Agenda packet — Escondido City Council, July 17, 2024

CITY of ESCONDIDO

Council Meeting (Closed Session 4:00 PM -
Cancelled) Agenda

WEDNESDAY, JULY 17, 2024
4:00 PM - Closed Session (Cancelled)
5:00 PM - Regular Session
Escondido City Council Chambers, 201 North Broadway, Escondido, CA 92025

WELCOME TO YOUR CITY COUNCIL MEETING
We welcome your interest and involvement in the legislative process of Escondido. This agenda includes information about topics coming before the City Council and the action recommended by City staff.

MAYOR
Dane White

DEPUTY MAYOR
Christian Garcia (District 3)

COUNCILMEMBERS
Consuelo Martinez (District 1)
Joe Garcia (District 2)
Michael Morasco (District 4)

CITY MANAGER
Sean McGlynn

CITY ATTORNEY
Michael McGuinness

CITY CLERK
Zack Beck

HOW TO WATCH
The City of Escondido provides three ways to watch a City Council meeting:

In Person On TV Online

201 N. Broadway Cox Cable Channel 19 and U-verse Channel 99 www.escondido.gov

1 Wednesday, July 17, 2024

HOW TO PARTICIPATE
The City of Escondido provides two ways to communicate with the City Council during a meeting:

In Person In Writing

Fill out Speaker Slip and Submit to City Clerk escondido-ca.municodemeetings.com

ASSISTANCE PROVIDED
If you need special assistance to participate in this meeting, please contact our ADA Coordinator at 760-839-4869.

Notification 48 hours prior to the meeting will enable to city to make reasonable arrangements to ensure accessibility. Listening devices are available for the hearing impaired – please see the City Clerk.

2 Wednesday, July 17, 2024

REGULAR SESSION
5:00 PM Regular Session

MOMENT OF REFLECTION
City Council agendas allow an opportunity for a moment of silence and reflection at the beginning of the evening meeting. The City does not participate in the selection of speakers for this portion of the agenda, and does not endorse or sanction any remar ks made by individuals during this time. If you wish to be recognized during this portion of the agenda, please notify the City Clerk in advance.

FLAG SALUTE
The City Council conducts the Pledge of Allegiance at the beginning of every City Council meeting.

CALL TO ORDER
Roll Call: C. Garcia, J. Garcia, Martinez, Morasco, White

PRESENTATIONS
Clean Energy Alliance
NCTD Transit Center Redevelopment and Land Swap Study Update CLOSED SESSION REPORT - none

ORAL COMMUNICATIONS
In addition to speaking during particular agenda items, the public may address the Council on any item which is not on the agenda provided the item is within the subject matter jurisdiction of the City Council. State law prohibits the Council from discussing or taking action on such items, but the matter may be referred to the City Manager/staff or scheduled on a subsequent agenda. Speakers are limited to only one opportunity to address the Council under Oral Communications.

CONSENT CALENDAR
Items on the Consent Calendar are not discussed individually and are approved in a single motion. However, Council members always have the option to have an item considered separately, either on their own request or at the request of staff or a member of the public.

1. AFFIDAVITS OF PUBLICATION, MAILING, AND POSTING (COUNCIL/RRB) - 3 Wednesday, July 17, 2024

2. APPROVAL OF WARRANT REGISTERS (COUNCIL)
Request approval for City Council and Housing Successor Agency warrant numbers:
385287 – 385477 dated July 02, 2024
Staff Recommendation: Approval (Finance Department: Christina Holmes) ESSENTIAL SERVICE – Internal requirement per Municipal Code Section 10-49

3. APPROVAL OF MINUTES: None

4. WAIVER OF READING OF ORDINANCES AND RESOLUTIONS

5. SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2000-01 (HIDDEN TRAILS) Request the City Council adopt Resolution No. 2024-90, setting the Special Tax Levy for Community Facilities District No. 2000-01 (Hidden Trails) (“District”) for Fiscal Year 2024/25.

Staff Recommendation: Approval (Finance: Christina Holmes, Director of Finance) Presenter: Christina Holmes, Director of Finance
ESSENTIAL SERVICE – Yes, Internal Requirement, Land Use/Development COUNCIL PRIORITY – Encourage Housing Development
Resolution No. 2024-90
Resolution No. 2024-90- Exhibit “A” CFD 2000-01 (Hidden Trails) Special Tax Rates

6. SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2006-01 (EUREKA RANCH) Request the City Council adopt Resolution No. 2024-91, setting the Special Tax Levy for Community Facilities District No. 2006-01 (Eureka Ranch) (“District”) for Fiscal Year 2024/25.

4 Wednesday, July 17, 2024

7. SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2020-2 (THE VILLAGES) Request the City Council adopt Resolution No. 2024-92, setting the Special Tax Levy for Community Facilities District No. 2020-2 (The Villages) (“District”) for Fiscal Year 2024/25.

Staff Recommendation: Approval (Finance: Christina Holmes, Director of Finance) Presenter: Christina Holmes, Director of Finance
ESSENTIAL SERVICE – Yes, Internal Requirement, Land Use/Development COUNCIL PRIORITY – Encourage Housing Development
Resolution No. 2024-92
Resolution No. 2024-92- Exhibit “A” CFD 2020-2 (The Villages) Special Tax Rates

8. SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2022 -1 (ECLIPSE/MOUNTAIN HOUSE)
Request the City Council adopt Resolution No. 2024 -93, setting the Special Tax Levy for Community Facilities District No. 2022-1 (Eclipse/Mountain House) (“District”) for Fiscal Year 2024/25.

Staff Recommendation: Approval/ Receive and File (Finance: Christina Holmes, Director of Finance) Presenter: Christina Holmes, Director of Finance
ESSENTIAL SERVICE – Yes, Internal Requirement, Land Use/Development COUNCIL PRIORITY – Encourage Housing Development

9. AWARD PURCHASE OF FUELS FOR FISCAL YEAR 2025
ESSENTIAL SERVICE – Yes, Police Services; Fire/EMS Services; Keep City Clean for Public Health and Safety; Clean Water; Sewer; Public Works/Infrastructure; Maintenance of Parks facilities/Open Spaces COUNCIL PRIORITY – Improve Public Safety
Resolution No. 2024-88
Resolution No. 2024-88 Exhibit “A” – Sourcewell Contract

5 Wednesday, July 17, 2024

10. FY 2023 USDA FOREST SERVICE COMMUNITY WILDFIRE DEFENSE GRANT AWARD AND BUDGET

ADJUSTMENT
Request the City Council adopt Resolution No. 2024 -95 to authorize the Escondido Fire Department to accept FY 2023 USDA Forest Service Community Wildfire Defense Grant funds; authorize the City Manager or his designee to execute grant documents on behalf of the City; and approve budget adjustments needed to spend grant funds.

Staff Recommendation: Approval (Fire Department: John Tenger, Fire Chief) Presenter: La Vona Koretke, Department Fire Marshal
ESSENTIAL SERVICE – Yes, Fire/EMS Services
COUNCIL PRIORITY – Improve Public Safety
Resolution No. 2024-95

11. FY 2023 OPERATION STONEGARDEN GRANT AND BUDGET ADJUSTMENT Request the City Council adopt Resolution No. 2024-101 and accept FY 2023 Operation Stonegarden Grant Funds in the amount of $10,000 from the California Office of Emergency services through the County of San Diego; authorize the Chief of Police or his designee to execute grant documents on behalf of the city, and approve budget adjustments needed to spend grant funds. The Department will use grant funds to pay overtime expenses for multi-disciplinary crime suppression operations related to human trafficking , narcotics trafficking, weapons trafficking, and criminal gang activity. This grant will provide operations funding to enforce local and state laws.

Staff Recommendation: Approval (Department Name: Edward Varso, Chief of Police) Presenter: Edward Varso, Chief of Police
ESSENTIAL SERVICE – Yes, Internal requirement in support of police services.

COUNCIL PRIORITY – Improve Public Safety
Resolution No. 2024-101

6 Wednesday, July 17, 2024

12. FISCAL YEAR 2023/24 PAUL COVERDELL FORENSIC IMPROVEMENT PROGRAM GRANT AND BUDGET

ADJUSTMENT
Request the City Council adopt Resolution No. 2024-102 authorizing the Chief of Police or his designee to accept a FY 2023 -24 California Office of Emergency Servi ces (CalOES) Paul Coverdell Forensic Science Improvement Program Grant in the amount of $52,621 to cover costs of the salary and overhead of one part-time Department Specialist, maintaining accreditation for the Police Department Crime Lab, and equipment t o improve the quality and timeliness of forensic science services; execute all documents necessary for the management and completion of the grant scope; and authorize the necessary budget adjustment needed to spend grant funds.

Staff Recommendation: Approval (Police Department: Edward Varso, Chief of Police) Presenter: Edward Varso, Chief of Police
ESSENTIAL SERVICE – Yes, internal requirement in support of police services COUNCIL PRIORITY – Improve Public Safety
Resolution No. 2024-102

13. BESSIE MINOR SWIFT FOUNDATION GRANT - $3,400
Request the City Council adopt Resolution No. 2024-100 authorizing the Assistant Director of Community Services to receive a $3,400 grant from the Bessie Minor Swift Foundation on behalf of the Escondido Public Library.

Staff Recommendation: Approval (Economic Development/Community Services: Jennifer Schoeneck, Director of Economic Development)
Presenter: Robert Rhoades, Assistant Director of Community Services ESSENTIAL SERVICE – No
COUNCIL PRIORITY –
Resolution No. 2024-100

7 Wednesday, July 17, 2024

14. CONTINUING REPAIR OF THE EMERGENCY REPAIR OF THE ESCONDIDO TRUNK SEWER MAIN Request the City Council adopt Resolution No. 2024-103, declaring that pursuant to the terms of Section 22050 of the California Public Contract Code, the City Council finds there is a need to continue the emergency repair of the Escondido Trunk Sewer Main. The resolution, which must be passed by four-fifths vote, also declares that public interest and necessity demand the immediate expenditure to safeguard life, health, or property.

Staff Recommendation: Approval (Utilities: Angela Morrow, Director of Utilities) Presenter: Stephanie Roman, Interim Assistant Director of Utilities – Construction & Engineering ESSENTIAL SERVICE – Yes, Keep City Clean for Public Health and Safety; Sewer COUNCIL PRIORITY –Improve Public Safety
Resolution No. 2024-103

CONSENT RESOLUTIONS AND ORDINANCES (COUNCIL/RRB)
The following Resolutions and Ordinances were heard and acted upon by the City Council/RRB at a previous City Council/Mobilehome Rent Review meeting. (The title of Ordinances listed on the Consent Calendar are deemed to have been read and further reading waived.)

CURRENT BUSINESS

15. RESOLUTION IN OPPOSITION TO ASSEMBLY BILL 3093
Request the City Council approve a letter to the California State Legislature in opposition to Assembly Bill 3093.

Staff Recommendation: Approval (City Council: Mayor Dane White, Deputy Mayor Christian Garcia) Presenter: Deputy Mayor Garcia
ESSENTIAL SERVICE – Yes, Land Use/Development
COUNCIL PRIORITY – Eliminate Structural Deficit; Encourage Housing Development Attachment “1” - Letter in Opposition to AB 3093

FUTURE AGENDA

8 Wednesday, July 17, 2024

16. FUTURE AGENDA
The purpose of this item is to identify issues presently known to staff or which members of the City Council wish to place on an upcoming City Council agenda. Council comment on these future agenda items is limited by California Government Code Section 54954.2 to clarifying questions, brief announcements, or requests for factual information in connection with an item when it is discussed.

Staff Recommendation: None (City Clerk's Office: Zack Beck)

COUNCILMEMBERS SUBCOMMITTEE REPORTS AND OTHER REPORTS
CITY MANAGER’S WEEKLY ACTIVITY REPORT
The most current information from the City Manager regarding Economic Development, Capital Improvement Projects, Public Safety, and Community Development. This report is also available on the City’s website, www.escondido.gov.

ADJOURNMENT

UPCOMING MEETING SCHEDULE
Wednesday, August , 07, 2024 4:00 & 5:00 PM Closed Session, Regular Meeting, Council Chambers Wednesday, August, 14, 2024 4:00 & 5:00 PM Closed Session, Regular Meeting, Council Chambers

SUCCESSOR AGENCY
Members of the Escondido City Council also sit as the Successor Agency to the Community Development Commission, Escondido Joint Powers Financing Authority, and the Mobilehome Rent Review Board.

9 Consent Item No. 1 July 17, 2024

A F F I D A V I T S

I T E M

P O S T I N G –
 ADOPTION OF ORDINANCE NO. 2024-09 (Regulation of Recreational Vehicle Parking)

10 Item1.

CITY OF ESCONDIDO

OFFICE OF THE CITY CLERK
201 NORTH BROADWAY
ESCONDIDO, CALIFORNIA 92025-2798
(760) 839-4617

NOTICE OF PUBLIC HEARING

NOTICE IS HEREBY GIVEN on WEDNESDAY, JULY 17, 2024 at 5:00 p.m., the City of Escondido will hold a Public Hearing to consider the following item:

ADOPTION OF ORDINANCE NO. 2024-09 (Regulation of Recreational Vehicle Parking)

The City Council will be asked to consider Ordinance No. 2024-09 amending the Escondido Municipal Code to adopt new regulations on recreational vehicle parking within the City of Escondido.

The City of Escondido recognizes its obligation to provide equal access to public services for those individuals with disabilities. Please contact the American Disabilities Act (A.D.A.) Coordinator (760) 839- 4376 with any requests for reasonable accommodations, to include sign language interpreters, at least 24 hours prior to the meeting. The City of Escondido does not discriminate against any person with a handicapped status.

PUBLIC COMMENT: To submit comments in writing, please do so at the following link: https://escondido- ca.municodemeetings.com/bc-citycouncil/webform/public-comment. All comments received from the public will be made a part of the record of the meeting.

The staff report will be available on the City’s website at https://escondido-ca.municodemeetings.com/ after Thursday, July 11, 2024. FOR ADDITIONAL INFORMATION , please contact (760) 839-4617 or visit the Escondido City Clerk’s Office, 201 N. Broadway, Escondido, CA 92025

ZACK BECK, City Clerk
City of Escondido
July 4, 2024

DocuSign Envelope ID: 4D9847E8-E8A7-4AFA-923E-2DB9F4C7833E 11 Item1.

STAFF REPORT

July 17, 2024
File Number 0400-40

SUBJECT

APPROVAL OF WARRANT REGISTERS (COUNCIL)

DEPARTMENT
Finance

RECOMMENDATION
Request approval for City Council and Housing Successor Agency warrant numbers:
385287 – 385477 dated July 02, 2024
Staff Recommendation: Approval (Finance Department: Christina Holmes)

ESSENTIAL SERVICE – Internal requirement per Municipal Code Section 10-49 COUNCIL PRIORITY –

FISCAL ANALYSIS
The total amount of the warrants for the following periods are as follows:

June 27, 2024 – July 02, 2024 is $2,422,697.64

PREVIOUS ACTION – None

BACKGROUND

The Escondido Municipal Code Section 10-49 states that warrants or checks may be issued and paid prior to audit by the City Council, provided the warrants or checks are certified and approved by the Director of Finance as conforming to the current budget. These warrants or checks must then be ratified and approved by the City Council at the next regular Council meeting. 12 Item2.
13 Item4.

STAFF REPORT

July 17, 2024
File Number 0685-10

SUBJECT
SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2000-01 (HIDDEN TRAILS)

DEPARTMENT
Finance

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-90, setting the Special Tax Levy for Community Facilities District No. 2000-01 (Hidden Trails) (“District”) for Fiscal Year 2024/25.

FISCAL ANALYSIS

A Special Tax is levied annually on land within Community Facilities District No. 200 0-01 (Hidden Trails) and collected through the County of San Diego Treasurer -Tax Collector’s Office. The funds from the Special Tax are used to meet debt service obligations from the issuance of bonds and fund administrative expenses for the District.

