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Agenda packet

Fontana City Council
July 26, 2022

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Agenda packet
Meeting
July 26, 2022
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Fontana City Council
Pages
98
Original file
204.7 MB
Text extracted from the city's file for reading and search. Open the original on fontana.legistar.com. That file is the official record.

Tuesday, July 26, 2022
7:00 PM
City of Fontana
8353 Sierra Avenue
Fontana, CA 92335
Regular Agenda
Ord. No. 1897 Reso. No. 2022-068
Grover W. Taylor Council Chambers
City Council Meeting
Acquanetta Warren - Mayor
Peter A. Garcia - Mayor Pro Tem
John B. Roberts - Council Member
Jesus "Jesse" Sandoval - Council Member
Phillip Cothran - Council Member
Germaine McClellan Key - City Clerk
Janet Koehler-Brooks, City Treasurer
1 City Council Meeting Regular Agenda July 26, 2022
Welcome to a meeting of the Fontana City Council!
Welcome to a meeting of the Fontana City Council. A complete agenda packet is located in the binder on the table in the lobby of the Grover W. Taylor Council Chambers 8353 Sierra Avenue Fontana, CA 92335. To address the Council, please fill out a card located at the entrance to the right indicating your desire to speak on either a specific agenda item or under Public Communications and give it to the City Clerk. Your name will be called when it is your turn to speak. In compliance with Americans with Disabilities Act of 1990 (42 USC § 12132), the Grover W. Taylor Council Chambers 8353 Sierra Avenue Fontana, CA 92335 is wheelchair accessible, and a portable microphone is available. Upon request, this agenda will be made available in appropriate alternative forms to persons with disabilities, as required by Section 12132 of the Americans with Disabilities Act of 1990. Any person with a disability who requires a modification or accommodation in order to participate in a meeting should direct such a request to the City Clerk’s Department at (909) 350-7602 at least 48 hours before the meeting, if possible. Any public record, relating to an open session agenda item, that is distributed within 72 hours prior to the meeting is available for public inspection in the Grover W. Taylor Council Chambers 8353 Sierra Avenue Fontana, CA 92335.

Traduccion en Español disponible a peticion. Favor de notificar al Departamento "City Clerk". Para mayor informacion, favor de marcar el numero (909) 350-7602.

CALL TO ORDER/ROLL CALL:

A. 7:00 P.M. Call To Order/Roll Call:

INVOCATION/PLEDGE OF ALLEGIANCE:

A. Invocation/Pledge of Allegiance:

PROCLAMATION:

A. 1. Mayor Warren and City Council to proclaim August as Sickle Cell Trait Prevention Month (Sickle Cell Trait Prevention Founder and Executive Director, Farron Dozier, to accept). 21-1604
SPECIAL PRESENTATIONS:

A. 1. Mayor Warren and City Council to recognize Officer Matthew Rodgers and Dispatcher Justine Mojarro as the Police
Department's June 2022 Employees of the Month (Captain
Dorsey and Lieutenant Kraut to present).

2. Special Recognition of Mayor Acquanetta Warren's Birthday (City Council to present).
21-1605

Page 1 of 6 ends

2 City Council Meeting Regular Agenda July 26, 2022
PUBLIC COMMUNICATIONS:

This is an opportunity for members of the public to address the City Council for up to three ( 3) minutes total on items either on the Agenda or items not on the Agenda, but within the City Council's jurisdiction. Note that Public Hearing items have individual and specific public input opportunities during the public hearing and testimony on those items will only be taken during the public hearing. The Council is prohibited by law from discussing or taking immediate action on non-agendized items. The Mayor and City Council reserve the right to adjust this time limit based on the number of speakers who wish to address the Mayor and City Council .

A. Public Communications
CONSENT CALENDAR:

All matters listed under CONSENT CALENDAR will be enacted by one motion in the form listed below. There will be no separate discussion on these items prior to the time Council votes on them, unless a member of the Council requests a specific item be removed from the Consent Calendar for discussion.

A. Approval of Minutes 21-1588
B. Authorization of the Recruitment and Retention Incentive Program
21-1286
C. Amend Administrative Policy Section 20-13 (Public Records Requests)
21-1502
D. Resolution Ratifying the 2022-2025 Memorandum of
Understanding for the Fontana Police Officers’ Association 21-1520
E. Accept Family Homelessness Challenge Grant from California Interagency Council On Homelessness
21-1523
F. Adoption of Ordinance No. 1896 (Second Reading) 21-1528 G. Adoption of Ordinance No. 1898 (Second Reading) 21-1529 H. Adoption of Ordinance No. 1899 (Second Reading) 21-1530 I. Levy of a Special Tax in Community Facilities District No. 7 (Country Club Estates) for Fiscal Year 2022-2023.
21-1532
J. Levy of a Special Tax in Community Facilities District No. 11 (Heritage West End) for Fiscal Year 2022-2023.
21-1534
K. Levy of a Special Tax in Community Facilities District No. 22 (Sierra Hills South) for Fiscal Year 2022-2023
21-1536

Page 2 of 6 ends

3 City Council Meeting Regular Agenda July 26, 2022
L. Levy of a Special Tax in Community Facilities District No. 31 (Citrus Heights North) for Fiscal Year 2022-2023
21-1538
M. Measure I Five Year Local Street Capital Improvement Program Amendment and Annual Adoption
21-1539
N. Levy of a Special Tax in Community Facilities District No. 71 (Sierra Crest) for Fiscal Year 2022-2023
21-1540
O. Police Department Monthly Information Update 21-1541 P. Levy of a Special Tax in Community Facilities District No. 74B and 74M (Citrus/Summit) for Fiscal Year 2022-2023
21-1542
Q. Police Department Donations Jan - Jun 2022 21-1543
R. 2022 National Night Out Event 21-1546
S. Award Contract for Citywide Weed Abatement and Rubbish Removal Services SP-64-DS-22
21-1571
T. Adopt Resolutions Approving the Updated Salary Table and the Executive Management Benefits Schedule for the
Executive Management Team
21-1556
U. Prohousing Designation Program Application 21-1573
V. Adoption of a Resolution Authorizing Acceptance of Certain Property and Execution of an Open Space Agreement
21-1599
W. Authorization of the acceptance of $60,000 from California Governor’s Office of Emergency Services - High Frequency Communications Equipment Program.
21-1589
X. Levy of a Special Tax in Community Facilities District No. 100 (Victoria) for Fiscal Year 2022-2023
21-1590
Y. Levy of a Special Tax in Community Facilities Districts for Fiscal Year 2022-2023
21-1586
Z. Resolution of Intent to form Community Facilities District No. 111 (Monterado)
21-1582
AA. Levy of a Special Tax in Community Facilities District No. 95 (Summit @ Rosena Phase 2) for Fiscal Year 2022-2023
21-1574

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4 City Council Meeting Regular Agenda July 26, 2022
AB. Resolution of Intent to Form Community Facilities District No. 110M (Tract 16897)
21-1583
AC. Levy of a Special Tax in Community Facilities District No. 85 (The Meadows) for Fiscal Year 2022-2023
21-1555
AD. Approve an Amendment to the Operating Agreement between San Bernardino County Transportation Authority and the City of Fontana for the Fontana Metrolink Station.
21-1554
AE. Levy of a Special Tax in Community Facilities District No. 89 (Belrose) for Fiscal Year 2022-2023
21-1553
AF. Levy of a Special Tax in Community Facilities District No. 88 (Sierra Crest II) for Fiscal Year 2022-2023
21-1552
AG. Levy of a Special Tax in Community Facilities District No. 86 (Etiwanda Ridge) for Fiscal Year 2022-2023.
21-1549
AH. Levy of a Special Tax in Community Facilities District No. 81 (Gabriella) for Fiscal Year 2022-2023
21-1548
AI. Levy of a Special Tax in Community Facilities District No. 80 (Bella Strada) for Fiscal Year 2022-2023
21-1547
AJ. Levy of a Special Tax in Community Facilities District No. 87 (El Paseo) for Fiscal Year 2022-2023
21-1572
AK. Levy of a Special Tax in Community Facilities District No. 70 (Avellino) for Fiscal Year 2022-2023
21-1560
AL. Levy of a Special Tax in Community Facilities District No. 37 (Montelago) for Fiscal Year 2022-2023
21-1559
AM. Levy of a Special Tax in Community Facilities District No. 12 (Sierra Lakes) for Fiscal Year 2022-2023.
21-1558
AN. Levy of a Special Tax in Community Facilities District No. 1 (Southridge Village) for Fiscal Year 2022-2023
21-1579
AO. Levy of a Special Tax in Community Facilities District No. 90 (Summit @ Rosena Phase 1) for Fiscal Year 2022-2023
21-1576
AP. Levy of a Special Tax in Community Facilities District No. 106 (Mountainview) for Fiscal Year 2022-2023
21-1584
AQ. Enroll City in the California Contract Cities Association 21-1607

Page 4 of 6 ends

5 City Council Meeting Regular Agenda July 26, 2022
Approve Consent Calendar Items as recommended by staff.

PUBLIC HEARINGS:

To speak on Public Hearing Items, submit comments via e-mail at [email protected]. In the subject of your e-mail please indicate whether you are in favor or opposition of the item. Comments must be received no later than 5:00 P.M. on the day of the meeting. Comments of no more than three (3) minutes will be read into the record at the appropriate time during the meeting. If you challenge in court any action taken concerning a Public Hearing item, you may be limited to raising only those issues you or someone else raised at the Public Hearing described in this notice or in written correspondence delivered to the City at, or prior to, the Public Hearing.

All Public Hearings will be conducted following this format:
(a) hearing opened (e) oral - favor
(b) written communication (f) oral - opposition
(c) council/staff comments (g) hearing closed
(d) applicant comments (applicant not limited to 5 minutes) A. Second Combined General Plan Amendments and Projects for the 2nd General Plan Cycle of 2022; Part No. 1 (Sierra Summit Industrial Project), Part No. 2 (Citrus East
Residential Development), and Part No. 3 (Ventana at
Duncan Canyon Specific Plan Amendment)
21-1422
B. Master Case No. 21-124; Specific Plan Amendment No.
21-007; Tentative Tract Map No. 20512 (TTM No. 21-009); Design Review No. 21-046 - A request for entitlements
supporting the construction of 85 detached residential
units on a 9-acre lot at the northwest corner of Summit Avenue and Citrus Avenue.
21-1508
C. Public Hearing to Establish Fiscal Year 2022-2023
Assessment Rates for Landscape and Lighting
Maintenance Districts
21-1578
NEW BUSINESS:

A. Fiscal Year 2021/22 Fourth Quarter Budget Status Report 21-1592 CITY MANAGER COMMUNICATIONS:

A. City Manager Communications

Page 5 of 6 ends

6 City Council Meeting Regular Agenda July 26, 2022
ELECTED OFFICIALS COMMUNICATIONS/REPORTS:

A. Designation of Voting Delegate and Alternate for the League of California Cities Annual Conference, September 7-9, 2022, Long Beach, California
21-1587
B. Elected Official Communications/Reports
ADJOURNMENT:

A. Adjournment
Adjourn to the next Regular City Council Meeting on September 13, 2022, at 7:00 p.m. in the Grover W. Taylor Council Chambers located at 8353 Sierra Avenue, Fontana, California.

Page 6 of 6 ends

7 City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1604 Agenda Date: 7/26/2022
Agenda #: A. Category: Proclamation
Proclamations
Tuesday, July 26, 2022
Council Chambers
City Council
Acquanetta Warren, Mayor
Peter A. Garcia, Mayor Pro Tem
John B. Roberts, Council Member
Jesus “Jesse” Sandoval, Council Member
Phillip W. Cothran, Council Member
City of Fontana Page 1 of 1 Printed on 7/21/2022
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1605 Agenda Date: 7/26/2022
Agenda #: A. Category: Special Presentation
Special Presentations
Tuesday, July 26, 2022
Council Chambers
City Council
Acquanetta Warren, Mayor
Peter A. Garcia, Mayor Pro Tem
John B. Roberts, Council Member
Jesus “Jesse” Sandoval, Council Member
Phillip W. Cothran, Council Member
City of Fontana Page 1 of 1 Printed on 7/21/2022
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1588 Agenda Date: 7/26/2022
Agenda #: A. Category: Consent Calendar
FROM:

City Clerk
SUBJECT:

Approval of Minutes
RECOMMENDATION:

Approve the minutes of the July 12, 2022, City Council Meeting.

COUNCIL GOALS:
· To create a team by working together to provide stability and consistent policy direction. · To create a team by communicating Goals and Objectives to all sectors of the community.

DISCUSSION:

The City Council will consider approval of the minutes of the July 12, 2022, Regular City Council meeting. The draft minutes are attached to this report for Council review and approval.

FISCAL IMPACT:

None.

MOTION:

Approve staff recommendation.

City of Fontana Page 1 of 1 Printed on 7/21/2022
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Tuesday, July 12, 2022
7:00 PM
City of Fontana
8353 Sierra Avenue
Fontana, CA 92335
Grover W. Taylor Council Chambers
City Council Meeting
Acquanetta Warren - Mayor
Peter A. Garcia - Mayor Pro Tem
John B. Roberts - Council Member
Jesus "Jesse" Sandoval - Council Member
Phillip Cothran - Council Member
Germaine McClellan Key - City Clerk
Janet Koehler-Brooks, City Treasurer
Minutes

Page 1 of 1 ends

11 CALL TO ORDER/ROLL CALL:

A. 7:00 P.M. Call To Order/Roll Call:

The Regular meeting of the Fontana City Council was held in the Grover W. Taylor Council Chambers, 8353 Sierra Avenue, Fontana, California 92335, on Tuesday, July 12, 2022.

Mayor Warren called the meeting to order at 7:04 p.m.

ROLL CALL:

Present: Mayor Warren, Mayor Pro Tem Garcia, Council Members Cothran, Roberts, and Sandoval

Absent: None
City Clerk McClellan Key and City Treasurer Koehler-Brooks was also in attendance.

INVOCATION/PLEDGE OF ALLEGIANCE:

A. Invocation/Pledge of Allegiance:

Following the invocation led by Council Member Roberts, the pledge of allegiance was led by Mayor Pro Tem Garcia.

PROCLAMATION:
21-1518

1. Mayor Warren and City Council to proclaim July as Parks and Recreation month (Acting Community Services Director Daniel Schneider to accept).

Mayor Warren and City Council presented a proclamation to Community Services Supervisor Tiffany Sparks to acknowledge the month of July as Parks and Recreation Month.

SPECIAL PRESENTATIONS:
21-1519

Page 1 of 11 ends

12 City Council Meeting Minutes July 12, 2022

1. Mayor Warren and City Council to recognize Community Services Coordinator Tara Savage; Administrative Technician Christina Enriquez; Community Services Coordinator Andrew Solares, and Cable Television Operations Assistant Albert Sida as Community Services Department’s Employees of the Year (Acting Community Services Director Daniel Schneider to present).

Acting Community Services Director Daniel Schneider recognized Cable Television Operations Assistant Albert Sdia; Community Services Manager Kristy Samples recognized Community Services Coordinator Andrew Solares; and Community Services Manager Michael Wright recognized Community Services Coordinator Tara Savage.

Administrative Technician Christina Enriquez was unable to attend the meeting and will be recognized at a upcoming staff meeting.

2. Special Recognition of City Treasurer Janet Koehler-Brooks' Birthday (Mayor Warren to present).

Mayor Warren and the City Council sung City Treasurer Koehler-Brooks Happy Birthday.

PUBLIC COMMUNICATIONS:

A. Public Communications
The following individuals spoke under public communications:

1. Ahmed Yakovi spoke on operating days and hours for community swimming pools; chlorine shortage concerns; and public parking concerns on residential streets.

2. Ben spoke in opposition of warehouse development.

During Ben's comments, he began to speak on Public Hearing Item 'B'. Deputy City Clerk Ashton Arocho interjected stating that Public Hearing Item has yet to be opened for comments and that City Clerk McClellan Key will call him up during the appropriate time to provide such comments.

There were no further speakers.

CONSENT CALENDAR:

Page 2 of 11 ends

13 City Council Meeting Minutes July 12, 2022
Council Member Cothran commented on Consent Calendar Item 'K', asking staff to ensure that once the construction is completed and the signal lights are installed, that a barrier of some sort is added to shield the affected residents from the lights being projected onto their private property.

Council Member Sandoval also noted for the record that he will be voting in opposition of Consent Calendar Item 'D'.

City Clerk McClellan Key announced for the record that the City Clerk's Office received one (1) letter in opposition for Consent Calendar Item 'F' and the written correspondence will be included in the final record.

ACTION: Motion was made by Council Member Cothran, seconded by Council Member Roberts, and passed unanimously by a vote of 5-0 to adopt Consent Calendar Items 'A-O', with the exception of Consent Calendar Item 'D' being passed by a vote of 4-1 (Sandoval). The motion carried by the following vote: AYES: WARREN, GARCIA, COTHRAN, ROBERTS, SANDOVAL; NOES; None; ABSTAIN; None
A. Approval of Minutes 21-1526
Approve the minutes of the June 28, 2022, Special and Regular City Council Meeting.

B. Adoption of Ordinance No. 1895 (Second Reading) 21-1498 Second Reading/ Adopt Ordinance No. 1895, an ordinance of the City of Fontana, California amending chapter 30, Article X, General Landscape Standards for the Fontana Municipal Code to establish water efficiency and other environmental standards for the regulation of environmental quality for citywide development.

C. Adopt Resolution Terminating the Proclamation of Local Emergency Regarding Novel Corona Virus (COVID-19)
21-1433
Adopt Resolution No. 2022-062, Terminating the Proclamation of a Local Emergency regarding the Novel Coronavirus (“COVID-19”).

D. A Resolution of the City Council of the City of Fontana, California, Authorizing Retirement Plan Contributions for Non-Pers City Council Members
21-1443
Adopt Resolution No. 2022-063, Authorizing Retirement Plan Contributions for Non-PERS City Council Members.

E. Adopt the Revised Job Descriptions for the Classifications of Customer Service Supervisor, Office Assistant, and Police Dispatcher I/II
21-1477
Adopt Resolution No. 2022-064, a resolution of the City Council of the City of Fontana adopting new and updated job descriptions for specific classifications throughout the City.

F. Approve a Resolution Adjusting the Development Impact Fees 21-1467 Approve Resolution No. 2022-065, Adjusting the Development Impact Fees.

Page 3 of 11 ends

14 City Council Meeting Minutes July 12, 2022
G. Approve the San Sevaine Trail Project Specific Maintenance Agreement with Caltrans
21-1495
Approve and Authorize the Mayor to execute the San Sevaine Trail Project Specific Maintenance Agreement (PSMA) between the City of Fontana and the California State Department of Transportation (Caltrans).

H. Approval of Final Maps for Tract No. 20297 and Tract No. 20349 21-1501 Approve the Final Maps for Tract No 20297 and Tract No. 20349 located west of Hemlock Avenue and north of South Highland Avenue; accept as public dedicated streets and easements; and authorize the City Manager to enter into a Subdivision Agreement with the subdivider.

I. Award a Construction Contract for the Citrus Avenue at Ceres Avenue Traffic Signal Project
21-1440

1. Award and authorize the City Manager to execute a construction contract with Dynalectric for the construction of the Citrus Avenue at Ceres Avenue Traffic Signal Project in the amount of $650,088.00 and authorize a 10% contingency in the amount of $65,008.80 (Bid No. SB-71-DE-22).

2. Approve and authorize the City Manager to execute any and all utility agreements, utility easements, and subsequent agreements on behalf of the City of Fontana for the Citrus Avenue at Ceres Avenue Traffic Signal Project.

J. Award a Construction Contract for the West Liberty Parkway at Miller Avenue Traffic Signal Project.
21-1482

1. Approve and authorize the City Manager to execute a construction contract with Crosstown Electrical and Data, Inc. for the construction of the West Liberty Parkway at Miller Avenue Traffic Signal Project in the amount of $519,383.00 and authorize a 10% contingency in the amount of $51,938.30 (Bid No.

DB-07-DE-22).

2. Approve and authorize the City Manager to execute any and all utility agreements, utility easements, and subsequent agreements on behalf of the City of Fontana for the West Liberty Parkway at Miller Avenue Traffic Signal Project.

K. Award a Construction Contract for the N. Cherry Avenue at Live Oak Avenue Traffic Signal Modification Project.
21-1491

1. Award and authorize the City Manager to execute a construction contract with Gentry General Engineering Inc. for the construction of the N. Cherry Avenue at Live Oak Avenue Traffic Signal Modification Project in the amount of $883,050.00 and authorize a 10% contingency in the amount of $88,305.00 (Bid No. SB-89-DE-22).

2. Appropriate $35,000.00 from Local Measure I Fund No. 246 to the N. Cherry Avenue at Live Oak Avenue Traffic Signal Modification Project No. 3341.

3. Approve and authorize the City Manager to execute any and all utility agreements, utility easements, and subsequent agreements on behalf of the City

Page 4 of 11 ends

15 City Council Meeting Minutes July 12, 2022
of Fontana for the N. Cherry Avenue at Live Oak Avenue Traffic Signal Modification Project.01111111111111123456789kdjvdjv1100 L. CalHome Program Resolution Authorizing Submittal of Application and Other Grant Related Documents
21-1496

1. Adopt Resolution No. 2022-066 authorizing the submittal of a $500,000 application to the California State Department of Housing and Community Development (HCD) for funding provided under the CalHome Program Notice of Available Funding (NOFA).

2. Authorize the City Manager, or City Manager’s designee, to execute and transmit any documents necessary or desirable to ensure the City's timely receipt and execution of CalHome Program funds.

M. Contract with Sysco Corporation for produce, product supplies and delivery service for the Fontana Community Senior Center 21-1506
Authorize the Purchasing Office to “piggyback” the Sourcewell National Contract #111621-SYC for purchase of Food Service Products from Sysco Corporation and issue a purchasing contract.

N. A Request to make Departmental Name Changes 21-1524
Approve staff recommendation to make changes to certain department names as follows:
· Change Management Services Department to Finance Department · Change City Clerk Office to City Clerk Department
· Change Information Technology to Innovation and Technology · Change Code Enforcement to Code Compliance
· Eliminate Community Development
O. Expanded Learning Opportunities Program for Transitional Kindergarten Agreement between the City and Fontana Unified School District
21-1499

1. Approve the Expanded Learning Opportunities Program (ELO-P) for Transitional Kindergarten (TK) Agreement with the Fontana Unified School District.

2. Authorize the City Manager or designee to sign the Agreement, all related documents, and any amendments for the term of the Agreement, upon the Fontana Unified School District approval of theAgreement.

3. Approve an additional appropriation in the amount of $453,690.00 in Fund 387 for FY 2022-2023.

4. Approve additional new hires as follows: one (1) Community Services Coordinator, one (1) Administrative Technician, six (6) After School Community Services Assistants (at levels I, II, and/or III, based upon candidates’ qualifications).

Page 5 of 11 ends

16 City Council Meeting Minutes July 12, 2022
PUBLIC HEARINGS:

A. Master Case No. 20-082: Specific Plan Amendment No. 21-003 - Comprehensive update to Southwest Industrial Park Specific Plan (SWIP) Specific Plan; and change of land use designation of certain properties within the SWIP from their current designation of Jurupa North Research and Development District (JND) to Slover West Industrial District (SWD) generally located south of Santa Ana Avenue, between Mulberry Avenue and Cherry Avenue, and north of Kaiser High School
21-1387
Mayor Warren opened the Public Hearing.

City Clerk McClellan Key noted for the record that the City Clerk's Office received a total of one (1) written correspondence in opposition of the item.

Senior Planner Rina Leung provided the staff report.

The following individuals spoke in opposition of this item:

1. Janet Bernabe

2. Ana Gonzalez

3. Elizabeth Sena
Mayor Warren closed the Public Hearing.

ACTION: Motion was made by Council Member Roberts, seconded by Mayor Pro Tem Garcia, and passed by a vote of 4-1 to approve Public Hearing Item 'A' as follows:

Read by title only and waive further reading of and introduce Ordinance No. 1896, an Ordinance of the City Council of the City of Fontana, approving Specific Plan Amendment No. 21-003 for a comprehensive update to the Southwest Industrial Park Specific Plan (SWIP) Specific Plan as shown in Attachment No. 1, and the reading of the title constitutes the first thereof.

The motion carried by the following vote: AYES: Warren, Garcia, Cothran, and Roberts; NOES: Sandoval; ABSTAIN: None
B. Master Case No. 22-049, Master Case No. 22-071, Municipal Code Amendment No. 22-004, and Municipal Code Amendment No.
22-005 - Update to the Fontana Municipal Code for amendments to Chapter 26 Subdivisions and Chapter 30 Zoning and Development Code
21-1504
RECOMMENDATION:

Page 6 of 11 ends

17 City Council Meeting Minutes July 12, 2022
Mayor Warren opened the public hearing.

City Clerk McClellan Key announced that the City Clerk's Office received a total of one (1) written correspondence for this item in opposition.

Senior Planner Rina Leung provided the staff report and advised that City Staff is asking City Council to hold and pull back the item related to Chapter 30, Article 15, as it relates to the 'No Net Loss' program. City staff would like to pull this item and do further research. A memo was provided to the City Council with this recommendation at the dais.

The following individuals spoke under public communication in opposition of this item:

1. Janet Bernabe

2. Ana Gonzalez

3. Elizabeth Sena
City Clerk McClellan Key noted for the record that Ben was not present during the public comment period and was skipped.

The following individual spoke under public communication in support of this item:

1. Matt Slowick
Mayor Warren closed the public hearing.

ACTION: Motion was made by Mayor Warren, seconded by Mayor Pro Tem Garcia, and passed by a vote of 4-1 to approve Public Hearing Item 'B' as follows:

Alternative 1: (a) Determine that the project is Categorically Exempt pursuant to Section No. 15061 (B)(3) (the “common sense” exemption), Section 15303 (Class No. 3, Small Structures) of the California Environmental Quality Act and Section No. 3-22 (Categorical Exemptions) of the 2019 Local Guidelines for implementing the CEQA, and direct staff to file a Notice of Exemption; and
(b) Read by title only and waive further reading of and introduce Ordinance No. 1897, an Ordinance of the City Council of the City of Fontana with the recommendation of approval by Planning Commission, approving Master Case No. 22-049, Master Case No. 22-071, Municipal Code Amendment No. 22-004, and Municipal Code Amendment No. 22-005 – Update to the Fontana Municipal Code for amendments to Chapter 26 Subdivisions and Chapter 30 Zoning and Development Code with Planning Commission modifications, and the reading of the title constitutes the first thereof;

Page 7 of 11 ends

18 City Council Meeting Minutes July 12, 2022
Alternative 2:
(a) Determine that the project is Categorically Exempt pursuant to Section No. 15061 (B)(3) (the “common sense” exemption), Section 15303 (Class No. 3, Small Structures) of the California Environmental Quality Act and Section No. 3-22 (Categorical Exemptions) of the 2019 Local Guidelines for implementing the CEQA, and direct staff to file a Notice of Exemption; and (b) Read by title only and waive further reading of and introduce Ordinance No. 1898, an Ordinance of the City Council of the City of Fontana that includes the original standards presented to Planning Commission approving Master Case No. 22-049, Master Case No. 22-071, Municipal Code Amendment No. 22-004, and Municipal Code Amendment No. 22-005 – Update to the Fontana Municipal Code for amendments to Chapter 26 Subdivisions and Chapter 30 Zoning and Development Code without the Planning Commission modifications, and the reading of the title constitutes the first thereof; or
The motion carried by the following vote: AYES: Warren, Garcia, Sandoval, and Roberts; NOES: Cothran; ABSTAIN: None
C. Master Case No. 22-072, Municipal Code Amendment No. 22-006 - Request to approve an Ordinance Repealing Sections 30-6 Through 30-11 of Division 3 of Article 1 of Chapter 30, Amending Chapter 30 Permitted Uses, And Adding Chapter 33, “Cannabis Businesses And Activities”
21-1512
(a) Determine that the project is Categorically Exempt pursuant to Section No. 15061(B)(3) (the “common sense” exemption), Section 15303 (Class No. 3, Small Structures) of the California Environmental Quality Act and Section No. 3-22 (Categorical Exemptions) of the 2019 Local Guidelines for implementing the CEQA, and direct staff to file a Notice of Exemption; and, (b) Read by title only and waive further reading of and introduce Ordinance No. 1899. an Ordinance of the City Council of the City of Fontana, approving Municipal Code Amendment (MCA) No. 22-006 to amend Chapter 30 of the Fontana Municipal Code and add Chapter 33, “Cannabis Businesses and Activities”, and the reading of the title constitutes the first reading thereof.

Page 8 of 11 ends

19 City Council Meeting Minutes July 12, 2022
Mayor Warren opened the Public Hearing.

City Clerk McClellan Key noted for the record that the City Clerk's Office received two (2) written correspondences; one (1) in support and one (1) in opposition of the item.

Deputy City Manager Phil Burum provided the staff report and answered questions of the City Council.

The following individuals spoke in support of this item:

1. Janet Bernabe

2. Ana Gaeta

3. Elizabeth Sena

4. Cris Smith
City Clerk McClellan Key announced that Ana Gonazlez was not present to speak and was skipped.

Mayor Warren closed the Public Hearing.

