Agenda packet — Fontana City Council, October 28, 2025 (part 2 of 3)

Includes copyrighted material of Insurance Services Office, Inc., with its permission. © 2011 Philadelphia Indemnity Insurance Company
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

GENERAL LIABILITY DELUXE ENDORSEMENT:

HUMAN SERVICES
This endorsement modifies insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE
It is understood and agreed that the following extensions only apply in the event that no other specific coverage for the indicated loss exposure is provided under this policy. If such specific coverage applies, the terms, conditions and limits of that coverage are the sole and exclusive coverage applicable under this policy, unless otherwise noted on this endorsement. The following is a summary of the Limits of Insurance and additional coverages provided by this endorsement. For complete details on specific coverages, consult the policy contract wording.

Coverage Applicable Limit of Insurance Page #
Extended Property Damage Included 2
Limited Rental Lease Agreement Contractual Liability $50,000 limit 2 Non-Owned Watercraft Less than 58 feet 2
Damage to Property You Own, Rent, or Occupy $30,000 limit 2 Damage to Premises Rented to You $1,000,000 3
HIPAA Clarification 4
Medical Payments $20,000 5
Medical Payments – Extended Reporting Period 3 years 5
Athletic Activities Amended 5
Supplementary Payments – Bail Bonds $5,000 5
Supplementary Payment – Loss of Earnings $1,000 per day 5 Employee Indemnification Defense Coverage $25,000 5
Key and Lock Replacement – Janitorial Services Client Coverage $10,000 limit 6 Additional Insured – Newly Acquired Time Period Amended 6 Additional Insured – Medical Directors and Administrators Included 7 Additional Insured – Managers and Supervisors (with Fellow Employee Coverage)
Included 7
Additional Insured – Broadened Named Insured Included 7 Additional Insured – Funding Source Included 7
Additional Insured – Home Care Providers Included 7
Additional Insured – Managers, Landlords, or Lessors of Premises Included 7 Additional Insured – Lessor of Leased Equipment Included 7 Additional Insured – Grantor of Permits Included 8
Additional Insured – Vendor Included 8
Additional Insured – Franchisor Included 9
Additional Insured – When Required by Contract Included 9 Additional Insured – Owners, Lessees, or Contractors Included 9 Additional Insured – State or Political Subdivisions Included 10 POLICY NUMBER: PHPK2585494-004
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Duties in the Event of Occurrence, Claim or Suit Included 10 Unintentional Failure to Disclose Hazards Included 10
Transfer of Rights of Recovery Against Others To Us Clarification 10 Liberalization Included 11
Bodily Injury – includes Mental Anguish Included 11
Personal and Advertising Injury – includes Abuse of Process, Discrimination
Included 11

A. Extended Property Damage

SECTION I – COVERAGES, COVERAGE A BODILY INJURY AND PROPERTY DAMAGE LIABILITY, Subsection 2. Exclusions, Paragraph a. is deleted in its entirety and replaced by the following:

a. Expected or Intended Injury

“Bodily injury” or property damage” expected or intended from the standpoint of the insured.

This exclusion does not apply to “bodily injury” or “property damage” resulting from the use of reasonable force to protect persons or property.

B. Limited Rental Lease Agreement Contractual Liability

SECTION I – COVERAGES, COVERAGE A. BODILY INJURY AND PROPERTY DAMAGE LIABILITY, Subsection 2. Exclusions, Paragraph b. Contractual Liability is amended to include the following:

(3) Based on the named insured’s request at the time of claim, we agree to indemnify the named insured for their liability assumed in a contract or agreement regarding the rental or lease of a premises on behalf of their client, up to $50,000. This coverage extension only applies to rental lease agreements. This coverage is excess over any renter’s liability insurance of the client.

C. Non-Owned Watercraft

SECTION I – COVERAGES, COVERAGE A BODILY INJURY AND PROPERTY DAMAGE LIABILITY, Subsection 2. Exclusions, Paragraph g. (2) is deleted in its entirety and replaced by the following:

(2) A watercraft you do not own that is:

(a) Less than 58 feet long; and

(b) Not being used to carry persons or property for a charge;

This provision applies to any person, who with your consent, either uses or is responsible for the use of a watercraft. This insurance is excess over any other valid and collectible insurance available to the insured whether primary, excess or contingent.

D. Damage to Property You Own, Rent or Occupy

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LIABILITY, Subsection 2. Exclusions, Paragraph j. Damage to Property, Item (1) is deleted in its entirety and replaced with the following:

(1) Property you own, rent, or occupy, including any costs or expenses incurred by you, or any other person, organization or entity, for repair, replacement, enhancement, restoration or maintenance of such property for any reason, including prevention of injury to a person or damage to another’s property, unless the damage to property is caused by your client, up to a $30,000 limit. A client is defined as a person under your direct care and supervision.

E. Damage to Premises Rented to You

1. If damage by fire to premises rented to you is not otherwise excluded from this Coverage Part, the word “fire” is changed to “fire, lightning, explosion, smoke, or leakage from automatic fire protective systems” where it appears in:

a. The last paragraph of SECTION I – COVERAGES, COVERAGE A BODILY INJURY AND PROPERTY DAMAGE LIABILITY, Subsection 2. Exclusions; is deleted in its entirety and replaced by the following:

Exclusions c. through n. do not apply to damage by fire, lightning, explosion, smoke, or leakage from automatic fire protective systems to premises while rented to you or temporarily occupied by you with permission of the owner. A separate limit of insurance applies to this coverage as described in SECTION III – LIMITS OF INSURANCE.

b. SECTION III – LIMITS OF INSURANCE, Paragraph 6. is deleted in its entirety and replaced by the following:

Subject to Paragraph 5. above, the Damage To Premises Rented To You Limit is the most we will pay under Coverage A for damages because of "property damage" to any one premises, while rented to you, or in the case of damage by fire, lightning, explosion, smoke, or leakage from automatic fire protective systems while rented to you or temporarily occupied by you with permission of the owner.

c. SECTION V – DEFINITIONS, Paragraph 9.a., is deleted in its entirety and replaced by the following:

A contract for a lease of premises. However, that portion of the contract for a lease of premises that indemnifies any person or organization for damage by fire, lightning, explosion, smoke, or leakage from automatic fire protective systems to premises while rented to you or temporarily occupied by you with permission of the owner is not an "insured contract";

2. SECTION IV – COMMERCIAL GENERAL LIABILITY CONDITIONS, Subsection 4. Other Insurance, Paragraph b. Excess Insurance, (1) (a) (ii) is deleted in its entirety and replaced by the following:

That is insurance for fire, lightning, explosion, smoke, or leakage from automatic fire protective systems for premises rented to you or temporarily occupied by you with permission of the owner;

3. The Damage To Premises Rented To You Limit section of the Declarations is amended to the greater of:

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a. $1,000,000; or

b. The amount shown in the Declarations as the Damage to Premises Rented to You Limit.

This is the most we will pay for all damage proximately caused by the same event, whether such damage results from fire, lightning, explosion, smoke, or leaks from automatic fire protective systems or any combination thereof.

F. HIPAA

SECTION I – COVERAGES, COVERAGE B PERSONAL AND ADVERTISING INJURY LIABILITY , is amended as follows:

1. Paragraph 1. Insuring Agreement is amended to include the following:

We will pay those sums that the insured becomes legally obligated to pay as damages because of a “violation(s)” of the Health Insurance Portability and Accountability Act (HIPAA). We have the right and the duty to defend the insured against any “suit,” “investigation,” or “civil proceeding” seeking these damages. However, we will have no duty to defend the insured against any “suit” seeking damages, “investigation,” or “civil proceeding” to which this insurance does not apply.

2. Paragraph 2. Exclusions is amended to include the following additional exclusions:

This insurance does not apply to:

a. Intentional, Willful, or Deliberate Violations

Any willful, intentional, or deliberate “violation(s)” by any insured.

b. Criminal Acts

Any “violation” which results in any criminal penalties under the HIPAA.

c. Other Remedies

Any remedy other than monetary damages for penalties assessed.

d. Compliance Reviews or Audits

Any compliance reviews by the Department of Health and Human Services.

3. SECTION V – DEFINITIONS is amended to include the following additional definitions:

a. “Civil proceeding” means an action by the Department of Health and Human Services (HHS) arising out of “violations.”

b. “Investigation” means an examination of an actual or alleged “violation(s)” by HHS. However, “investigation” does not include a Compliance Review.

c. “Violation” means the actual or alleged failure to comply with the regulations included in the HIPAA.
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G. Medical Payments – Limit Increased to $20,000, Extended Reporting Period

If COVERAGE C MEDICAL PAYMENTS is not otherwise excluded from this Coverage Part:

1. The Medical Expense Limit is changed subject to all of the terms of SECTION III - LIMITS OF INSURANCE to the greater of:

a. $20,000; or
b. The Medical Expense Limit shown in the Declarations of this Coverage Part.

2. SECTION I – COVERAGE, COVERAGE C MEDICAL PAYMENTS, Subsection 1. Insuring Agreement, a. (3) (b) is deleted in its entirety and replaced by the following:

(b) The expenses are incurred and reported to us within three years of the date of the accident.

H. Athletic Activities

SECTION I – COVERAGES, COVERAGE C MEDICAL PAYMENTS, Subsection 2. Exclusions, Paragraph e. Athletic Activities is deleted in its entirety and replaced with the following:

e. Athletic Activities

To a person injured while taking part in athletics.

I. Supplementary Payments

SECTION I – COVERAGES, SUPPLEMENTARY PAYMENTS - COVERAGE A AND B are amended as follows:

1. b. is deleted in its entirety and replaced by the following:

1. b. Up to $5000 for cost of bail bonds required because of accidents or traffic law violations arising out of the use of any vehicle to which the Bodily Injury Liability Coverage applies. We do not have to furnish these.

1.d. is deleted in its entirety and replaced by the following:

1. d. All reasonable expenses incurred by the insured at our request to assist us in the investigation or defense of the claim or "suit", including actual loss of earnings up to $1,000 a day because of time off from work.

J. Employee Indemnification Defense Coverage

SECTION I – COVERAGES, SUPPLEMENTARY PAYMENTS – COVERAGES A AND B the following is added:

We will pay, on your behalf, defense costs incurred by an “employee” in a criminal proceeding occurring in the course of employment.

The most we will pay for any “employee” who is alleged to be directly involved in a criminal proceeding is $25,000 regardless of the numbers of “employees,” claims or “suits” brought or persons or organizations making claims or bringing “suits.

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K. Key and Lock Replacement – Janitorial Services Client Coverage

SECTION I – COVERAGES, SUPPLEMENTARY PAYMENTS – COVERAGES A AND B is amended to include the following:

We will pay for the cost to replace keys and locks at the “clients” premises due to theft or other loss to keys entrusted to you by your “client,” up to a $10,000 limit per occurrence and $10,000 policy aggregate.

We will not pay for loss or damage resulting from theft or any other dishonest or criminal act that you or any of your partners, members, officers, “employees”, “managers”, directors, trustees, authorized representatives or any one to whom you entrust the keys of a “client” for any purpose commit, whether acting alone or in collusion with other persons.

The following, when used on this coverage, are defined as follows:

a. "Client" means an individual, company or organization with whom you have a written contract or work order for your services for a described premises and have billed for your services.

b. "Employee" means:

(1) Any natural person:

(a) While in your service or for 30 days after termination of service;

(b) Who you compensate directly by salary, wages or commissions; and

(2) Any natural person who is furnished temporarily to you:

(a) To substitute for a permanent "employee" as defined in Paragraph (1) above, who is on leave; or

(b) To meet seasonal or short-term workload conditions;

while that person is subject to your direction and control and performing services for you .

(3) "Employee" does not mean:

(a) Any agent, broker, person leased to you by a labor leasing firm, factor, commission merchant, consignee, independent contractor or representative of the same general character; or

(b) Any "manager," director or trustee except while performing acts coming within the scope of the usual duties of an "employee."

c. "Manager" means a person serving in a directorial capacity for a limited liability company.

L. Additional Insureds

SECTION II – WHO IS AN INSURED is amended as follows:

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Coverage Part, Paragraph 3.a. is deleted in its entirely and replaced by the following:

a. Coverage under this provision is afforded until the end of the policy period.

2. Each of the following is also an insured:

a. Medical Directors and Administrators – Your medical directors and administrators, but only while acting within the scope of and during the course of their duties as such. Such duties do not include the furnishing or failure to furnish professional services of any physician or psychiatrist in the treatment of a patient.

b. Managers and Supervisors – Your managers and supervisors are also insureds, but only with respect to their duties as your managers and supervisors. Managers and supervisors who are your “employees” are also insureds for “bodily injury” to a co - “employee” while in the course of his or her employment by you or performing duties related to the conduct of your business.

This provision does not change Item 2.a.(1)(a) as it applies to managers of a limited liability company.

c. Broadened Named Insured – Any organization and subsidiary thereof which you control and actively manage on the effective date of this Coverage Part. However, coverage does not apply to any organization or subsidiary not named in the Declarations as Named Insured, if they are also insured under another similar policy, but for its termination or the exhaustion of its limits of insurance.

d. Funding Source – Any person or organization with respect to their liability arising out of:

(1) Their financial control of you; or

(2) Premises they own, maintain or control while you lease or occupy these premises.

This insurance does not apply to structural alterations, new construction and demolition operations performed by or for that person or organization.

e. Home Care Providers – At the first Named Insured's option, any person or organization under your direct supervision and control while providing for you private home respite or foster home care for the developmentally disabled.

f. Managers, Landlords, or Lessors of Premises – Any person or organization with respect to their liability arising out of the ownership, maintenance or use of that part of the premises leased or rented to you subject to the following additional exclusions:

This insurance does not apply to:

(1) Any “occurrence” which takes place after you cease to be a tenant in that premises; or

(2) Structural alterations, new construction or demolition operations performed by or on behalf of that person or organization.

g. Lessor of Leased Equipment – Automatic Status When Required in Lease Agreement With You – Any person or organization from whom you lease equipment when you and such person or organization have agreed in writing in a contract or agreement that such person or organization is to be added as an additional insured on your policy. Such person or 215
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organization is an insured only with respect to liability for “bodily injury,” “property damage” or “personal and advertising injury” caused, in whole or in part, by your maintenance, operation or use of equipment leased to you by such person or organization.

A person’s or organization’s status as an additional insured under this endorsement ends when their contract or agreement with you for such leased equipment ends.

With respect to the insurance afforded to these additional insureds, this insurance does not apply to any “occurrence” which takes place after the equipment lease expires.

h. Grantors of Permits – Any state or political subdivision granting you a permit in connection with your premises subject to the following additional provision:

(1) This insurance applies only with respect to the following hazards for which the state or political subdivision has issued a permit in connection with the premises you own, rent or control and to which this insurance applies:

(a) The existence, maintenance, repair, construction, erection, or removal of advertising signs, awnings, canopies, cellar entrances, coal holes, driveways, manholes, marquees, hoist away openings, sidewalk vaults, street banners or decorations and similar exposures;

(b) The construction, erection, or removal of elevators; or

i. Vendors – Only with respect to “bodily injury” or “property damage” arising out of “your products” which are distributed or sold in the regular course of the vendor's business, subject to the following additional exclusions:

(1) The insurance afforded the vendor does not apply to:

(a) "Bodily injury" or "property damage" for which the vendor is obligated to pay damages by reason of the assumption of liability in a contract or agreement. This exclusion does not apply to liability for damages that the vendor would have in the absence of the contract or agreement;

(b) Any express warranty unauthorized by you;

(d) Repackaging, except when unpacked solely for the purpose of inspection, demonstration, testing, or the substitution of parts under instructions from the manufacturer, and then repackaged in the original container;

(e) Any failure to make such inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business, in connection with the distribution or sale of the products;

(f) Demonstration, installation, servicing or repair operations, except such operations performed at the vendor's premises in connection with the sale of the product;

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(g) Products which, after distribution or sale by you, have been labeled or relabeled or used as a container, part or ingredient of any other thing or substance by or for the vendor; or

(h) "Bodily injury" or "property damage" arising out of the sole negligence of the vendor for its own acts or omissions or those of its employees or anyone else acting on its behalf. However, this exclusion does not apply to:

(i) The exceptions contained in Sub-paragraphs (d) or (f); or

(ii) Such inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business, in connection with the distribution or sale of the products.

(2) This insurance does not apply to any insured person or organization, from whom you have acquired such products, or any ingredient, part or container, entering into, accompanying or containing.

j. Franchisor – Any person or organization with respect to their liability as the grantor of a franchise to you.

k. As Required by Contract – Any person or organization where required by a written contract executed prior to the occurrence of a loss. Such person or organization is an additional insured for "bodily injury," "property damage" or "personal and advertising injury" but only for liability arising out of the negligence of the named insured. The limits of insurance applicable to these additional insureds are the lesser of the policy limits or those limits specified in a contract or agreement. These limits are included within and not in addition to the limits of insurance shown in the Declarations

l. Owners, Lessees or Contractors – Any person or organization, but only with respect to liability for "bodily injury," "property damage" or "personal and advertising injury" caused, in whole or in part, by:

(1) Your acts or omissions; or

(2) The acts or omissions of those acting on your behalf;

in the performance of your ongoing operations for the additional insured when required by a contract.

With respect to the insurance afforded to these additional insureds, the following additional exclusions apply:

This insurance does not apply to "bodily injury" or "property damage" occurring after:

(a) All work, including materials, parts or equipment furnished in connection with such work, on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional insured(s) at the location of the covered operations has been completed; or

(b) That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same project.
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m. State or Political Subdivisions – Any state or political subdivision as required, subject to the following provisions:

(1) This insurance applies only with respect to operations performed by you or on your behalf for which the state or political subdivision has issued a permit, and is required by contract.

(2) This insurance does not apply to:

(a) "Bodily injury," "property damage" or "personal and advertising injury" arising out of operations performed for the state or municipality; or

(b) "Bodily injury" or "property damage" included within the "products-completed operations hazard."

M. Duties in the Event of Occurrence, Claim or Suit

SECTION IV – COMMERCIAL GENERAL LIABILITY CONDITIONS, Paragraph 2. is amended as follows:

a. is amended to include:

This condition applies only when the “occurrence” or offense is known to:

(1) You, if you are an individual;

(2) A partner, if you are a partnership; or

(3) An executive officer or insurance manager, if you are a corporation.

b. is amended to include:

This condition will not be considered breached unless the breach occurs after such claim or “su it” is known to:

(1) You, if you are an individual;

(2) A partner, if you are a partnership; or

(3) An executive officer or insurance manager, if you are a corporation.

N. Unintentional Failure To Disclose Hazards

SECTION IV – COMMERCIAL GENERAL LIABILITY CONDITIONS, 6. Representations is amended to include the following:

It is agreed that, based on our reliance on your representations as to existing hazards, if you should unintentionally fail to disclose all such hazards prior to the beginning of the policy period of this Coverage Part, we shall not deny coverage under this Coverage Part because of such failure.

O. Transfer of Rights of Recovery Against Others To Us

SECTION IV – COMMERCIAL GENERAL LIABILITY CONDITIONS, 8. Transfer of Rights of 218
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Recovery Against Others To Us is deleted in its entirety and replaced by the following:

If the insured has rights to recover all or part of any payment we have made under this Coverage Part, those rights are transferred to us . The insured must do nothing after loss to impair them. At our request, the insured will bring "suit" or transfer those rights to us and help us enforce them.

Therefore, the insured can waive the insurer’s rights of recovery prior to the occurrence of a loss, provided the waiver is made in a written contract.

P. Liberalization

SECTION IV – COMMERCIAL GENERAL LIABILITY CONDITIONS, is amended to include the following:

If we revise this endorsement to provide more coverage without additional premium charge, we will automatically provide the additional coverage to all endorsement holders as of the day the revision is effective in your state.

Q. Bodily Injury – Mental Anguish

SECTION V – DEFINITIONS, Paragraph 3. Is deleted in its entirety and replaced by the following:

“Bodily injury” means:

a. Bodily injury, sickness or disease sustained by a person, and includes mental anguish resulting from any of these; and

b. Except for mental anguish, includes death resulting from the foregoing (Item a. above) at any time.

R. Personal and Advertising Injury – Abuse of Process, Discrimination

If COVERAGE B PERSONAL AND ADVERTISING INJURY LIABILITY COVERAGE is not otherwise excluded from this Coverage Part, the definition of “personal and advertising injury” is amended as follows:

1. SECTION V – DEFINITIONS, Paragraph 14.b. is deleted in its entirety and replaced by the following:

b. Malicious prosecution or abuse of process;

2. SECTION V – DEFINITIONS, Paragraph 14. is amended by adding the following:

Discrimination based on race, color, religion, sex, age or national origin, except when:

a. Done intentionally by or at the direction of, or with the knowledge or consent of:

(1) Any insured; or

(2) Any executive officer, director, stockholder, partner or member of the insured;

b. Directly or indirectly related to the employment, former or prospective employment, termination of employment, or application for employment of any person or persons by an insured;
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c. Directly or indirectly related to the sale, rental, lease or sublease or prospective sales, rental, lease or sub-lease of any room, dwelling or premises by or at the direction of any insured; or

d. Insurance for such discrimination is prohibited by or held in violation of law, public policy, legislation, court decision or administrative ruling.

The above does not apply to fines or penalties imposed because of discrimination.

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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0592 Agenda Date: 10/28/2025
Agenda #: L. Category: Consent Calendar
FROM:

Community Services
SUBJECT:

Approve a Contract with TA Mentoring Services LLC for the Noble Youth Program to be delivered at Fontana Expanded Learning Program school sites.

RECOMMENDATION:

1. Approve the Non-Competitive Proposal purchase under the Purchasing Policies 3.1.5 for Single Source/Sole Source method.

2. Approve a contract with TA Mentoring Services LLC to provide and deliver the Noble Youth Leadership Program to the Fontana Expanded Learning Program’s 6th through 8th grade participants.

3. Authorize the City Manager or designee to sign the agreement, all related documents, and any amendments for the term of the agreement.
..End
COUNCIL GOALS:
· Increase citizen involvement by Developing future leaders. · Increase citizen involvement by promoting healthy lifestyle opportunities to residents of all ages.

DISCUSSION:

The Fontana Unified School District (FUSD) is contracting with the City of Fontana to serve as their Fontana Expanded Program (FELP) Provider. FELP is fully funded through the After School Education and Safety (ASES) Grant and Expanded Learning Opportunities Program (ELO-P).

As part of the grant-required curriculum components, FELP provides leadership opportunities and 21st Century Skill lessons to meet the program requirements as well as align with the district’sefforts to prepare students for education and leadership exploration.

It is recommended that the City contract with TA Mentoring Services LLC to provide and deliver the Noble Youth Leadership Program for FELP’s 6th through 8th grade participants in support of the Operating Agreement between the City and FUSD. The program will support student leadership development and expose them to social-emotional skills needed for successful social and academic City of Fontana Printed on 10/23/2025Page 1 of 2
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File #: 25-0592 Agenda Date: 10/28/2025
Agenda #: L. Category: Consent Calendar
achievement.

The Noble Youth Leadership curriculum will focus on teaching participants essential life values, including respect, dignity, and trust. Additionally, TA Mentoring LLC will train FELP staff on the Noble Youth Leadership curriculum.

This is a sole-source contract, as the curriculum is only available through TA Mentoring Services LLC and meets grant requirements. Purchasing Policy 3.1.5 allows the purchase when no competitive advantage would be gained from services that are unique and are only available from one source.

The contract template is approved by BBK.

FISCAL IMPACT:

The program is budgeted in the adopted FY 2025/2026 Community Services Department operating budget as designed by the FUSD Operating Agreement. The contract cost of $650,000.00 and will be funded from Budget Unit 38624101 in the Fontana After School Program Account 8130.

