recommendation:

Present the letter submitted by Councilmember Ruben Abrica.

Government Code § 84308
Applicability of Levine Act: No
Analysis of Levine Act Compliance: Not applicable.

Upcoming meetings:

Regular Meeting March 5, 2024 6:30 PM
Regular Meeting March 19, 2024 6:30 PM
Study Session Meeting March 28, 2024 6:00 PM
East Palo Alto City Council February 20, 2024 Agenda
5 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 13, 2024
ATTEST:

James Colin
James Colin
East Palo Alto City Council February 20, 2024 Agenda
6 CONSENT ITEM 3.1

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2024
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Humza Javed, Public Works Director
Jay Farr, Maintenance Division Manager
SUBJECT: Citywide Striping and Signing Program Agreement with Chrisp Company Recommendation
Adopt a resolution authorizing the City Manager to award to, negotiate, and execute a contract agreement with Chrisp Company, in a form approved by the City Attorney, for striping and signage services in the amount of $50,000 per year for five years for a total not-to-exceed amount of $250,000.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Priority No. 3: Promote Health & Public Safety
Background
The City of East Palo Alto manages approximately forty centerline miles of arterial, collector, and local streets. The Public Works Department is responsible for the design, striping, and installation of signage across the City's road network and bicycle/pedestrian overcrossings.

It is important to have a maintenance program to refresh all faded street pavement striping, including stop bars and school crosswalks throughout the city for visibility and to prevent vehicle accidents, especially at nighttime.

Pavement striping is a specialty maintenance task, and thermoplastic striping requires special equipment and skills the City’s maintenance division does not currently possess. The 7 CONSENT ITEM 3.1
pavement striping and signage services will include placement and installation of thermoplastic pavement striping, signage, and markings throughout the City.

Analysis
On December 1, 2023, staff initiated the formal bidding process, including releasing a Request for Proposals (RFP) for an on-call, as needed services contract to perform routine and responsive striping and signage installation throughout the City. The RFP was widely advertised to solicit bids from contractors regularly engaged in providing such services. On December 19, 2023, one bid was received from Chrisp Company of Fremont California.

Staff recommends authorizing the City Manager to execute a contract agreement with Chrisp Company to provide street pavement striping and signage services on an on-call, as needed basis in amount of $50,000 annually for a not-to-exceed amount of $250,000 for a five- year contract term.

Fiscal Impact
There is no budget amendment required by this action. Funds in the amount of $250,000 will be paid out of the State Gas Tax fund budget.

Public Notice
The public was provided notice by making the agenda and report available on the City’s website and on the City’s official bulletin board outside City Hall and report available at the San Mateo Co. Library located at 2415 University Avenue in East Palo Alto.

Environmental
These services are categorically exempt under the California Environmental Quality Act (CEQA) Guidelines Article 19, Categorical Exemption, Sections 15301 and 15303, because the improvements consist of maintenance of existing facilities.

Government Code § 84308
Applicability of Levine Act: No, because the contract has been competitively bid, it is exempt from the Levine Act.

Analysis of Levine Act Compliance: Not applicable.

Attachments

1. Resolution

2. Proposal
8 Resolution No. XX-2024 1 of 2
RESOLUTION NO. ______

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF EAST PALO ALTO

AUTHORIZING THE CITY MANAGER TO AWARD TO, NEGOTIATE, AND EXECUTE A

CONTRACT AGREEMENT WITH CHRISP COMPANY, IN A FORM APPROVED BY THE CITY ATTORNEY, FOR STRIPING AND SIGNAGE SERVICES IN THE AMOUNT OF $50,000 PER YEAR FOR FIVE YEARS FOR A TOTAL NOT-TO-EXCEED AMOUNT OF $250,000 FOR THE CONTRACT TERM
WHEREAS, the City of East Palo Alto maintains approximately forty centerline miles of arterial, collector and local streets; and
WHEREAS, the Public Works Department is responsible for striping and signing on public streets throughout the City; and
WHEREAS, on December 1, 2023, staff initiated the formal bidding process, including, releasing a Request for Proposal (RFP) for on-call services to perform routine and responsive striping and signing throughout the City; and
WHEREAS, the RFP was widely advertised to solicit bids from contractors regularly engaged in providing such services; and
WHEREAS, on December 19, 2023, the City received one proposal from Chrisp Company; and WHEREAS, Chrisp Company is a licensed engineering contractor qualified to do this work.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY:

1. Finds the foregoing recitals are true and correct, and are incorporated by this reference into this action;

2. Authorizes the City Manager to award to, negotiate, and execute a contract agreement with Chrisp Company, in a form approved by the City Attorney, for striping and signage services in the amount of $50,000 per year for five years for a total not-to-exceed limit amount of $250,000; and

3. Finds that the proposed action is categorically exempt under the California Environmental Quality Act (CEQA) Guidelines Article 19, Categorical Exemption, Sections 15301 and 15303, because the improvements consist of maintenance of existing facilities. 9 Resolution No. XX-2024 1 of 2
PASSED AND ADOPTED this 20th day of February 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Antonio D. Lopez, Mayor
ATTEST: APPROVED AS TO FORM:

James Colin, City Clerk John D. Lê, City Attorney
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 CONSENT ITEM 3.2

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2024
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Humza Javed, Public Works Director
Jay Farr, Maintenance Division Manager
SUBJECT: Weed Abatement & Trash Removal Maintenance Contract Services Recommendation
Adopt a resolution authorizing the City Manager to award to, negotiate, and execute an agreement with BrightView Landscape Services, in a form approved by the City Attorney, for weed abatement and trash removal services in an annual amount of $40,819.32 for a five-year term for a total not-to-exceed amount of $204,096.60.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Priority No. 3: Promote Health & Public Safety
Background
The Public Works Department is responsible for weed abatement and trash removal in the public right of way and open spaces within the city limits. Due to high demand and tasks within the maintenance division, contracting out a portion of weed abatement and trash removal in the public right of way and open spaces is necessary. In doing this, the maintenance division will be able to allocate much needed resources to other tasks such as facilities maintenance, storm drainage system maintenance, street maintenance, graffiti abatement, illegal dumping response, regulatory signage placement, park maintenance, street median landscaping maintenance services, trail maintenance and pump station operations. 27 CONSENT ITEM 3.2
Weed abatement and trash removal is a necessary task and is required by the Menlo Park Fire Protection District at various city open spaces. A copy of notices from Menlo Fire have been attached to this report for reference.

Analysis
On December 11, 2023, staff conducted formal bidding, including releasing a Request for Proposals (RFP) for Weed Abatement & Trash Removal Services contract to perform weed abatement four times a year. By the deadline of January 5, 2024, the following four (4) companies submitted proposals.

No. Location /Address Lot Size
BrightView
Landscape
Services
Frank &
Grossman
Landscape
Central
Siera
Enterprise
Asbestos
Management
Group of
California
1 East Bayshore Sound Wallfrom IKEA to Pulgas3,000
LF
$6959.11 $12,480 $3,540 $48,000
2 East Bayshore Sound Wallfrom University to Saratoga3,800 LF
$4,464.19 $12,480 $4,485 $60,000
3 Willow Rd- from Newbridge to
HWY 101 off ramp exit
1,100
LF
$4,221.02 $6,240 $1,298 $18,000
4 Willow Rd- from Newbridge to
Alberni
960 LF $2,601.40 $6,240 $1,133 $15,000
5 West Bayshore Sound Wallfrom Manhattan to Addison2,100 LF
$3,136.98 $4,160 $2,478 $34,000
6 West Bayshore Sound Wallfrom Pulgas to Capital4,500
LF
$6,185.66 $12,480 $5,311 $72,000
7 City Lot at 1950 Pulgas -Future
Library- APN#063240490
47,809
sq/ft
$1505.50 $7,160 $56,423 $162,000
8 City Lot next to MLK ParkAPN#06358004077,317
sq/ft
$6,478.65 $9,240 $91,248 $262,000
9 Rail Spur-from Pulgas Bay Rd 2,630
LF
$2,508.88 $4,160 $3,104 $45,000
10 Rail Spur-from Bay Rd to
Purdue
4,180
LF
$2,757.93 $2,800 $4,933 $67,000
Total Annual Cost $40,819.32 $77,440 $173,953 $783,000
Staff recommends authorizing the City Manager to award to, negotiate, and execute a maintenance agreement with the lowest bidder, BrightView Landscape Services Company to provide weed abatement and trash removal four times a year at the locations listed above in amount of $40,819.32 annually and shall not-to-exceed $204,096.60 for a five-year contract term.
28 CONSENT ITEM 3.2
Fiscal Impact
There is no budget amendment required by this action. The funding for these services is included in the annual maintenance division budget from General Fund. The contract's total amount is capped at $204,096.60 for its five-year duration.

Public Notice
The public was provided notice by making the agenda and report available on the City’s website and on the City’s official bulletin board outside City Hall and report available at the San Mateo Co. Library located at 2415 University Avenue in East Palo Alto.

Environmental
These services are categorically exempt under the California Environmental Quality Act (CEQA) Guidelines Article 19, Categorical Exemption, Sections 15301 and 15303, because the improvements are considered to be maintenance of existing facilities.

Government Code § 84308
Applicability of Levine Act: No, because the contract has been competitively bid, it is exempt from the Levine Act.

Analysis of Levine Act Compliance: Not applicable.

Attachments

1. Resolution

2. Proposal

3. Menlo Park Fire Protection District Notice
29 Resolution No. XX-2024 1 of 2
RESOLUTION NO. ______

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF EAST PALO ALTO

AUTHORIZING THE CITY MANAGER TO AWARD TO, NEGOTIATE, AND EXECUTE AN

AGREEMENT WITH BRIGHTVIEW LANDSCAPE SERVICES, IN A FORM APPROVED BY THE

CITY ATTORNEY, FOR WEED ABATEMENT AND TRASH REMOVAL SERVICES IN AN ANNUAL AMOUNT OF $40,819.32, FOR A FIVE-YEAR TERM FOR A TOTAL NOT-TO-EXCEED AMOUNT OF $204,096.60
WHEREAS, the Public Works Maintenance is responsible for weed abatement and trash removal in the public right of way and open spaces within the city; and WHEREAS, contracting out a portion of weed abatement and trash removal in the public right of way and open spaces is necessary to ensure public safety and cleanliness throughout the city; and WHEREAS, on December 11, 2023, staff conducted formal bidding, including releasing a Request for Proposals (RFP) for Weed Abatement & Trash Removal Services for locations throughout the city; and
WHEREAS, by the deadline of January 5, 2024, four (4) companies submitted proposals; and WHEREAS, BrightView Landscape Services is the lowest responsible bidder.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY:

1. Finds the foregoing recitals are true and correct, and are incorporated by this reference into this action;

2. Authorizes the City Manager to execute a contract agreement with BrightView Landscape Services for weed abatement and trash removal services in an annual amount of $40,819.32 for a five-year term for a total not-to-exceed limit of $204,096.60; and

3. Finds that the proposed action is categorically exempt under the California Environmental Quality Act (CEQA) Guidelines Article 19, Categorical Exemption, Sections 15301 and 15303, because the improvements consist of maintenance of existing facilities. 30 PASSED AND ADOPTED this 20th day of February 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Antonio D. Lopez, Mayor
ATTEST: APPROVED AS TO FORM:

James Colin, City Clerk John D. Lê, City Attorney
31

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REQUEST FOR PROPOSAL
Weed Abatement & Trash Removal
Contractor Services

CITY OF EAST PALO ALTO, CA
Issue Date: December 11, 2023
32

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CITY OF EAST PALO ALTO
Incorporated in 1983
2415 University Avenue
East Palo Alto 94303
Telephone: (650) 853-3100

REQUEST FOR PROPOSAL
FOR

WEED ABATEMENT & TRASH REMOVAAL

CONTRACTOR
______________________________________________________

PURPOSE
The City of East Palo Alto is planning to seek bids from qualified companies for the provision of Weed Abatement & Trash Removal Services within the municipal boundaries of East Palo Alto.

1.0 PROPOSAL SUBMITTAL REQUIREMENTS

1.1. To be considered, each bidder must submit a response to this Request for Proposal (RFP) and address the SELECTION CRITERIA, demonstrating an understanding of requested purchase. The proposal must be signed, in ink, by an official authorized to bind the bidder to its provision.

1.2. Proposals must be marked as “Weed Abatement Bid” and must be received by 2:00 p.m. PST, Friday, January 5, 2024. The bidder is responsible for the timely receipt of their proposal. Late or faxed proposals will not be considered.

1.3. The content of this RFP, it’s under scope of work, the proposal and any mutual understandings resulting from oral presentations will become contractual obligations if a contract ensues. The failure of the successful bidder to accept these obligations may result in the cancellation of a proposed contract. The City of East Palo Alto further reserves the right to interview the key personnel assigned by 33

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the successful bidder to this project. The City of East Palo Alto reserves the right to reject any and all proposals.

2.0 NONDISCRIMINATORY PRACTICES

2.1. In accordance with Title VI of the Civil Rights Act of 1964, 78 Stat. 252, 42 U.S.C. 2000d-4, the City hereby notifies all bidders that it will affirmatively insure that in regard to any contract entered into pursuant to this advertisement, minority business enterprises will be offered full opportunity to submit bids in response to this invitation and will not be discriminated against on the basis of race, color, sex, or national origin for an award.

2.2. The contractor awarded the contract will be subject to the Anti-Harassment Policies, adopted by the City Council of the City of East Palo, on December 16, 2004, which complies with AB1825. (See Attachment 2, Exhibit C, AntiHarassment Policy).

