Escondido City Council
February 19, 2025

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Public Services Agreement (v2) - 2 - CAO: 04/23/2024

3. Performance. CONTRACTOR shall faithfully perform the Services in a proficient manner, to the satisfaction of the CITY, and in accord with the terms of this Agreement . CONTRACTOR shall be responsible for the professional quality, technical accuracy, timely completion, and coordination of all reports and other information furnished by CONTRACTOR pursuant to this Agreem ent, except that CONTRACTOR shall not be responsible for the accuracy of information supplied by the CITY.

4. Termination. The Parties may mutually terminate this Agreement through a writing signed by both Parties. The CITY may terminate this Agreement for any reason upon providing CONTRACTOR with 10 days’ advance written notice. CONTRACTOR agrees to cease all work under this Agreement on or before the effective date of any notice of termination. If the CITY terminates this Agreement due to no fault or failure of performance by CONTRACTOR, then CONTRACTOR shall be compensated based on the work satisfactorily performed at the time of such termination. In no event shall CONTRACTOR be entitled to receive more than the amount that would be paid to CONTRACTOR for the full performance of the Services.

5. City Property. All original documents, drawings, electronic media, and other materials prepared by CONTRACTOR pursuant to this Agreement immediately become the exclusive property of the CITY, and shall not be used by CONTRACTOR for any other purpose without the CITY’s prior written consent.

6. Insurance Requirements.
a. CONTRACTOR shall pro cure and maintain , at its own cost, during the entire term of this Agreement, insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the Services, and the results of such work, by CONTRACTOR, its agents, representatives, employees, or subcontractors. Insurance coverage shall be at least as broad as the following:
(1) Commercial General Liability. Insurance Services Office (“ISO”) Form CG 00 01 covering Commercial General Liability on an “occurrence” basis, including products and completed operations, property damage, b odily injury, and personal & advertising injury, with limits no less than $2,000,000 per occurrence and $4,000,000 general aggregate. (2) Automobile Liability. ISO Form CA 00 01 covering any auto (Code 1), or if CONTRACTOR has no owned autos, hired (Code 8) and non -owned autos (Code 9), with limit s no less than $1,000,000 per accident for bodily injury and property damage, unless waived by the CITY and approved in writing by the CITY’s Risk and Safety Division. (3) Workers’ Compensation. Worker's Compensation as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit s of no less than $1,000,000 per accident for bodily injury or disease.
(4) If CONTRACTOR maintains broader coverage and/ or higher limits than the minimums otherwise required by this Agreement , the CITY requires and shall be entit led to the broader coverage and/or the higher limits maintained by CONTRACTOR. b. Each insurance policy required by this Agreement must be acceptable to the City Attorney and shall meet the following requirements:
(1) Acceptability of Insurers. Insurance coverage must be provided by an insurer authorized to conduct business in the state of California with a current A.M. Best’s rating of no less than A-: FSC VII, or as approved by the CITY.
(2) Additional Insured Status . Both the Commercial General Liability and the Automobile Liability policies must name the CITY (including its officials, officers, agents, employees, and volunteers) specifically as an additional insured under the policy on a separate endorsement page. The Commercial General Liability additional insured endorsement shall be at least as broad as ISO Form CG 20 10 11 85, or if not available, through the Resolution No. 2025-09
Exhibit "A"

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Public Services Agreement (v2) - 3 - CAO: 04/23/2024
addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38, and CG 20 37 if a later edition is used. The Automobil e Liability endorsement shall be at least as broad as ISO Form CA 20 01.
(3) Primary Coverage. CONTRACTOR’s insurance coverage shall be primary coverage at least as broad as ISO CG 20 01 04 13 with respect to the CITY, its officials, officers, agents, employees, and volunteers. Any insuran ce or self -insurance maintained by the CITY, its officials, officers, agents, employees, or volunteers shall be in excess of CONTRACTOR’s insurance and shall not contribute with it. (4) Notice of Cancellation . Each insurance policy shall provide that coverage shall not be canceled, except with prior written notice to the CITY. (5) Subcontractors. If applicable, CONTRACTOR shall require and verify that all subcontractors maintain insurance meeting all the requirements stated in this Agreement, and CONTRACTOR shal l ensure that the CITY (including its officials, officers, agents, employees, and volunteers) is an additional insured on any insurance required from a subcontractor.
(6) Waiver of Subrogation. CONTRACTOR hereby grants to the CITY a waiver of any right to subrogation that any insurer of CONTRACTOR may acquire against the CITY by virtue of the payment of any loss under such insurance. CONTRACTOR agrees to obtain any endorsement that may be nec essary to affect this waiver of subrogation, but this subsection shall apply regardless of whether or not the CITY has received a waiver of subrogation endorsement from the insurer. Any Workers’ Compensation policy required by this Agreement shall be endorsed with a waiver of subrogation in favor of the CITY for all work performed by the CONTRACTOR, its agents, representatives, employees and subcontractors.
(7) Self-Insurance. CONTRACTOR may, with the CITY’s prior written consent, fulfill some or all of the i nsurance requirements contained in this Agreement under a plan of self - insurance. CONTRACTOR shall only be permitted to utilize such self -insurance if, in the opinion of the CITY, CONTRACTOR’s (i) net worth and (ii) reserves for payment of claims of liability against CONTRACTOR are sufficient to adequately compensate for the lack of other insurance coverage required by this Agreement. CONTRACTOR’s utilization of self- insurance shall not in any way limit the liabilities assumed by CONTRACTOR pursuant to this Agreement.
(8) Self-Insured Retentions. Self-insured retentions must be declared to and approved by the CITY.
c. Verification of Coverage. At the time CONTRACTOR executes this Agreement, CONTRACTOR shall provide the CITY with original Certificates of Insu rance including all required amendatory endorsements (or copies of the applicable policy language effecting the insurance coverage required by this Agreement), which shall meet all requirements under this Agreement. The CITY reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by this Agreement, at any time. d. Special Risks or Circumstances. The CITY reserves the right , at any point during the term of this Agreement, to modify the insurance requirements in this Agreement, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances. e. No Limitation of Obligations. The insurance requirements in this Agreement, including the types and limits of insurance coverage CONTRACTOR must maintain, and any approval of such insurance by the CITY, are not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by CONTRACTOR pursuant to this Agreement, including but not limited to any provisions in this Agreement concerning indemnification. f. Failure to comply with any of the insurance requirements in this Agreement, including but not limited to a lapse in any required insurance coverage during the term of this Agreement, shall be a material breach of this Agreement . In the event that CONTRACTOR fails to comply with Resolution No. 2025-09
Exhibit "A"

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Public Services Agreement (v2) - 4 - CAO: 04/23/2024
any such insurance requirements in this Agreement, in addition to any other remedies the CITY may have, the CITY may, at its sole option, (i) immediately terminate this Agreement; or (ii) order CONTRACTOR to stop work under this Agreement and/or withhold any payment that becomes due to CONTRACTOR until CONTRACTOR demonstrates compliance with the insurance requirements in this Agreement.

7. Indemnification, Duty to Defend, and Hold Harmless.
a. CONTRACTOR (including CONTRACTOR’s agents, employees, and subcontractors, if any) shall indemnify, defend, and hold harmless the CITY, its officials, officers, agents, employees, and volunteers from and against any and all claims, demands, actions, causes of action, proceedings (including but not limited to legal and administrative proceedings of any kind), suits, fines, penalties, judgments, orders, levies, costs, expenses, liabilities, losses, damages, or injuries, in law or equity, including without limitation the payment of all consequential damages and attorney’s fees and other related l itigation costs and expenses (collectively, “Claims”), of every nature caused by, arising out of, or in connection with CONTRACTOR’s performance of the Services or its failure to comply with any of its obligations contained in this Agreement, except where caused by the sole negligence or willful misconduct of the CITY. b. CONTRACTOR (including CONTRACTOR’s agents, employees, and subcontractors, if any) shall defend, indemnify, and hold harmless the CITY, its officials, officers, agents, employees, and volunteers from and against any and all Claims caused by, arising under, or resulting from any violation, or claim of violation, of the San Diego Municipal Storm Water Permit (Order No.

R9-2013-0001, as amended) of the California Regional Water Quality Control Board, Region 9, San Diego, that the CITY might suffer, incur, or become subject to by reason of, or occurring as a result of, or allegedly caused by, any work performed pursuant to this Agreement. c. All terms and provisions within this Section 7 shall survive the termination of this Agreement.

8. Anti-Assignment Clause. Because the CITY has relied on the particular skills of CONTRACTOR in entering into this Agreement, CONTRACTOR shall not assign, delegate, subcontract, or otherwise transfer any duty or right under this Agreement, including as to any portion of the Services, without the CITY’s prior written consent. Any purported assignment, delegation, subcontract, or other transfer made without the CITY’s consent shall be void and ineffective. Unless CONTRA CTOR assigns this entire Agreement, including all rights and duties herein, to a third party with the CITY’s prior written consent, CONTRACTOR shall be the sole payee under this Agreement. Any and all payments made pursuant to the terms of this Agreement are otherwise not assignable.

9. Attorney's Fees and Costs. In any action to enforce the terms and conditions of this Ag reement, the prevailing Party shall be entitled to reasonable attorney’s fees and costs.

10. Independent Contractor . CONTRACTOR is an indepe ndent contractor , and no agency or employment relationship is created by the execution of this Agreement.

11. Amendment. This Agreement shall not be amended except in a writing signed by the CITY and CONTRACTOR.

12. Merger Clause. This Agreement, together with its attachments or other documents described or incorporated herein, if any, constitutes the entire agreement and understanding of the CITY and CONTRACTOR concerning the subject of this A greement and supersedes and replaces all prior negotiations, understandings, or proposed agreements, written or oral, except as otherwise provided herein. In the event of any conflict between the provisions of this Agreement and any of its attachments or related documents, if any, the provisions of this Agreement shall prevail.

Resolution No. 2025-09
Exhibit "A"

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13. Anti-Waiver Clause. None of the provisions of this Agreement shall be waived by the CITY because of previous failure to insist upon strict performance, nor shall any provision be waived because any other provision has been waived by the CITY, in whole or in part.

14. Severability. This Agreement shall be performed and shall be enforceable to the full extent allowed by applicable law , and the illegality, invalidity, waiver, or unenforceability of any provision of this Agreement shall not affect the legality, validity, applicability, or enforceability of the remaining provisions of this Agreement.

15. Governing Law. This Agreement and all rights and obligations arising out of it shall be construed in accordance with the laws of the State of California. Venue for any action arising from this Agreement shall be conducted only in the state or federal courts of San Diego County, California.

16. Counterparts. This Agreement may be executed on separate counterparts, each of which shall be an original and all of which taken together shall constitute one and the same instrument. Delivery of an executed signature page of this Agreement by electronic means, including an attachment to an email, shall be effective as delivery of an executed original. The Agreement on file with the City is the copy of the Agreement that shall take precedence if any differences exist between or among copies or counterparts of the Agreement.

17. Provisions Cumulative . The foregoing provisions are cumulative to, in addition to , and not in limitation of any other rights or remedies available to the CITY.

18. Notice. Any statements, communications , or notices to be provid ed pursuant to this Agreement shall be sent to the attention of the persons indicated herein, and the CITY and CONTRACTOR shall promptly provide the other Party with notice of any changes to such contact information.

19. Business License. CONTRACTOR shall obtain a City of Escondido Business License prior to execution of this Agreement and shall maintain such Business License throughout the term of this Agreement.

20. Compliance with Laws, Permits, and Licenses. CONTRACTOR shall keep itself info rmed of and comply with all applicable federal, state, and local laws, statutes, codes, ordinances , regulations, rules, and other legal requirements in effect during the term of this A greement. CONTRACTOR shall obtain any and all permits, licenses, and other authorizations necessary to perform the Services. Neither the CITY, nor any elected or appointed boards, officers, officials, employees, or agents of the CITY, shall be liable, at law or in equity, as a result of any failure of CONTRA CTOR to comply with this section.

21. Prevailing Wages . If applicable, pursuant to California Labor Code section 1770 et seq. , CONTRACTOR agrees that a prevailing rate and scale of wages, in accordance with applicable laws, shall be paid in performing this Agreement. CONTRACTOR shall keep itself informed of and comply with all applicable federal, state, and local laws, statutes , codes, ordinances, regulations, rules, and other legal requirements pertaining to the payment of prevailing wages. The preva iling rate and scale to be paid shall be the same as the applicable “General Prevailing Wage Determination” approved by the Department of Industrial Relations as of the Effective Date of this Agreement, which are available online at http://www.dir.ca.gov/oprl/dprewagedetermination.htm and incorporated into this Agreement by this reference . Neither the CITY, nor any elected or appointed boards, officers, officials, employees, or agents of the CITY, shall be liable, at law or in equity, as a result of any failure of CONTRACTOR to comply with this section.

22. Department of Industrial Relations Compliance . This public project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. CONTRACTOR shall post all job site notices required by regulation. CONTRACTOR, as well as any subcontractors, shall be registered pursuant to California Labor Code section 1725.5 to be qualified to bid on, be listed in a bid proposal (subject to the requirements of Public Contract Code section 4104), or engage in the Resolution No. 2025-09
Exhibit "A"

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Public Services Agreement (v2) - 6 - CAO: 04/23/2024
performance of any public works contract subject to the requirements of Division 2, Part 7, Chapter 1 of the California Labor Code. Neither the CITY, nor any elected or appointed boards, officers, officials, employees, or agents of the CITY, shall be liable, at law or in equity, as a result of any failure of CONTRACTOR to comply with this section.

23. Immigration Reform and Control Act of 1986. CONTRACTOR shall keep itself informed of and shall comply with the Immigration Reform and Control Act of 1986 (“IRCA”). CONTRACTOR represents and warrants that all of its employees and the employees of any subcontractor retained by CONTRACTOR who perform any of the Services under this Agreement, are and will be authorized to perform the Services in full compliance with the IRCA. CONTRACTOR affirms that as a licensed contractor and employer in the State of California, all new employees must produce proof of eligibility to work in the United States within the first three days of employment and that only employees legally eligible to work in the United States will perform the Services. CONTRACTOR agrees to comply with the IRCA before commencing any Services, and continuously throughout the performance of the Services and the term of this Agreement.

24. Effective Date. Unless a different date is provided in this Agreement, the effective date of this Agreement shall be the latest date of execution set forth by the names of the signatories below. (SIGNATURE PAGE FOLLOWS)

Resolution No. 2025-09
Exhibit "A"

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Public Services Agreement (v2) - 7 - CAO: 04/23/2024
IN WITNESS WHEREOF, th is Agreement is executed by the Parties or their duly authorized representatives as of the Effective Date:

CITY OF ESCONDIDO

Date: __________________ ___________________________________ Dane White, Mayor

Peraton, Inc.

Date: __________________ ___________________________________ La Juan Carter
Director of Contracts Administration

APPROVED AS TO FORM:

OFFICE OF THE CITY ATTORNEY
MICHAEL R. MCGUINNESS, CITY ATTORNEY

BY: __________________________

DATE: __________________

THE CITY OF ESCONDIDO DOES NOT DISCRIMINATE AGAINST QUALIFIED PERSONS WITH DISABILITIES.

Resolution No. 2025-09
Exhibit "A"

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Public Services Agreement (v2) - 8 - CAO: 04/23/2024
ATTACHMENT “A”
Scope of Work

A. General

Peraton, Inc., a Maryland corporation (“Contractor”) will provide the City of Escondido, a California municipal corporation (“City”) with Computer Aided Dispatch (“CAD”) system hardware, software, and installation services.

B. Location

Contractor will provide services at the City’s Police and Fire Headquarters located at 1163 N.

Centre City Parkway, Escondido, CA 92026.

C. Services

Contractor will provide software maintenance support for the following products as outline in Exhibit 1, which is attached hereto and incorporated by this reference. In the event of a conflict between this Agreement (including this Scope of Work) and Exhibit 1, the terms of this Agreement shall prevail. Services provided under this Agreement shall generally include:

1. CommandPoint CAD/MIS

2. AVL w/AVRR

3. CLETS via eSUN

4. CommandPoint Map

5. CommandPoint GDI Tools

6. CommandPoint Mobile

D. Scheduling

Inquiries related to this Agreement, including all scheduling and services issues, may be directed to Livier Valenzuela, Network Manager at [email protected] or 760-497-5301.

E. Contract Price and Payment Terms

The contract price shall not exceed $232,757. The contract price includes all labor, materials, equipment, and transportation required to perform the work. Services will be billed as services are performed. Payment will be made after services have been performed and within 30 days of receipt of an invoice for those services.

F. Term

The term of this Agreement shall be from the Effective Date of the Agreement through December 31, 2025 with two optional one-year extensions at the mutual written agreeme nt of both the Contractor and the City.

Resolution No. 2025-09
Exhibit "A"

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3XEOLF6HUYLFH Agreement
Between the City of Escondido
And Peraton Inc.

Public Service Agreement
Peraton Inc, hereinafter referred to as "Peraton", and the City of Escondido, hereinafter referred to as "Customer", VKDOOHQWHU into a Master Maintenance Agreement ("Agreement") effective January 1, 20  through December 31, 20  for the software maintenance of the Customer's Computer Aided Dispatch SystemZLWKWZRRSWLRQDORQH\HDUH[WHQVLRQV
The above amounts cover the following license quantities:

Products Quantities
CAD Server
CPS-MED Medium Sized System 11-50 Users 1
CPS-MED-2ND Medium Sized System secondary server 1
Mobility Server
MOB-MED Medium Sized System 51-250 Users 1
MOB-MED-2ND Medium Sized System 51-250 Users 1
MIS Server
CPS-MIS MIS - Server 1
Mapping Server
LMAP-GDI GDITools 1
MAP-ARC GDI for ArcInfo 1
LMAP-AVS AVS Server 2
LMAP-AVL AVL Server 2
LMAP-AVRR AVRR Server (Road Closure Monitor) 2
Product Period 1
1/1/2025-12/31/2025
Option Year-Period 
1/1/2026-12/31/2026
Option Year-Period 
1/1/2027-12/31/2027
CommandPoint CAD/MIS $ 164,786.81 $ 173,026.26 $ 181,677.70 AVL w/ AVRR $ 8,278.61 $ 8,692.55 $ 9,127.18 CLETS via eSUN $ 10,364.21 $ 10,882.43 $ 11,426.56 CommandPoint® Map $ 990.00 $ 1,039.50 $ 1,091.48 CommandPoint® GDI Tools $ 4,116.21 $ 4,322.02 $ 4,538.13 CommandPoint® Mobile $ 44,221.16 $ 46,432.24 $ 48,753.91 Total $ 232,757.00 $ 244,395.00 $ 256,615.00
Resolution No. 2025-09
Exhibit "A"

121
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Public Service Agreement
Between the City of Escondido
And Peraton Inc.

Public Service Agreement
Clients
CPC-WKS Full Use CAD 30
CPC-MIS MIS User 5
CPC-VIEW AltarisView Map 30
CPC-MOB Mobility for Laptops/Tablets 175
Interface Vendor Interface Description
NG CLETS via eSun (ARJIS) 1
AT&T AT&T Vesta E911 (ANI/ALI) 1
USDD Fire Station Alerting (FSA) 0
NG EPAGE SMTP Paging 1
Motorola NetRMS Police RMS Transfer 1
Priority Dispatch Paramount ProQA 0
FireHouse SFTP RMS Transfer 0
Maintenance will be invoiced on a quarterly basis.

City of Escondido: Peraton Inc.
__________________________________
Signature of Authorized Representative Cynthia Williams Printed Name Printed Name
___ ______________________________
Title Title
Date
&\QWKLD:LOOLDPV
&RQWUDFW$GPLQLVWUDWRU
______________________________________
D
ate
Resolution No. 2025-09
Exhibit "A"

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STAFF REPORT

February 19, 2025
File Number 0430-80

SUBJECT
FY2024/25 MID-YEAR FINANCIAL STATUS REPORT AND BUDGET ADJUSTMENT REQUEST

DEPARTMENT
Finance

RECOMMENDATION
Request the City Council:

A. Receive and file the financial report for FY2023/24 (Attachment “1”); and B. Receive and file the second quarter financial report for FY2024/25 (Attachment “2”); and C. Adopt Budget Adjustments (Attachment “2”) to amend the Fiscal Year 2024/25 operating budget.

Staff Recommendation: Approval (Finance: Christina Holmes, Director of Finance) Presenter: Christina Holmes, Director of Finance
ESSENTIAL SERVICE – Yes, Police Services; Fire/EMS Services; Keep City Clean for Public Health and Safety; Land Use/Development; Clean Water; Sewer
COUNCIL PRIORITY – Eliminate Structural Deficit

FISCAL ANALYSIS
See Below

PREVIOUS ACTION
On May 15, 2024, the City Council received the Fiscal Year (“FY”) 2022/23 third quarter Financial report.

BACKGROUND
The City Council Budget and Financial Policies require that the City present quarterly financial reports each fiscal year. The purpose of this report is to provide City Council and the public a financial update of selected funds of the City. This report provides the City Council with the analysis of unaudited revenues and expenditures for F Y2023/24 in comparison to the adopted FY2023/24 budget for the General Fund 123
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and the General Fund financial status for FY2024/25 as of December 31, 2024. The financial highlights are summarized below.

Fiscal Year 2023/24 Financial Report
Operating revenue has not kept pace with the growing costs of providing City services since the Great Recession, and as a result, the General Fund long-term financial plan has projected annual deficits creating a structural budget deficit.

To address the predicted structural budget gap for the 2023/24 fiscal year, Departments were directed to submit their FY2023/24 General Fund operating budget at the same level as the prior year, FY2022/23, where possible. Once all revised General Fund budgets were submit ted to the Finance Department, and a summary of projected revenue and expenditures was prepared, the General Fund operating budget projected a net operating deficit of $11,295,840.

In order to continue to provide essential City services, City Council appro ved a combination of using reserve balances as well as deferring major purchases to future years in order to close the budget deficit:
 Utilizing the Section 115 Pension Trust Fund for the increase in CalPERS costs, estimated at $1,500,640, for FY2023/24.
 Deferring vehicle replacements to future years for all General Fund departments, except for Public Safety vehicles, to save $1,148,800 and utilizing reserves from the Fleet Services Fund of $3,610,070.
 Changing the funding methodology of the General Liability Reserve Fund and reducing reserves by $2,995,840.
 Including the Historical Cost Savings Reduction of $1,000,000 in recognition of annual savings from vacant positions during the fiscal year, offset by a Cost Savings Contingency amount of $400,000, to give some flexibility in managing available resources to be used throughout the fiscal year under the direction of the City Manager.
 Utilizing funds from the Revenue Loss Provision of the American Rescue Plan Act to close the remaining General Fund operating budget deficit of $1,440,490 in FY2023/24.

At the end of FY2023/24, the General Fund has a net operating surplus of $2,700,554. R evenues have exceeded the budget ed amount by $4.8 million , while expenditures are under budget by $1.3 million , shown in the table below. Attachment “1” to this staff report includes an analysis of General Fund operating revenues, expenditures, and reserve balances for the fiscal year ending June 30, 2024.

Fiscal Year 2024/25 Mid-Year Financial Report
As noted above, the FY2023/24 General Fund operating budget started with a net operating deficit of $11,295,84. Staff recommendations to close the budget deficit included a combination of using reserve 124
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balances as well as deferring major purchases to future years; however, this did not address the structural budget deficit which was projected to be about $11.3 million in FY2024/25.

To address the predicted structural budget gap for the upcoming fiscal year, Departments were directed to submit their FY2024/25 General Fund operating budget at the same level as the prior year, FY2023/24, while prioritizing the City Council’s Essential S ervices and Council Priorities. As a result of Departments minimizing their budgeted expenses and the additional actions described below, the proposed FY2024/25 General Fund Operating Budget is closed without the use of Reserve Funds:
 Library Management Agreement – ($3,033,490). On January 31, 2024 City Council approved the use of American Rescue Plan Act Funds for the FY2024/25 and FY2025/26 Management Agreement with LS&S.
 California Center for the Arts, Escondido (CCAE) Management Agreement – ($1,837,330). On January 31, 2024 City Council approved the use of American Rescue Plan Act Funds for the FY2024/25 Management Agreement with the Foundation and Utilities.  Humane Society Contract – ($857,570). The City has a contract with the San Diego Human Society for animal control services, the FY2024/25 operating budget included resources needed to fund the contract through its expiration date of December 31, 2024.  Elimination of 10 Full-Time Vacation Positions – ($915,000). The FY2024/25 operating budget also includes the elimination of 10 full-time vacant positions from various departments which reduced employee service expenses by $915,000.

As of December 31, 2024, the General Fund revenues are at 32 percent of total budgeted operating revenue and exp enditures are at 50 percent of total budgeted operating expenses . Attachment “2” to this staff report includes an analysis of General Fund operating revenues, expenditures, and reserve balances for the second quarter ending December 31, 2024.

Recommended Budget Adjustments:

Commitments (carryovers) of $262,510. Commitments are obligations incurred in the FY2023/24 operating budget that were not completed by the end of the fiscal year and, as a result, the remaining obligated amounts will be expended in th e new fiscal year. All items have been obligated under a purchase order, the result of a FY2023/24 budget adjustment, or specifically referenced in the FY2023/24 adopted line-item detail budget. Items totaling $221,610 for the General Fund are as follows:
 Development Services professional services contract with Matri x Consulting Group for the development process streamlining project ($110,485); and  Planning Department professional services contract with Granicus for the Short-Term Rental analysis services ($21,150); and
 Engineering Department professional services contract with SCS Engineers for the ongoing remediation of OG Market ($7,875); and
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 Continuation of Code Compliance workstation improvements ($11,440); and  Fire Department professional services contract with AP Triton to complete the Standards of Coverage Study ($74,860); and
 Communications Department professional services agreement with CivicPlus for website hosting services ($36,700).

Implementation & Technical Support of Workday Enterprise Resource Planning Software ($522,700). On May 10, 2023 City Council approved a services agreement with Collaborative Solutions to assist City staff in the implementation of the Enterprise Resource Planning (“ERP”) Workday software. This ERP solution integrates all of the core systems that supp ort the entire City into a single system – accounting, human resources, payroll, procurement, capital assets, budget, and many more, providing many modern tools that will enable the City to maintain and improve service to the City’s customers (citizens, bu sinesses, visitors, and staff). It will enable the integration of core business processes and facilitate consistent, integrated reporting with fewer resources. This in turn will enable additional oversight and accountability.

The ERP system will bring bro ad-based functionality and modern tools that can enable efficiency and transparency for many years to come.

The Workday software project began in July 2023 with a very aggressive 12 -month implementation timeline. In January 2024, it was determined that th e go live date of June 2024 did not allow sufficient time to fully test the system and train nearly 1,000 City staff to use the software. The go live date was pushed back to December 2024 resulting in an extension of the professional services contract wit h Cognizant and the need for additional project funding of $442,700.

A second contract with Cognizant is also recommended for Post-Production Services. This will ensure the software is running smoothly in the first year post go -live. The total cost of the 12 -month contract is $192,000; a budget adjustment of $80,000 is requested for the remaining 5 months of the fiscal year.

The Workday project is funded by the General Fund, Water Fund, and Wastewater Fund based on a percentage of total employees. Therefore, the budget adjustment will also be split between the funds as follows:
 General Fund - $407,700
 Water Fund - $57,500
 Wastewater Fund - $57,500

Reimbursement to Library Systems & Services for FY2023/24 Utilities ($59,992). In October 2017 the City Council approved a management agreement with Library Systems & Services (“LS&S”) for management of the City’s library. The terms of the management agreement stipulate that LS&S will be responsible for utilities (gas, electric, water, sewer) at the base year rate of $137,900 plus a cumulative 3 percent 126
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escalation; any increases above that amount would be the City’s responsibility for actual costs incurred.

In FY2023/24, the total utilities cost exceeded the annual maximum of $164,660 by $59,992.66 which will be refunded back to LS&S.

Library Relocation ($35,000) . In order to accomplish the work associated with the Building Forward Library Infrastructure Grant project, the library will need to close during construction. To mitigate the impacts on the community, library materials and services will be temporarily relocated to a vacant commercial space at 224-228 Grand Ave. This funding is needed in order to prepare the site for this use.

Staff Positions for Programs . To setup and operate the Short -Term Rental program approved by City Council in December 2024 , City staff are recommending the addition of staff positions and equipment including: 1 Deputy City Attorney, 1 half-time Legal Assistant, 1 Police Department Program Coordinator, 2 Code Enforcement Officers, and 2 Code Compliance Vehicles. In addition, the City Manager’s Office is recommending the addition of a Management Analyst position . The budget adjustment funds the positions for the remainder of FY2024/25.

Staff Positions for Development Services. The Planning Division of the Development Services Department is recommending the addition of the following: 1 Principal Planner, 1 Senior Planner, 1 Associate Planner, and reclassify a current temporary part -time Department Specialist position to a Senior Administrativ e Assistant position. The budget adjustment funds the positions for the remainder of FY2024/25.

ATTACHMENTS
a) Attachment “1” – FY2023/24 Financial Report
b) Attachment “2” – FY2024/25 Second Quarter Financial Report c) Attachment “3” – Budget Adjustment Request
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1 FY2023/24 Financial Status Report
For the Fiscal Year Ending June 30, 2024

OVERVIEW
This report summarizes the City’s financial position through the fiscal year ending June 30, 2024 for the General Fund, Water Fund, and Wastewater Fund.  The purpose of the report is to provide City Council, City Management, and the Escondido community an update on  the City’s fiscal status based  on the most recent financial information available.

The revenue projections and budget information include adjustments for encumbrances, carryovers, and any other supplemental appropriations approved by the City Council for fiscal year 2023/24.

This  report  is  for  internal  use  only.    The  figures  presented  her e  a r e  u n a u d i t e d  a n d  h a v e  n o t  b e e n  p r e p a r e d  i n accordance with Generally Accepted Accounting principles (GAAP) .

GENERAL FUND
Operating revenue has not kept pace with the growing costs of p roviding City services since the Great Recession, and as a result, the General Fund long‐term financial plan has projected annual deficits creating a structural budget deficit.

The  City  has  maintained  a  hardline  on  expenditures,  controlled costs  by  deferring  maintenance  and  capital  project costs, sought measures that ensure efficiency, and continued to  utilize one‐time grants and other sources of funding.

Revenue‐generating opportunities have also been explored and implemented as appropriate per City Council direction.

To address the predicted structural budget gap for the 2023/24 fiscal year, Departments were directed to submit their FY2023/24 General Fund operating budget at the same level as th e prior year, FY2022/23, where possible. Once all revised General Fund budgets were submitted to the Finance Depa rtment, and a summary of projected revenue and expenditures was prepared, the General Fund operating budget pr ojected a net operating deficit of $11,295,840.  In order to continue to provide essential City services, staff mad e recommendations to close the deficit that included a combination of using reserve balances as well as deferring major purchases to future years.

The projected FY2023/24 General Fu nd revenue estimate is $127.4  million, estimated to increase $7.5 million or 6% over the FY2022/23 amended revenue projection.  The total propo sed FY2023/24 General Fund Operating Budget is $130.7 million, which increased by approximately $5.6 million o r 4.4% compared to the FY2022/23 Operating Budget.

At  the  end  of  the  fiscal  year,  General  Fund  revenues  have  exceeded  the  budget  amount  by  $2.7  million,  while expenditures are under budget by $1.3 million, shown in the table below.

General Fund
Comparison of Projected FY2023/24 Operating Budget to Actuals FY2
023/24

ADOPTED
BUDGET
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
OVER /
(UNDER)

AMENDED
BUDGET  %
Total Operating Revenue  $127,403,060  $128,218,670  $132,133,893  $3,915,223 103% Total Operating Expenditures  (130,892,070)  (133,260,290)  (131,7 12,570)  (1,547,720) 99% Operating Transfers  1,852,000  515,286  515,286  ‐  ‐
Net Operating Surplus / (Deficit)  ($1,637,010)* ($5,055,764) $936,609 *American Rescue Plan Act Lost Revenue funds were used to close the FY2023/24 operating budget deficit Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

2 GENERAL FUND REVENUE
FY2023/24

AMENDED
BUDGET
ACTUAL RESULTS
JUNE 2024
ACTUAL RESULTS
JUNE 2023
Prior Year vs.