The City, per the Operating Agreement with the Fontana Unified School District, will be reimbursed in an amount not to exceed $14,880,864 per year for services provided to the grant based after school program.

MOTION:

Approve staff recommendation.

City of Fontana Printed on 10/23/2025Page 2 of 2
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16498.00000\14332960.4 A-1 EXHIBIT “A”

SCOPE OF SERVICES
EXHIBIT “A”

SCOPE OF SERVICES
The Contractor T.A. Mentoring Services LLC shall provide the City with a Noble Youth Leadership sessions at the at Fontan Expanded Learning Program sites for participants grades sixth through eighth. The Noble Youth Leadership curriculum will focus on teaching students’ important values in life such as respect, dignity, love and trust.

Professional development will be provided to Fontana Expanded Learning Program staff on the Noble Youth Leadership curriculum. The workshops, presentations, and staff development will be conducted within a nine (9) month timeframe with sessions scheduled to begin on the execution of contract and conclude by June 30, 2026.

• Schedule:
o Session will begin on the execution of contract and conclude by June 30, 2026.

• The Contractor sessions will include:
o 12 sessions (each cohort)
o Up to 900 students served (3 cohorts at each site)
o FELP staff members will attend Noble Youth sessions
o Train staff in Restorative Practice circles.
o Parent informational meetings at each site or through Zoom o Follow-up calls/meetings with students and parents
o Develop outreach materials in partnership with Fontana Expanded Learning Program staff. o Three celebrations for program participants in Noble Youth - Food will be provided. o Sweatshirts, bracelets, and backpacks are provided to student participants. o Planning and implementation
o Summary report of program outcomes
o Presentation to Fontana Expanded Learning Program staff on program implementation. o Will support City of Fontana efforts to collect data based on evaluation outcomes agreed to collectively.
o Noble Youth staff will attend all meeting requests by the Fontana Expanded Learning Program. o In-Kind services - City will provide a space for three (3) celebrations. If allowed by Public Health Department.

• The Contractor shall provide the City with the following:
o The Contractor agrees to provide a valid City of Fontana Business License no less than 30 days before the performance to guarantee payment for the following services. o Completion of fingerprinting and background checks for participating staff. o Completion of Mandated Reporter Training through Vector Solutions. • The City reserves the right to cancel or reschedule any single event date listed on the contract, with or without cause, upon thirty (30) days’ notice given in writing. • Contractor will be funded through the Expanded Learning Opportunities Program (ELO- P). • The Contractor shall be paid within thirty (30) days of services rendered as follows:

June 30, 2026
$650,000 (ELOP Funded Schools)
$650,000 (Total)

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16498.00000\14332960.4 A-2 EXHIBIT “A”

SCOPE OF SERVICES
Contractor shall perform all services under this agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the state of California.

Contractor represents and maintains that it is skilled in the professional calling necessary to perform the services.

The Standard Engagement Agreement and attached Terms and Conditions are hereby acknowledged and made a part of the agreement between the parties. The City reserves the right to b roadcast, televise and photograph the above group for the purpose of advertisement.

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TA Mentoring Services, LLC: 760-771-7701 - [email protected] TA Mentoring Services, LLC
Noble Youth (Restorative Circles and Mentoring)
Scope of work

Expanded Learning Youth Leadership Vision
To enhance the quality of life for youth in San Bernardino County Selection Process - Approximately 900 Expanded Learning Program students from Fontana Unified School District will be selected as Noble Youth participants. Students in grades six, seven, and eight can also request to be part of the program during recruitment period.

Cost to Participants - There is no cost to participants; Fontana Expanded Learning Program (FELP) will cover costs through the after-school program.

Curriculum - The curriculum to be used is called “Joven Noble” (Noble Youth). The curriculum will focus on teaching students about important values in life: respect, dignity, love, and trust. The curriculum is from the National Compadres Network and is evidence based.

Mentoring - TA Mentoring Services will provide 1 on 1 mentoring to students in the FELP Program. Mentors will interact, participate, and follow up with students throughout the After School Program. Mentors will help provide support for selected students. Mentors will be available during FELP programming times.

Staff Follow-Up – TA Mentoring Services, LLC will provide ongoing check-ins with site staff. Mentors will track and record student attendance for each session of the 12 sessions.

FELP Training- TA Mentoring Services staff will attend summer training for FELP staff in preparation for the following school year.

Informational Sessions with Parents - Students will attend an informational session with their parents to outline the objectives of the program and review guidelines and expectations.

Sessions with Students - The participants will go through 12 distinct sessions as part of the curriculum.

Training FELP staff - Fontana Expanded Learning Program (FELP) staff will participate in training to learn how to implement Restorative Practices circles at their sites.

Ceremony- TA Mentoring Services will be responsible for all costs/equipment/materials associated with rites of passage ceremonies.

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TA Mentoring Services, LLC: 760-771-7701 - [email protected] CSUSB Leadership Center- The participants in Noble Youth will get to attend the Challenge Center. Continuing to build leadership and team building skills with their peers.

Advanced Noble Youth (NY)- TA Mentoring Services will offer an advanced Noble Youth Program for students that have completed the first part and have received a certificate. The advanced will offer hands-on experience in creating a talking piece, necklace, a mask, and a shield offering the students an opportunity to learn more about themselves and their peers. (12-sessions)

Contract Start/End – August 18, 2025, to June 30, 2026

Services provided to - Fontana Expanded Learning Program (FELP)

TA Mentoring Services, LLC fee includes
:
• 12 sessions (each cohort)
• Up to 900 students served (3 cohorts at each site)
• FELP staff members will attend Noble Youth sessions
• Train staff in Restorative Practice circles.
• Parent informational meetings at each site or through Zoom • Follow-up calls/meetings with students and parents
• Develop outreach materials in partnership with Fontana Expanded Learning Program staff.
• Three celebrations for program participants in Noble Youth - Food will be provided.
• Sweatshirts, bracelets and backpacks are provided to student participants. • Planning and implementation
• Summary report of program outcomes
• Presentation to Fontana Expanded Learning Program staff on program implementation.

• Will support City of Fontana efforts to collect data based on evaluation outcomes agreed to collectively.

In-kind services – Fontana Expanded Learning Program will provide a space for three ceremonies, certificates, and decorations.

This fee includes attending all meeting requests by the Fontana Expanded Learning Program staff.

Program payment: Fontana Expanded Learning Program agrees to pay T.A Mentoring Services LLC. in 3 installments based on the contract budget. (start, middle, end) Total Cost: $650,000

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TA Mentoring Services, LLC: 760-771-7701 - [email protected] Program Budget
Program Budget (based on up to 900 youth served):

Item Total
Sweatshirts - 300 x 3 Cohorts $35,000
Backpacks 300 x 3 Cohorts $10,000
Bracelets 300 x 3 Cohorts $3,000
Ceremony for 900 Participants X3
Cohorts $30,000
Student Rewards 300 x 3 Cohorts $7,000

Trainings, Special Meetings, Program
Evaluation $50,000
1 - Facilitator Lead (Program
Manager) $110,000
7 Assistant Facilitators $340,000
The CSUSB Challenge Center-
Facility fee. 39.00 Per Student $35,000
Transportation to CSUSB Challenge
Center $21,000
Supplies for (Advance Noble Youth) $9,000
Total $650,000

Program Materials - Sweatshirts and backpacks are presented to students once they complete the program.

Bracelets - Presented to each participant.

Student Rewards - Students who attend weekly and actively participate are rewarded with snacks and prizes.

Ceremonies - At the end of each cohort, students are invited to attend the ceremony. Food, cake, and drinks are provided for students and their families.

Trainings - We would like to bring in organizations to provide additional training to Fontana Expanded Learning Program (FELP) staff. This would include additional meetings, evaluation and training requested by FELP.

Facilitator - Provide oversight and program implementation.

Assistant Facilitators - Provide program support to school sites and help staff with implementation.

The CSUSB Challenge Center- This is the cost per student to attend the course.

Transportation to CSUSB Challenge Center- This is the cost of transporting students to and from the Challenge Center from each school site.
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TA Mentoring Services, LLC: 760-771-7701 - [email protected] Supplies for advance NY-TA Mentoring Services will provide all supplies for the advanced Curriculum (talking piece, shield, necklace and mask activity. 228
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CIT

Y OF FONTANA

PROFESSIONAL SERVICES AGREEMENT
_________________
This
Agreement is made and entered into as of ___________, 20__ by and between the City of Fontana, a public agency organized and operating under the laws of the State of California with its principal place of business at 8353 Sierra Avenue, Fontana, California 92335 (“City”), and ____________________ , a ___________________________________ with its principal place of business at _____________________________________ (hereinafter referred to as “Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

RECI
TALS
A. City is a public agency of the State of California and is in need of professional services for the following project:
____________________________________________________________________________ (hereinafter referred to as “the Project”).

B. Cons
ultant is duly licensed and has the necessary qualifications to provide such services.

C. The Parties desire by this Agreement to establish the terms for City to retain Consultant to provide the services described herein.

AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

1. Services .

Consultant shall provide the City with the services described in the Scope of Services attached hereto as Exhibit “A.” The Services are more particularly described in Exhibit “A” attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibit attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

2. Com
pensation.
a. Subject to paragraph 2(b) below, the City shall pay for such services in accordance with the Schedule of Charges set forth in Exhibit “A.” b. In no event shall the total amount paid for services rendered by Consultant under this Agreement exceed the sum of $ This amount is to cover all printing and related costs, and the City will not pay any additional fees for printing expenses.

Periodic payments shall be made within 30 days of receipt of an invoice which includes a detailed description of the work performed. Payments to Consultant for work performed will be made on a monthly billing basis.

3. Addi
tional Work.
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If
changes in the work seem merited by Consultant or the City , and informal consultations with the other party indicate that a change is warranted, it shall be processed in the following manner: a letter outlining the changes shall be forwarded to the City by Consultant with a statement of estimated changes in fee or time schedule. An amendment to this Agreement shall be prepared by the City and executed by both Parties before performance of such services, or the City will not be required to pay for the changes in the scope of work. Such amendment shall not render ineffective or invalidate unaffected portions of this Agreement.

4. Maintenance of Records.

Books, documents, papers, accounting records, and other evidence pertaining to costs incurred shall be maintained by Consultant and made available at all reasonable times during the contract period and for four (4) years from the date of final payment under the contract for inspection by City.

5. Term:

The term of this Agreement shall be from ______________ to ______________, unless earlier terminated as provided herein. The Parties may, by mutual, written consent, extend the term of this Agreement if necessary to complete the Project. Consultant shall perform its services in a prompt and timely manner within the term of this Agreement and shall commence performance upon receipt of written notice from the City to proceed (“Notice to Proceed”) . The Notice to Proceed shall set forth the date of commencement of work.

6. Delays in Performance.
a. Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable control of the non - performing party. For purposes of this Agreement, such circumstances include but are not limited to, abnormal weather conditions; floods; earthquakes; fire; epidemics; war; riots and other civil disturbances; strikes, lockouts, work slowdowns, and other labor disturbances; sabotage or judicial restraint.
b. Should such circumstances occur, the non- performing party shall, within a reasonable time of being prevented from performing, give written notice to the other party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement.

7. Compliance with Law.
a. Consultant shall comply with all applicable laws, ordinances, codes and regulations of the federal, state and local government, including Cal/OSHA requirements. b. If required, Consultant shall assist the City, as requested, in obtaining and maintaining all permits required of Consultant by federal, state and local regulatory agencies. c. If applicable, Consultant is responsible for all costs of clean up and/ or removal of hazardous and toxic substances spilled as a result of his or her services or operations performed under this Agreement.
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8. St
andard of Care
Consultant’s services will be performed in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions.

9. Assignment and Subconsultant
Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. Nothing contained herein shall prevent Consultant from employing independent associates, and subconsultants as Consultant may deem appropriate to assist in the performance of services hereunder.

10. Independent Contractor
Consultant is retained as an independent contractor and is not an employee of City . No employee or agent of Consultant shall become an employee of City . The work to be performed shall be in accordance with the work described in this Agreement, subject to such directions and amendments from City as herein provided.

11. Insurance . Consultant shall not commence work for the City until it has provided evidence satisfactory to the City it has secured all insurance required under this section. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required under this section. a. Commercial General Liability
(i) The Consultant shall take out and maintain, during the performance of all work under this Agreement, in amounts not less than specified herein, Commercial General Liability Insurance, in a form and with insurance companies acceptable to the City.
(ii) Cove rage for Commercial General Liability insurance shall be at least as broad as the following:
(1) Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 00 01) or exact equivalent. (iii) Commercial General Liability Insurance must include coverage for the following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclusion deleted
(7) Contractual Liability with respect to this Agreement 231
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(8) P
roperty Damage
(9) Independent Contractors Coverage
(iv) The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; (3) products/completed operations liability; or (4) contain any other exclusion contrary to the Agreement.
(v) The policy shall give City, its officia ls, officers, employees, agents and City designated volunteers additional insured status using ISO endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same coverage. (vi) The general liability program may utilize either deductibles or provide coverage excess of a self-insured retention, subject to written approval by the City , and provided that such deductibles shall not apply to the City as an additional insured. b. Automobile Liability
(i) At all times during the performance of the work under this Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non- owned and hired vehicles, in a form and with insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as broad as Insurance Services Office Form Number CA 00 01 covering automobile liability (Coverage Symbol 1, any auto).
(iii) The policy shall give City, its officials, officers, employees, agents and City designated volunteers additional insured status. (iv) Subject to written approval by the City , the automobile liability program may utilize deductibles, provided that such deductibles shall not apply to the City as an additional insured, but not a self-insured retention.
c. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that he/she is aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for workers’ compensation or to undertake self -insurance in accordance with the provisions of that code, and he/she will comply with such provisions before commencing work under this Agreement.
(ii) To t
he extent Consultant has employees at any time during the term of this Agreement, at all times during the performance of the work under this Agreement, the Consultant shall maintain full compensation insurance for all persons employed directly by him/her to carry out the work contemplated under this Agreement, all in accordance with the “Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the State of California and any acts amendatory thereof, and Employer’s Liability Coverage in amounts indicated herein. Consultant shall require all subconsultants to obtain and maintain, for the period required by this Agreement, workers’ compensation coverage of the same type and limits as specified in this section.
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d. Pr
ofessional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement the Consultant shall maintain professional liability or Errors and Omissions insurance appropriate to its profession, in a form and with insurance companies acceptable to the C ity and in an amount indicated herein. This insurance shall be endorsed to include contractual liability applicable to this Agreement and shall be written on a policy form coverage specifically designed to protect against acts, errors or omissions of the Consultant. “Covered Professional Services” as designated in the policy must specifically include work performed under this Agreement. The policy must “pay on behalf of” the insured and must include a provision establishing the insurer's duty to defend.
e. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:

Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/ $2,000,000 aggregate for bodily injury, personal injury, and property
damage
Aut
omobile Liability $1,000,000 combined single limit
Employer’s Liability $1,000,000 per accident or disease Professional Liability $1,000,000 per claim and aggregate (errors and omissions)
(ii) D
efense costs shall be payable in addition to the limits. (iii) Requirements of specific coverage or limits contained in this section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. Any available coverage shall be provided to the parties required to be named as Additional Insured pursuant to this Agreement. f. Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City evidence of insurance from an insurer or insurers certifying to the coverage of all insurance required herein. Such evidence shall include original copies of the ISO CG 00 01 (or insurer’s equivalent) signed by the insurer’s representative and Certificate of Insurance (Acord Form 25 - S or equivalent), together with required endorsements. All evidence of insurance shall be signed by a properly authorized officer, agent, or qualified representative of the insurer and shall certify the names of the insured, any additional insureds, where appropriate, the type and amount of the insurance, the location and operations to which the insurance applies, and the expiration date of such insurance.
g. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior written notice of cancellation of any policy required by this Agreement, except that the 233
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Cons
ultant shall provide at least ten (10) days prior written notice of cancellation of any such policy due to non-payment of premium. If any of the required coverage is cancelled or expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s) including the General Liability Additional Insured Endorsement to the City at least ten (10) days prior to the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy shall each contain a provision stating that Consultant’s policy is primary insurance and that any insurance, self -insurance or other coverage maintained by the City or any named insureds shall not be called upon to contribute to any loss.
(iii) The retroactive date (if any) of each policy is to be no later than the effective date of this Agreement. Consultant shall maintain such coverage continuously for a period of at least three years after the completion of the work under this Agreement.

Consultant shall purchase a one (1) year extended reporting period A) if the retroactive date is advanced past the effective date of this Agreement; B) if the policy is cancelled or not renewed; or C) if the policy is replaced by another claims-made policy with a retroactive date subsequent to the effective date of this Agreement.
(iv) All required insurance coverages , except for the professional liability coverage, shall contain or be endorsed to provide a waiver of subrogation in favor of the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants.
(v) The limits set forth herein shall apply separately to each insured against whom claims are made or suits are brought, except with respect to the limits of liability.

Further the limits set forth herein shall not be construed to relieve the Consultant from liability in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the City and shall not preclude the City from taking such other actions available to the City under other provisions of the Agreement or law.
h. Qualifying Insurers
(i) All policies required shall be issued by acceptable insurance companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and admitted to transact in the business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.
i. Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance coverage to be maintained by Consultant, and any approval of said insurance by the City, is not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by the Consultant pursuant to this Agreement, including but not limited to, the provisions concerning indemnification.
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(ii) I
f at any time during the life of the Agreement, any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement.
(iii) The City may require the Consultant to provide complete copies of all insurance policies in effect for the duration of the Project. (iv) Neither the City nor any of its officials, officers, employees, agents or volunteers shall be personally responsible for any liability arising under or by virtue of this Agreement.
j. Subconsultant Insurance Requirements . Consultant shall not allow any subcontractors or subconsultants to commence work on any subcontract until they have provided evidence satisfactory to the City that they have secured all insurance required under this section. Policies of commercial general liability insurance provided by such subcontractors or subconsultants shall be endorsed to name the City as an additional insured using ISO form CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by Consultant, City may approve different scopes or minimum limits of insurance for particular subcontractors or subconsultants.

12. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with counsel of City ’s choosing), indemnify and hold the City , its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all damages, expert witness fees and attorney’s fees and other related costs and expenses. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its officials, officers, employees, agents, or volunteers. b. If Cons
ultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance of “design professional” services (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code secti on 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

13. Cal
ifornia Labor Code Requirements.
a. Cons ultant is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., which require the payment of prevailing wage rates and the performance of other requirements on certain “public works” and “maintenance” projects 235

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(“Prevailing Wage Laws”). If the services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. Consultant shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or alleged failure to comply with the Prevailing Wage Laws . It shall be mandatory upon the Consultant and all subconsultants to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employment of apprentices (Labor Code Section 1777.5), certified payroll records (Labor Code Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment of contractors and subcontractors (Labor Code Section 1777.1). The requirement to submit certified payroll records directly to the Labor Commissioner under Labor Code section 1771.4 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Section 1771.4. b. I f the services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants performing such services must be register ed with the Department of Industrial Relations. Consultant shall maintain registration for the duration of the Project and require the same of any subconsultants, as applicable. Notwithstanding the foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1. c. This Agreement may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations. It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements. Any stop orders issued by the Department of Industrial Relations against Consultant or any subcontractor that affect Consultant’s performance of services, including any delay, shall be Consultant’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Consultant caused delay and shall not be compensable by the City . Consultant shall defend, indemnify and hold the City , its officials, officers, employees and agents free and harmless from any claim or liability arising out of stop orders issued by the Department of Industrial Relations against Consultant or any subcontractor.

14. Verification of Employment Eligibility.

By executing this Agreement, Consultant verifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time, and shall require all subconsultants and sub - subconsultants to comply with the same.

15. ______________

16. Laws and Venue.

This Agreement shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a state or federal court situated in the County of San Bernardino, State of California.
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17 Termination or Abandonment
a. City has the right to terminate or abandon any portion or all of the work under this Agreement by giving ten (10) calendar days written notice to Consultant. In such event, City shall be immediately given title and possession to all original field notes, drawings and specifications, written reports and other documents produced or developed for that portion of the work completed and/or being abandoned. City shall pay Consultant the reasonable value of services rendered for any portion of the work completed prior to termination. If s aid termination occurs prior to completion of any task for the Project for which a payment request has not been received, the charge for services performed during such task shall be the reasonable value of such services, based on an amount mutually agreed to by City and Consultant of the portion of such task completed but not paid prior to said termination. City shall not be liable for any costs other than the charges or portions thereof which are specified herein.

Consultant shall not be entitled to payment for unperformed services, and shall not be entitled to damages or compensation for termination of work.
b. Consultant may terminate its obligation to provide further services under this Agreement upon thirty (30) calendar days’ written notice to City o nly in the event of substantial failure by City to perform in accordance with the terms of this Agreement through no fault of Consultant.
18 Documents. Except as otherwise provided in “Termination or Abandonment,” above, all original field notes, written reports, Drawings and Specifications and other documents, produced or developed for the Project shall, upon payment in full for the services described in this Agreement, be furnished to and become the property of the City.

19. Organization
Consultant shall assign _________________________ as Project Manager. The Project Manager shall not be removed from the Project or reassigned without the prior written consent of the City.

20. Limitation of Agreement.

This Agreement is limited to and includes only the work included in the Project described above.

21. Notice

Any notice or instrument required to be given or delivered by this Agreement may be given or delivered by depositing the same in any United States Post Office, certified mail, return receipt requested, postage prepaid, addressed to:

CITY:

City of Fontana
8353 Sierra Avenue
Fontana, California 92335
Attn: _________________
CONSULTANT:
_______________________________
_______________________________
_______________________________
Attn: __________________________
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and shall be effective upon receipt thereof.

22. Third Party Rights
Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than the City and the Consultant.

23. Equal Opportunity Employment.

Consultant represents that it is an equal opportunity employer and that it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex, age or other interests protected by the State or Federal Constitutions. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

24. Entire Agreement
This Agreement, with its exhibits, represents the entire understanding of City and Consultant as to those matters contained herein, and supersedes and cancels any prior or contemporaneous oral or written understanding, promises or representations with respect to those matters covered hereunder. Each Party acknowledges that no representations, inducements, promises or agreements have been made by any person which are not incorporated herein, and that any other agreements shall be void. This Agreement may not be modified or altered except in writing signed by both Parties hereto. This is an integrated Agreement.

25. Severability
The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not render the remaining provisions unenforceable, invalid or illegal.

26. Successors and Assigns
This Agreement shall be binding upon and shall inure to the benefit of the successors in interest, executors, administrators and assigns of each Party to this Agreement. However, Consultant shall not assign or transfer by operation of law or otherwise any or all of its rights, burdens, duties or obligations without the prior written consent of City. A ny attempted assignment without such consent shall be invalid and void.

27. Non-Waiver
None of the provisions of this Agreement shall be considered waived by either P arty, unless such waiver is specifically specified in writing.

28. Time of Essence
Time is of the essence for each and every provision of this Agreement. 238

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29. City’s Right to Employ Other Consultants
City reserves its right to employ other consultants, including engineers, in connection with this Project or other projects.

30. Prohibited Interests
Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no director, official, officer or employee of City , during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.
[SIGNATURES ON FOLLOWING PAGE]
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SIGNATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT

CITY OF FONTANA

By:

Matthew C. Ballantyne
City Manager
VENDOR NAME.

By:
_____________
_____________

Attest:

By:

Germaine McClellan Key
City Clerk

By:
_____________
_____________

By:
______________
Deputy City Manager

Approved as to form:

Best Best & Krieger LLP
City Attorney

_____________________________
__________
______________________

IN COMPLIANCE WITH CONTRACT INSURANCE REQUIREMENTS

By: ______________________________
Rakesha L. Voss
Human Resources & Risk Management Director

IN COMPLIANCE WITH PURCHASING AND CONTRACT ADMINISTRATION POLICIES/PROCEDURES

___________________________________
Jessica Brown
Chief Financial Officer

Sid Lambert
Purchasing Manager

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EXHIBIT A
Scope of Services

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242

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244
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0593 Agenda Date: 10/28/2025
Agenda #: M. Category: Consent Calendar
FROM:

Community Services
SUBJECT:

Approve a Contract with EBK & Company LLC to provide the US Engineering League, Mechanical Engineering/Robotics Club for the Fontana Expanded Learning Program’s Middle School sites.