ACTION: Motion was made by Mayor Pro Tem Garcia, seconded by Council Member Roberts, and passed by a vote of 4-1 to approve Public Hearing Item 'C' as follows:
(a) Determine that the project is Categorically Exempt pursuant to Section No. 15061(B)(3) (the “common sense” exemption), Section 15303 (Class No. 3, Small Structures) of the California Environmental Quality Act and Section No. 3-22 (Categorical Exemptions) of the 2019 Local Guidelines for implementing the CEQA, and direct staff to file a Notice of Exemption; and (b) Read by title only and waive further reading of and introduce Ordinance No. 1899. an Ordinance of the City Council of the City of Fontana, approving Municipal Code Amendment (MCA) No. 22-006 to amend Chapter 30 of the Fontana Municipal Code and add Chapter 33, “Cannabis Businesses and Activities”, and the reading of the title constitutes the first reading thereof.

The motion carried by the following vote: AYES: Warren, Garcia, Cothran, and Roberts; NOES: Sandoval; ABSTAIN: None
NEW BUSINESS:

A. Issuance of Special Tax Bonds for CFD #106 (Mountainview) 21-1500 Adopt Resolution No. 2022-067, of the City Council of the City of Fontana authorizing the issuance of City of Fontana Community Facilities District No. 106 (Mountainview) Special Tax Bonds, Series 2022, in an aggregate principal amount of not to exceed $8,000,000, authorizing the execution and delivery of

Page 9 of 11 ends

20 City Council Meeting Minutes July 12, 2022
an Indenture, a Bond Purchase Agreement and a Continuing Disclosure Agreement, authorizing the distribution of an Official Statement in connection therewith and authorizing the execution of necessary documents and certificates and related actions.

Account I Justin Marietta provided the staff report and answered questions of the City Council.

ACTION: Motion was made by Council Member Roberts, seconded by Council Member Cothran, and passed unanimously by a vote of 5-0 to approve New Business Item 'A' as follows:

Adopt Resolution No. 2022-067, of the City Council of the City of Fontana authorizing the issuance of City of Fontana Community Facilities District No. 106 (Mountainview) Special Tax Bonds, Series 2022, in an aggregate principal amount of not to exceed $8,000,000, authorizing the execution and delivery of an Indenture, a Bond Purchase Agreement and a Continuing Disclosure Agreement, authorizing the distribution of an Official Statement in connection therewith and authorizing the execution of necessary documents and certificates and related actions.

The motion carried by the following vote: AYES: Warren, Garcia, Cothran, Roberts, and Sandoval; NOES: None; ABSTAIN: None
CITY MANAGER COMMUNICATIONS:

A. City Manager Communications
City Manager Matt Ballantyne clarified for the record that City staff took a look at making amendments to the South West Industrial Specific Plan (SWIP) and there were false comments made that the City was looking to expand the industrial uses and would like the record to reflect that is inaccurate. Many of the changes brought before City Council provided additional restrictions to industrial uses.

Additionally, City Manager Ballantyne took a moment to thank and recognize City staff who assisted in coordinating the efforts for a successful Fourth of July celebration and community event.

ELECTED OFFICIALS COMMUNICATIONS/REPORTS:

A. Elected Officials Communications/Reports

Page 10 of 11 ends

21 City Council Meeting Minutes July 12, 2022
City Treasurer Koehler-Brooks thanked everyone for the Birthday wishes; congratulated the Community Services Employee's of the Year; and thanked City staff for the recent Fourth of July event.

City Clerk McClellan Key echoed the comments of City Treasurer Koehler-Brooks and spoke on recent attendance at the community concerts in the park.

Council Member Roberts echoed the comments of his colleagues regarding the Fourth of July event.

Council Member Sandoval echoed the comments of his colleagues regarding the Fourth of July event; would like to meet with Police Chief Green to discuss some suggestions for upcoming years with fireworks and celebrations on the Fourth of July; congratulated the Community Services Employees of the Year; and wished his daughter, Teresa, a happy birthday.

Council Member Cothran spoke on the success of Family Fun Nights; upcoming community meetings; wished City Treasurer Koehler-Brooks a Happy Birthday; and closed with congratulating staff on another successful Fourth of July event.

Mayor Pro Tem Garcia wished City Treasurer Koehler-Brooks a Happy Birthday; and made a follow-up comment on Public Hearing Item 'C' regarding the generated revenue from this item and ensuring that it remains within the community.

Council Member Cothran interjected to make a comment regarding community pool closures due to chlorine shortages.

Mayor Warren thanked Council Member Cothran for clearing that up for the community; announced that the meeting will be adjourned in memory of Sherman Dwight Van Vleet; thanked City staff and the community for a successful Fourth of July event; commented on the music choice at the event; highlighted use of social media for community engagement and involvement; spoke on the process of the Ordinance passed related to Cannabis; spoke on a recent meeting related to Homeless; spoke about Mayor Monday broadcasting; announced upcoming job fair being held by the Chamber of Commerce; and announced the upcoming Mayor's Education Coalition Parent Kick Off meeting.

ADJOURNMENT:

A. Adjournment
Mayor Warren adjourned the meeting in memory of Sherman Dwight Van Vleet. The meeting adjourned at 9:46 p.m. the next Regular City Council Meeting on July 26, 2022, at 7:00 p.m. in the Grover W. Taylor Council Chambers located at 8353 Sierra Avenue, Fontana, California.

Page 11 of 11 ends

22 City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1286 Agenda Date: 7/26/2022
Agenda #: B. Category: Consent Calendar
FROM:

Human Resources
SUBJECT:

Authorization of the Recruitment and Retention Incentive Program RECOMMENDATION:

Authorize an incentive program to recruit and retain part-time staff members and amend the American Rescue Plan Act (ARPA) Expenditure Plan.

COUNCIL GOALS:
· To create a team by working together to provide stability and consistent policy direction. · To operate in a businesslike manner by becoming more service oriented. · To operate in a businesslike manner by ensuring that the public debate is based on accurate information.
· To practice sound fiscal management by living within our means while investing in the future.

DISCUSSION:

The City’s objective is to attract and retain highly qualified staff members to serve the Fontana residents and business community by offering attractive and competitive salaries for our part-time (PT) positions.

The City is experiencing a dramatic decrease of part-time (PT) staff due to the “Great Resignation” as job seekers are attracted to companies who provide higher pay and better benefits. We have experienced a 37.5% loss of our PT workforce from November 2019 to March 2022. Other public agencies have created incentive programs to attract applicants and retain current (PT) employees.

Our part-time employees play a critical role in our City supporting our community-based programming which includes programs and activities for both youth and adults, senior programming, sports activities, arts, camps, rentals, and special events.

This program would provide (PT) employees financial incentive. The City of Fontana (PT) financial incentive program will consist of a budget not to exceed $250,000. The incentive program will conclude once funds ($250,000) have been depleted. Approval of this program would allow us to compete with our neighboring employers in hiring the top talent in the Inland Empire. The proposal is to increase our applicant pool with an incentive program for our non-classified (PT) positions as well as a retention stipend for our current (PT) staff.

Staff is reviewing various options of implementation. Example, option #1 is a total of $800 each partCity of Fontana Page 1 of 2 Printed on 7/21/2022 powered by Legistar™ 23
File #: 21-1286 Agenda Date: 7/26/2022
Agenda #: B. Category: Consent Calendar
time staff:
$200 - Initial Hire
$200 - Every 2 months (payment at 2nd month, 4th month, and 6th month) and cease after the 6th month
Total: $800
Example, Option #2 is a total of $500 for each part-time staff. $250 - Initial Hire
$250 -2 month (cease after the 2nd month)
Total: $500
On March 8, 2022, the City Council approved the recommended ARPA Expenditure Plan in the amount of $50.3 million. Included in the plan was an allocation of $815,000 for the After-School Program under the Public Health & Economic Response Federal Eligible Use Category. Since the approval of the plan, City staff have determined that the After-School Program should be removed from the ARPA Expenditure plan as other resources have been identified for the program. As a result, it is requested that the Council reappropriate $250,000 in available funds for the Recruitment and Retention Incentive Program which is eligible under the Public Health & Economic Response Federal Eligible Use Category. Attached to this item is a revised ARPA Expenditure Plan that reflects the creation of the Recruitment and Retention Incentive Program and an available balance of $565,000.

Recommendations for the reallocation of the available balance will be presented to the Council at a later date.

FISCAL IMPACT:

This program will be funded with reappropriated ARPA funds in the amount of $250,000 MOTION:

Approve staff recommendation
City of Fontana Page 2 of 2 Printed on 7/21/2022
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Project # Project Recommended Revised Proposed
30 Cypress Storm Drain Project 5,840,000 - 5,840,000
29 Administrative Costs 250,000 - 250,000
1 Helicopter Purchase 3,000,000 - 3,000,000
3 Pavement Rehabilitation 5,000,000 - 5,000,000
10 Homelessness Prevention Resources and Care Center 8,000,000 - 8,000,000 16 Sidewalk Rehabilitation 600,000 - 600,000
6 After-School Program 815,000 (815,000) -
2 Parking Structure 10,000,000 - 10,000,000
8 Employee Retention/Incentive 1,757,221 250,000 2,007,221 19 Data Security & Threat Detection 250,000 - 250,000
24 Septic to Sewer 2,000,000 - 2,000,000
12 Park Improvements 4,079,892 - 4,079,892
18 Ventilation Upgrade for City Facilities 2,500,000 - 2,500,000 22 Network Detection & Response Solution 75,000 - 75,000 23 Supervisory Control and Data Acquisition (SCADA) - Sewer 155,000 - 155,000 11 Metrolink Station Security Cameras 60,000 - 60,000
17 Small Business Loan/Grant Program 3,000,000 - 3,000,000 20 Endpoint Detection & Response Solution 75,000 - 75,000 25 Sewer and Storm Drain Infrastructure Masterplan 400,000 - 400,000 27 Update Master Infrastructure Plans 400,000 - 400,000 21 Fiber to City facilities 2,000,000 - 2,000,000
Total 50,257,113 (565,000) 49,692,113
565,000
Total Allocation 50,257,113

CITY OF FONTANA
Total Avaliable

REVISED AMERICAN RESCUE PLAN ACT (ARPA) EXPENDITURE PLAN

BY FEDERAL ELIGIBLE USE CATEGORY
As of July 26, 2022
25 City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1502 Agenda Date: 7/26/2022
Agenda #: C. Category: Consent Calendar
FROM:

City Clerk
SUBJECT:

Amend Administrative Policy Section 20-13 (Public Records Requests) RECOMMENDATION:

Adopt Resolution No. 2022-068, of the City Council of the City of Fontana amending Administrative Policy Section 20-13 (Public Records Requests).

COUNCIL GOALS:
· To create a team by working together to provide stability and consistent policy direction.

DISCUSSION:

The purpose of the policy is to establish a procedure and policy for handling public records request under the California Public Records Act, to ensure thorough, timely and coordinated responses to public records request and provide guidelines for providing information requested under the California Public Records Act.

Request for records will be processed in accordance with the laws governing the release of public information. It will be the responsibility of the Deputy City Clerk to administer the policy for all departments, except for the Police Department. All records requests shall be forwarded to the Deputy City Clerk for review and response. The Police Department shall handle records requests pursuant to the Fontana Police Department Policy 810.

With the attached Resolution, staff is recommending amending the Administrative Policy 20-13, Public Records Requests, to assist the City Clerk’s Department to administer the public records request policy for all departments, except for the Police Department.

FISCAL IMPACT:

There is no fiscal impact from adopting this policy.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2022-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA AMENDING ADMINISTRATIVE POLICY SECTION 20-13, PUBLIC
RECORDS.

WHEREAS, the City Council of the City of Fontana has adopted Administrative policies which detail the Rules and Regulations under which the City operates; and WHEREAS, the Administrative Policies are periodically updated to reflect organizational needs.

NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Fontana does hereby amend Administrative Policy Section 20-13, Public Records.

APPROVED AND ADOPTED this 26th day of July 2022.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney
I, Germaine McClellan Key, City Clerk of the City of Fontana, California, and ExOfficio Clerk of the City Council, do hereby certify that the foregoing resolution is the actual resolution duly and regularly adopted by the City Council at a regular meeting thereof, held on the 26th day of July, by the following vote to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

City Clerk of the City of Fontana
27 Resolution No. 2022-

Page 2 of 2 ends

Mayor of the City of Fontana
ATTEST:

City Clerk
28 Resolution No. 2022-_____
Attachment A
Purpose:

To establish a procedure and policy for handling public records requests under the California Public Records Act,: to ensure thorough, timely, and coordinated responses to public records requests and provide guidelines for providing information requested under the California Public Records Act.

General Policy:

Requests for records will be processed in accordance with the laws governing the release of public information. It will be the responsibility of the Deputy City Clerk to administer the public records request policy for all departments except the Police Department. All records requests shall be forwarded to the Deputy City Clerk for review and response; the Police Department shall handle records request pursuant to their Police Department Policy.

General Guidelines:

A. The City shall always make public records open for inspection during the City’s regular business hours. Under enumerated provisions of the California Public Records Act, certain public records may be exempt from disclosure. Public records which are determined by the Deputy City Clerk to be exempt from disclosure will not be made available for public inspection.

B. All persons seeking to review records may submit a request using the City’s official website.

The City will also accept written requests on a form provided by the City. The City will also accept records request that are: (1) submitted through email, (2) received by telephone, or (3) verbal requests. City staff may suggest that the requestor complete the City public records form. However, the requestor is not required to complete the form in order to inspect public records or receive copies of public records.

C. The City must reply to the requester, no later than 10 calendar days from receipt of the request, and provide a written determination for the request. If the request is received after business hours or on a weekend or holiday, the next business day will be considered the official date of

SECTION
City of Fontana

ADMINISTRATIVE PROCEDURE
Administration 20-13

APPROVED
SUBJECT:

Public Records Requests
PAGE 1 of 2 Resolution 2022-
LAST UPDATED July 26.2022
29 receipt. If the tenth calendar day falls on a weekend or holiday, the next business day will be the deadline for responding to the request. If the City exercises the right to extend the date for providing a written determination for a records request beyond the 10-day period, the City must do so in writing, stating the reason(s) for the extension and the anticipated date of the response within the 14-day extension period, pursuant to the criteria in Government Code section 6253© and beginning January 1, 2023, Government Code section 7922.535 ©.

D. If there is a question about the clarity of the request, City staff are encouraged to contact the requester at the earliest opportunity to clarify the request. City staff must assist the member of the public to make a focused and effective request.

E. The City is not legally required under the Public Records Act to, create any new records or information, including a privilege log in response to a Public Records Request.

F. The CPRA does not create an obligation to answer questions presented by a requester. It merely requires the City to provide existing public records that are not otherwise exempt from disclosure.

G. Email and text messages will be treated the same as other public records. If an email or text message is kept according to the City’s records retention policy in the ordinary course of business, and it constitutes a public record, it is subject to disclosure, unless it falls within an exemption.

H. Copies of an official building plan will not be produced by the City until the City receives written permission to duplicate the plans from (i) the licensed professional who prepared the plan(s) and (ii) the building owner. However, building plans are open to inspection during regular business hours at the City’s Building Department.

I. Copy Fees (Cash payment or check payment made payable to City of Fontana) Election Filing Forms
Per Resolution 1992-60
$0.10 per page
Photocopies-Black & White
Per Resolution 1998-117
Copied Using Copier Feeder $0.20 for the first page and $0.05 for each additional page Photocopies-Color
Per Resolution 2010-122
Copied Using Copier Feeder $0.50 for the first page and $0.40 for each additional page CD/DVD/Flash Drive
Actual cost of the item
Electronic Format
There is no fee for providing records in electronic format via email. The City may, however, charge for the cost of duplication if a requester wishes to have a physical copy of records. 30 City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1520 Agenda Date: 7/26/2022
Agenda #: D. Category: Consent Calendar
FROM:

Human Resources
SUBJECT:

Resolution Ratifying the 2022-2025 Memorandum of Understanding for the Fontana Police Officers’ Association
RECOMMENDATION:

Adopt Resolution No. 2022-069, a resolution of the City Council of the City of Fontana ratifying the Memorandum of Understanding between the City of Fontana and the Fontana Police Officers’ Association and Approving the Updated Corresponding Salary Table.

COUNCIL GOALS:
· To operate in a businesslike manner by becoming more service oriented. · To operate in a businesslike manner by ensuring that the public debate is based on accurate information.
· To practice sound fiscal management by living within our means while investing in the future.

DISCUSSION:

The City has concluded negotiations with the Fontana Police Officers’ Association (FPOA), which represents sworn employees within the Fontana Police Department. City staff and representatives of POA have agreed on terms and conditions of employment outlined in the new contract. Staff is recommending the formal ratification of the new agreement.

The new FPOA contract is for the period of July 1, 2022 through June 30, 2025. Among the highlights of the new contract is a 3% salary increase following City Council ratification, 3% in July 2023, 3% in July 2024, and one-time retention bonuses of $4,000 following City Council ratification and again following July 1, 2023.

The new contract also includes an increase to the City’s contribution towards the Retiree Medical Trust Fund for each employee represented by the FPOA. The contract also specifies that “any and all changes to the Retiree Medical Trust Fund contribution amount shall be agreed upon by the City, FPOA, and the Fontana Police Management Association” (FPMA). As such, a side letter agreement is attached (as an exhibit for reference) in which the City’s contribution towards the Retiree Medical Trust Fund for each employee represented by the FPMA group is also increasing.

FISCAL IMPACT:

The total cost of the 3-year contract with POA is approximately $6,872,000 and includes the Retiree Medical Trust Fund contribution increase to members of FPMA. Fiscal Year 2022/23 cost (Year 1 of City of Fontana Page 1 of 2 Printed on 7/21/2022
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File #: 21-1520 Agenda Date: 7/26/2022
Agenda #: D. Category: Consent Calendar
the contract) is approximately $2,613,000.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2022 -

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA

RATIFYING THE MEMORANDUM OF UNDERSTANDING BETWEEN THE
CITY OF FONTANA AND THE FONTANA POLICE OFFICERS’ ASSOCIATION

AND APPROVING THE UPDATED CORRESPONDING SALARY TABLE
WHEREAS, the City Council of the City of Fontana has adopted Memoranda of Understanding (MOU) which incorporate the terms, working conditions, and compensation levels for the City’s represented bargaining groups; and
WHEREAS, a MOU has expired, and the City and this labor group have agreed on new terms outlined in the new MOU.

NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Fontana, to ratify the Memorandum of Understanding between the City of Fontana and the Fontana Police Officers’ Association and approve the updated corresponding salary table.

EFFECTIVE DATE: July 1, 2022
APPROVED AND ADOPTED this 26th day of July, 2022.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney
I, Germaine McClellan Key, City Clerk of the City of Fontana, and ExOfficio Clerk of the City Council, do hereby certify that the foregoing Resolution is the actual Resolution duly and regularly adopted by the City Council of said City at a regular meeting thereof, held on July 26, 2022, by the following vote to wit:

AYES:

NOES:

ABSENT:
___________________________
City Clerk of the City of Fontana
___________________________
33

Page 2 of 2 ends

Mayor of the City of Fontana
Resolution 2022-
ATTEST:
___________________________
City Clerk
34 MEMORANDUM OF UNDERSTANDING

BETWEEN THE

CITY OF FONTANA

AND THE
FONTANA POLICE OFFICERS’ ASSOCIATION (FPOA)

FOR THE PERIOD OF
JULY 1, 2022 THROUGH JUNE 30, 2025
35 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025
Page ii

TABLE OF CONTENTS
ARTICLE 1: RECOGNITION........................................................................................... 1 ARTICLE 2: CITY PERSONNEL RULES AND REGULATIONS..................................... 1 ARTICLE 3: ZIPPER CLAUSE........................................................................................ 1 ARTICLE 4: DUES DEDUCTIONS.................................................................................. 2 Section 1 - Dues Deduction Authorization ................................................................... 2 Section 2 - Non-Pay Status.......................................................................................... 2 Section 3 - Hold Harmless ........................................................................................... 2 ARTICLE 5: WAGES....................................................................................................... 2 Section 1 - Wages........................................................................................................ 2 Section 2 - Uniformed Corporal Administrative Compensation .................................. 4 ARTICLE 6: WORKING HOURS..................................................................................... 4 ARTICLE 7: PERSONAL LEAVE ACCRUAL, LEAVE ACCRUAL LIMITS, LEAVE CASH OUT, NEGATIVE LEAVE USAGE and LEAVE DONATION ........................................... 5 Section 1 - Personal Leave Accrual........................................................................... 5 Section 2 - Leave Accrual Limits................................................................................ 5 Section 3 - Leave Cash Out....................................................................................... 6 Section 4 - Negative Leave Usage............................................................................. 6 Section 5 - Payment Upon Separation....................................................................... 6 Section 6 - Leave Donation........................................................................................ 6 ARTICLE 8: UNIFORMS AND EQUIPMENT .................................................................. 7 Section 1 - Uniform Allowance................................................................................... 7 Section 2 - Safety Equipment..................................................................................... 7 Section 3 - Bulletproof Vest Replacement ................................................................. 7 Section 4 - Safety Equipment for Motor Officers ........................................................ 7 Section 5 - Safety Equipment for Patrol Vehicles....................................................... 8 ARTICLE 9: LONGEVITY PAY ....................................................................................... 8 ARTICLE 10: MERIT INCREASES ................................................................................. 8 ARTICLE 11: OVERTIME COMPENSATION ................................................................. 9 ARTICLE 12: COURT STAND-BY AND COURT APPEARANCE COMPENSATION..... 9 Section 1 - Court Stand-by......................................................................................... 9 Section 2 - Court Appearance.................................................................................... 9 Section 3 - Admin Per Se Telephone Hearings.......................................................... 9 ARTICLE 13: ON-CALL PAY ........................................................................................ 10 ARTICLE 14: TAKE HOME VEHICLES ........................................................................ 10 Section 1 - Investigations Unit.................................................................................. 10 Section 2 - Motor Officers ........................................................................................ 10 ARTICLE 15: FIELD TRAINING OFFICERS (FTOs) SPECIAL COMPENSATION ...... 10 ARTICLE 16: K-9 UNIT COMPENSATION ................................................................... 11 ARTICLE 17: FLIGHT TIME PREMIUM PAY................................................................ 11 ARTICLE 18: SHIFT ASSIGNMENT AND DIFFERENTIAL .......................................... 11 Section 1 – Shift Assignment ..................................................................................... 11 Section 2 – Shift Differential....................................................................................... 11 ARTICLE 19: BILINGUAL DIFFERENTIAL................................................................... 11 ARTICLE 20: EDUCATIONAL ACHIEVEMENT PAY.................................................... 12 36 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025
Page iii
ARTICLE 21: HEALTH INSURANCE............................................................................ 12 Section 1 - Cafeteria Plan ........................................................................................ 12 Section 2 - Medical Insurance Benefits While on Leave .......................................... 12 Section 3 - LTD , STD and LIFE INSURANCE ....................................................... 13 ARTICLE 22: HOLIDAY COMPENSATION .................................................................. 13 ARTICLE 23: DEFERRED COMPENSATION .............................................................. 13 ARTICLE 24: RETIREMENT BENEFITS ...................................................................... 13 Section 1 - Participation ........................................................................................... 13 A. EPMC Conversion ................................................................................................. 15 B. Cost Sharing (Per Section 20516 of the CA Public Employee’s Retirement Law). 15 Section 2 - 1959 Survivor’s Benefit.......................................................................... 15 Section 3 - PERS Military Buy-Back ........................................................................ 15 Section 4 - Health Insurance for Retired Employees ............................................... 15 Section 5 – Retiree Medical Trust Fund..................................................................... 16 ARTICLE 25: CALL BACK ............................................................................................ 16 ARTICLE 26: PERFORMANCE EVALUATIONS .......................................................... 16 ARTICLE 27: LAYOFFS................................................................................................ 17 Section 1 - Administration of Layoffs........................................................................ 17 Section 2 - Full-time Temporary Employment Following Layoff ............................... 17 Section 3 - Seniority and Benefits Upon Reinstatement After Layoff ....................... 17 ARTICLE 28: DEDUCTION OF PAID LEAVE IN LIEU OF SUSPENSION ................... 17 ARTICLE 29: COMPENSATION FOR ACTING APPOINTMENTS............................... 18 ARTICLE 30: OFFICER FATALITY BENEFIT............................................................... 18 Section 1.................................................................................................................... 18 Section 2.................................................................................................................... 18 Section 3.................................................................................................................... 18 Section 4 - Spouse & Family Benefit for Officer Fatality .......................................... 18 ARTICLE 31: RECRUITMENT BONUS ........................................................................ 19 ARTICLE 32: BOARD MEMBER EXCUSED TIME OFF FOR TRAINING .................... 19 ARTICLE 33: DIRECT DEPOSIT.................................................................................. 19 ARTICLE 34: SEVERABILITY....................................................................................... 19 APPENDIX “A” ................................................................................................................iv 37 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025

Page 1 ends

MEMORANDUM OF UNDERSTANDING

BETWEEN THE

CITY OF FONTANA

AND THE
FONTANA POLICE OFFICERS’ ASSOCIATION (FPOA)
This Memorandum of Understanding (“Agreement”) is entered into by the City of Fontana (hereinafter referred to as the “City”) and the Fontana Police Officer’s Association (hereinafter referred to as the “Association”). The terms and conditions of this Agreement shall be applicable to all classifications set forth in Appendix A commencing July 1, 2022 and ending June 30, 2025.

The City and Association acknowledge that the City is working toward implementation of a new Human Resources & Payroll System (“System”) during the term of this MOU. The completion and readiness of the System shall be a reopener as to all issues that are impacted. To the extent the System’s implementation may impact terms and conditions of employment, the parties will meet, confer, and negotiate prior to implementation.

ARTICLE 1: RECOGNITION
For purposes of meeting and conferring on wages, hours and working conditions and general representation of its members, formal recognition is hereby granted to the Association for the job classifications of Police Officer Trainee, Police Officer, and Police Corporal.

ARTICLE 2: CITY PERSONNEL RULES AND REGULATIONS
It is understood and agreed that there exists within the City, in written or unwritten form certain personnel rules, policies, practices and benefits, generally contained in the “City of Fontana Personnel Rules and Regulations,” and “City of Fontana Employer-Employee Resolution” as amended thereafter by City resolutions and Memorandum of Understanding. Those rules, policies and benefits, which are subject to the meet and confer process, will continue in effect, except for those provisions modified by this Agreement, unless and until modified by mutual agreement of the parties and enacted by the City Council, if necessary, in accordance with state laws, orders, regulations, official instructions or policies.

ARTICLE 3: ZIPPER CLAUSE
The parties acknowledge that during the meet and confer sessions which resulted in this Agreement each had the unlimited right and opportunity to make demands and proposals with respect to any subject or matter not removed by law from the area of meeting and conferring, and that the understandings and agreements arrived at by the parties after the exercise of that right and opportunity are set forth in this Agreement. 38 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025

Page 2 ends

Therefore, the City and the Association, for the life of this Agreement, each voluntarily and unqualifiedly waives the right, and each agrees that the other shall not be obligated to meet and confer with respect to any subject or matter referred to or covered in this Agreement, or with respect to any subject or matter not specifically referred to or covered in this Agreement, even though such subject or matter may not have been within the knowledge or contemplation of either or both of the parties at the time they have met and conferred or signed this Agreement.

ARTICLE 4: DUES DEDUCTIONS
Section 1 - Dues Deduction Authorization
Members of the Fontana Police Officers’ Association may authorize Association dues deduction by submitting a written authorization to the Association, who will then notify the City of such deductions. Said authorization will remain effective unless or until the Association notifies the City of a withdrawal of membership or the member otherwise terminates employment or transfers outside of the represented unit. The Association shall indemnify the City as to all representations relied upon relating to membership or withdrawal of the same.

Section 2 - Non-Pay Status
If an Association member is in a non-pay status, the Association member’s earnings must be regularly sufficient after other legal and required deductions are made to cover the amount of the dues deduction authorized. When a member in good standing of the Association is in a non-pay status for an entire pay period, no dues withholding will be made to cover that pay period. In the case of an Association member who is in a nonpay status during only part of the pay period and the salary is not sufficient to cover the full withholding, no deduction shall be made. In this connection, all other legal and required deductions have priority over employee organization dues.

Section 3 - Hold Harmless
The Association shall indemnify, defend and hold the City of Fontana harmless against any claims made, and against any suit instituted against the City of Fontana on account of check-off or employee organization dues. In addition, the Association shall refund to the City of Fontana any amounts paid to it in error, upon presentation of supporting evidence.

ARTICLE 5: WAGES
Section 1 - Wages
A. Effective July 30, 2022, each Association member in a classification represented by the Association shall receive a 3.0% base salary increase. In addition, effective July 30, 2022, each Association member holding the classification of Police Officer or higher 39 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025

Page 3 ends

as of July 1, 2022, shall receive a one-time retention bonus in the amount of $4,000.00 paid via direct deposit with the employee’s normal paycheck. The 2022 one-time payment will not be reported to CalPERS as compensation earnable for the purpose of calculating retirement benefits and contributions.

B. Effective the beginning of the pay period following July 1, 2023, each Association member in a classification represented by the Association shall receive a 3.0% base salary increase. In addition, effective the beginning of the pay period following July 1, 2023, each Association member holding the classification of Police Officer or higher as of July 1, 2022, shall receive an additional one-time retention bonus in the amount of $4,000.00 paid via direct deposit with the employee’s normal paycheck. The 2023 onetime payment will not be reported to CalPERS as compensation earnable for the purpose of calculating retirement benefits and contributions.