PREVIOUS ACTION

The City Council approved the establishment of Community Facilities District No. 2000-01 (Hidden Trails) on September 20, 2000, and has annually thereafter adopted a resolution setting the annual Sp ecial Tax Levy. Prior year’s Resolution No. 2023-80 was adopted on July 19, 2023.

BACKGROUND
At the request of the property owner/developer and pursuant to the City’s Statement of Goals and Policies Regarding the Establishment of Community Facilities Dist ricts, Community Facilities District No. 2000-01 (Hidden Trails) was formed and bonds issued for the purpose of acquiring certain backbone facilities including street, water and sewer facilities which were constructed within the Hidden Trails development as authorized in Section 6 of the Resolution of Formation No. 2000 -241R adopted in March of 2000. As 14 Item5.

required, the proceeds of the bonds were used only for such authorized purposes. As of September 30, 2005, all proceeds were expended, and the projects completed. As of July 1, 2024, $1,250,000 of principal remain outstanding and the bonds mature on September 1, 2031.

According to the Rate and Method of Apportionment of Special Taxes for Community Facilities District No. 2000-01 (Hidden Trails), a Special Tax shall be levied annually on land within the District and collected in the same manner and at the same time as ordinary ad valorem property taxes . The City is responsible for annually determining the Special Tax liability for each parcel within the District and for providing this information to the County of San Diego in August of every year.

A comparative analysis of the annual Special Tax Levy Calculation for Fiscal Year 2024/25 is presented on Attachment “1”. As noted in the analysis, the 202 4/25 Special Tax Levy requirement increased from $205,550.88 by 0.24 percent in the amount of $483.44 or an average of $1.67 per parcel.

RESOLUTIONS
a. Resolution No. 2024-90
b. Resolution No. 2024-90- Exhibit “A” CFD 2000-01 (Hidden Trails) Special Tax Rates

ATTACHMENTS
a. Attachment “1” - CFD 2000-01 (Hidden Trails) Special Tax Levy Comparative Analysis 15 Item5.

RESOLUTION NO. 2024-90

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, ACTING AS LEGISLATIVE BODY
OF COMMUN ITY FACILITIES DISTRICT NO. 2000 -01
(HIDDEN TRAILS ), PROVIDING FOR THE LEVY OF AN

ANNUAL SPECIAL TAX FOR SUCH COMMUNITY FACILITIES
DISTRICT FOR FISCAL YEAR 2024/25

WHEREAS, the City Council of the City of Escondido, California (“Legislative Body”), has initiated proceedings, held a public hearing, conducted an election , and received a favorable vote from the qualified electors to authorize the levy of a Special Tax in a Community Facilities District, all as authorized pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982,” being Chapter

2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (“Act”). This Community Facilities District is designated as Community Facilities District No. 2000-01 (Hidden Trails) (“District”); and WHEREAS, this Legislative Body, b y the ad option of the Ordinance No. 2000 -30 (“Ordinance”) pursuant to Section 53340 of the Government Code of the State of California, has authorized the levy of Special Taxes (as such term is defined in the Ordinance) within the District to finance authorized facilities; and
WHEREAS, Government Code Section 53340 provides that this legislative body may provide, by resolution, for the levy of the Special Taxes in the current tax year at the same rates or at a lower rate than the rate provided for in the Ordinance, if such resolution is adopted and a certified list of all parcels subject to the Special Tax levy including the amount of the Special Tax to be levied on each parcel for the current tax year (“Certified Parcel List”) is timely filed by the clerk o r other official designated by this legislative body with the Auditor of the County of San Diego (“County Auditor”) on or before August 10 of the applicable tax year.
16 Item5.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Escondido, California, acting as the legislative body of Community Facilities District No. 2000-01 (Hidden Trails), as follows:

1. That the above recitations are true.

2. That this legislative body hereby authorizes and provides for the levy of the Special Tax within the District on those Taxable Properties (as such term is defined in the Ordinance) within the District for Fiscal Year 2024/25 so long as the rates of such Special Tax are the same rates or lower rates than the rates provided for in the Ordinance. The Proposed Special Tax Rates for the District for Fiscal Year 2024/25 are contained on Exhibit “A” attached to this Resolution and incorporated by this reference.

After adoption of this R esolution, the Finance Director of the City, or Finance Director’s designee, may make any necessary modifications to these Special Tax Rates to correct any errors, omissions or inconsistencies in the listing or categorization of parcels to be taxed or in the amounts to be charged to any category of parcels; provided, however, that any such modifications shall not result in an increase in the Special Tax applicable to any category of parcels and can only be made prior to the submission of the tax rolls to the County Auditor.

3. That the Finance Director is hereby designated and directed to prepare and submit a Certified Parcel List to the County Auditor on or before August 10, 2024, or such later date to which the County Auditor may agree, setting forth the amount of the Special Tax to be levied on each Taxable Property within the District calculated pursuant to the Ordinance and subject to the limitations set forth in Section 2 above.

4. That th e Special Tax shall be collected in the same manner as ordinary ad valorem property taxes are collected, and shall be subject to the same penalties and same procedure and sale in cases of any delinquency for ad valorem taxes, and the Treasurer-Tax Collector of the County of San Diego is hereby authorized to deduct reasonable administrative costs incurred in collecting any said Special Tax.

Any Special Taxes that may not be collected on the County tax roll shall be collected through a direct 17 Item5.
billing procedure by the Treasurer of the City of Escondido, or his/her designee, acting for and on behalf of the District.

5. That the County Auditor is hereby directed to enter in the next County assessment roll on which taxes will become due, opposite e ach lot or parcel of land affected in a space marked “public improvements, special tax” or by any other suitable designation, the installment of the Special Tax.

6. That the County Auditor shall then, at the close of the tax collection period, promptly render to the District a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection.

18 Item5.

Resolution No. 2024-90
Exhibit “A”

Page 1 of 1 ends

City of Escondido
Community Facilities District 2000-01
(Hidden Trails)

Special Tax Rates for Fiscal Year 2024/25

Land Use
Categories

Description
Assigned
Special Tax
Proposed Actual
Special Tax*
Category 1** Residential
Property $0.39 per square foot $0.2650 per square foot
Category 2** Other
Property $2,861 per net acre $1,944 per net acre
Category 3 Undeveloped
Property $3,290 per net acre $0.00 per net acre
* Special Tax rates shown above have been rounded to decimals shown, actual tax rates are not rounded.
** The Proposed Actual Special Tax shown above is the authorized levy for the current fiscal year. The submitted actual levy may be reduced as directed by the Finance Director.

19 Item5.

Description $ %
Beginning Balance (07/01) $177,208.85 $180,201.46 $184,572.17 Revenue
Special Taxes 210,841.03 208,531.26
Interest 1,679.59 1,458.71
$212,520.62 $209,989.97 $0.00
Expenditures
Cost of Bonded Indebtedness:

Interest Due 09/01 Reported Fiscal Year 9/1/2022 34,471.88 9/1/2023 31,971.88 9/1/2024 29,471.88 Principal Due 09/01 Reported Fiscal Year 9/1/2022 125,000.00 9/1/2023 125,000.00 9/1/2024 130,000.00 Interest Due 03/01 Reported Fiscal Year 3/1/2023 31,971.88 3/1/2024 29,471.88 3/1/2025 26,709.38 Interest Due 09/01 Pending Year Obligation 9/1/2025 26,709.38 Principal Due 09/01 Pending year Obligation 9/1/2025 140,000.00 Total Principal and Interest Due from Annual Levy $191,443.76 $186,443.76 $352,890.64 Cost of Collection (Proposed Fiscal Year Shown at Maximum) 18,084.25 19,175.50 24,867.49 Available Cash Account Balances to Reduce Levy - - 12,850.00 $18,084.25 $19,175.50 $37,717.49
Total Annual Expenditures 209,528.01 205,619.26 390,608.13 Ending Balance (6/30) 180,201.46 184,572.17 (206,035.96) Calculated Annual Special Tax Requirement $210,563.33 $205,552.61 $206,035.96 Approved / Proposed Levy as Allocated among 290 Parcels $210,561.18 $205,550.88 $206,035.96 $485.08 0.24% Average Levy per Dwelling Unit $726.07 $708.80 $710.47 $1.67 0.24% City of Escondido CFD 2000-01 (Hidden Trails)
Special Tax Levy Comparative Analysis (Fund 727)
Tax Year 2024-25
Actuals
FY 2022-23
Estimated
Actuals
FY 2023-24
Proposed /
Budget
FY 2024-25
Change from Prior Year
Attachment "1"
20 Item5.

STAFF REPORT

July 17, 2024
File Number 0685-10

SUBJECT
SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2006-01 (EUREKA RANCH)

DEPARTMENT
Finance

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-91, setting the Special Tax Levy for Community Facilities District No. 2006-01 (Eureka Ranch) (“District”) for Fiscal Year 2024/25.

FISCAL ANALYSIS
A Special Tax is levied annually on land within Community Facilities District No. 2006 -01 (Eureka Ranch) and collected through the County of San Diego Treasurer -Tax Collector’s Office. The funds from the Special Tax are used to meet debt service obligations from the issuance of bonds and fund administrative expenses for the District.

PREVIOUS ACTION
The City Council approved the establishment of Community Facilities District No. 2006-01 (Eureka Ranch) on September 27, 2006, and has annually thereafter adopted a resolution setting the annual Special Tax Levy. Prior year’s Resolution No. 2023-81 was adopted on July 19, 2023.

BACKGROUND
At the request of the property owner/developer and pursuant to the City’s Statement of Goals and Policies Regarding the Establishment of Community Facilities Districts, Community Facilities District No. 2006 -01 (Eureka Ranch) was formed and bonds were issu ed for the purpose of providing street, storm drain and sewer improvements as well as utility undergrounding within the Eureka Ranch development and East Valley Parkway area as authorized in Section 6 of the Resolution of Formation No. 2006 -227 adopted in 21 Item6.

September of 2006. As required, the proceeds of the bonds were held in a separate account and used only for such authorized purposes. As of June 30, 2013, all proceeds were expended, and the projects completed. As of July 1, 202 4, $10,020,000 of principal remain outstanding and the bonds mature on September 1, 2036.

According to the Rate and Method of Apportionment of Special Taxes for Community Facilities District No. 2006-01 (Eureka Ranch), a Special Tax shall be levied annually on land within the District and collected in the same manner and at the same time as ordinary ad valorem property taxes. The City is responsible for annually determining the Special Tax liability for each parcel within the District and for providing this information to the County of San Diego in August of every year.

A comparative analysis of the annual Special Tax Levy Calculation for FY202 4/25 is presented on Attachment A. As noted in the analysis, the FY2024/25 Special Tax Levy requirement decreased from $1,099,142.68 by 2.42 percent in the amount of $26,646.36 or an average of $78.83 per parcel.

RESOLUTIONS
a. Resolution No. 2024-91
b. Resolution No. 2024-91- Exhibit “A” CFD 2006-01 (Eureka Ranch) Special Tax Rates

ATTACHMENTS
a. Attachment “1”- CFD 2006-01 (Eureka Ranch) Special Tax Levy Comparative Analysis 22 Item6.

RESOLUTION NO. 2024-91

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, ACTING AS LEGISLATIVE BODY
OF COMMUN ITY FACILITIES DISTRICT NO. 2006 -01
(EUREKA RANCH ), PROVIDING FOR THE LEVY OF AN

ANNUAL SPECIAL TAX FOR SUCH COMMUNITY FACILITIES
DISTRICT FOR FISCAL YEAR 2024/25

2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (“Act”). This Community Facilities District is designated as Community Facilities District No. 2006-01 (Eureka Ranch) (“District”); and
WHEREAS, this Legislative Body, by the ad option of the Ordinance No. 2006 -32 (“Ordinance”) pursuant to Section 53340 of the Government Code of the State of California, has authorized the levy of Special Taxes (as such term is defined in the Ordinance) within the District to finance authorized facilities; and
WHEREAS, Government Code Section 53340 provides that this legislative body may provide, by resolution, for the levy of the Special Taxes in the current tax year at the same rates or at a lower rate than the rate provided for in the Ordinance, if such resolution is adopted and a certified list of all parcels subject to the Special Tax levy including the amount of the Special Tax to be levied on each parcel for the current tax year (“Certified Parcel List”) is timely filed by the clerk or other official designated by this legislative body with the Auditor of the County of San Diego (“County Auditor”) on or before August 10 of the applicable tax year.
23 Item6.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Escondido, California, acting as the legislative body of Community Facilities District No. 2006-01 (Eureka Ranch), as follows:

1. That the above recitations are true.

After adoption of this R esolution, the Finance Director of the City, or Finance Director’s designee, may make any necessary modifications to these Special Tax Rates to correct any errors, omissions or inconsistencies in the listing or categorization of parcels to b e taxed or in the amounts to be charged to any category of parcels; provided, however, that any such modifications shall not result in an increase in the Special Tax applicable to any category of parcels and can only be made prior to the submission of the tax rolls to the County Auditor.

Any Special Taxes that may not be collected on the County of San Diego (“County”) tax roll shall be 24 Item6.
collected through a direct billing procedure by the Treasurer of the City of Escondido, or his/her designee, acting for and on behalf of the District.

5. That the County Auditor is hereby directed to enter in the next County assessment roll on which taxes wil l become due, opposite each lot or parcel of land affected in a space marked “public improvements, special tax” or by any other suitable designation, the installment of the Special Tax.

6. That the County Auditor shall then, at the close of the tax collec tion period, promptly render to the District a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection.

25 Item6.

Resolution No. 2024-91
Exhibit “A”

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City of Escondido
Community Facilities District No. 2006-01
(Eureka Ranch)

Special Tax Rates for Fiscal Year 2024/25

Tax Class
Building
Square
Footage
(“BSF”)
Assigned
Special Tax
Proposed Actual
Special Tax*
Residential Property**:

Tax Class 1 > 3,600 $1.214 per BSF $0.9390 per BSF
Tax Class 2 3,251 – 3,600 $1.275 per BSF $0.9862 per BSF Tax Class 3 2,851 – 3,250 $1.350 per BSF $1.0442 per BSF Tax Class 4 2,551 – 2,850 $1.407 per BSF $1.0883 per BSF Tax Class 5 < 2,550 $1.526 per BSF $1.1803 per BSF
Non-Residential Property**:

Tax Class 6 NA $20,750.00 per Acre $16,049.63 per Acre Undeveloped Property NA $20,750.00 per Acre $0.00 per Acre * Special Tax Rates shown above have been rounded to decimals shown, actual tax rates are not rounded. ** The Proposed Actual Special Tax shown above is the authorized levy for the current fiscal year. The submitted actual levy may be reduced as directed by the Finance Director.

26 Item6.

Description $ %
Beginning Balance (07/01) $829,862.47 $819,104.99 $855,124.32 Revenue
Special Taxes 1,053,912.18 1,103,353.20
Interest 7,073.59 5,843.65
$1,060,985.77 $1,109,196.85 $0.00
Expenditures
Cost of Bonded Indebtedness:

Interest Due 09/01 Reported Fiscal Year 9/1/2022 258,000.00 9/1/2023 244,875.00 9/1/2024 231,125.00 Principal Due 09/01 Reported Fiscal Year 9/1/2022 525,000.00 9/1/2023 550,000.00 9/1/2024 575,000.00 Interest Due 03/01 Reported Fiscal Year 3/1/2023 244,875.00 3/1/2024 231,125.00 3/1/2025 216,750.00 Interest Due 09/01 Pending Year Obligation 9/1/2025 216,750.00 Principal Due 09/01 Pending year Obligation 9/1/2025 605,000.00 Total Principal and Interest Due from Annual Levy $1,027,875.00 $1,026,000.00 $1,844,625.00 Cost of Collection (Proposed Fiscal Year Shown at Maximum) 43,868.25 47,177.52 57,129.85 Available Cash Account Balances to Reduce Levy 16,300.00 Contingency for Delinquency (Proposed Current Year Only) 9,566.37 43,868.25 47,177.52 $82,996.22
Total Annual Expenditures 1,071,743.25 1,073,177.52 1,927,621.22 Ending Balance (6/30) 819,104.99 855,124.32 (1,072,496.90) Calculated Annual Special Tax Requirement $1,055,176.28 $1,099,143.72 $1,072,496.90 Approved / Proposed Levy as Allocated among 338 Parcels $1,055,175.48 $1,099,142.68 $1,072,496.32 ($26,646.36) -2.42% Average Levy per Dwelling Unit $3,121.82 $3,251.90 $3,173.07 ($78.83) -2.42% Change from Prior Year
Actuals
FY 2022-23
Estimated
Actuals
FY 20223-24
Proposed /
Budget
FY 2024-25
City of Escondido CFD 2006-01 (Eureka Ranch)
Special Tax Levy Comparative Analysis (Fund 728)
Tax Year 2024-25
Attachment "1"
27 Item6.