RECOMMENDATION:

1. Approve the Non-Competitive Proposal purchase under the Purchasing Policies 3.1.5 for Single Source/Sole Source method.

2. Approve a contract with EBK & Company LLC to provide and deliver the US Engineering League, Mechanical Engineering/Robotics Club for the Fontana Expanded Learning Program at ASES/ELO-P Funded Middle School sites.

3. Authorize the City Manager or designee to sign the agreement, all related documents, and any amendments for the term of the agreement.

COUNCIL GOALS:
· Increase citizen involvement by promoting healthy lifestyle opportunities to residents of all ages.
· Practice sound fiscal management by living within our means while investing in the future.

DISCUSSION:

As part of the grant-required curriculum components, the FELP provides science, technology, engineering, and mathematics opportunities and 21st Century Skill lessons to meet the program requirements as well as align with the district’s efforts to prepare students for education and career exploration.

It is recommended the City contract with EBK & Company LLC to provide the United States Engineering League curriculum for the Fontana Expanded Learning Program at five (5) middle school sites to support the Operating Agreement between the City and FUSD. The program will support and City of Fontana Printed on 10/23/2025Page 1 of 2
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247
File #: 25-0593 Agenda Date: 10/28/2025
Agenda #: M. Category: Consent Calendar
increase engagement in STEM, exposing participants to coding, mechanical engineering, physics, and art.

The United States Engineering League curriculum focuses on teaching students the essential values in STEM, such as media and technology literacy, productivity, social skills, communication, flexibility, and initiative. Additionally, EBK & Company LLC will train FELP staff on the US Engineering League curriculum.

FISCAL IMPACT:

The program is budgeted in the adopted FY 2025/2026 Community Services Department operating budget as designed by the FUSD Operating Agreement. The cost of the contract is $351,000 and will be funded from Budget Unit 38624101 in the account 8130.

MOTION:

Approve staff recommendation
City of Fontana Printed on 10/23/2025Page 2 of 2
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248
A-1 EXHIBIT “A”

SCOPE OF SERVICES
16498.00000\14332960.4
EXHIBIT “A”

SCOPE OF SERVICES

The Contractor EBK & Company LLC shall provide the City with Race Engineering sessions and the SumoBots League Program at five (5) Fontana Expanded Learning Program middle school sites. The USEL curriculum will focus on teaching students coding and fundamental building skills. Professional development will be provided to Fontana Expanded Learning Program staff on the USEL curriculum. The workshops, presentations, and staff development will be conducted within a (9) month timeframe with sessions scheduled to begin on the execution of a contract to June 30, 2026.

• Schedule:
o Session will begin on the execution of the contract and conclude by June 30, 2026

• The Contractor sessions will include:
o Full Implementation at five (5) middle school sites.
o 10-week session on Race Engineering sessions (RC Cars) o USEL will provide 2 instructors per site, a USEL Race Engineering Kit, RC replacement parts, Professional Development, and all instruction to implement the program. o RC Tournament (Event supply kits, Tournament Track, Participate Shirts, Trophies)

o Full Implementation at five (5) middle school sites
o 10-week session on SumoBots League Program
o USEL will provide 2 instructors per site, computer equipment, SumoBot battle ring, SumoBot Kit Pieces and Kits, and all instruction to implement the program o WRO Tournament (Event supply kits, Participate Shirts, Trophies) o Up to 600 students served.
o Up to 40 staff members training development
o Professional Video / Photography
o Summary report of program outcomes.
o Will support the City of Fontana's efforts to collect data based on evaluation outcomes agreed to collectively.

• The Contractor shall provide the City with the following:
o The Contractor agrees to provide a valid City of Fontana Business License no less than 30 days prior to the performance to guarantee payment following services. o The Contractor agrees to submit their staff working directly with participants to fingerprinting background checks and completion of Vector Solutions Mandated Reporter training prior to the performance.
• The City reserves the right to cancel or reschedule any single event date listed on the contract, with or without cause, upon thirty (30) days’ notice given in writing.

• Contractor will be funded through the Expanded Learning Opportunities Program (ELO-P) Grant

• The Contractor shall be paid within thirty (30) days of services rendered as follows:

June 30, 2026
$300,000.00 (ELO-P Funded Schools)
$351,000.00 (Total)

249
A-2 EXHIBIT “A”

SCOPE OF SERVICES
16498.00000\14332960.4

Contractor shall perform all services under this agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the state of California. Contractor represents and maintains that it is skilled in the professional calling necessary to perform the services.

The Standard Engagement Agreement and attached Terms and Conditions are hereby acknowledged and made a part of the agreement between the parties. The City reserves the right to broadcast, televise and photograph the above group for the purpose of advertisement.

The City reserves the right to cancel the event at their own discretion in the event of rain, lightning, high winds and/or any unforeseen weather conditions. In the event that the Contractor is set-up and ready to perform when the event is cancelled the Contractor will be paid 50% of their fee. If the event is cancelled prior to arrival and set- up the Contractor may be offered an alternative performance date at the same pay rate.
250
2025/2026
PROJECT PROPOSAL 2025/26
Prepared by Derrick Kreimann
on August 27, 2025
USEL Youth Robotics program proposes an expanded and enhanced partnership with the Fontana Expanded Learning Program. Our program aims to provide comprehensive STEAM education, fostering critical thinking, teamwork, and advanced technical skills among students in grades 6th - 8th at middle school sites . This proposal outlines the scope of work, objectives, and expected outcomes for the 2025-2026 academic year.

EXECUTIVE SUMMARY

SCOPE OF WORK
FELP Middle Schools (6th - 8th Grade): Implement engineering programs in schools selected by FELP for students attending middle school , focusing on AI coding, engineering, critical thinking, and teamwork.

Host events alongside district partners to showcase student achievement.

FELP PROGRAMS
USEL SumoBots: Mechanical Engineering focused robotics program that includes fundamental coding of a remote control, with the overall theme of robot construction. This program has students design unique battling robots to push opposing robots out of a sumo ring. It is a fun way to have students think critically and creatively to achieve positive results.

ENGINEERING PROGRAMS
USEL Race Engineering: Mechanical Engineering focused engineering program that includes instruction on race physics and car design, with the overall theme of brand building, mechanical and electrical engineering. This program has students redesign RC cars to achieve artistic design and speed awards in competition. It is a fun way to have students see how art and engineering are linked in different fields. 251

COMPETITIONS AND EVENTS
Host annual RoboPalooza and District Finals, providing a platform for students to showcase their skills to the community.

Facilitate participation in national competitions, aiming for high performance and representation from FELP.

Prepare for participation in international events, including the WRO International Open Championship in 2026.

PROGRAM OBJECTIVES
Skill Development: Equip students with essential robotics and AI coding skills, fostering problem-solving, critical thinking, and teamwork that will be in demand in the workforce of the future.

Increased Student Access : Increase student participation at all FELP school sites and interest in STEAM fields by providing more access to competitive robotics programs.

Enhance Student Ability : Prepare students to utilize AI programs to enhance their current abilities by working alongside AI to come up with solutions.

Sustainable Growth: Build a sustainable and scalable robotics program that can grow with increasing student interest and participation.

Increased Participation In AI Programs: Grow student interest in AI using robotics and vision learning via RC program
Enhanced Skills: Demonstrate measurable improvements in student robotics, coding, and AI.

Competition Success: Achieve high performance in district, national, and international competitions.

Positive Feedback: Receive positive feedback from students, parents, and educators, highlighting the program's impact on student development and engagement.

EXPECTED OUTCOMES
252

TIMELINE
Program Launch: September 2025
RoboPalooza Event: December 2025
Future Engineers Event : April 2026
Program Concludes: May 2026

CONCLUSION
The USEL Youth Robotics program is dedicated to empowering FUSD students through innovative robotics education. By expanding our partnership with the City Of Fontana FELP department, we aim to create a dynamic and impactful program that prepares students for future success in STEAM fields.

Derrick Kreimann
Phone: 909-644-7545
Email: [email protected]
2 Dedicated USEL Instructors Per Middle School Site
Meet Once a Week for 90 Minutes
Minimum 8 Weeks Per Semester
USEL Delivers and Transports Equipment
FELP will register and provide students
USEL to host competitions with exact dates TBD

IMPLEMENTATION PROCESS
253
Solution Service Pricing
USEL SumoBots Implementation (5 School Sites) $80,000.00 USEL SumoBot Kits (150) 30 Per School Site $60,000.00
RoboPalooza Showcase Event $25,000.00
Professional Video/Photography $10,500.00
Subtotal $175,500
USEL Race Engineering Implementation (RC Cars) $80,000.00 USEL Race Engineering Kits (150) 30 Per Site $60,000.00 Future Engineers Showcase Event $25,000.00
Professional Video/Photography $10,500.00
Subtotal $175,500
Total Price Total $351,000
USEL SumoBots Events Future Engineers Showcase Event
Event Supply Kits Event Supply Kits
Competition Ring
Operation Cost (Staffing, Setup, Pre Event Registration Setup, Event Planning)
Certificates Trophies
Operation Cost (Staffing, Setup, Pre
Event Registration Setup, Event
Planning) Certificates
Trophies Official WRO Future Engineers Mats
Fontana Expanded Learning Program
Sep 2025 -- Dec 2025
1st Semester
February 2026 - May 2026
2nd Semester
254
1 16498.00150\32126437.1
CIT

Y OF FONTANA

B. Cons
ultant is duly licensed and has the necessary qualifications to provide such services.

C. The Parties desire by this Agreement to establish the terms for City to retain Consultant to provide the services described herein.

AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

1. Services .

3. Addi
tional Work.
255
2 16498.00150\32126437.1
If
changes in the work seem merited by Consultant or the City , and informal consultations with the other party indicate that a change is warranted, it shall be processed in the following manner: a letter outlining the changes shall be forwarded to the City by Consultant with a statement of estimated changes in fee or time schedule. An amendment to this Agreement shall be prepared by the City and executed by both Parties before performance of such services, or the City will not be required to pay for the changes in the scope of work. Such amendment shall not render ineffective or invalidate unaffected portions of this Agreement.

4. Maintenance of Records.

5. Term:

11. Insurance . Consultant shall not commence work for the City until it has provided evidence satisfactory to the City it has secured all insurance required under this section. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required under this section. a. Commercial General Liability
(i) The Consultant shall take out and maintain, during the performance of all work under this Agreement, in amounts not less than specified herein, Commercial General Liability Insurance, in a form and with insurance companies acceptable to the City.
(ii) Cove rage for Commercial General Liability insurance shall be at least as broad as the following:
(1) Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 00 01) or exact equivalent. (iii) Commercial General Liability Insurance must include coverage for the following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclusion deleted
(7) Contractual Liability with respect to this Agreement 257
4 16498.00150\32126437.1
(8) P
roperty Damage
(9) Independent Contractors Coverage
(iv) The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; (3) products/completed operations liability; or (4) contain any other exclusion contrary to the Agreement.
(v) The policy shall give City, its officia ls, officers, employees, agents and City designated volunteers additional insured status using ISO endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same coverage. (vi) The general liability program may utilize either deductibles or provide coverage excess of a self-insured retention, subject to written approval by the City , and provided that such deductibles shall not apply to the City as an additional insured. b. Automobile Liability
(i) At all times during the performance of the work under this Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non- owned and hired vehicles, in a form and with insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as broad as Insurance Services Office Form Number CA 00 01 covering automobile liability (Coverage Symbol 1, any auto).
(iii) The policy shall give City, its officials, officers, employees, agents and City designated volunteers additional insured status. (iv) Subject to written approval by the City , the automobile liability program may utilize deductibles, provided that such deductibles shall not apply to the City as an additional insured, but not a self-insured retention.
c. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that he/she is aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for workers’ compensation or to undertake self -insurance in accordance with the provisions of that code, and he/she will comply with such provisions before commencing work under this Agreement.
(ii) To t
he extent Consultant has employees at any time during the term of this Agreement, at all times during the performance of the work under this Agreement, the Consultant shall maintain full compensation insurance for all persons employed directly by him/her to carry out the work contemplated under this Agreement, all in accordance with the “Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the State of California and any acts amendatory thereof, and Employer’s Liability Coverage in amounts indicated herein. Consultant shall require all subconsultants to obtain and maintain, for the period required by this Agreement, workers’ compensation coverage of the same type and limits as specified in this section.
258
5 16498.00150\32126437.1
d. Pr
ofessional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement the Consultant shall maintain professional liability or Errors and Omissions insurance appropriate to its profession, in a form and with insurance companies acceptable to the C ity and in an amount indicated herein. This insurance shall be endorsed to include contractual liability applicable to this Agreement and shall be written on a policy form coverage specifically designed to protect against acts, errors or omissions of the Consultant. “Covered Professional Services” as designated in the policy must specifically include work performed under this Agreement. The policy must “pay on behalf of” the insured and must include a provision establishing the insurer's duty to defend.
e. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:

Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/ $2,000,000 aggregate for bodily injury, personal injury, and property
damage
Aut
omobile Liability $1,000,000 combined single limit
Employer’s Liability $1,000,000 per accident or disease Professional Liability $1,000,000 per claim and aggregate (errors and omissions)
(ii) D
efense costs shall be payable in addition to the limits. (iii) Requirements of specific coverage or limits contained in this section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. Any available coverage shall be provided to the parties required to be named as Additional Insured pursuant to this Agreement. f. Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City evidence of insurance from an insurer or insurers certifying to the coverage of all insurance required herein. Such evidence shall include original copies of the ISO CG 00 01 (or insurer’s equivalent) signed by the insurer’s representative and Certificate of Insurance (Acord Form 25 - S or equivalent), together with required endorsements. All evidence of insurance shall be signed by a properly authorized officer, agent, or qualified representative of the insurer and shall certify the names of the insured, any additional insureds, where appropriate, the type and amount of the insurance, the location and operations to which the insurance applies, and the expiration date of such insurance.
g. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior written notice of cancellation of any policy required by this Agreement, except that the 259
6 16498.00150\32126437.1
Cons
ultant shall provide at least ten (10) days prior written notice of cancellation of any such policy due to non-payment of premium. If any of the required coverage is cancelled or expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s) including the General Liability Additional Insured Endorsement to the City at least ten (10) days prior to the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy shall each contain a provision stating that Consultant’s policy is primary insurance and that any insurance, self -insurance or other coverage maintained by the City or any named insureds shall not be called upon to contribute to any loss.
(iii) The retroactive date (if any) of each policy is to be no later than the effective date of this Agreement. Consultant shall maintain such coverage continuously for a period of at least three years after the completion of the work under this Agreement.

Further the limits set forth herein shall not be construed to relieve the Consultant from liability in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the City and shall not preclude the City from taking such other actions available to the City under other provisions of the Agreement or law.
h. Qualifying Insurers
(i) All policies required shall be issued by acceptable insurance companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and admitted to transact in the business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.
i. Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance coverage to be maintained by Consultant, and any approval of said insurance by the City, is not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by the Consultant pursuant to this Agreement, including but not limited to, the provisions concerning indemnification.
260
7 16498.00150\32126437.1
(ii) I
f at any time during the life of the Agreement, any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement.
(iii) The City may require the Consultant to provide complete copies of all insurance policies in effect for the duration of the Project. (iv) Neither the City nor any of its officials, officers, employees, agents or volunteers shall be personally responsible for any liability arising under or by virtue of this Agreement.
j. Subconsultant Insurance Requirements . Consultant shall not allow any subcontractors or subconsultants to commence work on any subcontract until they have provided evidence satisfactory to the City that they have secured all insurance required under this section. Policies of commercial general liability insurance provided by such subcontractors or subconsultants shall be endorsed to name the City as an additional insured using ISO form CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by Consultant, City may approve different scopes or minimum limits of insurance for particular subcontractors or subconsultants.

14. Verification of Employment Eligibility.

15. ______________

16. Laws and Venue.

20. Limitation of Agreement.

This Agreement is limited to and includes only the work included in the Project described above.

21. Notice

CITY:

10 16498.00150\32126437.1

and shall be effective upon receipt thereof.

22. Third Party Rights
Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than the City and the Consultant.

23. Equal Opportunity Employment.

25. Severability
The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not render the remaining provisions unenforceable, invalid or illegal.

27. Non-Waiver
None of the provisions of this Agreement shall be considered waived by either P arty, unless such waiver is specifically specified in writing.

28. Time of Essence
Time is of the essence for each and every provision of this Agreement. 264

11 16498.00150\32126437.1

29. City’s Right to Employ Other Consultants
City reserves its right to employ other consultants, including engineers, in connection with this Project or other projects.

NATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT

CITY OF FONTANA
By:

Matthew C. Ballantyne
C
ity Manager
VENDOR NAME.

By:
_____________
_____________

Attest:

By:

Germaine McClellan Key
Cit
y Clerk
By:
_____________
_____________

By:
______________
Deputy City Manager
Approved as to form:

Best Best & Krieger LLP
City Attorney
_____________________________
__________
______________________

IN COMPLIANCE WITH CONTRACT INSURANCE REQUIREMENTS
By: ______________________________

Rakesha L. Voss
Human Resources & Risk Management Director

IN COMPLIANCE WITH PURCHASING AND CONTRACT ADMINISTRATION POLICIES/PROCEDURES ___________________________________
Jessica Brown
Chief Financial Officer
Sid Lambert
Purchasing Manager
266

13 16498.00150\32126437.1

EXHIBIT A
Scope of Services

267
Form W-9
(Rev. December 2014)
Department of the Treasury
Internal Revenue Service
Request for Taxpayer
Identification Number and Certification
Give Form to the
requester. Do not
send to the IRS.

Print or type
See Specific Instructions on page 2.
1 Name (as shown on your income tax return). Name is required on this line; do not leave this line blank. 2 Business name/disregarded entity name, if different from above 3 Check appropriate box for federal tax classification; check only one of the following seven boxes:

Individual/sole proprietor or
single-member LLC
C Corporation S Corporation Partnership Trust/estate
Limited liability company. Enter the tax classification (C=C corporation, S=S corporation, P=partnership) a Note. For a single-member LLC that is disregarded, do not check LLC; check the appropriate box in the line above for the tax classification of the single-member owner.

Other (see instructions) a
4 Exemptions (codes apply only to
certain entities, not individuals; see
instructions on page 3):

Exempt payee code (if any)
Exemption from FATCA reporting
code (if any)
(Applies to accounts maintained outside the U.S.)
5 Address (number, street, and apt. or suite no.)
6 City, state, and ZIP code
Requester’s name and address (optional)
7 List account number(s) here (optional)
Part I Taxpayer Identification Number (TIN)
Enter your TIN in the appropriate box. The TIN provided must match the name given on line 1 to avoid backup withholding. For individuals, this is generally your social security number (SSN). However, for a resident alien, sole proprietor, or disregarded entity, see the Part I instructions on page 3. For other entities, it is your employer identification number (EIN). If you do not have a number, see How to get a TIN on page 3.

Note. If the account is in more than one name, see the instructions for line 1 and the chart on page 4 for guidelines on whose number to enter.

Social security number
– –
or
Employer identification number
–
Part II Certification
Under penalties of perjury, I certify that:

1. The number shown on this form is my correct taxpayer identification number (or I am waiting for a number to be issued to me); and

2. I am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding; and

3. I am a U.S. citizen or other U.S. person (defined below); and

4. The FATCA code(s) entered on this form (if any) indicating that I am exempt from FATCA reporting is correct.

Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement arrangement (IRA), and generally, payments other than interest and dividends, you are not required to sign the certification, but you must provide your correct TIN. See the instructions on page 3.

Sign
Here
Signature of
U.S. person a Date a
General Instructions
Section references are to the Internal Revenue Code unless otherwise noted.

Future developments. Information about developments affecting Form W-9 (such as legislation enacted after we release it) is at www.irs.gov/fw9.

Purpose of Form
An individual or entity (Form W-9 requester) who is required to file an information return with the IRS must obtain your correct taxpayer identification number (TIN) which may be your social security number (SSN), individual taxpayer identification number (ITIN), adoption taxpayer identification number (ATIN), or employer identification number (EIN), to report on an information return the amount paid to you, or other amount reportable on an information return. Examples of information returns include, but are not limited to, the following:
• Form 1099-INT (interest earned or paid)
• Form 1099-DIV (dividends, including those from stocks or mutual funds) • Form 1099-MISC (various types of income, prizes, awards, or gross proceeds) • Form 1099-B (stock or mutual fund sales and certain other transactions by brokers)
• Form 1099-S (proceeds from real estate transactions)
• Form 1099-K (merchant card and third party network transactions) • Form 1098 (home mortgage interest), 1098-E (student loan interest), 1098-T (tuition)
• Form 1099-C (canceled debt)
• Form 1099-A (acquisition or abandonment of secured property) Use Form W-9 only if you are a U.S. person (including a resident alien), to provide your correct TIN.

If you do not return Form W-9 to the requester with a TIN, you might be subject to backup withholding. See What is backup withholding? on page 2.

By signing the filled-out form, you:

1. Certify that the TIN you are giving is correct (or you are waiting for a number to be issued),

2. Certify that you are not subject to backup withholding, or

3. Claim exemption from backup withholding if you are a U.S. exempt payee. If applicable, you are also certifying that as a U.S. person, your allocable share of any partnership income from a U.S. trade or business is not subject to the withholding tax on foreign partners' share of effectively connected income, and

4. Certify that FATCA code(s) entered on this form (if any) indicating that you are exempt from the FATCA reporting, is correct. See What is FATCA reporting? on page 2 for further information.

Cat. No. 10231X Form W-9 (Rev. 12-2014)
EBK & Company LLC
US Engineering League
X
9051 Rochester Ave
Rancho Cucamonga, CA 91730
3 7 1 8 2 8 3 5 0
06/24/2025
P
268
269

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS.

INSURER(S) AFFORDING COVERAGE
INSURER F :

INSURER E :

INSURER D :

INSURER C :

INSURER B :

INSURER A :

NAIC #
NAME:

CONTACT
(A/C, No):

FAX
E-MAIL
ADDRESS:

PRODUCER
(A/C, No, Ext):

PHONE

INSURED
REVISION NUMBER:CERTIFICATE NUMBER:COVERAGES
IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed.

If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).

THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS

CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.

OTHER:
(Per accident)
(Ea accident)
$
$
N / A
SUBR
WVD
ADDL
INSD

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. $ $
$
$PROPERTY DAMAGE
BODILY INJURY (Per accident)
BODILY INJURY (Per person)

COMBINED SINGLE LIMIT

AUTOS ONLY

AUTOSAUTOS ONLY

NON-OWNED

SCHEDULEDOWNED

ANY AUTO

AUTOMOBILE LIABILITY
Y / N

WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
OFFICER/MEMBER EXCLUDED?
(Mandatory in NH)
DESCRIPTION OF OPERATIONS below
If yes, describe under

ANY PROPRIETOR/PARTNER/EXECUTIVE
$
$
$
E.L. DISEASE - POLICY LIMIT
E.L. DISEASE - EA EMPLOYEE
E.L. EACH ACCIDENT
ER
OTH-

STATUTE
PER

LIMITS(MM/DD/YYYY)

POLICY EXP
(MM/DD/YYYY)

POLICY EFF

POLICY NUMBERTYPE OF INSURANCELTR
INSR
DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required)

EXCESS LIAB
UMBRELLA LIAB $EACH OCCURRENCE
$AGGREGATE
$
OCCUR

CLAIMS-MADE
DED RETENTION $
$PRODUCTS - COMP/OP AGG
$GENERAL AGGREGATE
$PERSONAL & ADV INJURY
$MED EXP (Any one person)
$EACH OCCURRENCE

DAMAGE TO RENTED
$PREMISES (Ea occurrence)

COMMERCIAL GENERAL LIABILITY

CLAIMS-MADE OCCUR
GEN'L AGGREGATE LIMIT APPLIES PER:

POLICY PRO-

JECT LOC

CERTIFICATE OF LIABILITY INSURANCE

DATE (MM/DD/YYYY)

CANCELLATION

AUTHORIZED REPRESENTATIVE
ACORD 25 (2016/03)
© 1988-2015 ACORD CORPORATION. All rights reserved.