C. Effective the beginning of the pay period following July 1, 2024, each Association member in a classification represented by the Association shall receive a 3.0% base salary increase.

D. The Association and the City have agreed to use the following survey cities when conducting a “Benchmark” salary survey: Chino, Corona, County of San Bernardino, Ontario, Pomona, Riverside, San Bernardino, and Upland. The “Benchmark” survey will measure the base wages, for the classification of Police Officer. The classification of Police Officer II will be utilized for the survey City of Corona. The final survey documents will be reviewed and discussed with the POA representatives.

E. Beginning July 1, 2008, the City will guarantee a 10% salary differential between top step Officer w/ Advanced Certificate and Top step Corporal w/ Advanced Certificate.

Effective the beginning of the pay period following July 1, 2020, the guaranteed salary differential will be increased to a total of twelve percent (12%). Effective the beginning of the pay period following July 1, 2021, the guaranteed salary differential will be increased to a total of fourteen percent (14%).

Association members occupying the sub-classifications of Police Officer, Police Officer w/ Intermediate Certificate, Police Officer w/ Advanced Certificate, Corporal w/ Intermediate Certificate and Corporal w/ Advanced Certificate as of December 17, 1996, shall receive as supplemental bonuses that are treated for payroll reporting purposes as longevity bonuses the following percentage differentials over and above base salary so long as they occupy their current classification, provided that Association members occupying the sub-classifications of Police Officer and Police Officer w/ Intermediate Certificate shall not be entitled to those bonuses until they have earned the right to an Advanced P.O.S.T. Certificate. For purposes of this provision, the sub-classifications of Police Officer, Police Officer w/ Intermediate Certificate and Police Officer w/ Advanced Certificate shall be regarded as the same classification and the sub-classifications of Corporal w/ Intermediate Certificate and Corporal w/ Advanced Certificate shall be the same classification. In other words, an individual currently serving in the Police Officer w/ Advanced Certificate sub-classification shall maintain this differential until such time 40 FONTANA POLICE OFFICERS’ ASSOCIATION
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as he or she is promoted to the classification of Corporal, the classification of Sergeant or any other higher paying classification; likewise, an individual currently serving in the sub-classification of Corporal w/ Intermediate or Corporal w/ Advanced Certificate shall continue to receive this differential until such time as he or she is promoted to the classification of Sergeant or any other higher paying classification. The differential shall be as follows:

POSITION PERCENTAGE DIFFERENTIAL
Police Officer w/ Advanced Certificate .32%
Corporal w/ Intermediate Certificate .40%
Corporal w/ Advanced Certificate .67%
Section 2 - Uniformed Corporal Administrative Compensation Effective the beginning of the pay period containing July 1, 2016 (Payroll 14), the City will provide all uniformed Corporals assigned to the Patrol Unit two (2) hours of pay or comptime per pay period. This time is to be used to prepare for their shift and to complete all necessary administrative duties. (July 2016)
ARTICLE 6: WORKING HOURS
Association members assigned to the Patrol Unit will be placed on a “3/12.5 + 10” work schedule. This 3/12.5 + 10 work plan will be based on a 28-day work cycle and will consist of: three weeks of 3 consecutive 12.5-hour days; and one week of three consecutive

12.5-hour days plus one 10-hour workday. The Police Department will attempt to fix the 10-hour payback day for the duration of the shift assignment. This work schedule will work out to an average of a 40-hour workweek over the 28-day work cycle. Those Association members who are not assigned to the Patrol Unit shall be placed on a four day per week, 10 hours per day work schedule (4/10).

Association members on a modified work schedule (i.e., non 5-day week/8 hour per day schedule) must have at least 8 hours off between scheduled shifts.

The Chief of Police may revert back to a 5/8 or other scheduling plan when, in his opinion, it is in the best interest of the Department. Such change will occur after two weeks’ notice is given, and after meeting and conferring with the Police Officers’ Association.

Association members scheduled to attend training on a day when they are scheduled to work a 12.5-hour shift will be required to work a full shift (i.e., Association members scheduled to work a 12.5-hour shift will be required to work the full 12.5 hours; and Association members scheduled to work a 10-hour shift will be required to work the full 10 hours). Reasonable travel time, determined by the Department, will be permitted within the required work period. Travel time shall be based on the distance from the Police Department to the training location or the length of travel to the location from which the Association member must be housed on or near the training site. An Association 41 FONTANA POLICE OFFICERS’ ASSOCIATION
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member who is scheduled for training of a day or longer may be placed on an alternate work schedule to accommodate the hours of training in order to maintain the Association member’s regular hours within a 28-day cycle.

ARTICLE 7: PERSONAL LEAVE ACCRUAL, LEAVE ACCRUAL LIMITS, LEAVE CASH OUT, NEGATIVE LEAVE USAGE and LEAVE DONATION
Section 1 - Personal Leave Accrual
Effective July 1, 2002, the personal leave accrual rates for Association members shall be as follows:

YEARS OF SERVICE HOURS ASSIGNED PAY PERIOD

ACCUMULATION
Less than 2 Years 200 hours 7.69 hours
2 Years but less than 4 Years 208 hours 8.00 hours
4 Years but less than 6 Years 216 hours 8.31 hours
6 Years but less than 8 Years 224 hours 8.62 hours
8 Years but less than 10 Years 232 hours 8.92 hours
10 Years but less than 14 Years 250 hours 9.62 hours
14 Years but less than 18 Years 276 hours 10.62 hours
18 Years but less than 20 Years 292 hours 11.23 hours
20 Years + 312 hours 12.00 hours
Section 2 - Leave Accrual Limits
Effective July 1, 2019, Association members agree to limit the number of personal leave hours which can be carried over from year to year to a maximum of three (3) times the Association member’s annual personal leave accrual. Association members will cease to accrue personal leave time until they have reduced their personal leave below their ceiling.

Effective the beginning of the pay period following January 1, 2024, Association members agree that the total number of personal leave hours which can be accrued in their leave bank at any given time is a maximum of three (3) times the Association member’s annual personal leave accrual. The application of the maximum accrual limit will be made on a pay period by pay period basis. Once the maximum accrual limit is met, Association members will cease to accrue personal leave time until the next pay period in which they have reduced their personal leave below their accrual limit.

The City Manager shall, upon written request, approve payoffs of accrued leave time, which are in excess of the three (3) year ceiling and/or the current maximum, when such excess leave is the result of the Association member’s scheduled leave being denied or cancelled because of City needs.
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Section 3 - Leave Cash Out
For the period of July 1, 2022 through December 31, 2022, Association members may elect to cash out or defer one-hundred (100) hours of leave time (personal leave, compensatory time, or a combination of both). Payment will be made on or before the second Friday in December.

Effective January 1, 2023, Association members agree to limit the maximum amount of leave time (personal leave, compensatory time or a combination of both) which can be cashed out or deferred under the City’s “leave plans” to a maximum of one-hundred (100) hours per calendar year. The requested cash out can be made at either or both dates below, not to exceed the maximum amount listed in this Article per calendar year (July 2022):

Payment Dates
• On or before July 31st
• On or before the second Friday in December
Employee’s leave time (as mentioned above) may not be reduced to less than eighty (80) hours as a result of participation in the annual leave cash out.

The City Manager will annually determine if the City Council’s goal of a 15% general fund fiscal reserve and a 10% infrastructure reserve, as identified in the City Budget, have been achieved. If the above goals are determined to have been met, the maximum amount of leave time (personal leave, compensatory time or a combination of both), which can be cashed out will increase to one hundred and forty (140) hours, providing additional general funds are available.

Section 4 - Negative Leave Usage
Effective June 24, 1995, Association members agree to eliminate all negative leave usage. (Association members may only use time already accrued). The City Manager may, upon written request, approve exceptions to this provision under extraordinary circumstances and with the Association member providing a written deduction authorization allowing the City to withhold any monies owed from this negative leave usage from the Association member’s final paycheck.

Section 5 - Payment Upon Separation
Unused personal leave shall be paid to Association members upon separation from City employment.

Section 6 - Leave Donation
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The City agrees to review the Catastrophic Leave Program with the Association during the term of this agreement.

ARTICLE 8: UNIFORMS AND EQUIPMENT
Section 1 - Uniform Allowance
A uniform allowance in the amount of $48.08 per pay period (approximately $1,250 per year) will be paid to all Association members. The uniform allowance is intended for the purchase and maintenance of uniforms. (Bi-weekly payments beginning July 2022) If an Association member leaves either voluntarily or involuntarily during their probationary period, the full uniform allowance that was provided must be paid back to the City. Once an Association member holding the classification of Police Officer Trainee is advanced to the classification of Police Officer, they will be assigned to the regularly scheduled uniform allowance. In addition, the City will compensate any eligible Association member for the repair or replacement of clothing or equipment damaged or destroyed in direct consequence of the discharge of their duties in accordance with State Labor Code Section 2802.

Police Officer Trainees shall not receive the uniform allowance.

Section 2 - Safety Equipment
In accordance with Government Code 50081 the following required and recommended safety equipment shall be provided to new personnel:

1. 2.

3. 4.

5. Service firearm
Holster
Belt
Ammunition
Nightstick

6. 7.

8. 9.

10. Handcuffs
Raincoat
Rain Boots
Bulletproof Vest
Disinfectant
Police Officer Trainees shall not receive the bulletproof vest.

Section 3 - Bulletproof Vest Replacement
Effective July 1, 2008, the City shall provide up to a $700 credit to Association members with bulletproof vests over 5 years old, for a maximum of 20% of the Association members per fiscal year, replacing older vests first. Vests shall be replaced annually on or about the month of September.

Section 4 - Safety Equipment for Motor Officers
The City shall provide: wool motor pants, helmets, eyewear, boots, and gloves. 44 FONTANA POLICE OFFICERS’ ASSOCIATION
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Section 5 - Safety Equipment for Patrol Vehicles
The City shall provide a box of latex gloves and an ambu bag in each service patrol vehicle.

ARTICLE 9: LONGEVITY PAY

1. Association members who were hired prior to July 1, 1990 shall continue to receive longevity pay in the form of a one-time per year payment, payable in December, based upon the completion of the following length of service:

YEARS OF SERVICE COMPLETED PERCENTAGE OF BASE SALARY
10 Years but less than 15 Years 2.00%
15 Years but less than 20 Years 3.25%
20 Years but less than 25 Years 4.50%
25 Years + 6.00%

2. Association members who were hired prior to June 24, 1995 shall receive an additional supplemental longevity pay bonus (which shall be pro-rated for any partial years) over and above those prescribed herein, as follows:

LENGTH OF SERVICE SUPPLEMENTAL

LONGEVITY BONUS
10 Years but less than 20 Years 1.5%
20 Years + 2.6%

3. Effective July 1, 2008, Association members hired after July 1, 1990 will receive an annual payment, within the first two weeks of December, based on years of service in the following amounts:
5 Years but less than 10 Years of continuous service: $1,000 10 Years but less than 15 Years of continuous service: $2,500 15 Years but less than 20 Years of continuous service: $3,000 20 Years but less than 25 Years of continuous service: $3,500 25 Years or more of continuous service: $4,000
(5-10 Year Tier and Increase to Other Tiers, 2022)
ARTICLE 10: MERIT INCREASES
Merit increases will be 5% between each step. The salary table shall consist of a fivestep salary range with each step at 5% intervals. 45 FONTANA POLICE OFFICERS’ ASSOCIATION
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ARTICLE 11: OVERTIME COMPENSATION
All time worked, or regarded as having been worked because the Association member was on an authorized leave of absence in excess of their regularly scheduled hours for that day or 160 hours in their 28 day cycle, shall be compensated at the premium rate of one and one-half the Association member’s regular rate of pay.

All Police Officers who work off-duty assignments (e.g., special events, parades, etc.), shall be paid at their appropriate hourly rate with a minimum of two (2) hours per assignment.

Unused comp time shall be paid to Association members upon separation from City employment.

As discussed in the re-opener language related to the implementation of a Human Resources & Payroll System, terms and conditions impacted by the System’s implementation – including but not limited to overtime – are subject to reopening to the extent impacted by System implementation.

ARTICLE 12: COURT STAND-BY AND COURT APPEARANCE COMPENSATION Section 1 - Court Stand-by
Association members who are placed in a “Stand-by” status restricting their freedom of movement in lieu of attending court in response to a direct order or lawful subpoena pertaining to matters arising during the course and scope of employment shall be compensated at the rate of one-half of the Association member’s straight time compensation (e.g., if an Association member is earning $20 an hour, and is placed in a Stand-by status, such Association member will be compensated at the rate of $10 an hour).

Section 2 - Court Appearance
The City shall provide to each Association member who is required to attend court, outside of their scheduled work hours, pursuant to a lawful subpoena relating to events occurring during the course and scope of his/her employment, overtime compensation, in either cash or compensatory time off at the Association member’s option for time spent in attendance, with a minimum compensation payment of three (3) hours. Association members whose normal shift ends between 0230 hours and 0700 hours shall receive a minimum compensation of five (5) hours. (July 2016)
Section 3 - Admin Per Se Telephone Hearings
When an Association member is required to participate in an Admin Per Se telephone hearing(s) through the California Department of Motor Vehicles outside of their normal 46 FONTANA POLICE OFFICERS’ ASSOCIATION
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shift, they shall be compensated for a minimum of one (1) hour which shall be considered as time worked in calculating eligibility for overtime.

ARTICLE 13: ON-CALL PAY
The weekly compensation paid to all members of the Association assigned to “on-call” status by the Chief of Police, or his designee, shall be ten (10) hours of straight time pay or compensatory time off (Association member’s choice) for each week (prorated for any portion thereof) of on-call duty.

ARTICLE 14: TAKE HOME VEHICLES
Section 1 - Investigations Unit
Unit members assigned to investigations shall be given a take-home vehicle. Said vehicle may only be used for official business and in accordance with the Police Department’s General Orders.

If Department needs require the use of unmarked vehicles for a Police Operation the cars assigned to unit members in investigations may be utilized for the duration of the operation. This will, therefore, impact the members’ ability to take their unit home.

Advanced notice will be provided if this should occur.

Section 2 - Motor Officers
Motor Officers shall be given authorization to take home their assigned motorcycle. Said motorcycle may only be used for official business and in accordance with the Police Department’s General Orders.

ARTICLE 15: FIELD TRAINING OFFICERS (FTOs) SPECIAL COMPENSATION Association members designated as FTOs, in the assignments of Patrol and Traffic, shall be compensated fifteen (15) hours at straight time per month, as pay or compensatory time off at the Association member’s option, which shall not be considered as hours worked for purposes of overtime calculation. Those Association members designated as FTOs that are in special assignments shall retain their FTO status and will be eligible for compensation upon assignment to Patrol or Traffic.

Members initially assigned as an FTO shall serve a twelve-month probationary period and may be removed from the FTO program without right of appeal during that period.

Effective July 1, 2005, all non-probationary FTOs will be granted a one-year assignment in the FTO position and will be evaluated annually thereafter. Renewal of the FTO assignment will be based on the recommendation of the supervisor and approval of the Chief.
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If, after the annual evaluation, a non-probationary FTO is not renewed to continue service as an FTO, he/she shall not have any right of appeal. A non-probationary FTO may only be removed in between evaluation periods by utilizing the existing disciplinary process as used for demotions.

ARTICLE 16: K-9 UNIT COMPENSATION
Association members assigned to the K-9 unit shall receive twelve (12) hours at straight time per month, as pay or compensatory time off at the Association member’s option, for the care and maintenance of the canine. This will be paid at a frequency of two times a month, six hours per payout. For those months in which members receive three paychecks, the third paycheck for the month will not receive K-9 compensation pay. This time shall not be considered as hours worked for the purposes of overtime calculation. (July 2016, amended July 2022)
ARTICLE 17: FLIGHT TIME PREMIUM PAY
Effective July 30, 2022, Association members assigned to the Air Support Unit as co-pilot or crew on work related air missions shall receive a maximum of ninety-six (96) hours at straight time per year, as pay or compensatory time off at the Association member’s option. When elected as pay, this will be paid and earned at a frequency of two times a month, four hours per payout. For those months in which members receive three paychecks, the third paycheck for the month will not receive Flight Time Premium Pay.

This time shall not be considered as hours worked for the purposes of overtime calculation. (July 2022)
ARTICLE 18: SHIFT ASSIGNMENT AND DIFFERENTIAL
Section 1 – Shift Assignment
Shift assignments shall be made on a seniority basis, except that special assignments (including probationary officer positions) shall continue to be granted and or assigned at the discretion of the Chief of Police.

Section 2 – Shift Differential
All Association members are eligible to receive shift differential pay for hours actually worked as follows; (a) 1800 to 2300 shall receive 2.5% differential pay; and (b) 2301 to 0600 shall be paid 5% differential pay.

ARTICLE 19: BILINGUAL DIFFERENTIAL
Effective June 25, 2016, the City shall pay one hundred dollars ($100) per pay period for those Association members who are assigned by the Chief of Police to assist with providing translation to and from a foreign language and other related services. Eligible Association members will be required to pass a test which shall be administered by a 48 FONTANA POLICE OFFICERS’ ASSOCIATION
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qualified employee selected by mutual agreement of the Chief of Police and the Association.

ARTICLE 20: EDUCATIONAL ACHIEVEMENT PAY
Beginning in September 2017, the City shall compensate eligible Association members as follows for possessing the corresponding degree from an accredited college or university:

Bachelor’s Degree: $2,000
OR
Master’s Degree: $3,000
Eligible Association members will only receive compensation for the highest degree conferred (i.e., a member with a Bachelor’s and Master’s Degree would receive $3,000).

Educational pay will be paid annually by September 30th of each year. In order to be eligible to receive education pay in September, the degree must have been conferred to the Association member by August 1st of the same year. The Association will submit the appropriate documentation to the Human Resources Department in August of each year for those eligible members. Association members within the Police Officer Trainee classification are not eligible for this pay.

In addition, beginning September 2017, Association members will no longer be eligible for the City Education Reimbursement Program. (July 2016) ARTICLE 21: HEALTH INSURANCE
Section 1 - Cafeteria Plan
Beginning January 2009 for Association members paying out of pocket, the City will contribute to the City’s Cafeteria Plan an amount up to the cost of the Blue Shield HMO family rate with a $15 co-pay, the high dental family rate, family rate vision plan and life insurance premium. The City’s contribution shall not exceed the actual expenditures for the aforementioned coverage. The City will provide Association members the cash back option of $601.

Section 2 - Medical Insurance Benefits While on Leave
Association members who are receiving long-term disability insurance pay will have their medical insurance premiums paid by the City for them and currently enrolled dependents for up to 18 months. These payments shall not exceed the amount of the monthly cafeteria allotment. Thereafter, the Association member must pay for medical insurance.

Association members on job related injury leave shall receive fully paid medical insurance or cafeteria benefits for the period of the injury as required by applicable law. Association members at their option may continue coverage of other available insurance at their own expense.
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Section 3 - LTD , STD and LIFE INSURANCE
Effective January 1, 2009 City shall increase the Life insurance benefit to $100,000. The Association may recommend and request the City offer specific life insurance plans to Association members. The Association may make any recommendation and request at least twelve (12) months prior to any such change. This recommendation will require the City to conduct a market analysis survey. Upon receiving results of the market analysis survey, the City will meet and confer prior to implementation based on the Association’s recommendation. The parties acknowledge that any change would become effective as of January 1st of the following year.

The Long-Term and Short-Term Disability insurance shall be removed from the cafeteria plan. The Association members shall pay the premiums for any elected disability insurance by payroll deduction. The Association will select the disability insurance plans to be offered to their members. The City will administer said plans, which will require 100% participation by Association.

ARTICLE 22: HOLIDAY COMPENSATION
Association members shall work all holidays when so directed or assigned and shall be paid an additional amount of salary computed upon the range and step in which such Association member is presently employed at a rate of five (5.38) hours per pay period for an accumulative total of fourteen (14) paid holidays. Association members may request equal time off in lieu of payment. If equal time off is requested, it shall be submitted in writing before July 1st of each year and is subject to approval by the Chief of Police. Association members with holidays off must utilize enough personal leave with each holiday taken off duty to equal the normally scheduled work hours for that day.

ARTICLE 23: DEFERRED COMPENSATION
Effective July 30, 2022 the City shall match employee contributions of up to $350/month into a 457(b)-account managed by the City’s 457(b) provider.

Effective the beginning of the pay period following July 1, 2023, the City match amount described in the preceding paragraph will increase to $400/month.

ARTICLE 24: RETIREMENT BENEFITS
Section 1 - Participation
The City participates in the Public Employees’ Retirement System (PERS). 50 FONTANA POLICE OFFICERS’ ASSOCIATION
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Tier I
Classic Safety Members hired prior to July 1, 2011 will have a retirement formula that is based on 3.0% @ 50 Plan Full Formula for Safety Members and upon retirement an employee’s “final compensation” will be based on the “highest one (1) year” salary.

For Tier I above, the City shall pay up to one hundred percent (100%) of each employee’s required retirement contributions pursuant to the retirement plan maintained by the City through PERS. Said payments shall not exceed nine percent (9%) of the employee’s “PERSable” compensation. These payments are not salary increases but are the City’s payment of employees’ retirement contribution in accordance with Section 414(h)(2) of the Internal Revenue Code.

Tier II
All Safety Members hired on or after July 1, 2011 will have a retirement formula that is based on 3.0% @ 55 Plan Full Formula for Safety Members and upon retirement an employee’s “final compensation” will be based on the highest consecutive 36-month average for determining retirement benefits. Employees in Tier II will pay the full employee portion.

For all Members that were hired prior to July 1, 2011 but who did not become Safety Members until on or after July 1, 2011 and, therefore, participate in the 3.0% @ 55 Plan Full Formula for Safety Members, the City shall pay up to one hundred percent (100%) of the required retirement contributions. Said payments shall not exceed 9.0% of the employee’s “PERSable” compensation. These payments are not salary increases but are the City’s payment of employees’ retirement contribution in accordance with Section 414(h)(2) of the Internal Revenue Code.

Tier III
All New Safety Members hired on or after January 1, 2013, as is mandated by the Public Employee’s Pension Reform Act of 2013 (PEPRA), will have a retirement formula based on 2.7% @ 57 Plan Full Formula for Safety Members and upon retirement an employee’s “final compensation” will be based on the highest consecutive 36 month average. An employee in Tier III will pay 50% of Normal Costs. This amount is provided by CalPERS each year and is subject to change.

Police Officer Trainees shall participate in the City PERS program for “Miscellaneous” employees until advancement to a Sworn Police Officer.

For the purposes of any future comparisons of the level of compensation of employees covered by this MOU with comparable employees in other jurisdictions, these payments shall be taken into account along with measuring base salaries. All contributions shall be credited to the employees’ accounts with PERS.
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A. EPMC Conversion
The City will report as compensation for retirement purposes the Employer Paid Member Contribution of 9% for Tier I employees ONLY that were hired prior to July 1, 2011.

Notwithstanding for foregoing, the City will also report as compensation for retirement purposes the Employer Paid Member Contribution of 9.0% for any Tier II Members that were hired prior to July 1, 2011 but who became Safety Members on or after July 1, 2011.

B. Cost Sharing (Per Section 20516 of the CA Public Employee’s Retirement Law) All Tier I (as defined above), Classic, Safety Members in the classifications of Police Corporal and Police Officer will contribute three percent (3%) towards the City’s Employer CalPERS costs effective as soon as practical and upon CalPERS approval of the amendment to the City’s contract. Such contributions shall be tax-deferred and shall be credited to the members account.

Effective December 27, 2014, Tier II (as defined above), Classic, Safety Members that were hired prior to July 1, 2011 but who became Safety Members on or after July 1, 2011, will contribute three percent (3%) towards the City’s Employer CalPERS costs. Such contributions shall be tax deferred.

Section 2 - 1959 Survivor’s Benefit
The City provides the option of the 1959, Level 4, Survivor’s Benefit for all employees enrolled in PERS.

Section 3 - PERS Military Buy-Back
The agreement between the City and PERS shall allow for the buy-back of time served by the employee in the Military.

Section 4 - Health Insurance for Retired Employees
All employees hired prior to June 30, 1990, who retire from the City (i.e., begin to draw from their PERS retirement accounts) shall continue to be eligible for retiree health benefits. This consists of City contributions to medical insurance for retirement, after 10 years of City service, and dental insurance, for retirement after 20 years of City service, for both employee and spouse. Employees who are ineligible for City paid retiree health insurance may elect upon retirement to continue medical and dental coverage at their own expense through the City’s medical and dental plans.

Only employees hired prior to June 30, 1990 who retire after ten years of City service shall be eligible to cause the City to pay the prescribed monthly contributions toward the payment of medical insurance premiums for them and eligible dependents and eligible survivors, and only employees hired prior to June 30, 1990 who retire after twenty years of City service shall be eligible to cause the City to pay the prescribed monthly 52 FONTANA POLICE OFFICERS’ ASSOCIATION
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contributions toward the payment of dental insurance premiums for them and eligible dependents and eligible survivors. At the present time, the prescribed monthly contribution for medical insurance is the amount of the premium applicable to coverage for an employee and spouse under “City-Kaiser” Plan. All employees and retirees who do not satisfy the prerequisites described above shall still have the option to continue medical and dental insurance coverage for them and eligible dependents under the City’s medical and dental plans at their own expense.

Eligible retirees must join Medicare so long as this does not result in any loss of coverage or increased cost to the retiree. In that situation, the City will reimburse eligible retirees for the cost of the standard “Part B” Medicare premium, which is $135.50 in 2019, for those employees who elect such coverage. This amount is subject to change based on adjustments by the Federal government. The cost is automatically withdrawn from their Social Security checks. Retirees must supply the City with proof of payment (including deductions from Social Security checks) for this coverage and will be reimbursed on a quarterly basis. No retroactive reimbursements will be given.

Section 5 – Retiree Medical Trust Fund
All members of the Association hired after June 30, 1990 will receive a monthly payment into a Retiree Medical Trust Fund. Effective July 30, 2022, the City’s monthly contribution amount will be $425 per member. Furthermore, any and all changes to the Retiree Medical Trust Fund contribution amount shall be agreed upon between the City, FPOA and the Fontana Police Management Association.

The Retiree Medical Trust will be selected, established and maintained by the Association and must meet IRS guidelines. The Medical Trust Fund shall not be administered by the City, and the Association and its members shall release the City from liability and agree to indemnify the City from any claims resulting from the administration of the Medical Trust Fund.

ARTICLE 25: CALL BACK
The City shall provide to each sworn police Association member who is: (1) called back to work; or (2) who signs up or is ordered to work an extra shift, a minimum of two (2) hours compensation at the rate of time and one-half the Association member’s regular rate.

ARTICLE 26: PERFORMANCE EVALUATIONS
Performance Evaluations with an overall rating of less than competent are within the scope of the grievance procedure.
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ARTICLE 27: LAYOFFS
Section 1 - Administration of Layoffs
Layoff for Association members will be conducted in accordance with the City of Fontana’s Layoff Plan adopted by the City Council on May 7, 1991.

The City shall exhaust all reasonable means available to avoid layoffs and/or furloughs of Association members. The City agrees to consult with the Association after providing one weeks’ notice of any intent by the City to institute layoffs and/or furloughs which are applicable to this Association. The purpose of these meetings shall be to explore alternatives to layoffs and/or furloughs.

Section 2 - Full-time Temporary Employment Following Layoff Qualified Association members who are subject to layoff (laid off Association members) may fill positions where there is another Association member out on a leave, and who is not receiving salary or health and welfare benefits from the City, on a temporary basis until the absent Association member returns, or the position is filled on a non-temporary basis. The laid off Association member may be removed from such a position upon written notice from the City and shall not have any grievance or appeal rights.

During such temporary service Association members shall receive the salary and health and welfare benefits of the classification in which they are serving. If the laid off Association member is removed from the temporary position, they shall be eligible for that portion of the severance package if any, that would be remaining on the date of removal as if it had run from their date of appointment into the temporary position. Except as explicitly provided herein, the Association member shall in all other aspects be a temporary employee.

Section 3 - Seniority and Benefits Upon Reinstatement After Layoff Association members who are reinstated to the same or equivalent classification within two (2) years after layoff shall have their seniority date restored to that prior to layoff.

Probationary Association members who are laid off, shall upon reinstatement, be required to serve any remaining balance of their original probationary period. In addition, reinstated Association members will be entitled to the restoration of personal leave accrual rates they were eligible to receive prior to layoff.

ARTICLE 28: DEDUCTION OF PAID LEAVE IN LIEU OF SUSPENSION Upon mutual written agreement between the Chief of Police and the affected Association member, the Association member may have an equivalent amount of unused accrued personal leave time deducted from his/her account in lieu of serving a suspension without pay for that period. Compensatory time off may not be deducted in lieu of serving a suspension.
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ARTICLE 29: COMPENSATION FOR ACTING APPOINTMENTS
Subject to the following conditions, an employee who is required, based on an acting appointment to serve in a classification with a higher salary range than of the classification in which the employee is normally assigned, shall receive the entrance salary rate of the higher salary range or the rate of five percent (5%) higher than the employee normally receives, whichever is greater. Overtime shall be paid at a rate of 1.5 times of their acting hourly rate.
a) Such pay will be for all hours worked in an acting appointment which are in excess of 80 hours in any six-month period.
b) The employee must perform all the duties and assume all the responsibilities of the higher class.
c) Compensation for acting appointments shall be limited to the temporary filling of a vacant regular position due to termination, promotion, or extended sick leave of the incumbent or the temporary filling of (a) newly budgeted position(s), where the needs of the City require that the position be filled.
d) The City Manager must approve all such appointments upon a finding that the criteria set forth in this paragraph have been met.