Current Year
Sales Tax  $49,507,600   $45,485,940   $47,103,020  ($1,617,080) Property Tax   35,068,340   37,314,520   34,913,390   2,401,130 Other Taxes   16,483,370   17,758,110   20,092,020   (2,333,910) Charges for Services   15,078,000   17,571,280   15,102,090   2,469,190 Intergovernmental  3,797,430  4,628,620   4,896,600  (267,980) Fines and Forfeitures   873,000   693,270   795,770   (102,500) Permits and Licenses   2,674,390   2,176,300   1,996,750   179,550 Rental Income   3,829,000  4,224,150   3,933,490   290,660 Investment Income  645,000 2,007,013 2,368,010  352,487 Other Revenue   262,000   274,690  208,400   66,290
TOTAL OPERATING REVENUE  $128,218,670  $132,133,893   $130,696,057   $1,437,837

Sales tax is the largest General Fund revenue source at 39% of total operating revenue followed by property tax, other taxes, and charges for services.  The chart below shows the maj or categories of revenue collected through June 30, 2024 compared to the revenue collected in the prior year through June 30, 2023.  Overall operating revenue increased $1437,837 compared to last fiscal year.

Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

3 Sales Tax (39% of Total General Fund Revenue): $45.5 million The  City  works  closely  with  its  sales  tax  consultant, AvenuInsights,  in  projecting  sales  tax  revenue.  Based  on AvenuInsights’  analysis  of  the  trend  in  year‐to‐date  tax receipts and an examination of the local economy, the City’s sales  tax  revenue  was  anticipated  to  decline  in  Fiscal  Year 2023/24  by  $1,504,600  or  3%  to  reach  $49.5  million.    A recession  in  2024  was  a  possibility,  but  continued  low unemployment and tight labor markets prevented a severe downturn.  The forecast provided by AvenuInsights assumed a  very  mild  recession  or  slowdown  starting  in  the  first quarter of FY2023/24 and lasting for the remainder of the fiscal year.

Actual sales tax receipts are under the June 2023 amount by $1,617,080,  indicating  that  the  economy  is  continuing  to slow from the post pandemic surge in spending
Transportation
The largest sales tax segment, 35% of total sales tax revenue, is Transportation, which includes new and used auto sales, auto repair shops, and service stations.

Sales  revenues  decreased  by  9%  compared  to  the  same quarter  in  the  prior  year.    Despite  an  increase  in  new  car registrations,  the  automobile  and  transportation  sector declined  2.6%  statewide.    Like  other  industry  groups, elevated financing costs are expected to create headwinds for auto sales.

Petroleum  per  barrel  costs  incr eased  significantly  in  the spring of 2022, and as a result, receipts received from fuel and  service  stations  increased  by  about  31%  compared  to the same quarter in the prior year.  However, gas prices have steadily dropped for two consecutive quarters.

‐5.4%

21.0%

12.6%
‐5.6% ‐3.4%
$25.0
$30.0
$35.0
$40.0
$45.0
$50.0
$55.0
2019 2020 2021 2022 2023 2024
Sales Tax
‐1%
30% ‐2%
‐8%
$5.0
$7.0
$9.0
$11.0
$13.0
$15.0
$17.0
$19.0
2020 2021 2022 2023 2024

TRANSPORTATION
Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

4 County Pool
Sales tax revenue received through the County Pool is now the second largest sales tax segment accounting for 17% of total sales tax revenue.

Effective in April 2019, new taxable sales are distributed to the City under the AB 147 Wayfair decision which extended the sales and use taxes to online and out‐of‐state retailers engaged in business in California.

However, the increase in activity from the countywide pool experienced during the pandemic has slowed; total receipts decreased  by  $1,216,724,  or  14%,  compared  to  the  prior year.  In addition, more in‐state fulfillment has diverted tax allocations  away  from  pools  and  toward  fulfillment  center sites

Construction
T h e  C o n s t r u c t i o n  s a l e s  t a x  s e g m e n t  w h i c h  a c c o u n t s  f o r revenue  generated from  building  materials, including both wholesale and general retail, d ecreased from the prior year by about 5%.

Overall construction activities have increased steadily since the  start  of  the  pandemic  in  2020  inflation  increased  this revenue  further  in  2023.    However,  building  and
construction  projects  continued  slowing  as  higher  interest rates  constrained  commercial  development,  public
infrastructure projects and new housing starts.

General Retail
General Retail and Food Products combined make up 25% of the total sales tax revenue for the City and declined slightly compared to the prior fiscal year.

The  decline  was  likely  driven  by  tighter  family  budgets, elevated interest rates, and diminished savings compared to the previous two fiscal years.

95%
30%
‐27% ‐3%
$‐
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
2020 2021 2022 2023 2024
COUNTY POOL

13%
7% 5% ‐2%
$‐
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
$7.0
2020 2021 2022 2023 2024

CONSTRUCTION

‐19%
27% 2% ‐3%
$‐
$1.0
$2.0
$3.0
$4.0
$5.0
$6.0
$7.0
2020 2021 2022 2023 2024
GENERAL RETAIL
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City of Escondido Fiscal Year 2023/24 Financial Report

5 Property Tax (27% of Total General Fund Revenue): $37.3 million Property  Tax  revenue  increased  by  $2,401,130  or  about

6.9% compared to this time in prior year.

The largest portions of property tax revenue are distributed by  the  County  in  December  and  April  each  year.    The FY2023/24 Operating Budget projected property tax growth o f  7 % .  T h i s  i s  a t t r i b u t e d  t o  a n  i n c r e a s e  i n  c u r r e n t  s e c u r e d and  unsecured  tax  projections,  along  with  an  increase  in property transfer taxes based on the current and projected development activity, such as permits, inspections, and plan checks, which indicate continued growth in property sales.

Other Taxes (13% of Total General Fund Revenue): $17.7 million Other  Taxes include franchise fee revenues, transient occupancy  tax, and  business license  revenue and  combined have decreased by $2,333,910 compared to the prior year.

Franchise Fees
The City collects franchise fee revenues from San Diego Gas and Electric (SDG&E), cable companies conducting business within  City  limits,  and  Escondido  Disposal  Incorporated (EDI).    Revenues  received  from  franchise  agreements decreased by $2.3 million from the prior fiscal year.  In the first  two  quarters  of  2024,  the  Escondido  Palomar  Energy Plant was shut down for maintenance.  This resulted in zero electric  emissions  during  this  time  and  therefore  no franchise  fee  revenue  was  due  to  the  City.    The  plant  was fully operational again in August.

Transient Occupancy Tax
Transient occupancy tax, also known as hotel tax, decreased by  $258,998  compared  to  the  prior  year.    The  tourism industry  was  impacted  significantly  as  a  result  of  the closures, and many forecasted its recovery would take much longer  than  it  has.    Between  FY2021/22  and  FY2022/23, transient occupancy tax receipts increased by 49% from the pre‐pandemic levels in March 2020.  It is expected that those receipts  will  remain  flat  going  forward  as  the  activity stabilizes in the industry.

4.7%

6.8%

4.8%

6.7%

6.9%
$25.0
$30.0
$35.0
$40.0
2019 2020 2021 2022 2023 2024
Property Tax

4.4% 4.2%

28.4%

28.4%
‐18.0%
$5.0
$6.0
$7.0
$8.0
$9.0
$10.0
$11.0
$12.0
$13.0
2019 2020 2021 2022 2023 2024
Franchise Fees

0.0% 0.0%

32.0% 3.8% ‐8.3%
$‐
$1.0
$2.0
$3.0
2019 2020 2021 2022 2023 2024
Transient Occupancy Tax
Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

6 Business License Revenue
All entities doing business in the City are required to have a valid business license.  The business license tax is calculated based on annual gross receipts; business license revenue from the 2023 calendar year is based off of 2022 gross
receipts.  Business license revenues decreased by $41,093 compared to the prior fiscal year.

Charges for Services (12% of Total General Fund Revenue): $17.6 million Charges for Services include paramedic fees, Community Services fees for recreational and community activities, and charges for development related services, which include Engineering and Planning fees.

T h i s  c a t e g o r y  o f  r e v e n u e  h a s  i n c r e a s e d  b y  $ 2 . 5  m i l l i o n primarily due to paramedic billing.  The City is receiving new revenue d u e  t o  t h e  G r o u n d  E m e r g e n c y  M e d i c a l Transportation  Program  implemented  at  the  end  of
FY2022/23 that utilizes Federal funding to supplement the ambulance billing revenue received for medical transports.

As  a  result  of  this  new  program,  additional  funds  of $3,673,774  have  been  recorded  since  the  inception  of  the program  offset  by  insurance  write‐downs  from  general paramedic billing.

Intergovernmental  (3%  of  Total  General  Fund  Revenue):
$4.6 million
Intergovernmental revenue includes the Rincon fire services agreement, state mandated cost claims, various grants, and revenue received from the fire mutual aid reimbursements.

Overall  revenue  has  decreased  $267,980  compared  to  the prior year.

The  City’s  Fire  Department  staff can  be deployed to assist other  State  agencies  with  responses  to  fires  and  other incidents.    The  California  Office  of  Emergency  Services reimburses the City for the time and resources of the staff deployed.    As  of  June  2024,  reimbursements  of  $245,988 have been recorded.

‐5.3%

16.7%
‐4.8%

5.0% 0.0%
$1.4
$1.6
$1.8
$2.0
$2.2
2019 2020 2021 2022 2023 2024
Business License Revenue
‐0.9% ‐6.0% 8.3%

28.0%

15.2%
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
2019 2020 2021 2022 2023 2024
Charges for Services

‐10.6%

21.4% ‐3.9% 0.0%
‐6.1%
$3.5
$4.0
$4.5
$5.0
$5.5
$6.0
2019 2020 2021 2022 2023 2024
Intergovernmental Revenue
Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

7 Permits and Licenses (2% of Total General Fund Revenue):
$2.2 million
Revenue generated from permits and licenses increased by $179,550  compared  to  fiscal  year  2022/23.    Construction and development activity continues driving building permit revenue compared to previous fiscal years.

Fines  &  Forfeitures  (1%  of  Total  General  Fund  Revenue):
$693,270
Fines & Forfeitures represent fees collected for vehicle code fines,  parking  ticket  fines,  other  court  fines,  code enforcement citations, and impound fees.  Overall revenue has  decreased  by  $102,500  compared  to  the  prior  fiscal year.

Rental Income (3% of Total General Fund Revenue):
$2.4 million
The City receives lease and rental income from City owned properties, such as the North County Mall.  Overall revenue has increased by $290,570 compared to the prior fiscal year.

0 . 0 %
166.7% ‐8.3% ‐9.1% 10.0%
$‐
$0.5
$1.0
$1.5
$2.0
$2.5
$3.0
2019 2020 2021 2022 2023 2024
Permits & Licenses

‐15.4%
‐18.2% 0.0% ‐11.1% ‐12.5%
$‐
$0.2
$0.4
$0.6
$0.8
$1.0
$1.2
$1.4
2019 2020 2021 2022 2023 2024
Fines & Forfeitures

‐9.5%

7.9%
‐4.9% 0.0% 0.0%
$3.0
$3.5
$4.0
$4.5
2019 2020 2021 2022 2023 2024
Rental Income
Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

8 Investment and Other Revenues (1% of Total General Fund Revenue): $2,2,281,703 Investments and Other Revenue includes interest earned from investing activities, and other miscellaneous receipts and combined increased by $418,777 compared to the prior year.

GENERAL FUND OPERATING EXPENDITURES
The  total  adopted  FY2023/24  General  Fund  Operating  Budget  is  $131.4  million,  an  increase  of  approximately  $5.6 million or 4.4% compared to the FY2022/23 Operating Budget.  In  order to address an $11.3 million budget deficit, vehicle  replacements  were  deferred  to  future  years,  reserve  funds  are  being  utilized  from  the  Fleet  Services  Fund, General Liability Fund, Section 115 Pension Trust and the American Rescue Plan Act Lost Revenue category of funds.

The following table includes cumulative expenditure comparisons for General Fund departments as of June 2024.

FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
ACTUAL

RESULTS
JUNE 2023
Prior Year vs.

Current Year
General Government Services  $8,571,380  $7,987,460  $8,294,290  ($306,830) Community Services  9,794,640  9,494,830  8,057,850  1,208,370 Development Services  8,455,740  7,161,940  7,064,030  97,910 Public Works  12,939,250  13,660,670  13,311,950  348,720 Police  55,167,640  55,063,100  51,401,620  3,661,480
Fire  34,506,440  33,923,720  31,129,110  2,794,610
California Center for the Arts  3,247,370  3,365,400  2,836,890  528,510 Other Expenditures  577,830  1,284,060  1,988,370  (704,310) TOTAL OPERATING EXPENDITURES  $133,260,290  $131,712,570   $124,084,110  $7,628,460

0 . 0 % ‐25.0% 33.3%
175.0%

36.4%
$‐
$0.5
$1.0
$1.5
$2.0
June
2019
June
2020
June
2021
June
2022
June
2023
June
2024
Investment Earnings

28.6%
‐11.1%
‐12.5%

14.3%

12.5%
$‐
$0.2
$0.4
$0.6
$0.8
$1.0
June
2019
June
2020
June
2021
June
2022
June
2023
June
2024
Other Revenue
Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

9 The City continues to be impacted  by a competitive labor market , as a result of recurring vacant positions and long recruitment  efforts  there  are  expenditure  savings  in  regular  salary  and  benefits  through  June  2024.    However,  the vacant positions have also increased the overtime expenditures  which are at 139% of the amount budgeted for the fiscal year.  The increase in overtime expenses is offset by the savings in employee services.

FY2023/24

AMENDED
BUDGET

ACTUALS
JUNE 2024
Over / (Under)
Amended Budget
% of
Budget
Employee Services  $106,029,055 $99,226,050 ($6,803,005)  94% Employee Services ‐ Overtime  6,396,105 8,861,390 2,465,285  139% SUBTOTAL EMPLOYEE SERVICES  $112,425,150 $108,087,440 ($4,337,720)  96% Maintenance and Operations  26,375,050 26,838,453 463,403  103% Internal Service Charges  12,464,710 12,464,710 0  100% Allocations  (17,404,630) (15,678,033) 1,726,597  90%
SUBTOTAL OPERATING
EXPENDITURES  $21,435,130 $23,625,130 $2,190,000  111%
Historical Cost Savings Reduction  (600,000) ‐ ‐  ‐
TOTAL OPERATING EXPENDITURES  $133,260,290 $131,941,180 ($1,547,72 0)  99%

Attachment "1"
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City of Escondido Fiscal Year 2023/24 Financial Report

10 The following table shows each department’s operating expenses compared to the amended budget for FY2023/24:

GENERAL GOVERNMENT SERVICES
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
City Council  $396,390 $90,000
(Community Survey)
$486,390 $402,736  ($83,654) 83%
City Manager  1,530,580 66,880 1,597,460 1,589,847  (7,613) 99% City Attorney  198,290 40,165 238,455 269,799  31,344 113% City Clerk  680,240 7,515 687,755 711,179  23,424 103%
City Treasurer  233,490 2,165 235,655 232,084  (3,571) 98% Finance  1,809,720 34,235 1,843,955 1,728,743  (93,822) 94% Human Resources & Risk Management  795,320 14,900 810,220 717,574  (92,646) 88% Information Systems & GIS  1,547,210 45,800 1,602,990 1,254,336  (34 8,652) 78% Communications & Digital Media  1,046,040 22,465 1,068,505 1,059,772  (8,734) 99% TOTAL GENERAL GOVERNMENT  $8,237,280  $333,300*  $8,571,385  $7,987,460  ($583,924)  93% * Approved March 20, 2024 – Community Survey $90,000.  Remaining budget adjustments are due to reallocation of employee services from Non‐Departmental.

Net Budget Impact = $0

COMMUNITY SERVICES
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
Recreation  $4,573,720  $9,315  $4,583,035  $4,270,327  ($312,708)  93% Main Library  3,771,040  ‐  3,771,040  3,771,040  ‐  100% Older Adult Services  727,170  7,905  735,075  71,308  (71,308)  90% Senior Nutrition  630,460  75,030  705,490  561,095  (144,397)  80% TOTAL COMMUNITY SERVICES  $9,702,390  $92,250*  $9,794,640  $9,266,230  ($528,422)  97% *Approved March 27, 2024 – Senior Nutrition Program Contract Increase of $73,432.  Other adjustments are due to reallocation of employee services from Non‐ Departmental.  Net Budget Impact = $0

DEVELOPMENT SERVICES
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
Planning  $2,391,860  $65,095  $2,456,955  $1,998,796  ($458,159)  81% Building  1,688,550  15  1,688,565  1,301,028  (387,537)  77% Engineering  3,251,450  38,845  3,290,295  2,961,315  (328,980)  90% Code Compliance  1,011,200  8,725  1,019,925  900,799  (119,126)  88% TOTAL DEVELOPMENT SERVICES  $8,343,060  $112,680*  $8,455,740  $7,161,938  ($1,293,802)  85% *Adjustments are due to reallocation of employee services from Non‐Departmental.  Net Budget Impact = $0

Attachment "1"
137
Item11.

City of Escondido Fiscal Year 2023/24 Financial Report

11 PUBLIC WORKS
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
Street Maintenance  $8,177,050  $402,164  $8,579,210  $9,362,337  $783,126  109% Park Maintenance  4,221,420  138,621  4,360,035  4,316,909  (43,125)   99% Radio Communications  ‐  ‐  ‐  (18,577)  (18,577)  0%
TOTAL PUBLIC WORKS  $12,398,470  $540,775  $12,939,245  $13,660,669  $721,424  106% *Carryovers from FY2022/23 = $487,580.  Remaining budget adjustments are due to reallocation of employee services from Non‐Departmental.  Net Budget Impact = $0

POLICE DEPARTMENT
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
Police Department  $54,209,820  $957,815*  $55,167,635  $55,063,101  ($104,534)  99% *Approved March 20, 2024 – reduced allocations to the utility funds of $870,000.  Remaining budget adjustments are due to reallocation of employee services from Non‐Departmental.  Net Budget Impact = $0

FIRE DEPARTMENT
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
Fire Department  $33,599,220  $907,215*  $34,506,435  $33,923,723  ($582,721)  98% *Approved March 20, 2024 – reduced allocations to the utility funds of $630,000.  Approved March 20, 2024 – increase in M&O offset by reimbursements from CalOES of $217,750.  Remaining budget adjustments are due to reallocation of employee services from Non‐Departmental.  Net Budget Impact = $0

CENTER FOR THE ARTS
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
California Center for the Arts  $3,247,370  $‐  $3,247,370  $3,365,400  $118,030  104%* *Utility expenses for San Diego Gas & Electric exceeded the budgeted amount.

OTHER EXPENSES
FY2023/24

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS
JUNE 2024
Over /
(Under)
Amended
Budget
% Of
Budget
Community Relations  $87,000  $‐  $87,000  $121,320  $34,320  139% Non‐Departmental  1,667,460  (576,630)*  1,090,830  1,162,735  71,90 5  107% TOTAL OTHER EXPENSES  $1,754,460  ($576,630)  $1,177,830  $1,284,155  $106,225  222% *Reallocation of employee services from Non‐Departmental to other Departments for Retirements, Vacation, and Comp‐Time payoffs.

Attachment "1"
138
Item11.

City of Escondido Fiscal Year 2023/24 Financial Report

12 GENERAL FUND RESERVES
In December 2015, City Council adopted a Fund Balance Policy and established a General Fund target Reserve balance of 25% of General Fund operating revenues in order to maintain adequate levels of fund balance. This goal is based on a risk‐based analysis to mitigate current and future risks, ade quately provide for cash flow requirements, and to fund one‐time unanticipated expenditure requirements.

Total General Fund budgeted operating revenue in FY2023/24 is $127,403,060 and 25% of this amount is $31,850,765.

The current General Fund Reserve balance is $17,392,319, or 14% of budgeted operating revenue, which is below the identified acceptable risk‐based analysis adopted by City Council and general government practices.

Section 115 Irrevocable Pension Trust Fund
In February 2018, City Council authorized the establishment of a Section 115 Irrevocable Pension Trust Fund.  The Trust Fund is used to set aside and hold money to meet future pension liabilities and can be used to provide economic relief during  recessionary  cycles  and/or  rate  increases  that  are  significantly  above  anticipated  projected  employee  rate increases.  Funds placed in this Trust can also be used to offset the City’s “normal” CalPERS costs, such that if funds are necessary for other purposes, a certain amount of flexibility is present.  Another benefit is that funds held in the Trust can be invested in the same manner as funds in a typical pensio n fund rather than as part of the City’s General Fund, which means a potentially higher rate of return.

When the Pension Trust Fund was established, a funding policy for contributions to the Fund was recommended and included the four years of annual Successor Agency Redevelopmen t Loan Repayments of $14 million that began in FY2018/19, future proceeds from th e sale of City Property belonging to the General Fund, and a portion of General Fund surplus at the end of each fiscal year, if one exists.

On June 30, 2024, the Section 115 Pension Trust Fund had a balance of $34,430,968 which included City contributions of $31,257,650 plus investment earnings net of expenses of $3,173,318.  The Trust Fund has a 3‐year rate of return of

0.31%, a 1‐year rate of return of 8.74%, and a 3‐month rate of return of 0.94%.

The following table provides a summary of the activity since the establishment of the Trust Fund.

Section 115 Pension Trust Fund
Initial Deposit – General Fund $1,984,000
General Fund Operating Results (5 years) 20,705,235
Successor Agency Advance Repayments 8,568,415
Investment Earnings, net of expenses 3,173,318
Balance as of June 30, 2024 $34,430,968

Attachment "1"
139
Item11.

City of Escondido Fiscal Year 2023/24 Financial Report

13 WATER FUND
The  Water  Fund  ended  the  fiscal
year  with  net  revenue  of  $10.5
million, a decrease of $1.1 million
compared  to  the  prior  year.

Water  usage  charges  increased
compared to the prior year.  This
was  offset  by  an  increase  in
operating expenses, primarily due
t o  a n  i n c r e a s e  i n  t h e  c o s t  o f
Chemicals.

The City has agreed to set charges
for  water  services  each  year  at
rates  sufficient  to  produce  net
revenues  (after  paying  operating
and  maintenance  expenses,
excluding depreciation, GASB 68 pension accounting entries and  interest) of at least 1.20 times debt services on the bonds.    As  shown  in  the  chart  above,  the  City  has  met  this  debt se r vi c e c ove r ag e  i n b oth  f i sc al  ye ar s.    Ex c e ss n e t revenues  are  used  to  fund  ongoing  capital  expenditure  projects  needed  to  maintain  the  City’s  water  system infrastructure.

WASTEWATER FUND
The  Wastewater  Fund  ended
the fiscal year with net revenue
of  $10.0  million,  a  decrease  of
$1.5  million  compared  to  the
prior  year.    This  was  primarily
the  result  of  a  decrease  in
wastewater  charges  for
services,  offset  by  increases  in
Utilities  and  general  operating
expenses.

T h e  C i t y  h a s  a g r e e d  t o  s e t
charges for wastewater services
each  year  at  rates  sufficient  to
produce  net  revenues  (after
paying  operating  and
maintenance expenses, excluding depreciation, GASB 68 pension accounting entries and interest) of at least 1.15 times debt services on the bonds.  As shown in the chart above, the C ity has met this debt service coverage in both fiscal y e a r s .    E x c e s s  n e t  r e v e n u e s  a r e  u s e d  t o  f u n d  o n g o i n g  c a p i t a l  expenditure  projects  needed  to  maintain  the  City’s wastewater system infrastructure.

ACTUAL

RESULTS
JUNE 2024
ACTUAL

RESULTS
JUNE 2023
PRIOR YEAR VS
CURRENT YEAR
Operating Revenues $73,199,568  $68,184,223  ($5,015,345) Operating Expenses (62,688,649)  (56,547,773)  6,140,876 Net Operating Income $10,510,919  $11,636,450  ($1,125,531) Amount Required for Long‐Term Debt Obligations:

Debt Service Payments $5,451,850  $5,554,152
Coverage Required 1.20  1.20
Amount Required 6,542,220  6,664,982
Excess of Net Revenues $3,968,699  $4,971,468

ACTUAL

RESULTS
JUNE 2024
ACTUAL

RESULTS
JUNE 2023
PRIOR YEAR VS
CURRENT YEAR
Operating Revenues $41,960,931 $39,970,939  $1,989,992
Operating Expenses (31,929,041) (28,448,441)  (3,480,600) Net Operating Income $10,031,890 $11,522,498  ($1,490,608) Amount Required for Long‐Term Debt Obligations:

Debt Service Payments $3,800,253 $3,716,802
Coverage Required 1.15 1.15
Amount Required 4,370,2961 4,274,322
Excess of Net Revenues $5,661,599 $7,248,176
Attachment "1"
140
Item11.

City of Escondido Fiscal Year 2023/24 Financial Report

14 FOR MORE INFORMATION
This summary report is based on detailed information generated  by the City’s Finance department.  If you have any questions or would like additional information on this report,  please contact the Finance department at (760) 839‐ 4676 or visit www.escondido.org.

Attachment "1"
141
Item11.

1 FY2024/25 Financial Status Report
Second Quarter Ending December 31, 2024

OVERVIEW
This report summarizes the City’s financial position through the second quarter ending December 31, 2024 for the General Fund. The purpose of the report is to provide City Council, City Management, and the Escondido community an update on the City’s fiscal status based on the most recent financial information available. The revenue projections and budget information include adjustments for encumbrances, carryovers, and any other supplemental appropriations approved by the City Council as of December 31, 2024.

This report is for internal use only. The figures presented here are unaudited and have not been prepared in accordance with Generally Accepted Accounting principles (GAAP).

GENERAL FUND
Operating revenue has not kept pace with the growing costs of providing City services since the Great Recession, and as a result, the General Fund long-term financial plan has projected annual deficits creating a structural budget deficit.

To address the predicted structural budget gap for the FY2024/25 fiscal year, Departments were directed to submit their General Fund operating budget at the same level as the prior year, FY2023/24, while prioritizing the City Council’s Essential Services and Council Priorities. As a result of Departments minimizing th eir budgeted expenses and the additional actions described below, the proposed FY2024/25 General Fund Operating Budget is closed without the use of Reserve Funds:
• Library Management Agreement – ($3,033,490). On January 31, 2024 City Council approved the u se of American Rescue Plan Act Funds for the FY2024/25 and FY2025/26 Management Agreement with LS&S. • California Center for the Arts, Escondido (CCAE) Management Agreement – ($1,837,330). On January 31, 2024 City Council approved the use of American Rescue Plan Act Funds for the FY2024/25 Management Agreement with the Foundation and Utilities.
• Humane Society Contract – ($857,570). The City has a contract with the San Diego Human Society for animal control services, the FY2024/25 operating budget included resources needed to fund the contract through its expiration date of December 31, 2024.
• Elimination of 10 Full-Time Vacation Positions – ($915,000). The FY2024/25 operating budget also includes the elimination of 10 full -time vacant positions from va rious departments which reduced employee service expenses by $915,000
The initial projected FY2024/25 General Fund revenue estimate is $132.9 million, estimated to increase $5.0 million or

3.9% over the FY2023/24 amended revenue projection. On July 10, 2024 City Council adopted an updated User Fee schedule which moved most fees to full cost recovery, increasing projected General Fund revenue by $2,601,020.

The total adopted FY2024/25 General Fund Operating Budget is $ 134.6 million, an increase of approximately $6.4 million or 5.0% compared to the FY2023/24 Operating Budget.

Attachment "2"
142
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

2 At the end of the second quarter, General Fund revenues are at 3 3% of the amended budget, while expenditures are at 48%, shown in the table below.

General Fund
Comparison of Projected FY2024/25 Operating Budget to Actuals FY2024/25

ADOPTED
BUDGET
FY2024/25

AMENDED
BUDGET

ACTUAL RESULTS
DECEMBER 2024 %
Total Operating Revenue $133,980,970 $133,980,970 $43,945,160 32% Total Operating Expenditures (134,581,410) (134,646,750) (66,786,737) 50% Operating Transfers 600,440 600,440 600,440 -
$- ($65,340) - -

GENERAL FUND REVENUE
The table below compares actual results for General Fund operating revenue as of December 2024 to December 2023.

FY2024/25

AMENDED BUDGET

ACTUAL RESULTS
DECEMBER 2024

ACTUAL RESULTS
DECEMBER 2023
Prior Year vs.

Current Year
Sales Tax $47,463,500 $15,071,930 $15,223,550 ($151,620) Property Tax 38,249,300 7,968,290 7,530,870 437,420
Other Taxes 19,579,850 5,022,570 4,220,900 801,670
Charges for Services 18,270,080 7,840,410 8,044,590 (204,180) Intergovernmental 4,164,460 3,403,610 2,607,950 795,660 Fines and Forfeitures 878,700 366,680 331,950 34,730
Permits and Licenses 1,785,630 1,865,370 1,283,980 581,390 Rental Income 4,030,980 2,020,470 1,916,320 104,150
Other Revenue 1,103,370 385,830 580,900 (195,070)
TOTAL OPERATING REVENUE $135,525,870 $43,945,160 $41,741,010 $2,204,150

Attachment "2"
143
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

3 Sales Tax (35% of Total General Fund Revenue): $14.6 million The City works closely with its sales tax consultant s in projecting sales tax revenue. The forecast for FY2024/25 was provided by AvenuInsights and a decline of about 4% compared to FY2023/24. A mild recession in FY2024/25 is possible but continued unemployment and tight labor
markets indicate that a severe downturn is unlikely.

Actual sales tax receipts are under the December 202 3
amount by $ 636,482, indicating that the economy is
continuing to slow from the post pandemic increase in
spending.

Property Tax (28% of Total General Fund Revenue): $7.9 million Property Tax revenue increased by $437,416 or about 6.3% compared to this time in prior year.

The largest portions of property tax revenue are distributed by the County in December and April each year. The
FY2024/25 Operating Budget projected property tax
growth of 9.1%. This is attributed to an increase in current secured and unsecured tax projections, along with an
increase in property transfer taxes based on the current and projected development activity, such as permits,
inspections, and plan checks, which indicate continued
growth in property sales.

Other Taxes (19% of Total General Fund Revenue): $5.0 million Other Taxes include franchise fee revenues, transient occupancy tax, and business license revenue and combined have increased by $801,672 compared to the prior year.

Franchise Fees
The City collects franchise fee revenues from San Diego Gas and Electric (SDG&E), cable companies conducting business within City limits, and Escondido Disposal Incorporated (EDI). Revenues received from franchise agreements
increased by $660,248 from the prior fiscal year. In the first two quarters of last year , the Escondido Palomar Energy Plant was shut down for maintenance. This resulted in zero electric emissions during this time and therefore no
franchise fee revenue was due to the City. The plant was fully operational again in August.

9.2%

14.5% -1.2%
-7.9%
-4.1%
$12.0
$13.0
$14.0
$15.0
$16.0
$17.0
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Sales Tax

7.8%

4.5%

5.6%

5.3%
$5.0
$6.0
$7.0
$8.0
$9.0
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Property Tax

10.5%

17.4%

20.7%
-26.1%
$1.0
$2.0
$3.0
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Franchise Fees
Attachment "2"
144
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

4 Transient Occupancy Tax
Transient occupancy tax, also known as hotel tax, increased by $ 23,298 compared to the prior year. The tourism
industry was impacted significantly as a result of the
closures, and many forecasted its recovery would take
much longer than it has. Between FY2021/22 and
FY2022/23, transient occupancy tax receipts increased by 49% from the pre -pandemic levels in March 2020. It is expected that those receipts will remain flat going forward as the activity stabilizes in the industry.

Business License Revenue
All entities doing business in the City are required to have a valid business license. The business license tax is
calculated based on annual gross receipts; business license revenue from the 2024 calendar year is based off of 2023 gross receipts. Business license revenues increased by $9,178 compared to the prior fiscal year.

Charges for Services (13% of Total General Fund Revenue): $7.8 million Charges for Services include paramedic fees, Community Services fees for recreational and community activities, and charges for development related services, which include Engineering and Planning fees.

This category of revenue has decreased by $204,180.

Community service fees are under the budgeted amount by $155,400.

The de crease in revenue is offset by the timing of
Development Services and paramedic services fees.

-50.0% 45.5% 8.3% -9.1%
$-
$1.0
$2.0
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Transient Occupancy Tax
-0.3%
-12.0%

14.3% -0.5%
$750,000
$800,000
$850,000
$900,000
$950,000
$1,000,000
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Business License Revenue
-9.6%

14.8%

14.1% 11.3%
$2.0
$4.0
$6.0
$8.0
$10.0
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Charges for Services
Attachment "2"
145
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

5 Intergovernmental (3% of Total General Fund Revenue):
$3.4 million
Intergovernmental revenue includes the Rincon fire services agreement, state mandated cost claims, various grants, and revenue received from the fire mutual aid reimbursements.