STAFF REPORT

July 17, 2024
File Number 0685-10

SUBJECT
SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2020-2 (THE VILLAGES)

DEPARTMENT
Finance

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-92, setting the Special Tax Levy for Community Facilities District No. 2020-2 (The Villages) (“District”) for Fiscal Year 2024/25.

FISCAL ANALYSIS
A Special Tax is levied annually on land within Community Facilities District No. 2020-2 (The Villages) and collected through the County of San Diego Treasurer -Tax Collector’s Office. The funds from the Special Tax are used to meet debt service obligations from the issuance of bonds and pay administrative expenses for the District.

PREVIOUS ACTION
The Villages Project was approved by the City Council on November 15, 2017.

On May 13, 2020, the City Council adopted Resolution No. 2020 -45 approving the establishment of Community Facilities District No. 2020 -2 (The Villages) and authorizing the Council to annually adopt a resolution setting the Special Tax Levy.

On July 19, 2 023, the City Council adopted Resolution No. 2023 -83, setting the Special Tax Levy for Community Facilities District No. 2020 -2 (The Villages) for Fiscal Year 2023/24 on 380 developed lots located in The Villages Project

28 Item7.

BACKGROUND
A Community Facilities District (“CFD”) is a special taxing district that is formed at the request of a project proponent with the approval of the local jurisdiction. CFD's were established in State Government Code in 1982 (also referred to as the Mello -Roos Act) to provide an a lternate method for private property owners to finance the acquisition, construction and maintenance of certain public capital facilities, and/or to cover the related cost of ongoing services.

CFD No. 2020-2 was formed on May 13, 2020, to fund the public facilities fees associated with the Villages Project (“Project”), a development that includes 380 residential homes; recreational, social, and community amenities in a Village Center; and approximately 48.9 acres of permanent open space with active greenbelts and 3.5 acres of parks. On June 29, 2022, Special Tax Bonds of $11,945,000 were issued.

Total outstanding principal on the bonds as of July 1, 20 24 is $11,925,000 and the bonds mature on September 1, 2052.

A Maximum Special Tax Rate was established for developed residential property and undeveloped property. The amount of the Maximum Special Tax Rates and Proposed Actual Special Tax Rates for Fiscal Year 2023/24 is attached as Exhibit “A” to Resolution No. 2024-92. The Special Taxes received by the City will be deposited to a separate fund held by the Bank of New York, acting as Trustee, to be used for annual administrative expenses and fund the authorized facilities or future bond debt service payments.

A comparative analysis of the annual Special Tax Levy Calculation for FY202 4/25 is presented on Attachment 1. As noted in the analysis, the FY 2024/25 Special Tax Levy requirement increased from $611,312.24 by 6.69 percent in the amount of $40,907.32 or an average of $107.66 per parcel.

The delinquency contingency provision for the FY 2024/25 levy calculation is $9,131.87. This is based on the actual FY 2023/24 second installment delinquent summary date 5/14/24.

RESOLUTIONS
a. Resolution No. 2024-92
b. Resolution No. 2024-92- Exhibit “A” CFD 2020-2 (The Villages) Special Tax Rates

ATTACHMENTS
a. Attachment “1” - CFD 2020-01 (The Villages) Special Tax Levy Comparative Analysis

29 Item7.

RESOLUTION NO. 2024-92

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, ACTING AS LEGISLATIVE
BODY OF COMMUNITY FACILITIES DISTRICT NO. 2020-2
(THE VILLAGES), PROVIDING FOR THE LEVY OF AN

ANNUAL SPECIAL TAX FOR SUCH COMMUNITY
FACILITIES DISTRICT FOR FISCAL YEAR 2024/25

2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (“Act”). This Community Facilities District is designated as Community Facilities District No. 2020-2 (The Villages) (“District”); and WHEREAS, this Legislative Body, by the ad option of the Ordinance No. 2020-11 (“Ordinance”) pursuant to Section 53340 of the Government Code of the State of California, has authorized the levy of Special Taxes (as such term is defined in the Ordinance) within the District to finance authorized facilities; and
WHEREAS, Government Code Section 53340 provides that this legislative body may provide, by resolution, for the levy of the Special Taxes in the current tax year at the same rates or at a lower rate than the indexed rates provided for in the Ordinance, if such resolution is adopted and a certified list of all parcels subject to the Special Tax levy including the amount of the Special Tax to be levied on each parcel for the current tax year (“Certified Parcel List”) is timely filed by the clerk or other official designated by this legislative body with the Auditor of the County of San Diego (“County Auditor”) on or before August 10 of the applicable tax year.
30 Item7.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Escondido, California, acting as the legislative body of Community Facilities District No. 2020-2 (The Villages), as follows:

1. That the above recitations are true.

After adoption of this Resolution, the Finance Director of the City or Finance Director’s designee, may make any necessary modifications to these Special Tax Rates to correct any errors, omissions or inconsistencies in the listing or categorization of parcels to be taxed or in the amounts to be charged to any category of parcels; provided, however, that any such modifications shall not result in an increase in the Special Tax applicable to any category of parcels and can only be made prior to the submission of the tax rolls to the County Auditor.

3. That the Finance Director is hereby designated and directed to prepare and submit a Certified Parcel List to the County Auditor on or before August 10, 2024, or such later date to which the County Auditor may agree, set ting forth the amount of the Special Tax to be levied on each Taxable Property within the District calculated pursuant to the Ordinance and subject to the limitations set forth in Section 2 above.

4. That th e Special Tax shall be collected in the same man ner as ordinary ad valorem property taxes are collected, and shall be subject to the same penalties and same procedure and sale in cases of any delinquency for ad valorem taxes, and the Treasurer-Tax Collector of the County of San Diego is hereby authorized to deduct reasonable administrative costs incurred in collecting any said Special Tax.

Any Special Taxes that may not be collected on the County of San Diego ( “County”) tax roll shall be 31 Item7.
collected through a direct billing procedure by the Treasurer of the City of Escondido, or his/her designee acting for and on behalf of the District.

5. That the County Auditor is hereby directed to enter in the next County assessment roll on which taxes will become due, opposite each lot or parcel o f land affected in a space marked “public improvements, special tax” or by any other suitable designation, the installment of the Special Tax.

6. That the County Auditor shall then, at the close of the tax collection period, promptly render to the Distric t a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection.

32 Item7.

Developed
Floor Area
> 3,199 sqft $2,964.78 per DU (4) $2,180.86 per DU (4)
2,950 to 3,199 sqft $2,877.10 per DU (4) $2,116.36 per DU (4) 2,700 to 2,949 sqft $2,778.60 per DU (4) $2,043.90 per DU (4) 2,450 to 2,699 sqft $2,670.36 per DU (4) $1,964.28 per DU (4) 2,200 to 2,449 sqft $2,553.45 per DU (4) $1,878.28 per DU (4) 1,950 to 2,199 sqft $2,263.36 per DU (4) $1,664.90 per DU (4) 1,700 to 1,949 sqft $2,238.46 per DU (4) $1,646.58 per DU (4) 1,450 to 1,699 sqft $2,039.30 per DU (4) $1,500.08 per DU (4) < 1,450 sqft $1,914.82 per DU (4) $1,408.52 per DU (4)
Non-Residential
NA $26,352.89 per Acre $19,384.89 per Acre
Backup Special Tax
NA $2,879.71 per Lot $0.00 per Lot
NA $2,704.47 per Lot $0.00 per Lot
NA $2,212.58 per Lot $0.00 per Lot
NA $26,352.89 per Acre $0.00 per Acre
(1)
(2)
(3)
(4) Dwelling unit or "DU" is as defined in the formation documents.

City of Escondido
Community Facilities District No. 2020-2
(The Villages)
Special Tax Rates for Fiscal Year 2024/25
The Proposed Actual Special Tax shown above is the authorized levy for the current fiscal year. The submitted actual levy may be reduced as directed by the Finance Director.

Special Tax Rates shown above have been rounded to decimals shown, actual tax rates are not rounded.
7 8
9 10
The Assigned Special Tax Rates have been increased by 2% from the tax rates established at the time of formation in accordance with the formation documents.

SUB16-009A
SUB16-009B
SUB16-009C
Undeveloped Property
NA
4 5
Assigned
Special Tax(1)(2)
Proposed Actual
Special Tax(2)(3)
6 Land Use
Category
Residential Property
1 2
3 Resolution No. 2024-92
Exhibit “A”

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33 Item7.

Description $ %
Beginning Balance (07/01) $570,513.33 $412,299.47 $397,201.74 Revenue
Special Taxes 749,428.22 629,201.67
Interest 4,190.89 3,568.10
$753,619.11 $632,769.77 $0.00
Expenditures
Cost of Bonded Indebtedness:

Interest Due 09/01 Reported Fiscal Year 9/1/2022 66,361.10 9/1/2023 298,625.00 9/1/2024 298,125.00 Principal Due 09/01 Reported Fiscal Year 9/1/2022 0.00 9/1/2023 20,000.00 9/1/2024 35,000.00 Interest Due 03/01 Reported Fiscal Year 3/1/2023 298,625.00 3/1/2024 298,125.00 3/1/2025 297,250.00 Interest Due 09/01 Pending Year Obligation 9/1/2025 297,250.00 Principal Due 09/01 Pending year Obligation 9/1/2025 45,000.00 Total Principal and Interest Due from Annual Levy 298,625.00 616,750.00 $972,625.00 Cost of Collection (Proposed Fiscal Year Shown at Maximum) 44,218.75 51,117.50 58,366.44 Cash drawn from Deposit in Fiscal Agent Admin Account (20,000.00) Transfer to Cash with Fiscal Agent Reserve Account 568,989.22 Available Cash Account Balances to Reduce Levy 9,300.00 Contingency for Delinquency (Proposed Current Year Only) 9,131.87 $613,207.97 $31,117.50 $76,798.31
Total Annual Expenditures 911,832.97 647,867.50 1,049,423.31 Ending Balance (6/30) 412,299.47 397,201.74 (652,221.57) Reserve Fund Requirement 1,041,636.30 1,041,636.30 1,041,636.30 Calculated Annual Special Tax Requirement $223,342.01 $611,312.77 $652,221.57 Approved / Proposed Levy as Allocated among 380 Parcels $691,665.12 $611,312.24 $652,221.56 $40,909.32 6.69% Average Levy per Dwelling Unit $1,820.17 $1,608.72 $1,716.37 $107.66 6.69% Change from Prior Year
Actuals
FY 2022-23
Estimated
Actuals
FY 2023-24
Proposed /
Budget
FY 2024-25
City of Escondido CFD 2020-01 (The Villages)
Special Tax Levy Comparative Analysis (Fund 730)
Tax Year 2024-25
Attachment "1"
34 Item7.

STAFF REPORT

July 17, 2024
File Number 0685-10

SUBJECT
SETTING SPECIAL TAX LEVY FOR COMMUNITY FACILITIES DISTRICT NO. 2022 -1 (ECLIPSE/MOUNTAIN HOUSE)

DEPARTMENT
Finance

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-93, setting the Special Tax Levy for Community Facilities District No. 2022-1 (Eclipse/Mountain House) (“District”) for Fiscal Year 2024/25.

FISCAL ANALYSIS
A Special Tax will be levied annually on land within Community Facilities District No. 202 2-1 (Eclipse/Mountain House) and collected through the County of San Diego Treasurer-Tax Collector’s Office.

The funds from the Special Tax will be used to meet the requirements established at the time of formation of the District.

PREVIOUS ACTION
On May 13, 2021, the City Council authorized a Deposit Account and Reimbursement Agreement between the City of Escondido and CWC Escondido 113, LLC which established the Eclipse (formerly known as Del Prado) zone of the project.

On August 31, 2021 , the City Council authorized the First Amendment to Deposit Account and Reimbursement Agreement between the City of Escondido and CWC Escondido 113, LLC to include the additional project Mountain House in the CFD No 2022-1. 35 Item8.

The City Council approved the establishment of Community Facilities District No. 2022 -01 (the Eclipse/Mountain House project) on March 2, 2022, and has annually thereafter adopted a resolution setting the annual Special Tax Levy. Prior year’s Resolution No. 2023-84 was adopted on July 19, 2023.

BACKGROUND
A Community Facilities District (“CFD”) is a special taxing district that is formed at the request of a project proponent with the approval of the local jurisdiction. CFD's were established in State Government Code in 1982 (also referred to as the Mello -Roos Act) to provide an alternate method for private property owners to finance the acquisition, construction and maintenance of certain public capital facilities, and/or to cover the related cost of ongoing services.

CFD 2022 -1 was formed on March 2, 2022, to fund the public facilities fees associated with the Eclipse/Mountain House Project. The CFD was formed with two distinct zones. Zone A origina lly contained 81 of the total 113 townhomes in the Eclipse project. The remaining 32 townhomes were annexed into Zone A of this CFD in December of 2022. Zone B contains the Mountain House project which includes 36 residential lots. In December of 2023, the developer of Zone B, the Mountain House project, prepaid the Special Tax obligations with respect to the property in Zone B and, therefore, is no longer subject to the Special Tax.

On April 16, 2024, Special Tax Bonds of $3,350,000 were issued. Total outstanding principal on the bonds as of July 1, 2024, is not changed and the bonds mature on September 1, 2054.

RESOLUTIONS
a. Resolution No. 2024-93
b. Resolution No. 2024 -93- Exhibit “A” CFD 2022 -1 (Eclipse/Mountain House) Special Tax Rates

ATTACHMENTS

a. Attachment “1” - CFD 2022-1 (Eclipse/Mountain House) Special Tax Levy Comparative Analysis
36 Item8.

RESOLUTION NO. 2024-93

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, ACTING AS LEGISLATIVE
BODY OF COMMUNITY FACILITIES DISTRICT NO. 2022-1
(ECLIPSE/MOUNTAIN HOUSE ), PROVIDING FOR THE

LEVY OF AN ANNUAL SPECIAL TAX FOR SUCH

COMMUNITY FACILITIES DISTRICT FOR FISCAL YEAR
2024/25

2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (“Act”). This Community Facilities District is designated as Community Facilities District No . 2022-1 (Eclipse/Mountain House ) (“District”); and
WHEREAS, this Legislative Body, by the ad option of the Ordinance No. 2022-10 (“Ordinance”) pursuant to Section 53340 of the Government Code of the State of California, has authorized the levy of Special Taxes (as such term is defined in the Ordinance) within the District to finance authorized facilities; and
WHEREAS, Government Code Section 53340 provides that this legislative body may provide, by resolution, for the levy of the Special Taxes in the current tax year at the same rates or at a lower rate than provided for in the Ordinance, if such resolution is adopted and a certified list of all parcels subject to the Special Tax levy including the amount of the Special Tax to be levied on each parcel for the current tax year (“Certified Parcel List”) is timely filed by the clerk or other official designated by this legislative 37 Item8.
body with the Auditor of the County of San Diego (“County Au ditor”) on or before August 10 of the applicable tax year.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Escondido, California, acting as the legislative body of Community Facilities District No. 2022-1 (Eclipse/Mountain House), as follows:

1. That the above recitations are true.

4. That th e Special Tax shall be collected in the same manner as ordinary ad valorem property taxes are collected, and shall be subject to the same penalties and same procedure and sale in cases of any delinquency for ad valorem taxes, and the Treasurer-Tax Collector of the County of San Diego 38 Item8.
is hereby authorized to deduct reasonable administrative costs incurred in collecting any said Special Tax.