ARTICLE 30: OFFICER FATALITY BENEFIT
Section 1
The City shall pay up to $10,000 for funeral expenses for an Officer killed in the line of duty.

Section 2
The City shall pay reasonable expenses for surviving spouse and children to attend one national and one state Peace Officer Memorial Ceremony. Expenses shall be limited to airfare (coach) and up to two night’s hotel accommodation.

Section 3
The Police Honor Guard will be allowed to attend the national and state Peace Officer Memorial Ceremonies honoring our fallen Officer on paid City time when a Fontana Police Officer who died in the line of duty has his/her name inscribed.

Section 4 - Spouse & Family Benefit for Officer Fatality 55 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025

Page 19 ends

The City shall continue to pay the monthly medical premiums only for the surviving spouse and dependents for a period of twelve (12) months following the death of an Officer killed in the line of duty. The City’s contribution shall not exceed the actual expenditures for the aforementioned coverage. (July 2016)
ARTICLE 31: RECRUITMENT BONUS
Members of the Police Officers Association shall be eligible for a $500 recruitment bonus for the recruitment and retention of new Police Department Personnel. Said recruitment bonus shall be paid as follows: (1) $250 at time of initial hire, (2) $250 at successful completion of probationary period. Association members assigned to the Personnel and Training Unit or a special recruitment event are not eligible for this bonus.

ARTICLE 32: BOARD MEMBER EXCUSED TIME OFF FOR TRAINING
During the term of this contract the Chief of Police has agreed to discuss the development of an excused time off policy for POA board members for specific training.

ARTICLE 33: DIRECT DEPOSIT
Effective July 1, 2022, any and all payments outside of regular pay will be paid via direct deposit. (July 2022)
ARTICLE 34: SEVERABILITY
Should any legal action be filed and upheld challenging the enforceability or validity of any economic provision of this Agreement, or if any provisions of this Agreement shall be held by a court of competent jurisdiction to be in conflict with any law of the United States or California, the City or the Association may, at its option, require the parties to meet and confer on a new Memorandum of Understanding.
56 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025

Page 20 ends

Ratified by City Council: Tentative Agreement on June 28, 2022, Closed Session Official Ratification on July 26, 2022, Consent Calendar CITY OF FONTANA FONTANA POLICE OFFICERS’

ASSOCIATION
57 FONTANA POLICE OFFICERS’ ASSOCIATION
JULY 1, 2022 – JUNE 30, 2025
Page iv
APPENDIX “A”
Police Officer Trainee
Police Officer
Police Officer w/Intermediate Certificate
Police Officer w/Advanced Certificate
Police Corporal w/Intermediate Certificate
Police Corporal w/Advanced Certificate
58 CITY OF FONTANA

POLICE OFFICERS' ASSOCIATION HOURLY/MONTHLY/ANNUAL PAY SCHEDULE EFFECTIVE 07/30/2022
TITLE RANGE STEP 1 STEP 2 STEP 3 STEP 4 STEP 5
$35.66 Hourly
$6,181.07 Monthly
$74,172.80 Annual
$39.22 $41.19 $43.25 $45.42 $47.70
$6,798.14 $7,139.60 $7,496.67 $7,872.80 $8,268.00
$81,577.60 $85,675.20 $89,960.00 $94,473.60 $99,216.00
$41.02 $43.08 $45.24 $47.51 $49.89
$7,110.14 $7,467.20 $7,841.60 $8,235.07 $8,647.60
$85,321.60 $89,606.40 $94,099.20 $98,820.80 $103,771.20 $42.88 $45.03 $47.29 $49.66 $52.15
$7,432.54 $7,805.20 $8,196.94 $8,607.74 $9,039.34
$89,190.40 $93,662.40 $98,363.20 $103,292.80 $108,472.00 $45.09 $47.35 $49.72 $52.21 $54.83
$7,815.60 $8,207.34 $8,618.14 $9,049.74 $9,503.87
$93,787.20 $98,488.00 $103,417.60 $108,596.80 $114,046.40 $48.89 $51.34 $53.91 $56.61 $59.45
$8,474.27 $8,898.94 $9,344.40 $9,812.40 $10,304.67
$101,691.20 $106,787.20 $112,132.80 $117,748.80 $123,656.00 Police Corporal
w/Advanced Certificate PO06
Police Officer Trainee
(non-sworn) PO01
Police Officer PO02
Police Officer
w/Intermediate Certificate PO03
(Step "1" Only)
Police Officer w/Advanced
Certificate PO04
Police Corporal
w/Intermediate Certificate PO05
59 SIDE LETTER OF AGREEMENT BETWEEN

CITY OF FONTANA
AND

FONTANA POLICE MANAGEMENT ASSOCIATION
The City of Fontana (“City”) and the Fontana Police Management Association (“Association”) hereby agree to modify their Memorandum of Understanding (“MOU”) set to expire on June 30, 2024, for the purpose of memorializing an increase to the monthly contribution amount that the City will make towards the Retiree Medical Trust Fund for eligible employees. This change is a result of a contractual agreement between the City and the Fontana Police Officers’ Association (“POA”) that is effective July 30, 2022, as follows:

1. ARTICLE XVI: RETIREMENT BENEFITS, SECTION G is hereby amended to address changes to the monthly contribution amount, effective July 30, 2022:

G. Retiree Medical Trust Fund
Effective the first pay period in July 2009, all employees represented by the Association hired after June 30, 1990 who are not eligible for retiree benefits as described above will receive a monthly payment into a mutually agreed upon Retiree Medical Trust Fund.

Effective July 30, 2022, the City’s monthly contribution amount will be $425 per employee. The Association agrees that the City’s contribution will not be increased for five (5) years (i.e. the amount can be negotiated following July 1, 2024), except where necessary to match Police Officer’s Association (“POA”) contribution increases. The parties acknowledge that it is their intent to maintain the same contribution levels for both the Association and the POA. (July 2019) The Retiree Medical Trust Fund will be established, selected and maintained by the association and must meet IRS guidelines. …

2. Except as modified above, the terms and conditions of the Agreement shall remain unchanged and in effect as provided therein.

Dated: July 26, 2022

CITY OF FONTANA FONTANA POLICE MANAGEMENT

ASSOCIATION
60 City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1523 Agenda Date: 7/26/2022
Agenda #: E. Category: Consent Calendar
FROM:

Housing
SUBJECT:

Accept Family Homelessness Challenge Grant from California Interagency Council On Homelessness
RECOMMENDATION:

1. Authorize the City Manager to execute and transmit any documents necessary to ensure the City's timely receipt of Family Homelessness Challenge Grant Allocation; and

2. Authorize staff to increase revenue and expenditures in the amount of $2,726,608 from the Family Homelessness Challenge Grant, Round 1 (FHC-1).

COUNCIL GOALS:
· To concentrate on inter-governmental relations by pursuing financial participation from county, state and federal governments.

DISCUSSION:

The California Interagency Council on Homelessness (Cal ICH) was created in 2017 to oversee the implementation of Housing First policies, guidelines, and regulations to reduce the prevalence and duration of homelessness in California.

On March 1, 2022 Cal ICH released a Request for Applications (RFA) in conjunction with the Family Homelessness Challenge Grant, Round 1 funding eligible to cities and Continuums of Care within the State of California. $30M in FHC-1 funding will be made available across a minimum of two rounds of funding. Grantees that are awarded Round 1 funds, remain in compliance with FHC-1 requirements and demonstrate reasonable, sufficient progress toward their self-identified, prioritized objective may apply for the second round of grant funding (FHC-2), and only FHC-1 grantees are eligible to compete for FHC-2 funding.

Cal ICH requested innovative applications that accelerate efforts by local jurisdictions and continuums of care to address and end family homelessness by making families’ experience of homelessness rare, brief, and one-time.

The Housing Department submitted an application on April 30, 2022 and were subsequently awarded the full amount of $2,726,608. These funds will be utilized to construct an efficiency unit for a family with children as well as construct a detached ADU at the recently acquired Bridge of Hope Emergency Shelter.

Funds will also be used to provide Street Outreach, Interim Shelter, Rapid Rehousing, Delivery of Permanent Housing units, Services coordination, systems support, operating subsidies as well as City of Fontana Page 1 of 2 Printed on 7/21/2022
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File #: 21-1523 Agenda Date: 7/26/2022
Agenda #: E. Category: Consent Calendar
administration funds to cover the cost of program delivery.

FISCAL IMPACT:

The fiscal impact associated with the approval of this item is an increase in Family Homelessness Challenge grant funds in the amount of $2,726,608. The required budget adjustments will be included in the FY2021-22 4th Quarter Budget Report for Fund 301, Project # 30200019.

MOTION:

Approve staff recommendation.

City of Fontana Page 2 of 2 Printed on 7/21/2022
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1528 Agenda Date: 7/26/2022
Agenda #: F. Category: Consent Calendar
FROM:

Planning Department
SUBJECT:

Adoption of Ordinance No. 1896 (Second Reading)
RECOMMENDATION:

Second Reading/Adopt Ordinance No. 1896, an Ordinance of the City Council of the City of Fontana, approving Specific Plan Amendment No. 21-003 for a comprehensive update to the Southwest Industrial Park Specific Plan (SWIP) Specific Plan as shown in Attachment No. 1.

COUNCIL GOALS:
· To promote economic development by establishing a quick, consistent development process. · To promote economic development by being business friendly at all levels of operation.

DISCUSSION:

The City Clerk’s Department received a total of one (1) written correspondence in opposition of this item prior to the 5:00 p.m. deadline the day of the meeting on July 12, 2022. City Staff received an additional written correspondence on July 18, 2022. The written correspondence has been attached to this staff report as Attachment 5.

Ordinance No. 1896 was introduced by a vote of 4-1 (Sandoval) at the July 12, 2022, Regular City Council Meeting.

FISCAL IMPACT:

None.

MOTION:

Approve Staff Recommendation.

City of Fontana Page 1 of 1 Printed on 7/21/2022
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64 65
66 City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1529 Agenda Date: 7/26/2022
Agenda #: G. Category: Consent Calendar
FROM:

Planning Department
SUBJECT:

Adoption of Ordinance No. 1898 (Second Reading)
RECOMMENDATION:

Second Reading/Adopt Ordinance No. 1898, an Ordinance of the City Council of the City of Fontana that includes the original standards presented to Planning Commission approving Master Case No. 22-049, Master Case No. 22-071, Municipal Code Amendment No. 22-004, and Municipal Code Amendment No. 22-005 - Update to the Fontana Municipal Code for amendments to Chapter 26 Subdivisions and Chapter 30 Zoning and Development Code without the Planning Commission modifications.

COUNCIL GOALS:
· To promote economic development by pursuing business retention, expansion and attraction. · To promote economic development by establishing a quick, consistent development process.

DISCUSSION:

Ordinance No. 1898 was introduced by a vote of 4-1 (Cothran) at the July 12, 2022, Regular City Council Meeting.

FISCAL IMPACT:

None
MOTION:

Approve staff recommendation
City of Fontana Page 1 of 1 Printed on 7/21/2022
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1530 Agenda Date: 7/26/2022
Agenda #: H. Category: Consent Calendar
FROM:

Planning Department
SUBJECT:

Adoption of Ordinance No. 1899 (Second Reading)
RECOMMENDATION:

Second Reading/Adopt Ordinance No. 1899, an Ordinance of the City Council of the City of Fontana, approving Municipal Code Amendment (MCA) No. 22-006 to amend Chapter 30 of the Fontana Municipal Code and add Chapter 33, “Cannabis Businesses and Activities”, and the reading of the title constitutes the first reading thereof
COUNCIL GOALS:
· To promote economic development by concentrating on job creation. · To promote economic development by pursuing business retention, expansion and attraction.

DISCUSSION:

Ordinance No. 1899 was introduced by a vote of 4-1(Sandoval) at the July 12, 2022, Regular City Council Meeting.

FISCAL IMPACT:

None.

MOTION:

Approve staff’s recommendation
City of Fontana Page 1 of 1 Printed on 7/21/2022
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-1-
ORDINANCE NO. ______

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF FONTANA, CALIFORNIA, REPEALING SECTIONS 30-
6 THROUGH 30-11 OF DIVISION 3 OF ARTICLE 1 OF
CHAPTER 30, AMENDING CHAPTER 30 PERMITTED
USES, AND ADDING CHAPTER 33, “CANNABIS
BUSINESSES AND ACTIVITIES”
WHEREAS, the City of Fontana, California (the “City”) is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, on September 13, 2016, the City Council adopted Ordinance No. 1747 prohibiting all marijuana uses in the City to the extent allowed under California state law, and included a provision requiring a Residential Indoor Marijuana Cultivation (“RIMC”) permit for any individual who desires to grow up to six (6) marijuana plants in their private residence; and WHEREAS, on November 8, 2016, California voters approved Proposition 64, titled the “Adult Use of Marijuana Act” (the “AUMA”) and enacted a state statutory scheme legalizing, controlling, and regulating the cultivation, processing, manufacturing, distribution, testing, and sale of nonmedical (“adult-use“ or “recreational”) cannabis, including cannabis products, for use by adults twenty-one (21) years of age and older; and
WHEREAS, on January 24, 2017, the City Council adopted Ordinance No. 1758 amending the Zoning and Development Code by adding a new Section 30-7(b) entitled “Residential Indoor Marijuana Cultivation” to regulate indoor cultivation of marijuana and adopted Resolution No. 2017-05 establishing fees for a RIMC permit; and
WHEREAS, on March 12, 2019, the City council adopted Ordinance No. 1794 amending the RIMC fees; and
WHEREAS, on June 27, 2017, Governor Brown signed Senate Bill 94, the “Medicinal and AdultUse Cannabis Regulation and Safety Act” (“SB 94” or the “MAUCRSA”). SB 94 creates one state regulatory structure for medical and adult-use commercial cannabis activities, reconciling AUMA, with the Compassionate Use Act of 1996 (Proposition 215) and MCRSA (collectively referred to as “the Act”). SB 94 provided that a state license will not be approved for a business to engage in Commercial Cannabis Activity if the business activity violates any local ordinance or regulation; and
WHEREAS, three State licensing authorities charged with licensing and regulating commercial cannabis activities in California, the Bureau of Cannabis Control (“BCC”), the California Department of Food and Agriculture (“CDFA”), and the California Department of Public Health (“CDPH”), commenced releasing emergency regulations, outlining the standards and licensing procedures for both medicinal and adult-use commercial cannabis, and began issuing licenses for such activities on January 1, 2018; and
WHEREAS, having banned commercial cannabis citywide so as to monitor continuous developments with state law and how neighboring cities would regulate cannabis, the City Council ATTACHMENT NO. 1
69 2
has developed an approach to regulating cannabis businesses within the City which will increase the likelihood of high quality and successful businesses and minimize potential adverse secondary impacts; and
WHEREAS, City Council intends to adopt this Ordinance to add Chapter 33 establishing a regulatory permit scheme for commercial cannabis activities, such that each proposed commercial activity must have an operating agreement and a regulatory permit prior to operation; and WHEREAS, City Council intends to repeal Sections 30-6 through 30-11 of Division 3 to comport with the provisions of Chapter 33, and
WHEREAS, the City Council finds and declares that this Ordinance constitutes a valid exercise of police power in accordance with Article XI, Section 7 of the California Constitution, is consistent with the language and intent of the AUMA, MAUCRSA, and related laws regulations, and policies issued by the state, consistent with the General Plan, and furthers the health, safety, and general welfare of the residents of the City of Fontana.

NOW, THEREFORE, BE IT ORDAINED by the City Council of the City of Fontana as follows:

SECTION 1: Division 3 “Marijuana Uses” of Chapter 30 of the Fontana Municipal Code, is hereby repealed in its entirety.

SECTION 2: The Fontana City Code is hereby amended by adding Chapter 33, “Cannabis Businesses and Activities,” which shall read as follows:

CHAPTER 33 CANNABIS BUSINESSES AND ACTIVITIES
Sec. 33-1. Purpose and Intent.

Sec. 33-2. Legal Authority.

Sec. 33-3. Commercial Cannabis Businesses Prohibited Unless Specifically Authorized by this Chapter.

Sec. 33-4. Compliance with Laws.

Sec. 33-5. Definitions.

Sec. 33-6. Commercial Cannabis Permit Required to Engage in Commercial Cannabis Business.

Sec. 33-7. Maximum Number of Commercial Cannabis Businesses Authorized and Designated Locations; Application Process.

Sec. 33-8. Initial Commercial Cannabis Permit Application and Scoring.

Sec. 33-9. Application Review, Scoring and Selection Process; Permit Issuance.

Sec. 33-10. Expiration of Commercial Cannabis Permits.

Sec. 33-11. Revocation of Permits.

Sec. 33-12. Renewal Applications.

ATTACHMENT NO. 1
70 3
Sec. 33-13. Effect of State License Suspension, Revocation, or Termination.

Sec. 33-14. Appeals.

Sec. 33-15. Commercial Cannabis Permit – Nonassignable and Nontransferable.

Sec. 33-16. Change in Location of Commercial Cannabis Business.

Sec. 33-17. Changes in Ownership of Commercial Cannabis Business.

Sec. 33-18. Change in Ownership when the Permittee is a Partnership or Corporation.

Sec. 33-19. Changes in Name Only.

Sec. 33-20. Alterations to Approved Facility.

Sec. 33-21. Operating Agreement Required.

Sec. 33-22. City Business License.

Sec. 33-23. Permits and Inspections Prior to Commencing Operations.

Sec. 33-24. City Discretion and Limitations on City’s Liability.

Sec. 33-25. Records and Recordkeeping.

Sec. 33-26. Restriction on Alcohol and Tobacco Sales, Dispensing or Consumption.

Sec. 33-27. Fees and Charges.

Sec. 33-28. Commercial Cannabis Businesses Permissible Zone Districts.

Sec. 33-29. Operating Requirements Applicable to all Commercial Cannabis Businesses.

Sec. 33-30. Additional Operating Regulations for Storefront Retail.

Sec. 33-31. Additional Operating Regulations for Cannabis Delivery.

Sec. 33-32. Promulgation of Regulations, Standards and Other Legal Duties.

Sec. 33-33. Fees Deemed Debt to City.

Sec. 33-34. Responsibility for Violations.

Sec. 33-35. Inspections.

Sec. 33-36. Violations and Penalties.

Sec. 33-37. Effect on Other Ordinances.

Sec. 33.38. Whistleblower Protection.

Sec. 33.39. Revolving Door Prohibition.

Sec. 33.40. Process Integrity Provision.

Sec. 33.41. Cannabis, Personal Use.

Sec. 33.42. Residential Indoor Cannabis Cultivation.

ATTACHMENT NO. 1
71 4
Sec. 33-1 Purpose and Intent.

It is the purpose and intent of this Chapter to implement the provisions of the Medicinal and Adult Use Cannabis Regulation and Safety Act (“MAUCRSA”) to accommodate the needs of medicallyill persons and provide access to adult-use cannabis for medicinal purposes as recommended by their health care provider(s), and to provide access to adult-use of cannabis for persons over the age of 21 as authorized by the Control, Tax & Regulate the Adult Use Cannabis Act (“AUMA” or “Proposition 64” passed by California voters in 2016), while imposing reasonable regulations on the use of land to protect the City’s residents, neighborhoods, and businesses from disproportionately negative impacts. As such, it is the purpose and intent of this Chapter to regulate the sale, delivery, and transportation of medicinal and adult-use cannabis and cannabis products in a responsible manner to protect the health, safety, and welfare of the residents of Fontana and to enforce rules and regulations consistent with state law.

It is the further purpose and intent of this Chapter to require all Commercial Cannabis Businesses operating in the City to obtain and renew annually a Commercial Cannabis Permit to operate within Fontana and an annual City of Fontana Business License.

Nothing in this Chapter is intended to authorize the possession, use, or provision of cannabis for purposes that violate state or federal law. The provisions of this Chapter are in addition to any other permits, licenses and approvals which may be required to conduct business in the City, and are in addition to any permits, licenses and approval required under state, county, or other law.

Sec. 33-2 Legal Authority.

Pursuant to Sections 5 and 7 of Article XI of the California Constitution, the provisions of MAUCRSA, any subsequent state legislation and regulations regarding same, the City is authorized to adopt ordinances that establish standards, requirements and regulations for the licensing and permitting of commercial medicinal and adult-use cannabis activity. Any standards, requirements, and regulations regarding health and safety, security, and worker protections established by the State of California, or any of its departments or divisions, shall be the minimum standards applicable in the City to all Commercial Cannabis Activity.

Sec. 33-3 Commercial Cannabis Businesses Prohibited Unless Specifically Authorized by this Chapter.

Except as specifically authorized in this Chapter, commercial cultivation, manufacture, processing, storing, laboratory testing, labeling, sale, distribution or transportation (other than as provided under California Business & Professions Code section 26090(e)), of cannabis or cannabis products is expressly prohibited.

Sec. 33-4 Compliance with Laws.

Nothing in this Chapter shall be construed as authorizing any actions that violate federal, state law or local law with respect to engaging in, or in the operation of, a Commercial Cannabis Business.

Nor shall this Chapter be construed as amending existing prohibitions on smoking tobacco or cannabis in public buildings and parks. It shall be the responsibility of the Permittees and Responsible Persons of a Commercial Cannabis Business to ensure that a Commercial Cannabis ATTACHMENT NO. 1
72 5
Business is, at all times, operating in a manner compliant with all applicable federal, state and local laws, including for as long as applicable, all state cannabis laws, any subsequently enacted state law or regulatory, licensing, or certification standards or requirements, and any specific, additional operating procedures or requirements which may be imposed as conditions of approval of a required license or permit.

Sec. 33-5 Definitions.

When used in this Chapter, the following words shall have the meanings ascribed to them as set forth herein. Any reference to California statutes includes any regulations promulgated thereunder, and is deemed to include any successor or amended version of the referenced statute or regulatory provision.
“A-License” is a license issued by the State of California under MAUCRSA for cannabis or cannabis products that are intended for adults 21 years of age and over and who do not possess physician’s recommendations.
“Applicant” shall include any individual or entity applying for a permit under this Chapter, desiring to enter into an operating agreement, and including any officer, director, partner, or other duly authorized representative applying on behalf of an entity. “Business License” is the license issued by the City’s Business License Division after payment of the business tax as set forth in Division 1 of Article VIII of Chapter 50 of the City of Fontana City Code.
“Bureau” means the Bureau of Cannabis Control within the Department of Consumer Affairs, and shall have the same meaning as in Section 26001(e) of the Business and Professions Code, as same may be amended from time to time.
“Cannabis” means all parts of the Cannabis sativa Linnaeus, Cannabis indica, or Cannabis ruderalis, whether growing or not; the seeds thereof; the resin, whether crude or purified, extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or resin. “Cannabis” also means the separated resin, whether crude or purified, obtained from cannabis. “Cannabis” does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks (except the resin extracted therefrom), fiber, oil, or cake, or the sterilized seed of the plant which is incapable of germination. For the purpose of this Chapter, “cannabis” does not mean “industrial hemp” as defined by Section 11018.5 of the California Health and Safety Code. Cannabis shall also have the same meaning as in Section 26001(f) of the Business and Professions Code, as same may be amended from time to time.
“Cannabis Accessories” means any equipment, products or materials of any kind which are used, intended for use, or designed for use in planting, propagating, cultivating, growing, harvesting, manufacturing, compounding, converting, producing, processing, preparing, testing, analyzing, packaging, repackaging, storing, smoking, vaporizing, or containing cannabis, or for ingesting, inhaling, or otherwise introducing cannabis or cannabis products into the human body. Cannabis ATTACHMENT NO. 1
73 6
accessories shall also have the same meaning as in Section 11018.2 of the Health and Safety Code, as same may be amended from time to time.
“Cannabis Concentrate” means cannabis that has undergone a process to concentrate one or more active cannabinoids, thereby increasing the product’s potency. Resin from granular trichomes from a cannabis plant is a concentrate for purposes of this Chapter. A cannabis concentrate is not considered food, as defined by Section 109935 of the Health and Safety Code, or drug, as defined by Section 109925 of the Health and Safety Code. Cannabis accessories shall also have the same meaning as in Section 26001(h) of the Business and Professions Code, as same may be amended from time to time.
“Cannabis Products” means cannabis that has undergone a process whereby the plant material has been transformed into a concentrate, including but not limited to concentrated cannabis, or an edible or topical product containing cannabis or concentrated cannabis and other ingredients.

Cannabis concentrate is not considered food, as defined by Section 109935 of the Health and Safety Code, or drug, as defined by Section 109925 of the Health and Safety Code. Cannabis products shall also have the same meaning as in Section 11018.1 of the Health and Safety Code, as same may be amended from time to time.
“Cannabis Retailer-Storefront” is a storefront retailer of a Commercial Cannabis Business facility where cannabis, cannabis products, or devices for the use of cannabis or cannabis products are offered, either individually or in any combination, for retail sale to customers at a fixed location, including an establishment that also offers delivery of cannabis and cannabis products as part of a retail sale, and which are open to the public, and where the operator is authorized to operate in the City as a retailer, and holds a valid state license as required by state law to operate a retailer. “Caregiver” or “Primary Caregiver” has the same meaning as that term is defined in Section 11362.7 of the California Health and Safety Code.
“City” shall mean the City of Fontana, California.
“City Manager” shall mean the City Manager of the City, including his or her designee. “Code” shall mean The Code of the City of Fontana.
“Commercial Cannabis Activity” includes the possession, manufacture, distribution, processing, storing, laboratory testing, packaging, labeling, transportation, delivery or sale of cannabis and cannabis products as provided for in MAUCRSA. Commercial cannabis activity shall also have the same meaning as in Section 26001(k) of the Business and Professions Code, as same may be amended from time to time.
“Commercial Cannabis Business” means any business or operation which engages in medicinal or adult-use Commercial Cannabis Activity.
“Commercial Cannabis Permit” means the regulatory permit issued by the City to a Commercial Cannabis Business, which is required before any Commercial Cannabis Activity may be conducted in the City, pursuant to this Chapter.

ATTACHMENT NO. 1
74 7
“Cultivation” means any activity involving the planting, growing, harvesting, drying, curing, grading, or trimming of cannabis.
“Cultivation area” means the area where cannabis plants are cultivated, cultivation-related materials and supplies are stored, and any cannabis processed from the cultivation in excess of

28.5 grams.
“Customer” is a natural person 21 year of age or older; or, a natural person 18 years of age or older who possesses a physician’s recommendation, or a primary caregiver. Customer shall also have the same meaning as in Section 26001(n) of the Business and Professions Code, as same may be amended from time to time.
“Day Care Center” has the same meaning as in Section 1596.76 of the Health and Safety Code, as same may be amended from time to time.
“Delivery” is the commercial transfer of cannabis or cannabis products to a customer. Delivery also includes the use by a retailer of any technology platform owned and controlled by the retailer.

Delivery shall also have the same meaning as in Section 26001(o) of the Business and Professions Code, as same may be amended from time to time.
“Directly engage in cultivation” means to handle the cannabis plants in the cultivation process. “Dispensing” means any activity involving the retail sale of cannabis or cannabis products from a retailer.
“Edible Cannabis Product” means a cannabis product that is intended to be used, in whole or in part, for human consumption, and is not considered food. Edible cannabis product has the same meaning as Business and Professions Code section 26001(u). “Fire Chief” shall mean the City’s Fire Chief.
“Indirectly engage in cultivation” means to assist, even if not handling cannabis plants, in the cultivation process
“Law enforcement agency” refers to the agency charged with enforcing the pertinent laws in the City. The law enforcement agency for the City shall be the Fontana Police Department. Unless the provisions of the context otherwise require, whenever any provision of this Code makes reference to the law enforcement agency of the City, such shall be construed to mean, and deemed to constitute, that person holding the office of Chief of Police for the City and his or her authorized deputies or officers, performing law enforcement functions for the City. “Law enforcement officer” means any law enforcement officer of the City’s law enforcement agency, or officer of the Fontana Police Department, authorized to enforce the City’s laws, including those contained in this Chapter.
“License or State License” means a license issued by the State of California, or one of its departments or divisions, under MAUCRSA, and any subsequent State of California legislation regarding the same, to lawfully engage in Commercial Cannabis Activity.

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“Licensee” means any person holding a license issued by the State of California to conduct Commercial Cannabis Business activities.
“Manager” means any person(s) designated by the Commercial Cannabis Business to act as the representative or agent of the Commercial Cannabis Business in managing day-to-day operations with corresponding liabilities and responsibilities, or the person in apparent charge of the premises where the Commercial Cannabis Business is located. Evidence of management includes, but is not limited to, evidence that the individual has the power to direct, supervise, or hire and dismiss employees, controls hours of operations, creates policy rules, or purchases supplies. “M-license” means a license issued by the state of California under MAUCRSA for Commercial Cannabis Activity involving medicinal cannabis.
“Medicinal cannabis or medicinal cannabis product” refers to cannabis or a cannabis product, respectively, intended to be sold for use pursuant to the Compassionate Use Act of 1996 (Proposition 215) or the Medical Marijuana Program Act of 2003, found at Sections 11362.5 and 11362.71 et seq. of the Health and Safety Code, by a medicinal cannabis patient in California who possesses a valid and current identification card issued by a California licensed physician’s recommendation.
“Operation” means any act for which a license is required under the provisions of the Act, or any commercial transfer of cannabis or cannabis products. Operation shall also have the same meaning as in Section 26001(al) of the Business and Professions Code, as same may be amended from time to time.
“Owner” means any of the following, or a group or combination of any of the following acting as a unit:
(1.) A person with an aggregate ownership interest of one percent (1%) or more in the entity applying for a City Commercial Cannabis Permit, whether a partner, shareholder, principal, member, or the like, unless the interest is solely a security, lien, or encumbrance.
(2.) The chief executive officer of a nonprofit or other entity. (3.) A member of the board of directors of a nonprofit. (4.) An individual who will be participating in the direction, control, or management of the person applying for a City Commercial Cannabis Permit.
“Patient or qualified patient” means the same definition as California Health and Safety Code Section 11362.7 et seq., as it may be amended, and which means a person who is entitled to the protections of California Health & Safety Code Section 11362.5. “Permittee” means any person to whom a current and valid City-issued Commercial Cannabis Business Permit has been issued.