Overall revenue has increased $795,659 compared to the
prior year.

The City’s Fire Department staff can be deployed to assist other State agencies with responses to fires and other
incidents. The California Office of Emergency Services reimburses the City for the time and resources o f the staff deployed. As of December 202 4, reimbursements of
$1,038,622 have been recorded.

Permits and Licenses (1% of Total General Fund Revenue):
$1.9 million
Revenue generated from permits and licenses increased by $581,384 compared to fiscal year 202 3/24. Construction and development activity continues driving building permit revenue compared to previous fiscal years.

Fines & Forfeitures (1% of Total General Fund Revenue):
$366,680
Fines & Forfeitures represent fees collected for vehicle code fines, parking ticket fines, other court fines, code enforcement citations, and impound fees. Overall revenue has increased by $34,731 compared to the prior fiscal year.

11.5% 3.7% 0.0%
-3.8%
$2.0
$2.3
$2.6
$2.9
$3.2
$3.5
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Intergovernmental Revenue

50.1% 7.2%
-14.1%

27.5%
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Permits & Licenses
-23.6%

8.4% -34.7%
-3.2%
$250,000
$300,000
$350,000
$400,000
$450,000
$500,000
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Fines & Forfeitures
Attachment "2"
146
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

6 Rental Income (3% of Total General Fund Revenue):
$2.0 million
The City receives lease and rental income from City owned properties, such as the North County Mall. Overall revenue has increased by $104,157 compared to the prior fiscal year primarily due to increased receipts from the Vineyard Golf Course.

Investment and Other Revenues (1% of Total General
Fund Revenue): $385,830
Investments and Other Revenue includes interest earned
from investing activities, and other miscellaneous receipts and has decreased by $195,070 compared to the prior year.

0.0%

0.0% 5.3%

0.0%
$1.5
$1.6
$1.7
$1.8
$1.9
$2.0
$2.1
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Rental Income

21.1%
-131.6% 82.3%

11.1%
$-
$200,000
$400,000
$600,000
$800,000
Dec
2020
Dec
2021
Dec
2022
Dec
2023
Dec
2024
Other Revenue
Attachment "2"
147
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

7 GENERAL FUND OPERATING EXPENDITURES
The total adopted FY2024/25 General Fund Operating Budget is $ 134.6 million, an increase of approximately $ 6.4 million or 5.0% compared to the FY2023/24 Operating Budget. In order to address an $11 million budget deficit, Library Management Services and California Center for the Ar ts Management Services are funded by American Rescue Plan Act, the contract with the Humane Society was funded through December, and the City eliminated 10 full -time positions.

The following table includes cumulative expenditure comparisons for General Fund departments as of December 2024.

FY2023/24

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
ACTUAL

RESULTS

DECEMBER
2023
Prior Year
vs. Current
Year
General Government Services $7,850,150 $3,660,960 $3,633,030 $27,930 Community Services 6,716,600 3,211,410 4,569,580 (1,358,170) Development Services 8,752,940 4,274,400 3,170,280 1,104,120 Public Works 13,938,230 6,342,820 6,457,510 (114,690)
Police 59,113,870 29,085,860 26,358,870 2,726,990
Fire 35,636,680 18,456,410 16,684,840 1,771,570
California Center for the Arts 1,282,180 546,390 1,615,430 (1,069,040) Other Expenditures 1,356,100 1,208,490 651,640 556,850 TOTAL OPERATING EXPENDITURES $134,646,750 $66,786,740 $63,141,180 $3,645,560

The City continues to be impacted by a competitive labor market, as a result of recurring vacant positions and long recruitment efforts there are expenditure savings in regular salary and benefits through December 202 4. However, the vacant positions have also increased the overtime expenditures which are at 86% of the amount budgeted for the fiscal year. The increase in overtime expenses will be offset by the savings in employee services.

AMENDED
BUDGET
FY2024/25

ACTUALS

DECEMBER
2024
% of
Budget
Employee Services $109,244,940 $49,953,600 46%
Employee Services - Overtime 6,156,800 5,280,290 86%
SUBTOTAL EMPLOYEE SERVICES $115,401,740 $55,233,890 48% Maintenance and Operations 20,189,590 10,842,650 54%
Internal Service Charges 17,124,220 8,548,600 50%
Allocations (17,468,800) (7,838,400) 45%
SUBTOTAL OPERATING EXPENDITURES 135,246,750 66,786,740 49% Historical Cost Savings Reduction (600,000) - -
TOTAL OPERATING EXPENDITURES $134,646,750 $66,786,740 50% Attachment "2"
148
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

8 The following tables show each department’s operating expenses through December 2024 compared to the amended budget for FY2024/25:

GENERAL GOVERNMENT SERVICES
FY2024/25

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2024/25

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
% Of
Budget
City Council $414,950 $ - $414,950 $190,935 46%
City Manager 1,799,630 65,340* 1,864,970 756,357 41%
City Attorney 170,550 - 170,550 91,928 54%
City Clerk 642,520 - 642,520 315,870 49%
City Treasurer 180,110 - 180,110 141,871 79%
Finance 1,658,170 - 1,658,170 809,303 49%
Human Resources & Risk Management 717,430 - 717,430 269,012 51% Information Systems & GIS 1,471,640 - 1,470,640 744,562 49% Communications & Digital Media 729,810 - 729,810 341,120 53% TOTAL GENERAL GOVERNMENT $7,784,810 $65,340 $7,850,150 $3,660,956 47% *City Council July 10, 2024: Reclassification of Temporary Part-Time position to Full-Time Customer Service Representative

COMMUNITY SERVICES
FY2024/25

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2024/25

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
% Of
Budget
Recreation $4,744,940 $ - $4,744,940 $2,203,514 46% Main Library* 543,970 - 543,970 443,318 81%
Older Adult Services 729,830 - 729,830 349,646 48%
Senior Nutrition 697,860 - 697,860 214,936 31%
TOTAL COMMUNITY SERVICES $6,716,600 $- $6,716,600 $3,211,414 48% *Library Management Services with LS&S are funded by American Rescue Plan Act Funds in FY2024/25 & FY2025/26. Expenses are for maintenance and internal service charges

DEVELOPMENT SERVICES
FY2024/25

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2024/25

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
% Of
Budget
Planning $2,633,330 $ - $2,633,330 $1,290,222 49%
Building 2,005,690 - 2,005,690 773,829 39%
Engineering 2,973,100 - 2,973,100 1,594,609 54%
Code Compliance 1,140,820 - 1,140,820 615,740 54%
TOTAL DEVELOPMENT SERVICES $8,752,940 $- $8,752,940 $4,274,399 49%

Attachment "2"
149
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City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

9 PUBLIC WORKS
FY2024/25

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2024/25

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
% Of
Budget
Street Maintenance $9,452,300 $- $9,452,300 $4,397,820 47% Park Maintenance 4,485,930 - 4,485,930 2,116,088 47%
Radio Communications - - - (171,090) 0%
TOTAL DEVELOPMENT SERVICES $13,938,230 $- $13,938,230 $6,342,818 46%

POLICE DEPARTMENT
FY2024/25

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2024/25

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
% Of
Budget
Police Department $59,113,870 $- $59,113,870 $29,085,859 49%

FIRE DEPARTMENT
FY2024/25

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2024/25

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
% Of
Budget
Fire Department $35,636,680 $- $35,636,680 $18,456,412 52%

CENTER FOR THE ARTS
FY2024/25

ADOPTED
BUDGET
BUDGET

ADJUSTMENTS
FY2024/25

AMENDED
BUDGET
ACTUAL

RESULTS

DECEMBER
2024
% Of
Budget
California Center for the Arts* $1,282,180 $- $1,282,180 $546,390 43% *Center for the Arts Management Services with the CCAE Foundation are funded by American Rescue Plan Act Funds in FY2024/25. Expenses are for maintenance and internal service charges

Attachment "2"
150
Item11.

City of Escondido Fiscal Year 2024/25 Second Quarter Financial Report

10 GENERAL FUND RESERVES
In December 2015, City Council adopted a Fund Balance Policy and established a General Fund target Reserve balance of 25% of General Fund operating revenues in order to maintain adequate levels of fund balance. This goal is based on a risk-based analysis to mitigate current and future risks, adequately provide for cash flow requirements, and to fund one-time unanticipated expenditure requirements.

Total General Fund budgeted operating revenue in FY2024/25 is $132,924,390 and 25% of this amount is $33,231,098.

The current General Fund Reserve balance is $17,392,319, or 13% of budgeted operating revenue, which is below the identified acceptable risk-based analysis adopted by City Council and general government practices.

Section 115 Irrevocable Pension Trust Fund
In February 2018, City Council authorized the establishment of a Section 115 Irrevocable Pension Trust Fund. The Trust Fund is used to set aside and hold money to meet future pension liabilities and can be used to provide economic relief during recessionary cycles and/or rate increases that are significantly above anticipated projected employee rate increases. Funds placed in this Trust can also be used to offset the City’s “normal” CalPERS costs, such that if funds are necessary for other purposes, a certain amount of flexibility is present. Another benefit is that funds held in the Trust can be invested in the same manner as funds in a typical pension fund rather than as part of the City’s General Fund, which means a potentially higher rate of return.

When the Pension Trust Fund was established, a funding policy for contributions to the Fund was recomm ended and included the four years of annual Successor Agency Redevelopment Loan Repayments of $14 million that began in FY2018/19, future proceeds from the sale of City Property belonging to the General Fund, and a portion of General Fund surplus at the end of each fiscal year, if one exists.

On December 31, 2024 (most recent available as of the publishing of this report), the Section 115 Pension Trust Fund had a balance of $ 36,243,732 which include d City contributions of $ 31,257,650 plus investment earnings net of expenses of $4,216,754. The Trust Fund has a 3-year rate of return of 0.31%, a 1-year rate of return of 8.74%, and a 3- month rate of return of 0.94%.

The following table provides a summary of the activity since the establishment of the Trust Fund.

Section 115 Pension Trust Fund
Initial Deposit – General Fund $1,984,000
General Fund Operating Results (5 years) 20,705,235
Successor Agency Advance Repayments 8,568,415
Investment Earnings, net of expenses 4,216,754
Balance as of November 30, 2024 $35,474,404

FOR MORE INFORMATION
This summary report is based on detailed information generated by the City’s Finance department. If you have any questions or would like additional information on this report, please contact the Finance department at (760) 839 - 4676 or visit www.escondido.gov.

Attachment "2"
151
Item11.

BUDGET ADJUSTMENT

REQUEST
Department: Finance
Department Contact: Christina Holmes
City Council Meeting Date:
(attach staff report) February 19, 2025

EXPLANATION OF REQUEST
Fiscal Year 2023/24 Financial Status Report and FY2024/25 Mid Year Financial Update - Carryovers and Budget Amendments

BUDGET ADJUSTMENT INFORMATION
Project / Account
Description Ledger Accounts Spend Category Cost Center Fund Amount of
Increase /
(Decrease)
Carryovers
Professional
Services
Professional
Services Planning 1001 21,150
Carryovers Supplies
Minor Office
Equipment
Code
Enforcement 1001 11,440
Carryovers
Professional
Services
Professional
Services Building 1001 73,642
Carryovers
Professional
Services
Professional
Services Engineering 1001 44,719
Carryovers
Professional
Services
Professional
Services Fire 1001 70,660
Carryovers Supplies
Office / Operating
Supplies Water 1555 33,480
Carryovers
Professional
Services
Professional
Services Water 1555 3,220
Carryovers
Other Operating
Expenses Software Water 1555 20,700
Carryovers Capital Outlay
Other Capital
Outlay Water 1555 279,520
Carryovers
Professional
Services
Professional
Services Lakes 1555 92,160
Carryovers Supplies
Minor Tools &
Equipment Wastewater 1558 15,850
Docusign Envelope ID: 43AB8EC0-CDC0-4130-955B-D6F006888069 Attachment "3"
152
Item11.

Project / Account
Description Ledger Accounts Spend Category Cost Center Fund Amount of
Increase /
(Decrease)
Carryovers
Repairs &
Maintenance
Maintenance of
Equipment Wastewater 1558 13,360
Carryovers
Professional
Services
Professional
Services Wastewater 1558 251,360
Carryovers
Other Operating
Expenses Software Wastewater 1558 20,330
Carryovers Supplies
Minor Tools &
Equipment
Recycled
Water 1558 75,500
Carryovers
Repairs &
Maintenance
Maintenance of
Equipment
Recycled
Water 1558 12,300
Carryovers Fuel
Other Motive
Fuels Fleet Services 1653 28,035
Carryovers Capital Outlay
Motive
Equipment Fleet Services 1653 3,152,080
Carryovers
Professional
Services
Professional
Services
Communicatio
ns 1001 36,700
ERP Software Project n/a n/a n/a 1229 442,700
ERP Software Project
Professional
Services
Professional
Services
Non-
Departmental 1001 80,000
ERP Software Project Transfer In (7306)
Transfer In
RC_4999
Non-
Departmental 1229 442,700
ERP Software Project
Transfer Out
(7201)
Transfer Out
SC_5999
Non-
Departmental 1001 327,700
ERP Software Project
Transfer Out
(7201)
Transfer Out
SC_5999 Water 1555 57,500
ERP Software Project
Transfer Out
(7201)
Transfer Out
SC_5999 Wastewater 1558 57,500
Library Utilities Utilities Utilities Library 1001 60,000 Library Relocation
Professional
Services
Professional
Services Library 1001 35,000
Management Analyst
I/II
Personnel
Services Various
City Manager’s
Office 1001 31,470
Deputy City Attorney
Personnel
Services Various
City Attorney’s
Office 1001 39,160
Legal Assistant -
Halftime
Personnel
Services Various
City Attorney’s
Office 1001 12,200
Program Coordinator
Personnel
Services Various
Police
Department 1001 23,930
Code Enforcement
Officers (2)
Personnel
Services Various
Code
Compliance 1001 48,350
Code Compliance
Vehicles Capital Outlay
Motive
Equipment Fleet Services 1653 90,000
Docusign Envelope ID: 43AB8EC0-CDC0-4130-955B-D6F006888069 Attachment "3"
153
Item11.

Project / Account
Description Ledger Accounts Spend Category Cost Center Fund Amount of
Increase
Principal Planner
Personnel
Services Various Planning 1001 58,550
Senior Planner
Personnel
Services Various Planning 1001 46,870
Associate Planner
Personnel
Services Various Planning 1001 45,930
Senior Administrative
Assistant
Personnel
Services Various Engineering 1001 10,290

APPROVALS

DEPARTMENT HEAD DATE FINANCE DATE

Docusign Envelope ID: 43AB8EC0-CDC0-4130-955B-D6F006888069 2/10/2025 2/10/2025
Attachment "3"
154
Item11.

STAFF REPORT

February 19, 2025
File Number 0800-40

SUBJECT
INTERFAITH COMMUNITY SERVICES CONDITIONAL USE PERMIT MODIFICATION – PL24-0335

DEPARTMENT
Development Services Department

RECOMMENDATION
Request the City Council adopt Resolution No. 2025 -11, modifying a previously approved Conditional Use Permit (“CUP”) (PL24-0357) to modify existing social service operations. The modification would entail conversion of an existing 49-bed emergency shelter operation to withdrawal management services within an existing social services center. The withdrawal management services would be located in the same space previously used as an emergency shelter, with no change in total capacity on site. The Subject Site is located within the Light Industrial zoning designation (M -1) under the General Plan land use designation of “Light Industrial” (LI). The proposal also includes an environmental determination for the project.

Staff Recommendation: Approval (Development Services Department: Christopher W. McKinney, Deputy City Manager)
Presenter: Alex Rangel, Assistant Planner II
ESSENTIAL SERVICE – Yes, Keep City Clean for Public Health and Safety; Land Use/Development COUNCIL PRIORITY – Improve Public Safety

FISCAL ANALYSIS
Modification to this Conditional Use Permit would not result in fiscal impacts to the City.

PREVIOUS ACTION
On September 20, 2000, the City Council adopted Ordinance No. 2000-28 and Resolution No. 2000-225R to amend Article 26 (Industrial Zones) to allow “social services” as a conditionally permitted use within the Light Industrial zone (M-1) and to approve a Conditional Use Permit (“CUP”) at the 550 W. Washington Ave site (“Subject Site”) to allow Interfaith Community Services to operate a 10-bed veteran shelter and associated administrative social services.
155
Item12.

Since the original zoning code amendment and CUP from 2000, Interfaith Community Services has requested four subsequent modifications to their CUP all of which respective decision makers approved, as detailed in Table 1 below.

Table 1 – Applicant Permit History for 550 W. Washington Avenue

NO. PERMIT NO. DATE
APPROVED DECISION MAKER PERMIT GENERALLY APPROVED:
1 2000-03-AZ
2000-36-

CUP/BEZ
09/20/2000 City Council
Zoning Code Amendment to
conditionally allow “social service” uses
in M-1 zone, and a CUP for such use at
Subject Site.
2 2004-71-CUP 11/23/2004 Planning Commission Permit a 48-bed transitional housing component.
3 PHG11-0039 01/10/2012 Planning Commission Permit a 40-bed temporary winter shelter.
4 PHG15-0015 08/11/2015 Planning Commission Permit a 49-bed emergency shelter component.
5 PHG18-0045 01/24/2019 Zoning Administrator
Permit medical services for clients on-
site, and 10-withdrawal management
beds
In 2024, the City initiated a modification to the existing Conditional Use Permits to consolidate and clarify conditions of approval associated with the existing social service uses, result ing in minor changes to existing operations that seek to abate public nuisance concerns. This effort entailed a complete retooling of the previously approved conditions of approval, and was completed in a collaborative effort between City staff (Development Services, Police, and City Attorney’s Office) and Interfaith leadership. City Council adopted the revised conditions of approval per CUP (PL24 -0357) at their January 15, 2025 meeting. As a result of this approval, project PL24-0357 became the governing document for the land use.

On January 28, 2025, the Planning Commission held a duly -noticed public hearing for the applicant’s request to modify their recently amended and approved CUP (PL24-0357), specifically to eliminate their emergency shelter use in order to utilize the 49-bed emergency shelter for additional withdrawal management services (“Project”). A copy of the Planning Commission Staff Report is included in this report as Attachment “ 1.” During the January 28 th meeting, the Planning Commission discus sed numerous aspects of the use, including the recently approved City-initiated modification and the public safety concerns which led to said modification; Interfaith’s current utilization of the site; and the Project scope.

To allow for project and applicant flexibility, the Planning Commission made an informal recommendation that the City Council allow the applicant to utilize the 49 -bed component for other social service 156
Item12.

residential uses beyond that of withdrawal management services, such as those previously approved for the site in this location.

Ultimately, the Planning Commission voted 6 -1 to adopt Resolution No. 2025 -03R, recommending approval to the City Council of the project with minor modifications related to consistency issues within the approving documents.

BACKGROUND
Subject Site – 550 W. Washington Avenue
The Subject Site is located at the northeast corner of Washington Avenue and Quince Street, and is addressed as 550 W. Washington Avenue (Assessor’s Parcel Number(s): 229 -171-21-00; 229-171-11-00; and 229-171-10-00). The property has a General Plan land use designation of Light Industrial (LI), and is zoned Light Industrial (M-1) (see Attachment “2” – Aerial, General Plan, and Zoning). Surrounding zoning designations include Light Industrial zoning to the west and south (M-1); and General Commercial zoning to the north and east (C -G). The property is surrounded by urban development, with the World Marketplace to the west, fleet storage and other warehouse uses to the south, a hotel use to the east (entitled for conversion to Single Room Occupancy residential), and multi-family residential to the north.

Interfaith Community Services
Interfaith Community Services (“Interfaith”) is an existing non -profit organization that provides social service programs at various locations throughout San Diego County – including several in Escondido – and maintains their headquarters at the Subject Site (550 W. Washington Avenue). In addition to serving as the non-profit’s headquarters, the facility provides a range of support services including, but not limited to, transitional and emergency housing, case management and counseling, bulk food storage and distribution, and walk -up services (e.g., meals, showers, laundry, etc.) to clients as updated over time.

Interfaith has been operating at 550 W. Washington Avenue for more than 20 years (See Attachment “3” – Site Plan).

San Diego County Health & Human Services and Behavioral Health Services Department awarded Interfaith a full continuum contract to provide withdrawal management, residential, and outpatient services within the facility to their existing 10 -bed (County approved 11-beds) withdrawal management operation, approved per their 2019 CUP (PHG18-0045). The contract from the County is certified under the American Society of Addiction Medicine (“ASAM”) to provide patients with varying levels of care: 3.1,

3.2, and 3.5 (see Attachment “4” – ASAM use descriptions) for this location. The withdrawal management services are subject to the Drug Medi -Cal’s ( “DMC”) Substance Use Disorder Provider Operations Handbook (“SUDPOH”) standards, providing care to adults 18 years and above. In July of 2024, Interfaith was awarded a n expansion of this contract by the County of San Diego that authorizes 21 additional withdrawal management beds, expanding the existing 11-bed County contract to a total of 32 withdrawal 157
Item12.

management beds. This contract is scheduled to go into effect on February 24, 2025, at the request from Interfaith Community Services to coincide with potential City approval.

Homelessness Subcommittee Meetings
As part of the Homelessness Subcommittee proceedings surrounding the City -initiated modification to this CUP (approved at the January 15, 2025 City Council under Resolution No. 2025 -02R), the Homelessness Subcommittee comprised of two City Council members directed staff to return the subsequent applicant-initiated modification (“Project”) to City Council for final decision.

SUMMARY OF REQUEST
Interfaith requests to modify their recently approv ed CUP (PL24-0357), eliminating their emergency shelter use in order to utilize the 49-bed emergency shelter beds for additional withdrawal management services. Utilization of the 49-bed space would allow for future expansion of the contract with San Diego County from 32 beds up to a maximum of 59 beds (10 existing, plus 49 through this request) , while maintaining the current maximum bed-count approved under CUP (PL24-0357). If the applicant’s request is granted, the CUP would allow for a maximum of 59 -beds for withdrawal management services within the facility, and eliminate all emergency shelter operations currently permitted . Existing and proposed residential uses are detailed in Table 2, below.

Table 2 – Residential Uses at 550 W. Washington Avenue

RESIDENTIAL USE EXISTING PROPOSED
Transitional Housing
44 Beds (Originally
Approved under 2004-71-
CUP)
44 Beds (No Change)
Emergency Shelter
49 Beds (Originally
approved under PHG15-
0015)
0 beds (Elimination of Emergency
Shelter Component)
Veteran’s Shelter / Withdrawal
Management Services
10 Beds (Originally
approved under 2000-36-
CUP/BEZ, amended under
PHG18-0045)
59 Beds (10 existing and
conversion of 49 emergency
shelter to withdrawal
management beds)
TOTAL 103 Beds 103 Beds (No Change)
The proposed expansion of services would operate within an existing open-space room where the existing emergency shelter program currently operates. Residents would occupy a 2,241 square foot dormitory space, which includes an intake/staff office, a medica tion room, two bathrooms, two showers, a 158
Item12.

storage/laundry room, staff observation cubicle, and seating area. Clients in the withdrawal management services would have access to the amenities within the facility, such as the dining room and kitchen operated by staff and laundry facilities.

Operations, Intake, And Treatment
Under the current 10 -bed withdrawal management services operation, intake and admission for prospective withdrawal management clients is scheduled within 48 hours of admission. Treatment beds are filled on a first-come, first-served basis depending on availability. Medical clearance, when necessary, is available on-site through the co-located clinic provided by Neighborhood Health Care . If a bed would not be available within 48 hours, a transfer between alternative health care providers would take place at that time, and a Notice of Adverse Benefit Determination (“NOABD”) – Timely Access Notice is provided to the client and mailed to them or their parent/legal guardian. Interfaith does not maintain waiting lists for programs, but provides numerous resources to other programs that provide the required ASAM Level of Care (“LOC”) determined at time of the screening. Additionally, through a new Substance Abuse and Mental Health Administration (“SAMHSA”) grant award, Interfaith has also added a mobile outreach and intake team capable of in-the-field screening and transport to treatment.

Withdrawal management clients are assisted through the process of acute intoxication and non - threatening withdr awal symptoms, to a stable and fully supported drug -free/alcohol-free state.

Medications, including Medication Assisted Treatment ( “MAT”), may be prescribed by a physician or another licensed medical provider. Treatment begins immediately upon admission. For the first 24 hours, participants would complete an intake session with the intake coordinator or designated staff. During the initial 72-hour period, participants would undergo 30-minute observations, with vital signs checked every six hours. After this period, participants would begin meeting with their designated Substance Use Disorder (“SUD”) counselor to address concerns, provide care coordination, and begin discharge planning.

The duration of clinically managed residential withdraw al management (i.e., ASAM Level 3.2) would be determined on an individual basis, with a length of stay of 10 to 14 days with the possibility of an extension if clinically indicated and approved by the operator’s Medical Director. Administrative policies related to program admission (and readmission) for Interfaith Community Services’ Withdrawal Management Program are provided in Attachment “5”.

Applicant Request to Modify Gated Hours of Subject Site Interfaith staff are currently developing a Public Right-of-way Mitigation Plan per Conditions of Approval approved at the January 15, 2025 Council meeting, to identify how Interfaith will respond to loitering and prohibited items (e.g., shopping carts, wheeled carts, etc.) within the vicinity of the site. Upon r eview of the site and potential plan proposals, Interfaith identified that clients will often appear on-site outside of the property prior to the start of operations at 5 a.m., giving the appearance of loitering on site. 159
Item12.

Therefore, the applicant also requ ests as part of their modification, a change to Condition E.5 which requires the Quince driveway gate be locked from 10 p.m. to 5 a.m., requiring Interfaith’s morning clients to remain outside of the subject site’s boundaries, within the right -of-way. Interfaith proposes the gate be opened at 4 a.m., to allow clients to wait on-site, out of the public right-of-way. The hours of operation for Interfaith’s services would remain unchanged, starting at 5 a.m. and only the opening hour of gated access to the site would change from 5 a.m. to 4 a.m.

PROJECT ANALYSIS
The City’s Staff Development Committee reviewed the project against the City’s General Plan, zoning code, and development standards. The project is consistent with multiple components of the City’s General Plan, including the City’s Housing Element and Community Health and Services Element, as it provides for a range of housing opportunities and health care to target populations. Additionally, City staff reviewed the Project against the City’s zoning code and its appurtenant development standards, including industrial zoning requirements, social services limitations, parking regulation, and health and human safety. As the Project would not change the amount of clients, residential capacity on -site, or result in expansion of development on site, no further review was required for physical development standards on the site.

The Police Department par ticipated and collaborated heavily with the City -initiated modification approved at the January 15, 2025 City Council Meeting, and the COPPS Unit staff independently reviewed the proposed changes under this modification. COPPS Unit staff identified no issu es and/or concerns associated with Project approval, including the proposed gated hour change.

Conditions of Approval for the project are based on the City Council’s approval of the City -initiated modification (PL24-0357), and have been additionally modified for this request. The modified Conditions of Approval are provided under Attachment “6.”

ENVIRONMENTAL ANALYSIS
California Environmental Quality Act (“CEQA”) Guidelines lists classes of projects that have been determined to not have a significant impact on the environment and as a result are exempt from further environmental review under CEQA. The proposed Project q ualifies for an exemption under CEQA Guidelines section 15301 (Existing Facilities) because the Project is proposing a change of use which does not expand the current capacity of residential beds at the site, or the services provided. The CEQA Notice of Exemption prepared for the Project is incorporated into this staff report (see Attachment “7”). The Notice of Exemption demonstrates that the Project qualifies for this exemption and would not have a significant effect on the environment.

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Item12.

CONCLUSION AND STAFF/PLANNING COMMISSION RECOMMENDATION City Staff and the Planning Commission recommend the City Council adopt Resolution No. 2025 -11, modifying the previously approved Conditional Use Permits for “social services” to convert the existing 49-bed emergency shelter operation to withdrawal management services. The Planning Commission also informally recommends the City Council allow the applicant to utilize the 49-bed component of the Project for similar social service residential uses beyond that of withdrawal management services.

RESOLUTIONS
a) Resolution No. 2025-11
b) Resolution No. 2025-11 –Exhibit “A” –Legal Description c) Resolution No. 2025-11 –Exhibit “B” – Project Site Plan and Floor Plan d) Resolution No. 2025-11 –Exhibit “C” – Factors to Be Considered/ Findings of Fact e) Resolution No. 2025-11 –Exhibit “D” – Conditions of Approval

ATTACHMENTS
a) Attachment “1” – January 28, 2025 Planning Commission Staff Report b) Attachment “2” – Aerial, General Plan, and Zoning Maps c) Attachment “3” – Property Site Plan/Floor Plan
d) Attachment “4” – American Society of Addiction Medicine Use Descriptions e) Attachment “5” – Interfaith Community Services Withdrawal Management Program Administrative Policies
f) Attachment “6” – Draft Conditions of Approval
g) Attachment “7” – Draft CEQA Notice of Exemption
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Item12.

RESOLUTION NO. 2025-11

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

ESCONDIDO, CALIFORNIA, APPROVING A

MODIFICATION TO A CONDITIONAL USE PERMIT TO

EXPAND EXISTING WITHDRAWAL MANAGEMENT

SERVICES ON SITE

APPLICANT: Greg Anglea, Interfaith Community
Services

CASE NO(s): PL24-0335

WHEREAS, Greg Anglea on behalf of Interfaith Community Services (“Applicant”), filed a land use development application, Planning Case No. PL24 -0335 (“Application”) constituting a request for a modification to a Conditional Use Permit (PL24-0357) for the change in operations of social services within an existing social services center . The request includes allowances to convert an existing 49 -bed emergency shelter operation to withdrawal management services within an existing social services center (“Project”) on a 1.29 gross acre site located at 550 W. Washington Avenue (APNs: 229 -171-21-00; 229- 171-11-00; and 229 -171-10-00), within the General Plan Land Use Designation of Light Industrial (LI) in the Light Industrial Zone (M-1); and
WHEREAS, the subject property is all that real property described in Exhibit “A,” which is attached hereto and made a part hereof by this reference as though fully set forth herein (“Property”); and WHEREAS, the Application was submitted to, and processed by, the Planning Division of the Development Services Department in accordance with the rules and regulations of the Escondido Zoning Code and the applicable procedures and time limits specified by the Permit Streamlining Act (Government Code section 65920 et seq.) and the California Environmental Quality Act (Public Resources Code section 21000 et seq.) (“CEQA”); and
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WHEREAS, social services are permitted uses or conditionally permitted uses within the Ligh t Industrial Zone, subject to the approval of a Conditional Use Permit, in accordance with Article 61, Division 1 (Conditional Use Permits), and Article 26 (Industrial Zones) of the Escondido Zoning Code; and WHEREAS, on November 7, 2024, Interfaith staff and representatives attended the Homelessness Subcommittee meeting where the Subcommittee members provided feedback and direction to City staff on the existing conditional use permit ( “CUP”), including direction to progress forward potential future modifications identified at the November 7, 2024 meeting of the existing CUP to the City Council for ultimate decision in compliance with Article 61, Division 1 (Conditional Use Permits); and WHEREAS, pursuant to Article 61 (Administration and Enforcement), Division 1 (CUP), Section 33- 1207 (Modification or revocation of conditional use permits) the City Council maintains the authority to initiate proceedings for revocation or modification of an existing CUP; and WHEREAS, pursuant to CEQA and the CEQA Guidelin es (Title 14 of the California Code of Regulations, Section 15000 et. seq.), the City is the Lead Agency for the Project, as the public agency with the principal responsibility for approving the proposed Project; and WHEREAS, the Planning Division studied the Application, performed necessary investigations, prepared a written report, and hereby recommends approval of the Project as depicted on the plan set shown in Exhibit “B,” which is attached hereto and made a part hereof by this reference as though ful ly set forth herein; and
WHEREAS, City staff provided public notice of the application in accordance with the City (Article 61, Division 6) and State public noticing requirements; and 163
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WHEREAS, on January 28, 2025, the Planning Commission held a duly noticed public hearing as prescribed by law, and voted 6-1 to adopt Resolution No. 2025-03R recommending that the City Council approve the Applicant’s Project and adopt the Notice of Exemption for the Project; and WHEREAS, on February 19, 2025, the City Council held a duly noticed public hearing as prescribed by law, at which time the City Council received and considered the reports and recommendation of the Planning Division and gave all persons full opportunity to be heard and to present evidence and testimony regarding the Project. Evidence was submitted to and considered by the City Council, including, without limitation:
a. Written information including plans, studies, written and graphical information, and other material submitted by the Applicant; and
b. Oral testimony from City staff, interested parties, and the public; and c. The staff report, dated February 19, 2025, with its attachments as well as City staff’s recommendation on the Project, which is incorporated herein as though fully set forth herein; and
d. Additional information submitted during the public hearing; and WHEREAS, the public hearing before the City Council was conducted in all respects as required by the Escondido Municipal Code and the rules of the City Council; and WHEREAS, the City Clerk, whose office is located at 201 North Broadway, Escondido, CA 92025, is hereby designated as the custodian of the documents and other materials which constitute the record of proceedings up on which the City Council’s decision is based, which documents and material shall be available for public inspection and copying in accordance with the provisions of the California Public Records Act.
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NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Escondido, California , as follows:

1. That the above recitations are true and correct.

2. The City Council, in its independent judgment, has determ ined the Project to be exempt from environmental review pursuant to CEQA Guidelines Section 15301 (Existing Facilities).