3.0 LIABILITY

3.1 The City of East Palo Alto assumes no responsibility or liability for costs incurred by the contractor prior to the signing of an agreement. The total liability of the City of East Palo Alto is limited to the terms and conditions of any contract resulting from this RFP.

4.0 INDEMNIFICATION

4.1 The contractor shall indemnify and hold harmless the City of East Palo Alto and its agents and employees, from and against all claims, damages, losses, and expenses, including attorney fees arising out of or resulting from the performance of the work, which includes all labor, materials and equipment required to produce the services required by the contract, provided that any such claim, damage, loss or expense: 1) is injury to or destruction of tangible property (other than the work itself), including the loss of use resulting there from; and 2) is caused in whole or in part by any negligent act or omission of the contractor, any subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, regardless of whether or not it is caused in part by a party indemnified hereunder. The contractor assumes full responsibility and liability for compliance with any and all local, state, federal laws and regulations applicable to the contractor and its employees, including, but not limited to, compliance with the Occupational Safety and Health Act of 1970.

5.0 GENERAL PROPOSAL REQUIREMENTS

5.1 The proposals shall include the following:

5.1.1 Name of firm or company, business address, name of contact 34

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person, telephone number, and email address (if applicable).

5.1.2 Labor costs for all ranking classifications.

5.1.3 References, especially government organizations, preferably governmental entities in California; and specifically in the San Francisco Bay Area.

5.1.4 Description of your firm, personnel and services provided.

5.1.5 Reason(s) why you believe your firm should provide these services to the City of East Palo Alto.

5.1.6 Copies of all applicable licenses and insurance certificates (i.e., worker’s compensation, general liability, unemployment
compensation, etc.).

5.1.7 Any other pertinent information that you believe will assist the City in understanding your company and assurances if awarded the contract, i.e., most recent financial statement, bonding certificate.

5.2 All information contained in this proposal is subject to disclosure.

6.0 SELECTION CRITERIA

Responses to this RFP will be evaluated based upon the following factors as presented to the bid proposals:

6.1 Capability, Qualifications and References – (30%)

6.1.1 The written proposal should indicate the ability of the contractor to meet the terms of the RFP.

6.1.2 The written proposal should indicate the competence of personnel whom the bidder intends to assign to the project.

6.1.3 Qualifications will be measured by documentation of training and experience.

6.1.4 Hazardous Waste Recovery: Competency with hazardous materials recovery is not required for this proposal, however, appropriate training for identification of “unknown” substances or “potentially” hazardous waste shall be demonstrated and appropriate delegation of duties for hazardous waste mitigation shall be adhered to for proper disposal. Procedures for identifying potentially hazardous waste shall be included in the proposal along with a plan for delegation of hazardous waste cleanup.

6.1.5 Costs of potentially hazardous waste cleanup are not required to be addressed in 35

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the total cost of service proposal, as project locations are not known to contain hazardous waste. However, it is expected that contractors will retain a hazardous waste disposal company who will be on call, on stand-by during clean up and, in the event that hazardous materials are found. In the event that hazardous waste is identified, immediate City staff contact shall be made, and costs associated with this clean-up effort shall be addressed through a change-order upon staff approval. Emphasis will be placed upon the qualifications and experience of the bidder’s project manager.

6.2 Method of Approach – (20%)

6.2.1 This factor will be judged based upon the Work Plan provided in the Proposal.

6.3 Price - (50%)

6.3.1 This factor will be based on the total cost of the labor for services.

7.0 NEED FOR SERVICE
The City of East Palo Alto maintains several parcels throughout the city. The scope of this RFP is for cleaning and removing trash and weed abatement as needed.

8.0 GENERAL CONDITIONS

8.1 Insurance required during entire length of agreement is as follows:

1. Worker’s Compensation coverage per statutory requirements

2. Liability coverage as follows:

Bodily Injury Property Damage
$1 million per person $1 million each accident
$1 million each aggregate $1 million aggregate

8.2 The contractor shall comply with any and all rules and regulations established by the city regarding security, health and safety, and conduct of contractors and employees.

8.3 The contractor shall have a designated agent on the job site to provide adequate. and continuous supervision at all times that its employees are working.

8.4 The contractor shall promptly remove any of its employees who, in the judgment of the City, either has performed his/her duties unsatisfactory or has violated the agreement.

8.5 The contractor, including all outside contractors, shall comply with all City and Cal OSHA safety policies.
36

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9.0 SUMMARY
This RFP is designed to allow qualified service providers to demonstrate their capability of providing their services to the City of East Palo Alto.

9.1 Six copies of the completed proposals must be received no later than 2:00 p.m. on Friday, January 5, 2024.

Proposals must be addressed in the following manner:

City of East Palo Alto
Public Works Department
150 Tara Road
East Palo Alto, CA 94303
Attn: Jay Farr, Maintenance Manager

9.2 Format: Proposals should be 81/2 x 11 inches, bound in a single document and organized into sections following the order specified under contents.

9.3 Contents: Proposal shall contain the following information:

A. Labor Rates
Describe hourly labor rates and overtime rates for all classifications.

B. Firm Description
Provide a description of your firm and list relevant information about capabilities, rate of services, and length of time in existence.

C. Relevant Experience
Describe relevant experience dealing with cleaning up, debris removal, and weed abatement for public or private entities, municipalities or similar organizations.

D. Key Personnel Qualifications
Identify key personnel assigned to the project, their respective roles, and a synopsis of their relevant experience.

E. References
List of private, and/or public agencies or clients for whom similar work has been performed. Provide the name, title and phone number of a contact person. The City may request a copy of a similar plan prepared by your firm for another client.

F. Insurance
The individual or firm receiving the contract shall procure and maintain for the duration of the contract, insurance against claims for injuries to persons or 37

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damages to property that may arise from or in connection with the performance of the work hereunder by the Consultant, his agents, representatives, employees or subcontracts as set forth in Exhibit “B” which is attached hereto and incorporated by reference herein. The cost of such insurance shall be included in the consultant’s proposal.

EVALUATION CRITERIA
Proposals will be evaluated on the basis of the following criteria:
a. Capabilities and resources of the firm to perform the contracted work. b. Qualifications and experience of key individuals.
c. Ability to complete the work on a short schedule and timeline. d. Cost effectiveness.
e. How well the submitted proposal for service fits the needs of the city.

The above selection criteria are provided to assist responders to proposals and are not meant to limit other considerations that may become apparent during the course of the selection process.

Proposals will be reviewed and evaluated by the City of East Palo Alto, and a recommendation for award of contract will be presented to the East Palo Alto City Council for disposition. Incomplete and/or late proposals will not be considered.

OTHER CONSIDERATIONS
The City of East Palo Alto reserves the right to reject any and all proposals. This Request for Proposal does not commit the City to award a contract, pay any costs incurred in the preparation of proposals, or to procure or contract for supplies or services.

The City of East Palo Alto reserves the right to negotiate with any qualified source or to cancel, in part of or in its entirety, this Request for Proposal, if it is in the best interest of the City to do so. The City may require the selected bidders to participate in negotiations, and submit such price, technical or other revisions of the proposal that may result from negotiations.

QUESTIONS
Questions should be directed in writing to:

Jay Farr
Public Works Maintenance Manager
150 Tara Road
East Palo Alto, CA 94303
Email: [email protected]
38

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Sample

GENERAL CONSTRUCTION CONTRACT
This General Construction Contract (“Contract”) is made at East Palo Alto, California, dated for reference this ______ day of __, 20___, by and between the City of East Palo Alto, a municipal corporation (“City”) and [type in Contractor’s name], a [type in the type of entity], hereinafter referred to as “Contractor”, who agree as follows:

1. Scope of Work. Contractor agrees to furnish all tools, equipment, apparatus, facilities, labor, transportation, and material necessary to perform and complete the project in a good and workmanlike manner. The work consist(s) of furnishing all labor, materials, equipment, tools and services necessary to [type project description], as further set forth in the Scope of Work, Exhibit A. The Project also includes [type additional information if necessary], as called for, and in the manner designated in, and in strict conformity with, the Plans and Specifications prepared by [type who prepared Plans and Specifications] and adopted by the City. These Plans and Specifications are entitled [type exact name of Plans and Specifications].

The contractor understands and agrees that the work will be performed and completed as required in the Plans and Specifications under the sole direction and control of the Contractor, and subject to inspection and approval of the City, or its representatives. The City hereby designates as its representative for the purpose of this contract the City Engineer for Construction or an employee of the City who will be designated in writing by the Public Works Director.

2. Contract Price. The City agrees to pay and the Contractor agrees to accept, in full payment for the work above agreed to be done, the sum of exceed [insert dollar amount in words - e.g. Two Thousand Five Hundred Fifty Dollars and 13 Cents] ([ insert dollar amount in number- e.g., $2,550.13 ]) subject to final determination of work performed and materials furnished at unit prices per Exhibit “A”, and subject to additions and deductions in accordance, as provided in the Documents and in accordance with Contract Documents.

The sum includes base bid and accepted Additive Alternate(s) No. [type number(s) of alternatives]. All other Additive Alternate(s) are rejected by City and are not included in this contract.

3. The Contract Documents. The complete Contract consists of the following documents: Notice Inviting Bids; Instructions to Bidders; Performance Bond; Payment Bond; Guaranty; Plans and Specifications for [type name of project], Project No. [type project number]. These documents are all incorporated herein by reference.

This Contract also contains the following Exhibits, attached and incorporated by reference:

Exhibit A – [Type in Contractor’s name] Construction Bid Proposal Exhibit B – Faithful Performance Bond
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Exhibit C – Labor and Materials Bond
Exhibit D – Insurance Requirements
Exhibit E – City of East Palo Alto’s Policy Against Discrimination, Harassment, and Retaliation
The documents incorporated by reference and any exhibits, including any attachments, comprise the complete contract and are collectively referred to as the Contract Documents. Any and all obligations of the City and the Contractor are fully set forth and described therein. All of the above documents are intended to work together so that any work called for in one and not mentioned in the other or vice versa is to be executed the same as if mentioned in all documents.

4. Permits. Compliance with Law. Contractor shall, at its expense, obtain all necessary permits and licenses, easements, etc., for the construction of the project, give all necessary notices, pay all fees required by law, and comply with all laws, ordinances, rules and regulations relating to the work and to the preservation of the public health and safety.

5. Inspection by City. The contractor shall at all times maintain proper facilities and provide safe access for inspection by the City to all parts of the work, and to the shops wherein the work is in preparation. Where the Specifications require work to be specially tested or approved, it shall not be tested or covered up without timely notice to the City of its readiness for inspection and without the approval thereof or consent thereto by the latter. Should any such work be covered up without such notice, approval, or consent, it must, if required by City, be uncovered for examination at the Contractor's expense.

6. Extra or Additional Work and Changes. Should City at any time during the progress of the work request any alterations, deviations, additions or omissions from the Specifications or Plans or other Contract Documents it shall be at liberty to do so, and the same shall in no way affect or make void the contract, but will be added to or deducted from the amount of the contract price, as the case may be, by a fair and reasonable valuation, agreed to in writing between the parties hereto. No extra work shall be performed, or change be made unless in pursuance of a written order from the Public Works Director or authorized representative, stating that the extra work or change is authorized and no claim for an addition to the contract sum shall be valid unless so ordered.

7. Time for Completion. All work under this contract shall be completed before the expiration ________(XXX) calendar days from the date specified in the Notice to Proceed.

If Contractor shall be delayed in the work by the acts or neglect of City, or its employees or those under it by contract or otherwise, or by changes ordered in the work, or by strikes, lockouts by others, fire, unusual delay in transportation, unavoidable casualties or any causes beyond the Contractor's control, or by delay authorized by the City, or by any cause which the City shall decide to justify the delay, then the time of completion shall be extended for such reasonable time as the City may decide. 40

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This provision does not exclude the recovery of damages for delay by either party under other provisions.

8. Inspection and Testing of Materials. Contractor shall notify City a sufficient time in advance of the manufacture or production of materials, to be supplied under this contract, in order that the City may arrange for mill or factory inspection and testing of same, if City requests such notice from Contractor.

9. Termination for Breach, etc. If Contractor should file a bankruptcy petition and/or be judged bankrupt, or if Contractor should make a general assignment for the benefit of creditors, or if a receiver should be appointed on account of insolvency, or if Contractor or any subcontractors should violate any of the provisions of the Contract, City may serve written notice upon Contractor and its surety of City's intention to terminate the Contract.

The notice shall contain the reasons for such intention to terminate the Contract, and, unless within ten days after serving such notice, such violation shall cease and satisfactory arrangements for correction thereof be made, upon the expiration of the ten days, the Contract shall cease and terminate. In the event of any such termination, City shall immediately serve written notice thereof upon the surety and the Contractor, and the surety shall have the right to take over and perform the Contract; provided, however that, if the surety within fifteen days after the serving upon it of notice of termination does not give City written notice of its intention to take over and perform the Contract or does not commence performance thereof within thirty days from the date of the serving of such notice, City may take over the work and prosecute the same to completion by contract or by any other method it may deem advisable, for the account and at the expense of Contractor, and Contractor and its surety shall be liable to City for any excess cost occasioned City thereby, and in such event City may without liability for so doing take possession of and utilize in completing the work, such materials, appliances, plant and other property belonging to Contractor as may be on the site of the work and necessary therefor.