Any Special Taxes that may not be collected on the County of San Diego (“County”) tax roll shall be collected through a direct billing procedure by the Treasurer of the City of Escondido, or his/her designee acting for and on behalf of the District.

5. That the County Auditor is hereby directed to enter in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “public improvements, special tax” or by any other suitable designation, the installment of the Special Tax.

6. That the County Auditor shall then, at the close of the tax collect ion period, promptly render to the District a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection.

39 Item8.

Resolution No. 2024-93
Exhibit “A”

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City of Escondido Community Facilities District No. 2022-1(1) (Eclipse)
Special Tax Rates for Fiscal Year 2024/25

Land Use
Category Developed Floor Area Unit(2)
Assigned
Special Tax
Proposed Actual
Special Tax (3)
Zone A (Eclipse)
Developed Property
1 Less than 1,200 square feet DU $2,249.20 $2,090.38
2 1,200 to 1,400 square feet DU $2,371.25 $2,203.80
3 Greater than 1,400 square feet DU $2,615.42 $2,430.74 4 Non-Residential PDU $2,558.01 $2,558.01
Backup Special Tax
NA NA DU $2,589.52 $0.00
Undeveloped Property
NA NA PDU $2,589.52 $0.00
1) In December of 2023 the developer of CFD No. 2022-1 Zone B prepaid the Special Tax obligations with respect to the property in Zone B and, therefore, is no longer subject to the Special Tax.
2) Types of units are as defined in the formation documents; Dwelling Unit or “DU”, Projected Dwelling Unit or “PDU” and Lot.
3) The Proposed Actual Special Tax shown above is the authorized levy for the c urrent fiscal year. The submitted actual levy may be reduced as directed by the Finance Director.
40 Item8.

Description $ %
Beginning Balance (07/01) $0.00 $99,937.26 $92,844.37
Revenue
Special Taxes 128,052.20 184,944.55
Interest 192.56 1,786.19
$128,244.76 $186,730.74 $0.00
Expenditures
Cost of Bonded Indebtedness:

Interest Due 09/01 Reported Fiscal Year 9/1/2023 9/1/2024 52,111.11 Principal Due 09/01 Reported Fiscal Year 9/1/2023 9/1/2024 30,000.00 Interest Due 03/01 Reported Fiscal Year 3/1/2024 3/1/2025 83,000.00 Interest Due 09/01 Pending Year Obligation 9/1/2025 83,000.00 Principal Due 09/01 Pending year Obligation 9/1/2025 60,000.00 Total Principal and Interest Due from Annual Levy $0.00 $0.00 $308,111.11 Cost of Collection (Proposed Fiscal Year Shown at Maximum) 28,307.50 32,177.50 32,472.96 Transfer to Cash with Fiscal Agent Reserve Account 161,646.13 Available Cash Account Balances to Reduce Levy 9,300.00 Contingency for Delinquency (Proposed Current Year Only) 4,472.49 $28,307.50 $193,823.63 $46,245.45
Total Annual Expenditures 28,307.50 193,823.63 354,356.56 Ending Balance (6/30) 99,937.26 92,844.37 (261,512.19)
Reserve Fund Requirement 226,000.00 226,000.00
Calculated Annual Special Tax Requirement $129,165.30 $201,105.90 $261,512.19 Approved / Proposed Levy as Allocated among 113 Parcels $129,165.30 $201,105.90 $261,512.19 $60,406.29 30.04% Number of Dwelling Units 52 81 113
Average Levy per Dwelling Unit $2,483.95 $2,482.79 $2,314.27 ($168.52) -6.79% Change from Prior Year
Actuals
FY 2022-23
Estimated
Actuals
FY 2023-24
Proposed /
Budget
FY 2024-25
City of Escondido CFD 2022-01 (Eclipse MTN House)
Special Tax Levy Comparative Analysis (Fund 731)
Tax Year 2024-25
Attachment "1"
41 Item8.

STAFF REPORT

July 17, 2024
File Number 0600-10

SUBJECT
AWARD PURCHASE OF FUELS FOR FISCAL YEAR 2025

DEPARTMENT
Public Works Department, Fleet Services Division

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-88, authorizing the Mayor to execute a contract to purchase unleaded gasoline and renewable diesel fuel from Mansfield Oil in the amount of $1,550,000 utilizing a Cooperative Purchase Agreement between Sourcewell and Mansfield Oil Company of Gainesville Inc. (“Mansfield Oil”) , Contract No. 121522-MNF, pursuant to Escondido Municipal Code Chapter 10, Article 5, Section 10-91.

Staff Recommendation: Approval (Public Works, Fleet Services: Joseph Goulart, Director of Public Works)
Presenter: Jeramiah Jennings, Fleet Maintenance Manager

ESSENTIAL SERVICE – Yes, Police Services; Fire/EMS Services; Keep City Clean for Public Health and Safety; Clean Water; Sewer; Public Works/Infrastructure; Maintenance of Parks facilities/Open Spaces COUNCIL PRIORITY – Improve Public Safety

FISCAL ANALYSIS
Sufficient funds are availab le in the Fiscal Year (“FY”) 202 5 Operating Budget for Public Works, Fleet Services. The funding for annual fuel purchases is in Account No. 5111 -653-715 for unleaded gasoline in the amount of $1,050,000, and in Account No. 5113 -653-715 for renewable diesel fuel in the amount of $500,000.

BACKGROUND
The City was previously a participating agency in a City of San Diego sponsored fuel purchasing consortium which consisted of almost every government agency in San Diego County. However, the City of San Diego has discontinued solicitation for this fuel purchasing contract. The City of San Diego, along with most other local agencies, have shifted to utilizing the Sourcewell contract with Mansfield Oil. 42 Item9.

Sourcewell pricing is based on a similar concept as the previous consortium, but prices will f luctuate slightly due to the regional average sale quantities. The Sourcewell contract is expected to help increase the purchasing power for participating agencies , reducing the per gallon cost as more local agencies contract through Sourcewell.

The Sourcewell contract with Mansfield Oil is an efficient and economical procurement for bulk gasoline and renewable diesel fuels. The total savings to the City is unknown, however, the average savings is projected at $0.80 per gallon. With previous fuel contracts, the City has saved between $0.60 and $0.80 per gallon from regular pump prices, as well as the reduction in staff time to annually procure this commodity. Local supplier prices are regularly checked to ensure the City is purchasing bulk fuels at competitive prices.

In order to assist in achieving Climate Action Plan goals, and to abide by State guidelines, Fleet Services has implemented priority delivery requests for Renewable Diesel Fuel (R99), which is a drop -in replacement for clear petroleum diesel fue l (dependent on local availability). Renewable diesel fuel is similar to biodiesel where it is derived from nonpetroleum renewable resources such as natural fats, vegetable oils, and greases but due to hydrogenation, there are no cold temperature gelling o r storage issues as found with biodiesel. Renewable diesel is a cleaner burning renewable fuel that substantially reduces carbon emissions and improve s air quality without sacrificing power, performance, or driving range.

Fleet Services is requesting appro val to purchase unleaded gasoline, renewable diesel, and clear diesel fuel from Mansfield Oil through a Cooperative Purchase Agreement with Sourcewell. Fleet Services has budgeted funds totaling $1,550,000 for this purchase in Account No. 5111-653-715 for unleaded gasoline, and Account No. 5113-653-715 for diesel fuel, previously approved in the FY 2025 budget.

RESOLUTIONS
a. Resolution No. 2024-88
b. Resolution No. 2024-88 Exhibit “A” – Sourcewell Contract

ATTACHMENTS
a. Attachment “1” – Agreement and Pricing Sheet
b. Attachment “2” – Evaluation Sheet
43 Item9.

RESOLUTION NO. 2024-88

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, AUTHORIZIN G THE

PURCHASE OF UNLEADED AND DIESEL FUELS FROM
MANSFIELD OIL COMPANY OF GAINESVILLE INC.

WHEREAS, the City of Escondido (“City”) desires to purchase automotive fuels for its vehicles; and WHEREAS, the City wishes to purchase automotive fuels from Mansfield Oil Company of Gainesville Inc. (“Mansfield Oil”) utilizing the cooperative purchase contract No. 121522-MNF with Sourcewell; and
WHEREAS, in accordance with Escondido Municipal Code Chapter 10, Article 5, Section 10-91, the City may utilize a cooperative purchase contract, which has been conducted in a competitive manner by the state, county or any public or municipal agency; and WHEREAS, the Sourcewell Contract with Mansfield Oil contains renewable extensions; and WHEREAS, Sourcewell facilitates the request for proposal for this contract; and WHEREAS, the Public Works Director recommends the approval of the purchase of fuels from Mansfield Oil, in the amount of $ 1,050,000 for unleaded gasoline, and $ 500,000 for renewable diesel (R99) and/or clear diesel fuel; and
WHEREAS, sufficient funds for said purchase have been approved in the Fleet Services Fiscal Year 2025 operating budget; and
WHEREAS, this City Council desires at this time and deems it to be in the best public interest to award the purchase of automotive fuels from Mansfield Oil. 44 Item9.

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

1. That the above recitations are true.

2. That the City Council accepts the recommendation of the Director of Public Works to purchase automotive fuels from Mansfield Oil.

3. That the City Council authorizes the Mayor to execute a contract for the purchase of unleaded gasoline and diesel fuel from Mansfield Oil, utilizing the Sourcewell contract, as detailed in Exhibit “A”, which is attached to this Resolution and incorporated by this reference. 45 Item9.
121522-MNF
Re
v. 3/2022 1
Solicitation Number: RFP #121522

CONTRACT
This C
ontract is between Sourcewell, 202 12th Street Northeast, P.O. Box 219, Staples, MN 56479 (Sourcewell) and Mansfield Oil Company of Gainesville, Inc., 1025 Airport Parkway SW, Gainesville, GA 30501-6813 (Supplier).

Sourcewell is a State of Minnesota local government unit and service cooperative created under the laws of the State of Minnesota (Minnesota Statutes Section 123A.21) that offers cooperative procurement solutions to government entities. Participation is open to eligible federal, state/province, and municipal governmental entities, higher education, K-12 education, nonprofit, tribal government, and other public entities located in the United States and Canada.

Sourcewell issued a public solicitation for Fuel Delivery with Related Services from which Supplier was awarded a contract.

Supplier desires to contract with Sourcewell to provide equipment, products, or services to Sourcewell and the entities that access Sourcewell’s cooperative purchasing contracts (Participating Entities).

1. TERM OF CONTRACT
A. EFFECTIVE DATE. This Contract is effective upon the date of the final signature below.

B. EXPIRATION DATE AND EXTENSION. This Contract expires February 10, 2027, unless it is cancelled sooner pursuant to Article 22. This Contract may be extended one additional year upon the request of Sourcewell and written agreement by Supplier.

C. SURVIVAL OF TERMS. Notwithstanding any expiration or termination of this Contract, all payment obligations incurred prior to expiration or termination will survive, as will the following: Articles 11 through 14 survive the expiration or cancellation of this Contract. All other rights will cease upon expiration or termination of this Contract.

2. EQUIPMENT, PRODUCTS, OR SERVICES
A. EQUIPMENT, PRODUCTS, OR SERVICES. Supplier will provide the Equipment, Products, or Services as stated in its Proposal submitted under the Solicitation Number listed above.

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Supplier’s Equipment, Products, or Services Proposal (Proposal) is attached and incorporated into this Contract.

Unless agreed to by the Participating Entities in advance, Products must be delivered to the Participating Entity’s site.

This Contract offers an indefinite quantity of sales, and while substantial volume is anticipated, sales and sales volume are not guaranteed.

B. WARRANTY. Supplier warrants that all Equipment, Products, and Services furnished are free from liens and encumbrances, and are free from defects. In addition, Supplier warrants the Equipment, Products, and Services are suitable for and will perform in accordance with the ordinary use for which they are intended. Supplier’s dealers and distributors must agree to assist the Participating Entity in reaching a resolution in any dispute over warranty terms with the Supplier. Any warranty that extends beyond the expiration of the Supplier’s warranty will be passed on to the Participating Entity.

C. DEALERS, DISTRIBUTORS, AND/OR RESELLERS. Upon Contract execution and throughout the Contract term, Supplier must provide to Sourcewell a current means to validate or authenticate Supplier’s authorized dealers, distributors, or resellers relative to the Equipment, Products, and Services offered under this Contract, which will be incorporated into this Contract by reference. It is the Supplier’s responsibility to ensure Sourcewell receives the most current information.

3. PRICING

All Equipment, Products, or Services under this Contract will be priced at or below the price stated in Supplier’s Proposal.

When providing pricing quotes to Participating Entities, all pricing quoted must reflect a Participating Entity’s total cost of acquisition. This means that the quoted cost is for delivered Equipment, Products, and Services, and includes all costs to the Participating Entity’s requested delivery location.

Regardless of the payment method chosen by the Participating Entity, the total cost associated with any purchase option of the Equipment, Products, or Services must always be disclosed in the pricing quote to the applicable Participating Entity at the time of purchase.

A. SHIPPING AND SHIPPING COSTS. In the event of the delivery of nonconforming Equipment and Products, the Participating Entity will notify the Supplier as soon as possible and the Supplier will replace nonconforming Equipment and Products with conforming Equipment and Products.

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Supplier must arrange for and pay for the removal of Equipment and Products that arrive in a non-conforming or defective condition.

Sourcewell may declare the Supplier in breach of this Contract if the Supplier intentionally delivers non-conforming, substandard, defective, or inferior Equipment or Products.

B. SALES TAX. Each Participating Entity is responsible for supplying the Supplier with valid tax- exemption certification(s). When ordering, a Participating Entity must indicate if it is a tax- exempt entity.

4. PRODUCT AND PRICING CHANGE REQUESTS

Supplier may request Equipment, Product, or Service changes, additions, or deletions at any time. All requests must be made in writing by submitting a signed Sourcewell Price and Product Change Request Form to the assigned Sourcewell Supplier Development Administrator. This approved form is available from the assigned Sourcewell Supplier Development Administrator.

At a minimum, the request must:

x Identify the applicable Sourcewell contract number;
x Clearly specify the requested change;
x Provide sufficient detail to justify the requested change; x Individually list all Equipment, Products, or Services affected by the requested change, along with the requested change (e.g., addition, deletion, price change); and x Include a complete restatement of pricing documentation in Microsoft Excel with the effective date of the modified pricing, or product addition or deletion. The new pricing restatement must include all Equipment, Products, and Services offered, even for those items where pricing remains unchanged.

A fully executed Sourcewell Price and Product Request Form will become an amendment to this Contract and will be incorporated by reference.

5. PARTICIPATION, CONTRACT ACCESS, AND PARTICIPATING ENTITY REQUIREMENTS

A. PARTICIPATION. Sourcewell’s cooperative contracts are available and open to public and nonprofit entities across the United States and Canada; such as federal, state/province, municipal, K-12 and higher education, tribal government, and other public entities.

The benefits of this Contract should be available to all Participating Entities that can legally access the Equipment, Products, or Services under this Contract. A Participating Entity’s authority to access this Contract is determined through its cooperative purchasing, interlocal, or joint powers laws. Any entity accessing benefits of this Contract will be considered a Service Member of Sourcewell during such time of access. Supplier understands that a Participating

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Entity’s use of this Contract is at the Participating Entity’s sole convenience and Participating Entities reserve the right to obtain like Equipment, Products, or Services from any other source.

Supplier is responsible for familiarizing its sales and service forces with Sourcewell contract use eligibility requirements and documentation and will encourage potential participating entities to join Sourcewell. Sourcewell reserves the right to add and remove Participating Entities to its roster during the term of this Contract.

B. PUBLIC FACILITIES. Supplier’s employees may be required to perform work at government- owned facilities, including schools. Supplier’s employees and agents must conduct themselves in a professional manner while on the premises, and in accordance with Participating Entity policies and procedures, and all applicable laws.