3. After consideration of all evidence presented, and studies and investigations made by the City Council and on its behalf, the City Council makes the following substantive findings and determinations, attached hereto as Exhibit “C”, relating to the information that has been considered. In accordance with the Findings of Fact and the foregoing, the City Council reached a recommendation on the matter as hereinafter set forth. The City Council expressly declares that it would not have made this decision except upon and subject to each and all of said conditions, attached hereto as Exhibit “D”, each and all which shall run with the land and be binding upon the Applicant, the owner, and all subsequent owners of the Property, and all persons who use the Property for the uses permitted hereby.

4. The development plans for the Project are on file in the Planning Division of the Development Services Department and are available for inspection by anyone interested herein, and the development plans are incorporated herein b y this reference as if they were fully set forth herein. The Project is hereby conditionally approved as set forth on the Application and Project drawings, all approved by the City Council. Any deviations from the approved development plans shall be reviewed by the City for substantial compliance and may require amendment by the appropriate hearing body., and which shall not be altered without the express authorization by the Planning Division.

BE IT FURTHER RESOLVED that, pursuant to Government Code section 66020(d)(1):

1. NOTICE IS HEREBY GIVEN that the Project is subject to dedications, reservations, and exactions, as specified in the Conditions of Approval. The Project is subject to certain fees described in the 165
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City of Escondido’s Development Fee Inventory on file in both the Development Services and Public Works Departments. The Applicant shall be required to pay all development fees of the City then in effect at the time and in such amounts as may prevail when building permits are issued. It is the City’s intent that the costs representing future development’s share of public facilities and capital improvements be imposed to ensure that new development pays the capital costs associated with growth. The Applicant is advised to review the Planned Fee Updates portion of the web page, www.escondido.gov, and regularly monitor and/or review fee-related information to plan for the costs associated with undertaking the Project.

2. NOTICE IS FURTHER GIVEN that the 90-day period during which to protest the imposition of any fee, dedication, reservation, or other exaction described in this Resolution begins on the effective date of this Resolution, and any such protest must be in a manner that complies with Government Code section 66020.

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Resolution No. 2025-11
Exhibit “A”

EXHIBIT “A”
PLANNING CASE NO. PL24-0335

LEGAL DESCRIPTION

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Resolution No. 2025-11
Exhibit “A”

EXHIBIT “A”
PLANNING CASE NO. PL24-0335

LEGAL DESCRIPTION

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SITE PLAN
PROPOSED PROJECT: PL24-0335
EXHIBIT "B"
PLANNING CASE NO. PL24-0335

PROJECT SITE PLAN AND FLOOR PLAN
Resolution No. 2025-11
Exhibit "B"

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Resolution No. 2025-11
Exhibit “C”

EXHIBIT “C”

PLANNING CASE NO. PL24-0335

FACTORS TO BE CONSIDERED / FINDINGS OF FACT

Environmental Determinations:

1. Pursuant to the California Environmental Quality Act (Public Resources Code section 21000 et. seq.) (“CEQA”), and its implementing regulations (14 C.C.R. § 15000 et seq.) (“CEQA Guidelines”), the City of Escondido (“City”) is the Lead Agency for the project (“Project”), as the public agency with the principal responsibility for approving the Project.

2. The Project qualifies for the following exemption which has been determined to not have a significant effect on the environment, and are declared categorically exempt from the requirement for the preparation of environmental documents. The proposed Project is categorically exempt pursuant to CEQA Guidelines Section 15301 (“Existing Facilities”), in that the proposed project consists of a request for the modification of the operations component of a previously approved Conditional Use Permit, and no new construction or alteration is proposed. No expansion of the existing structure is proposed as part of this project.

3. Further, t he Project also does not trigger any exceptions to categorical exemptions identified in CEQA Guidelines section 15300.2. in that:
a. Cumulative Impact. The Project will not result in a cumulative impact from successive projects of the same type in the same place, over time, as the Project is consistent with the General Plan policies which were addressed in the General Plan Final EIR.
b. Significant Effect. There are no unusual circumstances surrounding the Project that would result in a reasonable possibility of a significant effect on the environment, as the area of impact is already disturbed and improved with an existing social services facility.
c. Scenic Highways. The Project will not damage scenic resources, including trees, historic buildings, rock outcroppings, or similar resources as the areas of impact have already been disturbed as the Project site is a previously developed site located in an urbanized area of the City.
d. Hazardous Waste Sites. The Project site is not located on a site as referenced in Section 65962.5 of the Government Code.
e. Historical Resources. The Project is not on a site which contains a significant historical resource, and would not cause a substantially adverse change to the significance of a historical resource.

4. The Planning Commission and City Council have each independently considered the full administrative record before it, which includes but is not limited to the February 19. 2025 City Council Staff Report and/or the January 28, 2025 Planning Commission Staff Report; 170
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Exhibit “C”

testimony by staff and the public; and other materials and evidence submitted or provide to it. The administrative record demonstrates that each of the above requirements have been satisfied. No substantial evidence has been submitted that would support a finding that any of the above -described exemption requirements has not been satisfied. The Project will not have a significant effect on the environment, and all of the requirements of CEQA have been met.

CONDITIONAL USE PERMIT Findings (PL24-0335)
(Section 33-1203 of Article 61, Division 1 – CONDITIONAL USE PERMITS of the Escondido Zoning Code)
With respect to the Conditional Use Permit, the Planning Commission finds and recommends that that City Council make the following findings for approval:

1. A conditi onal use permit should be granted upon sound principles of land use and in response to services required by the community;
The request for a modification of a previously approved Conditional Use Permit is granted upon sound principles of land use, in that the project is located within an existing industrial building occupied by social services, a use conditionally permitted wi thin the Light Industrial (M-1) zoning district of the City. The project is consistent with the City’s Housing Element, Goal No. 2, and General Plan Health and Wellness policies 1.1 and 1.5, as the proposed withdrawal management services would provide safe, available health care and supportive housing services to a target population in need. Further, those conditions identified under Exhibit “D” of Resolution No. 2025-11 ensure the conditional use operates in a manner consistent with the City’s Zoning Ordin ance and provides for a detailed process for future modifications and revocation.

2. A conditional use permit should not be granted if it will cause deterioration of bordering land uses or create special problems for the area in which it is located; The project site was developed under industrial zoning standards in effect at the time of development, and is occupied with a use conditionally permitted within the Light Industrial zone. Social services are permitted pursuant to Article 26, Table 33 -564. The operation proposed operates entirely within the existing 21,600 square foot industrial building with no building expansion proposed as part of the project. There is adequate parking available on site, and the modification would operate in a manner deemed consistent with previously approved operations. Further, those conditions identified under Exhibit “D” of Resolution No. 2025-11 ensure the conditional use operates in a manner consistent with the City’s Zoning Ordinance and provides for a detailed process for future modifications and revocation. Therefore, no deterioration of bordering land uses or special problems would occur.

3. A conditional use permit must be considered in relationship to its effect on the community or neighborhood plan for the area in which it is located; The City’s Staff Development Committee and Police Department reviewed the modification to the Conditional Use Permit , and based on the conditions applied to the 171
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Resolution No. 2025-11
Exhibit “C”

project outlined under Exhibit “D” and project scope described, conclude it is compatible with the surrounding properties and General Plan policies . The proposed project and services are located in an industrial zone (M-1) and comply with the geographical limits subject to social services . The project also meets the development standards and requirements of Article 26 (Industrial Zones) of the Escondido Zoning Code, and follows all applicable guiding policies identified within the General Plan’s Land Use Element. 172
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Resolution No. 2025-11
Exhibit “D”

1 EXHIBIT “D”
PLANNING CASE NO. PL24-0335
(2006-36-CUP/2004-71-CUP/PHG11-0039/PHG15-0015/PHG18-0045/PL24-0357)

CONDITIONS OF APPROVAL
This Project is conditionally approved as set forth on the application received by the City of Escondido and shall not be altered without express authorization by the Development Service Department.

Definitions:

For the purpose of these conditions, the following terms shall be defined as stipulated below:
“Applicant” and “Operator” shall be interchangeable. Both terms shall also mean the Project proponent, owner, permittee, and the Applicant’s successors in interest, as may be applicable. “Client”, “visitor” and “resident” shall be interchangeable. These three terms shall also mean any individual seeking, receiving, discharged from, removed from, and/or abandoned such services by the Operator.
“Permit” shall refer to the Conditional Use Permit approved under Resolution No. 2025-11.

A. General:

1. Acceptance of Permit. If the Applicant fails to file a timely and valid appeal of this Permit within the applicable appeal period, such inaction by the Applicant shall be deemed to constitute all of the following on behalf of the Applicant:
a. Acceptance of the Permit by the Applicant; and
b. Agreement by the Applicant to be bound by, to comply with, and to do all things required of or by the Applicant pursuant to all of the terms, provisions, and conditions of this Project Permit or other approval and the p rovisions of the Escondido Municipal Code or Zoning Code applicable to such Permit.

2. Permit Review. This Condition Use Permit shall automatically be reviewed by the Director of Development Services and Chief of Policy to determine if any modifications are necessary for the health, safety or welfare of the public after 12-months from the date of this approval.

The Permit shall be deemed expired if a building permit required by this CUP has not been obtained or work has been discontinued in the reliance of that building permit. If no building permits are required, the City may require a noticed hearing to be scheduled before the authorized agency to determine if there has been demonstrate d a good faith intent to proceed, pursuant to and in accordance with the provision of this Permit. 173
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2 3. Certification. The Director of Development Services, or his/her designee, is authorized and directed to make, or require the Applicant to make, all correct ions and modifications to the Project drawings and any other relevant document comprising the Project in its entirety, as necessary to make them internally consistent and in conformity with the final action on the Project. This includes amending the Proje ct drawings as necessary to incorporate revisions made by the decision -making body and/or reflecting any modifications identified in these conditions of approval. A final Approved Plan set, shall be submitted to the Planning Division for certification ele ctronically. Said plans must be certified by the Planning Division prior to submittal of any post-entitlement permit, including grading, public improvement, landscape, or building plans for the Project.

4. Conformance to Approved Plans.
a. If the current site plan, floor plans, or landscape plan differ from the con ditions of this Permit, the Applicant shall provide the Planning Division with an updated set of plans depicting conformance with these conditions, including, but not limited to a site plan and floor plans, and building elevations (as applicable). In the event any changes to site design trigger landscape changes, a Landscape Plan Check may be required pursuant to State Law. If such site design changes do not trigger a Landscape Plan Check, the Applicant shall provide an updated landscape plan in conformance with these conditions to the satisfaction of the Director of Development Services.
b. Nothing in this Permit shall authorize the Applicant to intensify the authorized activity beyond that which is specifically described in this Permit. c. Once a permit has been issued, the Applicant may request Permit modifications. “Minor" modifications may be granted if found by the Director of Development Services to be in substantial conformity with the App roved Plan set, including all exhibits and Permit conditions attached hereto. Modifications beyond the scope described in the Approved Plan set may require submittal of an amendment to the Permit and approval by the authorized agency.

5. Limitations on Use . Prior to any use of the Project site pursuant to this Permit, all Conditions of Approval contained herein shall be completed or secured to the satisfaction of the Development Services Department.

Any activity requiring a CUP per the Escondido Zoning Code not specified in the Project’s approving documents shall not be permitted as part of this Conditional Use Permit. Any request for an activity or activities not covered under this Permit shall be subject to Article 61, Division 1 of the Escondido Zoning Code. Temporary uses not stipulated under this Permit are subject to Article 73 (Temporary Uses, Outdoor Display and Sale of Retail Merchandise) of the Escondido Zoning Code.

6. Certificate of Occupancy.
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3 a. No change in the character of occupancy or change to a different group of occupancies as described by the Building Code shall be made without first obtaining a Certificate of Occupancy from the Building Official, as required, and any such change in occupancy must comply with all other applicable local and state laws. b. Prior to operation of any addition to or modification of the currently approved withdrawal management services, a Planning Final Inspection shall be completed to ensure that the property is in full compliance with the Permit terms and conditions.

The findings of the inspection shall be documented on a form and content satisfactory to the Director of Development Services.

7. Availability of Permit Conditions.
a. Within 30-days of this conditional approval, the Applicant shall cause a covenant regarding real property to be recorded that sets forth the terms and conditions of this Permit approval and shall be of a form and content satisfactory to the Director of Development Services.
b. The Applicant shall make a copy of the terms and conditions of this Permit readily available to any member of the public or City staff upon request. Said terms and conditions shall be printed on any construction plans that are submitted to the Building Division for plan check processing.

8. Right to Entry. Within 48 -hours of notice, the holder of this Permit shall make the premises available for inspection by City staff during construction or operating hours and allow the investigations of property necessary to ensure that minimum codes, regulations, local ordinances and safety requireme nts are properly followed. The Applicant shall provide such business records, licenses, and other materials reasonably necessary upon request to provide evidence of compliance with the conditions of approval, as well as federal, state, or laws.

9. Compliance with Federal, State, and Local Laws. Nothing in this Permit shall relieve the Applicant from complying with conditions, performance standards, and regulations generally imposed upon activities similar in nature to the activity authorized by this permit. (Permits from other agencies may be required as specified in the Permit’s Details of Request.) This Permit does not relieve the Applicant of the obligation to comply with all applicable statutes, regulations, and procedures in effect at the time that any engineering permits or building permits are issued unless specifically waived herein.

No part of this Permit’s approval shall be construed to permit a violation of any part of the Escondido Municipal or Zoning Code. During Project construction and aft er Project completion, the Applicant shall ensure the subject land use activities covered by this Permit is conducted in full compliance with all local and state laws.

10. Fees. The appropriate development fees and Citywide Facility fees shall be paid in accordance with the prevailing fee schedule in effect at the time of building permit issuance, to the satisfaction of the Director of Development Services. Through plan check processing, the Applicant shall pay development fees at the established rate. Such fees may include, but not be limited to: Permit and Plan Checking Fees, Water and Sewer 175
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4 Service Fees, School Fees, Traffic Mitigation Fees, Flood Control Mitigation Fees, Park Mitigation Fees, Fire Mitigation/Cost Recovery Fees, and other fees listed in the Fee Schedule, which may be amended. Arrangements to pay these fees shall be made prior to building permit issuance to the satisfaction of the Development Services Department.

Approval of this development project is conditioned upon payment of all applicable development fees and connection fees in the manner provided in Chapter 6 of the Escondido Municipal Code.

11. Public Art Partnership Program. All requirements of the Public Ar t Partnership Program, Ordinance No. 86 -70 shall be satisfied prior to any building permit issuance.

The ordinance requires that a public art fee be added at the time of the building permit issuance for the purpose of participating in the City Public Art Program.

12. Clerk Recording.
a. Exemption. If the environmental determination prepared for the Project is a categorical exemption, the City of Escondido hereby notifies the Applicant that the County Clerk’s Office requires a documentary handling fee of $50 in order to file a Notice of Exemption. In order to file the Notice of Exemption with the County Clerk, in conformance with California Environmental Quality Act (CEQA) Guidelines section 15062, the Applicant should remit to the City of Escondido Planning Division, within two working days of the final approval of the Project (the final approval being the date of this letter) a certified check payable to the “County Clerk” in the amount of $50. The filing of a Notice of Exemption and the posting with the Coun ty Clerk starts a 35 -day statute of limitations period on legal challenges to the agency’s decision that the Project is exempt from CEQA. Failure to submit the required fee within the specified time noted above will result in the Notice of Exemption not being filed with the County Clerk, and a 180 -day statute of limitations period will apply.
b. For more information on filing fees, please refer to the County Clerk’s Office and/or the California Code of Regulations, Title 14, Section 753.5.

13. Legal Description Adequacy. The legal description attached to the application has been provided by the Applicant and neither the City of Escondido nor any of its employees assume responsibility for the accuracy of said legal description.

14. Application Accuracy. The information contained in the application and all attached materials are assumed to be correct, true, and complete. The City of Escondido is relying on the accuracy of this information and Project-related representations in order to process this application. Any permits issued by the City may be rescinded if it is determined that the information and materials submitted are not true and correct. The Applicant may be liable for any costs associated with rescission of such permits.

15. Revocation, Suspension, Modification. At any time after Project implementation, the City may require a noticed public hearing to be scheduled before the Planning Commission to determine if there has been demonstrated a good faith intent to proceed in reliance on this approval. This item may be referred to the appropriate decision-making 176
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5 body upon recommendation of the Director of Development Services for review and possible revocation or modification of the Permit regarding non -compliance with the Conditions of Approval.

This Permit may be revoked, suspended or modified by the Planning Commission or City Council, or by the City Council on appeal, at any time regardless of who is the owner of the subject property or who has the right to possession thereof or who is using the same at such time, whenever, after a noticed hearing, and after the following findings are fully investigated:
a. A violation of any term or condition not abated, corrected or rectified within the time specified on the notice of violation; or
b. A violation of any City ordinance, state law, or federal law not abated, corrected or rectified within the time specified on the notice of violation; or c. The use as presently conducted creates or constitutes a nuisance.

16. Indemnification, Hold Harmless, Duty to Defend.
a. The Applicant shall indemnify, hold harmless, and defend (with counsel reasonably acceptable to the City) the City, its Councilmembers, Planning Commissioners, boards, commissions, departments, officials, officers, agents, employees, and volunteers (collectively, “Indemnified Parties”) from and against any and all claims, demands, actions, causes of action, proceedings (including but not limited to legal and administrative proceedings of any kind), suits, fines, penalties, judgments, orders, levies, costs, expenses, liabilities, losses, damages, or injuries, at law or in equity, including without limitation the payment of all consequential damages and attorney’s fees and other related litigation costs and expenses (collectively, “Claims”), of every nature caused by, ari sing out of, or in connection with (i) any business, work, conduct, act, omission, or negligence of the Applicant or the owner of the Property (including the Applicant’s or the owner of the Property’s contractors, subcontractors, licensees, sublessees, invitees, agents, consultants, employees, or volunteers), or such activity of any other person that is permitted by the Applicant or owner of the Property, occurring in, on, about, or adjacent to the Property; (ii) any use of the Property, or any accident, in jury, death, or damage to any person or property occurring in, on, or about the Property; or (iii) any default in the performance of any obligation of the Applicant or the owner of the Property to be performed pursuant to any condition of approval for the Project or agreement related to the Project, or any such claim, action, or proceeding brought thereon.

Provided, however, that the Applicant shall have no obligation to indemnify, hold harmless, or defend the City as to any Claims that arise from the sole negligence or willful misconduct of the City. In the event any such Claims are brought against the City, the Applicant, upon receiving notice from the City, shall defend the same at its sole expense by counsel reasonably acceptable to the City and shall indemnify the City for any and all administrative and litigation costs incurred by the City itself, the costs for staff time expended, and reasonable attorney’s fees 177
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6 (including the full reimbursement of any such fees incurred by the City’s outside counsel, who may be selected by the City at its sole and absolute discretion and who may defend the City against any Claims in the manner the City deems to be in the best interests of the City).
b. The Applicant further and separately agrees to and shall indemnify, hold harmless, and defend the City (including all Indemnified Parties) from and against any and all Claims brought by any third party to challenge the Project or its approval by the City, including but not limited to any Claims related to the Project’s environmental determinations or environmental review documents, or any other action taken by the City regarding environmental clearance for the Project or any of the Project approvals. Such indemnification shall include the Applicant’s payment for any and all administrative and litigation costs and expenses incurred by the City in defending against any such Claims, including payment for all administrative and litigation costs incurred by the City itself, the costs for staff time expended, and reasonable attor ney's fees (including the full reimbursement of any such fees incurred by the City’s outside counsel, who may be selected by the City at its sole and absolute discretion and who may defend the City against any Claims in the manner the City deems to be in the best interests of the City and the Project). c. The City, in its sole discretion and upon providing notice to the Applicant, may require the Applicant to deposit with the City an amount estimated to cover costs, expenses, and fees (including attorney’s fees) required to be paid by the Applicant in relation to any Claims referenced herein, which shall be placed into a deposit account from which the City may draw as such costs, expenses, and fees are incurred. Within 14 days after receiving written notice from the City, the Applicant shall replenish the deposit account in the amount the City determines is necessary in the context of the further defense of such Claims. To the extent such deposit is required by the City, the amount of such deposit and related terms and obligations shall be expressed in a written Deposit Account Agreement, subject to the City Attorney’s approval as to form. The City, in its sole and reasonable discretion, shall determine the amount of any initial deposits or subsequent deposits of funds, and the Applicant may provide documentation or information for the City to consider in making its determinations. Nothing within this subsection shall be construed as to relieve the Applicant’s obligations to indemnify, hold harmless, or defend the City as otherwise stated herein.

B. Construction, Maintenance, and Operation Obligations:

1. Code Requirements. All construction shall comply with the applicable requirements of the Escondido Municipal Code, Escondido Zoning Code, California Building Code; and the requirements of the Planning Division, Engineering Services Department, Director of Development Services, Building Official, City Engineer, and the Fire Chief in carrying out the administration of said codes. Approval of this Permit request shall not waive compliance with any City regulations in effect at the time of Building Permit issuance unless specifically waived herein.
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7 As a condition of receiving the land use approvals specified herein, Applicant shall maintain the property subject to the approvals in compliance with all applicable city codes governing the condition or appearance of property. In addition to compliance with such basic standards, the property subject to these approvals shall also be maintained free of trash, plant debris, weeds, and concrete (other than existing foundations and permanent structures). Any signs placed on the property advertising such property for sale or rent shall be in accordance with applicable laws, and be kept clean, in like-new condition, and free from fading and graffiti at all times. This condition shall be applicable from the date the land use is approved. The failure to comply with this condition shall subject the approvals specified herein to revocation for failure to comply.

To the satisfaction of the Director of Development Services, the Applicant shall provide on any building or fire submittals for plan check the following, to the satisfaction of the City Building Official and Deputy Fire Marshall:
 Square footage and occupant load of supportive housing uses;  Locations of fixtures, beds, etc. with dimensioned aisle clearances;  Exit signs, exist widths, lighting, emergency lighting, smoke detectors, fire extinguishers;
 Fire Sprinkler and Fire Alarm Plans as a deferred submittal to the Escondido Fire Department;
 Disabled accessible restrooms;
 One hour fire rated separation between any “B” occupancy and any proposed or existing “R -1” occupancy or nonseparated occupancies pursuant to Section 508.3 of the California Building Code.

2. Agency License and Permitting. In order to make certain on- or off-site improvements associated with the Approved Plan set, the Permit request may require review and clearance from other agencies. Nothing in these Conditions of Approval shall be construed as to waive compliance with other government agency regulations or to obtain permits from other agencies to make certain on - or off-site improvements prior to Final Map recordation, grading permit issuance, building permit issuance, or certificate of occupancy as required. This review may result in conditions determined by the reviewing agency.

At all times during the effective period of this Permit, the Applicant and any affiliated responsible party shall obtain and maintain in valid force and effect, each an d every license and permit required by a governmental agency for the construction, maintenance, and operation of the authorized activity.

3. Utilities. All new utilities and utility runs shall be underground, or fee payment in -lieu subject to the satisfaction of the City Engineer.

4. Signage. All proposed signage associated with the Project must comply with Article 66 (Sign Ordinance) of the Escondido Zoning Code. Separate sign permits will be required 179
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8 for Project signage. All non -conforming signs shall be removed. The Applicant shall submit with any sign permit graphic/list of all signs to be removed and retained, along with any new signage proposed.

5. Noise. All Project generated noise shall conform to the City’s Noise Ordinanc e (Ordinance 90-08).

6. Lighting. All exterior lighting shall conform to the requirements of Article 35 (Outdoor Lighting Ordinance) of the Escondido Zoning Code.

7. General Property Maintenance. The property owner or management company shall maintain the property in good visual and functional condition. This shall include, but not be limited to, all exterior elements of the buildings such as paint, roof, paving, signs, lighting and landscaping. The Applicant shall paint and re -paint all building exteriors , accessory equipment, and utility boxes servicing the Project, as necessary to maintain clean, safe, and efficient appearances.

8. Anti-Graffiti. The Applicant shall remove all graffiti from buildings and wall surfaces within 48 hours of defacement, includi ng all areas of the job site for when the Project is under construction.

9. Anti-Litter. The site and surrounding area shall be maintained free of litter, refuse, and debris. Cleaning shall include keeping all publicly used areas free of litter, trash, and garbage.

10. Roof, Wall, and Ground Level Equipment. All mechanical equipment shall be screened and concealed from view in accordance with Section 33 -1085 of the Escondido Zoning Code.

11. Trash Enclosures. All appropriate trash enclosures or other approved trash systems shall be approved by the Planning and Engineering Division. The property owner or management company shall be responsible for ensuring that enclosures are easily assessable for garbage and recyclables collection; and that the area is managed in a clean, safe, and efficient manner. Trash enclosure covers shall be closed when not in use. Trash enclosures shall be regularly emptied. There shall be the prompt removal of visible signs of overflow of garbage, smells emanating from enclosure, graffiti, pests, and vermin.
a. The treatment and disposal of medical waste shall adhere to all regulations of any responsible agency with control or oversight, including the Centers for Disease Control (CDC), Occupational Safety and Health Administration (OSHA), US Food and Drug Administration (FDA) and others, where applicable, even if not listed.

12. Staging Construction Areas. All staging areas shall be conducted on the subject property, subject to approval of the Engineering Department. Off -site staging areas, if any, shall be approved through the issuance of an off-site staging area permit/agreement.

13. Disturbance Coordinator. The Applicant shall designate and provide a point -of-contact whose responsibilities shall include overseeing the implementation of Project, compliance with Permit terms and conditions, and responding to neighborhood concerns. 180
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9 14. Construction Waste Reduction, Disposal, and Recycling. Applicant shall recycle or salvage for reuse a minimum of 65% of the non -hazardous construction and demolition waste for residential projects or portions thereof in accordance with either Section 4.408.2,

4.408.3, or 4.408.4 of t he California Green Building Standards Code; and/or for non - residential projects or portions thereof in accordance with either Section 5.408.1.1,

5.408.1.2, or 5.408.1.3 of the California Green Building Standards Code. In order to ensure compliance with t he waste diversion goals for all residential and non -residential construction projects, the Applicant must submit appropriate documentation as described in Section 4.408.5 of the California Green Building Standards Code for residential projects or portions thereof, or Section 5.408.1.4 for non -residential projects or portions thereof, demonstrating compliance with the California Green Building Standards Code sections cited above.

15. Construction Equipment Emissions. Applicant shall incorporate measures that reduce construction and operational emissions. Prior to the City’s issuance of the demolition and grading permits for the Project, the Applicant shall demonstrate to the satisfaction of the Planning Division that its construction contractor will use a cons truction fleet wherein all 50-horsepower or greater diesel -powered equipment is powered with California Air Resources Board (“CARB”) certified Tier 4 Interim engines or equipment outfitted with CARB-verified diesel particulate filters. An exemption from t his requirement may be granted if (i) the Applicant provides documentation demonstrating that equipment with Tier 4 Interim engines are not reasonably available, and (ii) functionally equivalent diesel PM emission totals can be achieved for the Project fro m other combinations of construction equipment. Before an exemption may be granted, the Applicant’s construction contractor shall demonstrate to the satisfaction of the Director of Development Services that (i) at least two construction fleet owners/operat ors in San Diego County were contacted and those owners/operators confirmed Tier 4 Interim equipment could not be located within San Diego County during the desired construction schedule, and (ii) the proposed replacement equipment has been evaluated using the California Emissions Estimator Model (“CalEEMod”) or other industry standard emission estimation method, and documentation provided to the Planning Division confirms that necessary project - generated functional equivalencies in the diesel PM emissions level are achieved.

C. Parking and Loading/Unloading.

1. A minimum of 52 parking spaces shall be provided and maintained at all times. Said parking spaces provided by the Applicant, and any additional parking spaces provided above the required minimum amount, shall be dimensioned per City standards and be maintained in a clean, well-marked condition. The striping shall be drawn on the plans or a note shall be included indicating double -striping per City standards. Up to 16 of the required parking spaces may be compact spaces per City standards.

2. Parking for disabled persons shall be provided (including “Van Accessible” spaces) in full compliance with the State Building Code.
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Exhibit “D”

10 3. No contractor, client/resident or employee may store, or permit to be stored, a commercial or construction vehicle/truck; or personal vehicle, truck, or other personal property on public-right-of-way or other public property without permission of the City Engineer.

4. The Operator shall be responsible for enforcing the Parking Management Plan for the 10- bed veterans' facility and the transitional housing facility approved in 2005 (dated May 9, 2005), which shall continue to remain in effect unless modified by the Planning Division.

The Operator shall provide a copy of such management plan to the Planning Division within 45-days of this Permit’s effective date.
a. The maximum number of vehicles allowed on site, which are owned or possessed by client/residents of the Veteran's Shelter or Transitional Housing Facility shall be limited to 14 vehicles. The number of vehicles permitted by the client/residents may be reduced by the Planning Division in the future based on the parking availability on the site.

5. The Operator shall be responsible for enforcing the allowed maximum number of vehicles on site for all operations. The number of vehicles permitted by the client/residents may be reduced by the Planning Division in the future based on the parking availability on the site and subject to the appropriate process identified within the Escondido Zoning Code.

6. All participants in the Alcoholics Anonymous and Narcotics Anonymous programs that operate three nights a week are limited to a maximum number of 23 vehicles.

D. Landscaping: The property owner or management company assumes all responsibility for maintaining all on-site landscaping; any landscaping in the public right-of-way adjacent to the property, including potted plants; and any retaining and freestandin g walls in a manner that satisfies the conditions contained herein.

1. Landscaped areas shall be maintained in a flourishing manner. Appropriate irrigation shall be provided for all landscape areas and be maintained in a fully operational condition.

2. All existing planting and planter areas, including areas within the public right-of-way, shall be repaired and landscaping brought into compliance with current standards. All dead plant material shall be removed and replaced by the property owner or management company.

3. If at the time of planning final inspection that it is determined that sufficient screening is not provided, the Applicant shall be required to provide additional landscaping improvements to the satisfaction of the Planning Division.

4. The landscaped areas shall be free of all foreign matter, weeds and plant material not approved as part of the landscape plan.

5. Failure to maintain landscaping and the site in general may result in the setting of a public hearing to revoke or modify the Permit approval.

E. Specific Planning Division Conditions:

1. This approval shall supersede all previous conditions set forth under approvals 2006-36- CUP/BEZ, 2004-71-CUP, PHG11-0039, PHG15-0015, PHG18-0045, and PL24-0357. All 182
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Resolution No. 2025-11
Exhibit “D”

11 applicable conditions from all aforementioned approvals have been either carried over into this approval and/or update d to current standard conditions as applicable to current operations.

2. Use Limitations: This Conditional Use Permit allows for only the use activities identified in the Table below . Use activities and operations not expressly detailed below are not permitted by this Permit and may require subsequent amendments . Locations on the project site and intensities of such use activities are limited to those on the approved plan set provided under this Permit. Deviations from the approved plan set may qualify as a “minor” modification pursuant to Condition No. A.4 or may require subsequent amendment(s) to this Permit.
a. Permitted Uses:

Use Limitation Permitted Hours of
Operations
Transitional Housing
Facility
Maximum 44* clients per night Every day
All day and all night
Withdrawal
Management
Services1
Maximum 59* clients per night Every day
All day and all night
Outpatient Addiction
Treatment Services
-- Monday – Friday
11:00a – 8:00p
Administrative
offices and related
services
-- Monday – Friday
7:30a – 6:00p
Medical Services
(Primary Care and
Limited Specialty
Care)
Maximum of 437 SF, servicing only clients
of any ICS program; Limited specialty care,
such as podiatry and diabetes prevention.