10. City's Right to Withhold Certain Amounts and Make Application Thereof. In addition to the amount which City may retain under Paragraph 21 until the final completion and acceptance of all work covered by the Contract, City may withhold from payment to Contractor such amount or amounts as in its judgment may be necessary to pay just claims against Contractor or any subcontractors for labor and services rendered and materials furnished in and about the work. The City may apply such withheld amount or amounts to the payment of such claims in its discretion. In so doing City shall be deemed the agent of the Contractor and any payment so made by City shall be considered as a payment made under the Contract by City to the Contractor and City shall not be liable to Contractor for any such payment made in good faith. Such payment may be made without prior judicial determination of the claim or claims.

11. Notice and Service Thereof. All notices required pursuant to this Contract shall be communicated in writing, and shall be delivered in person, by commercial courier or by first class or priority mail delivered by the United States Postal Service. Transmission of notice by facsimile or by telephone may be deemed sufficient if the requirement for 41

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written notice is waived, in writing, by the receiving party. Notices delivered in person shall be deemed communicated as of actual receipt. Notices sent by mail or courier service shall be deemed communicated as of three days after mailing or dispatch, unless that date is a date on which there is no mail or delivery service, in which case communication shall be deemed to occur the next mail service or delivery day. The burden of proof of compliance with this requirement for written notice shall be on the sending party. All notices sent pursuant to this Contract shall be addressed as follows:

City: City of East Palo Alto
Public Works Maintenance Division
Attn: Jay Farr
150 Tara Road
East Palo Alto, CA 94303
Contractar: ________________________________
________________________________
________________________________

12. Assignment of Contract. Neither the Contract, nor any part thereof, nor moneys due or to become due thereunder may be assigned by Contractor without the prior written approval of City.

13. Compliance with Specifications of Materials. Whenever in the Specifications, any material or process is indicated or specified by patent or proprietary name, or by name of manufacturer, such Specifications must be met by Contractor, unless City agrees in writing to some other material, process or article offered by Contractor which is equal in all respects to the one specified.

14. Contract Security. Contractor shall furnish a surety bond in an amount at least equal to 100 percent of the contract price as security for the faithful performance of this Contract. Contractor shall also furnish a separate surety bond in an amount at least equal to 100 percent of the contract price as security for the payment of all persons for furnishing materials, provisions, provender, or other supplies, or teams, used in, upon, for or about the performance of the work contracted to be done, or for performing any work or labor thereon of any kind, and for the payment of amounts due under the Unemployment Insurance Code with respect to such work or labor in connection with this Contract, and for the payment of a reasonable attorney's fee to be fixed by the court in case suit is brought upon the bond. Bonds shall be issued by an admitted surety insurer authorized to operate in the state of California.

15. Insurance. Contractor shall not commence work under this Contract until all insurance required as set forth in Exhibit B has been obtained and such insurance has been approved by the City, nor shall Contractor allow any subcontractor to commence work on a subcontract until all similar insurance required of the subcontractor has been so obtained and approved. Contractor shall furnish the City with satisfactory proof of the carriage of insurance required, and there shall be a specific contractual liability 42

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endorsement extending the Contractor's coverage to include the contractual liability assumed by the Contractor pursuant to this Contract and particularly Paragraph 16 hereof. Any policy of insurance required of the Contractor under this Contract shall also contain an endorsement providing that thirty (30) days' notice must be given in writing to the City of any pending change in the limits of liability or of any cancellation or modification of the policy. Insurance carrier shall be California-admitted.

16. Hold Harmless. Contractor agrees to defend, save, indemnify and hold harmless City and all its officers, employees, agents, independent contractors and volunteers against any and all liability, claims, judgments, or demands, including demands arising from injuries or death of persons (Contractor's employees included) and damage to property, arising directly or indirectly out of the obligations herein undertaken or out of the operations conducted by Contractor, save and except claims or litigation arising through the active negligence or willful misconduct of City, or of City's officials, agents, employees, independent contractors or volunteers who are directly responsible to City. Contractor shall make good and reimburse City for any expenditures, including reasonable attorneys' fees, City may make by reason of such claim or litigation, and, if requested by City, Contractor shall defend any such suits at the sole cost and expense of Contractor.

17. Hours of Work. Eight hours of labor during any one calendar day and forty hours of labor during any one calendar week shall constitute the maximum hours of service upon all work done hereunder, and it is expressly stipulated that no laborer, worker, or mechanic employed at any time by the Contractor or by any subcontractor or subcontractors under this Contract, upon the work or upon any part of the work contemplated by this Contract, shall be required or permitted to work thereon more than eight hours during any one calendar day and forty hours during any one calendar week, except, as provided by Section 1815 of the Labor Code of the State of California, work performed by employees of contractors in excess of eight hours per day and forty hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of eight hours per day at not less than one and one-half times the basic rate of pay. It is further expressly stipulated that for each and every violation of Sections 1811-1815, inclusive, of the Labor Code of the State of California, all the provisions whereof are deemed to be incorporated herein, Contractor shall forfeit, as a penalty to City, fifty dollars ($50.00) for each laborer, worker, or mechanic employed in the execution of this Contract by Contractor, or by any subcontractor under this Contract, for each calendar day during which the laborer, worker, or mechanic is required or permitted to work more than eight hours in any one calendar day and forty hours in any one calendar week in violation of the provisions of the Sections of the Labor Code.

Contractor, and each subcontractor, shall, in accordance with California Labor Code Section 1776 or as the same may be later amended, keep accurate payroll records showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by him or her in connection with work under this agreement. Each payroll record shall contain or be verified by a written declaration under penalty of perjury, in accordance with Labor Code Section 1776(a). Such payroll records 43

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shall be made available at all reasonable times at the Contractor’s principal office to the persons authorized to inspect such records pursuant to Labor Code Section 1776. A certified copy of all payroll records shall be made available for inspection or furnished upon request to a representative of the Division of Labor Standards Enforcement, and the Division of Apprenticeship Standards of the Department of Industrial Relations, as well as to the City’s representative. In the event the Contractor or a Subcontractor fails to comply in a timely manner within ten days to a written notice requesting the records, such contractor or subcontractor shall forfeit twenty-five dollars ($25.00) for each calendar day, or portion thereof, for each worker, until strict compliance is effectuated, in accordance with Labor Code Section 1776(g).

18. Wage Rates. Pursuant to the Labor Code of the State of California, or any applicable local law, City has ascertained the general prevailing rate per diem wages and rates for holidays, and overtime work in the City, for each craft, classification or type of laborer, worker, or mechanic needed to execute this Contract. City has adopted, by reference, the general prevailing rate of wages applicable to the work to be done under the Contract, as adopted and published by the Division of Labor Standards Enforcement and Labor Statistics and Research of the State of California, Department of Industrial Relations, to which reference is hereby made for a full and detailed description. A copy of the prevailing wage rates may be reviewed in the office of the Public Works Director, City of East Palo Alto, 1960 Tate Street, East Palo Alto, California. Wage rates can also be obtained through the California Department of Industrial Relations website at:
http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm
Neither the notice inviting bids, nor this Contract shall constitute a representation of fact as to the prevailing wage rates upon which the Contractor or any subcontractor may base any claim against City.

It shall be mandatory upon Contractor and upon any subcontractor to pay not less than the specified rates to all laborers, workers, and mechanics employed in the execution of the Contract. It is further expressly stipulated that Contractor shall, as a penalty to City, forfeit fifty dollars ($50.00) for each calendar day, or portion thereof, for each laborer, worker, or mechanic paid less than the stipulated prevailing rates for any work done under this Contract by Contractor or by any subcontractor; and Contractor agrees to comply with all provisions of Section 1775 of the Labor Code.

In case it becomes necessary for Contractor or any subcontractor to employ on the project under this Contract any person in a trade or occupation (except executives, supervisory, administrative, clerical, or other non-manual workers as such) for which no minimum wage rate is herein specified, Contractor shall immediately notify City who will promptly thereafter determine the prevailing rate for such additional trade or occupation and shall furnish Contractor with the minimum rate based thereon. The minimum rate thus furnished shall be applicable as a minimum for such trade or occupation from the time of the initial employment of the person affected and during the continuance of such employment.
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19. Accident Prevention. Precautions shall be exercised at all times for the protection of persons (including employees) and property. The safety provisions of applicable laws, building and construction codes shall be observed. Machinery, equipment, and other hazards shall be guarded or eliminated in accordance with the safety provisions of the Construction Safety Orders issued by the Industrial Accident Commission of the State of California.

20. Contractor's Guarantee. City shall not, in any way or manner, be answerable or suffer loss, damage, expense or liability for any loss or damage that may happen to the building, work, or equipment or any part thereof, or in, on, or about the same during its construction and before acceptance. Contractor unqualifiedly guarantees the first-class quality of all workmanship and of all materials, apparatus, and equipment used or installed by Contractor or by any subcontractor or supplier in the project which is the subject of this Contract, unless a lesser quality is expressly authorized in the Plans and Specifications, in which event Contractor unqualifiedly guarantees such lesser quality; and that the work as performed by Contractor will conform with the Plans and Specifications or any written authorized deviations therefrom. In case of any defect in work, materials, apparatus or equipment, whether latent or patent, revealed to City within one year of the date of acceptance of completion of this Contract by City, Contractor will forthwith remedy such defect or defects without cost to City.

21. Liquidated Damages. Time shall be the essence of this Contract. If Contractor fails to complete, within the time fixed for such completion, the entire work mentioned and described and contracted to be done and performed, Contractor shall become liable to City for liquidated damages in the sum of ________ Hundred and No/100 Dollars ($XXX.00) for each and every calendar day during which work shall remain uncompleted beyond such time fixed for completion or any lawful extension thereof. The amount specified as liquidated damages is presumed to be the amount of damage sustained by City since it would be impracticable or extremely difficult to fix the actual damage; and the amount of liquidated damages may be deducted by City from moneys due Contractor hereunder, or its assigns and successors at the time of completion, and Contractor, or its assigns and successors at the time of completion, and its sureties shall be liable to City for any excess.

22. Additional Provisions.

None.
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IN WITNESS WHEREOF, two identical counterparts of this contract, each of which shall for all purposed be deemed an original thereof, have been duly executed by the parties.

CITY OF EAST PALO ALTO [INSERT CONTRACTOR’S NAME &
a municipal corporation TYPE OF COMPANY]
License No. __________
By By
Melvin E. Gaines [INSERT NAME]
City Manager [INSERT TITLE]
By
[INSERT NAME]
By [INSERT TITLE]
James Colin
City Clerk

APPROVED AS TO CONTENT
By_______________________________
Humza Javed
Public Works Director

APPROVED AS TO FORM:

John D. Lê
City Attorney
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Exhibit A
Weed Abatement & Trash Removal Proposal
Pricing Sheet
No. Location /Address Lot Size Four Times
Cleaning Per
Year
1 East Bayshore Sound Wall-from IKEA to
Pulgas
3,000 LF $
2 East Bayshore Sound Wall- from University to
Saratoga
3,800 LF $
3 Willow Rd- from Newbridge to HWY 101 off
ramp exit
1,100 LF $
4 Willow Rd- from Newbridge to Alberni 960 LF $
5 West Bayshore Sound Wall-from Manhattan to
Addison
2,100 LF $
6 West Bayshore Sound Wall-from Pulgas to
Capital
4,500 LF $
7 City Lot at 1950 Pulgas -Future LibraryAPN#06324049047,809 sq/ft $ 8 City Lot next to MLK Park-APN#063580040 77,317 sq/ft $ 9 Rail Spur-from Pulgas Bay Rd 2,630 LF $
10 Rail Spur-from Bay Rd to Purdue 4,180 LF $
Total Cost $
Note:
1) Pricing based on prevailing wage rates for San Mateo County. 2) Garbage and green waste collected to be disposed at Maintenance Corp Yard at 150 Tara Road.
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EXHIBIT B

INSURANCE REQUIREMENTS

PLEASE GIVE TO YOUR INSURANCE AGENT
There shall be a contractual liability endorsement extending the GRANTEE’S coverage to include the contractual liability assumed by the GRANTEE pursuant to this Agreement. These certificates shall specify or be endorsed to provide that thirty (30) days' notice must be given, in writing, to the CITY, at the address shown in Section 22 of the Agreement of any pending cancellation of the policy. GRANTEE shall notify CITY of any pending change to the policy. All certificates shall be filed with the City.

A. Commercial General Liability Insurance: Contractor’s General Liability insurance shall include contractual liability coverage. Contractor shall take out and maintain during the life of this Agreement such Bodily Injury Liability and Property Damage Liability Insurance (Commercial General Liability Insurance) on an occurrence basis as shall protect it while performing work covered by this Agreement from any and all claims for damages for bodily injury, including accidental death, as well as claims for property damage which may arise from the Contractor’s operations under this Agreement, whether such operations be by Contractor or by any sub-Contractor or by anyone directly or indirectly employed by either of them. The amounts of such insurance shall be not less than One Million Dollars ($1,000,000) per occurrence and Three Million Dollars ($3,000,000), in aggregate or Three Million Dollars ($3,000,000) combined single limit bodily injury and property damage for each occurrence.

B. Automobile Liability Insurance: CONTRACTOR shall procure and maintain Automobile Liability Insurance as broad as Insurance Services Office Form Number CA 0001 covering Automobile Liability, Code 1 (any auto). Such Automobile Liability Insurance shall have minimum limits of no less than One Million Dollars ($1,000,000.00) per accident for bodily injury and property damage.