6. PARTICIPATING ENTITY USE AND PURCHASING

A. ORDERS AND PAYMENT. To access the contracted Equipment, Products, or Services under this Contract, a Participating Entity must clearly indicate to Supplier that it intends to access this Contract; however, order flow and procedure will be developed jointly between Sourcewell and Supplier. Typically, a Participating Entity will issue an order directly to Supplier or its authorized subsidiary, distributor, dealer, or reseller. If a Participating Entity issues a purchase order, it may use its own forms, but the purchase order should clearly note the applicable Sourcewell contract number. All Participating Entity orders under this Contract must be issued prior to expiration or cancellation of this Contract; however, Supplier performance, Participating Entity payment obligations, and any applicable warranty periods or other Supplier or Participating Entity obligations may extend beyond the term of this Contract.

Supplier’s acceptable forms of payment are included in its attached Proposal. Participating Entities will be solely responsible for payment and Sourcewell will have no liability for any unpaid invoice of any Participating Entity.

B. ADDITIONAL TERMS AND CONDITIONS/PARTICIPATING ADDENDUM. Additional terms and conditions to a purchase order, or other required transaction documentation, may be negotiated between a Participating Entity and Supplier, such as job or industry-specific requirements, legal requirements (e.g., affirmative action or immigration status requirements), or specific local policy requirements. Some Participating Entities may require the use of a Participating Addendum, the terms of which will be negotiated directly between the Participating Entity and the Supplier or its authorized dealers, distributors, or resellers, as applicable. Any negotiated additional terms and conditions must never be less favorable to the Participating Entity than what is contained in this Contract.

C. SPECIALIZED SERVICE REQUIREMENTS. In the event that the Participating Entity requires service or specialized performance requirements not addressed in this Contract (such as e- commerce specifications, specialized delivery requirements, or other specifications and

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requirements), the Participating Entity and the Supplier may enter into a separate, standalone agreement, apart from this Contract. Sourcewell, including its agents and employees, will not be made a party to a claim for breach of such agreement.

D. TERMINATION OF ORDERS. Participating Entities may terminate an order, in whole or in part, immediately upon notice to Supplier in the event of any of the following events:

1. The Participating Entity fails to receive funding or appropriation from its governing body at levels sufficient to pay for the equipment, products, or services to be purchased; or

2. Federal, state, or provincial laws or regulations prohibit the purchase or change the Participating Entity’s requirements.

E. GOVERNING LAW AND VENUE. The governing law and venue for any action related to a Participating Entity’s order will be determined by the Participating Entity making the purchase.

7. CUSTOMER SERVICE

A. PRIMARY ACCOUNT REPRESENTATIVE. Supplier will assign an Account Representative to Sourcewell for this Contract and must provide prompt notice to Sourcewell if that person is changed. The Account Representative will be responsible for:

x Maintenance and management of this Contract;
x Timely response to all Sourcewell and Participating Entity inquiries; and x Business reviews to Sourcewell and Participating Entities, if applicable.

B. BUSINESS REVIEWS. Supplier must perform a minimum of one business review with Sourcewell per contract year. The business review will cover sales to Participating Entities, pricing and contract terms, administrative fees, sales data reports, performance issues, supply issues, customer issues, and any other necessary information.

8. REPORT ON CONTRACT SALES ACTIVITY AND ADMINISTRATIVE FEE PAYMENT

A. CONTRACT SALES ACTIVITY REPORT. Each calendar quarter, Supplier must provide a contract sales activity report (Report) to the Sourcewell Supplier Development Administrator assigned to this Contract. Reports are due no later than 45 days after the end of each calendar quarter. A Report must be provided regardless of the number or amount of sales during that quarter (i.e., if there are no sales, Supplier must submit a report indicating no sales were made).

The Report must contain the following fields:

x Participating Entity Name (e.g., City of Staples Highway Department);

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x Participating Entity Physical Street Address;
x Participating Entity City;
x Participating Entity State/Province;
x Participating Entity Zip/Postal Code;
x Participating Entity Contact Name;
x Participating Entity Contact Email Address;
x Participating Entity Contact Telephone Number;
x Sourcewell Assigned Entity/Participating Entity Number; x Item Purchased Description;
x Item Purchased Price;
x Sourcewell Administrative Fee Applied; and
x Date Purchase was invoiced/sale was recognized as revenue by Supplier.

B. ADMINISTRATIVE FEE. In consideration for the support and services provided by Sourcewell, the Supplier will pay an administrative fee to Sourcewell on all Equipment, Products, and Services provided to Participating Entities. The Administrative Fee must be included in, and not added to, the pricing. Supplier may not charge Participating Entities more than the contracted price to offset the Administrative Fee.

The Supplier will submit payment to Sourcewell for the administrative fee calculated as stated in the Proposal on the total sales of all Equipment, Products, and Services purchased by Participating Entities under this Contract during each calendar quarter. Payments should note the Supplier’s name and Sourcewell-assigned contract number in the memo; and must be mailed to the address above “Attn: Accounts Receivable” or remitted electronically to Sourcewell’s banking institution per Sourcewell’s Finance department instructions. Payments must be received no later than 45 calendar days after the end of each calendar quarter.

Supplier agrees to cooperate with Sourcewell in auditing transactions under this Contract to ensure that the administrative fee is paid on all items purchased under this Contract.

In the event the Supplier is delinquent in any undisputed administrative fees, Sourcewell reserves the right to cancel this Contract and reject any proposal submitted by the Supplier in any subsequent solicitation. In the event this Contract is cancelled by either party prior to the Contract’s expiration date, the administrative fee payment will be due no more than 30 days from the cancellation date.

9. AUTHORIZED REPRESENTATIVE

Sourcewell's Authorized Representative is its Chief Procurement Officer.

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Supplier’s Authorized Representative is the person named in the Supplier’s Proposal. If Supplier’s Authorized Representative changes at any time during this Contract, Supplier must promptly notify Sourcewell in writing.

10. AUDIT, ASSIGNMENT, AMENDMENTS, WAIVER, AND CONTRACT COMPLETE

A. AUDIT. Pursuant to Minnesota Statutes Section 16C.05, subdivision 5, the books, records, documents, and accounting procedures and practices relevant to this Contract are subject to examination by Sourcewell or the Minnesota State Auditor for a minimum of six years from the end of this Contract. This clause extends to Participating Entities as it relates to business conducted by that Participating Entity under this Contract.

B. ASSIGNMENT. Neither party may assign or otherwise transfer its rights or obligations under this Contract without the prior written consent of the other party and a fully executed assignment agreement. Such consent will not be unreasonably withheld. Any prohibited assignment will be invalid.

C. AMENDMENTS. Any amendment to this Contract must be in writing and will not be effective until it has been duly executed by the parties.

D. WAIVER. Failure by either party to take action or assert any right under this Contract will not be deemed a waiver of such right in the event of the continuation or repetition of the circumstances giving rise to such right. Any such waiver must be in writing and signed by the parties.

E. CONTRACT COMPLETE. This Contract represents the complete agreement between the parties. No other understanding regarding this Contract, whether written or oral, may be used to bind either party. For any conflict between the attached Proposal and the terms set out in Articles 1-22 of this Contract, the terms of Articles 1-22 will govern.

F. RELATIONSHIP OF THE PARTIES. The relationship of the parties is one of independent contractors, each free to exercise judgment and discretion with regard to the conduct of their respective businesses. This Contract does not create a partnership, joint venture, or any other relationship such as master-servant, or principal-agent.

11. INDEMNITY AND HOLD HARMLESS

Supplier must indemnify, defend, save, and hold Sourcewell and its Participating Entities, including their agents and employees, harmless from any claims or causes of action, including attorneys’ fees incurred by Sourcewell or its Participating Entities, arising out of any act or omission in the performance of this Contract by the Supplier or its agents or employees; this indemnification includes injury or death to person(s) or property alleged to have been caused by some defect in the Equipment, Products, or Services under this Contract to the extent the

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Equipment, Product, or Service has been used according to its specifications. Sourcewell’s responsibility will be governed by the State of Minnesota’s Tort Liability Act (Minnesota Statutes Chapter 466) and other applicable law.

12. GOVERNMENT DATA PRACTICES

Supplier and Sourcewell must comply with the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13, as it applies to all data provided by or provided to Sourcewell under this Contract and as it applies to all data created, collected, received, maintained, or disseminated by the Supplier under this Contract.

13. INTELLECTUAL PROPERTY, PUBLICITY, MARKETING, AND ENDORSEMENT

A. INTELLECTUAL PROPERTY

1. Grant of License. During the term of this Contract:
a. Sourcewell grants to Supplier a royalty-free, worldwide, non-exclusive right and license to use the trademark(s) provided to Supplier by Sourcewell in advertising and promotional materials for the purpose of marketing Sourcewell’s relationship with Supplier.
b. Supplier grants to Sourcewell a royalty-free, worldwide, non-exclusive right and license to use Supplier’s trademarks in advertising and promotional materials for the purpose of marketing Supplier’s relationship with Sourcewell.

2. Limited Right of Sublicense. The right and license granted herein includes a limited right of each party to grant sublicenses to their respective subsidiaries, distributors, dealers, resellers, marketing representatives, and agents (collectively “Permitted Sublicensees”) in advertising and promotional materials for the purpose of marketing the Parties’ relationship to Participating Entities. Any sublicense granted will be subject to the terms and conditions of this Article. Each party will be responsible for any breach of this Article by any of their respective sublicensees.

3. Use; Quality Control.
a. Neither party may alter the other party’s trademarks from the form provided and must comply with removal requests as to specific uses of its trademarks or logos.
b. Each party agrees to use, and to cause its Permitted Sublicensees to use, the other party’s trademarks only in good faith and in a dignified manner consistent with such party’s use of the trademarks. Upon written notice to the breaching party, the breaching party has 30 days of the date of the written notice to cure the breach or the license will be terminated.

4. Termination. Upon the termination of this Contract for any reason, each party, including Permitted Sublicensees, will have 30 days to remove all Trademarks from signage, websites, and the like bearing the other party’s name or logo (excepting Sourcewell’s pre-printed catalog of suppliers which may be used until the next printing). Supplier must return all

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marketing and promotional materials, including signage, provided by Sourcewell, or dispose of it according to Sourcewell’s written directions.

B. PUBLICITY. Any publicity regarding the subject matter of this Contract must not be released without prior written approval from the Authorized Representatives. Publicity includes notices, informational pamphlets, press releases, research, reports, signs, and similar public notices prepared by or for the Supplier individually or jointly with others, or any subcontractors, with respect to the program, publications, or services provided resulting from this Contract.

C. MARKETING. Any direct advertising, marketing, or offers with Participating Entities must be approved by Sourcewell. Send all approval requests to the Sourcewell Supplier Development Administrator assigned to this Contract.

D. ENDORSEMENT. The Supplier must not claim that Sourcewell endorses its Equipment, Products, or Services.

14. GOVERNING LAW, JURISDICTION, AND VENUE

The substantive and procedural laws of the State of Minnesota will govern this Contract. Venue for all legal proceedings arising out of this Contract, or its breach, must be in the appropriate state court in Todd County, Minnesota or federal court in Fergus Falls, Minnesota.

15. FORCE MAJEURE

Neither party to this Contract will be held responsible for delay or default caused by acts of God or other conditions that are beyond that party’s reasonable control. A party defaulting under this provision must provide the other party prompt written notice of the default.

16. SEVERABILITY

If any provision of this Contract is found by a court of competent jurisdiction to be illegal, unenforceable, or void then both parties will be relieved from all obligations arising from that provision. If the remainder of this Contract is capable of being performed, it will not be affected by such determination or finding and must be fully performed.

17. PERFORMANCE, DEFAULT, AND REMEDIES

A. PERFORMANCE. During the term of this Contract, the parties will monitor performance and address unresolved contract issues as follows:

1. Notification. The parties must promptly notify each other of any known dispute and work in good faith to resolve such dispute within a reasonable period of time. If necessary,

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Sourcewell and the Supplier will jointly develop a short briefing document that describes the issue(s), relevant impact, and positions of both parties.

2. Escalation. If parties are unable to resolve the issue in a timely manner, as specified above, either Sourcewell or Supplier may escalate the resolution of the issue to a higher level of management. The Supplier will have 30 calendar days to cure an outstanding issue.

3. Performance while Dispute is Pending. Notwithstanding the existence of a dispute, the Supplier must continue without delay to carry out all of its responsibilities under the Contract that are not affected by the dispute. If the Supplier fails to continue without delay to perform its responsibilities under the Contract, in the accomplishment of all undisputed work, the Supplier will bear any additional costs incurred by Sourcewell and/or its Participating Entities as a result of such failure to proceed.

B. DEFAULT AND REMEDIES. Either of the following constitutes cause to declare this Contract, or any Participating Entity order under this Contract, in default:

1. Nonperformance of contractual requirements, or

2. A material breach of any term or condition of this Contract.

The party claiming default must provide written notice of the default, with 30 calendar days to cure the default. Time allowed for cure will not diminish or eliminate any liability for liquidated or other damages. If the default remains after the opportunity for cure, the non-defaulting party may:

x Exercise any remedy provided by law or equity, or
x Terminate the Contract or any portion thereof, including any orders issued against the Contract.

18. INSURANCE

A. REQUIREMENTS. At its own expense, Supplier must maintain insurance policy(ies) in effect at all times during the performance of this Contract with insurance company(ies) licensed or authorized to do business in the State of Minnesota having an “AM BEST” rating of A- or better, with coverage and limits of insurance not less than the following:

1. Workers’ Compensation and Employer’s Liability.

Workers’ Compensation: As required by any applicable law or regulation.

Employer's Liability Insurance: must be provided in amounts not less than listed below:

Minimum limits:
$500,000 each accident for bodily injury by accident
$500,000 policy limit for bodily injury by disease
$500,000 each employee for bodily injury by disease

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2. Commercial General Liability Insurance. Supplier will maintain insurance covering its operations, with coverage on an occurrence basis, and must be subject to terms no less broad than the Insurance Services Office (“ISO”) Commercial General Liability Form CG0001 (2001 or newer edition), or equivalent. At a minimum, coverage must include liability arising from premises, operations, bodily injury and property damage, independent contractors, products-completed operations including construction defect, contractual liability, blanket contractual liability, and personal injury and advertising injury. All required limits, terms and conditions of coverage must be maintained during the term of this Contract.

Minimum Limits:
$1,000,000 each occurrence Bodily Injury and Property Damage $1,000,000 Personal and Advertising Injury
$2,000,000 aggregate for products liability-completed operations $2,000,000 general aggregate

3. Commercial Automobile Liability Insurance. During the term of this Contract, Supplier will maintain insurance covering all owned, hired, and non-owned automobiles in limits of liability not less than indicated below. The coverage must be subject to terms no less broad than ISO Business Auto Coverage Form CA 0001 (2010 edition or newer), or equivalent.

Minimum Limits:
$1,000,000 each accident, combined single limit

4. Transportation Pollution Liability Insurance. During the term of this Contract, Supplier will maintain transportation pollution liability insurance, with coverage for loading and unloading, and endorsement of form MCS-90.

Minimum Limits:
$1,000,000

5. Umbrella Insurance. During the term of this Contract, Supplier will maintain umbrella coverage over Employer’s Liability, Commercial General Liability, and Commercial Automobile.

Minimum Limits:
$2,000,000

6. Network Security and Privacy Liability Insurance. During the term of this Contract, Supplier will maintain coverage for network security and privacy liability. The coverage may be endorsed on another form of liability coverage or written on a standalone policy. The insurance must cover claims which may arise from failure of Supplier’s security resulting in, but not limited to, computer attacks, unauthorized access, disclosure of not public data – including but not limited to, confidential or private information, transmission of a computer virus, or denial of service.

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Minimum limits:
$2,000,000 per occurrence
$2,000,000 annual aggregate

Failure of Supplier to maintain the required insurance will constitute a material breach entitling Sourcewell to immediately terminate this Contract for default.