CERTIFICATE HOLDER
The ACORD name and logo are registered marks of ACORD
HIRED

AUTOS ONLY
7/21/2025
Marsh & McLennan Agency LLC
6160 Golden Hills Drive
Minneapolis MN 55416
Select Certificates (Mpls)
763-746-8000
[email protected]
Markel Insurance Company
38970

EBK&COMPA
Hartford Casualty Insurance Company
29424
EBK & Company LLC dba US Engineering League
2933 S. Walker Ave
Ontario CA 91761
131582321
A
X
1,000,000
X
100,000
10,000
1,000,000
3,000,000
CCP4267
7/14/2025
7/14/2026
3,000,000
A
1,000,000
X
X
CCP4267
7/14/2025
7/14/2026
A
X
X
2,000,000
CCU30817
7/14/2025
7/14/2026
200,000
X
10,000
B
X
41WECCE9568
8/15/2025
8/15/2026
1,000,000
1,000,000
1,000,000
A
Abuse & Molestation
CCP4267
7/14/2025
7/14/2026
Each Occurrence
Aggregate
1,000,000
3,000,000
Certificate Holder is hereby provided evidence of coverage.

City of Fontana
8353 Sierra Ave
Fontana, CA 92335
270
271
272
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0594 Agenda Date: 10/28/2025
Agenda #: N. Category: Consent Calendar
FROM:

Community Services
SUBJECT:

Approve a Contract with Bestwenty4 Studios LLC for the Season of Success Program for the Fontana Expanded Learning Program.

RECOMMENDATION:

1. Approve the Non-Competitive Proposal purchase under the Purchasing Policies 3.1.5 for Single Source/Sole Source method.

2. Approve a contract with Bestwenty4 Studios LLC to provide and deliver the Season of Success program for the Fontana Expanded Learning Program’s participants.

3. Authorize the City Manager or designee to sign the agreement, all related documents, and any amendments for the term of the agreement.

COUNCIL GOALS:
· Increase citizen involvement by developing future leaders. · Increase citizen involvement by promoting healthy lifestyle opportunities to residents of all ages.

DISCUSSION:

As part of the grant-required curriculum components, FELP provides youth development components and 21st-century skills lessons to meet the program requirements, as well as align with the district’s efforts to support student education and social-emotional learning.

It is recommended the City contract with Bestwenty4 Studios LLC to provide the Season of Success Program for the Fontana Expanded Learning Program at elementary and middle school sites to support the Operating Agreement between the City and FUSD. The program will support participants’ interpersonal skills and expose them to social-emotional skills needed for successful social and academic achievement.

City of Fontana Printed on 10/23/2025Page 1 of 2
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File #: 25-0594 Agenda Date: 10/28/2025
Agenda #: N. Category: Consent Calendar
The Season of Success programming will focus on teaching participants essential life values, including self-awareness, conflict resolution, and responsible decision-making. Additionally, FELP staff will receive training on the FUNdamentals of Fun curriculum provided by Bestwenty4 Studios LLC.

This is a sole-source contract as the curriculum is only available through Bestwenty4 Studios LLC and meets grant requirements. Purchasing Policy 3.1.5 allows the purchase when no competitive advantage would be gained from services that are unique and are only available from one source.

The contract template is approved by BBK.

FISCAL IMPACT:

The program is budgeted in the adopted FY 2025/2026 Community Services Department operating budget as designed by the FUSD Operating Agreement. The program cost is $106,000.00 and will be funded from budget unit 38624101 in account 8130.

MOTION:

Approve staff recommendation
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EXHIBIT “A”

SCOPE OF SERVICES

The Contractor, Bestwenty4 Studios LLC. shall provide the City with the Season of Success presentation for the Fontana Expanded Learning Program school sites. These presentations will focus on the CASEL’s Social-Emotional framework to motivate participants to succeed at school, home and community. The events will be conducted within nine (9) months, with in-person visits scheduled to begin on execution of contract and conclude by June 30, 2026.

• The contractor will service:
o Season of Success Presentations at 33 FELP school sites  28 Elementary School In-person sessions
• Two sessions for each elementary (K–2 & 3–5)
 5 Middle School In-person sessions
• One session each(6–8)
 Total: 61 Sessions
• Session Length: 2 hours each
o FUNdamentals Of Fun 4 Hour Staff
 3 Facilitation Trainings
• For all visits, the City of Fontana shall provide:
o Calendar schedule for (3) virtual assembly and (5) in-person visits. o Use of facility space.
o Use of facility sound system equipment for volume amplification (which may include); speakers, microphones, music stands, boom stands, monitors, and miscellaneous cables. o Use of facility visual system equipment for visual presentation (which may include ), projector and projector screen.
o Contractor shall work directly with FELP staff regarding all technical event needs. • The Contractor shall provide the City with the following:
o The Contractor agrees to provide a valid City of Fontana Business License no less than 30 days before the performance to guarantee payment for the following services. o Completion of fingerprinting and background checks for participating staff. o Completion of Mandated Reporter Training through Vector Solutions. • The City reserves the right to cancel or reschedule any single event date listed on the contract, with or without cause, upon thirty (30) days’ notice given in writing. • Contractor will be funded through the Expanded Learning Opportunities Program ( ELO- P). • The Contractor shall be paid within thirty (30) days of services rendered as follows:

June 30, 2026
$106,000 (ELO- P Funded Schools)
$106,000.00 (Total)

Contractor represents and maintains that it is skilled in the professiona l calling necessary to perform the services.

The Standard Engagement Agreement and attached Terms and Conditions are hereby acknowledged and made a part of the agreement between the parties. The City reserves the right to broadcast, televise and photograp h the above group for the purpose of advertisement.

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The City reserves the right to cancel the event at their own discretion in the event of rain, lightning, high winds and/or any unforeseen weather conditions. In the event that the Contractor is set -up and ready to perform when the event is cancelled the Contractor will be paid 50% of their fee. If the event is cancelled prior to arrival and set - up the Contractor may be offered an alternative performance date at the same pay rate.

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1 16498.00150\32126437.1
CITY

OF FONTANA

RECIT
ALS
A. City is a public agency of the State of California and is in need of professional services for the following project:
____________________________________________________________________________ (hereinafter referred to as “the Project”).

B. Consul
tant is duly licensed and has the necessary qualifications to provide such services.

C. The Parties desire by this Agreement to establish the terms for City to retain Consultant to provide the services described herein.

AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

1. Services .

2. Compens
ation.
a. Subject to paragraph 2(b) below, the City shall pay for such services in accordance with the Schedule of Charges set forth in Exhibit “A.” b. In no event shall the total amount paid for services rendered by Consultant under this Agreement exceed the sum of $ This amount is to cover all printing and related costs, and the City will not pay any additional fees for printing expenses.

3. Addit
ional Work.
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2 16498.00150\32126437.1
If c
hanges in the work seem merited by Consultant or the City , and informal consultations with the other party indicate that a change is warranted, it shall be processed in the following manner: a letter outlining the changes shall be forwarded to the City by Consultant with a statement of estimated changes in fee or time schedule. An amendment to this Agreement shall be prepared by the City and executed by both Parties before performance of such services, or the City will not be required to pay for the changes in the scope of work. Such amendment shall not render ineffective or invalidate unaffected portions of this Agreement.

4. Maintenance of Records.

5. Term:

8. Standar
d of Care
Consultant’s services will be performed in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions.

11. Insurance . Consultant shall not commence work for the City until it has provided evidence satisfactory to the City it has secured all insurance required under this section. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required under this section. a. Commercial General Liability
(i) The Consultant shall take out and maintain, during the performance of all work under this Agreement, in amounts not less than specified herein, Commercial General Liability Insurance, in a form and with insurance companies acceptable to the City.
(ii) Cove rage for Commercial General Liability insurance shall be at least as broad as the following:
(1) Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 00 01) or exact equivalent. (iii) Commercial General Liability Insurance must include coverage for the following:
(1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclusion deleted
(7) Contractual Liability with respect to this Agreement 279
4 16498.00150\32126437.1
(8) Pr
operty Damage
(9) Independent Contractors Coverage
(iv) The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; (3) products/completed operations liability; or (4) contain any other exclusion contrary to the Agreement.
(v) The policy shall give City, its officia ls, officers, employees, agents and City designated volunteers additional insured status using ISO endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same coverage. (vi) The general liability program may utilize either deductibles or provide coverage excess of a self-insured retention, subject to written approval by the City , and provided that such deductibles shall not apply to the City as an additional insured. b. Automobile Liability
(i) At all times during the performance of the work under this Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non- owned and hired vehicles, in a form and with insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as broad as Insurance Services Office Form Number CA 00 01 covering automobile liability (Coverage Symbol 1, any auto).
(iii) The policy shall give City, its officials, officers, employees, agents and City designated volunteers additional insured status. (iv) Subject to written approval by the City , the automobile liability program may utilize deductibles, provided that such deductibles shall not apply to the City as an additional insured, but not a self-insured retention.
c. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that he/she is aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for workers’ compensation or to undertake self -insurance in accordance with the provisions of that code, and he/she will comply with such provisions before commencing work under this Agreement.
(ii) To the ex
tent Consultant has employees at any time during the
term of this Agreement, at all times during the performance of the work under this Agreement, the Consultant shall maintain full compensation insurance for all persons employed directly by him/her to carry out the work contemplated under this Agreement, all in accordance with the “Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the State of California and any acts amendatory thereof, and Employer’s Liability Coverage in amounts indicated herein. Consultant shall require all subconsultants to obtain and maintain, for the period required by this Agreement, workers’ compensation coverage of the same type and limits as specified in this section.
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5 16498.00150\32126437.1
d. Prof
essional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement the Consultant shall maintain professional liability or Errors and Omissions insurance appropriate to its profession, in a form and with insurance companies acceptable to the C ity and in an amount indicated herein. This insurance shall be endorsed to include contractual liability applicable to this Agreement and shall be written on a policy form coverage specifically designed to protect against acts, errors or omissions of the Consultant. “Covered Professional Services” as designated in the policy must specifically include work performed under this Agreement. The policy must “pay on behalf of” the insured and must include a provision establishing the insurer's duty to defend.
e. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:

Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/ $2,000,000 aggregate for bodily injury, personal injury, and property
damage
Autom
obile Liability $1,000,000 combined single limit
Employer’s Liability $1,000,000 per accident or disease Professional Liability $1,000,000 per claim and aggregate (errors and omissions)
(ii) Def
ense costs shall be payable in addition to the limits.
(iii) Requirements of specific coverage or limits contained in this section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. Any available coverage shall be provided to the parties required to be named as Additional Insured pursuant to this Agreement. f. Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City evidence of insurance from an insurer or insurers certifying to the coverage of all insurance required herein. Such evidence shall include original copies of the ISO CG 00 01 (or insurer’s equivalent) signed by the insurer’s representative and Certificate of Insurance (Acord Form 25 - S or equivalent), together with required endorsements. All evidence of insurance shall be signed by a properly authorized officer, agent, or qualified representative of the insurer and shall certify the names of the insured, any additional insureds, where appropriate, the type and amount of the insurance, the location and operations to which the insurance applies, and the expiration date of such insurance.
g. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior written notice of cancellation of any policy required by this Agreement, except that the 281
6 16498.00150\32126437.1
Consul
tant shall provide at least ten (10) days prior written notice of cancellation of any such policy due to non-payment of premium. If any of the required coverage is cancelled or expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s) including the General Liability Additional Insured Endorsement to the City at least ten (10) days prior to the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy shall each contain a provision stating that Consultant’s policy is primary insurance and that any insurance, self -insurance or other coverage maintained by the City or any named insureds shall not be called upon to contribute to any loss.
(iii) The retroactive date (if any) of each policy is to be no later than the effective date of this Agreement. Consultant shall maintain such coverage continuously for a period of at least three years after the completion of the work under this Agreement.

Further the limits set forth herein shall not be construed to relieve the Consultant from liability in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the City and shall not preclude the City from taking such other actions available to the City under other provisions of the Agreement or law.
h. Qualifying Insurers
(i) All policies required shall be issued by acceptable insurance companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and admitted to transact in the business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.
i. Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance coverage to be maintained by Consultant, and any approval of said insurance by the City, is not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by the Consultant pursuant to this Agreement, including but not limited to, the provisions concerning indemnification.
282
7 16498.00150\32126437.1
(ii) If
at any time during the life of the Agreement, any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement.
(iii) The City may require the Consultant to provide complete copies of all insurance policies in effect for the duration of the Project. (iv) Neither the City nor any of its officials, officers, employees, agents or volunteers shall be personally responsible for any liability arising under or by virtue of this Agreement.
j. Subconsultant Insurance Requirements . Consultant shall not allow any subcontractors or subconsultants to commence work on any subcontract until they have provided evidence satisfactory to the City that they have secured all insurance required under this section. Policies of commercial general liability insurance provided by such subcontractors or subconsultants shall be endorsed to name the City as an additional insured using ISO form CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by Consultant, City may approve different scopes or minimum limits of insurance for particular subcontractors or subconsultants.

12. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with counsel of City ’s choosing), indemnify and hold the City , its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all damages, expert witness fees and attorney’s fees and other related costs and expenses. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its officials, officers, employees, agents, or volunteers. b. If Consul
tant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance of “design professional” services (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code secti on 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

13. Cali
fornia Labor Code Requirements.
a. Consul tant is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., which require the payment of prevailing wage rates and the performance of other requirements on certain “public works” and “maintenance” projects 283

14. Verification of Employment Eligibility.

15. ______________

16. Laws and Venue.

20. Limitation of Agreement.

This Agreement is limited to and includes only the work included in the Project described above.

21. Notice

CITY:

10 16498.00150\32126437.1

and shall be effective upon receipt thereof.

22. Third Party Rights
Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than the City and the Consultant.

23. Equal Opportunity Employment.

25. Severability
The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not render the remaining provisions unenforceable, invalid or illegal.

27. Non-Waiver
None of the provisions of this Agreement shall be considered waived by either P arty, unless such waiver is specifically specified in writing.

28. Time of Essence
Time is of the essence for each and every provision of this Agreement. 286

11 16498.00150\32126437.1

29. City’s Right to Employ Other Consultants
City reserves its right to employ other consultants, including engineers, in connection with this Project or other projects.

ATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT

CITY OF FONTANA
By:

Matthew C. Ballantyne
Ci
ty Manager
VENDOR NAME.

By:
_____________
_____________
Attest:

By:

Germaine McClellan Key
City
Clerk
By:
_____________
_____________
By:
______________
Deputy City Manager
Approved as to form:

Best Best & Krieger LLP
City Attorney
_____________________________
__________
______________________

IN COMPLIANCE WITH CONTRACT INSURANCE REQUIREMENTS
By: ______________________________
R
akesha L. Voss
Human Resources & Risk Management Director

IN COMPLIANCE WITH PURCHASING AND CONTRACT ADMINISTRATION POLICIES/PROCEDURES ___________________________________
Jessica Brown
Chief Financial Officer
Sid Lambert
Purchasing Manager
288

13 16498.00150\32126437.1

EXHIBIT A
Scope of Services

289
1 FELP

FONTANA EXPANDED LEARNING PROGRAM

PARTNERSHIP
290
2 FONTANA EXPANDED LEARNING

PARTNERSHIP
In the City of Fontana, where
the Fontana Expanded Learning
Program is committed to
developing the whole child,
SOS: Season of Success is
more than a workshop, it’s a
mindset shift.

Led by Coach BE, a cultural
architect with over 25 years in
youth development, SOS
equips K–8 students with the
real-world skills to manage
stress, resolve conﬂict, and
lead with purpose.

Aligned with CASEL’s
social-emotional framework
and the City of Fontana’s
commitment to student
success, SOS helps reduce
behavior incidents, increase
engagement, and strengthen
the home–school connection,
creating safer, more connected
campuses and communities.
291
3 OUR YOUTH’S PROBLEMS

MENTAL HEALTH & ANXIETY,

BULLYING & SAFETY, SOCIAL

EMOTIONAL INTELLIGENCE

GAPS, TRAUMA & ADVERSE

EXPERIENCES, AND IMPACT OF

SOCIAL MEDIA

BULLYING

ANXIETY

SOCIAL MEDIA

TRAUMA &
292
4 OUR

PROBLEM

15.3%
STAGGERING STAT #2

15.3% of San Bernardino
County teens directly reported
needing help for emotional or
mental health issues in 2020.

THE

CHALLENGES
In San Bernardino County,
where 15.3% of teens
reported needing help for
emotional or mental health
problems in 2020—and mental
health–related emergency
visits jumped by 24% for ages
5–11 and 31% for ages 12–17
after COVID.

SOS: Season of Success offers
a culturally responsive,
CASEL‑aligned intervention to
build resilience, reduce crisis
escalation, and support
healthier, more engaged
youth.

PROBLEMS
24%
STAGGERING STAT #1
Meanwhile, during the
pandemic, emergency mental
health visits rose 24% among
children ages 5–11 and 31%
among youth 12–17.
293
5 THE REAL
15,000+

HAS SERVED & SERVICED OVER

STUDENTS & PROFESSIONALS

SOLUTION
Why SOS: SEASON OF SUCCESS ?
In the City of Fontana, students face rising anxiety, behavior challenges, and social-emotional skill gaps. SOS: Season of Success directly addresses these needs through:
● CASEL-aligned social-emotional learning
● Culturally responsive delivery for K–2, 3–5, and 6–8 grade levels
● Hands-on activities, leadership challenges, and
real-world discussions
● Proactive support to improve school climate and reduce discipline incidents
294
6 WHY COACH BE?
BESTWENTY4 & Coach BE’s National Reach With partnerships across more than 30 school districts, universities, government agencies, and national afterschool networks, Coach BE, and BESTWENTY4 have directly impacted over 15,000 students and professionals nationwide — from Southern California to Indiana, Missouri, Oregon, and beyond.

Why Coach BE & BESTWENTY4
● Extensive Experience: Over 25 years of
youth development experience.
● Cultural Relevance: Relatable delivery for
Fontana’s multicultural student body
● Trauma-Informed Approach:

Trauma-informed, restorative-practices
foundation
● Proven Results: Proven success with over
700 participants in the past 18 months
295
7 “We cannot guarantee a successful student.

However, we can guarantee that we offer the
opportunity for success. If a student is willing to
make a choice and take the challenge, we can
provide the opportunity.”
Coach BE’s EXPERIENCE
● Special Ed Teacher
( Emotionally Disturbed Population )
●
● Behavior Support Specialist
● Social Emotional Learning / Support
Facilitator & Advocate●
● Senior Probation Corrections Officer
( Youth Detention & Treatment Facilities )
● Parks & Recreation Supervisor
● High School Basketball & Cross Country
Coach
296
8 A
PARENT’S
VIEW

THE IMPACT
If I had to describe these sessions and Coach to a
friend I would have to begin with the fact that he is
very in tune with our youth. He knows what he is
talking about. He isn't the type of person who just
speaks from knowledge gained from a book or class.

He is real. Life experiences. He pays attention to
people and genuinely gets them. He gives kids,
teens, and even adults insight and inspiration that I
can honestly say is rare.

Very few have moved myself as well as my own
children. My son attends these workshops and
always comes home with so much knowledge and
joy. He loves Coach. My hope is that more people
would get to experience with him and I also hope that
more of his programs are implemented in the
schools and even with sports teams. He is deﬁnitely
the type of role models our kids need in our
community, today especially.
“
“
297
9 A
PARENT’S
VIEW

THE IMPACT
My son attended Coach BE'S sessions last year
and this year. The sessions have resulted in a
measured improvement with conﬁdence,
teamwork, social skills and time management. My
son looks forward to attending, and has attended,
every session. Coach BE gives the students
opportunities to learn how to take ownership,
accountability and responsibility in a way where
students can relate, while in a safe environment.

This allows for the students to understand the
lessons in a way which can be applied, allowing for
a more positive impact, and it shows. For 2 years in
a row, these sessions have given my son lessons he
can apply towards his future. I look forward to
signing my child up next year!
“
“
298
10 TECHNOLOGY
& OUTCOMES
01 STUDENT SKILL

DEVELOPMENT
Students equipped with
real-life skills
02 BEHAVIORAL

IMPROVEMENT
Reduced behavioral
incidents and office
referrals
03 INCREASED

ENGAGEMENT
Increased student
engagement and
leadership
04 STRONGER

CONNECTIONS
Stronger home & school
emotional intelligent
connections
IMPACT
299
11 Inside The

EXPERIENCE
PRE-TRAINING CUSTOMIZATION:

Needs Assessment, Tailoring Of Content
IN-SESSION EXPERIENCE:
4-Hour Facilitation, Hands-On Activities
& FUN PLAYBOOK
POST-TRAINING SUPPORT:

Reﬂection Prompts, Networking
& Ongoing Support
300
12 FINANCIAL

INVESTMENT
● 28 Elementary Schools: Two
age-appropriate sessions each (K–2 &
3–5)
● 5 Middle Schools: One session each
(6–8)
● Total: 61 Sessions
● Session Length: 2 hours each
● FUNdamentals Of Fun 4 Hour Staff
Facilitation Trainings (3)
**Friends & Family Special for the City of
Fontana:

Coach BE will deliver all K–2 sessions FREE.**
Instead of charging for 56 elementary sessions,
you only pay for 28 upper elementary and 5 middle
school sessions.
$106,000

PROGRAM DELIVERY ACROSS ALL
33 FELP SITES

STANDARD RATE PER SESSION
$3,000

TOTAL VALUE
$192,000

FINANCIAL
TOTAL
COST**
301
13 THANK YOU
When we invest in students today, we invest in stronger schools, safer communities, and a future we can all be proud of.

LET’S PARTNER TO BUILD A SEASON OF SUCCESS ACROSS

FONTANA EXPANDED LEARNING PROGRAM
CONTACT ME:

[email protected]
302
303
304
305
306
307
308
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0595 Agenda Date: 10/28/2025
Agenda #: O. Category: Consent Calendar
FROM:

Engineering
SUBJECT:

Final Acceptance for the Construction of the San Sevaine Trail Phase 1, Segment 2 Project (Bid No.

SB-109-DE-23)
RECOMMENDATION:

Accept as complete the work performed by H&H General Contractors, Inc. for the construction of the San Sevaine Trail Phase 1, Segment 2 Project (#37603345).

COUNCIL GOALS:
· To invest in the City’s infrastructure (streets, sewers, parks, etc.) by providing for the development of new infrastructure.
· To invest in the City’s infrastructure (streets, sewers, parks, etc.) by focusing on relief of traffic congestion.
· To invest in the City’s infrastructure (streets, sewers, parks, etc.) by creating and promoting community through people, parks, and programs.

DISCUSSION:

On December 12, 2023, the City Council awarded a construction contract to H&H General Contractors, Inc. in the amount of $13,314,324.00 and authorized a contingency amount of $1,331,432.00, for a total contract authorization amount of $14,645,756.00 for the construction of the San Sevaine Trail Phase 1, Segment 2 Project. The 1.25-mile trail (0.35 miles within the City of Fontana and 0.95 miles within the City of Rancho Cucamonga) begins at the Pacific Electric Trail in the City of Fontana and terminates in the City of Rancho Cucamonga at Banyan Street.