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“Person” means any individual, firm, partnership, joint venture, association, corporation, limited liability company, estate, trust, business trust, receiver, syndicate, or any other group or combination acting as a unit or entity, and the plural as well as the singular. “Personal use” means to possess, use, or give away to persons 21 years of age or older without any compensation whatsoever.
“Premises” means the designated structure or structures and land specified in the application that is owned, leased, or otherwise held under the control of the applicant where the Commercial Cannabis Business will be or is conducted. The premises shall be a contiguous area and shall only be occupied by one Permittee.
“Private Residence” means a house, an apartment unit, a mobile home, or other similar dwelling. “Purchaser” means the customer who is engaged in a transaction with a Permittee for purposes of obtaining cannabis or cannabis products.
“Regulations” means those regulations prescribed and issued by the State of California, through its respective departments and divisions, pursuant to Section 26013 of the Business and Professions Code, including those regulations as found in the California Code of Regulations (including, Title 3, Division 8; Title 16, Division 42; and Title 17, Division 1), as same may be amended from time to time, to implement, interpret, administer and enforce the Act, and providing licensing and enforcement criteria for commercial cannabis activities and businesses. “Responsible Person” means all Owners and Operators of a Commercial Cannabis Business, including the Permittee and all officers, directors, managers, or partners, and all persons with authority, including apparent authority, over the premises of the Commercial Cannabis Business. “Security deposit/bond” means a financial commitment in the form of a cash payment, surety bond, letter of credit or other legal instrument securing an Applicant’s or Permittee’s commitments as required by this Chapter.
“Sell,” “sale,” “retail sale,” or “to sell” includes any transaction whereby, for any consideration or gross receipt, whether actual or intangible, title to cannabis or cannabis products are transferred from one person to another, and includes the delivery of cannabis or cannabis products pursuant to an order placed for the purchase of the same and soliciting or receiving an order for the same, but does not include the return of cannabis or cannabis products by a Customer to the Licensee from whom the cannabis or cannabis product was purchased. “State law” means all laws of the State of California, which includes, but are not limited to, all rules, regulations, and policies adopted by State of California agencies, departments, divisions, and regulatory entities, as same may be amended from time to time. “Topical Cannabis” means a product intended for external application or absorption through the skin. A topical cannabis product is not considered a drug as defined by Section 109925 of the California Health and Safety Code.

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“Transport” means the transfer of cannabis products from the permitted business location of one licensee to the permitted business location of another licensee, for the purposes of conducting Commercial Cannabis Activity authorized by law and which may be amended or repealed by any subsequent State of California legislation regarding the same. “Youth and Recreation Center” means any public or private facility that is primarily used to host recreational or social activities for minors, including, but not limited to, private youth membership organizations or clubs, social service teenage club facilities, video arcades, or similar amusement park facilities. Parks with organized youth-oriented programs are also Youth and Recreation Centers for the purposes of this Chapter 33. Youth and recreation center shall also have the same meaning as in Section 11353.1 of the Health and Safety Code and Section 26001(ax) of the Business and Professions Code, as each may be amended from time to time.

Any term defined in this section also means the very term as defined in the California Business and Professions Code or the California Health and Safety Code, unless otherwise specified.

Sec. 33-6 Commercial Cannabis Permit Required to Engage in Commercial Cannabis Business.
(a) No person may engage in any Commercial Cannabis Business or in any Commercial Cannabis Activity within the City unless the person (a) has a valid Commercial Cannabis Permit from the City, (b) has a valid State of California Seller’s Permit, (c) has entered into a fully executed Operating Agreement, approved by City Council, and (d) is in compliance with all applicable state and local laws and regulations pertaining to the Commercial Cannabis Business and commercial cannabis activities, including the duty to obtain any required state licenses, business license obtained and all taxes paid and all other applicable laws including without limitation zoning and fire codes.
(b) The classification and type of Commercial Cannabis Businesses allowed for by this Chapter are retailer-storefront and the ancillary transportation and delivery of cannabis or cannabis products to a Customer.
(c) In addition to all other applicable zoning regulations and the requirements of all required state and local permits, no Commercial Cannabis Permit will be valid if the proposed Commercial Cannabis Business is located within a 600-foot radius of a school providing instruction in kindergarten or any grades one through twelve, a day care center, park, a Youth and Recreation Center with primary Youth and Recreation Center activities, which is in lawful existence at the time a successful application was submitted to the City, or the City boundaries.

No Commercial Cannabis Permit will be valid if the proposed Commercial Cannabis Business is located within a 600-foot radius of the City boundaries.

Sec. 33-7 Maximum Number of Commercial Cannabis Businesses Authorized and Designated Locations; Application Process.
(a) The maximum number of Commercial Cannabis Permits that may be issued in the City is three (3). One may be issued for the North Area, one may be issued for the Central Area and one may be issued for the South Area based on the boundaries of the Commercial Cannabis Map approved by the City Council concurrently with the adoption of this Chapter.

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(b) The process for issuing Commercial Cannabis Permits to qualified cannabis businesses is meant to result in qualified businesses that will operate in accordance with state and local law, be successful, contribute positively to the community and local economy, and avoid secondary adverse impacts. Toward that objective, the application process includes these five phases:
(1.) PHASE ONE: Application submittal. This includes submitted complete information, completed Livescan and background check information (state and federal database) of all Responsible Persons, and processing fees. (2.) PHASE TWO: Initial scoring of application by a qualified third party. (3.) PHASE THREE: Interview process.
(4.) PHASE FOUR: Location identification and verification. (5.) PHASE FIVE: Final scoring, and, if permits available, permit issuance.

Sec. 33-8 Initial Commercial Cannabis Permit Application and Scoring (a) The City Manager may establish additional submittal requirements for an application for a Commercial Cannabis Permit. The intent of this Chapter is to create a meritbased, competitive evaluation system. Applications submitted by legal representatives, consultants, partners or investors will not be accepted. The following information shall be included in any application for a Commercial Cannabis Permit:
(1.) Name of Applicant
(2.) Business Trade Name (if applicable) of the applicant (3.) Identification of Owner(s) (full name, primary phone number, social security number or individual taxpayer identification number, date and place of birth, email address, and mailing address for the primary owner submitting the Application)
(4.) For each person that is an “owner” of the applicant, (i.) Percentage of interest held in the applicant entity by each owner; (ii.) Whether the owner has an ownership or financial interest, as defined in section 5003 of the Regulations, in any other Commercial Cannabis Business licensed under the AUMA or MAUCRSA;
(iii.) A copy of each Responsible Person’s government-issued identification, acceptable forms are a document issued by a federal, state, county, or municipal government that includes the name, date of birth, physical description, and picture of the owner, such as a driver’s license;
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(iv.) A detailed description of the owner’s criminal convictions, if applicable. A conviction for this purpose means a plea or guilty verdict of guilty or a conviction following a plea of nolo contendere.

Convictions dismissed under Penal Code section 1203.4 or equivalent non-California law must be disclosed. Convictions dismissed under Health & Safety Code section 11361.8 or equivalent non-California law must be disclosed. Juvenile Adjudications and traffic infractions under $300 that did not involve alcohol, dangerous drugs, or controlled substances do not need to be included. For each conviction, provide: (1) the date of conviction; (2) dates of incarceration, if applicable; (3) dates of probation, if applicable; (4) dates of parole, if applicable; (5) a detailed description of the offense for which the owner was convicted; and (6) a statement of rehabilitation for each conviction written by the owner that demonstrates the owner’s fitness for consideration; (v.) If applicable, a detailed description of a commercial cannabis license, revocation of a commercial cannabis license, or sanctions for unlicensed Commercial Cannabis Activity by a licensing authority or local agency against the applicant or a business entity in which the applicant was an owner or officer within the three (3) years immediately preceding the date of the application; (vi.) If applicable, a detailed description if the City issued the applicant a notice or citation for unlicensed Commercial Cannabis Activity, or if the applicant was a defendant in a civil or criminal proceeding filed by the City or the People of the State of California, for allowing, causing, or permitting unlicensed commercial cannabis activities within the City’s jurisdiction;
(vii.) An attestation of each owner as follows: “Under penalty of perjury, I hereby declare that the information contained within and submitted with the application is complete, true, and accurate. I understand that a misrepresentation of fact or omission may be cause for rejection or denial of this application, or revocation of any Commercial Cannabis Permit or any permit, license or approval issued in reliance thereon.”
(5.) Primary Contact: The contact information for the applicant’s designated primary contact person, including the name, title, phone number, and email address of said individual.
(6.) Qualifications and Experience of Applicants and Owners: The application shall include information concerning any special business or professional qualifications or licenses of the applicants and owners, and the years of relevant and related experience, that would add to the number or quality of services that facility would provide, or otherwise demonstrates the ATTACHMENT NO. 1
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applicants’ and owners’ capacity to operate a successful commercial cannabis facility in compliance with applicable laws and regulations. (7.) Disclosure of Lobbying Activity: If applicant contracted, employed or in any manner paid or will pay any person for influencing or attempting to influence an elected official, appointed official or any employee of the City, shall fully disclose the name of individuals and organization(s) performing lobbying services.
(8.) Description of Operating Procedures: Applications shall include a detailed description of the applicant’s proposed operating procedures for each commercial cannabis activity, including an explanation for how the business will comply with the operating regulations of this Code and state law. The application must include copies of any applicable policies or manuals of the applicant and address each of the following, if applicable:
(i.) Transportation Procedures: A description of the procedure for transporting cannabis and cannabis products, including whether or not the applicant will be transporting cannabis or cannabis products or contracting for transportation services.
(ii.) Inventory Procedures:

1. A description of the applicant’s procedure for receiving shipments of inventory;

2. Where the applicant’s inventory will be stored on the premises and how records of the inventory will be
maintained; and

3. Procedure for performing inventory reconciliation and for ensuring that inventory records are accurate.
(iii.) Quality Control Procedures:

1. Procedures for preventing the deterioration of cannabis or cannabis products held by the applicant;

2. Procedures for ensuring that cannabis and cannabis products are properly packaged and labeled; and

3. Procedure for ensuring that an independent licensed testing laboratory samples and analyzes cannabis and cannabis
products held by the applicant.
(iv.) Security Procedures: All applicants shall propose sufficient security measures to deter and prevent the unauthorized access or entrance into areas containing cannabis or cannabis products, and to deter and ATTACHMENT NO. 1
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prevent the theft of cannabis or cannabis products at the Commercial Cannabis Business (together a “Security Plan”). The proposed Security Plan will remain confidential and shall include, but shall not be limited to, all of the following:

1. Preventing individuals from remaining on the premises of the Commercial Cannabis Business if they are not engaging in an activity directly related to the permitted operations of the Commercial Cannabis Business.

2. Establishing limited access areas accessible only to authorized Commercial Cannabis Business personnel.

3. How and where all cannabis and cannabis products will be stored in a secured and locked room, safe, or vault. How all cannabis and cannabis products, will be kept in a manner as to prevent diversion, theft, and loss.

4. Procedures for installing 24-hour security surveillance cameras (CCTV) of at least HD-quality video with audio to monitor all entrances and exits to and from the premises, all interior spaces within the Commercial Cannabis Business which are open and accessible to the public, all interior spaces where cannabis, cash or currency, is being stored for any period of time on a regular basis and all interior spaces where diversion of cannabis could reasonably occur.

Procedures for how the applicant will ensure that the security surveillance camera’s footage is remotely accessible to law enforcement, and that it is compatible with the City’s
software and hardware. In addition, procedures on how
remote and real-time, live access to the video footage from the cameras will be provided to law enforcement. Procedures for ensuring video recordings are maintained for a minimum of sixty (60) calendar days, and procedures to make them available to law enforcement upon request. Procedures to ensure video shall be of sufficient quality for effective prosecution of any crime found to have occurred on the site of the Commercial Cannabis Business.

5. A description of where sensors will be installed to detect entry and exit from all secure areas.

6. A description of procedures of installing panic buttons in the premises.

7. Description of having a professionally installed, maintained, and monitored alarm system, with the required City alarm ATTACHMENT NO. 1
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permit as required by this Fontana City Code Section 14- 391, et seq.

8. A description of the physical security features and
improvements that will be installed on the exterior and within the interior of the building, in full compliance with all applicable Building and Safety and Fire Code
requirements and any applicable zoning requirements. Use of wrought iron on any exterior door, window or opening is prohibited.

9. Procedures on establishing a plan to have security personnel on-site 24 hours a day, or alternative security as authorized by the City. Description or documentation showing that the proposed security personnel are licensed by the State of California Bureau of Security and Investigative Services personnel. Procedure to submit to the City and the City’s law enforcement agency the names and contact information of security personnel, with copies of state-issued licenses and permits, government-issued identification form, and photographs of uniforms and badges. Acknowledgement
from applicant indicating that it shall be responsible for providing this confirming information to law enforcement, with updating information within seven (7) calendar days of a change in security personnel, agents, or representatives.

10. Procedures on how each applicant shall have the capability to remain secure during a power outage and ensure that all access doors are not solely controlled by an electronic access panel to ensure that locks are not released during a power outage.

11. Identification of a designated security representative/liaison to the City, who shall be reasonably available to meet with City staff, as well as law enforcement regarding any security related measures or operational issues.

12. A storage and transportation plan, describing in detail the procedures for safely and securely receiving, storing and transporting all cannabis, cannabis products, including the use of child-safe cannabis containers, and any currency.

13. An affirmative commitment that the applicant will cooperate with the City whenever the City Manager, or his or her
designee, makes a request, upon reasonable notice, to inspect or audit the effectiveness of any Security Plan or of any other requirement of this subsection.

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14. A description and plan of how the applicant will notify law enforcement within 24 hours after discovering any of the following:
a. Significant discrepancies identified during
inventory. The level of significance shall be
determined by the regulations promulgated by law
enforcement.
b. Diversion, theft, loss, or any criminal activity
involving the Commercial Cannabis Business or any
agent or employee of the Commercial Cannabis
Business.
c. The loss or unauthorized alteration of records related to cannabis, registering qualifying patients, primary
caregivers, or employees or agents of the
Commercial Cannabis Business.
d. Any other breach of security.
(9.) All applicants shall submit a workforce plan that may include, but is neither limited to, nor required to include, a (1) commitment for local hires; (2) commitment to offer apprenticeships and/or compensation for continuing education in the field; (3) pay a living wage to its employees, and (4) draft collective bargaining agreement with labor organization that currently represents cannabis workers in the United States.
(10.) Seller’s Permit: The applicant shall provide a valid seller’s permit number issued by the California Department of Tax and Fee Administration, if applicable. If the applicant has not yet received a seller’s permit, the applicant shall attest that the applicant is or will before commencing operations, apply for a seller’s permit.
(11.) Indemnification Agreement: To the fullest extent permitted by local, state and federal law, the City shall not assume any liability whatsoever with respect to having issued a Commercial Cannabis Permit or otherwise approving the operation of any Commercial Cannabis Business. As a condition to the approval of any Commercial Cannabis Permit, the applicant is to execute a separate Indemnification Agreement prepared by the City that fully indemnifies the City for all liabilities associated with the Commercial Cannabis Permit, the Commercial Cannabis Permittee's Commercial Cannabis Activities, and any action taken by the Cannabis Permittee. The Indemnification Agreement shall include the defense of the City and reimbursement of all fees, costs and expenses incurred by the City related to any action arising from the Agreement.

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(12.) Payment of Application Fee: Each applicant shall pay the applicable fee(s) pursuant to this Chapter.
(13.) Each Applicant shall provide the City a Security deposit or bond for code compliance costs. The Security deposit or bond shall be in an amount established by the City Council and shall be provided with the application. (14.) Conceptual renderings of the interior and exterior of the proposed premises. (b) Background Check. Pursuant to California Penal Code Sections 11105(b)(11) and 13300(b)(11), which authorizes City authorities to access state and local summary criminal history information for employment, licensing, or certification purposes; and authorizes access to federal level criminal history information by transmitting fingerprint images and related information to the Department of Justice to be transmitted to the Federal Bureau of Investigation, every applicant and Responsible Person of the Commercial Cannabis Business must submit fingerprints and other information deemed necessary by the Fontana Police Department, or the City’s law enforcement agency, for a background check. No person shall be issued a permit to operate a Commercial Cannabis Business unless they have first cleared the background check, as determined by the City, Fontana Police Department, or the City’s law enforcement agency as required by this section. (c) The City Manager may adopt any procedure(s) to supplement the initial application process. The City Manager is authorized to prepare the necessary applications, forms, adopt any necessary rules to the application, regulations and processes, and solicit applications. (d) Any Applicant whose ’ownership’ includes a person with a past plea or verdict of guilty or a conviction following a plea of nolo contendere for operating a non-licensed cannabis business shall be disqualified from receiving a Commercial Cannabis Permit Sec. 33-9 Application Review, Scoring, and Selection Process; Permit Issuance. (a) Phase One. The City Manager or City Manager’s designee will determine that a complete and timely initial application has been submitted, and will conduct a background check for all responsible parties.
(b) Phase Two. Scoring of Application. The review of the application will be performed by the City Manager of the City Manager’s designee. The applications will be evaluated on the following criteria:
(1.) Qualifications/Business Plan (40 points)
(i.) Existing or prior retail Cannabis businesses.
(ii.) Cannabis Experience of the Permittee and all Responsible Persons. (iii.) General Business Experience of Responsible Persons. (iv.) Financial means of Applicant and Responsible Persons.

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(2.) Operating Plan (40 points)
(i.) Retail distribution.
(ii.) Inventory control procedures.
(iii.) Security procedures.
(iv.) Workforce Plan.
(3.) Community Improvement (20 points)
(i.) Social service support.
(ii.) Conceptual renderings of interior and exterior.
(c) Phase Three. Applicants who score a minimum of eighty (80) points in Phase Two are eligible to undergo the interview process of Phase Three (70 points). The City Manager shall designate a Commercial Cannabis Permit Application Evaluator who shall not have participated in the initial review and scoring in Phase Two. The Commercial Cannabis Permit Application Evaluator shall hold an interview for each qualified Applicant. (1.) The Commercial Cannabis Permit Application Evaluator may be an independent contractor or a designated employee. The Commercial Cannabis Permit Application Evaluator must file a Fair Political Practices Commission Form 700, commonly known as a Statement of Economic Interests, upon assuming the role, exiting the role, and as otherwise required by law for designated filers.
(d) Phase Four: The nine top scoring Applicants, based on points awarded in the Phase Three interview process, will proceed to Phase Four. Those nine top scoring Applicants, in order from highest to lowest, will select the area in which they would like to operate, North, Central, or South. Each area will be limited to selection by a maximum of three applicants. By way of example, if the three top scoring Applicants all choose the North, the fourth highest scorer will be required to choose from the Central or South areas for their location. After all nine Applicants have selected, or have been assigned their area, based on points, each applicant will be provided with 120 days, from the date Applicants are notified in writing by the City Manager of their assignments, to identify a proposed location within their respective area. Within those 120 days, the Applicant shall submit the physical address of the proposed location, as well as the San Bernardino County Assessor Parcel Number and property owner’s written consent. Additionally, the Applicant shall submit the following:
(1.) Evidence of the applicant’s right to use and occupy the property, which shall consist of premises of not less than 4,000 square feet. If owned by applicant, a grant deed or a copy of title for the property. If not owned by applicant, a document from the landowner or the landowner’s agent stating the applicant has the right to occupy the property and acknowledges that the applicant ATTACHMENT NO. 1
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may use the property to potentially conduct a Commercial Cannabis Business for which the applicant is applying, plus any lease agreement. (2.) A complete and detailed site plan of the premises, interior and exterior elevations of the premises, and a map showing the premises’ location within the City. The site plan and must comply with the following:
(i.) Shows the boundaries of the property and the proposed premises to be utilized, showing all boundaries, dimensions, entrances and exits, interior partitions, walls, rooms, bathrooms, windows, doorways, and common or common shared entryways, and a brief statement of the principal activity to be conducted therein;
(ii.) Map identifying any instruction in kindergarten or any grades 1 through 12, day care, park, Youth and Recreation Center facilities, City boundaries and any Commercial Cannabis Business located within 600 feet of the property lines of the proposed location. If the proposed location is not within 600 feet of any such uses, identify on the map the closest such use, and the distance in feet between that use and the property line of the proposed location;
(iii.) Identifies all commercial cannabis activities that will take place in each area of the premises, and identification of limited access areas; (iv.) The location of all proposed security cameras with a number assigned to each for identification purposes;
(v.) The diagram shall be clear, legible, and to scale, and shall not include any highlighting; and
(vi.) If the proposed premises include only a portion of a property, the diagram must be labeled indicating which part of the property is the proposed premises and what the remainder will be used for. (3.) The Commercial Cannabis Permit Application Evaluator may conduct a site inspection as part of the review.
(4.) Upon submission, the City will verify the proposed location satisfies the requirements of this Chapter and the Commercial Cannabis Permit Application Evaluator will score the proposed location, site plan, and interior and exterior elevations of the premises (30 points). (e) Phase Five: The scores for Phases Three and Four will be aggregated. The Commercial Cannabis Permit Application Evaluator will determine the final rankings of the Commercial Cannabis Permit applications per area, as the areas are described in Section 33-7. A total of 100 points are available in Phase Five. After the rankings per area are complete, the City Manager will issue the highest ranking applicants in each area Commercial Cannabis Permits to the extent that there are permits available.

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(f) If after final rankings by the Commercial Cannabis Permit Application Evaluator there is a tie in total points by two or more applicants, the City Manager may designate a third party to hold an allotment by chance to complete the ranking system. (g) Notwithstanding anything in this Chapter to the contrary, the City reserves the right to reject any or all applications, at any time in the review process, if it determines it would be in the best interest of the City, taking into account the health, safety and welfare of the community. (h) The City Manager may promulgate additional rules or policies to establish supplemental or more detailed scoring categories, with respective scoring points, under any one or all of the criteria listed hereinabove, prior to the commencement of the City accepting any applications.
(i) The City Manager’s decision as to the selection of the prevailing candidates shall be final and not subject to appeal.
(j) Being issued a Notice of Selection does not constitute a land use entitlement and does not satisfy the requirements of securing a technical permits for all construction and structural alterations, including building, electrical, plumbing, and mechanical permits, undergoing and passing all building and fire intermittent and final inspections, and securing any other required permits, licenses, or reviews as may be necessary by the relevant departments or government agencies in charge of said permits. Nor does it guarantee that the plans submitted via the application process meet the standards or requirements in the Fontana Zoning Ordinance, or any building or fire codes, laws, rules or regulations, or any other permit requirement from other local or state departments or agencies.
(k) Applicants shall have no right to a Commercial Cannabis Permit until a permit is actually issued, and then only for the duration of the permit’s term. Each applicant assumes the risk that, at any time prior to the issuance of a permit, the City Council may terminate or delay the program created under this Chapter.
(l) If an application is denied at any phase, in the event that the City is receiving new applications, a new application may not be filed for one (1) year from the date of the denial. (m) Prior to operating a Commercial Cannabis Business, each person awarded a Commercial Cannabis Permit shall be required to pay a permit fee established by resolution of the City Council, to cover the costs of administering the Commercial Cannabis Permit program created in this Chapter. They shall also provide a Security deposit or bond to in an amount established by the City Council to be used by the City in the event City finds it necessary to seek code enforcement or legal assistance to ensure compliance with this Chapter and state cannabis laws.

Sec. 33-10 Expiration of Commercial Cannabis Permits.

Each Commercial Cannabis Permit issued pursuant to this Chapter shall expire three (3) years after the date of its issuance. Commercial Cannabis Permits may be renewed annually as provided in this Chapter.

Sec. 33-11 Revocation of Permits.

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(a) The following are grounds for revocation of a Commercial Cannabis Permit:
(1.) The Commercial Cannabis Business is not operational within eighteen (18) months of permit issuance. This timeframe may be extended at the discretion of the City Manager or designee.
(2.) Failure of a permittee to comply with any requirement imposed by the provisions of this Code, including but not limited to any rule, regulation, condition or standard adopted pursuant to this Chapter, or any term or condition imposed on the Commercial Cannabis Permit, or any provision of state law;
(3.) Revocation of a state license held by a Responsible Person or permittee of a Commercial Cannabis Permit issued by the City;
(4.) If the Permittee, its owner(s), manager(s) or a Responsible Person, within the past three years has been sentenced or had a judgment issued in a criminal or civil court proceeding, or has been sanctioned or fined for, enjoined from, or found guilty of or pled guilty or no contest to a charge for engaging in a Commercial Cannabis Activity in the state without the necessary permits and approvals from the applicable state or local jurisdictions;
(5.) Conviction within the past 10 years of a Responsible Person, including a plea of guilty or no contest, to any the following offenses shall be grounds for revocation of a Commercial Cannabis Permit issued by the City:
(i.) A violent felony, as specified in Section 667.5(c) of the Penal Code. (ii.) A serious felony, as specified in Section 1192.7(c) of the Penal Code.
(iii.) A felony involving fraud, deceit, or embezzlement. (iv.) A felony for hiring, employing, or using a minor in transporting, carrying, selling, giving away, preparing for sale, or peddling, any controlled substance to a minor; or selling, offering to sell, furnishing, offering to furnish, administering, or giving any controlled substance to a minor.
(v.) A felony for drug trafficking with enhancements pursuant to Section 11370.4 or 11379.8 of the Health and Safety Code.
(vi.) A felony or misdemeanor involving the illegal possession for sale, sale, manufacture, transportation, or cultivation of a controlled substance occurring after January 1, 2016.

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(b) If the City Manager determines that a ground for revocation of a Commercial Cannabis Permit exists, the City Manager shall serve written notice of revocation to the Permittee or Responsible Person. The notice may be served on the recipient either personally or by certified first class mail to the address listed on the application. The notice must state the grounds for revocation, the effective date of the decision, and that the permittee has a right to an evidentiary appeal hearing to challenge the revocation decision.
(c) The permittee may appeal a revocation decision within 15 days of the date of the notice of revocation. To exercise the right to appeal, the permittee must file with the City Clerk written basis for the appeal, including evidence relating to the grounds for revocation, and the applicable appeal fee. The appeal will be heard by the City Council in accordance with Section 33-14. If no timely appeal is filed, the City Manager’s decision will be final 15 days after the date on the notice of revocation. If a timely appeal is filed in accordance with this Chapter, then the effective date of the notice is stayed until a decision is made after the hearing on the appeal.

Sec. 33-12 Renewal Applications.
(a) An application for renewal of a Commercial Cannabis Permit and renewal fee shall be filed with the City Manager’s office prior to, but not more than 120 days before, the expiration date of an active and current permit.
(b) The applicant shall pay a fee in an amount to be set by the City Council to cover the costs of processing the renewal permit application, together with any costs incurred by the City to administer the program created under this Chapter.
(c) Any permittee submitting a renewal application less than sixty calendar days before permit expiration may be required to pay a late renewal application fee, as established by resolution of the City Council.
(d) To ensure on-going compliance with the initial screening criteria, the renewal application shall be required to contain all the information required for new applications. (e) An application for renewal of a Commercial Cannabis Permit may be denied if any of the following exists:
(1.) Any of the grounds for denial of an application or revocation of a permit. (2.) The Commercial Cannabis Permit is suspended or revoked at the time of the renewal application submittal.
(3.) The permittee fails or is unable to renew its State of California license. (4.) The permittee made a false, misleading, or fraudulent statement or omission of fact in the renewal application.
(f) The City Manager is authorized to make all decisions concerning the issuance of a renewal permit. In making the decision, the City Manager is authorized to impose additional conditions to a renewal permit, if it is determined to promote compliance with state or local laws ATTACHMENT NO. 1
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and regulations or otherwise to preserve the public health, safety or welfare. Prior to renewal of a permit, the City Manager may audit expenses resulting in an adjustment to the annual fee. Appeals of the decision of the City Manager shall be handled pursuant to the provisions of section 33-14 of this Chapter.
(g) If a renewal application is denied, the permittee may file a new application pursuant to this Chapter no sooner than one year from the date of the rejection and only if and when the City is receiving new applications. If a renewal application is denied, the City Manager may issue qualifying applicants the available permit in the order of highest ranked applicants.

Sec. 33-13 Effect of State License Suspension, Revocation, or Termination. (a) Suspension of a license issued by the State of California, or by any of its departments or divisions, shall immediately suspend the ability of a Commercial Cannabis Business to operate within the City, unless and until the State of California, or its respective department or division, reinstates or reissues the State license. (b) Should the State of California, or any of its departments or divisions, revoke or terminate the license of a Commercial Cannabis Business operating in the City, such revocation or termination shall also revoke or terminate the ability of a Commercial Cannabis Business to operate within the City.
(c) Permittee shall notify the City Manager in writing within five days of suspension or revocation of a license issued by the State of California, or by any of its departments or divisions.