B. CERTIFICATES OF INSURANCE. Prior to commencing under this Contract, Supplier must furnish to Sourcewell a certificate of insurance, as evidence of the insurance required under this Contract. Prior to expiration of the policy(ies), renewal certificates must be mailed to Sourcewell, 202 12th Street Northeast, P.O. Box 219, Staples, MN 56479 or sent to the Sourcewell Supplier Development Administrator assigned to this Contract. The certificates must be signed by a person authorized by the insurer(s) to bind coverage on their behalf.

Failure to request certificates of insurance by Sourcewell, or failure of Supplier to provide certificates of insurance, in no way limits or relieves Supplier of its duties and responsibilities in this Contract.

C. ADDITIONAL INSURED ENDORSEMENT AND PRIMARY AND NON-CONTRIBUTORY INSURANCE CLAUSE. Supplier agrees to list Sourcewell and its Participating Entities, including their officers, agents, and employees, as an additional insured under the Supplier’s commercial general liability insurance policy with respect to liability arising out of activities, “operations,” or “work” performed by or on behalf of Supplier, and products and completed operations of Supplier. The policy provision(s) or endorsement(s) must further provide that coverage is primary and not excess over or contributory with any other valid, applicable, and collectible insurance or self-insurance in force for the additional insureds.

D. WAIVER OF SUBROGATION. Supplier waives and must require (by endorsement or otherwise) all its insurers to waive subrogation rights against Sourcewell and other additional insureds for losses paid under the insurance policies required by this Contract or other insurance applicable to the Supplier or its subcontractors. The waiver must apply to all deductibles and/or self-insured retentions applicable to the required or any other insurance maintained by the Supplier or its subcontractors. Where permitted by law, Supplier must require similar written express waivers of subrogation and insurance clauses from each of its subcontractors.

E. UMBRELLA/EXCESS LIABILITY/SELF-INSURED RETENTION. The limits required by this Contract can be met by either providing a primary policy or in combination with umbrella/excess liability policy(ies), or self-insured retention.

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19. COMPLIANCE

A. LAWS AND REGULATIONS. All Equipment, Products, or Services provided under this Contract must comply fully with applicable federal laws and regulations, and with the laws in the states and provinces in which the Equipment, Products, or Services are sold.

B. LICENSES. Supplier must maintain a valid and current status on all required federal, state/provincial, and local licenses, bonds, and permits required for the operation of the business that the Supplier conducts with Sourcewell and Participating Entities.

20. BANKRUPTCY, DEBARMENT, OR SUSPENSION CERTIFICATION

Supplier certifies and warrants that it is not in bankruptcy or that it has previously disclosed in writing certain information to Sourcewell related to bankruptcy actions. If at any time during this Contract Supplier declares bankruptcy, Supplier must immediately notify Sourcewell in writing.

Supplier certifies and warrants that neither it nor its principals are presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from programs operated by the State of Minnesota; the United States federal government or the Canadian government, as applicable; or any Participating Entity. Supplier certifies and warrants that neither it nor its principals have been convicted of a criminal offense related to the subject matter of this Contract. Supplier further warrants that it will provide immediate written notice to Sourcewell if this certification changes at any time.

21. PROVISIONS FOR NON-UNITED STATES FEDERAL ENTITY PROCUREMENTS UNDER

UNITED STATES FEDERAL AWARDS OR OTHER AWARDS

Participating Entities that use United States federal grant or FEMA funds to purchase goods or services from this Contract may be subject to additional requirements including the procurement standards of the Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards, 2 C.F.R. § 200. Participating Entities may have additional requirements based on specific funding source terms or conditions. Within this Article, all references to “federal” should be interpreted to mean the United States federal government.

The following list only applies when a Participating Entity accesses Supplier’s Equipment, Products, or Services with United States federal funds.

A. EQUAL EMPLOYMENT OPPORTUNITY. Except as otherwise provided under 41 C.F.R. § 60, all contracts that meet the definition of “federally assisted construction contract” in 41 C.F.R. § 60-

1.3 must include the equal opportunity clause provided under 41 C.F.R. §60-1.4(b), in accordance with Executive Order 11246, “Equal Employment Opportunity” (30 FR 12319, 12935, 3 C.F.R. §, 1964-1965 Comp., p. 339), as amended by Executive Order 11375, “Amending Executive Order 11246 Relating to Equal Employment Opportunity,” and implementing

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regulations at 41 C.F.R. § 60, “Office of Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor.” The equal opportunity clause is incorporated herein by reference.

B. DAVIS-BACON ACT, AS AMENDED (40 U.S.C. § 3141-3148). When required by federal program legislation, all prime construction contracts in excess of $2,000 awarded by non- federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. § 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 C.F.R. § 5, “Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction”). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. The non-federal entity must report all suspected or reported violations to the federal awarding agency. The contracts must also include a provision for compliance with the Copeland “Anti-Kickback” Act (40 U.S.C. § 3145), as supplemented by Department of Labor regulations (29 C.F.R. § 3, “Contractors and Subcontractors on Public Building or Public Work Financed in Whole or in Part by Loans or Grants from the United States”). The Act provides that each contractor or subrecipient must be prohibited from inducing, by any means, any person employed in the construction, completion, or repair of public work, to give up any part of the compensation to which he or she is otherwise entitled. The non-federal entity must report all suspected or reported violations to the federal awarding agency. Supplier must be in compliance with all applicable Davis-Bacon Act provisions.

C. CONTRACT WORK HOURS AND SAFETY STANDARDS ACT (40 U.S.C. § 3701-3708). Where applicable, all contracts awarded by the non-federal entity in excess of $100,000 that involve the employment of mechanics or laborers must include a provision for compliance with 40 U.S.C. §§ 3702 and 3704, as supplemented by Department of Labor regulations (29 C.F.R. § 5).

Under 40 U.S.C. § 3702 of the Act, each contractor must be required to compute the wages of every mechanic and laborer on the basis of a standard work week of 40 hours. Work in excess of the standard work week is permissible provided that the worker is compensated at a rate of not less than one and a half times the basic rate of pay for all hours worked in excess of 40 hours in the work week. The requirements of 40 U.S.C. § 3704 are applicable to construction work and provide that no laborer or mechanic must be required to work in surroundings or under working conditions which are unsanitary, hazardous or dangerous. These requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation or transmission of intelligence. This provision is hereby incorporated by reference into this Contract. Supplier certifies that during the term of an award for all contracts by Sourcewell resulting from this procurement process, Supplier must comply with applicable requirements as referenced above.

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D. RIGHTS TO INVENTIONS MADE UNDER A CONTRACT OR AGREEMENT. If the federal award meets the definition of “funding agreement” under 37 C.F.R. § 401.2(a) and the recipient or subrecipient wishes to enter into a contract with a small business firm or nonprofit organization regarding the substitution of parties, assignment or performance of experimental, developmental, or research work under that “funding agreement,” the recipient or subrecipient must comply with the requirements of 37 C.F.R. § 401, “Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements,” and any implementing regulations issued by the awarding agency. Supplier certifies that during the term of an award for all contracts by Sourcewell resulting from this procurement process, Supplier must comply with applicable requirements as referenced above.

E. CLEAN AIR ACT (42 U.S.C. § 7401-7671Q.) AND THE FEDERAL WATER POLLUTION CONTROL ACT (33 U.S.C. § 1251-1387). Contracts and subgrants of amounts in excess of $150,000 require the non-federal award to agree to comply with all applicable standards, orders or regulations issued pursuant to the Clean Air Act (42 U.S.C. § 7401- 7671q) and the Federal Water Pollution Control Act as amended (33 U.S.C. § 1251- 1387). Violations must be reported to the Federal awarding agency and the Regional Office of the Environmental Protection Agency (EPA).

Supplier certifies that during the term of this Contract will comply with applicable requirements as referenced above.

F. DEBARMENT AND SUSPENSION (EXECUTIVE ORDERS 12549 AND 12689). A contract award (see 2 C.F.R. § 180.220) must not be made to parties listed on the government wide exclusions in the System for Award Management (SAM), in accordance with the OMB guidelines at 2 C.F.R. §180 that implement Executive Orders 12549 (3 C.F.R. § 1986 Comp., p. 189) and 12689 (3 C.F.R. § 1989 Comp., p. 235), “Debarment and Suspension.” SAM Exclusions contains the names of parties debarred, suspended, or otherwise excluded by agencies, as well as parties declared ineligible under statutory or regulatory authority other than Executive Order 12549. Supplier certifies that neither it nor its principals are presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation by any federal department or agency.

G. BYRD ANTI-LOBBYING AMENDMENT, AS AMENDED (31 U.S.C. § 1352). Suppliers must file any required certifications. Suppliers must not have used federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any federal contract, grant, or any other award covered by 31 U.S.C. § 1352. Suppliers must disclose any lobbying with non-federal funds that takes place in connection with obtaining any federal award. Such disclosures are forwarded from tier to tier up to the non-federal award. Suppliers must file all certifications and disclosures required by, and otherwise comply with, the Byrd Anti-Lobbying Amendment (31 U.S.C. § 1352).

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H. RECORD RETENTION REQUIREMENTS. To the extent applicable, Supplier must comply with the record retention requirements detailed in 2 C.F.R. § 200.333. The Supplier further certifies that it will retain all records as required by 2 C.F.R. § 200.333 for a period of 3 years after grantees or subgrantees submit final expenditure reports or quarterly or annual financial reports, as applicable, and all other pending matters are closed.

I. ENERGY POLICY AND CONSERVATION ACT COMPLIANCE. To the extent applicable, Supplier must comply with the mandatory standards and policies relating to energy efficiency which are contained in the state energy conservation plan issued in compliance with the Energy Policy and Conservation Act.

J. BUY AMERICAN PROVISIONS COMPLIANCE. To the extent applicable, Supplier must comply with all applicable provisions of the Buy American Act. Purchases made in accordance with the Buy American Act must follow the applicable procurement rules calling for free and open competition.

K. ACCESS TO RECORDS (2 C.F.R. § 200.336). Supplier agrees that duly authorized representatives of a federal agency must have access to any books, documents, papers and records of Supplier that are directly pertinent to Supplier’s discharge of its obligations under this Contract for the purpose of making audits, examinations, excerpts, and transcriptions. The right also includes timely and reasonable access to Supplier’s personnel for the purpose of interview and discussion relating to such documents.

L. PROCUREMENT OF RECOVERED MATERIALS (2 C.F.R. § 200.322). A non-federal entity that is a state agency or agency of a political subdivision of a state and its contractors must comply with Section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items designated in guidelines of the Environmental Protection Agency (EPA) at 40 C.F.R. § 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired during the preceding fiscal year exceeded $10,000; procuring solid waste management services in a manner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines.

M. FEDERAL SEAL(S), LOGOS, AND FLAGS. The Supplier cannot use the seal(s), logos, crests, or reproductions of flags or likenesses of Federal agency officials without specific pre-approval.

N. NO OBLIGATION BY FEDERAL GOVERNMENT. The U.S. federal government is not a party to this Contract or any purchase by a Participating Entity and is not subject to any obligations or liabilities to the Participating Entity, Supplier, or any other party pertaining to any matter resulting from the Contract or any purchase by an authorized user.

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O. PROGRAM FRAUD AND FALSE OR FRAUDULENT STATEMENTS OR RELATED ACTS. The Contractor acknowledges that 31 U.S.C. 38 (Administrative Remedies for False Claims and Statements) applies to the Supplier’s actions pertaining to this Contract or any purchase by a Participating Entity.

P. FEDERAL DEBT. The Supplier certifies that it is non-delinquent in its repayment of any federal debt. Examples of relevant debt include delinquent payroll and other taxes, audit disallowance, and benefit overpayments.

Q. CONFLICTS OF INTEREST. The Supplier must notify the U.S. Office of General Services, Sourcewell, and Participating Entity as soon as possible if this Contract or any aspect related to the anticipated work under this Contract raises an actual or potential conflict of interest (as described in 2 C.F.R. Part 200). The Supplier must explain the actual or potential conflict in writing in sufficient detail so that the U.S. Office of General Services, Sourcewell, and Participating Entity are able to assess the actual or potential conflict; and provide any additional information as necessary or requested.

R. U.S. EXECUTIVE ORDER 13224. The Supplier, and its subcontractors, must comply with U.S.

Executive Order 13224 and U.S. Laws that prohibit transactions with and provision of resources and support to individuals and organizations associated with terrorism.

S. PROHIBITION ON CERTAIN TELECOMMUNICATIONS AND VIDEO SURVEILLANCE SERVICES OR EQUIPMENT. To the extent applicable, Supplier certifies that during the term of this Contract it will comply with applicable requirements of 2 C.F.R. § 200.216.

T. DOMESTIC PREFERENCES FOR PROCUREMENTS. To the extent applicable, Supplier certifies that during the term of this Contract will comply with applicable requirements of 2 C.F.R. § 200.322.

22. CANCELLATION

Sourcewell or Supplier may cancel this Contract at any time, with or without cause, upon 60 days’ written notice to the other party. However, Sourcewell may cancel this Contract immediately upon discovery of a material defect in any certification made in Supplier’s Proposal. Cancellation of this Contract does not relieve either party of financial, product, or service obligations incurred or accrued prior to cancellation.

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Sourcewell Mansfield Oil Company of Gainesville, Inc.

By: __________________________ By: __________________________ Jeremy Schwartz Dan Luther
Title: Chief Procurement Officer Title: Vice President of Government Sales

Date: ________________________

Approved:

By: __________________________
Chad Coauette
Title: Executive Director/CEO

Date: ________________________

Resolution No. 2024-88
Exhibit "A"

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Resolution No. 2024-88
Exhibit "A"

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Resolution No. 2024-88
Exhibit "A"

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
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Resolution No. 2024-88
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Page 22 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 24 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 25 of 45 ends

70 Item9.
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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 27 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 28 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 29 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 30 of 45 ends

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Resolution No. 2024-88
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Page 31 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 32 of 45 ends

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Page 34 of 45 ends

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Resolution No. 2024-88
Exhibit "A"

Page 35 of 45 ends

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Page 36 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 37 of 45 ends

82 Item9.

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 38 of 45 ends

83 Item9.
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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 39 of 45 ends

84 Item9.
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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 40 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 41 of 45 ends

86 Item9.
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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 42 of 45 ends

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 43 of 45 ends

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Resolution No. 2024-88
Exhibit "A"

Page 44 of 45 ends

89 Item9.

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Bid Number: RFP 121522 Vendor Name: Mansfield Oil of Gainesville

Resolution No. 2024-88
Exhibit "A"

Page 45 of 45 ends

90 Item9.
1 AGREEMENT AND ACKNOWLEDGMENT FOR SALE OF PETROLEUM PRODUCTS This AGREEMENT AND ACKNOWLEDGMENT FOR SALE OF PETROLEUM PRODUCTS (the “Acknowledgment”) is made effective this day of _______________________ (the “Effective Date”) by and between City of Escondido, with an address of 201 North Broadway, Escondido, CA 92025 (“Customer”), and MANSFIELD OIL COMPANY OF GAINESVILLE, INC . with an address of 1025 Airport Parkway, SW, Gainesville, Georgia 30501 (“Mansfield”).

WHEREAS, Mansfield and Customer intend to enter into an agreement the terms and conditions of which shall be governed by the contract set forth by Sourcewell utilizing as their said contract #121522 -MNF (hereinafter, the “Agreement”), the terms of which are hereby incorporated herein by reference; and, WHEREAS, the parties desire to execute this Acknowledgment and add new items as set forth below.

NOW THEREFORE , i n consideration of the promises, mutual covenants and agreements contained herein, the receipt and sufficiency of which are hereby acknowledged, Customer and Mansfield agree that the terms of the Agreement are hereby incorporated and amended as follows:

1. ADHERENCE TO AGREEMENT TERMS. Except as otherwise specifically provided herein, the parties hereto expressly adopt and incorporate by reference all of the terms and conditions set forth in the Agreement referenced above , including all attachments thereto. The parties hereto further expressly agree to adhere to and abide by all such terms set forth in the Agreement, which shall be fully enforceable and govern all transactions between the parties hereto as of the Effective Date of this Acknowledgment.