Neighborhood Healthcare shall be the
larger provided however, another contractor
may operate medical services out of the
facility, within the designated location
shown on Approved Plans when granted
prior written approval by the Director of
Development Services.

Monday – Friday
7:30a – 6:00p

Saturdays
8:00a – 12:00p
Bulk food
storage/warehousing
and bulk distribution
-- Monday – Friday
8:00a – 5:00 p
Basic Needs
Morning Meal,
Showers, and
Laundry Services
 All food services shall require clients eat
their meals on site, out of view from the
public right-of-way. Staff shall ensure all
trash and refuse is disposed of on site
and in accordance with solid waste
requirements.
 Seasonal meals are allowed the day
before and the day of Thanksgiving,
Every Day
5:00a – 7:00a
183
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12 and the day before and of
Christmas;
 Sack meal distribution associated
with the Basic Needs Morning Meal
service. Sack meals shall be clearly
marked with Operator branding for
purposes of litter identification.
 The Operator shall mandate that all
walk-up service 2 clients register for
services in advance, engaging in an
onsite intake, assessment, and triage
process. The Operator shall share
demographic information and client
needs and outcomes with City of
Escondido to inform and support
planning to reduce homelessness and
increase public safety.

Food Pantry -- Monday – Friday
7:30a – 5:00p
Computer Lab -- Monday – Friday
7:30a – 5:00p
Hiring Hall -- Monday – Friday
5:30a – 10:30a
North County Labor
Connection
-- Monday - Friday
5:30a – 10:30a
Narcotics and
Alcoholics
Anonymous
Maximum 23 clients per session Mondays, Wednesdays,
and Saturdays
7:00p – 9:00p
NOTES:
* The number of clients allowed in this facility shall be limited solely to that facility’s location, as depicted within the approved Site Plan/Floor Plan.
1 A maximum of 10 beds identified as “Withdrawal Management Services” may also serve as a Veteran’s Shelter subject to the same restrictions should Operator choose to eliminate such services.
2 For purposes of this Permit, “walk -up services” shall constitute the following services when open to the general public: 1) Morning meal services, 2) Laundry services, 3) Shower services, 4) Any other meal services.

3. Personal Effects Storage: The Operator shall provide limited on-site storage for personal effects of clients. Limited storage shall mean incidental to the primary uses of Administrative Offices and Supportive Housing operations. The Operator shall be responsible for ensuring such personal effects are kept out of view from the public right - of-way, including whatever storage houses such personal effects, to the satisfaction of the Chief of Police and Director of Development Services.

4. Operational Program Rules and Regulations: The Operator shall enforce program rules and regulations at all times that transitional and supportive housing operations are open.

The Operator shall provide program rules and regulations to the Development of Director Services and Chief of Police annually as part of the Annual Reporting required for the CUP. Changes to program rules and regulations must be in substantial conformance with 184
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Resolution No. 2025-11
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13 the existing rules and regulations on record with the City or show how a substantial change is required or preferred by industry best practice.

5. Project Site Access: The Operator shall be responsible for maintaining a closed and locked driveway gate at the vehicle entrance located on the Quince St. frontage between the hours of 10:00p – 4:00a, daily. The Operator shall ensure Clients do not use the driveway entrance on Washington Avenue for pedestrian access, and must use the driveway entrance on Quince Street.
a. The Operator shall ensure gate locks comply with the City’s required Fire Code requirements.

6. Second Bathroom Facility: The Operator shall be responsible for permitting, installing and maintaining a second bathroom in the withdrawal management facility in compliance with the previous Conditional Use Permit Modification known as Planning Case No.

PHG15-0015.

7. Operational Requirements:
a. The Operator shall ensure that all clients provide identification and sign -in when using any service. The Operator of the shelter shall keep a record of all clients that sign-in, including a copy of their valid state issued ID with an identification number (if applicable), and the date of the sign-in, for a minimum of 3 years. Such records shall include at minimum, the pertinent information identified under Section 16D - 13 of Article 16D of the Escondido Municipal Code. Upon request by the City Manager or their designee, the Operator shall submit said reports within 24-hours unless otherwise stipulated, subject to state and federal privacy standards. b. The Operator shall provide constant staffing and supervision for all residential clients, including those in the Transitional Housing Facility and the Withdrawal Management Services. This shall include on-site case managers and providing client assessment and referral to ongoing services with an emphasis on individual self-sufficiency and successful graduation into their own independent housing.

8. Gathering/Break Area: The Operator shall provide a gathering/break area with a table and chairs for clients of the operator on the interior of the site. The area may be on the lawn areas adjacent to the building or in another approved location, and shall not be visible to the public.

9. Public Right-of-Way Mitigation Plan: The Operator shall provide a mitigation plan that identifies how the Operator will respond to loitering or prohibited items (e.g., shopping carts, wheeled carts, etc.) within the 200 -yard radius of the subject s ite. The mitigation plan shall detail the actions staff will take to abate such issues, including the party or parties responsible for addressing such, and identify turn -around times for ensuring compliance with this Permit.

F. Specific Code Compliance Division and Police Department Conditions:

1. Annual Reporting: The Operator shall prepare and provide an annual report to the Director of Development in soft copy (PDF or Word format) not to exceed 10 pages front 185
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Resolution No. 2025-11
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14 and back (20 total pages). The annual report shall be due each year following approval of this Permit on the date of the Permit’s effective date. The annual report may be emailed to [email protected] and [email protected]. The annual report shall include the following:
a. Provide and confirm any and all program rules and regulations are still valid. Any updates to program rules and regulations shall be identified in the annual report and shall substantiate why the change was made (e.g., change in provider; staffing capacity, etc.);
b. Detailed narrative along with pertinent data on how the Transitional Housing Facility and Withdrawal Management Services comply with mandatory regulations such as these conditions of approval, as well as whether and how these uses are operating in line with industry best practice;
c. Contracts with federal, state, and local agencies and or funding sources pertinent to the operations subject to this Permit;
d. Detailed narrative/updates on the following:
i. Internal policy of the Operator identifying when and how Operator can release information to the Escondido Police Department. Identification of how and with whom such policy is shared.
ii. Implementation of the Security and Operations Management Plan for the site, including how many security personnel are on site daily; in what shifts; and their applicable certifications;
iii. Explanation of how the operations comply with provisions for safe workplaces for health care and community service workers; iv. Explanation of how the medical facility complies with federal and state laws regulating the medical facility’s activity;
v. Description of standard operational procedure when experiencing disruptive behavior and/or mental health crises. “Disruptive behavior” and “mental health crises” shall be defined in the description provided within the Annual Report;
vi. Records as described in Condition F.7 below;
vii. Liaisons for the EPD and their contact information (phone/email); viii. Quantifiable and qualitative changes to staffing, if any, and identification of staffing numbers per facility and/or service,
ix. The Operator’s operation for defining and keeping personal effects on-site, including how long such storage is stored on -site and what occurs if illicit goods or substances are found within such effects.
e. Client sign-in records as stipulated in Condition No. E.8; 186
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15 f. Any and all identified concerns/issues the Operator is facing that could be alleviated through a modification to this Permit, and why /how the identified modification would alleviate such.

2. Document Requests: The Operator shall provide the Director of Development Services and Chief of Police, or their respective designees, business records, licenses, and other material necessary to determine compliance with conditions of approval within seven business days of the request, to their satisfaction. Such documents may be requested with more specificity at the time of request by the City. Business records, licenses, and other material may include but is not limited to:
 Security and/or staff management plan(s), including the any and all program rules and regulations, as well as information on licensed security personnel, such as evidence of certifications, deployment of personnel and schedules;  All services occurring on-site at the time of request as they pertain to the broader use categories identified in Condition No. E.2.a.;
 Information pertaining to Operator records identifying the number of individuals who leave service (or were at this location and offered service and refused); their place of origin (i.e., the location that referred them, or they physically came from); whether they are from a city of origin outside City limits; and identify whether they refused or accepted such transportation assistance to return to their city of origin;  Logs substantiating maximum capacities of those uses with maximum limitations;  Personnel training manuals;
 Process and procedure guides;
 Volunteer training manuals;
 Proof of possession of all required State and local permits for Transitional Housing.

Such documentation shall be provided in soft copy, in PDF or Word file type, and separated and labeled in a manner that is intuitive and clearly identifies each specific document. No single document shall exceed 100 pages in length, unless otherwise permitted by the appointed designee(s). In the event documentation provided does not follow the aforementioned format, City staff shall require the Operator to address such issue within seven business days or be in violation of this Condition of Approval.

3. Increased Calls for Service: In the event calls for service which originate from this location increase beyond the average of the past three years from the effective date of this Permit, the Operator shall attend quarterly meetings with City staff to check-in on use operations permitted by this Permit in an effort to reduce calls for service. Meetings shall be scheduled at least 14-calendar days in advance, be located on City property , and include representation from the Operator that has decision making authority for the uses on site.

4. City Referrals : For instances where the Escondido Police Department (EPD) refers persons who are screened and a fit for the purpose of placement within programming, the 187
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Resolution No. 2025-11
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16 Operator shall provide the highest priority for such persons. For persons who are referred by EPD but not placed, a written explanation shall be provided within four business days to the EPD contact who placed such request utilizing an established Referral for Service form. In the event such referral does not result in placement due to unavailable beds, the Operator shall provide alternative housing options to the referred persons and EPD in an effort to find assistance.

5. Vacancies: The Operator shall work with the Chief of Police, or their designee, to establish a vacancy and referral program within 6-months of this condition’s approval. This program shall be a collaborative effort with the intent of providing an identified process for how the Operator will notify the City of Escondido Police Department of vacancies in their programming that may be filled by City referral. The program sh all include an identified objective of the program; establish points of contact for both the City and Operator; include outlined process and steps that shall be taken in order to meet the intent of the program; and be approved by the Chief of Police or their designee.

6. Security: The Operator shall submit to the Planning Division a Security and Operations Management Plan within 90-days of the effective date of this Permit. The Plan shall be subject to review by the EPD’s Community Oriented Policing and Probl em Solving Unit (“COPPS Unit”) and shall include but is not limited to the following , which shall be described in detail: 1) Purpose of the plan; 2) Scope of the plan; 3) responsible party for monitoring the plan; 4) point of contact regarding the plan, in cluding full name, direct phone number, and email address; 5) the minimum and maximum number of employees on shift; 6) number of licensed security personnel and whether they are contractors or employees of the Operator; 7) identification of any employees used to augment security services; 8) identification of and the process and procedures for emergency situations; 9) any and all reporting and/or tracking conducted post an emergent situation; 10) any and all staff training on safety process and procedures; 11) client/resident valuable/belongings storage. Additional information may be requested as part of the annual reporting identified in Condition No. F.1.
a. Licensed Security Personnel: The Operator shall have 24 hour/7 days per week coverage of the property by at least two security guards licensed through the California Bureau of Security and Investigative Services during times when the pedestrian and vehicle access gates are open and by at least one security guard during times when the access gates are closed. Guards employed by the Operator shall have undergone a background check and received specialized security guard training. The security guards must, at a minimum, provide hourly foot patrols of the property to include the sidewalks surrounding 550 W. Washington Ave. b. Security Cameras: The Operator shall maintain security cameras that provide visual coverage of the entire project site and operate the cameras so that onsite employees are able to monitor their feed. The Operator shall allow the Escondido Police Department to inspect and verify camera locations and feeds within 45-days of this Permit’s effective date . Any “blind -spots” identified by EPD shall be 188
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17 corrected within 30-days of notice by EPD. The Operator shall provide verification of this correction to the satisfaction of the Chief of Police. c. Loitering: The licensed secur ity personnel, in conjunction with staff, shall be responsible for the loitering conditions described below:
i. The Operator shall post “no loitering within 200 -yards of 550 W.

Washington” signs on the project site, near the entrance to the facility on Quince Street and Washington Avenue, directing clients of the Operator’s services to the interior of the site.
ii. The Operator shall ensure strict supervision by licensed security personnel be provided for interior areas and exterior areas of the site. The following may not be placed within the public facing portions of the building, or within a 200-yard radius of the subject site : shopping carts, wheeled carts, food containers, s uitcases, bags , b icycles (unless properly placed in bicycle racks on private property).

7. Liaison: Within 14 days of this Permit’s effective date, the Operator shall provide the Escondido Police Department with two designees to operate as liaisons to the Escondido Police Department. The identified personnel shall be updated annually in the required report specified in Condition No. F.1. The liaison(s) shall have been designated full authority to comply with these conditions and any other laws. Upon request from the Police Department and pursuant to legal obligations of the Operator to not violate policy and the requirement to protect client confidentiality, the liaison(s) shall provide any clients’ identification or other information requested.

8. End of Services Rendered: The Operator shall make all reasonable and legal efforts in assisting and providing transportation for individuals who no longer are willing or able to participate in offered services to their city of origin prior to program onboarding. “Reasonable efforts” include but are not limited to providing directions and/or instructions on where the nearest public transit stop is located; providing access to a phone and the number for calling a taxi; and informing the individual of public transit routes and schedules readily available online. The Operator shall maintain a record of the number of individuals who leave service (or were at this location and offered service and refused); their place of origin (i.e., the location that referred them, or they physically came from); whether they are from a city of origin outside City limits; and identify whether they refused or accepted such transportation assistance to return to their city of origin.

9. Violations: For the purposes of this subsection, “violation” shall mean a single instance of a formal, issued Notice of Violation (s) by the City. A “Notice of Violation” may identify multiple violations; however, the single Notice of Violation letter shall constitute a single “violation” under this subsection.

The Operator shall be subject to the following process for violations of this Permit, as described in a. and b. below. In the event such conditions occur triggering Planning Commission and City Council review, the item shall be agendized as a public hearing item on the next regularly scheduled meeting, subject to public noticing requirements identified 189
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18 within Article 61 of the Zoning Ordinance. The Planning Commission shall determine whether to recommend revocation, modification, or otherwise to the City Council for final decision. If the Operator seeks a change of use under this Permit while a review is pending, the Operator shall not be granted such change unless directed by the City Manager until an ultimate decision is rendered by the Planning Commission and/or City Council.
a. The issuance of three or more Notice of Violation of any Condition of Approval set forth under Permit within the first 90-day period shall result in immediate review by the Director of Development Services and Chief of Police, or their appointed designees, for their ultimate decision on whether to suspend this Permit and /or refer this Permit to the Planning Commission and/or City Council. If referred to the Planning Commission and/or City Council, refer to the process outlined above. i. In the event this Permit is not revoked under the authority granted in subsection a. above, then any proceeding three or more Notice of Violations within a 90-day period, of any Condition of Approval set forth under this Permit , shall result in immediate review by the Director of Development Services and Chief of Police, or their appointed designees, for their ultimate decision on whether to suspend this Permit and shall automatically trigger review by the Planning Commission and/or City Council.
b. In the event fewer than three violations of this Permit occur within the first 90- day period, then for the subsequent three years following the end of the first 90- day period, five violations of any Condition of Approval set forth under this Permit within any 180 -day period shall in immediate review by the Director of Development Services and Chief of Police, or their appointed designees, for their ultimate decision on whether to suspend this Permit and shall automatically trigger review by the Planning Commission.
c. For any violation that may occur outside of the timeframes stipulated in a. and b. above, refer to Condition of Approval No. A.15 for process.

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DATE: January 28, 2025
PL24-0335 – Modification to Conditional Use Permit
PROJECT NUMBER / NAME: PL24-0335 – Interfaith Community Services Modification to Conditional Use Permit REQUEST: A modification to a previously approved Conditional Use Permit (PHG15-0015, PHG18-0045, & PL24-0357) to modify existing social service operations. The modification would entail conversion of an existing 49-bed emergency shelter operation to withdrawal management services within an existing socia l services center. The withdrawal management services would be located in the same space previously used as an emergency shelter, with no change in total capacity on site. The project site is located within the Light Industrial zoning designation (M-1) under the General Plan land use designation of “Light Industrial” (LI). The proposal also includes an environmental determination for the project.

PROPERTY SIZE AND LOCATION: The 1.29-acre site is
located on the northeastern corner of Washington
Avenue and Quince Street, and is addressed at 550 W.

Washington Avenue (Assessor’s Parcel Number(s): 229-
171-21-00; 229-171-11-00; and 229-171-10-00)
APPLICANT: Interfaith Community Services
GENERAL PLAN / ZONING: Light Industrial (LI) / Light
Industrial (M-1)
PRIMARY REPRESENTATIVE: Greg Anglea, Interfaith
Community Services
DISCRETIONARY ACTIONS REQUESTED: Modification to a Conditional Use Permit PREVIOUS ACTIONS: The City Council approved a City-initiated modification to the previously approved Conditional Use Permit (Case No. PL24-0357) on January 15, 2025.

City Council approved a Conditional Use Permit and Zoning Code Amendment (2000-36-CUP) establishing the social service use on September 20, 2000. The Planning Commission approved subsequent modifications to the Conditional Use Permit on November 23, 2004 (2004-71-CUP); January 10, 2012 (PHG11-00369), and August 11, 2015 (PHG15-0015).

The Zoning Administrator approved a subsequent modification to the Conditional Use Permit on January 24, 2019 (PHG18-0045).

CEQA RECOMMENDATION: Categorical Exemption – CEQA Guidelines Section 15301 (Existing Facilities) STAFF RECOMMENDATION: Approval
REQUESTED ACTION: Approve Planning Commission Resolution No. 2025-03, recommending approval to City Council.

CITY COUNCIL HEARING REQUIRED: _X_YES ___NO
63 Item 3.Case No. PL24-0335
Planning Commission Staff Report

STAFF REPORT
Attachment "1"
191
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REPORT APPROVALS: X Dare DeLano, Assistant City Attorney X Veronica Morones, City Planner

64 Item 3.

Attachment "1"
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BACKGROUND
Project Site
The project site is located at the northeast corner of Washington Avenue and Quince Street, and is addressed as 550 W. Washington Avenue (Assessor’s Parcel Number(s): 229-171-21-00; 229-171-11-00; and 229-171-10-00). The property has a General Plan land use designation of Light Industrial (LI), and is zoned L ight Industrial (M -1) (see attachments 1 and 2 – Aerial, General Plan, and Zoning). Surrounding zoning designations include Light Industrial zoning to the west and south (M -1); and General Commercial zoning to the north and east (C -G). The property is surrounded by urban development, with the World Marketplace to the west, fleet storage and other warehouse uses to the south, a hotel use to the east (entitled for conversion to Single Room Occupancy residential), and multi- family residential to the north.

Site Permitting History
In June of 1979, City staff approved a Plot Plan (87-1543-PPL) for the establishment and operations of manufacturing and automotive services facility at the subject property. The Plot Plan approved the construction of a 21,600 square foot general manufacturing building. Multiple different types of light industrial uses inhabited the structure, including general retail, trades manufacturing and sale, automotive services, and light manufacturing uses.

In September of 2000, the City Council approved a Zoning Code Amendment and Conditional Use Permit (2000-03- AZ, 2000-36-CUP/BEZ) permitting social service uses within the Light Industrial (M-1) zone subject to a Conditional Use Permit (CUP), and approval of a social service use for Interfaith Community Services (“Interfaith”) to operate at the project site . Specifically, t he Zoning Code Amendment modified the allowable uses for social services and emergency shelters as a conditional use within the M -1 zoning d esignation on sites adjacent to the General Commercial (C-G) zone which are within 500 feet of public transportation. The initial conditional use permit (2000- 36-CUP/BEZ) permitted Interfaith to operate within approximately 1 5,000 square feet of the existi ng facility, co - located with unrelated automotive services occupying the remaining 6, 600 square feet of the building. Interfaith utilized the location for administrative and case management services, food storage and distribution, and a 10-bed shelter for veterans. This initial CUP approval also included a 25-percent reduction in required parking as part of the Business Enhancement Zone (BEZ) process.

In November of 2004, the Planning Commission approved a modification to the Interfaith CUP (2004 -71-CUP), converting a 4,500 square foot portion of the remaining automotive services to a 48-bed transitional housing facility and warehousing/storage use for other Interfaith services (e.g., bulk food storage). Only roughly 2,100 square feet of automotive services remained in the eastern section of the building at this time, which subsequently vacated the structure in 2011.

In January of 2012, the Planning Commission approved a modification to the CUP (PHG11 -0039) for the operation of a temporary winter shelter for up to 40 beds within the remaining 2,100 square foot space previously occupied by the remaining automotive services tenant. This decision was appealed to the City Council, which approved the CUP in February of 2012 with the addition of a sunset clause for the proposed use dependent on emergency shelter compliance with state law, or the City’s adoption of an emergency shelter ordinance. The shelter operated in collaboration with San Diego County, the Al liance for Regional Solutions, and the Salvation Army. The shelter operated for two winter seasons in 2012 and 2013. Subsequently in 2013, the City Council adopted an Emergency Shelter ordinance in compliance with state law at that time, thereby triggering the sunset clause of the previous CUP modification and eliminating the winter shelter use. 65 Item 3.

Attachment "1"
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In August of 2015, the Planning Commission approved a modification to the CUP (PHG15 -0015) permitting a year- round 49-bed emergency shelter within the same locati on as the previously approved temporary winter shelter.

The 2015 CUP modification included additional administrative and operations restrictions in the approval, including the requirements for a management plan , adequate supervision of clients, and the est ablishment of a named designee to act as liaison to the Police Department.

In January of 2019, the Zoning Administrator approved a modification to the CUP (PHG18 -0045) to establish ancillary medical services within the existing social service use provided by Interfaith, and to modify the previously approved 10-bed veterans area (2000-36-CUP/BEZ) to include flexible operation between withdrawal management services and emergency shelter for veterans . The medical services would operate within a 437 square foot area, with Neighborhood Health Care (NHC) providing primary care and specialty medical services exclusive to the site.

Neighborhood Health Care’s partnership in the location provides Interfaith clients on-site access to their primary care provider, operating in support of the residential services within the center (See Attachment 3 – Site Plan).

On January 15, 2025, the City Council approved a City-initiated modification to the existing Conditional Use Permit for the project site at the recommendation of City staff. Between 2022 and 2024, the Escondido Police Department’s (EPD) Community Oriented Policing and Problem Solving (COPPS) Unit conducted a number of projects to alleviate persistent crime in the immediate vicinity of the project site. Based on info rmation gathered from field observations, data analysis of calls for service, and informal interviews with folks associated with such projects, the COPPS Unit initiated a project specifically for the site in September 2023 . As part of the COPPS Unit projec t, an assessment was prepared and found over 30 CUP violations associated with the site and current operations. In February 2024, the former Chief of Police issued a letter of suspension on the project due to lack of responsiveness by the operator, and referred the CUP violations to the City Attorney’s Office and Code Compliance Division. The CUP changes approved by City Council at the January 15, 2025 meeting entailed revisions and consolidation of the past five CUP iterations into one approving set of con ditions. The applicant is in agreement with those changes made by City Council, and worked with the City on achieving a set of conditions that aim to ameliorate City concerns.

Interfaith Request for Modification
With coordination from the San Diego County Health & Human Services and Behavioral Health Services Department, Interfaith implemented a full continuum Drug Medi -Cal (DMC) treatment program, to provide withdrawal management, residential, and outpatient services within the facility to their exi sting 10 -bed withdrawal management operation. Interfaith currently holds a contract from the County certified under the American Society of Addiction Medicine (ASAM) level 3.1, 3.2, and 3.5 (see Attachment 4 – ASAM use descriptions) for this location.

The withdrawal management services operate following Drug Medi -Cal’s (DMC) Substance Use Disorder Provider Operations Handbook (SUDPOH) standards, providing care to adults 18 years and above. In July of 2024, Interfaith was awarded a contract by the County of San Diego that authorizes 21 additional withdrawal management beds, expanding the existing 11-bed contract, resulting in a total of 32 withdrawal management beds. This contract is scheduled to go into effect on February 24, 2025, at the request from Inter faith Community Services to coincide with potential City approval.

SUMMARY OF REQUEST
Interfaith Community Services (“A pplicant”) requests to modify their existing CUP to eliminate their emergency shelter use and instead utilize the previously permitted 4 9-bed emergency shelter location (PHG15 -0015) for 66 Item 3.

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additional withdrawal management services. Utilization of the 49 -bed space would allow for future expansion of the contract with San Diego County while maintaining the current maximum bed-count approved under previous CUP modifications. If the Applicant’s request is granted, the CUP would allow for a maximum of 59 -beds for withdrawal management services within the facility , and eliminate all emergency shelter operations currently permitted through the CUP.

The proposed expansion of services would operate within an existing open-space room where the existing emergency shelter program currently operates. Residents would occupy a 2,241 square foot dormitory space, which includes an intake/staff office, a medica tion room, two bathrooms, two showers, a storage/laundry room, staff observation cubicle, and seating area. Clients in the withdrawal management services would have access to the amenities within the facility, such as the dining room and kitchen operated by staff and laundry facilities.

Operations, Intake, And Treatment
Under the current 10 -bed withdrawal management services operation, i ntake and admission for prospective withdrawal management clients is scheduled within 48 hours of admission. Treatment beds are filled on a first - come, first-served basis depending on availability. Medical clearance, when necessary, is available on-site through the co-located NHC clinic. If a bed would not be available within 48 hours, a transfer between alternative health care providers would take place at that time , and a Notice of Adverse Benefit Determination (NOABD) – Timely Access Notice is provided to the client and mailed to them or their parent/legal guardian . Interfaith does not maintain waiting lists for programs, but provides numerous resources to other programs that provide the required ASAM Level of Care (LOC) determined at time of the screening. Additionally, through a new Substance Abuse and Mental Health Administration (SAMHSA) grant award, Interfaith has also added a mobile outreach and intake team capable of in-the-field screening and transport to treatment.

Withdrawal management clients are assisted through the process of acute intoxication and non -threatening withdrawal symptoms, to a stable and fully sup ported drug -free/alcohol-free state. Medications, including Medication Assisted Treatment (MAT), may be prescribed by a physician or another licensed medical provider.

Treatment begins immediately upon admission. For the first 24 hours, participants would complete an intake session with the intake coordinator or designated staff. During the initial 72 -hour period, participants would undergo 30 -minute observations, with vital signs checked every six hours. After this period, participants would begin meeting with their designated Substance Use Disorder (SUD) counselor to address concerns, provide care coordination, and begin discharge planning. The duration of clinically managed residential withdrawal management (i.e., ASAM Level 3.2) would be determined on an individual basis, with a length of stay of 10 to 14 days with the possibility of an extension if clinically indicated and approved by the operator’s Medical Director. Administrative policies related to program admission (and readmission) for Interfaith Community Services’ Withdrawal Management Program are provided in Attachment 5.

Project Conditions of Approval
As discussed in the Background section of this report, the City initiated a modification to the existing Conditional Use Permit for the social se rvices operation. This effort entailed complete retooling of the previously approved conditions of approval, and was completed in a collaborative effort between City staff (Development Services, Police, and City Attorney’s Office) and Interfaith leadership. City Council adopted the revised conditions of approval to the CUP at their January 15, 2025 meeting. As part of this applicant-initiated request for modification, staff only modified those newly adopted conditions as they pertain to converting the emerg ency shelter to expanded withdrawal management services. Revised conditions of approval are provided under Exhibit “D” of Attachment 6 of this report.
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SUPPLEMENTAL DETAILS OF REQUEST

Existing Site
Information
and Uses

1. Property Size: 1.29 gross acres across all three parcels.

2. Building Size: 21,600 square feet (existing)

3. Transitional Housing: 44 Beds (Originally approved under 2004-71-CUP)

4. Veterans shelter /
Withdrawal Management
Services:
10 Beds (Originally approved under 2000-36-CUP/BEZ,
amended under PHG18-0045)

5. Emergency Shelter: 49 Beds (Originally approved under PHG15-0015)

6. Motor Vehicle Parking: Existing: 52 Spaces Proposed: No Change Existing Hours
of Operations

7. Hours of Operation across all
services
Administrative Offices
and related services
Monday – Friday 7:30 a.m. to 6
p.m.

Food services Everyday 5 a.m. to 7 a.m.

Additional holiday meals are
allowed the day before and day of
Thanksgiving, and the day before
and day of Christmas.

Sack meal distribution associated
with the Basic Needs Morning
Meal service.

Food Pantry Monday – Friday 7:30 a.m. to 5
p.m.

Medical Services
(Originally approved
under PHG18-0045)
Monday – Friday 7:30 a.m. to 6
p.m.

Saturday 8 a.m. to 12 p.m.

Withdrawal services available 24
hours a day on -site for residents
only.

Narcotics and
Alcoholics Anonymous
Mondays, Wednesdays, and
Saturdays 7 p.m. to 9 p.m.

Computer Lab Monday – Friday 7:30 a.m. to 5
p.m.

North County Labor
Connection
Monday – Friday 5:30 a.m. to
10:30 a.m.
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Outpatient Addiction
Treatment Services
Monday – Friday 11 a.m. to 8 p.m.

Existing
Proposed

Withdrawal
Management Services
10 beds
59 beds (10 existing
and conversion of
49 emergency
shelter to
withdrawal
management beds)

24 hours a day
Transitional Housing
Facility for 44 clients
24 hours a day

8. Staffing Resident Coordinators 8 total, 6 on-site daily Registered Substance
Use Disorder
Counselors
13 total, 9 on-site daily
Certified Substance
Use Disorder
Counselors
7 total, 3 on-site daily
Intake coordinators 3 total, 3 on-site daily
Licensed Behavioral
Health Clinicians
(Neighborhood Health
Care)
5 total, 3 on-site daily
Billing specialists 3 total, 3 on-site daily
Site Security 9 total, 5 on-site daily

PROJECT ANALYSIS

1. General Plan Conformance:

The General Plan designates the project site as Light Industrial, which allows for light manufacturing, warehouse, distribution, assembly, and wholesale uses in a more restrictive setting than the General Industrial designation. Lighter industrial and office-type uses are intended as well, with uses that generate moderate dayt ime and minimum nighttime noise levels, requiring limited or no outside storage. The facility’s operations would generally occur during daytime hours, as described in the supplemental details of request. However, the project is appropriately conditioned for those operations that would occur outside of daytime hours for consistency with the General Plan. 69 Item 3.

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Interfaith Community Services is identified within the City’s adopted Housing Element as an existing facility and operator that provides services involving emergency shelters, permanent and transitional housing, and housing to special needs populations within the City of Escondido . While the proposed project would eliminate the emergency shelter component of Interfaith’s operations, the conversion of those shelter beds to withdrawal management beds would continue to provide additional transitional supportive housing to the community, connecting residents to supportive treatment to assist these populations within a group - home setting. Therefore, the proposed project would be consistent with the City’s Housing Element Goal No. 2: “Provide a range of housing opportunities for all income groups and households with special needs”.

General Plan – Community Health and Services Element

Health and Wellness Policy 1.1 – Ensure adequate and convenient physical access to healthcare, parks, libraries, cultural arts, schools, childcare facilities, and services for all residents.

The Project will be providing direct access to care for those experiencing drug dependencies, offering 24/7 care and services on-site. The facility also has licensed assistance from Neighborhood Health Care, providing primary medical care and behavioral health care to residents of the withdrawal management program, and longer-term residential treatment program on site.

Health and Wellness Policy 1.5 – Collaborate with health care providers and other community partners in identifying health and wellness issues and developing and implementing a community-based private sector approach for improving and maintaining healthy lifestyles.

Interfaith Community Services has multiple agency cooperative efforts for the services it provides, including the Escondido Police Department, Neighborhood Health Care, and San Diego County Health & Human Services to provide direct service and care in response to a rising need for withdrawal assistance, management, and treatment services. These services are part of a long -term contract with the San Diego County to provide services to the Escondido community’s target afflicted population.

2. Zoning Conformance:

The project site is located within the Light Industrial (M-1) zoning district. As outlined in Article 26 (Industrial Zones) of the Escondido Zoning Code (EZC), “social and charitable services (including emergency shelters)” are permitted within the M-1 zoning district subject to a Conditional Use Permit and geographical location requirements. Social and charitable services outside of the City’s adopted Emergency Shelter Overlay are permitted only on sites immediately adjacent to the general commercial zone, and within 500 feet of public transportation. The project site is located outside of the Emergency Shelter Overlay and is bounded on its eastern boundary by the general commercial zoning district, and is provided bus service by three NCTD bus transit stops within 500 feet.