C. Worker’s Compensation and Employer's Liability Insurance: Contractor shall have in effect during the entire life of this Agreement Worker's Compensation and Employer's Liability Insurance providing full statutory coverage. In signing this Agreement, Contractor makes the following certification, required by Section 18161 of the California Labor Code: "I am aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of the Code, and I will comply with such provisions before commencing the performance of the work of this Agreement".

D. Professional Liability Insurance: Contractor shall take out and maintain during the life of this Agreement a policy of professional liability insurance, protecting it against claims arising out of the acts, errors, or omissions of Contractor pursuant to this Agreement, in the amount of not less than One Million Dollars ($1,000,000) per claim. Said professional liability insurance is to be kept in force for not less than one (1) year after completion of services described herein.

E. Broader Insurance Coverage: In the event that Contractor maintains broader coverage and/or higher limits than the City’s minimum requirements, the City requires and shall be entitled to the broader coverage and/or the higher limits maintained by the Contractor. The limits of insurance required in this agreement may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that 48

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such coverage shall also apply on a primary and non-contributory basis for the benefit of the City before the City’s own insurance shall be called upon to protect it as a named insured. B. Additional Insured Status: The City of East Palo Alto, its subsidiary agencies, directors, officers, employees, agents, independent contractors and volunteers shall be named as additional insureds on any such policies of comprehensive general and automobile liability insurance.

F. Primary and Non-Contributory Coverage: Except for professional liability and worker's compensation insurance, the policies shall also contain a provision that the insurance afforded to the City, its subsidiary agencies, and their directors, officers, employees, agents, independent contractors and volunteers based on additional insured status shall be primary and non-contributory insurance to the full limits of liability of the policy, and that if the City, its subsidiary agencies and their directors, officers, employees, agents, independent contractors and volunteers have other insurance against a loss covered by a policy, such other insurance shall be excess insurance only.

G. Verification of Coverage: Contractor shall furnish the City with original Certificates of Insurance including all required amendatory endorsements (or copies of the applicable policy language effecting coverage required by this clause).

H. Notice of Cancellation: Contractor shall provide thirty (30) days' notice, in writing, to the City, at 2415 University Avenue, East Palo Alto, CA 94303, of any pending change or cancellation of the policy.

I. Deductibles or Self-Insured Retentions: Prior to the execution of this Agreement, any deductibles or self-insured retentions must be declared to and approved by City.

J. Breach: In the event of the breach of any provision of this section, or in the event any notice is received which indicates any required insurance coverage will be diminished or canceled, City, at its option, may, notwithstanding any other provision of this Agreement to the contrary, immediately declare a material breach of this Agreement and suspend all further work pursuant to this Agreement.

K. The City of East Palo Alto, its Council Members, subsidiary agencies, directors, officers, agents, employees, and servants shall be named as additional insured on any such policies of comprehensive general and automobile liability insurance, except professional liability and worker's compensation, which shall also contain a provision that the insurance afforded thereby to the CITY, its subsidiary agencies, and their officers, agents, employees, and servants shall be primary insurance to the full limits of liability of the policy, and that if the CITY, its subsidiary agencies and their officers and employees have other insurance against a loss covered by a policy, such other insurance shall be excess insurance only.
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EXHIBIT C
CITY OF EAST PALO ALTO’S POLICY AGAINST DISCRIMINATION,

HARASSMENT AND RETALIATION
EFFECTIVE DATE: 12/21/2004
REVISED DATE: 1/12/07
ADOPTED BY CITY COUNCIL: 12/21/2004
I. PURPOSES
The purposes of this policy are to emphasize the City's commitment to keeping its workplace free of harassment, discrimination and retaliation, to define and provide examples of the conduct that is prohibited, to summarize the respective responsibilities for preventing, reporting, investigating, and responding to violations and to give clear warning of the serious consequences that violators will face.

A copy of this policy shall be provided to all persons who are subject to it, and shall be posted on City bulletin boards in all City facilities.

II. POLICY
All of the following are prohibited by this Policy:
• Discrimination or harassment in any aspect of City employment based on any legally protected characteristic or status, including sex, gender, sexual orientation, race, color, national origin, language, ancestry, religion, age, marital status, domestic partner, physical disability, mental disability, or medical condition.
• Retaliation for opposing, filing a complaint about, or participating in an investigation of, any such harassment or discrimination.
• Aiding, abetting, inciting, compelling, or coercing or any such discrimination, harassment or retaliation, or attempting to do so.

The City will take all reasonable steps necessary to prevent such misconduct from occurring, and to remedy and punish any occurrence. Any City employee, Council member, member of any advisory body, including any Commissioner, Committee member, or Board member found having engaged in any such misconduct will be subject to disciplinary action up to and including termination or censure or removal and will be deemed to have acted outside the course and scope of his or her employment.

This policy applies to all City employees, volunteers, interns, vendors, and CONSULTANTs as well as to all applicants for City positions.

The policy shall not be interpreted or applied in any manner that would be inconsistent with any applicable State or Federal law or regulation or increase the legal liability of the City. 50

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III. DESCRIPTION AND EXAMPLES OF PROHIBITED HARASSMENT
Harassment on the basis of sex is unlawful, and is prohibited by this policy. Sexual harassment includes unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature, when:
• An individual's submission to such conduct is made explicitly or implicitly, a term or condition of that individual's employment; or,
• An individual's submission to or rejection of such conducts is used as the basis for an employment decision affecting that individual; or,
• The conduct has the purpose or effect of unreasonably interfering with an individual's work performance or creating an intimidating, hostile, abusive, or offensive work environment.

Sexual harassment need not be motivated by sexual desire or gratification, and may include nonsexual conduct motivated by the violator's hostility towards the victim's gender, or towards the victim's nonconformity to gender stereotypes. Sexual harassment includes not only conduct motivated by gender, but also by pregnancy, childbirth, or a related condition. A harasser may be either male or female, and the victim may either be the same sex or the opposite sex. Even a person who is not the intended target of harassment may be harassed by it if he or she witnesses it.

Sexual harassment may be verbal, visual, or physical. For example:
• Verbal harassment may consist of derogatory, threatening, or intimidating comments, epithets, slurs or jokes; references to gender, physical appearance, attire, sexual prowess, marital status, or pregnancy; or sexual advances, propositions, or demands. • Visual harassment may consist of displaying or circulating derogatory or offensive posters, cartoons, drawings, photographs, pin-ups, computer images, or electronic media transmissions.
• Physical harassment may consist of assault, battery, or unwelcome, unnecessary and offensive touching (kissing, hugging, patting, rubbing, pinching, brushing against), stating, leering, gesturing, whistling or making noises, impeding or blocking movement, or physical interfering with normal work or movement.

In addition to prohibiting harassment based on sex or gender, this policy also prohibits harassment based on sexual orientation, or upon any other legal protected characteristic or status, such as race, religion, creed, color, national origin, language, ancestry, physical disability, mental disability, medical condition, marital status, domestic partner, or age.

Harassment on the basis of such factors is subject to the principles applicable to sexual harassment, as stated above.
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IV. REPORTING DISCRIMINATION, HARASSMENT OR RETALIATION Any City employee, volunteer, intern, vendor, CONSULTANT, or applicant who becomes aware of any discrimination, harassment or retaliation prohibited by this policy shall report it immediately to their immediate supervisor, or higher ranking supervisor, or the Assistant City Manager. Under no circumstances shall such a report be required or expected to be made to the person who engaged in the misconduct that is subject to this report.

The responsibility to report conduct prohibited by this policy arises even if the conduct is directed toward someone else and even if the person toward whom it is directed does not want it reported.

Reports may be made orally or in writing, free of requirements as to form.

Because reports of conduct prohibited by this policy will be treated as serious charges, the making of a deliberately false report, or a report made with reckless disregard for its truth or falsity, may subject the maker to disciplinary action.

V. INVESTIGATION AND RESOLUTION
The City of East Palo Alto will investigate all reported violations of this policy. All employees, volunteers, interns, vendors and CONSULTANTs, members of the City Council, or members of a City advisory body shall cooperate with any such investigation.

Any supervisor, manager department head, member of the City Council, or member of a City advisory body who receives a report of, or who becomes aware of, conduct prohibited by this policy shall promptly report it to the Personnel Officer. Upon receiving the report, the Personnel Officer shall direct any report that accuses a City Council member or appointee to the City Council for investigation and resolution. The City Council shall delegate the responsibility to conduct a prompt, full, and fair investigation to the qualified private investigator. Upon receiving a report regarding a non-City Council member or appointee, the Personnel Officer shall conduct a prompt, full, and fair infestation, or delegate that responsibility to a qualified City employee or private investigator. The person performing the investigation shall:
• Interview the complainant, the accused, and any other person the investigator believe to have knowledge relevant to the charges;
• Gather and review any documentary, electronic, or physical evidence relevant to the charges; • Consult with legal counsel as needed;
• Determine whether the charges can or cannot be substantiated; and • Develop recommendations for appropriate remedial and/or disciplinary action, if any.

VI. OUTSIDE ADMINISTRATIVE AGENCIES
In addition to the remedies described in this Policy, the U.S. Equal Employment Commission and the California Department of Fair Employment and Housing provide administrative complaint and investigation processes as to harassment, discrimination or retaliation on the basis of a protected status. The toll free telephone number for such office is listed below:

California Department of Fair Employment and Housing 1.800.233.3212 U.S. Equal Employment Opportunity Commission 1.800.669.4000 52 53
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56 CONSENT ITEM 3.3

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2024
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Humza Javed, Public Works Director
Jay Farr, Maintenance Division Manager
SUBJECT: Purchase of John Deere Compact Loader from Belkorp Ag, LLC.

Recommendation
Adopt a resolution authorizing the City Manager to purchase a John Deere Compact Loader for Public Works Department Operations from Belkorp Ag, LLC. in the amount of $86,216.99.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Priority No. 3: Promote Health & Public Safety
Background
The maintenance division within the public works department is responsible for a variety of tasks to efficiently maintain the public right of way and city open spaces. Proper equipment is essential for safe and efficient work.

A loader is an essential piece of equipment which is used to repair roads, load loose dirt/ sand/base rock, respond to illegal dumping, and properly load trash and debris into Recology bins located at the Yard. The loader will allow staff to handle its processes more efficiently and 57 CONSENT ITEM 3.3
safely. It is also an essential piece of equipment that is needed to clear out debris from the creek or roadway during flood emergencies.

Analysis
On December 11, 2023, the staff released a formal Request for Proposals (RFP) to solicit proposals from qualified companies to provide pricing for a John Deere 184 G-Tier Compact Wheel Loader for the City of East Palo Alto.

By the deadline of January 05, 2024, four (4) companies submitted proposals for the John Deere Compact Wheel Loader, model number 184G-Tier.

No. Company Cost
1 Belkorp Ag, LLC $86,216.99
2 Volvo Construction Equipment & Services $86,416.69
3 Cal-Coast Machinery, Inc. $101,344.52
4 Pape Machinery Inc. $106,771.44
Staff recommends the City Council authorize purchase of a John Deere Compact Wheel Loader, model number 184G-Tier, from Belkorp Ag, LLC, for a total amount of $86,216.99.

Fiscal Impact
There is no budget amendment required by this action. The funding of $86,216.99 is in the approved maintenance division FY 23/24 budget.

Public Notice
The public was provided notice by making the agenda and report available on the City’s website, the City’s official bulletin board outside City Hall, and at the San Mateo Co. Library located at 2415 University Avenue in East Palo Alto.

Environmental (purchase of CalNet/Comcast services)
The proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational or administrative activity that will not result in direct or indirect changes in the environment.

Government Code § 84308
Applicability of Levine Act: No, as the entitlement involves a contract that was competitively bid, the Levine Act is not applicable.
58 CONSENT ITEM 3.3
Analysis of Levine Act Compliance: Not applicable.

Attachments

1. Resolution

2. RFP
59 Resolution No. XX-2024 1 of 2
RESOLUTION NO. ______

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF EAST PALO ALTO

AUTHORIZING THE CITY MANAGER TO PURCHASE A JOHN DEERE COMPACT LOADER MODEL 184G-TIER FOR PUBLIC WORKS DEPARTMENT OPERATIONS FROM BELKORP AG, LLC. FOR THE AMOUNT OF $86,216.99.

WHEREAS, the Public Works Department is responsible for variety of tasks to efficiently maintain the public right of way and city open spaces; and
WHEREAS, proper equipment such as a loader is essential for staff to safely and efficiently carry out its daily operations; and
WHEREAS, a loader will be used by staff to repair roads, load and transport dirt/rock/sand, respond to illegal dumping, and assist with flood and emergency response; and WHEREAS, on December 11, 2023, staff released a formal Request for Proposals (RFP) to solicit proposals from qualified companies to provide pricing for a John Deere 184 G-Tier Compact Wheel Loader; and
WHEREAS, by the deadline of January 5, 2024, four companies submitted proposals; and WHEREAS, Belkorp Ag, LLC submitted the lowest responsible bid in the amount of $86,216.99.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY:

1. Finds the foregoing recitals are true and correct, and are incorporated by this reference into this action;

2. Authorizes the City Manager to purchase a John Deere Compact Loader for Public Works Department Operations from Belkorp Ag, LLC. for the amount of $86,216.99; and

3. Finds that the proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational or administrative activity that will not result in direct or indirect changes in the environment.