The project went through significant changes to the original schedule increasing project cost to include additional scope changes and modifications to meet Caltrans and San Bernardino County Flood Control District requirements. Staff worked with various agencies to receive grants to support the additional cost, such as San Bernardino County Transportation Authority (SBCTA) and the State of California Natural Resources Agency, Department of Parks and Recreation-Recreational Trails Program (RTP).

Construction began on May 28, 2024, and was deemed complete on October 23, 2025. The project was successfully completed for the final contract amount of $14,064,224.48, a decrease of 4% from the original contract authorization. All work has been completed to the satisfaction of the City for Fontana and Rancho Cucamonga, Caltrans, and San Bernardino County Flood Control District.

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File #: 25-0595 Agenda Date: 10/28/2025
Agenda #: O. Category: Consent Calendar
FISCAL IMPACT:

Approximately 30% of the total project cost was incurred for the portion of the trail within the City of Fontana. With acceptance of the San Sevaine Trail Phase 1, Segment 2 Project (No. 37603345) as complete, the City will assume operation and maintenance of the segment within Fontana’s boundaries. Funding for these activities is included in the FY 2025-26 budget under Public Works, Parks and Landscape.

The remaining 70% of the cost was incurred for the portion of the trail within the City of Rancho Cucamonga, which will assume operation and maintenance of the trail segment within its jurisdiction.

MOTION:

Approve staff recommendation.

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City of Rancho Cucamonga
City of Fontana
City Limit
Vicinity Map
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0598 Agenda Date: 10/28/2025
Agenda #: P. Category: Consent Calendar
FROM:

Engineering
SUBJECT:

Approve Final Change Order with CT&T Concrete Paving, Inc. and Final Acceptance of the City Sidewalk Reconstruction #2 Project (Bid No. DE-25-56-SB) RECOMMENDATION:

1. Authorize City Manager to approve Change Order #2 with CT&T Concrete Paving, Inc. in the amount of $227,822.46 for the additional concrete work added for the City Sidewalk Reconstruction #2 Project (Bid No. DE-25-56-SB).

2. Accept as complete the work performed by CT&T Concrete Paving, Inc. for the City Sidewalk Reconstruction #2 Project (Bid No. DE-25-56-SB).

COUNCIL GOALS:
· To invest in the City’s infrastructure (streets, sewers, parks, etc.) by maintaining and improving the city's existing infrastructure.
· To invest in the City’s infrastructure (streets, sewers, parks, etc.) by providing for the development of new infrastructure.

DISCUSSION:

On February 11, 2025, the City Council awarded a construction contract to CT&T Concrete Paving, Inc. in the amount of $846,144.02 and authorized a contingency amount of $84,614.40 for a total contract authorization of $930,758.42 for the City Sidewalk Reconstruction #2 Project.

Construction began in June 2025 and was completed in September 2025. During construction, several additional areas of uneven sidewalk were identified that had not been noted during the initial sidewalk assessment conducted the previous year. These newly identified areas were attributed to changes in site conditions over time, primarily due to the growth of adjacent tree roots and normal weather-related deterioration, which further contributed to the displacement and damage of sidewalk panels. Given the favorable unit pricing provided by CT&T Concrete Paving, Inc. and the efficiency gained by having the contractor already mobilized on site, staff determined that it was in the City’s best interest to include the additional sidewalk repairs through a contract change order. This decision not only addressed emerging deficiencies efficiently but also enhanced pedestrian and resident safety. Change Order #1 has been approved in the amount of $76,868.38 which is within the originally authorized contingency of $84,614.40. The amount for Change Order #2 is $227,822.46 City of Fontana Printed on 10/23/2025Page 1 of 2
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which exceeds the contingency. Both change orders encompassed additional sidewalk replacement, curb and gutter repair, and driveway approach reconstruction.

The project was successfully completed with a final contract amount of $1,150,834.86. All work has been completed to the satisfaction of the City.

FISCAL IMPACT:

As part of the action to accept the construction of the City Sidewalk Reconstruction #2 Project (Bid No. DE-25-56-SB) as complete, the City will take over the maintenance of this public infrastructure.

Appropriate funding for the contract change order in the amount of $227,822.46 is included in the FY 2025-2026 budget in Project 37600001-601-B-8329. Funding for the maintenance work is included in the FY 2025-2026 budget under the Public Works & Engineering Department, Utilities and Streets Division.

MOTION:

Approve staff recommendation.

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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0600 Agenda Date: 10/28/2025
Agenda #: Q. Category: Consent Calendar
FROM:

Engineering
SUBJECT:

Approve Final Change Order with LCR Earthwork & Engineering, Corp. and Final Acceptance for the Village of Heritage North, South, and West Pavement Rehabilitation Project (Bid No. SB-153-DE-23) RECOMMENDATION:

1. Authorize the City Manager to approve Change Order #2 with LCR Earthwork & Engineering, Corp. in the amount of $130,609.28 for the additional asphalt and concrete work added for the Village of Heritage North, South, and West Pavement Rehabilitation Project (Bid No. SB-153-DE- 23).

2. Accept as complete the work performed by LCR Earthwork & Engineering, Corp. for the Village of Heritage North, South, and West Pavement Rehabilitation Project (Bid No. SB-153-DE- 23).

DISCUSSION:

On March 26, 2024, the City Council awarded a construction contract to LCR Earthwork & Engineering, Corp. in the amount of $1,290,941.00 and authorize a contingency amount of $129,094.10, for a total contract authorization of $1,420,035.10 for the Village of Heritage North, South, and West Pavement Rehabilitation Project.

Construction began in March 2025 and was completed in August 2025. During construction, several additional streets that were not included in the current scope of work (Santa Barbara Court, Bay Street, and Trinity Street) were identified as in need of treatment. Given the favorable unit pricing provided by LCR Earthwork & Engineering, Corp. and the efficiency gained by having the contractor already mobilized on site, staff determined that it was in the City’s best interest to include the City of Fontana Printed on 10/23/2025Page 1 of 2
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additional streets through a contract change order. This decision not only addressed the existing street condition but also enhanced resident safety. Striping changes made by Traffic Engineering staff are also included in this contract change order and were made to enhance resident safety in the Village of Heritage.

Change Order #1 was approved in June 2025 in the amount of $118,208.00, which is within the originally authorized contingency of $129,094.10. The amount for Change Order #2 is $130,609.28, which exceeds the remaining contingency. Both change orders encompassed additional paving and striping work.

The project was successfully completed for a final contract amount of $1,539,758.28. All work has been completed to the City’s satisfaction.

FISCAL IMPACT:

As part of the action to accept the construction of the Village of Heritage North, South, and West Pavement Rehabilitation Project (Bid No. SB-153-DE-23) as complete, the City will take over the maintenance of this public infrastructure. Appropriate funding for the contract change order in the amount of $130,609.28 is included in the FY 2025-2026 budget in Project 37600056-601-A-8329.

Funding for the maintenance work is included in the FY 2025-2026 budget under the Public Works & Engineering Department, Utilities and Streets Division.

MOTION:

Approve staff recommendation.

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Slurry
2" Grind & Overlay
Remove & Replace
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Remove & Replace
Village of Heritage Southwest - Pavement Rehabilitation Project 323
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0602 Agenda Date: 10/28/2025
Agenda #: R. Category: Consent Calendar
FROM:

Public Works
SUBJECT:

Final Acceptance of Backstop Replacements at Chaparral Park, Southridge Park, and Veteran’s Park Project (SB-85-PW-23)
RECOMMENDATION:

Accept as complete the work performed by NR Development Inc. for the Backstop Replacements at Chaparral Park, Southridge Park, and Veteran’s Park Project (SB-85-PW-23).

COUNCIL GOALS:
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by maintaining and improving the city's existing infrastructure.

DISCUSSION:

On April 11, 2023, the City Council awarded a construction contract to NR Development Inc. for Backstop Replacements at Chaparral Park, Southridge Park, and Veterans’ Park (SB-85-PW-23) in the amount of $979,500.59 and authorized a 10% contingency of $97,950.06 for a total contract authorization amount of $1,077,450.65.

There were two (2) contract change orders during the project totaling $392,767.47 to address the need for larger footings due to the City’s current wind load requirements. NR Development Inc. completed the project on February 3, 2025. All work has been completed to the satisfaction of the City for a final contract amount of $1,372,268.06.

The final retention payment will be released thirty-five (35) days after the filing of the Notice of Completion with the County Recorder’s Office.

FISCAL IMPACT:

There is no fiscal impact associated with the approval of this item. The final contract cost for this project was $1,372,268,10 and the funding was budgeted in the FY 2022/2023 CIP Budget in project string 37200005-302-C-8313, and in the FY 2022/2023 Operating Budget in Org# 40137202.8130 and Org# 40137202.8329.

MOTION:

Approve Staff Recommendation
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0603 Agenda Date: 10/28/2025
Agenda #: S. Category: Consent Calendar
FROM:

Public Works
SUBJECT:

Final Acceptance of Installation of Shade Structures at Various Parks Project (SB-106-PW-23) RECOMMENDATION:

Accept as complete the work performed by NR Development Inc. for the Installation of Shade Structure at Various Parks Project (SB-106-PW-23).

COUNCIL GOALS:
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by maintaining and improving the city's existing infrastructure.
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by providing for the development of new infrastructure.

DISCUSSION:

On June 13, 2023, the City Council awarded a construction contract to NR Development Inc. for the Installation of Shade Structures at Various Parks Project (SB-106-PW-23) in the amount of $1,510,980.00 and authorized a 10% contingency amount of $151,098.00 for a total contract authorization of $1,662,078.00.

There was one (1) contract change order for $107,286.33 to address the need for larger footings due to the City’s current wind load requirements, and to re-locate existing underground electrical lines at Bill Martin Park. NR Development Inc. completed the project on February 3, 2025. All work has been completed the satisfaction of the City for a final contract amount of $1,618,266.33.

The final retention payment will be released thirty-five (35) days after the filing of the Notice of Completion with the County Recorder’s Office.

FISCAL IMPACT:

There is no fiscal impact associated with the approval of this item. The final contract cost for this project was $1,618,266.33 and the funding was budgeted in the FY 2022/2023 CIP and Operating Budgets in project strings 37200006-301-D-8313, 37200005-302-L-8313, 37200005-302-S-8313, 37200005-302-E-8313, and Org #’s 40137202.8329 and 63537211.8130.

MOTION:

Approve Staff Recommendation
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Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0604 Agenda Date: 10/28/2025
Agenda #: T. Category: Consent Calendar
FROM:

Public Works
SUBJECT:

Final Acceptance of ADA / Inclusive Interactive Playground Replacement Project (SB-122-PW-23) RECOMMENDATION:

Accept as complete the work performed by Ortco Inc. for the ADA / Inclusive Interactive Playground Replacement Project (SB-122-PW-23).

DISCUSSION:

On June 13, 2023, the City Council awarded a construction contract to Ortco Inc. for the ADA / Inclusive Interactive Playground Replacement Project (SB-122-PW-23) in the amount of $2,123,305.00 and authorized a 10% contingency of $212,330.50 for a total contract authorization of $2,335,635.50.

There were no contract change orders for this project. Ortco Inc. completed the project on April 17, 2025. All work has been completed to the satisfaction of the City for a final contract amount of $2,123,305.00.

The final retention payment will be released thirty-five (35) days after the filing of the Notice of Completion with the County Recorder’s Office.

FISCAL IMPACT:

There is no fiscal impact associated with the approval of this item. The final contract cost for this project was $2,123,305.00 and the funding was budgeted in the FY 2022/2023 Capital Improvement Program in project strings 37200007-301-B-8313, 37200005-302-G-8313, 37200005-302-H-8313, 37200005-302-I-8313, 37200005-302-K-8313, 37200005-302-M-8313, 37200005-302-N-8313, 37200005-302-Q-8313, 37200005-302-R-8313, and 37200006-301-E-8313.

MOTION:

Approve Staff Recommendation
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0606 Agenda Date: 10/28/2025
Agenda #: U. Category: Consent Calendar
FROM:

Police Department
SUBJECT:

Police Department Monthly Information Update
RECOMMENDATION:

Accept the Police Department monthly information update for August 2025.

COUNCIL GOALS:
· Operate in a businesslike manner by creating a memorable customer experience with every interaction.
· Increase citizen involvement by informing the public about issues, program, and accomplishments.
· Concentrate on Inter-governmental relations by establishing partnerships and positive working relationships with other public agencies providing services to residents and local businesses.

DISCUSSION:

The August 2025 monthly information report has been completed. Once the report is accepted by the City Council it will be featured on the Department website.

FISCAL IMPACT:

There is no fiscal impact.

MOTION:

Approve staff recommendation.

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POLICE DEPARTMENT

MONTHLY REPORT
August 2025
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NOTEWORTHY EVENTS
• Lieutenant Clabaugh hosted an Area 3 Community Meeting at the Fontana Police Department.
• COPE hosted “Smoothie with a Cop” at Jamba Juice.
• Lieutenant Zagorin hosted an Area 4 Community Meeting at Citrus High School. • Fontana Police Detectives arrested two individuals for hate crimes. • Fontana Police Special Operations Teams seized over 250 kilos of cocaine, 12 pounds of methamphetamine, 23,000 fentanyl pills, dismantled an illegal marijuana grow, and seized 65 illegally possessed firearms.
• Fontana Police Officers assisted several children with shopping for school supplies at Khols.

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KA1 Kevin Anderson, 2/9/2021
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CITYWIDE
• Priority 1 response time- 4:32 (Emergency calls like subject not breathing, shots fired, and other immediate risk to life/safety)
• Calls for service- 9,972
• Total arrests- 582
• Hispanic- 409, White- 79 , Black- 78, All other races-16 • Total Group A Offenses- 674
• Crimes Against Persons- 160
• Crimes Against Property- 320
• Crimes Against Society- 186
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CITYWIDE
• Crimes Against Person- 160
• Homicide- 1
• Sex Offenses- 12
• Assault- 140
• Kidnapping- 1
• Other- 6
• Crimes Against Property- 320
• Robbery- 4
• Burglary- 33
• Larceny- 162
• Destruction of Property- 32
• Fraud- 21
• Possession of Stolen Property- 25
• Motor Vehicle Theft- 37
• Other Miscellaneous Property Crimes- 6
• Crimes Against Society- 186
• Drug and Paraphernalia Possession- 155
• Possession of Child Pornography- 5
• Possession of Weapons- 26
• Other Miscellaneous Crimes- 0
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CRIMES BY BEAT
• Police Department Beat system is NOT
geographically the same as City Council
representation Districts
• Beat 1- All area north of 210 Freeway
• Beat 2- All area south of 210 Freeway and
north of Foothill
• Beat 3- All area south of Foothill and north
of 10 Freeway
• Beat 4- All area south of the 10 Freeway
Area 1
Area 2
Area 3
Area 4
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BEAT 1

AREA COMMANDER IS LIEUTENANT KYLE SLUSSER
EMAIL- [email protected]
DESK- (909) 350-7716
• Total Group A Offenses- 62
• Crimes Against Persons- 10
• Crimes Against Property- 44
• Crimes Against Society- 8
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BEAT 2

AREA COMMANDER IS LIEUTENANT MATT KRAUT
EMAIL- [email protected]
DESK- (909) 356-7142
• Total Group A Offenses- 152
• Crimes Against Persons- 54
• Crimes Against Property- 73
• Crimes Against Society- 25
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BEAT 3

AREA COMMANDER IS LIEUTENANT ADAM CLABAUGH
EMAIL – [email protected]
DESK – (909) 350-7706
• Total Group A Offenses- 270
• Crimes Against Persons- 72
• Crimes Against Property- 111
• Crimes Against Society- 87
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Beat 4

AREA COMMANDER IS LIEUTENANT KEITH ZAGORIN
EMAIL – [email protected]
DESK – (909) 350-7707
•Total Group A Offenses- 130
•Crimes Against Persons- 23
•Crimes Against Property- 91
•Crimes Against Society- 16
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ADDITIONAL USEFUL INFORMATION
• For more information regarding specific geographical crime data, visit www.crimemapping.com and enter your zip code
• Police Department information line- (909) 350-7740
• Police Department Dispatch non-emergency line- (909) 350-7700 • Anonymous crime reporting (909) 356-TIPS to leave a recorded message
• Report Graffiti on City Property- (909) 350-GONE
• Office of the Chief- (909) 350-7702 or [email protected] 340
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0610 Agenda Date: 10/28/2025
Agenda #: V. Category: Consent Calendar
FROM:

Police Department
SUBJECT:

Purchase of 800 MHz Radios and Accessories for the Police Dispatch Center RECOMMENDATION:

1. Authorize the Purchasing Division to “Piggy-Back”from the Sourcewell contract 042021 for the purchase of the Motorola 800 MHz radios, software, and related accessories per Purchasing Policies and Procedure Manual 3.1.5 (Cooperative Purchasing Agreement) for the Police Dispatch Center.

2. Approve the purchase from Motorola Solutions in the amount of $125,693.53.

COUNCIL GOALS:
· Concentrate on Inter-governmental relations by working cooperatively with neighboring jurisdictions.
· Concentrate on Inter-governmental relations by establishing partnerships and positive working relationships with other public agencies providing services to residents and local businesses.

DISCUSSION:

Currently the Fontana Police Department Dispatch unit has 16 of the 800 MHz radios (Model XTL5000) in the center. Over the last year there have been a few workstations that needed to be repaired. The Manager contacted San Bernardino County Radio to repair the workstations. While troubleshooting the workstation, it was discovered that the current 800 MHz radios (model XTL5000) are outdated. The current radios in the center are more than 25 years old. County Radio advised that Motorola will no longer supply replacement parts for 800 MHz radio model XTL5000 currently installed in the center. The XTL5000 radios are now becoming obsolete.

The dispatch radios are essential for officer safety and support to field operations. The department would like to be proactive and purchase the replacement radio model APX6500 offered by Motorola.

Once the radios are purchased, they will be programmed to the same frequency to work with surrounding cities throughout the county.

The Police Department would like to piggyback the contract between Sourcewell and Motorola Solutions. RFP #042021 was effective July 4, 2021, through June 23, 2025. In March of 2025 both parties mutually agreed to extend the contract through June 23, 2026. The Fontana Police Department will be utilizing the same equipment and services listed in the contract.

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Staff request that Council approve the recommendation to purchase the 800 MHz radios for the Police Dispatch Center. Approval will allow for new 800 MHz radios to be installed allowing dispatchers to continue to provide uninterrupted communication to field officers.

FISCAL IMPACT:

Funding was requested during the 2025/2026 first quarter adjustments. Funds requested from Fontana Fire District (Fund 210) in the amount of $44,205 and the Transaction Use Tax (Fund 604) in the amount of $105,795.

MOTION:

Approve staff recommendation
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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0611 Agenda Date: 10/28/2025
Agenda #: W. Category: Consent Calendar
FROM:

Police Department
SUBJECT:

Fontana Police CAD/RMS System Selection Consultant Services Funding Request RECOMMENDATION:

1. Approve an appropriation in the amount of $200,000.00 from the Federal Asset Seizure Fund #223.

2. Authorize the Purchasing Department to proceed with collecting bids for the CAD/RMS System Selection Consultant Services.

COUNCIL GOALS:
· Operate in a businesslike manner by improving services through the effective use of technology.
· Practice sound fiscal management by living within our means while investing in the future. · Practice sound fiscal management by producing transparent information in a timely matter.

DISCUSSION:

The Fontana Police Department is seeking a qualified project consultant to assist in the evaluation, selection, and potential implementation planning of a Computer-Aided Dispatch (CAD) and Records Management System (RMS). This effort aims to modernize our existing infrastructure, improve operational efficiency, and ensure compliance with current public safety standards.

The current CentralSquare CAD system has been in place at the department since 2005.

CentralSquare RMS has served the department since 2019. Our existing Computer-Aided Dispatch (CAD) and Records Management System (RMS) has become increasingly outdated, with limited integration capabilities, inefficient workflows, and a lack of modern features that are now considered essential in policing.

For the last decade, public safety technology has evolved significantly. The integration of body-worn camera (BWC) systems, artificial intelligence (AI) tools for incident analysis, real-time data sharing, and automated reporting features have transformed the way agencies collect, manage, and analyze information. However, our current system lacks the necessary interoperability and automation to meet these growing demands. Additionally, our agency is facing increased public expectations for transparency, accountability, and data-driven policing.

The department is requesting $200,000.00 in initial funding to commence the project. This amount will allow the project to begin without delay. Any necessary budget adjustments or additional funding requests will be made upon award of the contract for said consulting services. The project is planned City of Fontana Printed on 10/23/2025Page 1 of 2
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requests will be made upon award of the contract for said consulting services. The project is planned to be executed in three phases.

FISCAL IMPACT:

The Police Department would like to request an increase in appropriations for expenditures in the amount of $200,000.00 from the Federal Asset Seizure Fund (Fund 223). Appropriate budge adjustments will be submitted to the Budget Office with the 2025/2026 1st Quarter Budget Status Report.

MOTION:

Approve staff recommendations.

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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0620 Agenda Date: 10/28/2025
Agenda #: X. Category: Consent Calendar
FROM:

Finance
SUBJECT:

American Rescue Plan Act Expenditure Plan Quarterly Report RECOMMENDATION:

Receive and file the American Rescue Plan Act (ARPA) Expenditure Plan quarterly report.

COUNCIL GOALS:
· Operate in a businesslike manner by improving services through the effective use of technology.
· Practice sound fiscal management by producing timely and accurate financial information. · Practice sound fiscal management by living within our means while investing in the future. · Practice sound fiscal management by emphasizing capital formation. · Invest in the City’s infrastructure (streets, sewers, parks, etc.) by maintaining and improving the city's existing infrastructure.
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by providing for the development of new infrastructure.
· Invest in the City’s infrastructure (streets, sewers, parks, etc.) by creating and promoting community through people, parks, and programs.

DISCUSSION:

The American Rescue Plan Act (ARPA) was signed into law on March 11, 2021, providing additional relief to address the continued impact of COVID-19 on the economy, public health, state and local governments, individuals, and businesses. ARPA funding of $1.9 trillion provided for $362 billion in flexible fiscal aid to state and local governments in America under the State & Local Fiscal Recovery Funds (SLFRF). The City of Fontana was allocated $50.3 million in ARPA SLFRF funds. The U.S.

Department of the Treasury issued an Interim Final Rule in May 2021, and the Final Rule in January 2022, to implement the Coronavirus State and Local Fiscal Recovery Funds established under ARPA.

On March 8, 2022, the City Council approved the original ARPA Expenditure Plan (Plan). On September 13, 2022, the City Council subsequently approved a revised Plan which properly categorized existing projects per the Final Rule and eliminated projects that were determined to be ineligible. As all projects were determined eligible in concept for ARPA funding, staff has worked diligently with the City Attorney’s office and HdL ECONSolutions ensuring that all project details met ARPA Final Rule requirements. Currently, all projects have received a final legal determination as to City of Fontana Printed on 10/23/2025Page 1 of 3
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their eligibility.

Current Plan
The current Plan reflects expenditures in four primary Federal Eligible Use Categories. and the table below reflects the current budget by category per the Treasury reporting requirements.

There are no proposed plan revisions for the current reporting period. All projects have been fully obligated meaning committed by contract, purchase order, or interagency agreement as required by Treasury Guidelines as of December 31, 2024. The city must expend all SLFRF funds by December 31, 2026.

Leveraged Projects
The original Plan approved by Council included $18.0 million in projects under the Revenue Loss category. However, per the Final Rule, only $10.0 million in funding was available under the standard allowance, leaving $8.0 million in projects unfunded. To address this shortfall, the City identified ARPA-eligible projects that had initially been funded by the General Fund and reprogrammed them to be funded by ARPA instead. This reallocation freed up or leveraged General Fund resources, which were then used to cover the previously unfunded projects. The leveraged projects include a Police Department helicopter ($3.0 million) and various pavement rehabilitation projects ($5.0 million).