Sec. 33-14 Appeals.
(a) Notice of and Time to Appeal and Effect of Timely Appeal. (1.) A permittee of a Commercial Cannabis Business may appeal a decision of the City Manager made pursuant to this Chapter to suspend, revoke, condition, or not renew a permit. Appeals are made by filing with the City Clerk a written Notice of Appeal within fifteen calendar days from the date of service of the notice issued by the City Manager of his or her decision.

Date of service shall mean the date when a notice or written decision was personally delivered to the permittee or the date when the notice was sent by certified, first class mail. Unsuccessful applicants have no right of appeal.
(2.) The Notice of Appeal shall be in writing and signed by the person making the appeal (“appellant”), or his or her legal representative, and shall contain the following:
(i.) Name, address, and telephone number of the appellant. (ii.) Specify the decision, action, or a particular part thereof, made by the City Manager that is the subject of the appeal.

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(iii.) Include a true and correct copy of the notice of decision issued by the City Manager which is the subject of the appeal.
(iv.) State with specificity the reasons and grounds for making the appeal, including, but not limited to, a statement of facts upon which the appeal is based in sufficient detail to enable the City Council, or any appointed hearing officer, to understand the nature of the controversy, the basis of the appeal, and the relief requested. (v.) All documents or other evidence pertinent to the appeal that the appellant requests the considered at the appeal hearing. (vi.) An appeal fee, as established by resolution of the City Council. (3.) Failure to file a timely Notice of Appeal constitutes a waiver of the right to appeal rendering the City Manager’s notice of revocation, nonrenewal, suspension or other action final and binding. If no appeal is timely filed in the event of a decision of nonrenewal, the Commercial Cannabis Permit shall expire at the conclusion of the term of the permit. If no appeal is timely filed in the event of a decision of suspension or revocation, the suspension or revocation shall become effective upon the expiration of the period for filing a written Notice of Appeal.
(4.) In the event a written Notice of Appeal is timely filed, the nonrenewal, suspension, revocation, or other properly appealed action shall not become effective until a final decision has been rendered and issued by the City Council, or appointed hearing officer or body.
(b) Review by City Council; Appeal Hearing and Proceedings. (1.) (1) The City Council or its appointed hearing officer will decide timely appeals. The appellant(s) listed on the written Notice of Appeal shall be notified in writing of the date, time, and location of the hearing at least ten calendar days before the date of the hearing.
(2.) All requests by an appellant to continue a hearing must be submitted to the City Clerk in writing no later than three business days before the date scheduled for the hearing. The City Council or its appointed hearing officer or body may continue a hearing for good cause or on its own motion. (3.) The City Council shall preside over the hearing on appeal, or at the City Council’s discretion, the City Council may appoint a hearing officer to conduct the hearing.
(4.) At the date, time and location set forth in the notice of appeal hearing, the City Council, or its appointed hearing officer or body, shall hear and consider the testimony and any documentary evidence properly submitted for consideration.

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(5.) Appeal hearings are informal, and formal rules of evidence and discovery do not apply. However, rules of privilege shall be applicable to the extent they are permitted by law, and irrelevant, collateral, undue, and repetitious testimony may be excluded. The City Manager’s decision will be upheld only if a preponderance of the evidence supports the nonrenewal, suspension, or revocation.
(c) Final Decision.
(1.) Following the conclusion of the appeal hearing, the City Council, or its appointed hearing officer or body, shall determine if any ground exists for the nonrenewal, suspension or revocation of a Commercial Cannabis Permit or other action subject to appeal under this Chapter. If the City Council, or its appointed hearing officer or body, determines that no grounds for denial, nonrenewal, suspension, revocation, or other action exist, the City Manager’s notice of decision shall be deemed vacated. If the City Council, or its appointed hearing officer or body, determines that one or more of the reasons or grounds enumerated in notice of decision exists, the City Manager’s decision may be affirmed or modified.
(2.) The decision of the City Council, or its appointed hearing officer or body, is the final administrative decision and subject to judicial review within the time limits set forth in California Code of Civil Procedure Section 1094.6.

Sec. 33-15 Commercial Cannabis Permit – Nonassignable and Nontransferable. (a) A Commercial Cannabis Permit issued under this Chapter is valid only as to the permittee and approved location and is nontransferable to other persons, projects or locations. (b) No Commercial Cannabis Permit may be sold, transferred or assigned by a permittee, or by operation of law, to any other person, persons, or entities. Any such sale, transfer, or assignment, or attempted sale, transfer, or assignment shall be deemed to constitute a voluntary surrender of such permit and such permit shall thereafter be null and void, except as set forth in this Chapter.

Sec. 33-16 Change in Location of Commercial Cannabis Business.

No permittee shall change the location of the Commercial Cannabis Business specified in the Commercial Cannabis Permit until any such change of location is approved by the City Council.

The proposed location shall meet all the requirements under this Code, including but not limited to this Chapter and the Fontana Zoning Ordinance. The proposed location shall be reviewed and evaluated using the same review criteria and procedure as used and relied on under the initial application process, including a public meeting.

Sec. 33-17 Changes in Ownership of Commercial Cannabis Business. (a) No permittee shall transfer ownership or control of a Commercial Cannabis Business unless and until the proposed new owner submits all required application materials and ATTACHMENT NO. 1
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pays all applicable fees, and the proposed new owner independently meets the requirements of this Chapter such as to be entitled to the issuance of an original Commercial Cannabis Permit. (b) A substantial change in the ownership of a permitted business entity (changes that result in a cumulative change of 10% or more of the original ownership or if adding a new Responsible Person), must be approved by the City Manager after completion of the application process under this Chapter, including evaluation under any applicable review criteria used and relied upon during the original review and selection process. (c) A permittee may change the form of business entity without applying for a new Commercial Cannabis Permit provided that either:
(1.) The ownership of the new business entity is the same as the original permit holder business entity; or
(2.) If the original permittee is an unincorporated association, mutual or public benefit corporation, agricultural or consumer cooperative corporation and subsequently transitions to or forms a new business entity as allowed under the MAUCRSA, provided that the Board of Directors (or in the case of an unincorporated association, the individual(s) listed on the City permit application) of the original permittee entity are the same as the new business entity.
(d) Although a new Commercial Cannabis Permit is not required in the two circumstances listed in this subsection (c), the permittee shall notify the City in writing of the change within ten (10) calendar days of the change and obtain an amendment to the original Commercial Cannabis Permit.
(e) No permittees may avail themselves of the provisions of this section if the City Manager, or his or her designee, has notified the permittee that the Commercial Cannabis Permit has been or may be suspended, revoked, or not renewed.
(f) Failure to comply with this section is grounds for revocation of a Commercial Cannabis Permit.
(g) Any attempt to transfer a Commercial Cannabis Permit either directly or indirectly in violation of this section is hereby declared void and such a purported transfer is a ground for revocation of the permit.

Sec. 33-18 Change in Ownership when the Permittee is a Partnership or Corporation. (a) One or more proposed partners in a partnership granted a Commercial Cannabis Permit may make application to the City Manager, together with the fee established by the City Council, to amend the original application, providing all information as required for partners in the first instance and, upon approval thereof, the transfer of the interests of one or more partners to the proposed partner or partners may occur. If the permittee is a partnership and one or more of the partners should die, one or more of the surviving partners may acquire, by purchase or otherwise, the interest of the deceased partner or partners without effecting a surrender or ATTACHMENT NO. 1
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termination of such permit, and in such case, the Commercial Cannabis Permit, upon notification to the City Manager, shall be placed in the name of the surviving partners. (b) If the Commercial Cannabis Permit is issued to a corporation, stock may be sold, transferred, issued, or assigned to stockholders who have been named on the application. If 51% or more of any stock is sold, transferred, issued, or assigned to a person not listed on the application as a stockholder, the permit shall be deemed terminated and void; provided, however, the proposed stock purchaser transferee may submit to the City Manager, together with the fee established by the City Council, an application to amend the original application providing all information as required for stockholders in the first instance under this Chapter, and, upon approval thereof, the transfer may then occur.
(c) All changes in ownership as described in this section, with the exception of transfers occurring due to death of a partner or stockholder, must be submitted to the City within thirty calendar days, along with any organizational documents reflecting the changes.

Sec. 33-19 Changes in Name Only.
(a) The permittee shall advise the City Manager within fifteen calendar days of all changes of name or designation under which the business is to be conducted. The change of name or designation shall be accompanied by a non-refundable fee established by resolution of the City Council to defray the costs of reissuance of the Commercial Cannabis Permit. (b) No permittee shall operate, conduct, manage, engage in, or carry on the business of a Commercial Cannabis Business under any name other than the name of the Commercial Cannabis Business specified in the permit.

Sec. 33-20 Alterations to Approved Facility.

All required City approvals, plan approvals, and permits must be obtained before causing, allowing, or permitting alterations to or extensions or expansions of the existing building(s), structure(s), or portions thereof, approved as a location for a Commercial Cannabis Business.

Alterations, extensions, or expansions shall comply with all applicable laws, regulations and standards, including those concerning building and fire safety, as well as occupancy.

Sec. 33-21 Operating Agreement Required.

Prior to issuing the permit and commencing operations, a Permittee of a Commercial Cannabis Business must enter into a fully executed operating agreement with appropriate fiscal mitigation measures, in a form satisfactory to City Manager and City Attorney. City Manager shall be authorized to execute a the operating agreement.

Sec. 33-22 City Business License.

Prior to commencing operations, a Permittee of a Commercial Cannabis Business shall obtain a City business license, in accordance with Fontana City Code Section 50-502, et seq.

Sec. 33-23 Permits and Inspections Prior to Commencing Operations.

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Prior to commencing operations, a Commercial Cannabis Business shall be subject to a mandatory inspection of the premises, and must obtain all required building permits and approvals which would otherwise be required for any business of the same size and intensity operating in that zone.

The permittee shall also obtain all required Building Safety Department approvals, Fire Department approvals, Health Department approvals and any other permit or approval required by this code or applicable law.

Sec. 33-24 City Discretion and Limitations on City’s Liability. (a) Commercial Cannabis Business applicants and operators shall sign an acknowledgment and waiver, in a form prepared by the City Attorney, in which they accept that the City has complete discretion to award a Commercial Cannabis Business permit and to continue or ban commercial cannabis operations in the future.
(b) To the fullest extent permitted by law, the City shall not assume any liability whatsoever with respect to having issued a Commercial Cannabis Permit or otherwise approving the operation of any Commercial Cannabis Business. As a condition to the approval of any Commercial Cannabis Permit, the applicant shall be required to meet all of the following conditions before they can receive the Commercial Cannabis Permit:
(1.) They must execute an agreement, in a form approved by the City Attorney, agreeing to indemnify, defend at the applicant’s sole cost and expense, and hold harmless the City, and its officers, officials, employees, representatives, attorneys, and agents from any and all claims, losses, damages, injuries, liabilities or losses which arise out of, or which are in any way related to the City’s issuance of the Commercial Cannabis Permit, the City’s decision to approve the operation of the Commercial Cannabis Business or activity; the process used by the City in making its decision to issue, approve or deny a permit; or the alleged violation of any federal, state or local laws by the Commercial Cannabis Business or any of its officers, employees or agents.
(2.) Maintain insurance at coverage limits, and with conditions thereon determined necessary and appropriate from time to time by the City’s Risk Manager.
(3.) Reimburse the City for all costs and expenses, including but not limited to attorney fees and costs and court costs, which the City may be required to pay as a result of any legal challenge related to the City’s approval of the applicant’s Commercial Cannabis Permit, or related to the City’s approval of the applicant’s Commercial Cannabis Activity. The City may, at its sole discretion, participate at its own expense in the defense of any such action, but such participation shall not relieve any of the obligations imposed hereunder.

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(c) The terms and provisions as enumerated in this section related to indemnification and limitation on the City’s liability shall be an explicit term of a Commercial Cannabis Permit that an applicant and a permittee shall agree to in order for same to be valid.

Sec. 33-25 Records and Recordkeeping.
(a) Each owner and operator of a Commercial Cannabis Business shall maintain accurate books and records in an electronic format, detailing all of the revenues and expenses of the business, and all of its assets and liabilities. On no less than an annual basis, or at any time upon reasonable request of the City, each Commercial Cannabis Business shall file a sworn statement detailing the Commercial Cannabis Business’ revenue and number of sales during the previous twelve-month period (or shorter period based upon the timing of the request), provided on a per-month basis. The statement shall also include gross revenues for each month, and all applicable taxes paid or due to be paid. On an annual basis, each owner and operator shall submit to the City a financial audit of the business’ operations conducted by an independent certified public accountant. Each permittee shall be subject to a regulatory compliance review and financial audit as determined by the City Manager, or his or her designee. (b) Each owner and operator of a Commercial Cannabis Business shall maintain a current register of the names and the contact information (including the name, address, and telephone number) of anyone owning or holding an interest in the Commercial Cannabis Business, and separately of all the officers, managers, employees, agents and volunteers currently employed or otherwise engaged by the Commercial Cannabis Business. The register required by this paragraph shall be provided to the City Manager upon request. (c) All records collected by a permittee pursuant to this Chapter shall be maintained for a minimum of seven (7) years and shall be made available by the permittee to the agents or employees of the City upon request, except that private medical records shall be made available only pursuant to a properly executed search warrant, subpoena, or court order. (d) Subject to any restrictions under the Health Insurance Portability and Accountability Act (HIPAA) regulations, each Commercial Cannabis Business shall allow City officials to have access to the business’s books, records, accounts, together with any other data or documents relevant to its permitted commercial cannabis activities, for the purpose of conducting an audit or examination. Books, records, accounts, and any and all relevant data or documents will be produced no later than twenty-four (24) hours after receipt of the City’s request, unless otherwise stipulated by the City. The City may require the materials to be submitted in an electronic format that is compatible with the City’s software and hardware.

Sec. 33-26 Restriction on Alcohol and Tobacco Sales, Dispensing or Consumption.

No person shall cause or permit the sale, dispensing, or consumption of alcoholic beverages or tobacco products on or about the premises of a Commercial Cannabis Business.

Sec. 33-27 Fees and Charges.

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(a) All related fees and charges associated with the operation of a Commercial Cannabis Business as referenced or determined by this Chapter shall be established by Resolution of the City Council, which may be amended from time to time. (b) No person may commence or continue any Commercial Cannabis Activity in the City, without timely paying in full all fees and charges required for the operation of a Commercial Cannabis Business, including any charges in-lieu of tax or tax imposed pursuant to this Chapter, voter approval, or by operating agreement.
(c) All Commercial Cannabis Businesses authorized to operate under this Chapter shall pay all sales tax, use tax, business tax and other applicable taxes, and all license, registration, and other fees required under federal, state and local law. Each Commercial Cannabis Business shall cooperate with the City with respect to any reasonable request to audit the Commercial Cannabis Business’ books and records for the purpose of verifying compliance with this section, including but not limited to a verification of the amount of fees, costs or taxes required to be paid during any period.

Sec. 33-28 Commercial Cannabis Businesses Permissible Zoning Districts.

Commercial Cannabis Businesses may be permitted to engage in retail and delivery in the following zoning districts:
(a) C-1 (Community Commercial),
(b) C-2 (General Commercial),
(c) The following Form Based Code districts:
(1.) Downtown Gateway
(2.) Downtown Retail
(3). Route 66 Gateway
(4.) Sierra Gateway
(5.) Valley Gateway
(c) The following Specific Plan areas:
(1.) Arboretum (Activity Center);
(2.) Citrus Heights North (Neighborhood Commercial);
(3.) Empire Center (Promotional Center);
(4.) Hunter’s Ridge (Neighborhood Commercial);
(5.) Northgate (Neighborhood Commercial);
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(6.) Promenade (Commercial);
(7.) Providence Point (General Commercial);
(8.) Rancho Fontana (Commercial);
(9.) Sierra Lakes (Commercial Retail, Village Center, Town Center); (10.) Southridge Village (Neighborhood Commercial);
(11.) Summit Heights (Regional Mixed Use);
(12.) Ventana at Duncan Canyon (Commercial);
(13.) Walnut Village (The Corner);
(14.) West End (Commercial VC and CC); and
(15.) Westgate (Commercial Retail).

Sec. 33-29 Operating Requirements Applicable to all Commercial Cannabis Businesses. (a) No Commercial Cannabis Business may be located within a 600-foot radius of a school providing instruction in kindergarten or any grades 1 through 12, a day care center, a park, a Youth and Recreation Center, which is in lawful existence at the time a successful application for a Commercial Cannabis Permit was submitted to the City, or the City boundaries. The distance specified in this section shall be the horizontal distance measured in a straight line from the property line of the school or other protected use to the closest property line of the lot on which the Commercial Cannabis Business is located, without regard to intervening structures. (b) Commercial Cannabis Businesses may operate only during the hours established by resolution of the City Council and as specified in the Commercial Cannabis Permit issued by the City.
(c) Cannabis shall not be consumed by anyone on the premises of any Commercial Cannabis Business, unless explicitly authorized by a City ordinance, resolutions, rules, regulations or pursuant to explicit terms of a Commercial Cannabis Permit. (d) No cannabis or cannabis products shall be visible from the exterior of any property issued a Commercial Cannabis Permit or on any of the vehicles owned or used as part of the Commercial Cannabis Business. No outdoor storage of cannabis or cannabis products is permitted at any time.
(e) Each Commercial Cannabis Business shall have in place a point-of-sale or management inventory tracking system to track and report on all aspects of the Commercial Cannabis Business including, but not limited to, such matters as cannabis tracking, inventory data, gross sales (by weight and by sale) and other information which may be deemed necessary by the City. The Commercial Cannabis Business shall ensure that such information is compatible with ATTACHMENT NO. 1
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the City’s record-keeping systems. In addition, the system must have the capability to produce historical transactional data for review. Furthermore, any system selected must be approved and authorized by the City Manager prior to being used by the permittee. (f) All cannabis and cannabis products sold, tested, distributed or manufactured shall be cultivated, manufactured, and transported by licensed facilities that maintain operations in full conformance with the State of California and local regulations. (g) No physician shall be permitted in any Commercial Cannabis Business at any time for the purpose of evaluating patients for the issuance of a medicinal cannabis recommendation or medicinal cannabis identification card where applicable. (h) All commercial cannabis retailers shall have a manager on the premises at all times during hours of operation.
(i) Each Commercial Cannabis Business shall provide the City Manager with the name, telephone number (both landline and mobile) of an on-site manager or owner to whom emergency notice may be provided at any hour of the day. (j) Signage and Notices:
(1.) In addition to the requirements otherwise set forth in this section, business identification signage for a Commercial Cannabis Business shall conform to the requirements of state law and the City Code, including, but not limited to, the requirements for a City sign permit and applicable zoning laws regulating signs.
(2.) Each Commercial Cannabis Business premises shall be visibly posted with clear and legible notices indoors indicating that smoking, ingesting, or otherwise consuming cannabis on the premises or in the areas adjacent to the Commercial Cannabis Business is prohibited.
(k) Persons under the age of 21 years shall not be allowed on the premises of a Commercial Cannabis Business. It shall be unlawful and a violation of this Chapter for any person to employ any person at a Commercial Cannabis Business who is not at least 21 years of age. (l) Odor control devices and techniques shall be incorporated in all Commercial Cannabis Businesses to ensure that odors from cannabis are not detectable off-site. Commercial Cannabis Businesses shall provide a sufficient odor absorbing ventilation and exhaust system so that odor generated inside the Commercial Cannabis Business that is distinctive to its operation is not detected outside of the facility, anywhere on adjacent property or public rights-of-way, on or about the exterior or interior common area walkways, hallways, breezeways, foyers, lobby areas, or any other areas available for use by common tenants or the visiting public, or within any other unit located inside the same building as the Commercial Cannabis Business. As such, Commercial Cannabis Businesses must install and maintain the following equipment, or any other equipment which the City Engineer or Public Works Director or Building Official determines is a more effective method or technology:

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33 (1.) An exhaust air filtration system with odor control that prevents internal odors from being emitted externally;
(2.) An air system that creates negative air pressure between the Commercial Cannabis Business’s interior and exterior, so that the odors generated inside the Commercial Cannabis Business are not detectable on the outside of the Commercial Cannabis Business.
(m) The original Commercial Cannabis Permit issued by the City pursuant to this Chapter, the City issued business license, and the state-issued Seller’s Permit shall be posted inside the Commercial Cannabis Business in a location readily-visible to any City, County or State employee, official, or agent authorized to enforce the City’s Code, or applicable cannabis-related laws.
(n) The permittee of a Commercial Cannabis Business shall prohibit loitering by persons outside on the premises, and is required to enforce this prohibition within its premises and adjacent public areas, including cooperating with the City’s law enforcement agency dispatched to enforce same. The placement and use of no loitering signs shall be included as part of any submittal and depicted on a business or operational plan. (o) Prior to the operation of a Commercial Cannabis Business, the person intending to establish a Commercial Cannabis Business must first obtain all applicable planning, zoning, building, and other applicable permits and approvals from the relevant City or County department or division which may be applicable to the zoning district in which such Commercial Cannabis Business intends to establish and to operate.
(p) Permittees shall adhere to all applicable operating procedures, including those submitted as part of the initial application process, and pursuant to those established in applicable State of California laws, regulations, and policies.
(q) Permittees must comply with all applicable local, state and federal laws and regulations pertaining to persons with disabilities.
(r) No Commercial Cannabis Business may discriminate or exclude patrons in violation of local, state and federal laws and regulations. (s) Each Commercial Cannabis Business shall provide the name, telephone number, and email address of a community relations contact to whom notice of problems associated with the Commercial Cannabis Business can be provided. Each Commercial Cannabis Business shall also provide this information to all businesses and residences located within 600 feet of the Commercial Cannabis Business.
(t) The owner, manager, and community relations representative from each Commercial Cannabis Business holding a Commercial Cannabis Permit shall, if requested by the City Manager, attend a quarterly meeting with the interested parties to discuss costs, benefits, and other community issues arising as a result of implementation of this Chapter.

Sec. 33-30 Additional Operating Regulations for Storefront Retail.

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34 (a) No commercial cannabis retailer offering storefront purchase shall be located within 600 feet from another commercial cannabis storefront retailer. The distance specified in this section shall be the horizontal distance measured in a straight line from the property line of one commercial cannabis storefront retailer to the closest property line of the lot on which another Commercial Cannabis Business is located without regard to intervening structures. (b) Prior to dispensing medicinal cannabis or medicinal cannabis products to any person, the commercial medicinal cannabis business shall obtain verification from the recommending physician that the person requesting medicinal cannabis or medicinal cannabis products is a qualified patient, and shall maintain a copy of the physician recommendation or Identification Card as described in Health and Safety Code Sections 11362.71 through 11362.77, as may be amended from time to time, on site for period of not less than seven years. (c) Storefront retailers also providing delivery shall comply with the requirements pertaining to deliveries in Section 33-30 of this Chapter. (d) Commercial cannabis retailers selling medicinal cannabis shall verify the age and all necessary documentation of each customer to ensure the customer is not under the age of 18 years and that the potential customer has a valid doctor’s recommendation. Adult use retailers shall verify the age of all customers to ensure persons under the age of 21 are not permitted on the premises. Entrances into the retailer shall be locked at all times with entry strictly controlled. A “buzz-in” electronic/mechanical entry system shall be utilized to limit access to and entry to the retailer to separate it from the reception or lobby area. (e) Retailers may have only that quantity of cannabis and cannabis products reasonably anticipated to meet the demand readily available for sale on-site in the retail sales area of the retailer.
(f) All restroom facilities shall remain locked and under the control of management. (g) A cannabis storefront retailer shall notify qualified patients, primary caregivers, and customers (verbally or by written agreement) and by posting of a notice or notices conspicuously in at least 15 point type within the permitted premises that state as follows:
(1.) “The sale or diversion of cannabis or cannabis products without a permit issued by the City of Fontana is a violation of state law and the Fontana City Code.”
(2.) “Secondary sale, barter, or distribution of cannabis or cannabis products purchased from a Permittee is a crime and can lead to arrest.” (3.) “Patrons must not loiter in or near these premises and may not consume cannabis or cannabis products in the vicinity of this business or in any place not lawfully permitted. These premises and vicinity are monitored to ensure compliance.”
(4.) “Warning: the use of cannabis or cannabis products may impair a person’s ability to drive a motor vehicle or operate heavy machinery.” ATTACHMENT NO. 1
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35 (5.) “CALIFORNIA PROP. 65 WARNING: Smoking of cannabis and cannabis-derived products will expose you and those in your immediate vicinity to cannabis smoke. Cannabis smoke is known by the State of California to cause cancer.”
(6.) Waste Management. When managing cannabis goods, chemicals, hazardous or dangerous waste, Retailers are obligated to obtain all required permits, licenses, or other clearances and comply with all orders, laws, regulations, or other requirements of other regulatory agencies, including, but not limited to, local health agencies, regional water quality control boards, air quality management districts or air pollution control districts, local land use authorities, and fire authorities. The sale of cannabis waste is prohibited. Retailers shall maintain accurate and comprehensive records at the premises regarding cannabis waste that accounts for, reconciles, and provides evidence of, all activity related to the generation and disposal or deposition of cannabis waste.

Sec. 33-31 Additional Operating Requirements for Cannabis Delivery. (a) Permittee shall maintain a database and provide a list of the individuals and vehicles authorized to conduct transportation on behalf of the cannabis store-front retail business pursuant to Commercial Cannabis Permit issued by the City.
(b) Individuals authorized to conduct transportation on behalf of the cannabis storefront retail business shall be at least 21 years old and have a valid California Driver’s License . (c) Individuals transporting cannabis or cannabis products on behalf of the cannabis distribution business pursuant to a Commercial Cannabis permit shall maintain a physical copy of the transportation request and invoice and shall make them available upon request of agents or employees of the City requesting documentation.
(d) During transportation, the individual conducting transportation on behalf of the cannabis retail business shall maintain a copy of the Commercial Cannabis Permit and shall make it available upon the request of agents or employees of the City requesting documentation. (e) Cannabis or cannabis products shall be transported only in a vehicle that is (i) insured at or above the legal requirement in California, (ii) capable of securing (locking) the cannabis or cannabis products during transportation, and (iii) capable of being temperature controlled if perishable cannabis products are being transported.

Sec. 33-32 Promulgation of Regulations, Standards and Other Legal Duties. (a) The City Manager may promulgate additional or supplemental operating requirements applicable to all Commercial Cannabis Businesses to promote the public’s safety, welfare or health.

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36 (b) The City Manager may establish additional rules, regulations, policies and standards consistent with this Chapter governing the application review and approval process; the issuance, denial or renewal of Commercial Cannabis Permits; the ongoing operation of Commercial Cannabis Businesses and the City's oversight of them; and concerning any other subject determined to carry out the intent and purposes of this Chapter, including without limitation, establishing time periods to solicit applications pursuant to this Chapter, and corresponding deadlines for timely submittals of applications to the City. (c) Additional rules, regulations, policies and standards shall be published on the City’s website and maintained and available to the public in the Office of the City Clerk. (d) Rules, regulations, policies, and standards promulgated by the City Manager shall become effective upon date of publication. Commercial Cannabis Businesses shall be required to comply with all state and local laws and regulations, including but not limited to any rules, regulations or standards adopted by the City Manager.

Sec. 33-33 Fees Deemed Debt to City.

The amount of any fee, cost or charge imposed pursuant to this Chapter shall be deemed a debt to the City that is recoverable in any manner authorized by this Code, state law, or in any court of competent jurisdiction.

Sec. 33-34 Responsibility for Violations.

Permittees, their Responsible Persons and managers shall be responsible for violations of the laws of the State of California or of the City Municipal Code, whether committed by the permittee, or any employee or agent of the permittee, which violations occur on the premises of the Commercial Cannabis Business whether or not the violations occur within the permittee’s presence. Any act or omission of any employee constituting a violation of the provisions of this Chapter shall be deemed the act or omission of the permittee for purposes of determining whether the permit shall be revoked, suspended, or not renewed.

Sec. 33-35 Inspections.
(a) The City Manager, Police Chief, Fire Marshal, Code Compliance Representative and their designees charged with enforcing the provisions of the City Code may enter the location of a Commercial Cannabis Business at any time during regular business hours, without notice, and inspect the location of any Commercial Cannabis Business as well as any recordings and records required to be maintained pursuant to this Chapter or under applicable provisions of state law. (b) It is unlawful for any person having responsibility over the operation of a Commercial Cannabis Business, to impede, obstruct, interfere with, or otherwise not to allow, the City to conduct an inspection, review or copy records, recordings or other documents required to be maintained by a Commercial Cannabis Business under this Chapter or under state or local law.

It is also unlawful for a person to conceal, destroy, deface, damage, or falsify any records, recordings or other documents required to be maintained by a Commercial Cannabis Business under this Chapter or under state or local law.