PASSED AND ADOPTED this 20th day of February 2024, by the following vote:

AYES:

NOES:

ABSENT:
60 ABSTAIN:

Antonio D. Lopez, Mayor
ATTEST: APPROVED AS TO FORM:

James Colin, City Clerk John D. Lê, City Attorney
61

Page 1 of 7 ends

REQUEST FOR PROPOSAL

JOHN DEERE LOADER
(Equipment Purchase)

CITY OF EAST PALO ALTO, CA
Issue Date: December 11, 2023
62

Page 2 of 7 ends

CITY OF EAST PALO ALTO
Incorporated in 1983
2415 University Avenue
East Palo Alto 94303
Telephone: (650) 853-3100

REQUEST FOR PROPOSAL
FOR
John Deere Loader
______________________________________________________

PURPOSE
The City of East Palo Alto intends to solicit bids from qualified companies to provide pricing for a John Deere 184 G-Tier Compact Wheel Loader for the City of East Palo Alto.

1.0 PROPOSAL SUBMITTAL REQUIREMENTS

1.1. To be considered, each bidder must submit a response to this Request for Proposal (RFP) and respond to the SELECTION CRITERIA identifying your understanding of the purchase requested. The proposal must be signed, in ink, by an official authorized to bind the bidder to its provision.

1.2. Proposals must be marked as “Equipment Purchase Bid” and must be received by 2:00 p.m. PST, Friday, January 5, 2024. The bidder is responsible for the timely receipt of their proposal. Late or faxed proposals will not be considered.

1.3. The content of this RFP, it’s under scope of work, the proposal and any mutual understandings resulting from oral presentations will become contractual obligations if a contract ensues. The failure of the successful bidder to accept these obligations may result in the cancellation of a proposed contract. The City of East Palo Alto further reserves the right to interview the key personnel assigned by the successful bidder for this purchase. The City of East Palo Alto reserves the right to reject any and all proposals.
63

Page 3 of 7 ends

2.0 NONDISCRIMINATORY PRACTICES

2.1. In accordance with Title VI of the Civil Rights Act of 1964, 78 Stat. 252, 42 U.S.C. 2000d-4, the City hereby notifies all bidders that it will affirmatively insure that in regard to any contract entered into pursuant to this advertisement, minority business enterprises will be offered full opportunity to submit bids in response to this invitation and will not be discriminated against on the basis of race, color, sex, or national origin for an award.

3.0 LIABILITY

3.1 The City of East Palo Alto assumes no responsibility or liability for costs incurred by the contractor prior to the signing of an agreement. The total liability of the City of East Palo Alto is limited to the terms and conditions of any contract resulting from this RFP.

4.0 INDEMNIFICATION

4.1 The contractor shall indemnify and hold harmless the City of East Palo Alto and its agents and employees, from and against all claims, damages, losses, and expenses, including attorney fees arising out of or resulting from the performance of the work, which includes all labor, materials and equipment required to produce the services required by the contract, provided that any such claim, damage, loss or expense: 1) is injury to or destruction of tangible property (other than the work itself), including the loss of use resulting there from; and 2) is caused in whole or in part by any negligent act or omission of the contractor, any subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, regardless of whether or not it is caused in part by a party indemnified hereunder. The contractor assumes full responsibility and liability for compliance with any and all local, state, federal laws and regulations applicable to the contractor and its employees, including, but not limited to, compliance with the Occupational Safety and Health Act of 1970.

5.0 GENERAL PROPOSAL REQUIREMENTS

5.1 The proposals shall include the following:

5.1.1 Name of firm or company, business address, name of contact person, telephone number, and email address (if applicable).

5.1.2 References, especially government organizations, preferably governmental entities in California; and specifically in the San Francisco Bay Area.

5.1.3 Reason(s) why you believe your firm should provide these services to the City of East Palo Alto.
64

Page 4 of 7 ends

5.1.4 Copies of all applicable licenses and insurance certificates (i.e., worker’s compensation, general liability, unemployment
compensation, etc.).

5.1.5 Any other pertinent information that you believe will assist the City in understanding your company and assurances if awarded the contract, i.e., most recent financial statement, bonding certificate.

5.2 All information contained in this proposal is subject to disclosure.

6.0 SELECTION CRITERIA

Responses to this RFP will be evaluated based upon the following factors as presented to the bid proposals:

6.1 Capability, Qualifications and References – (30%)

6.1.1 The written proposal should indicate the ability of the contractor to meet the terms of the RFP.

6.2 Price - (70%)

6.2.1 This factor will be based on the total cost of the equipment.

7.0 GENERAL CONDITIONS

7.1 Insurance required during entire length of agreement is as follows:

1. Worker’s Compensation coverage per statutory requirements

2. Liability coverage as follows:

Bodily Injury Property Damage
$1 million per person $1 million each accident
$1 million each aggregate $1 million aggregate

7.2 The contractor shall comply with any and all rules and regulations established by the city regarding security, health and safety, and conduct of contractors and employees.

8.0 SUMMARY
This RFP is designed to allow qualified companies to provide proposal to the City of East Palo Alto.

8.1 Six copies of the completed proposals must be received no later than 2:00 p.m. on Friday, January 5, 2024.
65

Page 5 of 7 ends

Proposals must be addressed in the following manner:

City of East Palo Alto
Public Works Department
150 Tara Road
East Palo Alto, CA 94303
Attn: Jay Farr, Maintenance Manager

8.2 Format: Proposals should be 81/2 x 11 inches, bound in a single document and organized into sections following the order specified under contents.

EVALUATION CRITERIA
Proposals will be evaluated on the basis of the following criteria:
a. Cost effectiveness.
b. How well the submitted proposal for service fits the needs of the city.

The above selection criteria are provided to assist responders to proposals and are not meant to limit other considerations that may become apparent during the course of the selection process.

Proposals will be reviewed and evaluated by the City of East Palo Alto, and a recommendation for award of contract will be presented to the East Palo Alto City Council for disposition. Incomplete and/or late proposals will not be considered.

OTHER CONSIDERATIONS
The City of East Palo Alto reserves the right to reject any and all proposals. This Request for Proposal does not commit the City to award a contract, pay any costs incurred in the preparation of proposals, or to procure or contract for supplies or services.

The City of East Palo Alto reserves the right to negotiate with any qualified source or to cancel, in part of or in its entirety, this Request for Proposal, if it is in the best interest of the City to do so. The City may require the selected bidders to participate in negotiations, and submit such price, technical or other revisions of the proposal that may result from negotiations.
66

Page 6 of 7 ends

QUESTIONS
Questions should be directed in writing to:

Jay Farr
Public Works Maintenance Manager
150 Tara Road
East Palo Alto, CA 94303
Email: [email protected]
67

Page 7 of 7 ends

Exhibit A
John Deere 184 G – Tier Compact Wheel Loader
Selling Equipment Pricing Sheet
Code Description QTY Unit Price
01AOT John Deere 184G-Tier Compact 1 $
183B Less JD Link 1 $
0259 Operator’s Manual, English 1 $
0451 Standard Z-Bar linkage 1 $
0500 Standard Loader-Rops 1
0950 Less Vision System 1 $
1350 Less Ride Control 1 $
3001 Hydrostatic With Single Speed
Gearbox -Standard
1 $
4099 Yanmar 4TNV88C FT4/EU Stage V Engine 1 $
5361 365/70R18 Mitas EM-01 Tires 1 $
6052 Halogen Work Lights 1 $
7400 Less Coupler/Quick-Tatch Coupler Ready 1 $
7500 Less fork Frame 1 $
7800 Less Bucket 1 $
AT412608 Skid Steer Compatible Quick-Tach Coupler 1 $
05T1T John Deere Scrap Grapple 1 $
Freight Fees $
Setup Fees $
CA Tire Fees $
Sales Tax Fees $
Total Charges $
68 CONSENT ITEM 3.4

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2024
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: James Colin, City Clerk
SUBJECT: City Council Meeting Minutes
Recommendation
Adopt the January 9, 2024, City Council Meeting Minutes.

Attachments

1. January 9, 2024, Minutes
69 East Palo Alto City Council January 9, 2024, Minutes Page 1 of 3

EAST PALO ALTO CITY COUNCIL

REGULAR MEETING MINUTES
JANUARY 9, 2024
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 Lisa Gauthier at 6:30 p.m.

Attendee Name Title Status Arrived
Carlos Romero Councilmember Present
Ruben Abrica Councilmember Present
Lisa Gauthier Councilmember Late
Antonio Lopez Mayor Present
Martha Barragan Vice Mayor Present
2) APPROVAL OF THE AGENDA
The approval of the agenda was motioned by Councilmember Romero and Seconded by Vice Mayor Barragan and passed via unanimous vote. 3) POLICY AND ACTION
Mayor Lopez pulled item 3.5 for discussion.

The approval of the agenda was motioned by Mayor Lopez and Seconded by Vice Mayor Barragan and passed via unanimous vote.

3.1 Proclamation of the City of East Palo Alto Commemorating the Contributions of the Reverend Dr. Martin Luther King, Jr., in the Fight for Equality.

3.2 Proclamation of the City of East Palo Alto Honoring Larry C. Tripplett’s Legacy of Service to the East
Palo Alto Community

3.3 Outside Counsel Services Agreement Second

3.4 Minutes of the December 5, 2023 Meeting

3.5 Proclamation of the City of East Palo Alto in Loving Memory of Christian Sbragia
Public Speakers:
70 East Palo Alto City Council January 9, 2024, Minutes Page 2 of 3 - Javanni Brown-Austin
- Eric Stewart
- Marisela Ramos
- Andy Robinson
- Michelle Davis
- Stewart Shiraishi
Mayor Lopez and the rest of the Council expressed their condolences to the family of Christian Sbragia and expressed their commitment to supporting the community during this difficult time.

4. CLOSED SESSION

4.1 PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Government
Code Section 54957(b)(1). Title: City Attorney

4.2 PUBLIC EMPLOYEE PERFORMANCE EVALUATION (Government
Code Section 54957(b)(1. Title: City Manager
John Le, City Attorney, reported that Council directed staff to return to the Council in open session to discuss items 4.1 and 4.2

5. PUBLIC COMMENT
The following speakers presented public comments:
- Cesar B
- Court Skinnner

6. INFORMATIONAL REPORTS - NONE

7. SPECIAL PRESENTATIONS - NONE

8. PUBLIC HEARINGS - NONE

9. POLICY AND ACTION

9.1Annual Financial Reports for FY2022-23
Finance Director, Tomo Oku along with Eide Bailly presented on the Annual Financial Report.

A motion to adopt the resolution approving the report was made by Councilmember Gauthier and was seconded by Councilmember Romero and approved unanimously.

Adrienne Bryant made a public comment regarding the Annual Financial Report.

10.COUNCIL REPORTS
71 East Palo Alto City Council January 9, 2024, Minutes Page 3 of 3 Councilmember Abrica requested that the meeting be adjourned in honor of the late Mr. Castillo as well as Christian Sbragia.

Councilmember Romero announced that YCS would be doing a Cleanup and MLK Park and also clarified points regarding the City’s energy bills.

Mayor Lopez announced that there will be a tree planting event as well.

11.ADJOURNMENT
Meeting adjourned in honor of the late Mr. Castillo as well as Christian Sbragia at 9: 52 PM
Mayor
ATTEST:

City Clerk
72 CONSENT ITEM 3.5

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2024
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: John D. Lê, City Attorney
SUBJECT: Parking Project on Tanklage Site
Recommendation
Adopt a resolution:

1. Approving an agreement negotiated by and authorizing the City Manager to execute for use of the Tanklage Site as parking, staging and construction offices for the 965 Weeks affordable housing project;

2. Finding that use of the Tanklage Site for these purposes constitutes a public use;

3. Finding that the leasehold interest granted to Blach Construction does not constitute a disposition of property and thus is exempt from the Surplus Lands Act; and

4. Finding the project exempt from the California Environmental Quality Act (“CEQA”), pursuant to Sections 15303, 15304, and 15378(b)(4) of the CEQA Guidelines.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Priority: Promote Housing, Economic and Workforce Development Priority: Promote Health & Public Safety
Background
965 Weeks
73 CONSENT ITEM 3.5
Development of a 100% affordable housing project, known as Colibri Commons, recently started construction on a City-owned site located at 965 Weeks Street. As the Council may recall, Colibri Commons will include 136 low-income units, with affordability between 30% and 60% of Area Median Income and a unit mix of studios up to 4 bedrooms. The development is led by MidPen Housing and EPACANDO and has commenced grading and deep foundation work. The estimated completion date is set for the summer of 2025.

Tanklage Property
The City owns and controls 1798 Bay Road (“Tanklage Property”). The former Redevelopment Agency transferred the 1.38 acres Tanklage Property to the City in 2011. As a former Redevelopment Agency property, the site can only be used for a public use. For example, between July 2018 and October 2023, the City permitted Project WeHope to use the Tanklage Property to operate the RV Safe Parking Program (“Program”). Additionally, on April 21, 2020, the City Council granted Project WeHOPE the authority to temporarily place two manufactured units on the Tanklage Property to provide interim housing for unhoused family households who may be in transition. The Program concluded on October 30, 2023 and on November 21, 2023, the City Council received a final report on the outcomes of the program.

Although the Program has concluded, two manufactured units owned and controlled by Project WeHOPE remain on the site until an alternate location or buyer of the units can be identified.

Blach Construction’s Proposal
Blach Construction has been hired by MidPen and EPACANDO to build Colibri Commons. In early September 2023, Blach Construction reached out to the City to discuss the potential use of the Tanklage Property for construction parking and station temporary offices on-site. Blach Construction requires a total of 75 parking spaces which need to be located within a half mile of the Colibri Commons site.

