MINUTES
CITY COUNCIL OF THE CITY OF ESCALON
MEETING OF SEPTEMBER 8, 2026
City Council Chambers, 2060 McHenry Avenue - 7:00 PM
Beginning Minute Order No. 58-26
Beginning Resolution No. 41-26
Beginning Ordinance No. 607
PRESENT: Mayor Andrew Hagan
Mayor Pro Tem Malinda Walker
Councilmember Jeremy Engle
Councilmember Shawn Strohman
Councilmember Jeff Kay
STAFF PRESENT: Jaylen French, City Manager (CM)
Robert Hardgraves, Chief of Police
Trevin Barber, Development and Community Services Manager (DCSM) Juston Collins, Public Works Superintendent (PWS)
Sara Swift, Deputy City Clerk
Yana Pavlova, Legal Counsel
PRESENTATIONS
1. Major Infrastructure Quarterly Report
CM French provided status updates on the surface water conveyance project and the wastewater treatment plant upgrade project—the City’s two major infrastructure projects. The water project remains paused while staff seeks funding to close an approximately $10 million funding gap. Staff is discussing leasing the City’s unused surface water allocation to a partner City to generate revenue toward the project and will return to Council when a funding proposal is available.
CM French reported improved compliance at the wastewater treatment plant, and therefore staff has proposed completing the approximately $40 million improvement program in phases. Initial work would focus on the industrial system. Project costs and timing are currently being discussed with the two industrial users. Phase one conceptual design is substantially complete, and a request for proposals using a design build process could be released as early as October, subject to funding arrangements.
CONSENT CALENDAR
2. Approve the Minutes of the City Council meeting on August 17, 2026
3. Approve the Register of Demands – August 11, 2026 – August 31, 2026 in the Amount of $429,197.63 MOTION – it was m/s by Strohman/Kay to approve the Consent Calendar as presented. Motion carried 5-
0. MINUTE ORDER 58-26.
STAFF COMMUNICATIONS & UPDATES
PWS Collins reported that the City paused AT&T’s fiber installation permit and project due to concerns regarding infrastructure damage, site conditions, and communication with residents. City staff is now working with AT&T to address restoration, reimbursement of City costs, advance notice to residents, and use of hydro excavation to locate utilities before the permit is to be reissued. Residents should be aware that temporary asphalt patches in sidewalks will be replaced with concrete and other repairs will be made upon AT&T re-starting work. Staff also replaced trees and improved the dry condition of a spot of turf after concerns were raised at the prior Council meeting regarding Farinelli Parkway.
Chief Hardgraves reported that DUI saturation patrols began over the weekend, per the City’s recently acquired grant, that a decoy vehicle was placed on McHenry Avenue to help discourage speeding, and that a new officer, William Teague, would be sworn in at the next Council meeting.
CM French reported that staff reviewed the proposal for a caretaker at the City’s Escalon-Bellota Road property, but that the residence is occupied by tenants, and the outbuildings raise habitability concerns. CM French then announced that HCD had officially certified the City’s 6th Cycle Housing Element.
MATTERS PRESENTED FROM THE AUDIENCE
Sherry Hill thanked City staff for supporting her granddaughter’s lemonade stand and expressed appreciation for their involvement in the community.
PUBLIC HEARINGS
None
ADMINISTRATIVE MATTERS
4. Consider Options Regarding Temporary and/or Permanent Prohibitions on Data Center Development in the City
Based on prior Council direction, CM French presented five options for regulating data centers, including:
1) an interim/temporary moratorium, 2) a Council adopted prohibition, 3) a ballot measure on the 2028 regular election, 4) holding a special election prior to 2028, or 5) an ordinance requiring voter approval of individual applications. Staff explained the differences in the options are the length of time it takes to approve, the cost, and the permanence of the action, i.e. whether a future Council could reverse the action.
Council discussed concerns regarding water and electricity demand, noise, air quality, regional groundwater impacts, and protection of the City’s quality of life. Councilmembers supported carrying forward options 1, 2 and 3, directing staff to bring forward an immediate restriction followed by a permanent ordinance and an opportunity for voters to decide the issue in 2028.
MOTION – it was m/s by Kay/Strohman to direct staff to pursue options 1, 2, and 3 by returning with a temporary moratorium, a Council adopted prohibition, and a measure for voter consideration in 2028.
Motion carried 5-0. MINUTE ORDER 59-26.
5. Consider Providing Direction to Staff Regarding the Use of FY 25-26 Budget Surplus and FY 26-27 Unassigned Funds
CM French restated that the City has a one-time budget surplus, including approximately $400,000 in FY 25-26 surplus and $327,000 in FY 26-27 unassigned funds resulting from higher than anticipated Measure P revenue. As part of the conversation to determine if and on what to spend the funds to address community needs, it was shared that approximately $300,000 was received from the school district following the pool closure, and a separate $180,000 bequest was provided and restricted to recreation purposes.
A community survey received 28 completed responses, with business attraction and retention ranked highest. Staff presented options including accelerated loan repayment, additional reserves or CalPERS payments, police retention and homeownership assistance, Liberty Business Park infrastructure planning, business assistance, a dog park and walking path at St. John, park restrooms, and railroad corridor beautification.
Resident, Sherry Hill commented that recreation funds should be discussed separately from the Measure P surplus. She then supported reducing the Civic Center loan to ensure the city is as fiscally responsible as possible, and also reserving funds for Liberty Business Park, so the city can generate new revenues.
Council debated the benefits of debt repayment, investment returns, economic development, and visible community improvements. Councilmember Kay suggested that police retention costs are an ongoing matter and therefore should be addressed through the annual budget process rather than relying on one-time funds.