Plan Update
As of September 30, 2025, $45.4 million has been expended. Since all projects have been obligated City of Fontana Printed on 10/23/2025Page 2 of 3
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as of December 31,2024, no changes are expected at this time. Attachment B provides a brief update on each project.

FISCAL IMPACT:

There is no fiscal impact associated with the approval of this item.

MOTION:

Receive and file.

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ATTACHMENT A CITY OF FONTANA

AMERICAN RESCUE PLAN ACT (ARPA) EXPENDITURE PLAN UPDATE ESTIMATED AS OF SEPTEMBER 30, 2025
Federal Eligible Use Category
Treasury Expenditure Category Project Current Plan Proposed Plan Estimated
Expenditures
as of 9/30/25
1) Public Health & Economic Response

1.0 Public Health Metrolink Station Security Cameras 66,411 66,411 66,4 11 Ventilation Upgrade for City Facilities 2,322,150 2,322,150 2,322,150

2.0 Negative Economic Impacts Fontana Forward Grant Program 190,786 190,786 19 0,786 Homelessness Prevention Resources and Care Center 6,442,229 6,442,229 6,360,455 Park Improvements 3,241,828 3,241,828 3,009,270

3.0 PH Negative Economic Impact Public Sector
Capacity
Leveraged Project: Support Government Employment
(hiring above the pre-pandemic baseline)
9,842,762 9,842,762 9,842,763 Vaccine Bonus 526,986 526,986 526,986 Leveraged Project: Accela 3,406,636 3,406,636 3,406,636 Leveraged Project: Fontana 311 2,398,355 2,398,355 2,033,040 Part-Time Employee Retention 152,936 152,936 152,936 2) Revenue Loss

6.0 Revenue Replacement Parking Structure 10,000,000 9,999,606 3) Uniform Administrative Requirement, Cost
Principles, and Audit Requirements for Federal
Awards (2 CFR Part 200)
10,000,000

7.0 Adminstrative Administrative Costs 51,433 51,433 51,433 4) Water, Sewer, and Broadband Infrastructure

5.0 Infrastucture Cypress Storm Drain Project 7,340,000 7,340,000 3,726,727 Data Security & Threat Detection 157,927 157,927 157,927 Endpoint Detection & Response Solution 154,806 154,806 154,806 Fiber to City facilities 1,773,968 1,773,968 1,271,685 Network Detection & Response Solution - - - Septic to Sewer 500,000 500,000 451,508 Storm Drain Infrastructure Masterplan 375,130 375,130 375,130 Sewer Infrastructure Masterplan 424,870 424,870 424,781 5) Premium Pay
Public Safety Premium Pay
887,901
887,901 887,900
Total 50,257,113 50,257,113 45,412,937 Total Unappropriated Fund Balance - Total Allocation 50,257,113 50,257,113 365

ATTACHMENT B CITY OF FONTANA

Complete Complete 51,433 Administrative costs to cover the implementation and oversight of the City's AR PA Expenditure Plan. Costs include but are not limited to City staff time, consultant services including HdL, and City Attorney costs.

Cypress Storm Drain Project 7,340,000 3,726,727 Water, Sewer, and Broadband Infrastructure
Construction of a storm drain facility along Foothill Blvd between Sierra Ave and Cypress Ave and Cypress Ave between Foothill Blvd and Orange Way to connect to the newly constructed West Fontana Channel along the Metrolink railroad track. The project also includes landscaped median on Foothill Blvd, reconstruction of AC pavement, and ADA compliant sidewalks and curb ramps upgrades.

In progress 12/31/2026 26,200,000 The project w ill be constructed in two phases:
- Phase 1 will be on Foothill Blvd between Sierra Ave and Cypress Ave, and on Cypress Ave between Foothill Blvd and Orange Way ($19.7 million)
- Phase 2 will be on Cypress Ave between Miller Ave and Foothill Blvd and on Juniper Ave between Miller Ave and Foothill Blvd ($6.5 million)
ARPA funds will be used towards the first phase. Phase 2 will be constructed once funding is identified in the future. The total project cost for Phase 1 is funded by ARPA, Local Measure I, Storm Drain, and Landscape. The project opened bid on April 18. The lowest bid came in higher than anticipated. Pending additional project funding allocation, the project has begun its construction with anticipated completion in late 2026.

Data Security & Threat Detection 157,927 157,927 Water, Sewer, and Broadband Infrastructure
A software suite that integrates with our servers and Office 365 to detect, report, and alert on permissions and activity to help detect unauthorized access.

Complete Complete 157,927 Varonis DatAdvanta ge software suite was deployed and is currently in use to monitor the City's file servers and Office 365 environment. Approved via consent calendar during the June 28, 2022 City Council meeting. PO #22300174. Project is completed.

Endpoint/Network Detection & Response
Solution
154,806 154,806 Water, Sewer, and Broadband Infrastructure
A technology solution that would help detect, alert, and potentially respond automatically to anomalous or malicious network activity on the City's network
Network: A technology solution that would help detect, alert, and respond to unauthorized activity on the staff computers throughout the City. This would fill the gap between what anti-virus software will detect and our network defenses.

Complete Complete 154,806 Combined with Network Detection and Response solution. Purchased Arctic Wolf Manag ed Detection and Response (MDR) solution to monitor network traffic to alert on malicious or suspicious activity. Approved via consent calendar during the June 14, 2022 City Council Meeting.

PO # 22300235. Project is completed
Fiber to City facilities 1, 773,968 1,271,685 Water, Sewer, and Broadband Infrastructure
This project would run City owned fiber to our 6 facilities with leased lines, 1police substation with a leased line, 4 of our larger parks that currently have no connectivity, and 1 police substation that currently has no connectivity. This would help facilitate the use of technology at the locations (Wi-Fi, security cameras, irrigation systems, etc.).

In progress 1/31/2026 1,773,968 Sites to be connected are: Palm Court Substation, Southridge Substation, Cypress Center, Don Day Center, Heritage Center, Jack Bulik Center, Martin Tudor Park, Mary Vagle Nature Center, Bill Martin Park, Central City Park, Ralph M. Lewis Sports Complex, South Fontana Park, and Veteran's Park. The project has been advertised and scheduled to open bid on May 7. The project has been started and substantially completed. Final acceptance anticipated in January 2026.

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366

ATTACHMENT B CITY OF FONTANA

On October 25, 2022, City Council approved the Fontana Eats food assistance program to provide a direct benefit to eligible households impacted by COVID-19. As of August 17, 2023, a total 406 households have received $103,512.81 in funding. In partnership with Fontana/s Social Work Action Group (SWAG) this total includes 35 individuals experiencing housing insecurities that received Fontana Eats funding as additional assistance while placed in local rapid housing.

Complete Complete 190,786 Project details are being developed and w ill be presented to Council for consideration in September 2022. // Pro
ject Name Changed to: Fontana Eats // Council approved program to grant Covid Impacted or disproportionate residents $100 to $600 depending on family size and income // Total Applications Submitted: 225 // First 100 applicants to be funded mid-April.

The sunset of the program commenced on or before September 30, 2023. Funds for the Fontana Eats program were exhausted, leaving a total amount of $83,440.00 remaining and any additional funds not expended after final billing from Usio Card Services, were reallocated to ARPA priority projects. This project has been completed.

Homelessness Prevention Resources and
Care Center
6,442,229 6,360,455 Public Health & Economic Response The design and construction of a homele ss shelter to serve the homeless population of the City.

Leveraged Leveraged 17,000,000 Additi onal funding of $9,000,000 is required and potential sources include:
- County of San Bernardino-$5,000,000
- USHUD $4,000,000
Project will provide transitional housing and wrap around services (24 hour managed care) for up to 30 chronically homeless individuals as well as housing and appropriate support services for up to 16 families. This Includes the purchase of a Hotel, the Conversion Costs and 2 years of property management and utilities. Hotel has been purchased and the conversion has been completed with improvements bein
g funded by other sources.

Leveraged Project: Support Government
Employment (hiring above the pre-pandemic
baseline)
9,842,763 9,842,763 Public Health & Economic Response Per the Treasury Final Rule, the City may hire above the pre-pandemic baseline and use SLFRF funds to pay for payroll and covered benefits associated with the recipient increasing its number of budgeted FTEs up to 7.5 percent above its pre-pandemic baseline.

Complete Complete 9,842,763 All costs associated with new positions approved by Council can be considered for t his leveraged project, including but not limited to the new Police Department positions added in 2021-22 and 2022-23.

Metrolink Station Security Cameras 66,411 66,411 Public Health & Economic Response I nstallation of 8 security cameras at the Fontana Metrolink station to help keep the area more secure. The station currently has no operational cameras, nor an
y City owned cameras.

Complete Complete 66,411 Project is complete. Delays were due to supply chain issues.

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367

ATTACHMENT B CITY OF FONTANA

AMERICAN RESCUE PLAN ACT (ARPA) EXPENDITURE PLAN UPDATE DETAIL ESTIMATED AS OF SEPTEMBER 30, 2025
Project Recommended
Amount
Est Expended As of
9/30/25
Federal Use Category Description Est. Project Start
Date
Est. Project End
Date
Est. Project Cost Project Update
Leveraged Project: Accela 3,406,636 3,406,636 Public Health & Economic Response This is a new pro ject and it is recommended that it is funded in the amount of $3.6 million in an effort to leverage funds for projects originally requested in the Revenue Loss category.

Complete Complete 3,406,636 In 2021 the Innovation and Technology Department began efforts to improve business processes in the land management and permitting systems. During the pandemic, it became clear that paper processes were no longer an effective way of serving our residents or business partners. The city wished to replace the existing solution with an improved digital solution to meet the needs of city employees, residents, and businesses. Over the course of a year, city staff reviewed processes and gathered requirements for a new solution.

A new solution was selected in late 2021 to help improve processes in the land management and permitting system space. Throughout 2022 the IT department has continued to lead this project, working alongside almost every city department to ensure the new solution will be tailored to meet the city of Fontana’s needs in this space. This project has been a 3-year effort, and we are now nearing the tail-end of the project. The new, improved solution will seamlessly connect with surrounding systems, assist customers with an easy-to-use interface, ensure city employees process requests in a consistent and efficient manner, and provide dynamic insights to internal operations. The new solution went live July 2023 and has required some improvements/enhancements. This project has been completed.

Leveraged Project: Fontana 311 2,398,355 2,033,040 Public Health & Economic Response This is a new pro ject and it is recommended that it is funded in the amount of $3.2 million in an effort to leverage funds for projects originally requested in the Revenue Loss category.

In Progress 12/1/2026 2,398,355 The City of Fontana developed and implemented the Fontana 311 system to improve communication and streamline services to its Residents and Businesses by bringing all customer interactions to one central location.

The Fontana 311 system will be a one-stop shop for businesses and residents to file complaints, get answers to questions, keep residents informed and overall improve citizen engagement. The Innovation and Technology department led the project to develop this new system and was sponsored by our Communications and Marketing office. Throughout 2022 and 2023, there has been extensive work with almost every city department to ensure all city services are captured within the application.

Residents will be able to call 311, use a website, or our 311 app to make that first request and then see it through to completion. The Fontana 311 system will allow staff to track requests from initiation to completion. Fontana 311 offers digital government services and makes interacting with government a much smoother process for our residents and businesses. The Fontana 311 system went live in February of 2023 and is now entering phase 2 of the project, which will bring an IVR with AI to assist our residents when they call for services. The project is in progress and is expected to be completed by December 2026.

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368

ATTACHMENT B CITY OF FONTANA

Leveraged Leveraged 3,241,828 Improvements are being recommended at the following 11 parks:
--Veteran's Park-installation of ballfield dugout shade structures (Completed) - Veteran's West Park -installation of new ballfield backstops Construction (Completed) - Seville Park (installation of new ADA Inclusive playground structure (Completed) - Fernandez Park -(Completed)
- Bill Martin Park -Ballfield dugout shade structures and Shade structures for spectator areas(Completed)
- Northgate Park (installation of playground, shade structure and ADA inclusive playground equipment- (Completed)
- North Tamarind Park (installation of new jumbo park gazebo for large groups, a new ADA inclusive playground, shade structures, and rubber safety surfacing- (Construction in progress.

Est Completion: December 2025)
- Lemon Pepper Park (installation of playground shade structure(Completed) - Carmela Park (installation of playground shade structure (Completed) -Miller Park-Improvements (Completed)
-Jack Bulik improvements (Completed)
Parking Structure 10,000,000 9,999,606 Revenue Loss The project w ill construct a new parking structure within the parking lot of the Fontana HR Office.

Complete Complete 15,000,000 The proposed project is to be constructed within the existing parking lot of the Cit y’s Human Resources Department Building located at 8491 Sierra Avenue, Fontana, CA 92335, and shall consist of a 4-tier parkin
g structure. Each tier will have a footprint of approximately 130 feet by 230 feet with two vehicular entrances, one along Learner Lane and the other along Wheeler Avenue.

The City anticipates the structure to include 311 vehicular parking spaces and two elevators. The intent of the structure is to serve as both public and employee parking for the civic center campus.

The Design-Build contract was approved by council on June 13, 2023. The construction has been completed and accepted by City Council in September, 2025.

Part-Time Employee Retention 152,936 152,936 Public Health & Economic Response Project i ncludes recruitment and retention bonuses for part-time personnel.

Complete Complete 152,936 Project includes recruitment and retention bonuses for part-time personnel with a current allocation of $250,000.

Public Safety Premium Pay 887,901 887,901 Premium Pay Project includes public safety ret ention bonuses which were previously categorized as Employee Retention/Incentive as Public Health & Economic Response.

Complete Complete 887,901 Project includes public safety retention bonuses. Project is Complete

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369

ATTACHMENT B CITY OF FONTANA

In Progress (Staff
support only)
12/31/2025(staff will
continue to change
until county
completes
construction)
2,000,000 The City will create sewer mainline construction plans on Arrow Ave between Ilex Street and Beech Ave, Cherry Avenue from Arrow Blvd to Foothill Blvd, and Beech Avenue from Arrow Blvd to Foothill Blvd per the City’s Master Plan of Sewer. The Design phase has been completed. The San Bernardino County will lead construction. Staff charges will continue during the construction.

Storm Infrastructure Masterplan 375,130 375,130 Water, Sewer, and Broadband Infrastructure
For consultant provided services in order to develop a masterplan document to forecast future infrastructure needs.

Complete Complete 375,130 Contract with David Evans and Associates. for $375,130 was approved on October 10, 2022.

Contract is being funded by ARPA. Due to staff shortage in consultant, the expected date for Council workshop is September 2024.Contract has been completed.

Sewer Infrastructure Masterplan 424,870 424,781 Water, Sewer, and Broadband Infrastructure
Storm Drain and Sewer master plans update. With completed projects and various changes since the last update, the master plans are due for an update.

Complete Complete 424,870 Contract with Albert A. Webb Associates, Inc. for $478,502 was approved on October 3, 2022.

Contract is being funding by ARPA and $53,632 from Fund 702. An addendum for $40,000 is approved by the City Council from Fund 702 to provide more detailed analysis of the Downtown Area with the funds being drawn from the Sewer Capital Projects Fund. Due to additional scope of the pro
ject, the project will be ready for a Council workshop in September 2024. As of 10/20/2025, the Contract is complete. Expenditures are being reconciled for completeness.

Vaccine Bonus 526,986 526,986 Public Health & Economic Response Project includes a cityw ide vaccine bonus. Complete Complete 526,986 Project includes a citywide vaccine bonus. Citywide Vaccine Bonus, 40 hours per full-time employee with a current allocation of $526,986. Project ended in December 31, 2022.

Ventilation Upgrade for City Facilities 2, 322,150 2,322,150 Public Health & Economic Response Upgrades to existing HVAC equipment to provide better prot ection to employees from Covid-19.

Complete Complete 2,322,150 Project went out to bid and closed August 23, 2022. Bid responses are being evaluat ed by Purchasing and contract will be presented to council for consideration in September 2022.

Installation began January 2023 and was completed July of 2023. There were a total of 990 air purifiers installed along with 200 air monitors in a total of 20 city buildings. Project is complete Total 50,257,114 45,412,937

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ATTACHMENT B CITY OF FONTANA

AMERICAN RESCUE PLAN ACT (ARPA) EXPENDITURE PLAN UPDATE DETAIL ESTIMATED AS OF SEPTEMBER 30, 2025
Project Recommended
Amount
Est Expended As of
9/30/25
Federal Use Category Description Est. Project Start
Date
Est. Project End
Date
Est. Project Cost Project Update
REVISED: Helicopter Purchase 3,000,000 3,000,000 This request is for an A-Star helicopter which w ill allow for a more available fleet and readied aircraft while one or more are down for scheduled or unscheduled maintenance. The A-Star can fly in windy conditions and eliminate the current loss of approximately 30% of hours due to inclement weather. Additionally, the upgraded program could provide for the ability to support an officer down rescue.

The increased functionality of the A-Star will allow for integrated maps to support in pursuits and tactical situations; recording capabilities to assist in evidence, trainin
g, and civil litigations; the ability to fly at higher altitudes to assist in covert surveillances to aid the Narcotics Unit, Fugitive Apprehension Team, and other units in the special operations division.

Additionally, the A-Star will also provide air support to the Fire District including fire patrol and real-time tactical assessments improving response times and decreasing loss of property.
5/27/2022 Funded by General
Fund
3,000,000 The Airbus Helicopter was purchased and delivered in May 2022 as well as the Chopper Spotter The balance of the outstanding expenditures will be presented to Council and funding (General Fund 101) request will be submitted for approval as needed. Project details include the following:
- 2011 Air Bus AS350B2 ($1,670,125) - purchased using General Fund (101) May 2022. - Chopper Spotter ($22,760) - purchased using General Fund (101) - 5 Year Impound Fees ($625,000) - General Fund (101) monies need to be requested and placed in a project as a one time payment of ($625,000). Funds were in original proposal for annual maintenance (5 yrs. x $125,000)
- 12 Year Maintenance ($225,000) - General fund (101) request submitted for 1st Qtr. (2023- 2024)
- FY 21/22 Prorated Premium Insurance ($3,962) - General Fund (101) paid July 2022. - FY 22/23 Insurance ($47,541) Increase cost of insurance. FY 23/24 Insurance billed at the same rate of FY 22/23. Insurance premium paid from General Fund (101). - Cargo Hook Kit/Bambi Bucket ($100,000) - Currently aircraft unavailable to install equipment.

Fire District/Dept will be contacted when ready to proceed with purchase.

Additionally, there are on-going associated costs related to general contract increase for fuel, maintenance, storage, flight hours, and insurance premiums. The Police Department will include General Fund (101) increase request annually during budget preparation and supplement budget preparation.

This project is now funded by General Fund. Remaining outstanding items to be purchased included: Remaining Impound Fees, 12 Year Maintenance, and Cargo Hook Kit/Bambi Bucket ($100,000). The aircraft is currently unavailable to install equipment. In progress- replacing helicopter engines and training.

Pavement Rehabilitation 5, 000,000 Ongoing For annual work related to the City's Pavement Management Plan. 3/1/2023 Ongoing 5,000,000 Vari ous Pavement Rehabilitation projects, per City's 7-Year Pavement Management Plan, are currently in design and construction phases.

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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0623 Agenda Date: 10/28/2025
Agenda #: Y. Category: Consent Calendar
FROM:

Community Services
SUBJECT:

Accept Donation from County Supervisor Jesse Armendarez (2025 Veteran’s Day Celebration) RECOMMENDATION:

Accept donation from County Supervisor Jesse Armendarez in the amount of $1,000 for use towards the 2025 Veteran’s Day Celebration.

COUNCIL GOALS:
· Operate in a businesslike manner by creating a memorable customer experience with every interaction.
· Increase citizen involvement by seeking community input. · Invest in the City’s infrastructure (streets, sewers, parks, etc.) by creating and promoting community through people, parks, and programs.

DISCUSSION:

The Community Services Department receives donations and sponsorships from many local companies to help support and enhance various programs, activities, and events. County Supervisor Jesse Armendarez donated $1,000 towards the 2025 Veteran’s Day Celebration and is recognized as a Presenting Title Sponsor of this event.

FISCAL IMPACT:

The $1,000 was deposited into the 101.3520 for use in offsetting costs for the 2025 Veteran’s Day Celebration.

MOTION:

Approve staff recommendation.

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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0624 Agenda Date: 10/28/2025
Agenda #: Z. Category: Consent Calendar
FROM:

Community Services
SUBJECT:

Accept Donation from Adam Perez (2025 Veteran’s Day Celebration) RECOMMENDATION:

Accept donation from Adam Perez in the amount of $1,000 for use towards the 2025 Veteran’s Day Celebration.

DISCUSSION:

The Community Services Department receives donations and sponsorships from many local companies to help support and enhance various programs, activities, and events. Adam Perez donated $1,000 towards the 2025 Veteran’s Day Celebration and is recognized as a Presenting Title Sponsor of this event.

FISCAL IMPACT:

The $1,000 was deposited into account 101.3520 for use in offsetting costs for the 2025 Veteran’s Day Celebration.

MOTION:

Approve staff recommendation
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377
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0629 Agenda Date: 10/28/2025
Agenda #: AA. Category: Consent Calendar
FROM:

Planning Department
SUBJECT:

Out-Of-Area Sewer Service Agreement (ANX No. 24-0001), between the City of Fontana and Jose Felix Garcia, for the sewer service provided by the City of Fontana to 9266 Poplar Avenue (APN:
0233-271-08), pursuant to a Statutory Exemption in accordance with CEQA Guidelines Section No 15268(b)(4).

RECOMMENDATION:

1. Find that the project is Exempt pursuant to Section No. 15268(b)(4) (Ministerial Project, Utility Connection) of the California Environmental Quality Act (CEQA) and, direct staff to file a Notice of Exemption; and,

2. Approve and authorize the City Manager to execute an Out-Of- Area Sewer Service Agreement (ANX No. 24-0001) with Jose Felix Garcia, for the provision of sewer service to an existing single-family residence located at 9266 Poplar Avenue, within the Western Sphere of influence of the City of Fontana.

COUNCIL GOALS:
· To promote economic development by aggressively pursuing annexations.

BACKGROUND:

The City’s First Amended and Restated Memorandum of Understanding with the County of San Bernardino for the Western Sphere of Influence states that to the extent the city has available wastewater (sewer) treatment capacity, the city agrees to provide sewer services to and authorize a sewer connection by any landowner requesting such connection and services within the City’s Western Sphere of influence area subject to landowner’s compliance with the City’s annexation policy, meeting of all City requirements and paying applicable sewer fees, and payment of the applicable Western Sphere development impact fees. An Out-Of-Area Sewer Service Agreement incorporating the aforementioned components will allow for the provision of sewer service for an existing single-family residence within the Western Sphere area, consistent with the City Council’s annexation policy. After approval by the City Council, the application would be forwarded to the Local Agency Formation Commission (LAFCO).

As outlined in Government Code Section 56133, state law requires cities to obtain approval from the Local Agency Formation Commission (LAFCO) prior to extending a municipal service outside their corporate limits. The City of Fontana (City) is agreeing to provide a sewer connection prior to annexation of the project site and LAFCO approval is therefore necessary. Upon City Council approval of this Out-Of-Area Sewer Service Agreement, a service boundary modification request will City of Fontana Printed on 10/23/2025Page 1 of 2
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File #: 25-0629 Agenda Date: 10/28/2025
Agenda #: AA. Category: Consent Calendar
be submitted to San Bernardino LAFCO.