Article 61, Division 1 (Conditional Use Permits) allows for a modification process to existing CUPs through multiple decision pathways (i.e., Director, Zoning Admini strator, Planning Commission). However, t he existing approvals for the conditional use detail that subsequent modifications to this permit would be subject to section 33-1207 of Article 61, Division 1 (Conditional Use Permits), which allows decision makers 70 Item 3.

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the ability to initiate proceedings to revoke or modify a CUP. As part of the Homelessness Subcommittee proceedings surrounding the City-initiated modification to this CUP (approved at the January 15, 2025 City Council under Resolution No. 2025-02R), the Homelessness Subcommittee comprised of two City Council members directed staff to return the subsequent applicant-initiated modification (proposed project) to City Council for final decision. Therefore, the request before the Planning Commission is a recommendation to City Council on the proposed CUP modification.

3. Parking

The Zoning Code does not have a standard parking ratio for social service agencies providing multiple, varied services at different times of day within a sin gle building. Parking requirements for similar projects have been determined based on code requirements for aggregate similar uses pursuant to Article 39 (Off-street parking), Section 33 -772 (Mixed uses in a building ). Additional p rovisions may be utilized as justification, such as parking studies, agreements, and management plans. As a majority of Interfaith Community Services’ clientele do not own cars, a shared parking arrangement was previously approved for the services’ parking needs. The Planning Commission approved the parking ratios provided under City Case No. PHG15- 0015, requiring 52 parking spaces with the introduction of the 49-bed emergency shelter at the facility.

The analysis provided by the applicant justified the parking availability on si te, indicating surplus parking available during most periods of the day. This project analysis demonstrated that the most intense parking generation on-site would be Monday-Friday after 5 p.m., and on weekends during group support meetings such as Alcoholi cs Anonymous and Narcotics Anonymous generating up to the maximum capacity of 52 parking spaces occupied during their operations. This analysis also include d a parking management plan, which provides Interfaith additional control to the number of vehicles on-site at any given time for residents across the facility to ensure that parking demand would not be exceeded on site.

The proposed change of use, from 49 emergency shelter beds to 49 withdrawal management beds, would be similar in use, capacity, and resident duration . Therefore, the proposed project would not negatively impact the parking requirements on site for the services provided.

4. Climate Action Plan Consistency:

The project is consistent with the City’s existing General Plan land use designation, and does not propose new construction or significant change of the use and services provided on site. The refore, the Project is not subject to implementation of measures identified within the Climate Action Plan at this time.

5. Police and City Services

The Police Department participated and collaborated heavily in the City-initiated modification approved at the January 15, 2025 City Council meeting. The Police Department has reviewed the proposed project and expressed no concern regarding the proposed operational change.

ENVIRONMENTIAL ANALYSIS
California Environmental Quality Act (“CEQA”) Guidelines lists classes of projects that have been determined to not have a significant impact on the environment and as a result are exempt from further environmental review under 71 Item 3.

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CEQA. The proposed Project qualifies for an exemption under CEQA Guidelines section 15301 (Existing Facilities) because the Project is proposing a change of use which does not expand the current capacity of residential beds at the site, or the services provided. The CEQA Notice of Exemption prepared for the Project is incorporated into this staff report (see Attachment 7). The Notice of Exemption demonstrates that the Project qualifies for this exemption and would not have a significant effect on the environment.

PUBLIC INPUT
City staff noticed the Project in compliance with Article 61 (Administration and Enforcement), Division 6, and state law. As of the writing of this staff report, no public comments have been received.

CONCLUSION AND RECOMMENDATION
Based on the analysis contained in this staff report, staff recommends the Planning Commission approve Resolution 2025-03, recommending approval of the Conditional Use Permit Modification to City Council.

ATTACHMENTS

1. Aerial Map

2. General Plan and Zoning Maps

3. Property Site Plan/Floor Plan

4. American Society of Addiction Medicine Use Descriptions

5. Interfaith Community Services Withdrawal Management Program Administrative Policies

6. Draft Planning Commission Resolution No. 2025-03 including Exhibits A - D

7. CEQA Notice of Exemption

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Attachment "1"
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Attachment “2”
Planning Case No. PL24-0335
Aerial Map, General Plan, Zoning Designation
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Attachment “2”

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Attachment “2”

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SITE PLAN
PROPOSED PROJECT: PL24-0335
Planning Case No. PL24-0335
Project Site Plan and Floor Plan
Attachment "3"
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• Assessment
• Care Coordination
• Counseling (individual and group)
• Family Therapy
• Medication Services
• Medication-Assisted Treatment (MAT) for Opioid Use Disorder (OUD) • MAT for Alcohol use Disorder (AUD) and other non-opioid Substance Use Disorders (SUDs) • Patient Education
• Recovery Services
• SUD Crisis Intervention Service

3.2 Clinically Managed Residential Withdrawal Management (ASAM Level 3.2 -WM) This is an organized service delivered by an appropriately trained staff member who provides 24 -hour supervision, observation, and support for clients who are intoxicated or experiencing withdrawal.

Programs providing ASAM 3.2 – WM are strongly encouraged to obtain an Incidental Medical Service (IMS) license through DHCS. This level provides services for client’s whose intoxication/withdrawal signs and symptoms are sufficiently severe to require 24 -hour structure and support. The clinical components of this level of care include the necessary services for assessment and medication or Planning Case No. PL24-0335
American Society of Addiction Medicine
Use Descriptions
American Society of Addiction Medicine Use Descriptions

3.1 Level 3.1 clinically managed, low-intensity residential services are designed to prepare clients for a successful transfer to outpatient treatment services. Clients meeting criteria for Level 3.1 have an impaired ability to practice recovery skills and sustain change behaviors outside of a 24-hour structured setting. Clients are open to recovery and may have some knowledge of relapse prevention, however their ability to structure daily life in an outside environment requires additional skill building and the development of community supports to prevent relapse. Treatment goals for a client meeting criterion for 3.1 may include learning and practicing coping skills, building community connections, relapse prevention, self-efficacy, and an improved ability to structure and organize tasks of daily living. Services are driven by the member’s care needs and shall be transitioned to other levels of care when clinically appropriate and served in the least restrictive setting; services shall address functional deficits documented in the ASAM Criteria©, aimed to restore, maintain, and apply interpersonal and independent living skills and access community support systems. Services include:

Attachment "4"
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non-medication withdrawal management, support, services to families and significant others and referrals for ongoing support or transfer planning.

3.5 Level 3.5 clinically managed, high -intensity residential services are designed to prepare clients for a successful transfer to lower intensity treatment services. Clients meeting criteria for Level 3.5 have severe, unstable SUD symptoms, functional impairments, demonstrate a repeated inability to control impulses, and a re in imminent danger of substance use outside of a 24 -hour structured setting. Level 3.5 services sufficiently address complex needs, including significant emotional, behavioral, or cognitive conditions related to a mental health disorder. Clients receivi ng level 3.5 services have limited coping skills and an outside living environment that is highly conducive to substance use. Treatment services are comprehensive and address severe instability as a result of an SUD, and contributing issues which may inclu de justice -involvement, a personality disorder, antisocial values and other maladaptive behaviors. Treatment goals include stabilization, the development of prosocial behaviors, and relapse prevention skills. Services are driven by the member’s care needs and shall be transitioned to other levels of care when clinically appropriate and served in the least restrictive setting; services shall address functional deficits documented in the ASAM Criteria©, aimed to restore, maintain, and apply interpersonal and independent living skills and access community support systems. Services include:
• Assessment
• Care Coordination
• Counseling (individual and group)
• Family Therapy
• Medication Services
• MAT for OUD
• MAT for AUD and other non-opioid SUDs
• Patient Education
• Recovery Services
• SUD Crisis Intervention Services
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Admission and Readmission Policy
Policy Number: WM-109
Program: Withdrawal Management, Recovery and Wellness Center, Escondido Community Sobering Services (ECSS)
Creation Date: November 25, 2019
Last Revision Date: September 14, 2023
Contents
I. Introduction and Purpose ..................................................................................................................... 1 II. Policy ..................................................................................................................................................... 1 III. Procedures ........................................................................................................................................ 2 A. Admission Criteria ............................................................................................................................. 3 B. Admission Procedure ........................................................................................................................ 3 C. Health Questionnaire ........................................................................................................................ 4 D. Medical Clearance ............................................................................................................................. 5 E. Exclusion Criteria ............................................................................................................................... 5 F. Readmission Criteria/Readmission After Relapse or Other Discharge ............................................. 6 IV. References ........................................................................................................................................ 6 V. Approval ................................................................................................................................................ 7 I. Introduction and Purpose
Interfaith Community Services (Interfaith) Recovery and Wellness Center (RWC) Escondido Community Sobering Services (ECSS) Withdrawal Management (WM) is a co-occurring capable facility and understands that many persons may be struggling with other behavioral health and/or physical challenges in addition to substance use disorders. In an effort to reduce barriers to treatment, the ECSS WM Program will screen individuals that meet an American Society of Addiction Medicine (ASAM) 3.2 WM level of care and admit them if appropriate.

II. Policy
withdrawal management services
available to all community members through low barriers to admission. Interfaith is guided by the standards set by the Substance Use Disorder Provider Operations Handbook- SUDPOH and the County of San Diego DMC-ODS Intergovernmental Agreement Contract.

Planning Case No. PL24-0335
ICS Withdrawal Management Program Administrative Policies Attachment "5"
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III. Procedures
Applicants , ECSS Withdrawal
Management program based on the following primary criteria and bed availability:

1. Upon initial ASAM screening, participant meets the criteria for 3.2 withdrawal management level of care in addition to an applicable DSM 5 TR Substance Use Disorder qualifying diagnosis(es).

2. screening indicates substance use disorder, which has affected areas of life all 6 ASAM Dimensions,
including but not limited to: acute intoxication and/or withdrawal potential, biomedical conditions, emotional, behavioral or cognitive conditions, relapse potential and recovery/living environment.

3. Applicants who have not been in the WM program for the past 30 days and/or applicants that have not had 3 admissions to the Withdrawal Management program within the past t 12 months.

Applicants will not be denied admission or discriminated against based on sex, race, color, ancestry, national origin, ethnic group identification, religion, age, gender identity, mental or physical disability, sexual orientation, age, health status or need for health care services or inability to pay for treatment.

In the event two or more applicants are related by blood, marriage or partner status and both are wishing to enroll in the Withdrawal Management program, staff will conduct the initial screenings then notify the applicants that only one relative will be admitted into the program at one time and the other(s) will be provided resources and a warm hand off to another program meeting their LOC needs.

Applicants will be assessed utilizing the multi-dimensional BHS SUD Brief Level of Care Screening tool prior to admission to determine if they meet medical necessity for the withdrawal management level of cares and to determine if they are eligible for the program. Applicants must:

1. Voluntarily be entering the program to obtain the tools and knowledge to become clean and sober, with the exception of court appointed clients (criminal justice overrides).

2. Be able to function in a group therapy and in a milieu residential setting.

3. Be willing to follow program guidelines and rules.

4. Be willing to submit to random and behavior-based drug testing.

5. Provide a Medical Clearance document, signed by a qualified health care provider, if applicable.

Recovery and Wellness Center ECSS Withdrawal Management Program will make reasonable effort to address the individuals needs of special populations, taking into consideration, when the need arises, the disabilities, the cultural, racial, linguistic, and gender differences among such populations. , ECSS Withdrawal Management Program, shall ensure its
policies, procedures, practices, rules and regulations do not discriminate based on disability. Whenever the disability needs of any applicant cannot be reasonably accommodated, efforts shall be made to make referral to appropriate programs. All participants shall be physically and mentally able to comply with the program rules and regulations.

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A. Admission Criteria

1. ECSS Residential serves participants 18 and over who are in need of SUD treatment. The program ensures that all services are clinically appropriate and individualized to the developmental needs of each participant.

2. ASAM placement criteria screening ensures LOC 3.2 is the appropriate level of care and meets medical necessity criteria.

3. Current alcohol and/or other drug use, withdrawal symptoms, or potential for withdrawal symptoms.

4. Identification of substance(s) used, i.e., alcohol, drugs by type, frequency of use

5. Documentation of social, psychological, physical, and/or behavioral problems related to alcohol and/or other drug use.

6. All admission and readmission policies and procedures ensure compliance with non- discrimination laws. Participants are admitted to treatment and recovery services regardless of ability to pay. ECSS will also work to remove any and all barriers to treatment access.

7. All programs address the needs of special populations and do not discriminate based on disability, ethnicity, cultural, racial, linguistic, and sexual differences. If participant needs cannot be reasonably accommodated, efforts are made to make referrals to appropriate programs.

8. When the needs (either disability or non-disability related) of any individual cannot be reasonably accommodated, staff will refer to another appropriate program. All participants must be physically and mentally able to comply with all program rules and regulations, and to participate in program services.

9. The Participant Code of Conduct is contained in the program rules for each program, which is provided at the intake appointment.

B. Admission Procedure

1. An intake phone screening is conducted to determine whether an applicant meets the above admission criteria in addition to an applicable DSM 5-TR Substance Use Disorder qualifying diagnosis(es).

2. Applicants meeting medical necessity for the withdrawal management level of care are invited to come to ECSS on the first date a bed is available. Applicants are also informed possible on the date provided.

3. To the extent possible, referrals are made to more appropriate programs for all individuals who do not meet the admission criteria or who cannot be reasonably accommodated. A list of referral partners and community resources is made available to all prospective program participants and a warm handoff will be made when possible.

4. A statement of nondiscrimination is included in the admission packet stating that admission will not be denied on the basis of ethnic group identification, religion, age, gender, race, disability, or sexual orientation.

5. During the intake process, all participants receive information about the basic functions and requirements of the program, as well as their personal rights as beneficiary, share of cost, and Attachment "5"
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notification of DMC funding accepted as payment in full. Prior to admission, all participants and their authorized representative must sign and date the admission agreement and consent en to
the individual.

6. Upon admission, the WM Intake Coordinator and/or designated staff member will search the belongings. All prohibited items (i.e., cell phones, laptops, other electronic devices, etc.) will be stored in a secure, locked storage and acknowledged in the Intake Inventory Form signed
returned once the Participant discharges. When
possible, the Intake Inventory Form is signed and dated by the Participant and staff on the day of discharge to acknowledge all items are returned. If a Participant exits the program without notice, this form will not be signed until the time belongings are picked up. Contraband items such as illegal substances, drug paraphernalia, alcohol, firearms, or prescription medication not belonging to the Participant will be confiscated, documented in the Intake Inventory form and disposed of in an appropriate manner (e.g. Rx Destroyer, police department, etc). The staff member conducting the search and Participant (as a witness) will both sign the Intake Inventory form at the conclusion of the search.

7. ducation and
Care Coordination to internal and external resources for needs such as medical, legal, mental health, residential SUD treatment. employment, housing support, etc. All Care Coordination referrals throughout the program will be documented in the

8. Each participant is provided orientation upon admission to all the services that will be provided. The program will provide the participant with an intake packet at this time, which will include, but not be limited to the following documents: beneficiary rights, consent for follow up, share of cost, notification of DMC funding accepted as payment in full, and consent to treatment.

9. Criminal justice referrals are made by the appropriate probation or parole officer. Other referrals are received based on the requirements of the funding source. All referrals will be

10. Notification of acceptance or denial of program admission will be reported to the appropriate referring agency

11. All admission and readmission policies and procedures ensure compliance with non- discrimination laws as specified in Article 8, Compliance with Laws and Regulations of the funding contract and other appropriate non-discrimination regulations as indicated in specific funding source contracts.

C. Health Questionnaire
Ensuring all participants gain the maximum benefit from treatment services is of the highest priority.

The high incidence of potential health issues at the time of admission makes health (physical, mental, dental emergency, etc.) a priority in each P Participant can benefit from a program if he or she is too ill to participate fully, and no program can succeed if its Participants are unable to utilize the services offered due to ill health.

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1. A Health Questionnaire that meets minimum requirements for the State of California is completed for all Participants admitted for treatment. The Health Questionnaire is a P -assessment of his/her current health status. The Health Questionnaire is completed and signed prior to the applicant Health
Questionnaire is filed in the Participa

2. Program staff and the Medical Director review each completed Health Questionnaire. If appropriate, Participants are referred to licensed medical professionals for further medical or mental health examinations and/or treatment. If no proof of a physical exam within the last year, a need for physical exam may be noted on the Problem list. Participants without a (NHCs) 550 W. Washington
site for physical health services.

D. Medical Clearance
Applicants that report using alcohol, benzodiazepines and/or gamma-hydroxybutyrate must be medically cleared within 48 hours prior to Intake. A written medical clearance must be presented at the time of intake. Applicants may obtain medical clearance from their medical provider, a hospital Emergency Department or Neighborhood Health Care. The written medical clearance must be signed by a verifiable medical professional. If an applicant arrives to the program and staff evaluation determines the applicant to be in distress, the applicant may be taken to the hospital (OR 911 called) to be medically re-evaluated and cleared prior to admission.

E. Exclusion Criteria

1. Applicants who staff have determined to exhibit behavior that is dangerous to staff, self, or others, or who appear to require immediate medical or psychiatric attention will not be admitted.

2. Applicants with a record of arson will be precluded from admission.

3. Applicants with a record of sex crimes and are on a sex offender registry will be evaluated on a case by case basis. At the time of screening and prior to scheduling an intake appointment, the WM Intake Coordinator, WM Program Manager or RWC Director will search incoming applicants in the US Department of Justice National Public Registry website at www.nsopw.gov and obtain detailed information about the legal history. The
nature of the crime, legal history and compliance with court ordered requirements (i.e. maintaining registry) will be taken into consideration when screening an applicant. If the applicant is on probation or parole, the applicant will be asked to sign a Release of Information form to their Officer. The WM Intake Coordinator, WM Program Manager and assigned treatment team will work collaboratively with the assigned Officer to ensure the applicant is complying with conditions of their probation or parole. When using the website, WM staff must agree to the NSOPW Conditions of use, which include abiding by the U.S. Department of Justice privacy and confidentiality policies.

4. An Applicant may be precluded based on a number of factors, such as but not limited:
a. A perceived threat to the safety of staff and Participants.

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b. If the offense in question involves a child under the age of 14, regardless of level of tier registration.
c. If the offense has specific restrictions that would deem the Applicants ineligible from receiving services at an Interfaith site.
d. If the applicant is not adhering to any components of their court order pursuant to their PC 290 conviction.

5. The WM Program Manager will consult with the Recovery and Wellness Center Director to ensure that the individual is appropriate to admit into the program. a. Persons served at the Interfaith Community Services site include women and children who are not RWC Participants. The safety of this (or these) clientele will be taken into consideration when making the final decision.
b. If the applicant is precluded from admission for the above reason, it will be explained privately to the applicant and referral source. Referrals to more appropriate treatment services will be provided.
c. All WM and RWC staff who become aware of an applicant who is in this category will follow confidentiality procedures.

F. Readmission Criteria/Readmission After Relapse or Other Discharge

1. The applicant has not been in the ECSS Withdrawal Management program for at least 30 days and has not had 3 admissions within the past 12 months. Exceptions to these criteria may be made at the discretion of the Program Manager, in consultation with RWC Director.

2. If an applicant was discharged, for behavioral and/or safety issues, a Commitment to Change contract may be initiated at time of readmission to obtain a written agreement with the applicant that certain behaviors will not be tolerated and compliance with program rules will be required.

3. If an applicant scheduled for re-admission presents to the program under the influence of alcohol and/or drugs, they will not be excluded from services; however, their safety and the safety of others will be protected. The Participant will only be asked to leave if behavior prevents them from participating in services.

4. If a Participant is away from the program more than seven (7) days and would like to be readmitted, provided they still qualify for Withdrawal Management level of care, all intake procedures will be conducted anew, and a new Participant file and Problem list will be developed by the Intake Coordinator.

IV. References
A. Substance Use Disorder Provider Operation Handbook
B. WM-263 Relapse Support Policy
C. DHCS Alcohol and Other Drug Program Certification Standards D. Intake Inventory Form
E. Random Inspection Form
F. Consent for Follow Up form
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V. Approval
This policy has been reviewed and approved by the Interfaith Community Services Chief Program Officer and the Director of Recovery and Wellness Center. The policy is effective as of the most current date of signature below.

Filipa Rios, Chief Program Officer

Shellie Bowman, Recovery and
Wellness Center Director

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Intake and Assessment Policy

Policy Number:

Program:

Creation Date:

Last Revision Date:

WM-198
Withdrawal Management, Recovery and Wellness Center
June 29, 2020
September 14, 2023

I. Introduction and Purpose
Interfaith Community Services (Interfaith) Recovery and Wellness Center (RWC) Escondido Community Services (ECSS) Withdrawal Management Program (WM) recognizes that individuals who seek Substance Use Disorder (SUD) treatment have varying needs and are at different stages in their recovery. The purpose of this policy is to establish an efficient process in conducting the intake process for Participants seeking Withdrawal Management (WM) Treatment in order to recommend the appropriate level of care (LOC). The goal is to ensure that all necessary Participant information is gathered and documented and all necessary paperwork is completed within the required timeframe set forth by the County of San Diego Withdrawal Management Standards .

II. Policy
After conducting a Brief Level of Care Screening Tool form (BHS/SUD, F104b) and determining that a Participant meets the WM 3.2 level of care, the WM Intake Coordinator or WM Program Manager will begin the assessment process. The staff conducting the assessment will follow the procedures set forth in the Withdrawal Management Admission Policy.

Ill. Procedures

A. As sessment and Intake

1. Full assessment will begin with the WM Intake Coordinator or WM Program Manager, in collaboration with the Participant, completing the following assessments:
a. Brief Level of Care Screening Tool (BHS/SUD, F104b)
b. TB Screening Questionnaire (BHS/SUD, F404)
c. Client Health Questionnaire and Initial Screening Questions (DHCS 5103 revised 04/2022
d. Risk Assessment and Safety Management Plan (BHS/SUD F305a) e. Withdrawal Management Observation Log (BHS/SUD, F401)

2. The WM Intake Coordinator or WM Program Manager will then complete the intake process by completing the following forms:

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a. Financial Responsibility Information and Medi-Cal Share of Cost (BHS/SUD, F107)

b. Voter Registration Material is offered
c. SanWITS Encounter Screen (BHS/SUD, S113)
d. CalOMS Profile Form and CalOMS Admission Form
e. RWC ECSS Consent for Release of Confidential Information f. Consent for use of Telehealth
g. RWC ECSS Admission Consent for Treatment and Admission Agreement form h. Your Personal Rights at an AOD Certified Program (BHS/SUD, F203) i. Personal Rights - SUD Treatment Facilities (DHCS 5080) j. RWC ECSS Confidentiality of Substance Use Disorder Patient Records k. RWC ECSS Notice of Privacy Practices
l. Consent for Follow-up
m. Acknowledgement of DMC-ODS Beneficiary Handbook, Practice Guidelines, and Provider Directory (BHS/SUD, F209)
n. SUD Program Admission Checklist (BHS/SUD, F210)
o. RWC ECSS Withdrawal Management
p. Participant Guidelines (add pairing?)
I. RWC ECSS Group Agreements
m. RWC ECSS Linen Check Out Form
n. RWC ECSS Participant Dress Code
o. RWC ECSS Property After Discharge
p. RWC ECSS Grievance & Appeals Procedure
q. C-6A-Centrally Stored Medication and Destruction Record (BHS/SUD, F402) r. Drug Test and Results Log (BHS/SUD, F801)

3. Following the completion of these forms, and including information gathered in the brief screening process, the WM Intake Coordinator, or a staff member of the same sex as the Participant, will collect a urine analysis to determine what drugs are present and to establish a baseline.

4. The WM Intake Coordinator will take the information gathered and present it to the LPHA, who will evaluate and confirm or make recommended changes to the Initial Level of Care Assessment and complete the Diagnosis Narrative with input from the WM Intake Coordinator or WM Program Manager.

5. The WM Program Manager will assign a SUD Counselor and LPHA Care Coordinator within 24 hours of Intake.

6. The WM Intake Coordinator or WM Program Manager will develop a file containing all of the above-mentioned documents and introduce the Participant to the WM program staff.

7. The WM Program Manager will assign a SUD Counselor and/or other ECSS staff to Attachment "5"
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conduct a search of the Participant's belongings following ECSS property search guidelines as follows:
a. Participant's belongings and clothes are thoroughly searched. b. All extra belongings are put and stored in the appropriate storage bins assigned to each Participant.
c. Participant is directed to their bed.

IV. References
A. Associated Policies

1. Withdrawal Management Admission and Readmission Policy B. Withdrawal Management Standards

V. Approval
This policy has been reviewed and approved by the Interfaith Community Services Chief Program Officer and Recovery and Wellness Center Director. The policy is effective as of the most current date of signature below.

Filipa Rios, Chief Program Officer Date Shellie Bowman, Recovery and Wellness Center Director
Date
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Quality Management Plan

Policy Number: WM- 258
Program: Withdrawal Management Program
Creation Date: August 30, 2018
Last Revision Date: November 20, 2023

Contents
I. Introduction and Purpose ................................................................................................................................. 1 II. Policy ................................................................................................................................................................ 2 III. Procedures........................................................................................................................................................ 2 A. Continuity of Activities .................................................................................................................................. 2 B. Participant File Review .................................................................................................................................. 2 C. Treatment Progress and/or Problem List Review .......................................................................................... 3 D. Billing and Fiscal Review ............................................................................................................................... 3 E. Data .............................................................................................................................................................. 5 F. Personnel Files .............................................................................................................................................. 5 G. Continuous Internal Program File Reviews .................................................................................................... 6 H. Program Integrity .......................................................................................................................................... 7 I. HIPAA and 42 CFR Compliance ...................................................................................................................... 8 J. Breach Reporting .......................................................................................................................................... 8 IV. References ........................................................................................................................................................ 8 V. Approval ........................................................................................................................................................... 8

I. Introduction and Purpose
Interfaith Community (Interfaith) Recovery and Wellness (RWC) Escondido Sobering Community Services (ECSS) Withdrawal Management Treatment (WM) Program maintain written policies and procedures for continuous quality management and documentation in Participant files to ensure compliance with program procedures.

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II. Policy
WM Program shall utilize processes and methods to monitor program activities and implement quality improvement measures in order to provide care at the highest standard.

III. Procedures
A. Continuity of Activities
The Recovery and Wellness Center Director and WM Program Manager are responsible for monitoring WM activities and policies to assure that the following activities take place:

1. Intake and orientation are completed with Participant during scheduled intake appointment.

All admission paperwork is explained and signed with the Participant. WM Program rules are explained at intake appointment and forms are signed.

2. Assessment is conducted by an Intake Coordinator within 24 hours of intake date.

3. Medical necessity is established and signed off by a LHPA within 24 hours of admission. Intake Coordinator will meet with LPHA for a face to face meeting and LPHA will establish SUD diagnose(s).

4. LOC Recommendation is completed by the SUD Counselor and reviewed by the LPHA within 24 hours of admission.

5. Participant Problem List is developed by the SUD Counselor within 24 hours of admission. SUD Counselor will meet with Participant to review and revise Problem List throughout the program duration.

6. All required services such as treatment groups, and individual counseling/care coordination are provided and documented in Participant files. Documentation is to be completed within two (2) days of date of service per Drug Medi-Cal Organized Delivery System (DMC-ODS) County documentation requirements.

7. Progress notes document Participant progress towards WM Program treatment goals.

8. Discharge planning is completed with the Participant prior to a planned discharge and documented in each Participants file.

9. recommendation.

10. The Participant's file contains all required documents identified in the California Department of Health Care Services Alcohol and/or Other Drug Program Certification Standards in Section 12020.

11. A discharge summary is completed by the primary SUD Counselor and placed in the discharge.

B. Participant File Review
At a minimum, the WM Program Manager or designee shall review Participant files at intake and at discharge. Additionally, each Participant file is reviewed at least once before the file is closed and archived.

In reviewing Participant files, the WM Program Manager or designee is agreeing:

1. The WM treatment addresses problem areas in the following domains: Acute Intoxication and/or Withdrawal Potential, Biomedical Conditions and Complications, Attachment "5"
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Emotional, Behavioral, or Cognitive Conditions and Complications, Readiness to Change, Relapse, Continued Use, or Continued Problem Potential, and Recovery / Living Environment

2. The services provided are relevant to the Problem List.

3. Progress Notes reflect progress Participant is making toward improving problem areas identified Problem List.

4. Record keeping is in accordance with program standards reflected in the California Department of Health Care Services Alcohol and/or Other Drug Program Certification Standards.

C. Treatment Progress and/or Problem List Review
WM treatment program will monitor Problem Lists for each Participant to ensure that service needs.

1. Assess progress to date;

2. Re-assess needs and services; and

3. Identify additional problem areas, when appropriate.

D. Billing and Fiscal Review
DMC Billing and Reimbursement: Interfaith will accurately bill for Withdrawal Management services within time constraints, and in compliance with all applicable DMC-ODS regulations and HHSA policies and procedures.

Prevention of Fraud, Waste, and Abuse of DMC Billing: Fraud is an intentional act of deception which is made knowingly, willfully and intentionally. Fraud includes making false statements, documentation of false facts, billing for services not rendered, etc. Waste and abuse are excessive and improper use of services or actions that are non-professional or acceptable business and add cost to the agency. To prevent fraud, waste, and abuse of DMC, RWC billing staff are trained at hire and continuous training at staff meetings. Current management and ongoing monitoring systems assist in the prevention of fraud, waste, and abuse of DMC billing. All employees at hire and annually are trained on the False Claims Act, which is a federal statute. Additional training is conducted at staff meetings. These trainings are documented in employee personnel file.

Paid Claims Verification:

The following steps are taken to ensure compliance with the processes and rules for claim submission as outlined in the DMC-ODS Billing Manual:

Prior to claim submission:

Based on the Group Sign-In Sheets, daily encounters are entered into SANWITS. All services have been verified by Participant signature.

Once all daily encounters are entered, it is released.

Daily Progress
daily.

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Run weekly Encounter Data Reports to identify and correct any discrepancies prior to claims submissions.

Verify Medi-Cal Eligibility the first of every month to ensure services can be billed to DMC. If Medi-Cal eligibility is not active, claims are put on hold until eligibility is active. For Participants that are self-pay, payment will be determined based on the County sliding scale fee and collected by certified checks or money orders. Payment is collected by billers and given to the Program Manager. For Participants that are determined to have a share of cost per IRT (Income Reporting Threshold), share of cost payment is collected Monthly.

Run SSRS Reports bi-monthly: 3-14 Encounters not Released 3-15 Encounter Report with Contact Type and Service Location, 3-16 Encounter Report with Group Name, 4-01 Total Services per Rendering Staff.

Review the above reports and check for discrepancies. Make corrections to the reports as needed.

Run the Claim Batch List Report to ensure all above steps have been completed accurately.

Once confirmed, release claims to create Facility Batch.

Submit the Facility Batch to the clearing house.

Claim Submission Certification Forms are printed, signed, and archived.

The County Billing Unit will notify if any errors or discrepancies are found. The Billers will research and correct any errors as needed and send back signed corrections to the County Billing Unit.

Invoice Submission:

The monthly invoice is prepared by the accounting department and is certified by the signature of the Director of Recovery and Wellness or Chief Program Officer.

Invoice is then submitted by the accounting department to the BHS-Claims Department.

When accounting submits an invoice to the county, the QAC specialist will be notified. This will include the monthly invoice and the 3-02 CalAIM Consolidated TUOS Claim Details Report for QAC review.

QAC specialist will confirm the total units of service claimed on the invoice match the reconciled units of service on the TUOS report. QAC specialist will notify Accounting Department, Program Director, and QAC Manager of any discrepancies that need to be addressed.

Verification of Paid Claims:

Once payment is received for the submitted invoice, accounting will email verification of payment received to the QAC specialist by a check warrant.

The QAC specialist will verify that the payment received matches the invoice submitted.

As a final step of the Paid Claims Verification process, the QAC will conduct a random sampling of the group sign-in sheets and progress notes to verify that services reimbursed by DMC were provided to Participants and report any discrepancies to Program Manager, Director, and Accounting Department.