Discussion of Liberty Business Park focused on infrastructure costs, coordination with Caltrans improvements at Brennan Avenue and State Route 120, existing developer obligations, and the risk of preparing designs without construction funding. Staff explained that some engineering analysis would be needed to develop reliable estimates. Council also discussed seeking additional community input, discussed St. John Park amenities and restrooms at Brentwood and Sanchez parks using the recreation funding.
MOTION – it was m/s by Engle/Kay to table the discussion for two meetings, with staff to provide, before the next meeting, confirmation of the Measure P Committee’s recommendations, staff recommendations for use of the $727,000 based on the information presented, and a rough estimate for an engineering report on extending utilities to Liberty Business Park. Motion carried 5-0. MINUTE ORDER 60-26.
6. Consider License Agreement (Reciprocal Agreement) between DeRuosi Nut and the City of Escalon for the Purposes of Harvest-Season Parking and Related Staging (DeRuosi Nut), and Recreation Parking and Related Municipal Purposes (City of Escalon) Based on prior Council direction, CM French presented a proposed ten-year reciprocal parking agreement with DeRuosi Nut. The City would have year-round use of DeRuosi Nut’s existing parking area at EscalonBellota and Arthur, and use of a new parking lot to be developed by DeRuosi Nut on the City-owned area north of Hogan Park except during the period between September 15 and November 15. DeRuosi Nut would use the City area during harvest and in non-recreation times outside of the period. DeRuosi would fund the temporary parking lot improvements including grading and installation of base rock estimated at $130,000.
One provision of note is that if the City terminates the agreement early, the City is responsible to fund a prorated share of the improvement costs.
MOTION – it was m/s by Strohman/Kay to approve the license agreement with DeRuosi Nut for harvest season parking and related staging, recreation parking, and related municipal purposes, with staff to explore the pedestrian path recommended by Mayor Pro Tem Walker. Motion carried 5-0. MINUTE ORDER 61-
26. 7. Proposed 2027 Gilton Solid Waste Management Rate Increase, and Proposition 218 Ballot Initiation DCSM Barber introduced the item, which is a required step per California Proposition 218 to allow the rate payers to weigh-in on the scheduled rate increase per the long-term agreement with the City. A 2.5% rate adjustment effective January 2027 is proposed. The franchise agreement permits an annual adjustment based on the Consumer Price Index or 2.5%, whichever is lower. This is the first step, and initiating the Proposition 218 process does not implement the rates, but requires public notice and an opportunity for a majority protest.
Resident Sherry Hill suggested that Measure P funds cover the first year of the Gilton increase.
Council discussed the effect of the franchise agreement, the approximately $24,000 proposed increase, and how the proposed adjustment should be explained to customers. Council requested that the notice clearly show the dollar impact on each billing cycle.
MOTION – it was m/s by Engle/Kay to accept the proposed Gilton monthly refuse rates for calendar year 2027 and direct staff to proceed with the Proposition 218 ballot process. Motion carried 5-0. MINUTE ORDER 62-26.
8. Consider Approving the Recreation Coordinator Job Description, Confirming the Classification and Compensation Plan to re-add the Recreation Coordinator Position, and Affirming the Salary Range DCSM Barber presented the updated Recreation Coordinator job description and salary range. The position, which was removed from the City’s Position Control List sometime after 2022 when the long time Recreation Coordinator left the position. At that time, the position was handled by committee. Recently, City staff seeing the value in the dedicated position, would like to reinstate the Recreation Coordinator position. Staff stated that the FY 2026-27 budget covers the salary increase.
Council discussed restoring the classification, whether the position should be recruited competitively, the duties currently performed by the employee assigned to recreation, and Council's role in classification and personnel decisions. Legal Counsel clarified that the resolution before Council approved the job description, classification, compensation plan, and salary range, but did not direct the appointment of a particular employee.
MOTION – it was m/s by Kay/Strohman to adopt Resolution No. 41-26 approving the Recreation Coordinator job description, confirming the classification and compensation plan to add the Recreation Coordinator position, and affirming the salary range. Motion carried 5-0. MINUTE ORDER 63-26.
9. Consider Adopting the Second Amendment to City Manager’s Employment Agreement and Approving Update to City Salary Schedule
Legal Counsel presented the Second Amendment of the City Manager’s Employment Agreement following the City Manager's positive annual performance review. The amendment extends the agreement by two years through November 2032, increases the City Manager's salary by 4 percent, increases severance from seven to eight months, and extends the post-election termination period from 120 to 150 days. All other terms remain unchanged.
Councilmembers and members of the public thanked CM French for his leadership, professionalism, accessibility, and service to the City.
MOTION – it was m/s by Engle/Strohman to approve the Second Amendment to the City Manager's Employment Agreement and the revised City salary schedule. Motion carried 5-0. MINUTE ORDER 64-
26. COUNCIL COMMUNICATIONS
Councilmember Kay thanked staff for responding to recent concerns and requested, with Council support, that staff investigate available properties and grant funding for public parking, solar canopies, and electric vehicle charging stations.
Councilmembers Kay, Strohman, Walker, and Hagan reflected on the 25th anniversary of the September 11 attacks, encouraged attendance at the Fire Department's memorial remembrance, and emphasized community involvement, unity, and support for first responders and service members.
Councilmember Engle encouraged the public to attend the Lions Club Car Show on September 12 and announced an October 10 bingo fundraiser benefiting the Hogan Park Expansion Project.
ADJOURNMENT
There being no further business, Mayor Hagan adjourned the meeting at approximately 9:56 PM.
Respectfully submitted,
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Sara Swift, Deputy City Clerk