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37 Sec. 33-36 Violations and Penalties.
(a) (a) Any person who violates any provision of this Chapter is guilty of a misdemeanor and subject to the penalties in Section 1-7 of this Code. (b) It is unlawful for any Permittee of a Commercial Cannabis Business, or its Responsible Person, manager or any other person employed by or working in concert with them or on their behalf, whether directly or indirectly, to continue to operate, conduct, or maintain a Commercial Cannabis Business after the City-issued Commercial Cannabis Permit has been suspended or revoked, or not renewed, pursuant to a non-contested notice of decision issued by the City Manager, or after the issuance of a final order after an appeal hearing. (c) Any Commercial Cannabis Business operated, conducted, or maintained contrary to the provisions of this Chapter is unlawful and a public nuisance, and the City may, in addition to or in lieu of prosecuting a criminal action, commence an administrative or civil action(s). The City may conduct proceeding(s), for the abatement, removal and enjoinment thereof, in the manner provided by law, and may take such other steps and may apply to such court or courts as may have jurisdiction to grant such relief to abate, cause cessation, or remove such Commercial Cannabis Business and restrain and enjoin any person from operating, conducting or maintaining a Commercial Cannabis Business contrary to the provisions of this Chapter. (d) Each person shall be guilty of a separate offense for each and every day, or part thereof, during which a violation of this Chapter, or of any law or regulation referenced herein, is allowed, committed, continued, maintained or permitted by such person, and shall be punishable accordingly.
(e) Whenever in this Chapter any act or omission is made unlawful, it shall include causing, permitting, aiding, abetting, suffering, or concealing the fact of such act or omission. (f) The penalties set forth herein are cumulative and in addition to all other remedies, violations, and penalties set forth in this Chapter, the City’s Code, or in any other ordinance, laws, rules or regulations of the City, County, or the State of California.

Sec. 33-37 Effect on Other Ordinances.

Except as designated in this Chapter, the provisions of this Chapter shall control for regulation of Commercial Cannabis Businesses as defined herein if other provisions of the Code conflict therewith. This Chapter shall not, however, relieve any person of his or her duty to comply with such laws if additional obligations, duties, or prohibitions are imposed thereby.

Sec. 33-38 Whistleblower Protection.

It shall be unlawful for a permitee of a Commercial Cannabis Business, or its Responsible Person, manager or any other person employed by the permitee, to discriminate in any manner or take adverse action against any Employee in retaliation for exercising rights protected under this section. These rights include, but are not limited to: the right to file a complaint or inform any person about any party’s alleged noncompliance with this chapter; and the right to inform any person of his or her potential rights under this section and to assist him or her in asserting such ATTACHMENT NO. 1
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38 rights. Protections under this section shall apply to any Employee who mistakenly, but in good faith, alleges noncompliance with this chapter. Taking adverse action against an Employee within 90 days of the Employee’s exercise of rights protected under this section shall raise a rebuttable presumption of having done so in retaliation for the exercise of such rights.

Sec. 33-39 Revolving Door Prohibition.
(a) A local elected official, appointed official or any former employee of the City shall not for a period of one year after leaving that office, position or employment, act as an agent or attorney for, consultant or otherwise represent, for compensation, any other person, by making any oral or written communication to the City Council, or any committee, subcommittee, Board, Commission or present member thereof, or any officer or employee of the City, if the appearance or communication is made for the purpose of influencing administrative or legislative action, or influencing any action or proceeding involving issuance, amendment, awarding, or revocation of a permit, license, grant or contract, or the sale or purchase of goods or property, as described in this Chapter.
(b) Subdivision (a) does not apply to an individual who is, at the time of the appearance or communication, an elected official, a board member, officer, or employee of another local government agency or an employee or representative of a public agency and is appearing or communicating on behalf of that agency.

Sec. 33-40 Process Integrity Provision.

All permit applicants listed on the application or any persons lobbying on their behalf shall comply with the Process Integrity Standards adopted by separate Resolution of the City Council. Failure to abide by the Process Integrity Standards may result in disqualification from an existing cannabis permit review process or revocation if it is later determined that the applicant or any person associated with the application or any third party lobbying on their behalf has violated the standards.

Sec. 33-41 Cannabis, personal use.
(a) Outdoor cultivation. A person may not plant, cultivate, harvest, dry, or process cannabis plants outdoors in any zoning district of the City. No use permit, building permit, variance, or any other permit or entitlement, whether administrative or discretionary, shall be approved or issued for any such use or activity.
(b) Indoor cultivation.
(1) A person may not plant, cultivate, harvest, dry, or process cannabis plants inside a private residence, or inside an accessory structure to a private residence located upon the grounds of a private residence, or inside any other enclosed structure within any zoning district of the City. No use permit, building permit, variance, or any other permit or entitlement, whether administrative or discretionary, shall be approved or issued for any such use or activity. (2) To the extent a complete prohibition on indoor cultivation is not permitted under California law, a person may not plant, cultivate, harvest, dry, or process cannabis plants inside a private ATTACHMENT NO. 1
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39 residence, or inside an accessory structure to a private residence located upon the grounds of a private residence, unless the person is issued an indoor cultivation permit by the Director of Planning. A person may not plant, cultivate, harvest, dry, or process cannabis plants inside any enclosed structure within any zoning district of the City which is not either a private residence or an accessory structure to a private residence located upon the grounds of a private residence.

Sec. 33-42 Residential Indoor Cannabis Cultivation.

Purpose. The purpose of this section is to prescribe the requirements and process for the residential indoor cannabis cultivation (RICC) permit. The RICC permit is intended to serve as an instrument of the City's reasonable regulation of residential indoor cannabis cultivation as provided by California Health and Safety Code § 11362.2(b)(1).
(a) Applicability.
(1.) A person may directly or indirectly engage in residential indoor cannabis cultivation only after obtaining and maintaining a valid RICC permit from the City of Fontana.
(2.) A RICC permit authorizes:
(i.) Only one person,
(ii.) To directly or indirectly engage in residential indoor cannabis cultivation for personal use,
(iii.) At only one residence.
(3.) A RICC permit does not authorize:
(i.) Construction or improvements of any structure,
(ii.) A property-at-large for cannabis cultivation,
(iii.) The permit holder or any others to engage in any activity licensed by the State of California under the Business and Professions Code Division 10 “Uniform Controlled Substances Act”, or
(iv.) The following people to directly or indirectly engage in residential indoor cannabis cultivation: the permit holder's family members, cohabitants, guests, future residents, or any other person other than the permit holder.
(4.) A person may not hold more than one RICC permit at a time. Multiple permit holders may be authorized to engage in residential indoor cannabis cultivation at the same residence, but a residence must include no more than one cultivation area, and no residence may cultivate more than six plants in total, regardless of how many permit holders are present.

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40 (b) Review and appellate authority.
(1.) Applications for a RICC permit will be processed and reviewed by the Director of Planning or his or her designee. The Director of Planning may approve or deny an application based on the findings provided in Section 33-42(d), below.
(2.) A decision by the Director of Planning may be appealed to the City Manager or his or her designee by the following parties within 15 days after receipt of the Director of Planning’s final decision:
(i.) The applicant, or
(ii.) Owner(s) or resident(s) of the property.
(c) Application and notice.
(1.) Applications for RICC permit shall be filed with the Planning Division upon such forms and accompanied by such data, information, and fees as may be required by the Planning Division, to ensure a full presentation of the facts.

No application shall be considered by the Planning Commission until the application is determined to be complete and all required fees have been paid to the City.
(i.) Application fees shall be assessed as provided by resolution of the City Council.
(ii.) The City will provide written notification of the complete application to the applicant within thirty (30) calendar days of complete submission, indicating whether the application has been approved or denied.
(d) Findings for approval for an RICC permit. The Director of Planning or his or her designee may approve an application for an RICC permit if the following findings are made:
(1.) The applicant shall be 21 years of age or older.
(2.) The residence shall be the primary dwelling of the applicant; moreover, shall not be used for any of the following activities:
(i.) Day care.
(ii.) Youth center.
(iii.) Group homes.
(iv.) Any facility that does not allow cultivation of cannabis by law or policy.

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41 (e) Cultivation area.
(1.) The cultivation area must be located within the residence or within an accessory structure.
(2.) The cultivation area must not be used or prepared in a manner to cultivate more than six cannabis plants.
(3.) The cultivation area must not be visible from anywhere outside the residence. Any windows, skylight, ventilation, or other opening must be sufficiently covered or opaque as to obscure visibility of the cultivation area from any adjacent property.
(4.) The cultivation area must not produce odors, sounds, or other emissions that are sensible from adjacent properties and may indicate cannabis cultivation. (f) Expiration and renewal.
(1.) A RICC permit expires, if not renewed, one year from the date of approval. (2.) A RICC permit may be renewed, if prior to the expiration, the permit holder:
(i.) Completes forms and submittal materials for renewal as required by the Director of Planning,
(ii.) The permit holder passes an inspection approved by the Director of Planning, and
(iii.) Pays a renewal fee as approved by resolution by City Council. (g) Suspension and termination.
(1.) The City may suspend or terminate a RICC permit at any time for failure to comply with applicable governing regulations.
(2.) If a RICC permit is suspended, the suspension will be effective and the permit holder's cannabis crop may be impounded until the permit holder:
(i.) Demonstrates compliance with the applicable governing regulations, and
(ii.) Pays a fine and renewal fee as approved by resolution by City Council.
(3.) If a RICC permit is terminated, the permit holder's cannabis crop may be impounded. The permit holder may not apply for another RICC permit until the permit holder pays a fine as approved by resolution by City Council.

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42 (4.) A suspension or termination of a RICC permit may be appealed to the City Manager or designee by the permit holder.
(h) Subsequent applications.
(1.) Application for a different residence.
(i.) If a permit holder applies for a RICC permit for a residence other than specified on the existing permit, the existing RICC permit will be suspended upon application for the new permit.
(ii.) If the application is approved, the existing RICC permit is rescinded. (iii.) If the application is denied, the existing RICC permit is reinstated. (iv.) If the applicant appeals a denial of the application, the existing RICC permit remains suspended until a final decision is reached. (2.) Application for a different cultivation area in the same residence. If a permit holder applies for a RICC permit for the residence on the existing permit, but for cultivation area other than specified on the existing permit, the existing permit will terminate upon approval of the application. Only one cultivation area may exist in a residence at one time, and if another application is approved, the existing RICC permit will terminate. (3.) Application for same cultivation area in same residence. If another individual applies for a RICC permit for the same cultivation area, no permit will be issued if the existing permit has been terminated or suspended. An additional RICC permit for the same cultivation area shall only be issued if all permits related to that cultivation area remain in good standing with the City.
(i.) No sale or transfer. A RICC permit may not be sold or transferred.

SECTION 3: Chapter 16 “Miscellaneous Provisions and Offenses” of the Fontana Municipal Code is hereby amended to replace all references to “marijuana” with “cannabis.” SECTION 4: Section 30-233 “Purpose” of Chapter 30 of the Fontana Municipal Code, is hereby amended in its entirety as follows:
“A Director's determination is intended to specify that a use that is not listed within an established list of uses, may be allowed to operate within a particular zoning district. The Director of Planning shall have the authority to determine other uses, in addition to those specifically listed in this article, which may be permitted or conditionally permitted in each of the various zones when, in his or her judgment supported by specific findings, such other uses are similar to and no more objectionable to the public welfare than those listed.” ATTACHMENT NO. 1
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43 SECTION 5: Section 30-263(4) “Prohibited home occupation uses” of Chapter 30 of the Fontana Municipal Code, is hereby amended as “(4) Cannabis dispensaries and sales.” SECTION 6: Section 30-360(d)(14) “Special use regulations” of Chapter 30 of the Fontana Municipal Code, is hereby amended in its entirety as follows “A Commercial Cannabis Business shall not be permitted pursuant to this section.” SECTION 7: Section 30-453 “Uses permitted within mixed use development projects” of Chapter 30 of the Fontana Municipal Code, is hereby amended to replace “Medical marijuana dispensaries” in Table No. 30-453 as follows:

Table No. 30-453
Uses Permitted Within Mixed Use Development Projects
C. Business and Professional Offices R-4 R-5
Medical marijuana dispensaries Commercial Cannabis Businesses — — SECTION 8: Section 30-489 “Uses permitted ” of Chapter 30 of the Fontana Municipal Code, is hereby amended in its entirety as provided in Exhibit “A.” SECTION 9: Section 30-491“Special Use Regulations” of Chapter 30 of the Fontana Municipal Code, is hereby amended to add subsection 21, as follows:
(21) Commercial Cannabis Businesses. Commercial Cannabis Businesses shall comply with the provisions of Chapter 33 “Cannabis Businesses And Activities” of the Fontana Municipal Code.

SECTION 10: Section 30-611(8)(k) “Special Use Regulations” of Chapter 30 of the Fontana Municipal Code, is hereby amended as “(k) A medical cannabis dispensary shall not be permitted pursuant to this section.”
SECTION 11: CEQA. The City Council, on the basis of the whole record and exercising independent judgment, finds that this Ordinance is not subject to further environmental review pursuant to CEQA Guidelines Section 15303 of the State Guidelines for Implementations of the California Environmental Quality Act (CEQA). Section 15303 pertains to “construction and location of limited numbers of new, small facilities” including up to three (3) “stores” in “urbanized areas.“ Here, Section 15303 applies as the Ordinance could, at most, only reasonably foreseeably result in the construction and location of only three (3) new retail facilities in an urban area.

SECTION 12: Severability. If any section, subsection, sentence, clause, phrase or portion of this Ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, such decision shall not affect the validity of the remainder of the Ordinance. The City Council hereby declares that it would have adopted this Ordinance, and each section, subsection, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions may be declared invalid or unconstitutional.

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44 SECTION 13: Nothing in this Ordinance shall be construed to allow persons to engage in conduct that violates state law, endangers others, causes a public nuisance, allows the use or diversion of cannabis in an unlawful manner or inconsistent with state law SECTION 14: The City Clerk shall attest to the passage and adoption of this ordinance, causing it to be posted as required by law, and it shall become effective thirty (30) days after its adoption.

ATTACHMENT NO. 1
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45 PASSED, APPROVED AND ADOPTED this ____ day of __________, 2022. ________________________________
Acquanetta Warren, Mayor
City of Fontana
________________________________
Germaine McClellan Key
City Clerk
Read and Approved as to form:

Best, Best & Krieger, LLP.
__________________________________
Ruben Duran, City Attorney
ATTACHMENT NO. 1
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46 Exhibit “A”
Sec. 30-489. - Uses permitted.
(a) Uses by zoning district. Table No. 30-4589, lists the uses permitted in each of the commercial and mixed-use zoning districts. A "P" indicates a use is permitted by right subject to design review by the Planning Commission, or administrative site plan review by the Director of Community Development, or regulatory permit issued by the City, an "M" indicates the use requires the granting of a minor use permit approved by the Director of Community Development, a "C" indicates the use requires the granting of a conditional use permit approved by the Planning Commission, and "—" means the use is not permitted in that zoning district. (b) Uses subject to specific requirements. Permitted uses marked with an asterisk "*" indicate that the use is subject to special use regulations in Section 30-491 and Chapter 15 of the Municipal Code. Conditional uses are subject to the provisions in Section 30-492.

Table No. 30-489
Allowed Uses within Commercial Zoning Districts
Use C-1 C-2 RMU
Retail Sales
Adult Businesses P* P* —
Antique Shop P P P
Automobile Sales Agency with or without Incidental Repair and Sales Display Area
— C C
Automobile Supply Store (no machine shop) P P P
Bakery Goods Store P P P
Bar, Cocktail Lounge C C C
Bicycle Shop P P P
Boat Sales with Incidental Repair and Sales Display Area — C C Book Store P P P
Building Materials, Retail Sale of (if contained within a completely enclosed building)
— P P
Building Materials with Outdoor Storage — P* P*
Blueprinting Establishment — P P
Commercial Cannabis Business (with City Permit) P* P* — Caterer P P P
Clothing Store P P P
Computer Store P P P
Convenience Store P P P
Cyber Cafés C C C
Department Store — P P
Discount Store P P P
Drugstore P P P
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47 Electrical Supply Store P P P
Feed Store C M —
Florist Shop P P P
Furniture Store P P P
Garden Furniture and Supplies Store P* P* P*
Glass or Mirror Store P P P
Grocery, Fruit, Vegetable, Meat, Fish, Poultry, or Delicatessen Store, P P C Hardware Store P* P* P*
Hobby Supplies Store P P P
Home Furnishing Store P P P
Household Appliance Store P P P
Ice Cream Store P P P
Ice Storage Locker (if not more than five-ton capacity) P P P Interior Decorating Shop P P P
Jewelry and Coin Store P P P
Liquor Store C C C
Micro-Brewery — C C
Newsstand P P P
Novelties Store P P P
Nursery, Plant (includes statuary sales) P* P* P*
Paint and Wallpaper Shop P P P
Pawn Shop — C C
Pet Boarding — M —
Pet Shop P P P
Plumbing Supply Store — P P
Radio, Television, and Small Electrical Appliance Shop (including repair when incidental to retail sales)
P P P
Restaurant and Café, Excluding Those Having Dancing and/or Floorshows. Alcoholic Beverages are not Permitted.

P* P* P*
Restaurant and Café with Entertainment and/or Dancing. Alcoholic Beverages Permitted.

C* C* C*
Restaurant and Café Without Entertainment and/or Dancing. Alcoholic Beverages Permitted. (See Section 30-492 For Alcoholic Beverage Sales)
C C C
Restaurant, Drive-Thru and Take Out P* P* P*
Secondhand Store — P P
Shoe Store P P P
Smoke/Tobacco Shop and Vape Shop C C C
Sporting Goods Store P P P
Swap Meet (Indoor/outdoor) — — —
Tattoo Establishments P* P* P*
Trailer and Mobile Home Sales and Rental — P* C
Wholesale Auto Sales (requires one stall) C C —
Warehousing Sales, Retail C P* P*
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48 Warehousing Sales, Wholesale — C P*
Business and Professional Offices C-1 C-2 RMU
Administrative and Professional Offices Involving no Retail Trade P P P Art Gallery P P P
Financial Institution P P P
Clinic, Medical or Dental, Acupuncture P P P
Convention Centers — — P
Government Offices P P P
Medical Laboratory — P P
Optician P P P
Pharmacy P P P
Radio/Television Studio (with transmitter) — C C
Studio (without transmitter) P P P
Studios for Professional Work or Teaching of Any Form Of Fine Art P P P Service Establishments C-1 C-2 RMU
Ambulance Service P P P
Animal Hospital M P C
Animal Hospital (w/ Boarding) M —
Assembly/Meeting Hall For, Private Clubs, Religious Services, or Similar Uses
C C C
Automobile Fueling Station C C C
Automobile and Truck Rental, Two-Ton, Single Unit Maximum — C C Automobile/Vehicle Body and Fender Repair Shop — C C
Automobile/Vehicle Repair C C C
Automotive Custom Repair (includes lowering and lifting) C C C Automotive Stereo, Alarm and Upholstery Installation C M M Automobile Wash, — M M
Barber Shop or Beauty Parlor P P P
Chemical substance abuse facility C C C
Cleaners P* P* P*
Clothing and Costume Rental Establishment P P P
Community Care Facility C C C
Community Center C C C
Construction Trailer (Temporary Use Permit) P* P* P*
Convalescent Hospital M M C
Copying, Packing and Mailing Services P P P
Day Care—Commercial M M M
Day Care—Commercial (24 hour) — C C
Depot—Bus — P* P*
Depot—Railway, Park-and-Ride — P P
Dressmaker or Millinery Shop P P P
Equipment Rental — P* P*
Fortune-Telling P P P
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49 Hospitals — M M
Hotels — C C
Laundromat, Self Service P P P
Locksmith P P P
Machine Shop — C C
Masseur or Masseuse, Day Spa, Acupressure — C C
Self-Storage Facility — C C
Mortuaries — C C
Library P P P
Museums P P P
Motel — C C
Music and Vocal Instruction P P P
Nightclub — C C
Nursing Home M M C
Parks P P P
Photographer P P P
Pick-Up Truck Rated Over One Ton (carrying weight), Commercial Truck or Van, or Trailer Rental
— C C
Picture Framing Store P P P
Post office M M M
Printer, Blueprint Shop — P P
Private Schools C C C
Public Utility Structures and Facilities M M M
Publishing Establishments — P P
Repair Shop for Household Appliances P P P
Schools Such as Business Colleges, Music Conservatories, Dancing Schools, and Other Schools That Offer Training In Non-Industrial Professions
P P P
Stenographic Services P P P
Swimming Pool, Commercial P P P
Sign Shop in Enclosed Structure — P P
Tailor P P P
Telephone Answering Service or Exchange P P P
Ticket Agency, Travel Bureau P P P
Tire Shop — C C
Truck Repair Service — — —
Truck Storage Yard — — —
Upholstery Shop — P P
Wedding Chapel P P P
Amusement Establishments C-1 C-2 RMU
Amusement Enterprise for Children Including Pony Rides (No Stables), Merry-Go-Round, and The Like When Incidental To A Permitted Use P P P
Amusement Park — C C
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50 Arcades—Pinball, Video, and the Like — C C
Archery Range — C C
Baseball; Batting Range — C C
Bowling Alley C C C
Boxing Arena — C C
Dance Hall — C C
Entertainment Centers C C C
Golf, Driving Range, Miniature, Pitch and Putt — C C
Gymnasiums, Health Spas, or Physical Culture Establishments Under 4,000 Square Feet in Floor Area
P P P
Gymnasiums, Health Spas, or Physical Culture Establishments Over 4,000 Square Feet in Floor Area
C C C
Pool Hall, Billiard Center C C C
Skating Rink, Roller or Ice C C C
Smoking Lounge, Hookah Lounge, Vapor Lounge, E-Lounge (allowed only as a secondary use to a full-service restaurant)
C C C
Theater, Indoor C C C
Indoor Playground/Recreation P P P
Residential Uses C-1 C-2 RMU
Senior Housing M M M
Multiple-Family Dwellings with an Area Plan C
Other Uses C-1 C-2 RMU
Animal Kennel — C C
Animals, Small—Keeping and Raising P* P* P*
Antenna, Transmitting C C C
Cemetery and Related Uses — M C
Construction Trailer P* P* P*
Home Occupation P* P* P*
Homeless Shelters — — —
Emergency Shelter Subject to the activation of an Emergency Operation Center
P P P
Metal Storage Containers (temporary storage only with a temporary use permit)
P* P* P*
Museum and Art Galleries — M M
Parking Lots (not related to use on same property) — P P Parking Structures — P P
Research and Development — P P
ATTACHMENT NO. 1
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City of Fontana, City of Rancho Cucamonga, California State Parks, Esri, HERE, Garmin, SafeGraph, GeoTechnologies, Inc, METI/NASA, USGS, Bureau of Land Management, EPA, NPS, USDA, Esri, NASA, NGA, USGS, FEMA Limited Streets
Areas
City Limits
City Sections

CENTRAL
NORTH
SOUTH
0 0.75 mi 1.5
6/13/2022
Scale 1 : 90,000
/
City of Fontana
Cannabis Areas Map
ATTACHMENT NO. 2
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1532 Agenda Date: 7/26/2022
Agenda #: I. Category: Consent Calendar
FROM:

Management Services
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 7 (Country Club Estates) for Fiscal Year 2022-2023.

RECOMMENDATION:

Adopt Resolution No. 2022-070, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 7 (Country Club Estates) for Fiscal Year 2022-2023.

COUNCIL GOALS:
· To practice sound fiscal management by fully funding liabilities and reserves. · To practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 7 (Country Club Estates) was established by Resolution No. 98-08 on January 20, 1998, to finance public facilities and to pay annual landscape and lighting maintenance costs within the District. On February 25, 1998, the District issued $4 million in Special Tax Bonds to finance certain public improvements within the District. The bonds were refunded in 2005 and again in 2021 to take advantage of interest rate savings.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1235 approved and adopted by the City Council on February 3, 1998.

The special tax levied on each assessable parcel within the District is necessary to pay principal and interest on the outstanding bonded indebtedness and authorized administrative expenses (Special Tax A); and the annual landscape and lighting maintenance costs of the District (Special Tax B).

The portion of the special tax rate necessary to pay the principal and interest on the outstanding bonded indebtedness and authorized incidental expenses is comprised of available cash balance, debt service payments, and administration costs (Exhibit A, Schedule 1).

The proposed Fiscal Year 2022-2023 special tax rates (Special Tax A and Special Tax B) are outlined in Exhibit A, Schedule 2.

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File #: 21-1532 Agenda Date: 7/26/2022
Agenda #: I. Category: Consent Calendar
A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2021-2022 and Fiscal Year 2022-2023 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2022-2023 were developed according to the Rate and Method of Apportionment (Exhibit B). Special tax rates A (bond) are 3% higher than the prior year and special tax rate B (maintenance) will remain the same as the prior year.

The District was established after the adoption of Proposition 218 and complies with its requirements because the District and the special taxes were approved by the consent of the property owner at the time the District was formed.

The City Treasurer has reviewed and supports this action.

FISCAL IMPACT:

The proposed Fiscal Year 2022-2023 special tax rates are the same as the prior year and will generate approximately $380,155; $268,159 for debt service expenses and $111,996 for landscape and lighting maintenance costs.

MOTION:

Approve staff recommendation.

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RESOLUTION NO. 2022-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 7 (COUNTRY CLUB
ESTATES) FOR FISCAL YEAR 2022-2023.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982”, being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the “Act”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 7; and
WHEREAS, on February 25, 1998, Community Facilities District No. 7 (Country Club Estates) Special Tax Bonds were issued to finance certain public improvements within the district; and
WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council is desirous to establish the specific rate of the special tax to be collected for Fiscal Year 2022-2023.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2022-2023 for the referenced District is hereby determined and established as set forth in Exhibit “B” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “B” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.

SECTION 3. The rate as set forth above does not exceed the amount previously authorized by Ordinance of the City Council, and is not in excess of that as previously approved by the qualified electors of the District.
122
Resolution No. 2022-

Page 2 of 3 ends

SECTION 4. The proceeds of Special Tax A shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:
(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;
(b) Necessary replenishment of bond reserve funds or other reserve funds; (c) Payment of costs and expenses of authorized public facilities and incidental expenses pursuant to the Act; and
(d) Repayment of advances and loans, as appropriate.

The basis for the determination of Special Tax A needed for the 2022-2023 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 5. The proceeds of Special Tax B shall be used to pay the costs of park, parkways and open space maintenance of the District and for the payment of administrative expenses incurred in connection with the levy and collection of said Special Tax B.

SECTION 6. The above authorized Special Tax shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall have the same lien and priority in the case of delinquency as is provided for ad valorem taxes.

SECTION 7. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 8. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

SECTION 9. The County Auditor shall then, at the close of the tax collection period, promptly render to this Agency a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection. 123
Resolution No. 2022-

Page 3 of 3 ends

APPROVED AND ADOPTED this 26
th day of July 2022.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney
I, Tonia Lewis, City Clerk of the City of Fontana, and Ex-Officio Clerk of the City Council, do hereby certify that the foregoing resolution is the actual resolution duly and regularly adopted by the City Council at a regular meeting on the 26 th day of July 2022,
by the following vote to wit:

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana
Mayor of the City of Fontana
ATTEST:

City Clerk
124
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2022-2023
Bond Payment 09/2022 175,000 $ Bond Service Funds Available 179,343 $ Bond Payment 03/2023 50,800 Proposed Special Tax Levy 268,159 Bond Payment 09/2023 190,000 Allowance for Delinquencies (8,045) Adminstration Costs 23,657
Total Costs $ 439,457 Available Funds $ 439,457
Schedule 2
Proposed Special Tax Rates for Fiscal Year 2022-2023
(Special Tax A and Special Tax B)
Total Special
Residential Lot Size Special Tax A Special Tax B Tax Rate Small (less than 7,200 sq ft) 667.23 $ 306.00 $ 973.23 $ Medium (7,200 to 9,999 sq ft) 765.60 306.00 1,071.60
Large (10,000 sq ft or larger) 864.73 306.00 1,170.73
Total Proposed Levy 268,158.73 $ 111,996.00 $ 380,154.73 $ Schedule 3
Comparison of Special Tax Levy and Rates by Fiscal Years (Special Tax A and Special Tax B)
Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
Small (less than 7,200 sq ft) 176,902 $ 946.00 $ 181,994 $ 973.23 $ 3% Medium (7,200 to 9,999 sq ft) 119,715 1,041.00 123,234 1,071.60 3% Large (10,000 sq ft or larger) 72,704 1,136.00 74,927 1,170.73 3% $ 369,321 $ 380,155
FY 2021 - 2022 FY 2022 - 2023
Exhibit "A"
City of Fontana
Community Facilities District No. 7
Country Club Estates Tr. 13332
Percent Rate
Change
125
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 7
(COUNTRY CLUB ESTATES)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division) The Resolution of Annual Levy refers to this Exhibit for an explanation of the rate and method of apportionment of the special tax so as to allow each landowner or resident within the district to estimate the annual amount that would be required for payment.

A Special Tax shall be levied on and collected in City of Fontana Community Facilities District No. 7 (Country Club Estates) (“CFD No. 7”) each Fiscal Year in an amount determined by the City Council of the City of Fontana through the application of the provisions described herein. All of the real property in CFD No. 7, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner herein provided.

The rate and method of apportionment of the special tax for 2022-2023 shall be as follows.