DISCUSSION:

The project involves a .16-acre parcel located at 9266 Poplar Avenue. The parcel is outside of and adjacent to Fontana’s City limits and is within the City’s Western Sphere of Influence area. The proposed Out-Of-Area Sewer Service Agreement would provide connection to the City’s sewer system to an existing single-family residence and proposed accessory dwelling units within the Western Sphere of influence of the City of Fontana.

The parcel is located in the City’sunincorporated Western Sphere of Influence area and, in keeping with the City’sAnnexation Policy, an Out-Of-Area Sewer Service Agreement is necessary to establish the agreed upon terms between the City and the landowner in order to provide sewer service. The Memorandum of Understanding and the City Council Policy Pertaining to Annexation are included as attachments to the Agreement. Presented below is an outline of the major terms of the agreement; a copy of the Out-Of-Area Sewer Service Agreement is attached to this report.

1. The City’sDevelopment Impact Fees, as required by the City, are outlined in Exhibit D of the Out-Of-Area Sewer Service Agreement.

2. The City hereby agrees to furnish, and Owner hereby agrees to accept, Service to the Property in accordance with the terms and conditions in the Agreement, subject to the Owner completing the Improvements in accordance with the City’smunicipal code, ordinances, rules, regulations, policies, procedures and orders (“Rules and Regulations”).

3. The landowner agrees not to oppose any future annexation into the City.

ENVIRONMENTAL IMPACT:

Staff has reviewed the proposed project and prepared the following environmental recommendation for the City Council’sconsideration: There will be no significant environmental impacts caused by this project, therefore, a Notice of Exemption has been prepared pursuant to Section No. 15268 (b) (4) (Ministerial Project, Utility Connection) of CEQA.

FISCAL IMPACT:

This project will not have any direct negative fiscal impact.

MOTION:

Approve staff’s recommendation.

ATTACHMENTS:

1. Vicinity Map

2. Out-Of-Area Sewer Service Agreement

3. Notice of Exemption
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ATTACHMENT NO. 1

VICINITY MAP
DATE: October 28, 2025

CASE: Master Case No. 24-0004
Annexation No. 24-0001

CITY OF FONTANA PLANNING DEPARTMENT

CIT
Project Site
380
381
2 OUT-OF-AREA SEWER SERVICE AGREEMENT

This Out -of-Area Sewer Service Agreement (also referred to as “Irrevocable Agreement to Annex”) (this “Agreement ”) is entered into by and between the City of Fontana, a California municipal corporation (“City”) and Jose F. Garcia and Lu cila Garcia, an individual (“Owner”). City and Owner may be individually referred to herein as a “Party.”

RECITALS
A. The Owner is fee title holder of one (1) parcel in the County of San Bernardino, State of California (“County”) with Assessor’s Parcel Number 0233-271-08- 0000 (the “Property”). The Property is located outside the City ’s boundaries but within the City’s sphere of influence, and is more particularly described in Exhibit A , attached hereto and incorporated herein.

B. The Property currently includes one residential structure of approximately 1,028 square feet in size (“Existing Development”). The sewage disposal needs of the Existing Development are presently served by a septic tank system.

C. The County of San Bernardino is requiring that the Existing Development and the connect to a public sewer system to receive sewer service (“Service”).

D. The Owner has requested to connect to the City’s sewer system and receive service for the Existing Development pursuant to subsection (b) of Section No. 56133 of the California Government Code and the policies and procedures of the County of San Bernardino’s Local Agency Formation Commission (“SBLAFCO”).

E. Pursuant to the “ First Amended and Restated Memorandum of Understanding” between the City and the County to provide Service to the Existing Development, the Owner must: 1) comply with the City’s annexation policy, 2) meet all City requirements and pay applicable services fees imposed by the City pursuant to the Fontana Municipal Code and other such policies and regulations in connection with sewer services and 3) pay the required Development Impact Fees (“DIF”) to the City.

F. The City’s annexation policy, attached hereto as Exhibit B and incorporated herein, requires existing landowners to enter into an “Irrevocable Agreement to Annex for Sewer Service” also referred to as “Out-of-Area Service Agreement,” with the City before providing sewer services to the respective landowner’s property.

G. The DIF associated with t his Service is attached hereto as Exhibit C and incorporated herein.

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383
384
385
386
387
388
389
390
391
392
393
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396
397
398
399
400
401
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404
405

EXHIBIT D
Pre-Annexation Agreement
Estimated
Development Impact Fees
Sewer Connection Charges/LAFCO Fee

Impact Fees Fee Multiplier Fee Amount
1Fire Facilities $431.00 - SFD 0.5 $215.50
Engineering Fees
1Park Development $7,733 - SFD 0.5 $3,866.50
1Storm Drain Fee
(Fontana East) $16,550.00 0.5 $8,275.00
Sewer Deposit $60.24 4 month deposit $240.96
City Sewer
Connection Master
Fee
$1,023.00 per EDU 1 EDU’s3 $1,023.00
City Sewer
Connection Permit $25.00 1 $25.00
2Sanitary Sewage
Facilities Expansion
Fee (Inland Empire
Utilities Agency)
$8,620 Per EDU
Effective 7/1/24

1 EDU’s3 $8,620.00
4LAFCO Fee $650.00 1 $650.00
Total $22,916.96

1 Fees listed are reduced by 50% pursuant to City of Fontana In-fill Ordinance No. 1748 adopted on September 13, 2016. (If applicable)
2 Indicates a pass-through fee collected for other agencies. 3 Equivalent Dwelling Units (EDU’s) have been estimated for the project and will be adjusted at time of plan check for the “Sewer Connection” permit. 4 Subject to LAFCO’s adopted fee resolution.

All Fees shall be due and payable prior to issuance of the “Sewer Construction” permit issued by the Engineering Department and the “Sewer Connection” permit issued by the Building & Safety Division. Additional fees will apply for the permit issuance and inspection. The estimated fee will be collected at the actual rate when the construction permit is issued.

406
Notice of Exemption FORM “A”
ATTACHMENT NO. 3

NOTICE OF EXEMPTION
TO:
☐
Office of Land Use and Climate
Innovation
State Clearinghouse
P. O. Box 3044, Room 113
Sacramento, CA 95812-3044
FROM:
(Public
Agency)
Name: City of Fontana
Address: 8353 Sierra Ave,
Fontana CA 92335
Telephone: 909-350-6656
☒

Clerk of the Board of Supervisors
or
County Clerk (Include County
name)
Address:

1. Project Title: Master Case No. 24-0004 and Annexation No. 24-0001.

2. Project Applicant (include address,
telephone number and email address):

City of Fontana
Salvador Quintanilla
Senior Planner
[email protected]
(909) 350-6656
Planning Department
8353 Sierra Avenue
Fontana, CA 92336

3. Project Location – Identify street
address and cross streets or attach a
map showing project site (preferably a
USGS 15’ or 7 1/2’ topographical map
identified by quadrangle name):

The Project site is located at 9266 Poplar
Avenue (APN: 0233-271-08).

4. (a) Project Location – City: Fontana (b) Project Location – County: San Bernardino

5. Description of nature, purpose, and
beneficiaries of Project:

The project is for establ ishment of an
Out-Of-Area Sewer Service Agreement to
provide sewer service to an existing
single-family residence that is outside of
Fontana’s c ity limits and inside of
Fontana’s unincorporated sphere of
influence.

6. Name of Public Agency approving
project:

City of Fontana

7. Name of Person or Agency undertaking
the project, including any person
undertaking an activity that receives
financial assistance from the Public
City of Fontana
Salvador Quintanilla
Senior Planner
[email protected]
407
Notice of Exemption FORM “A”
ATTACHMENT NO. 3
Agency as part of the activity or the
person receiving a lease, permit,
license, certificate, or other entitlement
of use from the Public Agency as part of
the activity:
(909) 350-6656
Planning Department
8353 Sierra Avenue
Fontana, CA 92336

8. Exempt status: (check one)
(a) ☐ Ministerial project. (Pub. Resources Code § 21080(b)(1); State CEQA Guidelines § 15268(b)(4))
(b) ☐ Not a project. State CEQA Guidelines 15050(c)(2)-(3) (c) ☐ Declared Emergency (Pub. Resources Code § 21080(b)(3); State CEQA Guidelines § 15269(a))
(d) ☐ Emergency Project. (Pub. Resources Code § 21080(b)(4); State CEQA Guidelines § 15269(b),(c))
(e) ☐ Categorical Exemption.

State type and section
number:

(f) ☒ Statutory Exemption.

State Code section number:

Exempt pursuant to Section No.
15268(b)(4) (Ministerial Project, Utility
Connection)
(g) ☐ Other. Explanation:

9. Reason why project was exempt: The project is for a utility connection, which is exempt pursuant to Section No.
15268 (b)(4) of the California
Environmental Quality Act (CEQA).

10. Lead Agency Contact Person:

Telephone:

Salvador Quintanilla, Senior Planner
909-350-6656

11. If filed by applicant: Attach Certificate of Determination (Form “B”) before filing.

12. Was a public hearing held by the Lead Agency to consider the exemption? Yes ☒ No ☐
If yes, the date of the public hearing was: October 28, 2025

Date: October 28, 2025

________________________________
Signature
Name: DiTanyon Johnson
408
Notice of Exemption FORM “A”
ATTACHMENT NO. 3
Title: Planning Manager
☒ Signed by Lead Agency ☐ Signed by Applicant

Date Received for Filing:
(Clerk Stamp Here)
Authority cited: Sections 21083 and 21110, Public Resources Code.

Reference: Sections 21108, 21152, and 21152.1, Public Resources Code. 409
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0631 Agenda Date: 10/28/2025
Agenda #: AB. Category: Consent Calendar
FROM:

Administrative Services
SUBJECT:

Second amendment to the letter of agreement between the Fontana Historical Society and the City of Fontana.

RECOMMENDATION:

Approve second amendment to the letter of agreement between the Fontana Historical Society and the City of Fontana.

COUNCIL GOALS:
· Increase citizen involvement by promoting healthy lifestyle opportunities to residents of all ages.
· Concentrate on Inter-governmental relations by working cooperatively with neighboring jurisdictions.

DISCUSSION:

The City of Fontana entered into an agreement with the Fontana Historical Society to subsidize costs associated with operating the organization. In 2015, the costs associated with Fontana Historical Society operations was $2000 annually. An amendment was agreed to in 2020 due to increased costs. That first amendment increased the subsidy to $3500.

Today, costs have continued to increase, and staff is recommending increasing the subsidy to $5000 annually, paid in quarterly payments of $1250, through a second amendment to the agreement letter.

FISCAL IMPACT:

An increase in annual expenditure from the Administrative Services Admin budget 10120000-8130 by $1500 annually.

MOTION:

Approve staff recommendation to amend Letter of Agreement between the Fontana Historical Society and the City of Fontana.

City of Fontana Printed on 10/23/2025Page 1 of 1
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410

SECOND AMENDMENT LETTER TO LETTER AGREEMENT

BETWEEN

THE CITY OF FONTANA AND

FONTANA HISTORICAL SOCIETY

Fontana Historical Society
16830 Spring St
Fontana, CA 92335
Dear Mr. Matt Slowik:

October 28, 2025
This letter will memorialize and confirm the terms and conditions of this Amendment Number 2 (the "Amendment") to that certain Letter Agreement dated July 1, 2015 (the "Agreement") by and between the City of Fontana, a municipal corporation organized under the laws of the State of California with its principal place of business at 8353 Sierra Avenue, Fontana, California 92335 (the "City") and Fontana Historical Society, a 501(c)(3) Non Profit, with its principal place of business at 16830 Spring St, Fontana, CA 92335 (the "Society"). The City and the Society are sometimes individually referred to as "Party" and collectively as "Parties".

The City, under the Agreement, has retained the services of the Society to participate or provide assistance at City events or activities. The City and the Society desire to amend the Agreement, to increase the annual financial contribution to three thousand five hundred dollars ($5,000.00) per year to the Society. The annual contribution will be paid on a quarterly basis in four (4) payments in the amount of eight hundred seventy-five dollars ($1250.00) each.

Except as amended by this Amendment, all other provisions of the Agreement remain in full force and effect. From and after the date of this Amendment, whenever the term "Agreement" appears in the Agreement, it shall mean the Agreement as amended by this Amendment.

The Parties irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligation s they have undertaken pursuant to this Amendment.

AGREED and ACCEPTED:

411

CITY OF FONTANA FONTANA HISTORICAL SOCIETY

By: By:

Matthew C. Ballantyne City Manager Matt Slowik President

Attest:

By:

City Clerk

Approved as to form:

Best Best & Krieger LLP City Attorney

IN COMPLIANCE WITH PURCHASING AND CONTRACT ADMINISTRATION POLICIES/PROCEDURES

Lisa Strong, Management Services Director Purchasing Office

412
DocuSign Envelope ID: BCBAADE8-5EE9-4C07-94F2-017FC9A844A2

AMENDMENT LETTER TO LETTER AGREEMENT

BETWEEN

THE CITY OF FONTANA AND

FONTANA HISTORICAL SOCIETY

Fontana Historical Society 16830 Spring St
Fontana, CA 92335 Dear Mr. Matt Slowik:

January 22, 2020

This letter will memorialize and confirm the terms and conditions of this Amendment Number 1 (the "Amendment") to that certain Letter Agreement dated July 1, 2015 (the "Agreement") by and between the City of Fontana, a municipal corporation organized under the laws of the State of California with its principal place of business at 8353 Sierra Avenue, Fontana, California 92335 (the "City") and Fontana Historical Society, a 501(c)(3) Non Profit, with its principal place of business at 16830 Spring St, Fontana, CA 92335 (the "Society"). The City and the Society are sometimes individually referred to as "Party" and collectively as "Parties".

The City, under the Agreement, has retained the services of the Society to participate or provide assistance at City events or activities. The City and the Society desire to amend the Agreement, to increase the annual financial contribution to three thousand five hundred dollars ($3,500.00) per year to the Society. The annual contribution will be paid on a quarterly basis in four (4) payments in the amount of eight hundred seventy-five dollars ($875.00) each.

The Parties irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment.

AGREED and ACCEPTED:
413
DocuSign Envelope ID: BCBAADE8-5EE9-4C07-94F2-017FC9A844A2

CITY OF FONTANA FONTANA HISTORICAL SOCIETY

By: By:

G. Michael Milhiser
Interim City Manager
Matt Slowik
President

Attest:

By:

City Clerk

Approved as to form:

Best Best & Krieger LLP
City Attorney

IN COMPLIANCE WITH PURCHASING AND CONTRACT ADMINISTRATION POLICIES/PROCEDURES

Lisa Strong, Management Services Director Purchasing Office

BB&KH. Shane RV PUB-751301-vl-Fontana 2
414
DocuSign Envelope ID: BCBAADE8-5EE9-4C07-94F2-017FC9A844A2

C I l Y O F
City of Fontana

CALIFORNIA

July 1st, 2015

Fontana Historical Society
16830 Spring Street
Fontana, CA 92335

LETTER AGREEMENT

This letter shall be the Agreement regarding the financial contributions that will be provided by the City of Fontana, a municipal corporation organized under the laws of the State of California, (the "City") to the Fontana Historical Society (the "Society"). This Agreement is entered into this 1st day of July, 2015.

The Society is a community organization dedicated to the preservation and promotion of history and heritage in the City. The Society is the record owner of certain properties and facilities generally located at 16830 Spring Street and 8863 Pepper Street, Fontana, California. The Society's facilities include a Research Library, the History Room at the Lewis Library and Technology Center, the Fontana Family Rose Garden, and the Pepper Street Agricultural Museum. The Society's various facilities and locations are dedicated to the study and appreciation of all aspects of the history of the City of Fontana.

The Society provides educational progr ams, research, preservation advocacy, and collection and preservation of fine arts, decorative arts, archeological objects, printed and manuscript materials, maps, and historic artifacts related to the heritage of the City of Fontana. The Society's many activities and pursuits enrich the City of Fontana's community and help the City learn about and value its historical roots. The City acknowledges the important role that the Society plays in the community by maintaining its facilities, providing programs to students, youth organizations and the public at large, offering community service opportunities, and preserving the City's past for all to appreciate and enjoy.

The City wishes to enrich City events or activities and City-sponsored events or activities with the wealth of information and resources that the Society provides to the community. The City aims to enrich such events or activities by having the Society actively participate in and assist at events or activities as requested by the City.

The Society hereby agrees to participate in or provide assistance at City events or activities and City-sponsored events or activities in response to a request from the City for the Society's participation or assistance. The Society shall make all reasonable efforts to be available to participate in or assist at events or activities when so requested by the City.

16498.00001 \9795030.1
www.fontana.org
8353 SIERRA AVENUE FONTANA. CALIFORNIA 92335-3528 (909) 350-7600 0 recycled paper
415
DocuSign Envelope ID: BCBAADE8-5EE9-4C07-94F2-017FC9A844A2 16498.00001 \9795030.1

The Society's participation and assistance at City events or activities and City-sponsored events or activities may include, but shall not be limited to, the following:
being present at a booth or table in the Society's name, providing information and resources to members of the public, providing literature or other materials to members of the public, answering questions from members of the public, or providing volunteers to assist with City event or City-sponsored event programming.

In exchange for the Society providing this valuable assistance and resources at City events or activities and City-sponsored events or activities upon request, the City desires to provide annual financial contributions to the Society in return.

The City hereby agrees to make an annual financial contribution in the sum of Two Thousand Dollars ($2,000) per year to the Society. The annual contribution will be paid on a quarterly basis in four (4) quarterly installment payments in the amount of Five Hundred Dollars ($500) each. The quarterly payments will be made according to the following payment schedule in any given year: January 1, April 1, July 1, and October 1.

The City recognizes that the contributions of the Soci ety at City events or activities and City -sponsored events or activities are ongoing, and as such the City's financial contributions will be ongoing. No fixed termination date for this Agreement is set.

This Agreement may be terminated by either the City or the Society for any or no reason upon thirty (30) days' prior written notice to the other party.

To the fullest extent permitted by law, the Society hereby agrees to defend, indemnify and hold City, its officials, officers, employees, subcontractors, consultants and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, p ertaining to, or incident to any alleged acts, errors or omissions of City, its officials, officers, employees, subcontractors, consultants or agents in connection with this Agreement except to the extent caused by the negligence or willful misconduct of C ity, its officials, officers, employees, subcontractors, consultants or agents.

The City finds that the City Manager has proper authority to approve this Agreement pursuant to the City Manager's authority to procure services for and on behalf of the City.

If the Society agrees with the terms of this Letter Agreement, please indicate by signing and dating below. An original, executed copy of this Letter Agreement is enclosed for the Society's records.

[Signatures on following page.]
416
DocuSign Envelope ID: BCBAADE8-5EE9-4C07-94F2-017FC9A844A2 16498.00001 \9795030.1

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their respective officers.

CITY OF FONTANA FONTANA HISTORICAL SOCIETY

Date: _4...,. ,_4�/4-

Tonia Lewis, City Clerk

APPROVED AS TO FORM:

BEST BEST & KRIEGER LLP

Jeff Ballinger,e·Attorney
417

Certificate Of Completion
Envelope Id: BCBAADE85EE94C0794F2017FC9A844A2
Subject: Fontana Historical Society Amendment No. 1
Source Envelope:

Status: Completed
Docu �,. ■ 5ECllll1tll

Document Pages: 2
Supplemental Document Pages: 3
Certificate Pages: 5
AutoNav: Enabled
Envelopeld Stamping: Enabled
Signatures: 6
Initials: O
Envelope Originator:

Purchasing Office

8353 Sierra Avenue
Fontana, CA 92335
Time Zone: (UTC-08:00) Pacific Time (US & Canada) [email protected] IP Address: 192.146.186.96

Record Tracking
Status: Original
1/22/2020 12:53:39 PM

Signer Events
Mary Aguilar
[email protected]
Security Level: Email, Account Authentication
(None)

Holder: Purchasing Office
[email protected]

Signature
Completed

Using IP Address: 192.146.186.96

Location: DocuSign

Timestamp

Sent: 1/22/2020 12:59:49 PM
Viewed: 1/22/2020 1:00:06 PM
Signed: 1/22/2020 1:00:13 PM

Electronic Record and Signature Disclosure:

Accepted: 1/22/2020 1:00:06 PM
ID: 81e24754-c4cd-4503-acd2-f1f61c1e2761

Matt Slowik
[email protected]
Security Level: Email, Account Authentication
(None)

Electronic Record and Signature Disclosure:

Accepted: 1/28/2020 4:49:36 PM
ID: 2a0ca18a-02e5-409a-b5a6-03f5ee8ee88d
DocuSigned by:
--,,,,,ar-,st,,..,,,J,,
65BA50C0FE2A4D7...

Signature Adoption: Pre-selected Style
Using IP Address: 174.195.205.117
Signed using mobile
Sent: 1/22/2020 1:00:14 PM
Viewed: 1/28/2020 4:49:36 PM
Signed: 1/28/2020 4:53:37 PM
Supplemental Documents: Fontana Historical Society Agreement.pdf Viewed: 1/28/2020 4:52:27 PM Read: Not Required
Accepted: Not Required

Ruben Duran
[email protected]
Security Level: Email, Account Authentication
(None)

Electronic Record and Signature Disclosure:

Accepted: 2/6/2020 3:46:16 PM
ID: 7df565c3-48b8-43d9-8240-7af79ce6f319

Sid Lambert
[email protected]
Purchasing Office
Ontario Reign Hockey Club, LLC
Security Level: Email, Account Authentication
(None)

Signature Adoption: Pre-selected Style
Using IP Address: 74.116.243.2

I( DocuSigned by:

��62�:a:::t

Signature Adoption: Pre-selected Style
Using IP Address: 192.146.186.96
Sent: 1/28/2020 4:53:39 PM
Viewed: 2/6/2020 3:46:16 PM
Signed: 2/6/2020 3:46:59 PM

Sent: 2/6/2020 3:47:00 PM
Viewed: 2/6/2020 3:47:19 PM
Signed: 2/6/2020 3:47:27 PM
418

Electronic Record and Signature Disclosure:
419

G
G
Signer Events
Not Offered via DocuSign
Signature Timestamp

Lisa Strong
[email protected]
Management Services Director
City of Fontana
Security Level: Email, Account Authentication
(None)

Electronic Record and Signature Disclosure:

Not Offered via DocuSign

G. Michael Milhiser
[email protected]
Interim City Manager
Security Level: Email, Account Authentication
(None)

Signature Adoption: Pre-selected Style
Using IP Address: 192.146.186.96

DocuSigned by:

C,, f¼i� l¼illust-V'
D0FF75C3387440A...

Signature Adoption: Pre-selected Style
Using IP Address: 192.146.186.96
Sent: 2/6/2020 3:47:28 PM
Viewed: 2/6/2020 3:50:08 PM
Signed: 2/6/2020 3:50:33 PM

Sent: 2/6/2020 3:50:34 PM
Viewed: 2/6/2020 4:05:43 PM
Signed: 2/6/2020 4:06:21 PM

Electronic Record and Signature Disclosure:

Accepted: 2/6/2020 4:05:43 PM
ID: 4fee377d-8864-4b13-87e4-82e1d66b55a6

Toni Lewis
[email protected]
City Clerk
City of Fontana
Security Level: Email, Account Authentication
(None)

Electronic Record and Signature Disclosure:

DocuSigned by:
tow /,wlis
EBCDCFDA17754F5...