DMC Eligibility Verification: Authorized WM Program staff will be trained to properly verify DMC benefits as described in the Verifying Medi-Cal and Health Insurance Eligibility Policy and Procedure. In addition, staff will take necessary steps to enter identifiers to confirm DMC coverage matches the Participant receiving services.

As part of the Quality Assurance Review Plan, the WM Billing Specialist and/or the QAC RWC Compliance Attachment "5"
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Specialist will conduct a monthly audit to confirm that current DMC-ODS benefits have been verified, printed, and filed in the Participant records.

Medical Necessity & Level of Care: Medical necessity and appropriate level of care will be continually examined from admission through discharge. As a part of the Quality Assurance Review Plan, regularly scheduled clinical reviews of documentation will be conducted by the LPHA and/or Medical Director.

Clinical content will be reviewed to ensure it meets ASAM criteria requirements, medical necessity and proper level of care. A DSM-5 diagnosis, and associated ICD-10 codes will only be assigned by the LPHA progress, a change in level of care will be updated and reflected in services. Clinical reviews of Participant documentation will be conducted with the following schedule:

1. ASAM Assessment within twenty-four (24) hours of admission

2. Risk Assessment within twenty-four (24) hours of admission

3. Initial Problem List within twenty-four (24) hours of admission, per program expectation.

4. experienced a crisis, or there has been relevant change to th

5. A Discharge Summary will be completed by the primary SUD Counselor and placed in Participant file within 30 days of discharge. As needed for treatment team, supervision, and training purposes.

E. Data
The Withdrawal Management Billing Specialist will be responsible for the initial stage of data entry for the SUD review all SanWITS data entry, from the previous day, to ensure proper dates and coding are utilized. As part of the Quality Assurance Review Plan, Withdrawal Management Billing Specialist will conduct a bi-monthly audit in SanWITS for the services entered for the current month, to ensure all data has been entered and that no information is missing. The Withdrawal Management Billing Specialist reports any recurring data entry issues with staff members to the Program Manager for additional training and support on an as needed basis. The following reports will be run twice a month: Encounter Data Report, Unfinished Client Activities Report, and Claim Item List Report. The reports will be saved in a shared drive to be accessed by the Withdrawal Management Program Manager, RWC Director, QAC Director, and QAC Specialist. The Billing Specialist and Program Manager review these reports at least once a month. The QAC Specialist will conduct spot checks on the reports to flag items not addressed in a timely manner.

Prior to final billing submission, the Withdrawal Management Billing Specialist and Program Manager will review the batch encounters to identify and change any pertinent fields that would prevent reimbursement.

The Billing Specialist will run the Unfinished Client Activity Report, the Encounter Data Report, Claim Item List Report, to check for errors and make corrections as needed. The Billing Specialist will run the Hold Status, Admission and Discharge Reports once a month and will save the reports in a shared drive to be accessed and reviewed by the Withdrawal Management Program Manager and QAC Specialist

F. Personnel Files
Staff State and Federal Requirements: A detailed job description for each position has been created that specifically outlines job duties, required expertise, and experience, as well as the appropriate licensing and/or credentials to hold that position. Job duties are clearly communicated to new and existing staff.

Any work outside of their scope of practice is strictly prohibited. Interfaith will verify and retain copies of current licensing and/or credentials, on an annual basis.

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Training: Interfaith will ensure each WM Program employee conforms to the skills, knowledge, and abilities stated in the job descriptions. All employees will also be required to have adequate knowledge to meet contracted goals, objectives and required services to include but not limited to: licensing and certification, bilingual / bicultural skills as appropriate, sensitivity to the population served, skills and knowledge consistent with service needs, and any pertinent approved budget provisions. All training in

Staff members will be required to attend and complete the following trainings based on credential:

1. Program Integrity

2. Beneficiary Rights

3. Confidentiality and Privacy Acts

4. CPR/First Aid

5. Cultural Competency

6. CLAS standards

7. NVRA

8. False Claims Act

9. Communicable Diseases

10. Withdrawal Management Services

11. Code of Conduct and Compliance Standards

12. ASAM Assessment

13. Foundations of Case Management

14. Harm Reduction

15. MI Overview

16. MI Skills

17. Relapse Prevention

18. Trauma-informed Care

19. Naloxone Training

20. HIPAA/Privacy

21. CalAIM trainings

22. Drug Testing Protocols

In addition, RWC staff members will be responsible for completing any training necessary to maintain their licensing and/or credentials.

G. Continuous Internal Program File Reviews
In order to comply with all state and county guidelines, continuous quality management will be done and overseen by county employees.

1. Each file will have a file checklist in the front with list of contents.

2. SUD Counselors are responsible for coordinating with the LPHA to assure all time-sensitive documents are complete and signed.

lan to ensure all
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program processes are maintained and reviewed, including policies and procedures, annually. The key components include the program being in compliance with all Federal, State, County, and DHCS/DMC guidelines and standards.

An internal peer review process is in place to ensure all Participant files are reviewed monthly. During the peer review process, files are reviewed by WM Program staff and the QAC RWC Compliance Specialist.

The files are reviewed to ensure that all of the files are in compliance with DMC guidelines. This process includes reviewing Problem Lists, Progress Notes are up to date, timely and include all required components, Corrective actions will be given when file is not in compliance and the file will need to be addressed by the counselor within 15 days. The WM Program Manager and QAC RWC Compliance Specialist will oversee the peer review process and will conduct training for the staff on DMC guidelines and all paperwork. The RWC Director, Director of Quality Assurance and Compliance, and Chief Program Officer will monitor the WM Program to ensure all Participants are receiving exemplary services and that goals and objectives are being met. If goals and/or any services need improvement a plan will be developed to implement practices and /or processes to make needed improvements. Quality assurance ensures all services are quality-focused, evidence-based, effective, and appropriate SUD practices have been implemented. Quality assurance oversees the RWC programs to ensure this program is compliant in all areas. Quarterly leadership summary reports will be provided to RWC WM leadership identifying trends that should be addressed. An annual program audit will be conducted by the QAC Department, including a c
reports. results of the audit may identify areas that need improvement. The results of the audit may identify areas that need improvement. A plan will be developed and implemented to ensure the program improves.

H. Program Integrity
Standards of program integrity are integrated in every aspect of services including Participants, employees, board of directors, and the community. Effective program management, program monitoring and on- going staff training
protocol manual, policy and procedure manual, and Participant intake packet for training and as a referral source. All RWC staff are trained on DMC guidelines, including accurate eligibility determination process and medical necessity guidelines to determine need for service.

All RWC WM Program staff will have proper and up to date certifications and licenses and promptly correct any discrepancies or billings discovered. Management leadership provide mentoring and role modeling.

The program standards and commitment are to comply with all Federal, State and County requirements Department, including reviewing and verifying DMC visits and sign in sheets. RWC employees and program Participants are made aware of the processes in place for any complaints, fraud, waste, and/or abuse.

Posters regarding fraud are in view for staff and program Participants to use. Continuous staff training on these policy and procedures are reviewed and discussed in staff meetings. These trainings are documented and placed in employee personnel files.

WM Program will participate in the County of San Diego QAR process.

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I. HIPAA and 42 CFR Compliance
The WM Program Manager and Recovery and Wellness Center Director are responsible for ensuring Participant confidentiality is adhered to at all times in accordance with HIPAA and CFR 42, part 2.

1. Participant files will be stored in a locked file cabinet in a locked office.

2. No information regarding any Participant will be given without verification of a signed release of information indicating what information can be released.

3. All Interfaith RWC staff will complete an annual HIPAA/Privacy training.

4. Policies are in place with procedures to follow if there is a breach (or suspected) of Participant confidentiality.

J. Breach Reporting
It is the policy of Interfaith Community Services to report privacy breaches and suspected security incidents to the County of San Diego and all other required local, state, and federal agencies. The reporting of breaches will be as follows:

1. The WM Program Manager will monitor all staff for compliance with all procedures concerning privacy and security.

2. Any breaches will be promptly reported to the privacy officer.

3. The privacy officer will report breach to the county and the COR, and will notify the CEO, RWC Director and other required staff members of the incident as outlined in

4. Any breach will be logged by date and type of breach that occurred.

IV. References
A. Substance Use Disorder Provider Operations Handbook
B. County of San Diego DMC-ODS Intergovernmental Agreement C. DHCS AOD Program Certification Standards
D. Associated Policies

1. RWC- 315 Verifying Medi-Cal and Health Insurance Eligibility Policy and Procedure.

V. Approval
This policy has been reviewed and approved by the Interfaith Community Services Chief Program Officer and Recovery and Wellness Center Director. The policy is effective as of the most current date of signature below.

Filipa Rios, Chief Program Officer Date Shellie Bowman, Recovery and Wellness Center Director
Date

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Relapse Support
Policy Number: WM- 263
Program: Withdrawal Management Program
Creation Date: August 30, 2018
Last Revision Date: September 14, 2023
I. Introduction and Purpose
Interfaith Community Services (Interfaith) Escondido Community Sobering Services (ECSS) Withdrawal Management (WM) Program staff understand that the process of gaining sobriety and recovery is different for each individual. A relapse many times can lay the groundwork for improved insight and a more rigorous application of recovery skills.

II. Policy
In accordanc
counseling for those struggling with sobriety. We will never treat a relapse punitively however, we will assess the Participant for needs based on the American Society of Addiction Medicine (ASAM) Criteria and suggest appropriate interventions. For individuals enrolled in WM treatment, the goal is to complete treatment with a solid base of sobriety/recovery and leave with the skills to overcome all barriers to healthy living. The relapse support policy is as follows:

III. Procedures
A. Relapse Circumstances
The circumstances of the relapse may dictate the interventions. If a relapse is discovered through a random drug testing of the facility or by observed behavior, the Participant use and honesty will be factored into the next steps for treatment interventions. A denial of use indicates a high severity rating on dimension 4 (Readiness to Change) in the ASAM Criteria and depending on severity it may lead to discharge from the program. If A Participant comes forward either prior to or after drug testing and discloses the use to staff it indicates a low rating of dimension 4 and increased support and education is indicated. Circumstances that surround the Participant and relapse episode can be multifaceted and complex and this relapse policy can always be adjusted to meet the clinical needs of each Participant.

Once a Participant is found to be under the influence at the facility the followings steps will be taken to ensure the safety of the Participant and the program.

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1. The Participant will have all privileges suspended and they will be asked to remain in their sleeping quarters for 4-8 hours depending on level of intoxication. Staff will observe the Participant s condition every 30 minutes.

2. Staff will determine if the Participant will require medical attention, if so staff will take appropriate steps as outlined by the policy for persons needing medical attention.

3. If it is determined that the Participant will be discharged from the program an effort will be made to keep the Participant in program for the 4-8 hours sobering period. Every attempt will be made to provide a warm handoff to a higher level of care if so determined or another withdrawal management treatment provider.

4. Persons to be found with drugs or alcohol on facility property will be administratively discharged and a referral to alternative treatment programs will be provided.

5. Privileges may be suspended for a period of time after a relapse episode.

6. Behavioral expectations will be addressed to assist with the Participant treatment process.

B. General Relapse Protocol

1. First Relapse: Meet with primary counselor/case manager to discuss, additional assignments specific to relapse and relapse prevention. Reassessment will be conducted.

2. Continued Relapse: Referral to a higher level of care, termination from treatment.

3. Individuals terminated from WM treatment for continued relapse may be screened for re- enrollment after 30 days from discharge date. Re-enrollment begins a new treatment episode.

C. Additional Services to be Included in Intervention Plan

1. One on one relapse prevention planning.

2. Increased Drug testing.

3. Core Issue Support with LPHA and SUD Counselor.

4. Care Coordination as clinically indicated.

With the goal of sustained sobriety/recovery, learning new coping skills and behaviors are essential to WM staff are dedicated to helping each individual grow and internalize change and create new fulfilling lives.

IV. References
A. Substance Use Disorder Provider Operations Handbook
B. Senate Bill No. 992
V. Approval
This policy has been reviewed and approved by the Interfaith Community Services Chief Program Officer and Recovery and Wellness Center Director. The policy is effective as of the most current date of signature below.

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Filipa Rios, Chief Program Officer Date Shellie Bowman, Recovery and Wellness Center Director
Date
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Attachment “6”
1 PLANNING CASE NO. PL24-0335
(2006-36-CUP/2004-71-CUP/PHG11-0039/PHG15-0015/PHG18-0045/PL24-0357)

CONDITIONS OF APPROVAL
This Project is conditionally approved as set forth on the application received by the City of Escondido and shall not be altered without express authorization by the Development Service Department.

Definitions:

For the purpose of these conditions, the following terms shall be defined as stipulated below:
“Applicant” and “Operator” shall be interchangeable. Both terms shall also mean the Project proponent, owner, permittee, and the Applicant’s successors in interest, as may be applicable. “Client”, “visitor” and “resident” shall be interchangeable. These three terms shall also mean any individual seeking, receiving, discharged from, removed from, and/or abandoned such services by the Operator.
“Permit” shall refer to the Conditional Use Permit approved under Resolution No. 2025-11.

A. General:

1. Acceptance of Permit. If the Applicant fails to file a timely and valid appeal of this Permit within the applicable appeal period, such inaction by the Applicant shall be deemed to constitute all of the following on behalf of the Applicant:
a. Acceptance of the Permit by the Applicant; and
b. Agreement by the Applicant to be bound by, to comply with, and to do all things required of or by the Applicant pursuant to all of the terms, provisions, and conditions of this Project Permit or other approval and the provisions of the Escondido Municipal Code or Zoning Code applicable to such Permit.

2. Permit Review. This Condition Use Permit shall automatically be reviewed by the Director of Development Services and Chief of Policy to determine if any modifications are necessary for the health, safety or welfare of the public after 12-months from the date of this approval.

The Permit shall be deemed expired if a building permit required by this CUP has not been obtained or work has been discontinued in the reliance of that building permit. If no building permits are required, the City may require a noticed hearing to be scheduled before the authorized agency to determine if there has been demonstrate d a good faith intent to proceed, pursuant to and in accordance with the provision of this Permit.

3. Certification. The Director of Development Services, or his/her designee, is authorized and directed to make, or require the Applicant to make, all correct ions and modifications to the Project drawings and any other relevant document comprising the Project in its 228
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Attachment “6”
2 entirety, as necessary to make them internally consistent and in conformity with the final action on the Project. This includes amending the Proje ct drawings as necessary to incorporate revisions made by the decision -making body and/or reflecting any modifications identified in these conditions of approval. A final Approved Plan set, shall be submitted to the Planning Division for certification ele ctronically. Said plans must be certified by the Planning Division prior to submittal of any post-entitlement permit, including grading, public improvement, landscape, or building plans for the Project.

4. Conformance to Approved Plans.
a. If the current site plan, floor plans, or landscape plan differ from the con ditions of this Permit, the Applicant shall provide the Planning Division with an updated set of plans depicting conformance with these conditions, including, but not limited to a site plan and floor plans, and building elevations (as applicable). In the event any changes to site design trigger landscape changes, a Landscape Plan Check may be required pursuant to State Law. If such site design changes do not trigger a Landscape Plan Check, the Applicant shall provide an updated landscape plan in conformance with these conditions to the satisfaction of the Director of Development Services.
b. Nothing in this Permit shall authorize the Applicant to intensify the authorized activity beyond that which is specifically described in this Permit. c. Once a permit has been issued, the Applicant may request Permit modifications. “Minor" modifications may be granted if found by the Director of Development Services to be in substantial conformity with the Appro ved Plan set, including all exhibits and Permit conditions attached hereto. Modifications beyond the scope described in the Approved Plan set may require submittal of an amendment to the Permit and approval by the authorized agency.

5. Limitations on Use. Prior to any use of the Project site pursuant to this Permit, all Conditions of Approval contained herein shall be completed or secured to the satisfaction of the Development Services Department.

Any activity requiring a CUP per the Escondido Zoning Code not specified in the Project’s approving documents shall not be permitted as part of this Conditional Use Permit. Any request for an activity or activities not covered under this Permit shall be subject to Article 61, Division 1 of the Escondido Zoning Co de. Temporary uses not stipulated under this Permit are subject to Article 73 (Temporary Uses, Outdoor Display and Sale of Retail Merchandise) of the Escondido Zoning Code.

6. Certificate of Occupancy.
a. No change in the character of occupancy or change to a different group of occupancies as described by the Building Code shall be made without first obtaining a Certificate of Occupancy from the Building Official, as required, and any such change in occupancy must comply with all other applicable local and state laws. 229
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3 b. Prior to operation of any addition to or modification of the currently approved withdrawal management services, a Planning Final Inspection shall be completed to ensure that the property is in full compliance with the Permit terms and conditions.

The findings of the inspection shall be documented on a form and content satisfactory to the Director of Development Services.

7. Availability of Permit Conditions.
a. Within 30-days of this conditional approval, the Applicant shall cause a covenant regarding real property to be recorded that sets forth the terms and conditions of this Permit approval and shall be of a form and content satisfactory to the Director of Development Services.
b. The Applicant shall make a copy of the terms and conditions of this Permit readily available to any member of the public or City staff upon request. Said terms and conditions shall be printed on any construction plans that are submitted to the Building Division for plan check processing.

8. Right to Entry. Within 48 -hours of notice, the holder of this Permit shall make the premises available for inspection by City staff during construction or operating hours and allow the investigations of property necessary to ensure that minimum codes, regulations, local ordinances and safety requirements are properly followed. The Applicant shall provide such business records, licenses, and other materials reasonably necessary upon request to provide evidence of compliance wi th the conditions of approval, as well as federal, state, or laws.

9. Compliance with Federal, State, and Local Laws. Nothing in this Permit shall relieve the Applicant from complying with conditions, performance standards, and regulations generally imposed upon activities similar in nature to the activity authorized by this permit. (Permits from other agencies may be required as specified in the Permit’s Details of Request.) This Permit does not relieve the Applicant of the obligation to comply with all applicable statutes, regulations, and procedures in effect at the time that any engineering permits or building permits are issued unless specifically waived herein.

No part of this Permit’s approval shall be construed to permit a violation of any part of the Escondido Municipal or Zoning Code. During Project construction and after Project completion, the Applicant shall ensure the subject land use activities covered by this Permit is conducted in full compliance with all local and state laws.

10. Fees. The appropriate development fees and Citywide Facility fees shall be paid in accordance with the prevailing fee schedule in effect at the time of building permit issuance, to the satisfaction of the Director of Development Services. Through plan check processing, the Applicant shall pay development fees at the established rate. Such fees may include, but not be limited to: Permit and Plan Checking Fees, Water and Sewer Service Fees, School Fees, Traffic Mitigation Fees, Flood Control Mitigation Fees, Park Mitigation Fees, Fire Mitigation/Cost Recovery Fees, and other fees listed in the Fee Schedule, which may be amended. Arrangements to pay these fees shall be made prior to building permit issuance to the satisfaction of the Development Services Department. 230
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4 Approval of this development project is conditioned upon payment of all applicable development fees and connection fees in the manner provided in Chapter 6 of the Escondido Municipal Code.

11. Public Art Partnership Program. All requirements of the Public Ar t Partnership Program, Ordinance No. 86 -70 shall be satisfied prior to any building permit issuance.

The ordinance requires that a public art fee be added at the time of the building permit issuance for the purpose of participating in the City Public Art Program.

12. Clerk Recording.
a. Exemption. If the environmental determination prepared for the Project is a categorical exemption, the City of Escondido hereby notifies the Applicant that the County Clerk’s Office requires a documentary handling fee of $50 in order to file a Notice of Exemption. In order to file the Notice of Exemption with the County Clerk, in conformance with California Environmental Quality Act (CEQA) Guidelines section 15062, the Applicant should remit to the City of Escondido Planning Division, within two working days of the final approval of the Project (the final approval being the date of this letter) a certified check payable to the “County Clerk” in the amount of $50. The filing of a Notice of Exemption and the posting with the Coun ty Clerk starts a 35 -day statute of limitations period on legal challenges to the agency’s decision that the Project is exempt from CEQA. Failure to submit the required fee within the specified time noted above will result in the Notice of Exemption not being filed with the County Clerk, and a 180 -day statute of limitations period will apply.
b. For more information on filing fees, please refer to the County Clerk’s Office and/or the California Code of Regulations, Title 14, Section 753.5.

13. Legal Description Adequacy. The legal description attached to the application has been provided by the Applicant and neither the City of Escondido nor any of its employees assume responsibility for the accuracy of said legal description.

14. Application Accuracy. The information contained in the application and all attached materials are assumed to be correct, true, and complete. The City of Escondido is relying on the accuracy of this information and Project-related representations in order to process this application. Any permits issued by the City may be rescinded if it is determined that the information and materials submitted are not true and correct. The Applicant may be liable for any costs associated with rescission of such permits.

15. Revocation, Suspension, Modification. At any time after Project implementation, the City may require a noticed public hearing to be scheduled before the Planning Commission or City Council to determine if there has been demonstrated a good faith intent to proceed in reliance on this approval. This item may be referred to the appropriate decision-making body upon recommendation of the Director of Development Services for review and possible revocation or modification of the Permit regarding non -compliance with the Conditions of Approval.
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5 This Permit may be revoked, suspended or modified by the Planning Commission or City Council, or by the City Council on appeal, at any time regardless of who is the owner of the subject property or who has the right to possession thereof or who is using the same at such time, whenever, after a noticed hearing, and after the following findings are fully investigated:
a. A violation of any term or condition not abated, corrected or rectified within the time specified on the notice of violation; or
b. A violation of any City ordinance, state law, or federal law not abated, corrected or rectified within the time specified on the notice of violation; or c. The use as presently conducted creates or constitutes a nuisance.

16. Indemnification, Hold Harmless, Duty to Defend.
a. The Applicant shall indemnify, hold harmless, and defend (with counsel reasonably acceptable to the City) the City, its Councilmembers, Planning Commissioners, boards, commissions, departments, officials, officers, agents, employees, and volunteers (collectively, “Indemnified Parties”) from and against any and all claims, demands, actions, causes of action, proceedings (including but not limited to legal and administrative proceedings of any kind), suits, fines, penalties, judgments, orders, levies, costs, expenses, liabilities, losses, damages, or injuries, at law or in equity, including without limitation the payment of all consequential damages and attorney’s fees and other related litigation costs and expenses (collectively, “Claims”), of every nature cause d by, arising out of, or in connection with (i) any business, work, conduct, act, omission, or negligence of the Applicant or the owner of the Property (including the Applicant’s or the owner of the Property’s contractors, subcontractors, licensees, sublessees, invitees, agents, consultants, employees, or volunteers), or such activity of any other person that is permitted by the Applicant or owner of the Property, occurring in, on, about, or adjacent to the Property; (ii) any use of the Property, or any acc ident, injury, death, or damage to any person or property occurring in, on, or about the Property; or (iii) any default in the performance of any obligation of the Applicant or the owner of the Property to be performed pursuant to any condition of approval for the Project or agreement related to the Project, or any such claim, action, or proceeding brought thereon.

Provided, however, that the Applicant shall have no obligation to indemnify, hold harmless, or defend the City as to any Claims that arise from the sole negligence or willful misconduct of the City. In the event any such Claims are brought against the City, the Applicant, upon receiving notice from the City, shall defend the same at its sole expense by counsel reasonably acceptable to the City a nd shall indemnify the City for any and all administrative and litigation costs incurred by the City itself, the costs for staff time expended, and reasonable attorney’s fees (including the full reimbursement of any such fees incurred by the City’s outside counsel, who may be selected by the City at its sole and absolute discretion and who may defend the City against any Claims in the manner the City deems to be in the best interests of the City).
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6 b. The Applicant further and separately agrees to and shall indemnify, hold harmless, and defend the City (including all Indemnified Parties) from and against any and all Claims brought by any third party to challenge the Project or its approval by the City, including but not limited to any Claims related to the Project’s environmental determinations or environmental review documents, or any other action taken by the City regarding environmental clearance for the Project or any of the Project approvals. Such indemnification shall include the Applicant’s payment for any and all administrative and litigation costs and expenses incurred by the City in defending against any such Claims, including payment for all administrative and litigation costs incurred by the City itself, the costs for staff time expended, and reasonable attorney's fees (including the full reimbursement of any such fees incurred by the City’s outside counsel, who may be selected by the City at its sole and absolute discretion and who may defend the City against any Claims in the manner the City deems to be in the best interests of the City and the Project). c. The City, in its sole discretion and upon providing notice to the Applicant, may require the Applicant to deposit with the City an amount estimated to cover costs, expenses, and fees (including attorney’s fees) required to be paid by the Applicant in relation to any Claims referenced herein, which shall be placed into a deposit account from which the City may draw as such costs, expenses, and fees are incurred. Within 14 days after receiving written notice from the City, the Applicant shall replenish the deposit account in the amount the City determines is necessary in the context of the further defense of such Claims. To the extent such deposit is required by the City, the amount of such deposit and related terms and obligations shall be expressed in a written Deposit Account Agreement, subject to the City Attorney’s approval as to form. The City, in its sole and reasonable discretion, shall determine the amount of any initial deposits or subsequent deposits of funds, and the Applicant may provide documentation or information for the City to consider in making its determinations. Nothing within this subsection shall be construed as to relieve the Applicant’s obligations to indemnify, hold harmless, or defend the City as otherwise stated herein.

B. Construction, Maintenance, and Operation Obligations:

1. Code Requirements. All construction shall comply with the applicable requirements of the Escondido Municipal Code, Escondido Zoning Code, California Building Code; and the requirements of the Planning Division, Engineering Services Department, Director of Development Services, Building Official, City Engineer, and the Fire Chief in carrying out the administration of said codes. Approval of this Permit request shall not waive compliance with any City regulations in effect at the time of Building Permit issuance unless specifically waived herein.

As a condition of receiving the land use approvals specified herein, Applicant shall maintain the property subject to the approvals in compliance with all applicable city codes governing the condition or appearance of property. In addition to compliance with such basic standards, the property subject to these approvals shall also be maintained free of trash, plant debris, weeds, and concrete (other than existing foundations and permanent 233
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Attachment “6”
7 structures). Any signs placed on the property advertising such property for sale or rent shall be in accordance with applicable laws, and be kept clean, in like-new condition, and free from fading and graffiti at all times. This condition shall be applicable from the date the land use is approved. The failure to comply with this condition shall subject the approvals specified herein to revocation for failure to comply.

To the satisfaction of the Director of Development Services, the Applicant shall provide on any building or fire submittals for plan check the following, to the satisfaction of the City Building Official and Deputy Fire Marshall:
 Square footage and occupant load of supportive housing uses;  Locations of fixtures, beds, etc. with dimensioned aisle clearances;  Exit signs, exist widths, lighting, emergency lighting, smoke detectors, fire extinguishers;
 Fire Sprinkler and Fire Alarm Plans as a deferred submittal to the Escondido Fire Department;
 Disabled accessible restrooms;
 One hour fire rated separation between any “B” occupancy and any proposed or existing “R -1” occupancy or nonseparated occupancies pursuant to Section 508.3 of the California Building Code.

2. Agency License and Permitting. In order to make certain on- or off-site improvements associated with the Approved Plan set, the Permit request may require review and clearance from other agencies. Nothing in these Conditions of Approval shall be construed as to waive compliance with other government agency regulations or to obtain permits from other agencies to make certain on - or off-site improvements prior to Final Map recordation, grading permit issuance, building permit issuance, or certificate of occupancy as required. This review may result in conditions determined by the reviewing agency.

At all times during the effective period of this Permit, the Applicant and any affiliated responsible party shall obtain and maintain in valid force and effect, each an d every license and permit required by a governmental agency for the construction, maintenance, and operation of the authorized activity.

3. Utilities. All new utilities and utility runs shall be underground, or fee payment in -lieu subject to the satisfaction of the City Engineer.

4. Signage. All proposed signage associated with the Project must comply with Article 66 (Sign Ordinance) of the Escondido Zoning Code. Separate sign permits will be required for Project signage. All non -conforming signs shall be removed. The Applicant shall submit with any sign permit graphic/list of all signs to be removed and retained, along with any new signage proposed.

5. Noise. All Project generated noise shall conform to the City’s Noise Ordinance (Ordinance 90-08).
234
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8 6. Lighting. All exterior lighting shall conform to the requirements of Article 35 (Outdoor Lighting Ordinance) of the Escondido Zoning Code.

7. General Property Maintenance. The property owner or management company shall maintain the property in good visual and functional condition. This shall include, but not be limited to, all exterior elements of the buildings such as paint, roof, paving, signs, lighting and landscaping. The Applicant shall paint and re -paint all building exteriors, accessory equipment, and u tility boxes servicing the Project, as necessary to maintain clean, safe, and efficient appearances.

8. Anti-Graffiti. The Applicant shall remove all graffiti from buildings and wall surfaces within 48 hours of defacement, including all areas of the job site for when the Project is under construction.

9. Anti-Litter. The site and surrounding area shall be maintained free of litter, refuse, and debris. Cleaning shall include keeping all publicly used areas free of litter, trash, and garbage.

10. Roof, Wall, and Ground Level Equipment. All mechanical equipment shall be screened and concealed from view in accordance with Section 33 -1085 of the Escondido Zoning Code.

11. Trash Enclosures. All appropriate trash enclosures or other approved trash systems shall be approved by the Planning and Engineering Division. The property owner or management company shall be responsible for ensuring that enclosures are easily assessable for garbage and recyclables collection; and that the area is managed in a clean, safe, and efficient manner. Trash enclosure covers shall be closed when not in use. Trash enclosures shall be regularly emptied. There shall be the prompt removal of visible signs of overflow of garbage, smells emanating from enclosure, graffiti, pests, and vermin.
a. The treatment and disposal of medical waste shall adhere to all regulations of any responsible agency with control or overs ight, including the Centers for Disease Control (CDC), Occupational Safety and Health Administration (OSHA), US Food and Drug Administration (FDA) and others, where applicable, even if not listed.

12. Staging Construction Areas. All staging areas shall be conducted on the subject property, subject to approval of the Engineering Department. Off -site staging areas, if any, shall be approved through the issuance of an off-site staging area permit/agreement.

13. Disturbance Coordinator. The Applicant shall designate and provide a point-of-contact whose responsibilities shall include overseeing the implementation of Project, compliance with Permit terms and conditions, and responding to neighborhood concerns.

14. Construction Waste Reduction, Disposal, and Recycling. Applicant shall recycle or salvage for reuse a minimum of 65% of the non -hazardous construction and demolition waste for residential projects or portions thereof in accordance with either Section 4.408.2,

4.408.3, or 4.408.4 of the California Green Buildi ng Standards Code; and/or for non - residential projects or portions thereof in accordance with either Section 5.408.1.1, 235
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Attachment “6”
9 5.408.1.2, or 5.408.1.3 of the California Green Building Standards Code. In order to ensure compliance with the waste diversion goals f or all residential and non -residential construction projects, the Applicant must submit appropriate documentation as described in Section 4.408.5 of the California Green Building Standards Code for residential projects or portions thereof, or Section 5.408 .1.4 for non -residential projects or portions thereof, demonstrating compliance with the California Green Building Standards Code sections cited above.

15. Construction Equipment Emissions. Applicant shall incorporate measures that reduce construction and operational emissions. Prior to the City’s issuance of the demolition and grading permits for the Project, the Applicant shall demonstrate to the satisfaction of the Planning Division that its construction contractor will use a construction fleet wherein all 50-horsepower or greater diesel -powered equipment is powered with California Air Resources Board (“CARB”) certified Tier 4 Interim engines or equipment outfitted with CARB-verified diesel particulate filters. An exemption from this requirement may be granted if (i) the Applicant provides documentation demonstrating that equipment with Tier 4 Interim engines are not reasonably available, and (ii) functionally equivalent diesel PM emission totals can be achieved for the Project from other combinations of co nstruction equipment. Before an exemption may be granted, the Applicant’s construction contractor shall demonstrate to the satisfaction of the Director of Development Services that (i) at least two construction fleet owners/operators in San Diego County we re contacted and those owners/operators confirmed Tier 4 Interim equipment could not be located within San Diego County during the desired construction schedule, and (ii) the proposed replacement equipment has been evaluated using the California Emissions Estimator Model (“CalEEMod”) or other industry standard emission estimation method, and documentation provided to the Planning Division confirms that necessary project - generated functional equivalencies in the diesel PM emissions level are achieved.