I. SPECIAL TAXES FOR PUBLIC IMPROVEMENTS:

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Taxing Classification Unit FY 2022-2023 FY 2022-2023 FY 2022-2023 Small (less than 7,200 sq ft) Unit $875.00 $667.23 $124,772 Medium (7,200 sq ft to 9,999 sq ft) Unit 1,004.00 765.60 88,044 Large (10,000 sq ft or larger) Unit 1,134.00 864.73 55,343 $268,159
The Levy of Special Tax A

1. Assignment to Land Use Classes
Each Fiscal Year, each Parcel shall be classified as Public Property or Taxable Property. Each parcel of Taxable Property shall be classified as Large Lot, Medium Lot, or Small Lot. The classification of Parcels each Fiscal Year shall be made based on the status of each Parcel as of January 1 of the previous Fiscal Year.
126
B-2

2. The Special Tax Requirement
The Special Tax Requirement for any Fiscal Year shall be an amount equal to (A) the sum of the following: (1) debt service and other periodic costs (including deposits to any sinking funds) on the Bonds due in the calendar year commencing in such Fiscal Year, (2) Administration Expenses to be incurred in the Fiscal Year or incurred in any previous Fiscal Year and not paid by CFD No. 7, (3) any amount required to replenish any reserve fund established for any Bonds, (4) an amount equal to the estimated delinquencies expected in the payment of Special Tax A for the Fiscal Year, and (5) the costs of remarketing, credit enhancement and liquidity facility fees (including such fees for instruments that serve as the basis of a reserve fund for any Bonds in lieu of cash), minus (B) any credit pursuant to the indenture, such as investment earnings on account balances.

3. Levy of Special Tax A
Commencing with the 1998-99 Fiscal year and for each following Fiscal Year, the City Council shall determine the Special Tax Requirement for the applicable Fiscal Year and shall levy Special Tax A proportionately on each Parcel of Taxable Property up to the Maximum Annual Special Tax A for each Parcel until the aggregate amount of the levy equals the Special Tax Requirement for such Fiscal Year.

Pursuant to Section 53321 of the Act, under no circumstances shall the Special Tax A levied against any Parcel be increased by more than ten percent as a consequence of a delinquency or default in the payment of Special Tax A by the owner of any other Parcel. An increase of ten percent or more shall be determined by comparison of the levy of Special Tax A to the levy if there were no delinquencies or defaults.

Termination of Special Tax A
Except for any delinquencies in Special Tax A and related penalties and interest, Special Tax A used to pay for either or both the acquisition and construction of any public facilities for CFD No. 7 (through the issuance of Bonds or otherwise) and levied on any Parcel shall not be levied after Fiscal Year 2027-28. After such Fiscal Year, and the collection of any delinquencies in Special Tax A, penalties, and interest, the City shall cause a document substantially in the form required by the Act evidencing such termination of the levy and collection to be recorded in the office of the Recorder of the County.
127
B-3
II. SPECIAL TAXES FOR MAINTENANCE OF PARKS, PARKWAYS, AND

OPEN SPACE
Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Taxing Classification Unit FY 2022-2023 FY 2022-2023 FY 2022-2023 Taxable Property Unit $625.68 $306.00 $111,996
“Maximum Annual Special Tax B” for each Parcel of Taxable Property shall be $389 for the 1998-1999 Fiscal Year, and shall increase by two percent each Fiscal Year thereafter.

The Levy of Special Tax B

1. The Special Tax Requirement
The Special Tax Requirement for any Fiscal Year shall be an amount equal to (A) the sum of the following: (1) the estimated Park, Parkways, and Open Space Maintenance Cost for such Fiscal Year, (2) Administrative Expenses to be incurred in the Fiscal Year or incurred in any previous Fiscal Year and not paid by CFD No. 7, and (3) an amount equal to the estimated delinquencies expected in the payment of Special Tax B for the Fiscal Year.

2. Levy of Special Tax B
Commencing with the 1998-99 Fiscal Year and for each following Fiscal Year, the City Council shall determine the Special Tax Requirement for the applicable Fiscal Year and shall levy Special Tax B proportionately on each parcel of Taxable Property up to the Maximum Annual Special Tax B for each Parcel until the aggregate amount of the levy equals the Special Tax Requirement for such Fiscal Year.

Pursuant to Section 53321 of the Act, under no circumstances shall the Special Tax B levied against any Parcel be increased by more than ten percent as a consequence of a delinquency or default in the payment of Special Tax B by the owner of any other Parcel. An increase of ten percent or more shall be determined by comparison of the levy of Special Tax B to the levy if there were no delinquencies or defaults.
128
129
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1534 Agenda Date: 7/26/2022
Agenda #: J. Category: Consent Calendar
FROM:

Management Services
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 11 (Heritage West End) for Fiscal Year 2022-2023.

RECOMMENDATION:

Adopt Resolution No. 2022-071, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 11 (Heritage West End) for Fiscal Year 2022-2023.

COUNCIL GOALS:
· To practice sound fiscal management by fully funding liabilities and reserves. · To practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 11 was established by Resolution No. 98-110 on December 1, 1998.

On January 28, 1999, the District issued $15.5 million in Special Tax Refunding Bonds, 1999 Series A, to prepay a portion of the special tax levied on the property within the District by the Community Facilities District No. 2 and to refund certain indebtedness secured by such special tax, namely the City of Fontana Community Facilities District No. 2 (Village of Heritage) Sub-Subordinate Special Tax Refunding Bonds, 1998 Series C. The bonds were refunded in 2021 to take advantage of interest rate savings.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance No. 1271 approved and adopted by the City Council on December 15, 1998.

The special tax levied on each assessable parcel within the District is necessary to pay principal and interest on the outstanding bonded indebtedness and authorized administration expenses (Exhibit A, Schedule 1).

On July 27, 2021, City Council approved the Fiscal Year 2021-2022 special tax levy and rates.

However, the bonds were refunded on July 29, 2021 to take advantage of interest rate savings, lowering the rates actually assessed for Fiscal Year 2021-2022.

A comparison of the special tax levy and rates for Fiscal Year 2021-2022 and Fiscal Year 2022-2023 City of Fontana Page 1 of 2 Printed on 7/21/2022
powered by Legistar™130
File #: 21-1534 Agenda Date: 7/26/2022
Agenda #: J. Category: Consent Calendar
is outlined in Exhibit A, Schedule 2. All assessed rates are the same as the prior year.

The proposed special tax rates for Fiscal Year 2022-2023 were developed according to the Rate and Method of Apportionment (Exhibit B).

The District was established after the adoption of Proposition 218, and complies with its requirements because the District and the special taxes were approved by the consent of the property owner at the time the District was formed.

The City Treasurer has reviewed and supports this action.

FISCAL IMPACT:

The proposed Fiscal Year 2022-2023 special tax rates are the same as the prior year. The proposed levy will generate approximately $786,329 for debt service expenses.

MOTION:

Approve staff recommendation.

City of Fontana Page 2 of 2 Printed on 7/21/2022
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RESOLUTION NO. 2022-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 11 (HERITAGE WEST END) FOR FISCAL YEAR 2022-2023.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982”, being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the “Act”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 11; and
WHEREAS, on January 28, 1999, Community Facilities District No. 11 (Heritage West End) Special Tax Refunding Bonds were issued to prepay a portion of the special tax levied on the property within the District by the Community Facilities District No. 2 and to refund certain indebtedness secured by such special tax, namely the City of Fontana Community Facilities District No. 2 (Village of Heritage) Sub-Subordinate Special Tax Refunding Bonds, 1998 Series C; and
WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council is desirous to establish the specific rate of the special tax to be collected for Fiscal Year 2022-2023.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2022-2023 for the referenced District is hereby determined and established as set forth in Exhibit “B” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “B” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.
132
Resolution No. 2022-

Page 2 of 3 ends

SECTION 3. The rate as set forth above does not exceed the amount previously authorized by Ordinance of the City Council, and is not in excess of that as previously approved by the qualified electors of the District.

SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:
(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;
(b) Necessary replenishment of bond reserve funds or other reserve funds; (c) Payment of costs and expenses of authorized public facilities and incidental expenses pursuant to the Act; and
(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2022-2023 fiscal year is set forth in Exhibit “A”, attached hereto and incorporated herein by reference.

SECTION 5. The above authorized Special Tax shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall have the same lien and priority in the case of delinquency as is provided for ad valorem taxes.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

SECTION 8. The County Auditor shall then, at the close of the tax collection period, promptly render to this Agency a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection. 133
Resolution No. 2022-

Page 3 of 3 ends

APPROVED AND ADOPTED this 26
th day of July, 2022.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney
I, Tonia Lewis, City Clerk of the City of Fontana, and Ex-Officio Clerk of the City Council, do hereby certify that the foregoing resolution is the actual resolution duly and regularly adopted by the City Council at a regular meeting on the 26 th day of July, 2022,
by the following vote to wit:

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana
Mayor of the City of Fontana
ATTEST:

City Clerk
134
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2022-2023
Bond Payment 09/2022 $ 500,449 Bond Service Funds Available $ 528,998 Bond Payment 03/2023 52,500 Proposed Special Tax Levy 532,641 Bond Payment 09/2023 452,500 Allowance for Delinquencies (15,979) Administration Costs 40,211
Total Costs $ 1,045,660 Available Funds $ 1,045,660
Schedule 2
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate Special Tax Rate 1 - R 3,500 sq ft $ 68,985 $ 1,095.00 $ 33,393 $ 530.04 $ 33,393 $ 530.04 0% 2 - R 3,280-3,499 sq ft 21,630 1,030.00 10,475 498.80 10,475 498.80 0% 3 - R 3,000-3,279 sq ft 66,726 1,011.00 32,302 489.42 32,302 489.42 0% 4 - R 2,781-2,999 sq ft 59,136 896.00 28,614 433.54 28,614 433.54 0% 5 - R 2,601-2,780 sq ft 12,180 870.00 5,895 421.04 5,895 421.04 0% 6 - R 2,601-2,780 sq ft 53,235 819.00 25,766 396.40 25,766 396.40 0% 7 - R 2,401-2,600 sq ft 787 787.00 381 380.78 381 380.78 0% 8 - R 2,281-2,400 sq ft 67,239 723.00 31,840 349.89 31,840 349.89 0% 9 - R 2,050 sq ft 62,510 658.00 30,909 318.65 30,909 318.65 0% 10 - Non-residential (sq ft) 21,646 0.55 9,253 0.24 9,253 0.24 0% 11 - Non-residential (acre) 9,365 7,204.00 3,962 3,047.73 3,962 3,047.73 0% 12 - Commercial 268,689 24,994.30 296,653 27,595.74 296,653 27,595.74 0% 13 - Commercial 74,201 7,319.85 23,198 3,012.87 23,198 3,012.87 0% 14 - Undeveloped 0 0.00 0 0.00 0 0.00
$ 786,329 $ 532,641 $ 532,641
Assessed
Percent Rate
Change
Exhibit "A"
City of Fontana
Community Facilities District No. 11
Heritage West End Tr. 11551
FY 2021 - 2022 FY 2022 - 2023
Council Approved Actual Assessed
135
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 11
(HERITAGE WEST END)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in Financial Services Division) The Resolution of Annual Levy refers to this Exhibit for an explanation of the rate and method of apportionment of the special tax so as to allow each landowner or resident within the district to estimate the annual amount that would be required for payment.

A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels of Taxable Property in City of Fontana Community Facilities District No. 11 (Heritage West End) (“CFD No. 11”) and collected each Tax Period and/or Fiscal Year commencing in the Initial Tax Period, in an amount determined by the City Council through the application of the appropriate Special Tax for “Developed Property”, “Taxable Property Owner Association Property”, “Taxable Public Property”, and “Undeveloped Property”, as described below. All of the real property in CFD No. 11, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

The rate and method of apportionment of the special tax for 2022-2023 shall be as follows.

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Tax Class Unit FY 2022-2023 FY 2022-2023 FY 2022-2023
1 R 3,500 sq ft Unit $1,938.88 $530.04 $33,393
2 R 3,280-3,499 sq ft Unit 1,824.61 498.80 10,475
3 R 3,000-3,279 sq ft Unit 1,790.33 489.42 32,302
4 R 2,781-2,999 sq ft Unit 1,585.90 433.54 28,614
5 R 2,601-2,780 sq ft Unit 1,540.19 421.04 5,895
6 R 2,401-2,600 sq ft Unit 1,450.04 396.40 25,766
7 R 2,281-2,400 sq ft Unit 1,392.90 380.78 381
8 R 2,051-2,280 sq ft Unit 1,279.89 349.89 31,840
9 R 2,050 sq ft Unit 1,165.62 318.65 30,909
10 Non-Residential Sq Ft 0.87 0.24 9,253
11 Non-Residential Acre 11,259.06 3,047.73 3,962
12 Commercial Acre 28,147.65 27,595.74 296,653
13 Commercial Acre 11,130.29 3,012.87 23,198
14 Undeveloped Acre 16,749.49 0.00 0.00
$532,641
136
B-2
Method of Apportionment of the Special Tax

1. Initial Tax Period
The amount of Special Taxes to be levied in the Initial Tax Period shall be the Maximum Special Tax for each Assessor’s Parcel in Tax Class 1, 2, and 3, multiplied by the quotient derived from dividing the number of months in the Initial Tax Period by twelve (12).

2. After the Initial Tax Period
Commencing with Fiscal year 1999-2000 and for each following Fiscal Year, the City Council shall determine the Special Tax Requirement and shall levy the Special Tax until the amount of Special Taxes equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows:

First: The Special Tax shall be levied proportionately on each Assessor’s Parcel of Tax Class 1 Property at up to 100% of the applicable Maximum Special Tax.

For Fiscal Years which contain the Second and Third Tax Periods, the Maximum Special Tax for the Fiscal Year shall be the sum of the amounts determined by multiplying the Maximum Special Tax for each Tax Period by the quotient of the number of months of such Tax Period in the Fiscal Year for which the special tax is being levied divided by twelve;
Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, then the Special Tax shall be levied proportionately on each Assessor’s Parcel in Tax Class 2 up to 100% of the applicable Maximum Special Tax and on each Assessor’s Parcel of Developed Property in Tax Class 3 at up to 100% of the applicable Assigned Special Tax; Third: If additional monies are needed to satisfy the Special Tax Requirement after the first two steps have been completed, then the Special Tax shall be levied proportionately on each Assessor’s Parcel of Undeveloped Property in Tax Class 3 at up to 100% of the Maximum Special Tax for Undeveloped Property; Fourth: If additional monies are needed to satisfy the Special Tax Requirement after the first three steps have been completed, then the levy of the Special Tax on each Assessor’s Parcel of Development Property in Tax Class 3 whose Maximum Special Tax is determined through the application of the Backup Special Tax shall be increased proportionately from the Assigned Special Tax up to the Maximum Special Tax for each such Assessor’s Parcel; Fifth: If additional monies are needed to satisfy the Special Tax Requirement after the first four steps have been completed, then the Special Tax shall be levied proportionately on each Assessor’s Parcel of Taxable Property Owner Association Property and Taxable Public Property at up to the Maximum Special 137
B-3
Tax for Taxable Property Owner Association Property and Taxable Public Property.

Notwithstanding the above, under no circumstances will the Special Tax levied against any Assessor’s Parcel of Residential Property for which an occupancy permit for private residential use has been issued be increased by more than ten percent as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within the CFD.

Term of Special Tax
The Special Tax shall be levied commencing in the Initial Tax Period to the extent necessary to meet the Special Tax Requirement for a period not to exceed forty years on each Assessor’s Parcel.
138
139
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1536 Agenda Date: 7/26/2022
Agenda #: K. Category: Consent Calendar
FROM:

Management Services
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 22 (Sierra Hills South) for Fiscal Year 2022- 2023
RECOMMENDATION:

Adopt Resolution No. 2022-072, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 22 (Sierra Hills South) for Fiscal Year 2022-2023.

COUNCIL GOALS:
· To practice sound fiscal management by fully funding liabilities and reserves. · To practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 22 (Sierra Hills South) was established by Resolution No. 2003-38 on April 15, 2003. On August 26, 2004, the District issued $37,365,000 in Special Tax Bonds to refund CFD #90-3 (Empire Center) Special Tax Bonds which were used to finance the construction, installation and acquisition of certain major capital facilities (infrastructure) to serve properties located within the District. On May 29, 2014, the District issued $31 million in Special Tax Refunding Bonds to refinance the 2004 bonds.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Ordinance 1426, approved and adopted by the City Council on August 6, 2003.

The special tax levied on each assessable parcel within the District is necessary to pay the principal and interest on the outstanding bonded indebtedness and authorized administrative expenses (Exhibit A, Schedule 1).

A comparison of the special tax levy and rates for Fiscal year 2021-2022 and Fiscal Year 2022-2023 is outlined in Exhibit A, Schedule 2.

The proposed special tax rates for Fiscal Year 2022-2023 were developed according to the Rate and Method of Apportionment (Exhibit B) and are the same as the prior year.

The City’s special taxes for this District have been reviewed in light of the passage of Proposition City of Fontana Page 1 of 2 Printed on 7/21/2022
powered by Legistar™140
File #: 21-1536 Agenda Date: 7/26/2022
Agenda #: K. Category: Consent Calendar
The City’s special taxes for this District have been reviewed in light of the passage of Proposition 218. The recommended actions comply with the provisions of this proposition.

The City Treasurer has reviewed and supports this action.

FISCAL IMPACT:

The proposed Fiscal Year 2022-2023 special tax rates are the same as the prior year and will generate approximately $2.7 million for debt service expenses.

MOTION:

Approve staff recommendation.

City of Fontana Page 2 of 2 Printed on 7/21/2022
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Page 1 of 3 ends

RESOLUTION NO. 2022-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, AUTHORIZING THE LEVY OF A SPECIAL TAX WITHIN COMMUNITY FACILITIES DISTRICT NO. 22 (SIERRA HILLS SOUTH) FOR FISCAL YEAR 2022-2023.

WHEREAS, the City Council of the City of Fontana, (the “City Council”) has initiated proceedings, held a public hearing, conducted an election and received a favorable vote from the qualified electors relating to the levy of a special tax in a community facilities district, all as authorized pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982”, being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the “Act”). This Community Facilities District shall hereinafter be referred to as COMMUNITY FACILITIES DISTRICT NO. 22; and
WHEREAS, on or about August 18, 2004, Community Facilities District No. 22 (Sierra Hills South) Special Tax Bonds were issued to refund the outstanding Community Facilities District No. 90-3 (Empire Center) Special Tax Bonds, Series A, which were used to finance the construction, installation and acquisition of certain major capital facilities (infrastructure) to serve properties located within Community Facilities District. On May 29, 2014, the District issued $31 million in Special Tax Refunding Bonds to refinance the 2004 bonds; and
WHEREAS, the City Council, by Ordinance, as authorized by Section 53340 of the Government Code of the State of California, has authorized the levy of a special tax to pay for costs and expenses related to said Community Facilities District, and the City Council is desirous to establish the specific rate of the special tax to be collected for Fiscal Year 2022-2023.

NOW, THEREFORE, BE IT RESOLVED, determined, and ordered by the City Council of the City of Fontana, California, as follows:

SECTION 1. That the above recitals are all true and correct.

SECTION 2. The specific rate and amount of the special tax to be collected to pay for the costs and expenses for Fiscal Year 2022-2023 for the referenced District is hereby determined and established as set forth in Exhibit “B” attached hereto and incorporated herein by reference provided, however, the City Manager is hereby authorized to reduce the specific rate and method of the special tax as shown in Exhibit “B” upon receipt of the Assessor’s roll from the County of San Bernardino if, as determined by the City Manager in his discretion, following review of the Assessor’s roll, a lower rate and amount of the special tax will be sufficient to pay for the costs and expenses for such fiscal year.
142
Resolution No. 2022-

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SECTION 3. The rate as set forth above does not exceed the amount previously authorized by Ordinance of the City Council, and is not in excess of that as previously approved by the qualified electors of the District.

SECTION 4. The proceeds of the Special Tax shall be used to pay, in whole or in part, the costs of the following, in the following order of priority:
(a) Payment of principal and interest on any outstanding authorized bonded indebtedness;
(b) Necessary replenishment of bond reserve funds or other reserve funds; (c) Payment of costs and expenses of authorized public facilities and incidental expenses pursuant to the Act; and
(d) Repayment of advances and loans, as appropriate.

The basis for the determination of the special tax needed for the 2022-2023 fiscal year is set forth in Exhibit “B”, attached hereto and incorporated herein by reference.

SECTION 5. The above authorized Special Tax shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall have the same lien and priority in the case of delinquency as is provided for ad valorem taxes.

SECTION 6. All monies above collected shall be paid into the Community Facilities District’s funds, including any bond and reserve funds.

SECTION 7. The City Manager is hereby directed to transmit or cause to be transmitted to the Auditor of the County of San Bernardino for entry in the next County assessment roll on which taxes will become due, opposite each lot or parcel of land affected in a space marked “Public Improvement, Special Tax” or by any other suitable designation, the installment of the Special Tax as set forth in Exhibit “B” or as adjusted pursuant to the provisions of Section 2 above.

SECTION 8. The County Auditor shall then, at the close of the tax collection period, promptly render to this Agency a detailed report showing the amount and/or amounts of such Special Tax installments, interest, penalties and percentages so collected and from what property collected, and also provide a statement of any percentages retained for the expense of making any such collection. 143
Resolution No. 2022-

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APPROVED AND ADOPTED this 26
th day of July, 2022.

READ AND APPROVED AS TO LEGAL FORM:

City Attorney
I, Tonia Lewis, City Clerk of the City of Fontana, and Ex-Officio Clerk of the City Council, do hereby certify that the foregoing resolution is the actual resolution duly and regularly adopted by the City Council at a regular meeting on the 26 th day of July, 2022,
by the following vote to wit:

AYES:

NOES:

ABSENT:

City Clerk of the City of Fontana
Mayor of the City of Fontana
ATTEST:

City Clerk
144
Schedule 1
Special Tax Allocation - Costs to be Allocated
Fiscal Year 2022-2023
Bond Payment 09/2022 2,000,875 $ Bond Service Funds Available 2,194,063 $ Bond Payment 03/2023 545,375 Proposed Special Tax Levy 2,695,627 Bond Payment 09/2023 2,035,375 Allowance for Delinquencies (222,372) Administration Costs 85,693
Total Costs $ 4,667,318 Available Funds $ 4,667,318
Schedule 2
Comparison of Special Tax Levy and Rates by Fiscal Years Tax Classification
(Land Use) Special Tax Rate Special Tax Rate
1 - Non-residential 645,964 $ 10,402.00 $ 645,964 $ 10,402.00 $ 0% 1 - Non-residential 967,617 4,623.11 967,617 4,623.11 0% 2 - Hotel Property 4,161 4,623.11 4,161 4,623.11 0%
3 - Residential 440,450 1,150.00 440,450 1,150.00 0%
4 - Residential 455,400 1,150.00 455,400 1,150.00 0%
5 - Non-residential 182,035 10,402.00 182,035 10,402.00 0% $ 2,695,627 $ 2,695,627
FY 2021 - 2022 FY 2022 - 2023
Exhibit A
City of Fontana
Community Facilities District No. 22
Sierra Hills South
Percent Rate
Change
145
B-1
EXHIBIT “B”

CITY OF FONTANA
COMMUNITY FACILITIES DISTRICT NO. 22
(SIERRA HILLS SOUTH)

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES
(Summary – Full text available in the Financial Services Division) The Resolution of Annual Levy refers to this Exhibit for an explanation of the rate and method of apportionment of the special tax so as to allow each landowner or resident within the district to estimate the annual amount that would be required for payment.

Special Taxes shall be levied on all Parcels located within the boundaries of City of Fontana Community Facilities District No. 22 (Sierra Hills South) (hereinafter “CFD No. 22”). The amount of Special Tax to be levied on a Parcel in any fiscal year shall be determined by the City Council of the City of Fontana (hereinafter the “Council” and the “City”), in accordance with the rate and method of apportionment of the Special Taxes described below. All of the property in CFD No. 22, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent, and in the manner provided herein.

The rate and method of apportionment of the special tax for 2022-2023 shall be as follows.

Maximum Annual Actual
Tax Rate Tax Rate Tax Amount
Tax Rate Zone / Land Use Class Unit FY 2022-2023 FY 2022-2023 FY 2022-2023 Tax Rate Zone 1 – Non residential Acre $13,111.30 $10,402.00 $645,964 Tax Rate Zone 2 – Non residential Acre 5,827.24 4,623.11 967,617 Tax Rate Zone 2 – Hotel Acre 5,827.24 4,623.11 4,161
Tax Rate Zone 3 – Residential Unit 4,953.16 1,150.00 440,450 Tax Rate Zone 4 – Residential Unit 1,449.53 1,150.00 455,400 Tax Rate Zone 5 – Non residential Acre 13,111.30 10,402.00 182,035 $2,695,627
Maximum Special Tax Rates escalate at 2% per year commencing July 1, 2004.

Tax Rate Zone 3 may only be taxed until the earlier of Fiscal Year 2029-2030 or when no Bonds are outstanding. All other tax rate zones may be taxed until the earlier of Fiscal Year 2041-2042 or when no Bonds are outstanding. 146
B-2
Method of Apportionment of the Special Tax
No earlier than the fiscal year in which CFD No. 90-3 is dissolved pursuant to Section 5338.5 of the Act and for each subsequent fiscal year, the Council shall determine the Special Tax Requirement and levy the Special Taxes until the amount of Special Taxes equals the Special Tax Requirement.

Step 1: The Special Tax shall be levied proportionately on each Parcel of Single Family Residential Property, Hotel Property and Non-Residential Property at up to 100 percent of its applicable Maximum Special Tax to satisfy the Special Tax Requirement.

Step 2: If additional monies are needed to satisfy the Special Tax Requirement after Step 1 has been completed, then the Special Tax shall be levied proportionately on each Parcel of Property Owner Association Property at up to 100 percent of its applicable Maximum Special Tax to satisfy the Special Tax Requirement.

Step 3: If additional monies are needed to satisfy the Special Tax Requirement after Step 1 and Step 2 have been completed, then the Special Tax shall be levied proportionately on each Parcel of Public Property at up to 100 percent of its applicable Maximum Special Tax to satisfy the Special Tax Requirement. “Special Tax Requirement” means, for a fiscal year, that amount required in such fiscal year for CFD No. 22 to: (i) pay debt service on all Outstanding Bonds; (ii) pay periodic costs on the bonds, including but not limited to, credit enhancement and rebate payments on the bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for the Bonds; and (v) pay for reasonably anticipated delinquent Special Taxes based on the delinquency rate for Special Taxes levied in the previous fiscal year, except for the first fiscal year in which the Special Taxes are levied, for which the delinquency rate will be three percent (3%), taking into account any available funds, as determined by the CFD Administrator.
147
CFD # 22
Sierra Hills South
148
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 21-1538 Agenda Date: 7/26/2022
Agenda #: L. Category: Consent Calendar
FROM:

Management Services
SUBJECT:

Levy of a Special Tax in Community Facilities District No. 31 (Citrus Heights North) for Fiscal Year 2022-2023
RECOMMENDATION:

Adopt Resolution No. 2022-073, of the City Council of the City of Fontana, California, authorizing the Levy of a Special Tax in Community Facilities District No. 31 (Citrus Heights North) for Fiscal Year 2022-2023.

COUNCIL GOALS:
· To practice sound fiscal management by fully funding liabilities and reserves. · To practice sound fiscal management by developing long-term funding and debt management plans.

DISCUSSION:

Community Facilities District No. 31 (Citrus Heights North) was established by Resolution No. 2005- 59 on June 7, 2005, to finance public facilities and to pay the annual landscape and lighting maintenance costs for the district. On December 21, 2006, the District issued $26,815,000 in Special Tax Bonds, Series 2006, to finance the acquisition and construction of certain capital facilities (infrastructure). On July 11, 2018, the District issued $18.5 million in Special Tax Refunding Bonds to refinance the 2006 bonds; refinancing the bonds allowed the District to take advantage of interest rate savings and to finance the acquisition and construction of additional capital facilities.

Pursuant to Government Code Section 53340, a resolution must be adopted by the City Council annually to levy a special tax to pay for the maturing principal and interest on the bonds. The rate and method of apportionment of the special tax was originally set forth in Resolution No. 2005-59 approved and adopted by the City Council on June 7, 2005.

The special tax levied on each assessable parcel within the District is necessary to pay principal and interest on the outstanding bonded indebtedness and authorized administration expenses (Special Tax A); and the annual park, parkways, and open space maintenance costs of the District (Special Tax B).

The portion of the special tax rate necessary to pay the principal and interest on the outstanding bonded indebtedness and authorized incidental expenses is comprised of available cash balance, debt service payments, and administration costs (Exhibit A, Schedule 1).

The proposed Fiscal Year 2022-2023 special tax rates (Special Tax A and Special Tax B) are City of Fontana Page 1 of 2 Printed on 7/21/2022
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File #: 21-1538 Agenda Date: 7/26/2022
Agenda #: L. Category: Consent Calendar
The proposed Fiscal Year 2022-2023 special tax rates (Special Tax A and Special Tax B) are outlined in Exhibit A, Schedule 2. A comparison of the total special tax levy and rates (A and B) for Fiscal Year 2021-2022 and Fiscal Year 2022-2023 is outlined in Exhibit A, Schedule 3.

The proposed special tax rates for Fiscal Year 2022-2023 were developed according to the Rate and Method of Apportionment (Exhibit B). The rates for all categories are the same as the prior year.

The District was established after the adoption of Proposition 218 and complies with its requirements because the District and the special taxes were approved by the consent of the property owner at the time the District was formed.

The City Treasurer has reviewed and supports this action.

FISCAL IMPACT:

The proposed Fiscal Year 2022-2023 special tax rates are the same as the prior year and will generate approximately $2.9 million; $2.4 million for debt service expenses and $480,225 for park, parkways and open space costs.

MOTION:

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