The Planning Division of the Community and Economic Development Department researched the area surrounding 965 Weeks and compiled an internal list of six possible locations that met these criteria. This list was provided to Blach Construction to contact and inquire about a potential lease for construction parking, but unfortunately Blach Construction received no responses. Given the proximity to the 965 Weeks project site, Blach Construction has expressed an interest in leasing the Tanklage Property, although has declined to use the existing two manufactured units.

The City Council met in closed session to discuss price and terms, after which it directed staff to negotiate and execute a lease agreement consistent with such direction. Staff is requesting that that agreement be approved in open session.

Analysis
Blach Construction has executed the agreement with the following key terms:
74 CONSENT ITEM 3.5

1. Term: one year from February 13, 2024 until February 12, 2025. By early 2025, Blach Construction anticipates the parking garage of the Colibri Common’s project will be constructed, where temporary construction parking and offices on-site for the 965 Weeks Project could be relocated.

2. Compensation: Blach Construction has agreed to monthly rent in the amount $5,000. This amount is in line with at least one comparable.

3. Removal of Existing Manufactured Units. Originally, a clause would have been included in the City lease agreement that the two manufactured units would need to be moved off the Tanklage Property upon termination of the lease agreement, but Blach Construction has informed staff that they are no longer desiring to keep the existing manufactured units.

4. Limitations on Use. Use of the Tanklage Property is limited to parking, onsite offices, and storage/staging of construction materials. The Property may not be used in a manner that blocks public access to public trails that adjoin the property, especially when using the gate for staging purposes.

5. Insurance. Blach Construction has agreed to maintain insurance consistent with the coverages currently required by the Disposition and Development Agreement for the 965 Weeks project. Blach Construction has stated that the City’s requirements will be met with an Owner Controlled Insurance Program (OCIP), which is a project specific, general liability insurance policy, after Council approval to proceed.

6. Taxes. Blach Construction has agreed to remain responsible for the tax implications of this leasehold, aside from those incident to ownership, that arise from obtaining this real property interest from the City, as it constitutes a possessory interest in real property subject to assessment and taxes.

7. Representations and Warranties. Blach Construction expressly acknowledges the as-is nature of the transaction such that they understand that the City is making no representations the site is fit for any particular purpose.

Public Use
The Tanklage Propety is a former Redevelopment Agency asset that was designated as a government use property in the Successor Agency’s Long Range Property Management Plan. Upon transfer of the property to the City the Oversight Board to the Successor Agency required that the use of the property be restricted to “public use”. The use of the property as construction parking for the Colibri Commons site facilitates the construction of 136 units of housing affordable to extremely low, very low and low income households, addressing unmet housing needs in the community. The construction of the housing addresses the City’s regional housing needs in its Housing Element and thus serves as a public use.

Surplus Lands Act
75 CONSENT ITEM 3.5
The Tanklage Property lease agreement is proposed for less than 15 years (i.e., only one year) and one under which no demolition or development would occur. Accordingly, pursuant to Senate Bill 747 and Assembly Bill 480, codified under Government Code Section 54221, granting the leasehold interest in question to Blach Construction does not constitute disposition within the meaning of that term under Surplus Lands Act.

Fiscal Impact
There is no budget impact from this action. However, approximately $25K lease revenues ($5K/month for 5 months) are expected to be collected in General Fund for the current fiscal year.

Public Notice
The public was provided notice by making the agenda and report available on the City’s website and on a bulletin board located at City Hall: 2415 University Avenue, East Palo Alto.

Environmental
The proposed action is exempt from the California Environmental Quality Act (“CEQA”) under State CEQA Guidelines Section 15303 (Class 3), which exempts from further CEQA review the construction and location of limited numbers of new, small facilities or structures, installation of small new equipment and facilities in small structures, and the conversion of existing small structures from one use to another where only minor modifications are made to the exterior of the structure, as the lease envisions use of a temporary structures on site for offices. Such action is further exempt from further review under CEQA under Section 15304 (Class 4), which exempts from further CEQA review minor public or private alterations in the condition of land, water, and/or vegetation which do not involve the removal of healthy, mature scenic trees, as the lease would facilitate use temporary office structures on an already-disturbed, vacant site adjacent to a project site for affordable housing (965 Weeks Street).

None of the exceptions to the use of the Class 3 or 4 categorical exemptions identified in State CEQA Guidelines section 15300.2 applies here. The proposed action involves the execution of a lease authorizing use as parking, staging, and use of temporary offices on a disturbed, vacant site adjacent to an affordable housing project (965 Weeks Street). The site is not considered a sensitive location, as it is within an urbanized area and the site is surrounded by residential and commercial uses. The project will not result in a cumulative impact from successive projects of the same type in the same place, over time, as the project entails the approval of a lease for a single site. There are no unusual circumstances surrounding the project that result in a reasonable possibility of a significant effect on the environment, as there are no sensitive resources on the proposed site and its proposed use. The proposed action will not damage scenic resources, including trees, historic buildings, rock outcroppings, or similar resources. The project does not include any hazardous waste sites, and the project will not cause a substantial adverse change in the significance of a historical resource as none exist near the project site.

Thus, the categorical exemptions apply, and no further environmental review is required. 76 CONSENT ITEM 3.5
The proposed action is further 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.

Government Code § 84308
Applicability of Levine Act: Yes.

Analysis of Levine Act Compliance:

Parties: Project Applicant(s) is/are Dean Leyshock, Project Director, Blach Construction.

Participant(s): Unknown at this time.

Attachments

1. Resolution.

2. Lease Agreement (Partially Executed).
77 551\22\3692936.1
RESOLUTION NO. ____ – 2024

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF EAST PALO ALTO

APPROVING AN AGREEMENT NEGOTIATED BY AND AUTHORIZING THE CITY MANAGER TO

EXECUTE USE OF THE TANKLAGE SITE AS PARKING, STAGING AND CONSTRUCTION OFFICES FOR THE 965 WEEKS AFFORDABLE HOUSING PROJECT; FINDING THAT USE OF THE TANKLAGE SITE FOR THESE PURPOSES CONSTITUTES A PUBLIC USE; FINDING THAT

THE LEASEHOLD INTEREST GRANTED TO BLACH CONSTRUCTION IS EXEMPT FROM THE SURPLUS LANDS ACT;; AND FINDING THE PROJECT EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (“CEQA”), PURSUANT TO SECTIONS 15303, 15304, AND 15378(B)(4) OF THE CEQA GUIDELINES
WHEREAS, in 2009, the City of East Palo Alto Redevelopment Agency purchased the property at 965 Weeks Street (Property) using Low- and Moderate-Income Housing Funds for the purpose of developing affordable housing on the Property, which recently broke ground on an affordable housing project approved by the City of East Palo Alto; and
WHEREAS, the City owns and controls an adjoining site, 1798 Bay Road (“Tanklage Property”).

The former Redevelopment Agency transferred the 1.38 acres Tanklage Property to the City in 2011.

As a former Redevelopment Agency property, the site can only be used for a public use. For example, between July 2018 and October 2023, the City permitted Project WeHope to use the Tanklage Property to operate the RV Safe Parking Program (“Program”); and WHEREAS, additionally, on April 21, 2020, the City Council granted Project WeHOPE the authority to temporarily place two manufactured units on the Tanklage Property to provide interim housing for unhoused family households who may be in transition. The Program concluded on October 30, 2023 and on November 21, 2023, the City Council received a final report on the outcomes of the program; and
WHEREAS, Blach Construction has been hired by MidPen and EPACANDO to build Colibri Commons. In early September 2023, Blach Construction reached out to the City to discuss the potential use of the Tanklage Property for construction parking and station temporary offices on-site. Blach Construction requires a total of 75 parking spaces to be located within a half mile of the Colibri Commons site; and
WHEREAS, the Planning Division of the Community and Economic Development Department of the City of East Palo Alto researched the area surrounding 965 Weeks and compiled an internal list of six possible locations that met these criteria. This list was provided to Blach Construction to contact and inquire about a potential lease for construction parking, but unfortunately Blach Construction received no responses. Given the proximity to the 965 Weeks project site, Blach Construction has expressed an interest in leasing the Tanklage Property, although has declined to use the existing two manufactured units; and
WHEREAS, on February 6, 2024, the City Council met in closed session to discuss price and terms, after which it directed staff to negotiate and execute a lease agreement consistent with such 78 551\22\3692936.1
direction. Staff had requested that that lease agreement be approved in open session, which has already been signed by Blach Construction; and
WHEREAS, since the Tanklage Property is a former Redevelopment Agency asset, which was later transferred to the City as a government use property, any use of it must be confined to a public use. As the proposed use under lease agreement is to facilitate construction of an affordable housing project constitutes a public use; and
WHEREAS, the lease of the Property does not constitute a disposition under the Surplus Land Act because the lease term is less than 15 years (i.e., only one year) and one under which no demolition or development would occur. Accordingly, pursuant to Senate Bill 747 and Assembly Bill 480, codified under Government Code Section 54221, granting the leasehold interest in question to Blach Construction does not constitute disposition within the meaning of that term under Surplus Lands Act; and
WHEREAS, based on the foregoing, the City Manager recommends that the City Council find the Property exempt from the Surplus Land Act pursuant to Government Code section 54221.

NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF EAST PALO ALTO HEREBY:

1. Finds the foregoing recitals are true and correct, and are incorporated by this reference into this action;

2. Approving an agreement negotiated by and authorizing the City Manager to execute for use of the Tanklage Site as parking, staging and construction offices for the 965 Weeks affordable housing project;

3. Finding that use of the Tanklage Site for these purposes constitutes a public use;

4. Finding that the leasehold interest granted to Blach Construction is exempt from the Surplus Lands Act; and

5. Finding the project exempt from the California Environmental Quality Act (“CEQA”), pursuant to Sections 15303, 15304, and 15378(b)(4) of the CEQA Guidelines.

PASSED AND ADOPTED this 20th day of February 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

Antonio D. Lopez, Mayor
79 551\22\3692936.1
ATTEST: APPROVED AS TO FORM:

James Colin, City Clerk John D. Lê, City Attorney
80 



 


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,-./0123 43567-86 9,: ,4;;<=>?@A<BA@C>A,@DEC?@>ABF;=CG,GEA 85 CONSENT ITEM 3.6

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: James Colin, City Clerk
SUBJECT: Black History Month Proclamation
Recommendation
Present the proclamation for Black History Month.

Attachments

1. Proclamation
86 PROCLAMATION OF THE CITY OF EAST PALO ALTO
COMMEMORATING FEBRUARY 2024 AS BLACK HISTORY MONTH
WHEREAS, the celebration of Black History Month and, more importantly, the study of Black History is owed to Dr. Carter G. Woodson, son of former slaves, who spent his childhood working in coal mines in Kentucky and did not enroll in high school until he was twenty years old; and WHEREAS Mr. Woodson went on to earn a PhD from Harvard and while attending college was greatly perturbed by history books ignoring persons of African American descent; and, that whenever they were featured, it was generally reflecting the inferior social position they were assigned at the time; and WHEREAS, in 1915, Dr. Woodson, founded the Association for the Study of Negro Life and History (now called the Association for the Study of African-American Life and History), and in 1926 launched Negro History Week as an initiative to bring national attention to the history of African Americans; and WHEREAS, Dr. Woodson chose the second week of February for Negro History week because it marked the birthdays of two men who greatly influenced the history of African American, Frederick Douglas and Abraham Lincoln; and
WHEREAS, February also has some other important dates in Black History:
 February 3, 1870 - The 15th Amendment was passed, granting African Americans the right to vote.  February 12, 1909 - The National Association for the Advancement of Colored People (NAACP) was founded by a group of concerned citizens in New York City.  February 1, 1960 - In what was to become a civil-rights movement milestone, a group of African American Greensboro, N.C. college students began a sit-in at Woolworth’s segregated lunch counter.  February 24, 2009 – The first African American United States President, Barack Obama, addressed a joint session of the Congressional Congress.

NOW THEREFORE, BE IT RESOLVED that the City Council, hereby proclaim the month of February 2024 as Black History Month in the City of East Palo Alto, and call upon all residents to support the efforts and rededicate themselves to creating a world where the rights and the contributions of African Americans, people of color, indigenous peoples, and other groups would be remembered, respected, and acknowledged.

February 20, 2024
Antonio Lopez
Mayor
87 CONSENT ITEM 3.7

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: James Colin, City Clerk
SUBJECT: Lunar New Year Proclamation
Recommendation
Present the proclamation for Lunar New Year.

Attachments

1. Proclamation
88 Proclamation of the City of East Palo Alto
Celebrating Lunar New Year
WHEREAS the City of East Palo Alto is home to many different cultures and languages from around the world; and
WHEREAS different cultures celebrate the New Year at various times as a way to look forward to a new year with happiness and hopefulness; and
WHEREAS Lunar New Year begins on the second new moon following the winter solstice, or the first day of the New Year according to the lunisolar calendar, and extends until the full moon 15 days later; and
WHEREAS the year 2024 in the Gregorian calendar is designated the Year of the Rabbit which is the fourth animal in the Chinese zodiac and symbolizes grace, beauty, mercy and good luck; and WHEREAS the Lunar New Year is celebrated uniquely in many different Asian and Pacific Island countries but regardless of the country, culture, religion or ethnicity, the day is a time for family reunions, gatherings, reaffirming bonds and reflection.