2. TERM AND AUTOMATIC RENEWAL. The Term of this Agreement is for one (1) year from the effective date of the Agreement. Thereafter, the parties hereto may also choose to renew this Acknowledgment for additional one (1) year term periods. In the event the parties hereto fail to execute a term extension addendum to this Acknowledgment and Customer continues utilizes Mansfield’s services and placing orders for Petroleum Products with Mansfield after the applicable expiration date, the parties agree that this Acknowledgment shall automatically renew in continuous one (1) year term periods.

2. PRICING. Schedule A, attached hereto and incorporated herein by reference, shall govern pricing and product details, and may be changed by the parties via amendment from time to time.

3. NOTICES. All written notices or other communications under this Acknowledgment shall be deemed duly given when made in writing and delivered in hand, or upon receipt when properly addressed return -receipt- requested and delivered by U.S. Postal Services or other delivery service to the following addresses:

Customer: City of Escondido
201 North Broadway
Escondido, CA 92025
Attn: __________________________
Mansfield: Mansfield Oil Company of Gainesville, Inc.
1025 Airport Parkway SW
Gainesville, GA 30501
Attn: Dan Luther, with a copy to same address, Attn: Legal Dept.

4. ENTIRE AGREEMENT. This Acknowledgment, together with all referenced attachments and Agreements, shall constitute the entire Agreement between the parties with respect to the subject matter of this Attachment "1"
91 Item9.

2 Agreement. This Agreement supersedes all prior oral and written communications, agreements and understandings of the parties with respect to the subject of this Agreement. No modifications hereof shall be effective unless expressly set forth in writing signed by an authorized representative of both parties hereto.

The parties intending to be legally bound have caused this Acknowledgment to be executed by their duly authorized representatives on the dates set forth below.

CITY OF ESCONDIDO MANSFIELD OIL COMPANY
OF GAINESVILLE, INC.

By: ___________________________ By: _____________________________

Name: ________________________ Name: ___________________________

Title: __________________________ Title: ____________________________

Execution Date: _________________ Execution Date: ___________________

**By executing this Acknowledgment, both parties are agreeing they have received and understand the terms and conditions of the Agreement (as set by Sourcewell). Such agreement can be found at the following link/web address: https://www.sourcewell-mn.gov/cooperative-purchasing/121522-mnf

Attachment "1"
92 Item9.

3 SCHEDULE A - CUSTOMER PRICING

Bulk Fuel Deliveries:
• Product (exclusive of any applicable taxes):
o Transport Gasoline (for Public Works Yard):
▪ OPIS San Diego, CA Gross Contract Average w/CAR MINUS $.0874 per gallon

o Transport R99 Diesel (for Public Works Yard):
▪ OPIS San Diego, CA Gross Contract Average w/CAR MINUS $.0298 per gallon

o Tank Wagon R99 Diesel (for Fire Station #1 and Public Works Yard):
▪ OPIS San Diego, CA Gross Contract Average w/CAR + $.0719 per gallon

o Tank Wagon R99 Diesel (for Fire Station #2 - #7):
▪ OPIS San Diego, CA Gross Contract Average w/CAR + $.2777 per gallon

• Freight Charges (exclusive of any applicable taxes):
o All Freight Charges are pass-throughs under the Sourcewell agreement. ▪ Estimated Weighted Average Freight
• Transport Gasoline (for Public Works Yard): +$.0533 per gallon • Transport R99 Diesel (for Public Works Yard): +$.0609per gallon • Tank Wagon R99 Diesel (for Fire Station #1 and Public Works Yard): +$.1500 per gallon
• Tank Wagon R99 Diesel (for Fire Station #2 - #7): +$.2500 per gallon o Plus, an additional $150 delivery fee

▪ Pump Fees, Split Fees, Minimum Freight, and Demurrage at Customer Sites will also be pass-throughs to the Customer.

Attachment "1"
93 Item9.

Booster Fuels Fleet Fuels Mansfield Oil Next Era Mobility Pinnacle Petroleum Saratoga Rack Shell TapUp TACenergy, LLC US Gain Possible Points
Conformance to Terms/
Conditions to Include
Documentation 50 39
36 42 40 41 37 40 38
Pr
icing 400 268 239 325 255 338 238 258 245
Fin
ancial, Industry and
Marketplace Successes 75 51 44 66 56 63 54 57 54
B
idder's Ability to Sell/
Service Contract Nationally 100 67 55 88 69 80 71 82 67 B
idder's Marketing Plan 50 40 32 43 35 39 35 40 41
Valu
e Added Attributes 75 60 52 64 61 61 55 58 58
W
arranty Coverages and
Information 50 41 36 40 39 41 39 40 37
Select
ion and Variety of
Products and Services
Offered 200 155
168 176 155 163 158 171 133
T
otal Points 1,000 721 662 844 710 826 687 746 673
Rank Order 481 52637
GregGrunig,MS,ProcurementLeadAnalyst Carol Jackson,ProcurementAnalyst Craig West,ProcurementAnalyst TomSharbonno,ProcurementAnalyst ProposalEvaluation
FuelDeliveryRFP#121522

Attachment "2"
94 Item9.

STAFF REPORT

July 17, 2024
File Number 0480-70

SUBJECT
FY 2023 USDA F OREST SERVICE COMMUNITY WILDFIRE DEFENSE GRANT AWARD AND BUDGET

ADJUSTMENT

DEPARTMENT
Fire Department

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-95 to authorize the Escondido Fire Department to accept FY 2023 USDA Forest Service Community Wildfire Defense Grant funds; authorize the City Manager or his designee to execute grant docum ents on behalf of the City; and approve budget adjustments needed to spend grant funds.

FISCAL ANALYSIS
This is a reimbursable grant. The Community Wildfire Defense Grant from the U.S. Department of Agriculture Forest Service will contribute $150,000 towards the consulting costs to update of the City of Escondido and the Rincon del Diablo Fire Protection District’s Community Wildfire Protection Plan (“CWPP”).

PREVIOUS ACTION
In September 2009, the City was awarded $185,000 from the American Red Cross 2007 Southern California Recovery, Planning, and Assistance ( “RP&A”) Program to develop a comprehensive CWPP for the City of Escondido and Rincon del Diablo Fire Protection District.

95 Item10.

BACKGROUND
In March 2010, the City utilized grant funds to hire Anchor Point Group for the development of the CWPP.

The following year, the Council adopted the CWPP to mitigate the impacts of wildland fires, drawing on the history of fires within San Diego County and the surrounding Escondido area. This CWPP offers a comprehensive, scientifically-based analysis of wildfire hazards and risks in the Wildland Urban Interface (“WUI”) areas.

A CWPP typically requires a major update every five years due to potential changes in the community, available data, and stakeholders.

Recognizing the need to update Escondido's CWPP, staff applied for and were awarded a Community Wildfire Defense Grant from the U.S. Department of Agriculture Forest Service.

The proposed project aims to review and update all aspects of the outdated CWPP, providing enhanced data for fuel mitigation, development planning, response strategy and tactical decision -making, community education, and property owner information and empowerment. Moreover, the revised CWPP for Escondido will emphasize existing resilient landscapes, fire -adaptive communities, and evaluate the Department’s and region’s wildfire response to ensure safety and efficiency.

RESOLUTIONS
a. Resolution No. 2024-95

ATTACHMENTS
a. Attachment “1”- Budget Adjustment
96 Item10.

RESOLUTION NO. 2024-95

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, AUTHORIZING THE CITY

MANAGER TO ACCEPT, ON BEHALF OF THE CITY, THE FY
2023 COMMUNITY WILDFIRE DEFENSE GRANT IN THE
AMOUNT OF $ 150,000; EXECUTE ALL NECESSARY
GRANT DOCUMENTS; AND AUTHORIZE THE NECESSARY

BUDGET ADJUSTMENT

WHEREAS, the City of Escondido desires to update the City of Escondido and the Rincon del Diablo Fire Protection District’s Community Wildfire Protection Plan; and WHEREAS, the Escondido Fire Department have designated the FY 202 3 Community Wildfire Defense Grant from the U.S. Department of Agriculture Forest Service to address this goal; and WHEREAS, the FY 2023 Community Wildfire Defense Grant Program has designated $150,000 to be awarded to the City of Escondido for this purpose.

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

1. That the above recitations are true.

2. That the City Council authorizes the City Manager of the City of Escondido to accept the FY 2023 Community Wildfire Defense Grant in the amount of $150,000 and execute all documents necessary for the management and completion of the grant scope, including any extensions and amendments thereof.

3. That the City Council hereby also approves and authorizes the necessary budget adjustment needed to establish a new project number for tracking and spending of grant funds.

97 Item10.
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98 Item10.

STAFF REPORT

July 17, 2024
File Number 0480-70

SUBJECT
FY 2023 OPERATION STONEGARDEN GRANT AND BUDGET ADJUSTMENT

DEPARTMENT

POLICE DEPARTMENT

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-101 and accept FY 2023 Operation Stonegarden Grant Funds in the amount of $ 10,000 from the California Office of Emergency services through the County of San Diego; authorize the Chief of Police or his designee to execute grant documents on behalf of the city, and approve budget adjustments needed to spend grant funds. The Department will use grant funds to pay overtime expenses for multi -disciplinary crime suppression operations related to human trafficking, narcotics trafficking, weapons trafficking, and criminal gang activity. This grant will provide operations funding to enforce local and state laws.

Staff Recommendation: Approval (Department Name: Edward Varso, Chief of Police) Presenter: Edward Varso, Chief of Police
ESSENTIAL SERVICE – Yes, Internal requirement in support of police services.

COUNCIL PRIORITY – Improve Public Safety

FISCAL ANALYSIS
No impact on Operational Budget, this project is fully funded by grants.

PREVIOUS ACTION
On April 3, 202 4, the City Council accepted a FY 2022 Operation Stonegarden Grant in the amount of $10,000 to pay overtime expenses for crime suppression details. For the past thirteen years, Stonegarden funding has allowed the Escondido Police Department to partner with local law enforcement agencies to address criminal activities that affect the community. FY 2022 Operation Stonegarden funds allowed the Escondido Police Department to participate in a regional operation that focused on gang crime and narcotic trafficking activities.

99 Item11.

BACKGROUND
The Police Department received a $10,000 FY 2023 Operation Stonegarden Grant. Funding was provided by the California Office of Emergency Services, through the San Diego Sheriff’s Department.

The Department proposes to use grant funds to pay overtime expenses for multi -disciplinary crime suppression operations related to human trafficking, narcotics trafficking, weapons trafficking, and criminal gang activity. Throughout San Diego County, all l ocal law enforcement agencies participate in Operation Stonegarden. This grant will provide operational funding to enforce local and state laws. Grant funds will not be used to enforce immigration laws on behalf of Customs and Border Protection/Border Patrol.

RESOLUTIONS
a. Resolution No. 2024-101

ATTACHMENTS
a. Budget Adjustment
100
Item11.

RESOLUTION NO. 2024-101

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, AUTHORIZING THE CHIEF
OF POLICE TO ACCEPT THE FISCAL YEAR 2023

OPERATION STONEGARDEN GRANT PROVIDED BY THE

CALIFORNIA OFFICE OF EMERGENCY SERVICES
THROUGH THE SAN DIEGO SHERIFF’S DEPARTMENT IN
THE AMOUNT OF $10,000; AND EXECUTE ALL
NECESSARY BUDGET ADJUSTMENTS.

WHEREAS, the City of Escondido desires to improve efficient law enforcement service to the community; and

WHEREAS, the Escondido Police Department desires to conduct multi-disciplinary crime suppression operations; and

WHEREAS, the Escondido Police Department has designated the Fiscal Year 2023 Operation Stonegarden Grant to fund overtime expenses to address these goals; and

WHEREAS, the Fiscal Year 2023 Operation Stonegarden Grant funds are made available through the California Office of Emergency Services in the amount of $10,000.

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

1. That the above recitations are true.

2. That the City Council authorizes the Chief of Police of the City of Escondido to accept the Fiscal Year 2023 Operation Stonegarden Grant funds made available through the California Office of Emergency Services in the amount of $10,000 and execute all documents necessary for the management and completion of the grant scope including any extensions and amendments thereof. 101
Item11.
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Attachment "1"
102
Item11.

STAFF REPORT

July 17, 2024
File Number 0480-70

SUBJECT
FISCAL YEAR 2023/24 PAUL COVERDELL FORENSIC IMPROVEMENT PROGRAM GRANT AND BUDGET

ADJUSTMENT

DEPARTMENT
Police Department

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-102 authorizing the Chief of Police or his designee to accept a FY 2023-24 California Office of Emergency Services (CalOES) Paul Coverdell Forensic Science Improvement Program Grant in the amount of $52,621 to cover costs of the salary and overhead of one part-time Department Specialist, maintaining accreditation for the Police Department Crime Lab, and equipment to improve the quality and timeliness of forensic science services ; execute all documents necessary for the management and completion of the grant scope; and authorize the necessary budget adjustment needed to spend grant funds.

FISCAL ANALYSIS

Grant funds will be used to fund a part-time Department Specialist, purchase forensic operational supplies and accreditation fees for the forensic unit for crime scene investigation. This will have no impact on the General Fund Budget.

PREVIOUS ACTION

On August 16, 2023, City Council adopted Resolution No. 2023-104 approving a Paul Coverdell Forensic Science Improvement Program Grant in the amount of $52,446.

BACKGROUND

103
Item12.

The Escondido Police Department has received a FY 202 3-24 CalOES Paul Coverdell Forensic Science Improvement Program Grant in the amount of $52,621, funded through the Bureau of Justice Assistance.

Grant funding must be used to cover costs associated with acquiring and maintaining accreditation for crime labs, reducing forensic investigation backlogs, and improving the quality and timeliness of forensic science services.

The Escondido Police Department proposes to utilize grant funds on the following items:

 Costs associated with annual fees required to maintain Crime Lab accreditation ($2,019)

o In 2019, the Escondido Police Department Crime Lab be came fully accredited. Annually there are fees to maintain that accreditation. This grant will cover the costs of these fees.

 Operating supplies to include crime scene table, iPad Pro, air purifier, and chairs ($22,745)

 Evolve Forensics Consultant ($10,000)

o Consultant w ill rev iew and make recommendations to up date the current training program for latent print examination.

 One part-time Department Specialist in Forensic Services unit ($17,857)

o Salary and benefits for part-time employee to work on backlog of cases and assist with crime scene processing and management.

The items provided by grant fund ing will improve the quality and timeliness of forensic science services within the City of Escondido.

RESOLUTIONS
a. Resolution No. 2024-102

ATTACHMENTS
a. Budget Adjustment
104
Item12.

RESOLUTION NO. 2024-102

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, AUTHORIZING THE CHIEF
OF POLICE OR HIS DESIGNEE TO ACCEPT A FY 2023-24

CALIFORNIA OFFICE OF EMERGENCY SERVICES
(CALOES) PAUL COVERDELL FORENSIC SCIENCE
IMPROVEMENT GRANT IN THE AMOUNT O F $52,621,

EXECUTE ALL DOCUMENTS NECESSARY FOR THE

MANAGEMENT AND COMPLETION OF THE GRANT

SCOPE, AND AUTHORIZE THE NECESSARY BUDGET
ADJUSTMENT.

WHEREAS, the City of Escondido desires to improve the quality and timeliness of forensic science services; and
WHEREAS, the Escondido Police Department has designated the FY 2023 -24 Paul Coverdell Forensic Science Program Grant to conduct specific programs to address these goals; and

WHEREAS, the Paul Coverdell Forensic Science Program Grant will be paid for fro m funds made available by the California Office of Emergency Services (hereafter referred to as CalOES), through the Bureau of Justice Assistance.

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

1. That the above recitations are true.

2. That the City Council authorizes the Chief of Police of the City of Escondido to accept the FY 2023-24 Paul Coverdell Forensic Science Program Grant from CalOES, in the amount of $52,621, and execute all necessary documents for the management and completion of the grant scope.

3. That City Council hereby approves and authorizes the necessary budget needed to establish a new project number for tracking and spending of grant funds. 105
Item12.