C. Parking and Loading/Unloading.

1. A minimum of 52 parking spaces shall be provided and maintained at all times. Said parking spaces provided by the Applicant, and any additional parking spaces provided above the required minimum amount, shall be dimensioned per City standards and be maintained in a clean, well-marked condition. The striping shall be drawn on the plans or a note shall be included indicating double -striping per City standards. Up to 16 of the required parking spaces may be compact spaces per City standards.

2. Parking for disabled persons shall be provided (including “Van Accessible” spaces) in full compliance with the State Building Code.

3. No contractor, client/resident or employee may store, or permit to be stored, a commercial or construction vehicle/truck; or personal vehicle, truck, or other personal property on public-right-of-way or other public property without permission of the City Engineer.

4. The Operator shall be responsible for enforcing the Parking Management Plan for the 10- bed veterans' facility and the transitional housing facility approved in 2005 (dated May 9, 2005), which shall continue to remain in effect unless modified by the Planning Division. 236
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10 The Operator shall provide a copy of such management plan to the Planning Division within 45-days of this Permit’s effective date.
a. The maximum number of vehicles allowed on site, which are owned or possessed by client/residents of the Veteran's Shelter or Transitional Housing Facility shall be limited to 14 vehicles. The number of vehicles permitted by the client/residents may be redu ced by the Planning Division in the future based on the parking availability on the site.

5. The Operator shall be responsible for enforcing the allowed maximum number of vehicles on site for all operations. The number of vehicles permitted by the client/residents may be reduced by the Planning Division in the future based on the parking availability on the site and subject to the appropriate process identified within the Escondido Zoning Code.

6. All participants in the Alcoholics Anonymous and Narcotics Anonymo us programs that operate three nights a week are limited to a maximum number of 23 vehicles.

D. Landscaping: The property owner or management company assumes all responsibility for maintaining all on-site landscaping; any landscaping in the public right-of-way adjacent to the property, including potted plants; and any retaining and freestanding walls in a manner that satisfies the conditions contained herein.

1. Landscaped areas shall be maintained in a flourishing manner. Appropriate irrigation shall be provided for all landscape areas and be maintained in a fully operational condition.

2. All existing planting and planter areas, including areas within the public right-of-way, shall be repaired and landscaping brought into compliance with current standards. All dead plant material shall be removed and replaced by the property owner or management company.

3. If at the time of planning final inspection that it is determined that sufficient screening is not provided, the Applicant shall be required to provide addi tional landscaping improvements to the satisfaction of the Planning Division.

4. The landscaped areas shall be free of all foreign matter, weeds and plant material not approved as part of the landscape plan.

5. Failure to maintain landscaping and the site in general may result in the setting of a public hearing to revoke or modify the Permit approval.

E. Specific Planning Division Conditions:

1. This approval shall supersede all previous conditions set forth under approvals 2006-36- CUP/BEZ, 2004-71-CUP, PHG11-0039, PHG15-0015, PHG18-0045, and PL24-0357. All applicable conditions from all aforementioned approvals have been either carried over into this approval and/or update d to current standard conditions as applicable to current operations.

2. Use Limitations: This Conditional Use Permit allows for only the use activities identified in the Table below . Use activities and operations not expressly detailed below are not permitted by this Permit and may require subsequent amendments . Locations on the 237
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11 project site and intensities of such use activities are limited to those on the approved plan set provided under this Permit. Deviations from the approved plan set may qualify as a “minor” modification pursuant to Condition No. A.4 or may require subsequent amendment(s) to this Permit.
a. Permitted Uses:

Use Limitation Permitted Hours of
Operations
Transitional Housing
Facility
Maximum 44* clients per night Every day
All day and all night
Withdrawal
Management
Services1
Maximum 59* clients per night Every day
All day and all night
Outpatient Addiction
Treatment Services
-- Monday – Friday
11:00a – 8:00p
Administrative
offices and related
services
-- Monday – Friday
7:30a – 6:00p
Medical Services
(Primary Care and
Limited Specialty
Care)
Maximum of 437 SF, servicing only clients
of any ICS program; Limited specialty care,
such as podiatry and diabetes prevention.

Neighborhood Healthcare shall be the
larger provided however, another contractor
may operate medical services out of the
facility, within the designated location
shown on Approved Plans when granted
prior written approval by the Director of
Development Services.

Monday – Friday
7:30a – 6:00p

Saturdays
8:00a – 12:00p
Bulk food
storage/warehousing
and bulk distribution
-- Monday – Friday
8:00a – 5:00 p
Basic Needs
Morning Meal,
Showers, and
Laundry Services
 All food services shall require clients eat
their meals on site, out of view from the
public right-of-way. Staff shall ensure all
trash and refuse is disposed of on site
and in accordance with solid waste
requirements.
 Seasonal meals are allowed the day
before and the day of Thanksgiving,
and the day before and of
Christmas;
 Sack meal distribution associated
with the Basic Needs Morning Meal
service. Sack meals shall be clearly
marked with Operator branding for
purposes of litter identification.
 The Operator shall mandate that all
walk-up service 2 clients register for
Every Day
5:00a – 7:00a
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12 services in advance, engaging in an
onsite intake, assessment, and triage
process. The Operator shall share
demographic information and client
needs and outcomes with City of
Escondido to inform and support
planning to reduce homelessness and
increase public safety.

Food Pantry -- Monday – Friday
7:30a – 5:00p
Computer Lab -- Monday – Friday
7:30a – 5:00p
Hiring Hall -- Monday – Friday
5:30a – 10:30a
North County Labor
Connection
-- Monday - Friday
5:30a – 10:30a
Narcotics and
Alcoholics
Anonymous
Maximum 23 clients per session Mondays, Wednesdays,
and Saturdays
7:00p – 9:00p
NOTES:
* The number of clients allowed in this facility shall be limited solely to that facility’s location, as depicted within the approved Site Plan/Floor Plan.
1 A maximum of 10 beds identified as “Withdrawal Management Services” may also serve as a Veteran’s Shelter subject to the same restrictions should Operator choose to eliminate such services.
2 For purposes of this Permit, “walk -up services” shall constitute the following services when open to the general public: 1) Morning meal services, 2) Laundry services, 3) Shower services, 4) Any other meal services.

3. Personal Effects Storage: The Operator shall provide limited on-site storage for personal effects of clients. Limited storage shall mean incidental to the primary uses of Administrative Offices and Supportive Housing operations. The Operator shall be responsible for ensuring such personal effects are kept out of view from the public right - of-way, including whatever storage houses such personal effects, to the satisfaction of the Chief of Police and Director of Development Services.

4. Operational Program Rules and Regulations: The Operator shall enforce program rules and regulations at all times that transitional and supportive housing operations are open.

The Operator shall provide program rules and regulations to the Development of Director Services and Chief of Police annually as part of the Annual Reporting required for the CUP. Changes to program rules and regulations must be in substantial conformance with the existing rules and regulations on record with the City or show how a substantial change is required or preferred by industry best practice.

5. Project Site Access: The Operator shall be responsible for maintaining a closed and locked driveway gate at the vehicle entrance located on the Quince St. frontage between the hours of 10:00p – 4:00a, daily. The Operator shall ensure Clients do not use the driveway entrance on Washington Avenue for pedestrian access, and must use the driveway entrance on Quince Street.
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13 a. The Operator shall ensure gate locks comply with the City’s required Fire Code requirements.

6. Second Bathroom Facility: The Operator shall be responsible for permitting, installing and maintaining a second bathroom in the withdrawal management facility in compliance with the previous Conditional Use Permit Modification known as Planning Case No.

PHG15-0015.

7. Operational Requirements:
a. The Operator shall ensure that all clients provide identification and sign -in when using any service. The Operator of the shelter shall keep a record of all clients that sign-in, including a copy of their valid state issued ID with an identification number (if applicable), and the date of the sign-in, for a minimum of 3 years. Such records shall include at minimum, the pertinent information identified under Section 16D - 13 of Article 16D of the Escondido Municipal Code. Upon request by the City Manager or their designee, the Operator shall submit said reports within 24-hours unless otherwise stipulated, subject to state and federal privacy standards. b. The Operator shall provide constant staffing and supervision for all residential clients, including those in the Transitional Housing Facility and the Withdrawal Management Services. This shall include on -site case managers and providing client assessment and referral to ongoing services with an emphasis on individual self-sufficiency and successful graduation into their own independent housing.

8. Gathering/Break Area: The Operator shall provide a gathering/break area with a table and chairs for clients of the operator on the interior of the site. The area may be on the lawn areas adjacent to the building or in another approved location, and shall not be visible to the public.

9. Public Right-of-Way Mitigation Plan: The Operator shall provide a mitigation plan that identifies how the Operator will respond to loitering or prohibited items (e.g., shopping carts, wheeled carts, etc.) within the 200 -yard radius of the subject site. The mitigati on plan shall detail the actions staff will take to abate such issues, including the party or parties responsible for addressing such, and identify turn -around times for ensuring compliance with this Permit.

F. Specific Code Compliance Division and Police Department Conditions:

1. Annual Reporting: The Operator shall prepare and provide an annual report to the Director of Development in soft copy (PDF or Word format) not to exceed 10 pages front and back (20 total pages). The annual report shall be due each year following approval of this Permit on the date of the Permit’s effective date. The annual report may be emailed to [email protected] and [email protected]. The annual report shall include the following:
a. Provide and confirm any and all program rules and regulations are still valid. Any updates to program rules and regulations shall be identified in the annual report 240
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Attachment “6”
14 and shall substantiate why the change was made (e.g., change in provider; staffing capacity, etc.);
b. Detailed narrative along with pertinent data on how the Transitional Housing Facility and Withdrawal Management Services comply with mandatory regulations such as these conditions of approval, as well as whether and how these uses are operating in line with industry best practice;
c. Contracts with federal, state, and local agencies and or funding sources pertinent to the operations subject to this Permit;
d. Detailed narrative/updates on the following:
i. Internal policy of the Operator identifying when and how Operator can release information to the Escondido Police Department. Identification of how and with whom such policy is shared.
ii. Implementation of the Security and Operations Management Plan for the site, including how many security personnel are on site daily; in what shifts; and their applicable certifications;
iii. Explanation of how the operations comply with provisions for safe workplaces for health care and community service workers; iv. Explanation of how the medical facility complies with federal and state laws regulating the medical facility’s activity;
v. Description of standard operational procedure when experiencing disruptive behavior and/or mental health crises. “Disruptive behavior” and “mental health crises” shall be defined in the description provided within the Annual Report;
vi. Records as described in Condition F.7 below;
vii. Liaisons for the EPD and their contact information (phone/email); viii. Quantifiable and qualitative changes to staffing, if any, and identification of staffing numbers per facility and/or service,
ix. The Operator’s operation for defining and keeping personal effects on-site, including how long such storage is stored on -site and what occurs if illicit goods or substances are found within such effects.
e. Client sign-in records as stipulated in Condition No. E.8; f. Any and all identified concerns/issues the Operator is facing that could be alleviated through a modification to this Perm it, and why /how the identified modification would alleviate such.

2. Document Requests: The Operator shall provide the Director of Development Services and Chief of Police, or their respective designees, business records, licenses, and other material necessary to determine compliance with conditions of approval within seven business days of the request, to their satisfaction. Such documents may be requested with 241
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15 more specificity at the time of request by the City. Business records, licenses, and other material may include but is not limited to:
 Security and/or staff management plan(s), including the any and all program rules and regulations, as well as information on licensed security personnel, such as evidence of certifications, deployment of personnel and schedules;  All services occurring on-site at the time of request as they pertain to the broader use categories identified in Condition No. E.2.a.;
 Information pertaining to Operator records identifying the number of individuals who leave service (or were at this location and offered service and refused); their place of origin (i.e., the location that referred them, or they physically came from); whether they are from a city of origin outside City limits; and identify whether they refused or accepted such transportation assistance to return to their city of origin;  Logs substantiating maximum capacities of those uses with maximum limitations;  Personnel training manuals;
 Process and procedure guides;
 Volunteer training manuals;
 Proof of possession of all required State and local permits for Transitional Housing.

Such documentation shall be provided in soft copy, in PDF or Word file type, and separated and labeled in a manner that is intuitive and clearly identifies each specific document. No single document shall exceed 100 pages in length, unless otherwise permitted by the appointed designee(s). In the event documentation provided does not follow the aforementioned format, City staff shall require the Operator to address such issue within seven business days or be in violation of this Condition of Approval.

3. Increased Calls for Service: In the event calls for service which originate from this location increase beyond the average of the past three years from the effective date of this Permit, the Operator shall attend quarterly meetings with City staff to check-in on use operations permitted by this Permit in an effort to reduce calls for service. Meetings shall be scheduled at least 14-calendar days in advance, be located on City property, and include representation from the Operator that has decision making authority for the uses on site.

4. City Referrals : For instances where the Escondido Police Department (EPD) refers persons who are screened and a fit for the purpose of placement within programming, the Operator shall provide the highest priority for such persons. For persons who are referred by EPD but not placed, a written explanation shall be provided within four business days to the EPD contact who placed such request utilizing an established Referral for Service form. In the event such referral does not result in placement due to unavailable beds, the Operator shall provide alternative housing options to the referred persons and EPD in an effort to find assistance.
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16 5. Vacancies: The Operator shall work with the Chief of Police, or their designee, to establish a vacancy and referral program within 6-months of this condition’s approval. This program shall be a collaborative effort with the intent of providing an identified process for how the Operator will notify the City of Escondido Police Department of vacancies in their programming that may be filled by City referral. The program shall include an identified objective of the program; establish points of contact for both the City and Operator; include outlined process and steps that shall be taken in order to meet the intent of the program; and be approved by the Chief of Police or their designee.

6. Security: The Operator shall submit to the Planning Division a Security an d Operations Management Plan within 90-days of the effective date of this Permit. The Plan shall be subject to review by the EPD’s Community Oriented Policing and Problem Solving Unit (“COPPS Unit”) and shall include but is not limited to the following , which shall be described in detail: 1) Purpose of the plan; 2) Scope of the plan; 3) responsible party for monitoring the plan; 4) point of contact regarding the plan, including full name, direct phone number, and email address; 5) the minimum and maximum number of employees on shift; 6) number of licensed security personnel and whether they are contractors or employees of the Operator; 7) identification of any employees used to augment security services; 8) identification of and the process and procedures for emergency situations; 9) any and all reporting and/or tracking conducted post an emergent situation; 10) any and all staff training on safety process and procedures; 11) client/resident valuable/belongings storage. Additional information may be requested as part of the annual reporting identified in Condition No. F.1.
a. Licensed Security Personnel: The Operator shall have 24 hour/7 days per week coverage of the property by at least two security guards licensed through the California Bureau of Security and Investigative Services during times when the pedestrian and vehicle access gates are open and by at least one security guard during times when the access gates are closed. Guards employed by the Operator shall have undergone a background check and received specialized security guard training. The security guards must, at a minimum, provide hourly foot patrols of the property to include the sidewalks surrounding 550 W. Washington Ave. b. Security Cameras: The Operator shall maintain security cameras that provide visual coverage of the entire project site and operate the cameras so that onsite employees are able to monitor their feed. The Operator shall allow the Escondido Police Department to inspect and verify camera locations and feeds within 45-days of this Permit’s effective date . Any “blind -spots” identified by EPD shall be corrected within 30-days of notice by EPD. The Operator shall provide verification of this correction to the satisfaction of the Chief of Police. c. Loitering: The licensed security personnel, in conjunction with staff, shall be responsible for the loitering conditions described below:
i. The Operator shall post “no loitering within 200 -yards of 550 W.

Washington” signs on the project site, near the entrance to the facility on 243
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Attachment “6”
17 Quince Street and Washington Avenue, directing clients of the Operator’s services to the interior of the site.
ii. The Operator shall ensure strict supervision by licensed security personnel be provided for interior areas and exterior areas of the site. The following may not be placed within the public facing portions of the building, or within a 200-yard radius of the subject site : shopping carts, wheeled carts, food containers, s uitcases, bags , b icycles (unless properly placed in bicycle racks on private property).

7. Liaison: Within 14 days of this Permit’s effective date, the Operator shall provide the Escondido Police Department with two designees to operate as liaisons to the Escondido Police Department. The identified personnel shall be updated annually in the required report specified in Condition No. F.1. The liaison(s) shall have been designated full authority to comply with these conditions and any other laws. Upon request from the Police Department and pursuant to legal obligations of the Operator to not violate policy and the requirement to protect client confidentiality, the liaison(s) shall provide any clients’ identification or other information requested.

8. End of Services Rendered: The Operator shall make all reasonable and legal efforts in assisting and providing transportation for individuals who no longer are willing or able to participate in offered services to their city of origin prior to program onboarding. “Reasonable efforts” include but are not limited to providing directions and/or instructions on where the nearest public transit stop is located; providing access to a phone and the number for calling a taxi; and informing the individual of public transit routes and schedules readily available online. The Operator shall maintain a record of the number of individuals who leave service (or were at this location and offered service and refused); their place of origin (i.e., the location that referred them, or they physically came from); whether they are from a city of origin outside City limits; and identify whether they refused or accepted such transportation assistance to return to their city of origin.

9. Violations: For the purposes of this subsection, “violation” shall mean a single instance of a formal, issued Notice of Violation (s) by the City. A “Notice of Violation” may identify multiple violations; however, the single Notice of Violation letter shall constitute a single “violation” under this subsection.

The Operator sha ll be subject to the following process for violations of this Permit, as described in a. and b. below. In the event such conditions occur triggering Planning Commission and City Council review, the item shall be agendized as a public hearing item on the next regularly scheduled meeting, subject to public noticing requirements identified within Article 61 of the Zoning Ordinance. The Planning Commission shall determine whether to recommend revocation, modification, or otherwise to the City Council for final decision. If the Operator seeks a change of use under this Permit while a review is pending, the Operator shall not be granted such change unless directed by the City Manager until an ultimate decision is rendered by the Plan ning Commission and/or City Council.
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Attachment “6”
18 a. The issuance of three or more Notice of Violation of any Condition of Approval set forth under Permit within the first 90-day period shall result in immediate review by the Director of Development Services and Chief of Police, or their appointed designees, for their ultimate decision on whether to suspend this Permit and /or refer this Permit to the Planning Commission and/or City Council. If referred to the Planning Commission and/or City Council, refer to the process outlined above. i. In the event this Permit is not revoked under the authority granted in subsection a. above, then any proceeding three or more Notice of Violations within a 90-day period, of any Condition of Approval set forth under this Permit , shall result in immediate review by the Director of Development Services and Chief of Police, or their appointed designees, for their ultimate decision on whether to suspend this Permit and shall automatically trigger review by the Planning Commission and/or City Council.
b. In the event fewer than three violations of this Permit occur within the first 90- day period, then for the subsequent three years following the end of the first 90- day period, five violations of any Condition of Approval set forth under this Permit within any 180 -day period shall in immediate review by the Director of Development Services and Chief of Police, or their appointed designees, for their ultimate decision on whether to suspend this Permit and shall automatically trigger review by the Planning Commission.
c. For any violation that may occur outside of the timeframes stipulated in a. and b. above, refer to Condition of Approval No. A.15 for process.

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Attachment “7”
Planning Case No. PL24-0335
Draft Notice of Exemption
Updated: 6/17/2021

CITY OF ESCONDIDO

PLANNING DIVISION
201 NORTH BROADWAY
ESCONDIDO, CA 92025-2798
760-839-4671

Notice of Exemption

To: Assessor/Recorder/County Clerk
Attn: Fish and Wildlife Notices
1600 Pacific Hwy, Room 260
San Diego, CA 92101
MS: A-33

From: City of Escondido
Planning Division
201 North Broadway
Escondido, CA 92025

Project Title/Case No: PL24-0335 / Interfaith Community Services Modification to Conditional Use Permit

Project Location - Specific: The 1.29-acre site is located on the northeastern corner of Washington Avenue and Quince Street, and is addressed at 550 W. Washington Avenue (Assessor’s Parcel Number(s): 229 -171-21-00; 229-171-11-00; and 229-171-10-00)

Project Location - City: Escondido Project Location - County: San Diego Description of Project : A modification to a previously approved Conditional Use Permit (PHG15 -0015, PHG18- 0045, & PL24 -0357) to modify existing social service operations. The modification would entail conversion of an existing 49-bed emergency shelter operation to withdrawal management services, within an existing social services center. The withdrawal management services would be located in the same space previously used as an emergency shelter, with no change in total capacity on site. The project site is located within the Light Industrial zoning designation (M-1) under the General Plan land use designation of “Light Industrial” (LI). The proposal also include s an environmental determination for the project.

Name of Public Agency Approving Project: City of Escondido

Name of Person or Agency Carrying Out Project:

Name: Greg Anglea
Address: 550 W. Washington Ave., Escondido, CA 92025 Telephone: 760-489-6380

Private entity School district Local public Agency State agency Other special district

Exempt Status:

The project is categorically exempt pursuant to CEQA Guidelines section 15301 (Existing Facilities).

Reasons why project is exempt:
- The project is consistent with the City of Escondido Zoning Code and General Plan, and no variances are required.

The subject parcel is located within a developed area of the City, which has all services, public utilities, and access available on site.
- The request is for a modification to a previously approved Conditional Use Permit which will not alter the structure, nor physical capacity to the site.
- The site has been completely developed, and has no value as habitat for endangered, threatened, or rare species.

The proposed development would not have the potential to cause an adverse impact on the environment and is not subject to further CEQA review.
- Furthermore, none of the exceptions listed under CEQA Guidelines section 15300.2 apply to the proposed project.

The project is not located in a particularly sensitive environment, does not have an impact on an environmental resource, nor is it of a hazardous or critical concern. The project will not result in a cumulative impact from successive projects of the same type in the same place, over time, given the proposed project is consistent with the General Plan policies which were addressed in the General Plan Final EIR. There are no unusual circumstances surrounding the proposed project that would result in a reasonable possibility of a significant effect 246
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Attachment “7”
on the environment in that the area of impact is already disturbed and improved with an existing, permitted social services facility and all proposed changes would occur within the interior of the existing structures. The project will not damage scenic resources, including trees, historic buildings, rock outcroppings or similar resources, because the proposed project would be loca ted on a previously disturbed site . The project area is not environmentally sensitive as it is a previously disturbed site.

Lead Agency Contact Person: Alex Rangel Area Code/Telephone/Extension:

Signature:

Alex Rangel Date
Assistant Planner II

Signed by Lead Agency Date received for filing at OPR:

Signed by Applicant
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STAFF REPORT

February 19, 2025
File Number 0800-40

SUBJECT
2024 OMNIBUS ZONING CODE UPDATE- PL24-0258

DEPARTMENT
Development Services

RECOMMENDATION
Request the City Council adopt Ordinance No. 2025-01 approving amendments to various articles in the Escondido Zoning Code and one amendment to the Escondido Subdivision Ordinance to address changes in state laws, correct errors, and clarify or improve existing regulations.

Staff Recommendation: Approval (Development Services, Christopher W. McKinney, Deputy City Manager)
Presenter: Pricila Roldan, Associate planner
ESSENTIAL SERVICE – Yes, Keep City Clean for Public Health and Safety; Land Use/Development COUNCIL PRIORITY –Increase Retention and Attraction of People and Businesses to Escondido; Encourage Housing Development

FISCAL ANALYSIS
This project has no direct fiscal impact to the City budget.

PREVIOUS ACTION
On January 14, 2025, the Planning Commission voted 4-0 to recommend approval of the project to City Council, with a modification to fix a typographical error.

BACKGROUND
It is important that municipalities periodically review and update their codes and regulations to ensure they stay current and up-to-date. In 2017, the City of Escondido initiated a reoccurring work program to annually review the Zoning Code and determine whether any updates are required . The City of Escondido’s Planning Division is tasked with preparing and reviewing annual zoning text amendments and updates. Once a year, the Planning division provides a single batch of changes that clean -up and modify 248
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the zoning code (as well as any related changes to Chapter 32 (Subdivisions) —as needed); this effort is referred to as the annual Omnibus Zoning Code Update (“Omnibus”).

The 2024 Omnibus includes amendments to Chapter 32 (Subdivisions) and Chapter 33 (Zoning) of the Escondido Municipal Code. As with past omnibus updates, a majority of the changes are minor and meant to provide clarifications around code requirements. More considerable updates are observed in Articles 37 (Public Art), 67 (Density Bonus and Residential Incentives) and 70 (Accessory Dwelling Units and Junior Accessory Dwelling Units). Changes to Articles 37, 67, and 70 seek to align ordinances with City adopted plans and State law. For example, changes to Article 37 align with the Public Art Strategic Plan adopted by the City Council on September 18, 2024 (Resolution 2024-118).

Table A, shown below, categorizes the proposed amendments by their primary function: clarification of existing regulations; grammatical error cleanup/consistency changes with State law ; streamlining of existing processes. Additional information can be found within the January 14, 2025 Planning Commission Staff Report, provided under Attachment “1” of this Staff Report. For full details on the proposed text amendment, Attachment “2” provides a strikethrough and underlined version of the proposed changes (excerpted). The draft City Council Ordinance No. 2025-01 Exhibit “B” provides a clean copy of the changes and reflects how the ordinances would read if adopted by City Council.

During the January 14, 2025, Planning Commission meeting, commissioners requested additional information regarding the adopted Public Art Strategic Plan . As part of the Commission’s action , the Commission included a modification to Chapter 32, Article 2’s section reference which contained an error in reference number. The Commission’s action corrected this error from 33-1318 to 33-1319(a)(7). Table A identifies each code section with proposed amendments and places them into the type of change proposed.

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Table A – Categorization of Proposed Amendments
Clarification Grammatical error/Consistency Changes Streamlined Process  Article 2 (Tentative
Maps) *
 Article 1 (General
Provisions and
Definitions)
 Article 39 (Off-Street
Parking)
 Article 6 (Residential Zones)
 Article 16 (Commercial Zones)
 Article 26 (Industrial Zones)
 Article 30 (Hazardous Chemical
Overlay (H-C-O) Zone)
 Article 37 (Public Art)
 Article 57 (Miscellaneous Restrictions)
 Article 65 (Old Escondido
Neighborhood)
 Article 67 (Density Bonus and
Residential Incentives)
 Article 70 (Accessory Dwelling Unit and
Junior Accessory Dwelling Units)
 Article 1 (General
Provisions and
Definitions)
 Article 61
(Administration and
Enforcement)
 Article 66 (Sign
Ordinance)
*Chapter 32 – Escondido Subdivision Ordinance

ENVIRONMENTAL REVIEW
There are a number of CEQA exemptions that are applicable to the 202 4 Omnibus Zoning Code Update.

Some proposed amendments are not considered a “project” under CEQA, as defined in section 15378(b)(5) of the State CEQA Guidelines . O ther amendments are Statutorily exempt under CEQA pursuant to Public Resources Code section 21080.17 and CEQA Guidelines section 15282(h).

PUBLIC NOTICING
The 2024 Omnibus was noticed in accordance with Article 61, Division 6 of the Escondido Zoning Code , and in compliance with State law. Due to the nature of an Omnibus, staff did not conduct specific project- related outreach. As of the time the Staff Report was prepared, no public correspondence has been received.

CONCLUSION AND RECOMMENDATION
Planning staff recommend the City Council adopt Ordinance No. 2025 -01 approving the 2024 Omnibus Zoning Code Update. Approval of these changes will improve and clarify planning processes and ensure compliance with state mandates. No other discretionary permits are requested or required.

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ORDINANCES
a) Ordinance No. 2025-01
b) Ordinance No. 2025-01 Exhibits “A” – Factors to Be Considered/Findings of Fact c) Ordinance No. 2025-01 Exhibits “B” – Proposed Amendments

ATTACHMENTS
a) Attachment “1”–January 14, 2025 Planning Commission Staff Report (excerpt) b) Attachment “2”–Strikethrough/Underlined Version of Proposed Changes

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ORDINANCE NO. 2025-01

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
ESCONDIDO, CALIFORNIA, APPROVING THE 202 4

OMNIBUS ZONING CODE UPDATE THAT AMENDS

VARIOUS ARTICLES OF THE ESCONDIDO ZONING CODE

AND ONE AMENDMENT TO THE ESCONDIDO

SUBDIVISION ORDINANCE

The City Council of the City of Escondido, California does ordain as follows:

SECTION 1. The City Council makes the following findings:
a) The City of Escondido Planning Division conducts an annual review of the Escondido Zoning Code to determine if any revisions are necessary to reflect State mandated changes, to correct errors or inconsistencies, and to address land use considerations that have previously been overlooked.
b) Planning Division staff identified the need to amend Chapter 32, Article 2 (Tentat ive Maps) and Chapter 33, Articles 1 (General Provisions and Definitions), 6 (Residential Zones), 16 (Commercial Zones), 26 (Industrial Zones), 30 (Hazardous Chemical Overlay (H-C-O) Zone), 37 (Public Art), 39 (Off -Street Parking), 57 (Miscellaneous Use Re strictions), 61 (Administration and Enforcement), 65 (Old Escondido Neighborhood), 66 (Sign Ordinance), 67 (Density Bonus and Residential Incentives), 70 (Accessory Dwelling Units and Junior Accessory Dwelling Units) of the Escondido Municipal Code.
c) The Pl anning Commission of the City of Escondido held a duly noticed public hearing on January 14, 202 5, to consider the 202 4 Omnibus Zoning Code Update amendments and recommended approval of the items as provided in Exhibit “B.”

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SECTION 2: P roper notices of a public hearing have been given and public hearings have been held before the Planning Commission and City Council on this issue.

SECTION 3. The City Council has reviewed and considered reports and recommendations of the Planning Commission and City staff, and gave all persons full opportunity to be heard and to present evidence and testimony respecting said matter. Evidence was submitted to and considered by the City Council, including, without limitation:
a. Oral testimony from City staff, interested parties, and the public; b. The City Council staff report, dated February 19, 2025, with its attachments as well as City staff’s recommendation on the request, which is incorporated herein as though fully set forth herein;
a. The Planning Commission’s recommendation on the request; and b. Additional information submitted during the public hearing.

SECTION 4. Upon consideration of the Findings of Fact/Factors to be considered, attached hereto as Exhibit “A” and incorporated herein by reference as though fully set forth herein, the City Council desires at this time and deems it to be in the best public interest to approve said amendments, attached as Exhibit “B” hereto and incorporated herein by this reference as though fully set forth herein.

SECTION 6. ENVIRONMENTAL REVIEW. The proposed Zoning Code Amendments and one Subdivision Ordinance amendment are Statutorily exempt from further review pursuant to the California Environmental Quality Act (“CEQA”) and the State CEQA Guidelines or are not considered a Project under CEQA. The City Council, therefore, directs that a Notice of Exemption be filed with the County Clerk of the County of San Diego in accordance with CEQA Guidelines. 253
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a. A number of the amendments are not considered to be a Project under CEQA, as defined in section 15378(b)(5), specifically amendments that relate to error correction, formatting changes, and general reference cleans up, and for those amendments no further environmental review is required. Changes in Chapter 32: Article 2 (Tentative Maps), and Chapter 33: Article 1 (General Provisions and Definitions), Article 6 (Residential Zones):

Change 1 and 2, Article 16 (Commercial Zones), Article 26 (Industrial Zones), Article 30 (Hazardous Chemical Overlay (H-C-O) Zone), Article 37 (Public Art), Article 39 (Off-Street Parking), Article 57 (Miscellaneous Restrictions), Article 61 (Administration and Enforcement), Article 65 (Old Escondido Neighborhood), Article 66 (Sign Ordinance) are error, general reference amendments, or administrative changes; and b. A number of the amendments are statutorily exempt from CEQA pursuant to Public Resources Code section 21080.17 and CEQA Guidelines section 15282(h) . Changes in Chapter 33, Article 6 (Residential Zones) concerning two units in a single-family or multifamily residential zone, are statutorily exempted. Text amendments to Chapter 33- Article 70 (Accessory Dwelling Unit and Junior Accessory Dwelling Units) apply to accessory dwelling units only, making updates to the zoning code also exempt.

SECTION 7. SEVERABILITY. If any section, subsection sentence, clause, phrase, or portion of this ordinance is held invalid or unconstitutional for any reason by any court of competent jurisdiction, such portion shall be deemed a separate, distinct, and independent provision and such holding shall not affect the validity of the remaining portions.

SECTION 8. As of the effective date of this ordinance, all ordinances or parts of ordinances in conflict herewith are hereby repealed.
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SECTION 9. The City Clerk is hereby directed to certify to the passage of this ordinance and to cause the same or a summary to be published one time within 15 days of its passage in a newspaper of general circulation for the City of Escondido.
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Ordinance No. 2025-01
Exhibit “A”