NOW THEREFORE BE IT RESOLVED that the City Council of the City of East Palo Alto hereby recognizes the cultural and historical significance of the Lunar New Year and wishes the Asian and Pacific Island community and all individuals who observe this holiday a happy and prosperous New Year.

Dated: February 20, 2024
Antonio Lopez
Mayor
89 POLICY AND ACTION ITEM 9.1

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2024
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Yajaira Morales Housing Project Manager
Karen Camacho, Housing and Economic Development Manager SUBJECT: City Council Direction on RFP for Administration of the City’s Existing Below Market Rate Program
Recommendation
By motion provide direction to and authorize staff to issue a Request for Proposals (“RFP”) for administration of the City’s Below Market Rate (“BMR”) Program.

Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:

Priority No. 1: Promote Housing, Economic and Workforce Development Background
On February 5, 2019, by Resolution No. 5080, the City Council awarded the team of East Palo Alto Community Alliance and Neighborhood Development Organization (“EPACANDO”) and the Bay Area Affordable Homeownership Alliance (“BAAHA”), together known as “the Contractor,” a 3-year contract (“Agreement”) totaling $125,000 to administer the City’s portfolio of Below Market Rate (“BMR”) units. The BMR units were created out of development projects under the former 90 POLICY AND ACTION ITEM 9.1
Redevelopment Agency. The Agreement has three amendments, with the Third Amendment bringing the term to an end on May 9, 2024.

On July 20, 2021, Council authorized the First Amendment which added $50,000 to the Agreement to cover costs related to Palo Mobile Estates loan administration, for a new not-to-exceed amount of $175,000.
1 On May 12, 2022, via the Second Amendment to the Agreement, the City Manager approved the extension of the BMR Administration contract for an additional year until May 9, 2023. City Council also added, on December 6, 2022, an additional $41,000 to the Agreement to administer the BMR portfolio, for a new not-to-exceed amount of $216,000.2
On January 20, 2023, via the Third Amendment to the Agreement, the City Manager approved a final extension of the BMR Administration contract for an additional year until May 9, 2024.

Inclusionary Housing Ordinance
On November 19, 2019, the City Council adopted Ordinance No. 425 - Inclusionary Housing Ordinance (“IHO”), adding Chapter 18.37 to the City of East Palo Alto Municipal Code. The IHO applies to all new residential development and requires developments of five (5) or more units to provide 20% of the total units on-site at specified levels of affordability. The IHO also has alternative compliance options including an in-lieu fee, but a developer must request approval from the City Council to pursue the in-lieu fee payment as an Alternative Compliance Option.

Both rental and for-sale units produced by IHO developments are considered below market rate and should be monitored for compliance. Since adoption of the IHO, City staff have been responsible for management of rental units created by the IHO.

Currently, there is only one unit; however, more rental units are anticipated to come online. The Agreement with the Contractor does not include management of BMR rental units. The BMR Administration contract also does not contain administrative fees, which may be covered under Municipal Code Section 18.37.090.C, which states that “The City Council, by resolution, may establish fees for the ongoing administration and monitoring of the inclusionary units, which fees may be updated periodically, as required.”
1 See July 20, 2021 City Council meeting:
eastpaloalto.iqm2.com/Citizens/SplitView.aspx?Mode=Video&MeetingID=1420&Format=Minutes 2 See December 6, 2022 City Council meeting:
eastpaloalto.iqm2.com/Citizens/SplitView.aspx?Mode=Video&MeetingID=1825&MinutesID=1574&File Format=pdf&Format=Minutes&MediaFileFormat=mpeg4
91 POLICY AND ACTION ITEM 9.1
As the term of the Agreement with Contractor comes to an end, the City is preparing to release a Request for Proposals (“RFP”) for management of the City’s BMR units.

Staff recommends that this RFP include management of any new rental units produced from the IHO.

The purpose of this staff report is to provide a status report on the BMR Program and its administration by Contractor over the past five years, and to request guidance on a new procurement to be conducted to select a new Program administrator since the BMR Program could also include rental units and administration fees.

Analysis
East Palo Alto BMR Program
The City has a portfolio of Below Market Rate homeownership units resulting from Redevelopment Agency programs and the inclusionary housing policy that requires market rate developers to increase affordable units. These homeownership units typically have a resale restriction agreement between the City (as the successor to the former Redevelopment Agency) and the homeowner. The resale restriction agreement regulates the price at which the homeowner may resale the property and gives the City an option to purchase the home if the homeowner wishes to sell.

Following the dissolution of Redevelopment Agencies in 2011 and subsequent staffing cuts, the City had no consistent monitoring of its BMR units. Regular transactions such as refinances, loan subordinations, and resales required significant time and involvement of the City’s Community and Economic Development Department, Office of the City Attorney and outside counsel.

The City sought to build back capacity after several years of limited oversight and administration of its affordable housing portfolio and in 2018, the City Council directed staff to issue an RFP to identify a consultant to assist with creating a more efficient and cost-effective program.

The Contractor was selected to administer the City’s BMR units starting on May 10, 2019. Through an extensive review process of program file archives, the Contractor found that the City currently has 53 units in its BMR program. The Contractor monitors the existing portfolio, facilitates all enforcement activities, provides refinancing support, processes new sales and resales, provides property inspection and evaluation, and executes post purchase activities.

Current BMR Portfolio and Recommended Program Improvements On February 1, 2024, the Contractor submitted an update stating that real estate transactions from 2019-2023 involved the following:
 No new BMRs
92 POLICY AND ACTION ITEM 9.1
 Three resales
 Four refinances
 Two title changes
BMR resale success is credited to East Palo Alto outreach and local preference policy. While monitoring is ongoing, homeowners complete notarized affidavits annually, affirming residency and familiarity with regulations. In most non-compliance cases, inquiries lead to detailed consultations.

There are currently 23 instances of non-compliance, involving 20 BMR homeowners (some of whom have multiple instances of non-compliance), as summarized in Table 1 below. Homeowners have been put on notice, warned of potential enforcement by the City, and are being counseled and assisted to come into compliance.

Table 1. BMR Compliance Concerns
Delinquent Down-Payment Assistance Loan 1
Non-Compliant Occupancy 4
Non-Compliant Refinance, Low Risk 13
Non-Compliant Refinance, Higher Risk 1
Non-Compliant Transfer to Living Trust or Family 4
Total 23
The Contractor provided observations and suggestions for moving forward with the BMR program. Table 2 summarizes these potential improvements and is based upon the past five years of experience administering the ownership BMR program:

Table 2. Recommended Program Improvements
Observations Suggestions
The City’s local preference policies which
structure the lotteries for sale and resale
of BMR home should be strengthened.

The City could strengthen the effect of its
existing local preference point system by
shifting from a “multiple chances lottery”
to a “tiered lottery,” as some other cities
have.3
3 Note that staff anticipate returning to City Council with draft Local Preference Guidelines that implement the City’s local preference, and may recommend changes to the City’s lottery system. A “multiple chances lottery” gives applicants one point for each preference, and an application is drawn from multiple options in a lottery, with those with more points having a greater amount of chances to be selected. A person with one preference point may have a chance to be selected for a BMR unit even if there are applicants with more preference points. A “tiered lottery’ system provides every applicant an equal chance to be picked in the lottery, but applicants with the highest number of preference points are considered first, assuring that applicants with higher preferences have priority.

City Council may consider which lottery system to use after further legal and policy analysis. 93 POLICY AND ACTION ITEM 9.1
BMR homeowners can end up feeling
“trapped” in a home that is no longer
well-matched to their family size.

Giving current BMR homeowners a first
opportunity to buy new or resale BMRs
could enable upsizing or downsizing.

The homes thus vacated could be
upgraded or redeveloped and could
enable upgrading an outdated regulatory
agreement.

The existing BMR regulatory agreements
do not allow transfers to living trusts,
even if consistent with BMR program
intent.

Review and possibly revamp inheritance
and trust provisions in the standard
affordability agreement to enable
ordinary living trusts.

Early versions of the regulatory
agreement do not require homeowners
to cooperate with monitoring and have
other shortcomings.

As an incentive, offer a City loan for BMR
upgrades. As a condition, require
upgrade homeowners to enter into an
up-to-date standard regulatory
As the BMR portfolio ages, homes need agreement.
repair or remodeling. Upgrades require
permission from City, and cost of
upgrades may be added to the resale
price. Nonetheless, there have been few
upgrades.

BMR program administration is not selfsufficient, but it could be.A modest homeowner fee of $10 per month, ramped up to $100 over 10 years
could cover costs if supplemented by a
modest transaction fee for resales and
refinances.

Although the number of rental units for
which the City has regulatory authority
and monitoring responsibility is small, it
is growing. For example, some ADUs
must be rented to income qualified
tenants.

Consider combining the education and
monitoring program for regulated BMR
rental units with the similar program for
ownership BMRs.

BMR Administration Add-Ons
The BMR Administration Program has been well-administered to date. During the initial three years of the contract (2019-2022), there were three resales, four refinances, one title change, and well over fifty consultations. During the one-year extension (2022-2023), the Contractor produced a BMR manual and distributed it to 94 POLICY AND ACTION ITEM 9.1
all BMR homeowners. During the second one-year extension (2023-2024), the Contractor addressed and resolved irregularities regarding BMR homes. As expressed in Table 1 above, there are still 23 instances of non-compliance, involving 20 BMR homeowners.

Additional BMR Administration Costs
Three categories of costs are included in Schedule B of the original 2019-2024 Agreement: startup costs, annual fixed costs, and annual variable costs based on tasks. The annual costs vary greatly and depend on the number of BMR resales and associated services. Start-up costs were accounted for as one-time expenses that will not need to be recreated by a new administrator.

Table 3. Proposed BMR Administration Costs
Item Contractor Fee
(EPACANDO/BAAHA)
Contract Set-Up $10,000 (no longer applicable)*
Annual Compliance Fee Per File $180
Inquiries Included in hourly fee
Thorough Review of Each BMR File Included in hourly fee Fee per Resale (Program-driven, with
waitlist)
$1,500
Fee per Resale (Buyer-driven, no
waitlist)
$3,000
Marketing per Project on Website Included in hourly fee Per Lottery Fee Included in hourly fee
Per Refinance Fee $500
Payoffs $500
Enforcement Activities (Estimate per
Case)
$550
Cost Per Workshop $300
Per Hour Fees $58 - $127
Reimbursable Expenses Upon City authorization
Staff anticipates lower costs to be added for the administration of BMR rental units, given that less paperwork is involved when there is a change in tenancy. Other BMR rental administration costs may include local preference policy implementation, annual income certification, assisting with marketing the units, and assisting developers in creating their own fair housing and marketing plans required by the IHO.

Staff currently anticipates an approximate 8 new rental BMR units and 7 ownership BMR units in the pipeline through its Inclusionary Housing Ordinance and CalHome Accessory Dwelling Unit/Junior Dwelling Unit Loan (“CalHome”) program. 95 POLICY AND ACTION ITEM 9.1
Table 4. Anticipated Inclusionary Housing Units
in the BMR Administration Pipeline
Address Inclusionary/
BMR Unit
Count
Type IHO
Agreement
Status
Planning
Zoning
Clearance
Date
Building
Permit
Finaled
Date
Certificate
of
Occupancy
Issuance
Date
923
Runnymede
1 ADU Rental Finalized 06/21/2021 11/08/2023 12/26/2023 2206
Lincoln
1 ADU Rental Finalized 08/03/2022 Still under
review
N/A
990 Garden 2 Units (one
four bedroom
and one three
bedroom)
Ownership Pending Anticipated
April 2024

N/A N/A
717
Donohoe
3 Units (3
bedrooms)
Ownership Pending Anticipated
March 2024

N/A N/A
1201
Runnymede
2 Units
(3 bedrooms)
Ownership Pending Anticipated
March 2024

N/A N/A
Table 5. Anticipated CalHome Units in the BMR Administration Pipeline* Address Inclusionary/
BMR Unit
Count
Type Agreement
Status
Planning
Zoning
Clearance
Date
Building
Permit
Finaled
Date
Certificate
of
Occupancy
Issuance
Date
1620 Notre
Dame Ave
1 ADU Rental Finalized 04/17/2023 10/19/2022 12/26/2023 2269
Ralmar Ave
1 ADU Rental Finalized 05/01/2023 08/28/2023 N/A
*Note there are an additional four potential CalHome projects currently in the Planning or Building review stage that may increase the BMR rental count in 2024-2025.

BMR Administration Fees
At the April 5, 2022 regular City Council meeting,4 City Council expressed concern in the sustainability of the program, and asked staff to explore the option of having homeowners pay into this program in exchange for the benefit of participating in it.

East Palo Alto, like most cities with a BMR program, does not currently pass any program administration costs through to BMR homeowners. EPACANDO estimates the administrative fee for program participants would be $75 to $125 per unit per month. This would be a substantial cost for most low- or moderate-income BMR homeowners. Some cities charge an administrative fee and lower the price of the BMR unit accordingly. This would only be an option for new transactions. 4 See April 5, 2022 City Council meeting at:
eastpaloalto.iqm2.com/Citizens/SplitView.aspx?Mode=Video&MeetingID=1806&MinutesID=1524&File Format=pdf&Format=Minutes&MediaFileFormat=mpeg4
96 POLICY AND ACTION ITEM 9.1
Due to how costly an administrative fee would be on BMR homeowners, staff recommends that the City Council consider incorporating an administrative fee through its inclusionary housing in-lieu fee update process, as the IHO Ordinance permits for that and the City has not yet implemented this administrative fee since the IHO Ordinance adoption in 2019. This fee can be incorporated into the Inclusionary Housing In-Lieu Fees Update, reducing any administrative burden on the City or on the BMR administrator. City Council may consider establishing a nexus between the fee and the cost of the BMR administration, which is inherently an outcome of the IHO administration cost.