4. That grant funds received hereunder shall not be used to supplant expenditures controlled by this body.
106
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Attachment "1"
107
Item12.

STAFF REPORT

July 17, 2024
File Number 0480-70

SUBJECT
BESSIE MINOR SWIFT FOUNDATION GRANT - $3,400

DEPARTMENT
Community Services/Library

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-100 authorizing the Assistant Director of Community Services to receive a $3,400 grant from the Bessie Minor Swift Foundation on behalf of the Escondido Public Library.

FISCAL ANALYSIS
There will be no impact to the General Fund and does not require matching funds.

PREVIOUS ACTION
None

BACKGROUND
This grant funds a project to establish a STEAM/Makerspace in the Escondido Public Library's Youth Services Area for underserved tweens (ages 9-12), utilizing LEGO® blocks and related accessories. Library staff will integrate LEGO-themed programming to showcase the new space and engage tweens.

The objective of this project is to create a designated and open Makerspace for tweens. This destination is intended to provide tweens access to analog tools, equipment, and resources necessary for developing their ideas and exploring various subjects, interests, and disciplines. The secondary objective of this 108
Item13.

project is to establish STEAM and Makerspace program ming that fosters innovation through hands -on experimentation.

Staff plan to utilize the power of play for learning through themed challenges, storytelling sessions, and interactive activities at both the physical Makerspace and through programming powere d by LEGO and supplies. Tweens will be encouraged to express themselves freely, experiment with different designs, and collaborate with peers. By providing this opportunity to create a stimulating environment, the Makerspace becomes a gateway for developing problem -solving skills, enhancing fine motor skills, developing language skills, and promoting collaboration ; the building blocks to success and lifelong learning.

The aim is to encourage creativity and exploration, both in our physical library space and in recurring LEGO programming; providing innovation and experimentation opportunities at all access points that suit the interests and needs of tweens.

On average 30 tweens visit the youth services library each day, for a total of just over 10,000 tween visits each year. With planned monthly reoccurring LEGO STEAM programming for 25 tweens, a total of 300 tweens (or more) are estimated to attend. The total impact of grant funds could reach as many as 10,300 tweens through passive Makerspace engagement and active staff-led events.

RESOLUTIONS
a. Resolution No. 2024-100

ATTACHMENTS
a. Attachment “1”- Grant Award Letter
b. Attachment “2”- Budget Adjustment
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RESOLUTION NO. 2024-100

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, AUTHORIZING THE

ASSISTANT DIRECTOR OF COMMUNITY SERVICES TO
RECEIVE A $3,400 GRANT F ROM THE BESSIE MINOR

SWIFT FOUNDATION

WHEREAS, the City of Escondido (“City”) is committed to enhancing educational and recreational opportunities for its residents, particularly underserved youth; and WHEREAS, the City desires to establish a STEAM/Makerspace in the Escondido Public Library's Youth Services Area for unders erved tweens (ages 9 -12) utilizing LEGO® blocks and related accessories; and
WHEREAS, the creation of this Makerspace will support the development of problem -solving skills, fine motor skills, language skills, and collaboration among tweens, contributing to their lifelong learning and success; and
WHEREAS, the Bessie Minor Swift Foundation has awarded the City a grant in the amount of $3,400 to support this initiative; and
WHEREAS, this City Council deems it to be in the best public interest to accept this grant to fund the Makerspace project and support the educational and recreational development of Escondido’s youth.

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

1. That the above recitations are true.
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2. That the City Council authorizes the Assistant Director of Community Services , or his designee, to execute all necessary documents, in forms approved by the City Attorney’s Office, to accept all grant funds.

3. That the City Council approves of any necessary budget adjustments to expend funds received for the purposes stated herein.

4. The Community Services Department /Escondido Public Library shall expend $ 3,400 grant funds in accordance with the terms and requirements of the grant agreement.

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Attachment "1"
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Attachment "2"
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STAFF REPORT

July 17, 2024
File Number 0680-20

SUBJECT

CONTINUING REPAIR OF THE EMERGENCY REPAIR OF THE ESCONDIDO TRUNK SEWER MAIN

DEPARTMENT
Utilities Department

RECOMMENDATION
Request the City Council adopt Resolution No. 2024-103, declaring that pursuant to the terms of Section 22050 of the California Public Contract Code, the City Council finds there is a need to continue the emergency repair of the Escondido T runk Sewer Main. The resolution, which must be passed by four - fifths vote, also declares that public interest and necessity demand the immediate expenditure to safeguard life, health, or property.

FISCAL ANALYSIS
Funding for this emergency trunk sewer main work is available in the Wastewater Enterprise fund.

PREVIOUS ACTION
On June 26, 2024, the City Council adopted Resolution No. 2024 -86, ratifying Proclamation No. 2024-02, affirming that it was appropriate for Ci ty staff to forego competitive bidding procedures and work with contractors for the necessary emergency repairs of the failing trunk sewer main.

On July 10, 2024, the City Council adopted Resolution No. 2024 -94, declaring that there was a need to continue efforts toward emergency repairs of the failing trunk sewer main sections.

BACKGROUND
The City’s trunk sewer mains, constructed in the 1950’s, are a critical and integral part of the City’s wastewater system. On June 17, 2024, during routine closed -circuit television inspection, Utilities Staff 114
Item14.

identified multiple failed and severely deteriorated sections of 21-inch trunk sewer main. In order to act quickly to avoid catastrophic failure, a local emergency was proclaimed on June 20, 2024, by the City Manager, serving as the Director of Emergency Services. This allowed staff to work directly w ith contractors to address the necessary repairs to the failing trunk sewer main.

Over the last week, Utilities Staff has identified and worked with three prospective contractors to obtain not-to-exceed costs and estimated schedule s to complete the neces sary repairs . In addition , Public Improvement Agreements have been drafted and exchanged with the prospective contractors on the scopes of work defined in the three sections shown in Figure 1 below and described as follows: 1) Harding Street to Ash Street - paralleling the Escondido Creek; 2) Beech Street to Grape Day Park - paralleling the Escondido Creek, traversing a short section of North Hickory Street, then continuing in East Pennsylvania Street from North Hickory and extending into Grape Day Park; 3) Centre City Parkway to Norlak Avenue - traversing through Fire Station #1, traversing a short section of North Quince Street, then continuing in Norlak Avenue.

Figure 1

Utilities Staff continue to meet with franchise utilities, the public, other City Departments, and other applicable regulatory agencies, such as the San Diego County Water Authority and Caltrans.

RESOLUTIONS
a. Resolution No. 2024-103

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RESOLUTION NO. 2024-103

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, FINDING THAT AN

EMERGENCY CONTINUES TO REQUIRE THE IMMEDIATE

REPAIR OF THE ESCONDIDO TRUNK SEWER MAIN

WHEREAS, the City Council recognizes that the City’s trunk sewer main pipeline in the three following sections are at risk of imminent, catastrophic failure:
1) Harding Street to Ash Street - paralleling the Escondido Creek; and 2) Beech Street to Grape Day Park - paralleling the Escondido Creek, traversing a short section of North Hickory Street, then continuing in East Pennsylvania Street from North Hickory and extending into Grape Day Park; and
3) Centre City Parkway to Norlak Avenue - traversing through Fire Station #1, traversing a short section of North Quince Street, then continuing in Norlak Avenue; and WHEREAS, Utilities Staff has provided three scopes of work as defined above to three separate contractors to obtain not -to-exceed costs and estimated schedules to complete the necessary repairs ; and
WHEREAS, Utilities Staff continues to work with the three identified contractors to draft Public Improvement Agreements for execution; and
WHEREAS, pursuant to the approval of Resolution No. 2024-86 on June 26, 2024, the City Council previously found that the failing trunk sewer risk constitutes an emergency and found it appropriate for Utilities Staff to proceed to contract services without adopting plans, specifications, working details, or giving notice of bids to award contracts; and
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WHEREAS, pursuant to the adoption of Resolution No. 2024 -94, the City Council declared that there was a need to continue efforts toward emergency repairs of the failing trunk sewer main sections; and
WHEREAS, pursuant to Section 22050 of the Public Contract Code, the City Council must review the emergency action every 14 days , or its next regularly scheduled meeting, and determine by a four- fifths vote there is a need to continue the action; and WHEREAS, this City Council desires at this time and deems it to be in the best public interest to continue the emergency action.

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

1. That the above recitations are true.

2. That the City Council finds the failure of the trunk sewer main is a public health and safety emergency; that this emergency will not permit the delay that would result from a competitive bidding process; and that the proposed action and expenditure is still necessary to respond to the emergency requiring immediate repair of the trunk sewer main.

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STAFF REPORT

July 17, 2024
File Number 0875-55

SUBJECT
RESOLUTION IN OPPOSITION TO ASSEMBLY BILL 3093

DEPARTMENT
City Council

RECOMMENDATION
Request the City Council approve a letter to the California State Legislature in opposition to Assembly Bill 3093.

BACKGROUND
On June 26 , 2024, Mayor White and Deputy Mayor Garcia requested an item be placed on the Future Agenda to approve a letter (Attachment “1”) to the California State Legislature in opposition to Assembly Bill 3093.

RESOLUTIONS
a. Attachment “1” - Letter in Opposition to AB 3093

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Attachment "1"

July 11, 2024

The Honorable Nancy Skinner
Chair, Senate Housing Committee
1021 O Street, Room 3330
Sacramento, CA 95814

RE: AB 3093 (Ward) Land use: housing element: streamlined multifamily housing.

Notice of OPPOSE UNLESS AMENDED

Dear Senator Skinner,

The City of Escondido opposes AB 3093 (Ward) unless amended to address cities’ concerns. Currently, AB 3093 would require local governments to account for the housing needs of people experiencing homelessness in their housing elements without funding to develop the plan, implement strategies, or support the construction of affordable housing. This will place an undue financial burden on the City of Escondido.

Specifically, AB 3093 adds two new income categories to the Regional Housing Needs Assessment (RHNA) framework: acutely low-income (ALI) and extremely low-income (ELI). While these new categories are intended to help assess the needs of homeless residents, they fall within the existing very low-income category, which already accounts for the needs of individuals in our cities earning between 0% and 50% of the area median income.

The City of Escondido is concerned that this will only lead to duplicating planning efforts since existing housing element law already requires cities to analyze the special housing needs of homeless residents and assist in developing adequate housing to meet the needs of extremely low-income households.

Housing element law also currently requires cities to identify sites and encourage the development of a variety of housing, including supportive housing and transitional housing. Through these processes, cities are doing more than ever to plan for the needs of unhoused residents in their communities.

AB 3093 has been fast-tracked through the legislative process without funding to realize these plans or spur much-needed development. Despite recent amendments, the City of Escondido continues to be concerned that the new income categories added by AB 3093 go beyond the suggested intent of the measure. As drafted, AB 3093 requires site inventory for ALI and ELI households and lacks critical information about how these sites should differ from the housing cities are planning for already through the very low-income category. Without amendments to clarify these concerns, cities will be set up to fail, leading to even more housing elements being deemed out of compliance.

The City of Escondido shares the goal of preventing and reducing homelessness and increasing the supply of affordable housing in our communities. However, real progress will require ongoing funding that allows for the development of long-term, ambitious plans that support unhoused residents and prevent more individuals from losing their homes. In the absence of ongoing funding to address homelessness, the complicated requirements included in AB 3093 fail to expand or develop local governments' capacity to address immediate homelessness challenges across California. 119
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Attachment "1"

Cities across California are planning and approving millions of new homes at all income levels despite new bills introduced every year that have changed the rules mid-stream, significantly altering cities’ housing element certification process. These complex, multiyear housing plans are laborious, time- consuming, and costly. With many cities still navigating the state’s certification process for the sixth cycle, now is not the time to create new vague requirements that will only further these delays in certification.

For these reasons, the City of Escondido is opposed to AB 3093 unless amended.

Sincerely,

Dane White Christian Garcia
Mayor Deputy Mayor

Consuelo Martinez Joe Garcia
Councilmember District 1 Councilmember District 2

Mike Morasco
Councilmember District 4

cc: The Honorable Chris Ward
Senator Bill Jones, Assembly member Brian Maienschein
League of California Cities
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KEY-

CONSENT CALENDAR CURRENT BUSINESS

PUBLIC HEARING WORKSHOP
7/24/2024 - NO MEETING (SUMMER BREAK)
7/31/2024 - NO MEETING (SUMMER BREAK)
8/7/2024
CONSENT CALENDAR - (C. HOLMES) - ESTABLISHING THE PROPERTY TAX RATE AND FIXED CHARGE ASSESSMENTS FOR GENERAL OBLIGATION

BONDED INDEBTEDNESS
PUBLIC HEARING - (C. MCKINNEY) - Consistency Amendments: General Plan Land Use and Community form Element and East Valley Parkway Area Plan
PUBLIC HEARING - (M. MCGUINNES/C. MCKINNEY/E. VARSO) - RV ORDINANCE CURRENT BUSINESS - (M. MCGUINNESS) MOBILEHOME RENT REVIEW BOARD REGULATIONS CURRENT BUSINESS - (C. MCKINNEY) - GENERAL PLAN ANNUAL PROGRESS REPORT - It is requested that the City Council review and receive the ESSENTIAL SERVICES: YES - INTERNAL REQUIREMENT
COUNCIL PRIORITY:

CURRENT BUSINESS - (C. MCKINNEY) - CLIMATE ACTION PLAN ANNUAL MONITORING REPORT - It is requested that the City Council review and receive the Climate Action Plan Annual Monitoring Report the General Plan Annual Progress Report.

ESSENTIAL SERVICES: YES - INTERNAL REQUIREMENT
COUNCIL PRIORITY:
8/14/2024
PRESENTATION: (J. MURDOCK) - SAN DIEGO EVACUATION ALERTING SYSTEM CURRENT BUSINESS - (Z. BECK) - DESIGNATION OF VOTING DELEGATE LEAGUE OF CALIFORNIA CITIES CONFERENCE - Request the City Council ESSENTIAL SERVICES: YES - INTERNAL REQUIREMENT
COUNCIL PRIORITY:

CURRENT BUSINESS - (J. SCHOENECK) - PUBLIC ART STRATEGIC PLAN AND PUBLIC ART MUNICIPAL CODE UPDATE CURRENT BUSINESS - (J. SCHOENECK) - COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGY (CEDS) WORKPLAN UPDATE ESSENTIAL SERVICE:

COUNCIL PRIORITY: ELIMINATE STRUCTURAL DEFICIT; INCREASE RETENTION AND ATTRACTION OF PEOPLE AND BUSINESSES TO ESCONDIDO 8/21/2024
PUBLIC HEARING - (J. SCHOENECK) - SHORT TERM RENTAL ORDINANCE ESSENTIAL SERVICE: YES - LAND USE/DEVELOPMENT
COUNCIL PRIORITY: ELIMINATE STRUCTURAL DEFICIT; IMPROVE PUBLIC SAFETY; INCREASE RETENTION AND ATTRACTION OF PEOPLE AND

BUSINESSES TO ESCONDIDO
8/28/2024
9/4/2024 - NO MEETING (LABOR DAY)
9/11/2024

Page 1 ends

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KEY-

CONSENT CALENDAR CURRENT BUSINESS

PUBLIC HEARING WORKSHOP
9/18/2024
9/25/2024
10/2/2024
10/9/2024
10/16/2024 - NO MEETING (LEAGUE OF CA CITIES CONFERENCE) 10/23/2024
10/30/2024 - NO MEETING (5TH WEDNESDAY)
11/6/2024 - NO MEETING
11/13/2024
PUBLIC HEARING - (A. MORROW) - PROP 218 EDI
11/20/2024
11/27/2024 - NO MEETING (THANKSGIVING)
12/4/2024
12/11/2024 - INSTALLATION CEREMONY
12/18/2024 - NO MEETING (WINTER BREAK)
12/25/2024 - NO MEETING (WINTER BREAK)

Page 2 ends

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Escondido City CouncilJuly 17, 2024

Escondido City Council
July 17, 2024