Local Preference Policy Implementation
On April 7, 2020, City Council adopted its Local Preference Policy and Framework.5 The BMR Administrator will also need to assist in implementing the City’s Local Preference Policy on all BMR homes and rentals.

Proposed RFP Evaluation Criteria
Individuals and firms responding to the City’s RFP (Respondents) are required to submit a proposal that thoroughly describes their experience, capacity, and ability to perform the services being sought by the City. Respondents could submit their qualifications to be considered for one or more of the defined service areas, which would be ranked/rated separately.

Proposals will be evaluated solely based on the Respondent’s ability and capacity to perform the work outlined in the RFP, in the areas detailed in Table 6. 5 See April 7, 2020 City Council meeting:
eastpaloalto.iqm2.com/Citizens/SplitView.aspx?Mode=Video&MeetingID=1070&MinutesID=1022&File Format=pdf&Format=Minutes&MediaFileFormat=mp4.
97 POLICY AND ACTION ITEM 9.1
Table 6. Evaluation Criteria
RFP Content
Area Description Possible Points
Experience
Respondents shall demonstrate experience providing
the services outlined in the RFP for public agencies,
within a specific service area, with successful results.

For example, if a Respondent applies for the Service
Area about providing financial subsidies, that
organization must have demonstrated experience
managing similar programs.
60 Capacity to
Perform
Respondents shall demonstrate the capacity in
quantifiable ways to provide the services described in
the RFP and to respond to the public, the City, and
other stakeholders in a timely manner. Defined
expectations for timeliness of service delivery and
stakeholder communication should be outlined with
the submittal.
40 Extra Credit Points Local organizations (from the City of East Palo Alto) will receive bonus points. 5
Staff anticipate reviewing RFP submittals based on the most competitive pricing and qualifications in the scoring listed above. A draft of the RFP is attached for reference and staff would like to seek feedback on the following:
 Does the City Council wish to pass any program administration costs through to BMR homeowners? As previously discussed, staff does not recommend this.
 Does the City Council wish to pass any program administration costs through to IHO? Cities like Daly City, for example, charge between $50-100 annually per BMR unit they administer. Note that rental BMR properties are also subject to the City’s residential rental property business tax (2.5% of gross receipts). If this is desired, staff suggests these fees be implemented through the IHO and would return to Council with a recommended fee during the next IHO in-lieu fee update.
 Provided that increasing the scope of BMR Administration to rental inclusionary units will increase administrative costs, is Council willing to allocate an additional amount per unit, to be determined after RFP submittals, to cover these costs?
98 POLICY AND ACTION ITEM 9.1
Next Steps
City staff will review and evaluate any timely submitted proposals and will recommend a proposal for award to the City Council in before the expiration of the current contract. If directed by Council, staff will propose an administrative fee in the next IHO in-lieu fee update.

Fiscal Impact
There is no fiscal impact for this item. Staff anticipates that Request for Proposals will range between $40,000-$120,000 in administrative costs, but staff will return to Council for final approval of funds and revenue sources, including General Fund and special revenue allocations. If City Council chooses to look into issuing a fee to sustain the BMR administration program, staff must ensure that the additional fee is permissible under state and federal laws.

Public Notice
The public was provided notice by making the agenda and report available on the City’s website and on a bulletin, board located at City Hall: 2415 University Avenue, East Palo Alto.

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.

Government Code § 84308
Applicability of Levine Act: No, as the entitlement involves a contract that is proposed to be competitively bid, the Levine Act is not applicable.

Analysis of Levine Act Compliance: Not applicable.

Attachments

1. Draft RFP BMR Administration

2. EPACANDO BMR Status Report
99 ATTACHMENT 1
Draft RFP for BMR Administration
Purpose of This Request for Proposal (RFP)
The purpose of this RFP is for the City of East Palo Alto (City) to identify a partner to administer all aspects of its existing Below Market Rate (BMR) program. The selected entity will be responsible for administrative activities including, but not limited to:

1. Acting as the main point of contact for existing BMR owners.

2. Processing refinance, for-sale, for-rent, resale, and other real estate related transactions related to the BMR portfolio on behalf of the City.

3. Annual monitoring of the BMR portfolio.

4. Enforcement activities associated with annual monitoring activities.

Key Items to Address in Response
The City desires a time-and-materials contract with a professional consulting firm with the necessary expertise to provide ongoing administration of the City’s BMR program.

Key elements of the response should include:

1. A description of the respondent’s experience and expertise administering BMR programs for public agencies, including the following detail:
a. Experience underwriting, processing, and closing BMR transactions on behalf of a public agency;
b. Experience providing monitoring services for BMR units on behalf of a public agency;
c. Experience acting as the primary program representative with the community on behalf of a public agency;
d. Experience would be within the last three years and respondent must demonstrate that the organization could perform immediately; and e. A list of contacts in those agencies.

2. Compensation. Respondent shall provide detailed information regarding the compensation that respondent would expect to receive for each service outlined in this RFP. Respondent shall also provide the hourly fee schedule for items that may be on a time and materials basis. The compensation schedule should be provided in menu format, specifying an itemized cost/value that correlates to each proposed service to be rendered. For example:
100
ATTACHMENT 1
d. $150 for each for-sale file monitored annually
e. $100 for each rental file monitored annually
f. $500 per refinance
g. $1,500 per resale
Also, respondent shall provide an estimate for the upfront start-up costs of establishing the program, if any.

3. A list of any additional relevant services (on a time-and-material basis) that respondent could provide if desired by the City, such as realtor services, grant writing, file digitizing, and identifying project funding sources.

Proposed Evaluation Criteria
The City will evaluate proposals solely based on respondent’s ability to perform the work outlined in this RFP, in two scored areas:

RFP Content Area Description Possible
Points
Experience
Respondent shall demonstrate experience administering
BMR programs for public agencies, with successful
results. 60
Capacity to Perform
Respondent shall demonstrate the capacity to respond
to the public, the City, and other stakeholders in a timely manner. In addition, Respondent shall have the capacity to process, close, and otherwise facilitate numerous
transactions related to the City’s BMR program at any
given time.
40 Extra Credit Points Local organizations (from the City of East Palo Alto) will receive bonus points. 5
101
ATTACHMENT 2
Date: January 30, 2024
To: Yajaira Morales, Housing Manager
From: Duane Bay
Subject: Below-Market-Rate (BMR) Program Update
Background
The City of East Palo Alto established its Below Market Rate homeownership program in 2000, coincident with completion of the University Square subdivision, in which 22 of 217 new homes were BMR. Gradually, 38 more homes went into the program, but seven were lost through breach of the resale restrictions or through foreclosure during the nationwide mortgage crisis, resulting in a stable inventory of 53 homes by 2014.

For the first few rapid-growth years, the program was administered by EPACANDO. Then, as new sales became sporadic, the City took administration in-house. In 2019, facing an emergent, fraught resale situation, the City issued a Request for Proposals for a third-party program administrator. The team of EPACANDO (the local “front-office”) and the Bay Area Affordable Homeownership Alliance (a more experienced regional “back-office”) was selected and awarded a 3-year contract with two optional one-year extensions.

The purpose of this report is to provide an update on program operations since the previous update report in February 2022, and to offer some experience-based observations.

Current Operations
Operations comprise transactions, monitoring, education, counseling, and enforcement.

Transactions. Real estate transactions include marketing new BMRs, conducting resales, and processing refinances, title changes and general inquiries. During the five years 2019-2023, there are have been no new BMRs to market, three resales, four refinances, and two title changes. For each of the three BMR resales conducted, more than 50 households applied, more than 25 households qualified for the lottery, and the ultimately successful buyer was an East Palo Alto resident. This result is attributable to focused outreach to current and former East Palo Alto residents, and to the City’s strong local preference policy. Other transactional work has been low in total volume, although demanding substantial, timely attention when called for.

Monitoring, Education, Counseling. The 2024 annual monitoring is underway. Each year, each homeowner is asked to complete a notarized affidavit to confirm residency and acknowledge familiarity with program regulations in their Affordability Agreement and 50-page BMR 102
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Homeownership Manual (published in 2022). A property profile is also downloaded annually to detect any newly recorded documents. Most BMR homeowners are in compliance, and many express gratitude for the program. Monitoring frequently stimulates questions about regulations—most notably about renting rooms, remodeling, refinancing or change of title— which often leads to detailed consultation.

Enforcement. Although many irregularities have been addressed and resolved, there are still 23 instances of non-compliance, involving 20 BMR homeowners, as summarized in the table below. Homeowners have been put on notice, warned of potential enforcement by the City, and are being counseled and assisted to come into compliance. A synopsis of status and next steps for each case has been submitted under separate cover as it contains homeowners’ private personal information.

Briefly: one homeowner has refused to come current on a small loan from the City in 2001; for four homeowners, the required ten-months-per-year occupancy is questionable and or they may be renting out; 14 homeowners refinanced many years ago without permission from the City, 13 of them are not over-financed now, but one owes more than the deed-restricted resale value of their BMR home; four homeowners have transferred title to a living trust or relative without permission.

Compliance Concerns
Delinquent Down-Payment Assistance Loan 1
Non-Compliant Occupancy 4
Non-Compliant Refinance, Low Risk 13
Non-Compliant Refinance, Higher Risk 1
Non-Compliant Transfer to Living Trust or Family 4
Total 23
Considerations Going Forward
Program Growth. The City Council has consistently expressed interest in expanding the supply of permanently affordable ownership housing in the City. BMR program growth depends on construction of new for-sale homes in developments covered by the City’s Inclusionary Housing Ordinance. The ordinance requires, in general, that 20% of new for-sale homes go into the BMR program.
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Future Challenges and Opportunities. The chart below summarizes observations and suggestions for program operation going forward, based on five years of experience administering the ownership BMR program.

Observations Suggestions
The City’s local preference policies which
structure the lotteries for sale and resale of
BMR home are strong. They even recognize
displacement. But they could be stronger.

The City could strengthen the effect of its
existing local preference point system by
shifting from a “multiple chances lottery” to
a “tiered lottery,” as some other cities have.

BMR homeowners can end up feeling
“trapped” in a home that is no longer wellmatched to their family size.

Giving current BMR homeowners a first
opportunity to buy new or resale BMRs
could enable upsizing or downsizing. The
homes thus vacated older could be upgraded
or redeveloped, and could enable upgrading
an outdated regulatory agreement.

The existing BMR regulatory agreements do
not allow transfers to living trusts, even if
consistent with BMR program intent.

Review and possibly revamp inheritance and
trust provisions in the standard affordability
agreement to enable ordinary living trusts.

Early versions of the regulatory agreement
do not require homeowners to cooperate with
monitoring, and have other shortcomings. As an incentive, offer a City loan for BMR upgrades. As a condition, require upgrade
homeowners to enter into an up-to-date
standard regulatory agreement.

As the BMR portfolio ages, homes need
repair or remodeling. Upgrades require
permission from City, and cost of upgrades
may be added to the resale price.

Nonetheless, there have been few upgrades.

BMR program administration is not selfsufficient, but it could be.A modest fee of $10 per month, ramped up to $100 over 10 years could cover costs if
supplemented by a modest transaction fee for
resales and refinances.

Although the number of rental units for
which the City has regulatory authority and
monitoring responsibility is small, it is
growing. For example, some ADUs must be
rented to income qualified tenants.

Consider combining the education and
monitoring program for regulated BMR
rental units with the similar program for
ownership BMRs.
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COUNCIL REPORT ITEM 10.1

EAST PALO ALTO

CITY COUNCIL

STAFF REPORT
DATE: February 20, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: James Colin, City Clerk
SUBJECT: Letter from Councilmember Ruben Abrica
Recommendation
Present the letter submitted by Councilmember Ruben Abrica.

Attachments

1. Letter
105
Tuesday February 20, 2024
Agenda Item: Council Reports
Regular Council Meeting of February 20
TO: East Palo Alto City Council
From: Council Member Ruben Abrica
RE: Request for Council to give direction to place item on agenda I am making a brief report and making a request of council members to give direction to staff whether to place an item on a future agenda or not.

I have followed protocol as outlined in the Code of Conduct for the Council to request that an item on COPA, Community Opportunity to Purchase Act (specifically excluding single homes). I made that request to the Mayor and the agenda committee. I waited almost two months and never got an answer from Mayor Lopez. I wrote a letter to that effect and finally I received an answer
Mayor Lopez has indicated he is not inclined to put it on the agenda and claimed that there was some Brown Act reason for not discussing it. I am at a loss what that reason is since presumably the agenda committee is empowered to discuss any and all issues that may appear on a future agenda, including requests made by a council member or a member of the public.

Over the years it has been the practice and tradition in the City of East Palo Alto for the Mayor to grant requests from fellow council members to place an item on the agenda as a matter of courtesy. We are a general law city where the Mayor has no separate dictatorial powers to simply veto an item of interest to a colleague or a member of the public, for that matter.

Given this situation, I am now following what has also been the practice and custom in our local government. And that is to request in the public under council reports that council members opine on whether the item requested by a colleague is to be considered at a future agenda or not.

Therefore, I respectfully submit my request that an item be placed on a near future agenda to deliberate and decide whether or not the City Council wants to consider a COPA ordinance, excluding single homes.
thank you
Ruben Abrica, Council Member
106
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