Signature Adoption: Pre-selected Style
Using IP Address: 76.218.56.24

Sent: 2/6/2020 4:06:23 PM
Viewed: 2/6/2020 5:38:45 PM
Signed: 2/6/2020 5:39:01 PM
Not Offered via DocuSign
In Person Signer Events Signature Timestamp

Editor Delivery Events

Status

Timestamp

Agent Delivery Events Status Timestamp

Intermediary Delivery Events Status Timestamp

Certified Delivery Events Status Timestamp

Carbon Copy Events

Status

Timestamp

Witness Events Signature Timestamp

Notary Events Signature Timestamp

Envelope Summary Events Status Timestamps
Envelope Sent
Certified Delivered
Signing Complete
Completed
Hashed/Encrypted
Security Checked
Security Checked
Security Checked
2/6/2020 4:06:23 PM
2/6/2020 5:38:45 PM
2/6/2020 5:39:01 PM
2/6/2020 5:39:01 PM

Payment Events Status Timestamps
Electronic Record and Signature Disclosure
420

Electronic Record and Signature Disclosure created on: 2/2/2017 6:54:36 AM Parties agreed to: Mary Aguilar, Matt Slowik, Ruben Duran, G. Michael Milhiser

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421

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City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0632 Agenda Date: 10/28/2025
Agenda #: AC. Category: Consent Calendar
FROM:

Economic Development
SUBJECT:

Resolution of the City Council of The City of Fontana, California, approving an amendment to the agreement for services between The City of Fontana and AMPAC Business Capital RECOMMENDATION:

City Council adopt Resolution No. 2025-103, approving the Amendment to the Agreement for Services Between the City of Fontana and AmPac Tri-State CDC doing business as Ampac Business Capital
COUNCIL GOALS:
· Promote economic development by being business friendly at all levels and striving to constantly improve the city's competitiveness.

DISCUSSION:

On March 1, 2024, the City Council established a Revolving Loan Fund (RLF) of $500,000 to provide debt financing to entrepreneurs and small businesses in Fontana, with the goal of stimulating business growth and job creation within the community.

The City previously entered into an Agreement for Services with AmPac Business Capital (AmPac), to manage the day-to-day operations and servicing of the RLF. This included loan application processing, underwriting, disbursement, and management.

Since the program's inception, staff has identified opportunities to clarify and update certain terms and conditions within the original Agreement to enhance administrative efficiency and ensure the RLF continues to operate effectively in line with its original intent. The core intent, scope of work, and the City’s financial commitment under the original $500,000 RLF program remain unchanged.

Furthermore, the Resolution grants the City Manager the authority to execute future non-material amendments. This authority is requested to allow staff to quickly make minor, operational adjustments that may become necessary over the life of the Agreement.

FISCAL IMPACT:

No fiscal impact
MOTION:

Approve Staff recommendation
City of Fontana Printed on 10/23/2025Page 1 of 1
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Page 1 of 3 ends

RESOLUTION NO. 2025-103

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FONTANA,

CALIFORNIA, APPROVING AN AMENDMENT TO THE AGREEMENT

FOR SERVICES BETWEEN THE CITY OF FONTANA AND AMPAC

BUSINESS CAPITAL

WHEREAS, the City of Fontana (“City”) has previously established a Revolving Loan Fund (“RLF”) in the amount of Five Hundred Thousand Dollars ($500,000.00) to provide entrepreneurs and small businesses within the City with access to debt financing for the purposes of business growth; and
WHEREAS, the City entered into an Agreement with AmPac Tri -State CDC doing business as Ampac Business Capital (“AmPac”) for the administration and servicing of said RLF; and
WHEREAS, the City and AmPac now desire to update and clarify the terms and conditions of the Agreement to reflect their mutual understanding; and WHEREAS, staff finds that the execution of this Amendment is in the best interest of the City and its residents, as it enhances the administration and efficacy of the RLF program.

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

Section 1. Recitals. The above recitals are true, correct and by this reference incorporated herein.

Section 2. CEQA. The City Council finds that this Resolution is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly.

Section 3. Approvals. The City Council of the City of Fontana (“City Council”) approves this Amendment to the Agreement for Services Between the City of Fontana and AmPac Business Capital, a copy of which is attached hereto and incorporated herein by reference. Furthermore, the City Manager is granted the authority to negotiate and execute any subsequent non -material amendments, modifications, or changes to this Agreement that are necessary or desirable to further the intent of the RLF program, provided such changes do not result in an increase in the City's financial obligation or fundamentally alter the scope of services. The City Manager is also authorized to take all other actions necessary to implement the terms and intent of this Resolution.

Section 4. Effective Date . This Resolution shall become effective immediately upon its adoption.
425
Resolution No. 2025-103

Page 2 of 3 ends

Section 5. Severability. If any provision of this Resolution or the application of any such provision to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Resolution that can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The City Council declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion of this Resolution.

Section 6. Certification. The City Clerk shall certify to the adoption of this Resolution.

Section 7. Custodian of Records . The documents and materials that constitute the record of proceedings on which this Resolution is based are located at the City Clerk’s office located at 8353 Sierra Avenue, Fontana, CA 92335. The custodian of records is the City Clerk.

APPROVED AND ADOPTED this 28th day of October, 2025.

READ AND APPROVED AS TO LEGAL FORM:

________________________________
City Attorney

I, Germaine Key, 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 held on the 28 th day of October 2025, by the following vote to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

________________________________
City Clerk of the City of Fontana

________________________________
Mayor of the City of Fontana

426
Resolution No. 2025-103

Page 3 of 3 ends

ATTEST:

________________________________
City Clerk

427

AMENDMENT TO AGREEMENT FOR SERVICES BETWEEN THE CITY OF

FONTANA AND AMPAC BUSINESS CAPITAL
This Amendment (“Amendment”) is made and entered into as of October 28, 2025, by and between the City of Fontana (the “City”) and AmPac Tri-State CDC doing business as AmPac Business Capital (“AmPac”), and amends the Agreement for Services between the City of Fontana and AmPac Business Capital, entered into as of March 1, 2024 (the “Agreement”).

WHEREAS, the City has established a Revolving Loan Fund (“RLF”) in the amount of Five Hundred Thousand Dollars ($500,000.00) to provide entrepreneurs and small businesses within the City of Fontana with access to debt financing for the purposes of business growth; and WHEREAS, the Parties desire to update and clarify the terms and conditions of the Agreement to reflect their mutual understanding and to refine the scope of services.

NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by the Parties, the Parties agree as follows:

1. ARTICLE 1. DEFINITIONS.

a. The following new Section 1.8 “Technical Assistance” is hereby added to the Agreement:

“1.8 Technical Assistance. Shall mean comprehensive, individualized support designed to facilitate the inception, expansion, and endurance of businesses for entrepreneurs participating in the RLF program. This encompasses, without limitation, professional coaching, educational resources, instrumental tools, and strategic advisory services focused upon financial viability, operational efficacy, and preparedness for capital investment.”

2. ARTICLE 2. TERMS.

a. Section 2.4 “Term” is hereby amended to read as follows:

“2.4 Term. The term (“Term”) of this Agreement shall be from April 9, 2024, to June 30, 2029. The term of this Agreement may be extended by mutual written agreement of the Parties.”

b. Section 2.5 “Final Program Activity Report” is hereby amended to read as follows:

“2.5 Final Program Activity Report. One hundred eighty (180) days prior to the conclusion of this Agreement, AMPAC shall provide the City with a final Program Activity Report. This report shall be a comprehensive summary of all 428

Program Activity Reports submitted to the City under Section 3.2 throughout the term of this Agreement.”

3. ARTICLE 3. RESPONSIBILITIES OF AMPAC.

a. Section 3.2 “Program Activity Report” of the Agreement is amended to read as follows:
“3.2 Program Activity Report. AmPac shall submit to the City’s Representative, at [email protected] a quarterly written report (“Program Activity Report”) within 10 (ten) business days after the last day of each calendar quarter, consisting of data metrics illustrating AmPac’s performance and progress with respect to the services delineated herein, including, without limitation, information and materials pertaining to the volume of business applications processed and funded through the City’s RLF, as well as comprehensive business loan servicing information. In addition to the foregoing, the Program Activity Report shall include the following data:
• Loan Application Disposition Date (including reason for decline, if applicable);
• Applicant Business Name;
• Applicant Business Address;
• Approved Loan Amount;
• Loan Funding Date;
• Borrower Ethnicity/Race (if provided);
• Borrower Gender (if provided);
• Borrower Veteran Status;
• Low-to-Moderate Income (“LMI”) Census Tract (based on business address);
• Number of Jobs Created or Retained;
• Number of Past Due Payments;
• Loan Status and Modification Details;
• Name of Defaulted Loans and Corresponding Loan Count; and • Quarterly Amount of Principal and Interest Reallocated to the RLF Balance for New Loan Funding.

The Program Activity Report shall further incorporate copies of all (thirty-) 30- day and (sixty-) 60-day past due loan payment letters dispatched to borrowers, accompanied by proof of certified mailing of those letters. For any loan exceeding ninety (90) days past due, AmPac shall additionally generate and transmit a copy of the final Default Loan Package to the City of Fontana as part of this report.” 429

b. The following new Section 3.8 “Loan Origination” is hereby added to the Agreement:

“3.8 Loan Origination. AmPac shall be responsible for the initiation and origination of all loans under this Agreement. This responsibility includes, but is not limited to: (i) receiving, processing, and conducting the due diligence review of all loan applications; (ii) reviewing and evaluating applications for completeness and eligibility; (iii) ensuring that applicants meet all requirements and eligibility criteria as established by the City; and (iv) approving and granting loans in accordance with such requirements. All loan originations must utilize the standard documents provided in Exhibit B, attached hereto and incorporated herein, and any other required instruments. AmPac shall not alter, revise, or substitute any of the loan documents without the prior written approval of the City.”

c. The following new Section 3.9 “Loan Modifications” is hereby added to the Agreement:
“3.9 Loan Modifications. Loan modifications may be requested by the borrower.

The City reserves the right to approve or deny any such modification request. Any request for modification must be submitted in writing and shall acknowledge the borrower’s understanding that, for any approved modification, a charge of Three Hundred Fifty Dollars ($350.00) shall be applicable for the generation of requisite new documents by AmPac, which shall be paid to AmPac concurrently with the signing of said documents, provided that the subject loan is not delinquent.” d. The following new Section 3.10 “Payments and Collection” is hereby added to the Agreement:
“3.10 Payment Collection and Loan Servicing. AmPac shall be responsible for the collection of monthly principal and interest payments from borrowers for the RLF. Such payments shall be made from the borrower’s business checking account. The preferred method of payment shall be Automated Clearing House (“ACH”) auto-debit, as duly authorized by the borrower; however, payments may also be accepted in the form of a certified check drawn from the borrower's business checking account.

If a payment made via ACH is rejected for any reason, the rejected payment shall be resubmitted for processing only once following the initial attempt. This resubmission shall occur within seven (7) business days of the original rejection.

As part of their initial agreement with AmPac, the borrower shall agree to assume all fees borne by AmPac in connection with the collection of any returned payment.
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If payment is not received within ten (10) business days of the payment due date, AmPac shall initiate collection efforts. AmPac shall retain servicing responsibility for the loan until the loan reaches ninety (90) days past due. When a loan reaches ninety (90) days past due, the City shall assume all further collection efforts. At that time, AmPac shall transmit the Default Loan Package to the City via certified mail, the contents of which are outlined in Section 3.11 of this Agreement.” e. The following new Section 3.11 “Default Loans” is hereby added to the Agreement:
“3.11 Default Loans. If a loan becomes ninety (90) days or more past due, AmPac shall reduce the amount of the borrower’s loan amount by the portion that remains unused. This unused portion shall be returned to the RLF balance to be reallocated to other borrowers. This reduction must take place before AmPac submits the Default Loan Package to the City. Following this, the City shall assume all further collection efforts. In the event of such a default, AmPac shall transmit the following comprehensive Default Loan Package (“Default Loan Package”) to the City for the purpose of further liquidation and collection efforts:
• All original loan documents;
• 30-day and 60-day letters of default with proof of certified mailing; • Credit memo generated by AmPac pertaining to the loan; • Approval memo generated by AmPac pertaining to the loan; • Copies of all notes recorded within AmPac’s system; and • A comprehensive printout of the loan’s history from AmPac’s system.

The loan agreement with the borrower shall include the provision that, if the loan reaches ninety (90) days past due, the borrower’s loan amount will be reduced by the amount of the loan that is unused by the borrower, and the borrower’s express agreement to this term shall be required.”
f. The following new Section 3.11 “Technical Assistance” is hereby added to the Agreement:
“3.11. Technical Assistance. AmPac shall provide Technical Assistance to borrowers, as defined in Section 1.8 of this Agreement.”

4. ARTICLE 4. RESPONSIBILITIES OF THE CITY.

a. The following new Section 4.2 “Disbursement and Funding” is hereby added to the Agreement:

“4.2 Disbursement and Funding. The funds provided by the City for the RLF shall originate from its general fund. These funds will be disbursed to AmPac specifically for the purpose of facilitating RLF disbursements. Disbursements shall be made in increments of One Hundred Thousand Dollars ($100,000.00), 431

following AmPac’s submission of an invoice to the City, which shall be subject to the City’s review and approval. This entire invoice and disbursement process shall comply with the City’s purchasing guidelines.”

5. ARTICLE 5. COMPENSATION.

a. It is hereby acknowledged and agreed by both Parties that the original Agreement contained an inaccuracy in the terms for compensation for the services. To correct this, the Parties agree that Section 5.1 of the Agreement shall be amended to read as follows:

“5.1. AmPac’s compensation for the services rendered under this Agreement shall comprise a one-time payment of Fifteen Thousand Dollars ($15,000.00), representing three percent (3%) of the Five Hundred Thousand Dollar ($500,000.00) RLF principal amount. This compensation is solely for the servicing of this specific Five Hundred Thousand Dollar $500,000.00 RLF allocation
.

In the event that an additional Five Hundred Thousand Dollars ($500,000.00) is added to the RLF, AmPac shall receive an additional one-time payment of Fifteen Thousand Dollars ($15,000.00), representing three percent (3%) of the Five Hundred Thousand Dollar ($500,000.00) RLF principal amount increase, for the servicing of that additional allocation, subject to the same terms and conditions set forth in this Agreement.

The compensation described herein shall constitute the full, sole, and exclusive compensation to AmPac from the City for services rendered and obligations fulfilled under this Agreement. AmPac shall not be entitled to any additional payment, reimbursement, or compensation of any kind from the City.”

Both Parties shall initial this Section to confirm their mutual agreement and acceptance of the revised compensation terms.

_____________________ _________________
AmPac Initials City Initials

6. ARTICLE 6. GENERAL PROVISIONS.

a. Section 6.1 “Termination of Agreement” is hereby amended to read as follows:
“6.1 Termination of Agreement. The City may terminate this Agreement without cause by providing sixty (60) days’ written notice to AmPac. The notice shall specify the effective date of termination, which shall be no less than sixty (60) days from the date of the notice. In the event of such termination, AmPac shall be compensated only 432

for services performed through the effective date of termination. Upon termination, AmPac shall return all undistributed funds under the RLC, as well as all documents and materials related to this Agreement.”

b. The following new Section 6.24 “Ownership of Documents” is hereby added to the Agreement:

“6.24 Ownership of Documents. All reports, documents, data, records, and other materials prepared or obtained by AmPac in connection with this Agreement shall be the sole property of the City. Upon termination or expiration of this Agreement, AmPac shall promptly deliver all such materials to the City, including any copies in AmPac’s possession, custody, or control.”

c. The following new Section 6.25 “Exhibits” is hereby added to the Agreement:

“6.25 Exhibits. All exhibits attached hereto are hereby incorporated into and made a part of this Agreement as if fully set forth herein.”

7. EXHIBIT A.

Exhibit A to the Agreement is hereby modified as set forth in the attached Exhibit A-1, which is incorporated herein by reference. Exhibit A-1 reflects only the specific amendments to Exhibit A, and all other provisions of Exhibit A shall remain unchanged and in full force and effect.

8. FULL FORCE AND EFFECT.

Except as expressly modified by this Amendment, all other terms, covenants, conditions, and provisions of the Agreement shall remain in full force and effect.

9. COUNTERPARTS.

This Amendment may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

[Signature page follows]
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IN WITNESS WHEREOF, the Parties have caused this Amendment to the Agreement for Services Between the City of Fontana and AmPac Tri-State CDC DBA AmPac Business Capital to be executed on the date set forth above.

CITY OF FONTANA

By: ________________________________
City Manager
ATTEST:

By:___________________________________
City Clerk

APPROVED AS TO FORM:

By: __________________________________
City Attorney

AMPAC TRI-STATE CDC DBA AMPAC

BUSINESS CAPITAL
By: ________________________________
Its:
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EXHIBIT A-1

a. Exhibit A, Section B.1, “Business Coverage Ratio” is hereby amended and retitled as “Business Debt Coverage Ratio,” and shall read as follows:

“Business Debt Coverage Ratio: the Annual Funds Available to Service Debt (defined as Net Earnings + Depreciation and/or Amortization + Debt Interest Expense, or ‘EBITDA’) must be sufficient to cover the total principal and interest payments for the subject debt and all other debt obligations as of the fiscal year- end (“FYE”) period of business operations. This ratio is expressed as EBITDA divided by Total Principal & Interest (EBITDA/Total P&I) and must be at least

1.0:1.0.”

b. Exhibit A, Section B.1, “Interest Rate” is hereby amended to read as follows:

“Interest Rate: The Loan shall bear a fixed interest rate of six and one-half percent (6.5%) per annum. Of this interest income, five percent (5%) shall be re- allocated to the RLF, with the remaining one and one-half percent (1.5%) to be retained by AmPac as a loan origination fee for services provided to the borrowers as performed under this Agreement.

c. Exhibit A, Section B.1, “Loan Fee” is hereby amended to read as follows:

“Origination Fee: An origination fee equal to one and one-half percent (1.5%) of the approved and funded loan amount shall be allocated to AmPac at the funding of the loan from loan proceeds. This fee shall be a line item in the sources and uses chart and will cover the expense to document, underwrite, close, and disburse the loan.”

d. Exhibit A, Section B.1, “Payment Terms” is hereby amended to read as follows:
“Payment Terms: The Loan shall have a sixty (60) month fully amortized loan period, with no prepayment penalty.”
e. The following new section B.5 is hereby added to Exhibit A:

“Application Requirements:

Applicants are required to complete a curated Loan Fund Pre-Course series, consisting of four (4) short courses available on-demand. These videos are prepared and provided by AmPac and/or City of Fontana. Upon completion of all four courses, each applicant will receive a certificate of completion and an email with direct instructions to schedule an appointment with an AmPac. Applicants shall compile the following items while taking the pre-course to have the 435

necessary documents readily available to meet with the AmPac. AmPac will assist each applicant in reviewing the application and ensuring that the use of funds is appropriate for the business growth.

List of Required Documents:
• Current Business License
• CA Statement of Information
• Sellers Permit (if applicable)
• CA Driver’s License
• 2 years of Business Tax Returns
• 2 years’ Personal Tax Returns
• 3 Months’ Business bank statements
• 3 Months of Personal bank statements
• Debt schedule (list of all outstanding debt amounts and payment dates) • Business Financial Statements
• Project Cost Detail
• Completion Certificate from Loan Fund Pre-Course

Pre-Course Video Classes Defined:

Course Outline:
• Getting Started (4 minutes)
Video Link: https://www.fontanaca.gov/3655/Fontana-Empowerment- Loan-Fund
Description: Description of required documents and Step by Step instructions of the application process.
• Business Plans Advice for the Busy Small Business Owner (55 minutes) Video Link: https://vimeo.com/783360436

Description: Knowing how to create a business plan is important for entrepreneurs. In this session, Diana White, gives tips for creating powerful business plans. Diana is the President of D.E.W. Business Solutions, LLC, a consulting firm, and the Executive Director of Moonshot at NACET.

• Building (and Executing) Your Action Plan (33 minutes) Video Link: https://vimeo.com/480227798

Description: We all want to set our companies on autopilot once in a while, but our business goals can’t achieve themselves. Getting (and staying) on the right track takes careful thinking and hands-on strategy that spurs your team into action. Steve Thompson — CEO of operations consulting firm SteveZT and co-founder of The Surf Network — presents his webinar, “Building (and Executing) Your Action Plan.” This talk will guide you through his tips for creating a plan that drives results.

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• 5 Ways to Communicate Your Product/Service Authentically (43 minutes) Video Link: https://vimeo.com/483627170

Description: As a consumer, you’re probably tired of all the sales pitches and ads flying at you each day. Your customers are, too. What businesses don’t give enough of is authenticity, so when you know how to put your heart and soul into your sales, you have the potential to sell anything. According to Hailey Yatros — author, keynote speaker and owner of Conscious Coaching — the companies that excel are out to make a difference. Going back to why you started and connecting with people on an emotional level are the strategies that really sell.

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EXHIBIT B
Origination Documents
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City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital on behalf of the City of Fontana

PROGRAM DOCUMENTS

TABLE OF CONTENTS

[Borrower’s Legal Name]- [Loan Product] Loan #[Loan Number] Check all
that apply

1. Business Loan Agreement _____

2. Promissory Note _____

3. Security Agreement with Guarantor (Form 03 WG) _____ Security Agreement without Guarantor (Form 03 W/OG) _____

4. Unconditional Guarantee by Individual (Form 04 IND) _____ Unconditional Guarantee by Entity, if applicable (Form 04 ENT) _____

5. Agreement to Provide Insurance _____

6. Guarantee Resolution (LLC), or _____
Resolution of Board of Directors (Corporation), if applicable _____

7. Error and Omissions Agreement _____

8. Disbursement Request and Authorization _____

9. Authorization Agreement for Pre-Authorization Payment _____

10. IRS Form W-9 (Rev March 2024) (update for the current year) _____

11. Advertising Marketing Release Form _____

12. Certification of Identity _____

13. Closing and Business Purpose Certification _____

14. Other: _______________________________________ _____

15. Other: _______________________________________ _____ 439
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This BUSINESS LOAN AGREEMENT (“Agreement”), dated [Date], is made between [Borrower’s Legal Name] , a [legal capacity] (“Borrower”), whose principal address is [Borrower’s address] and AmPac Tri -State CDC, Inc. dba AmPac Business Capital whose address is 3110 B Inland Empire Blvd. Ontario, CA 91764 (“Lender” or “AmPac”), with the following terms and conditions.

RECITALS

A. The City of Fontana has established a loan fund for its Empowerment Revolving Loan Fund Program (“Program”) to provide entrepreneurs and small businesses within the City of Fontana with access to funding for the purposes of business growth.

B. AmPac Tri-State CDC, Inc. dba AmPac Business Capital (“AmPac”) and the City of Fontana (“City”) have entered into that certain Agreement for Services dated March 1, 2024 whereby AmPac will provide loan management services to administer, implement and manage the Program on behalf of the City.

C. AmPac will review, process and approve loan applications based on criteria established by the City for its Program, including, among other things, Borrower must be in business 2 or more years, the business is located in the City of Fontana, the business has twenty-five (25) or fewer employees, and the use of the funds must be for business growth of the Borrower’s business.

D. For purposes of this Agreement, AmPac is serving as the “Lender” on behalf of the City to administer this Agreement with the Borrower.

E. Borrower has applied to Lender for a Business Loan for [Use of Funds], as further described in the Borrower’s loan application. Borrower understands and agrees that:
(A) Lender is relying upon Borrower’s representations, warranties, and Agreements as set forth herein and below; (B) the obligation to extend the requested Business Loan shall always be subject to the Lender’s sole judgement and discretion; and (C) the terms of this Business Loan extended to Borrower by Lender shall remain subject to the terms and conditions of this Agreement.

F. Lender desires to provide to Borrower, and Borrower desires to borrow from Lender, a loan in the amount up to [loan amount written out] Dollars ($Numerical amount), subject to the terms and conditions set forth herein.

AGREEMENT

NOW, THEREFORE, in consideration of the mutual covenants, conditions and promises set forth herein, the parties hereto agree as follows:

1. DEFINTIONS: The following capitalized words and terms shall have the following meanings when used in this Agreement. Unless specifically state to the contrary, all references to dollar amounts shall mean amounts in lawful money of the United States of America. Words and terms used in the singular shall include the plural, and the plural shall include the singular, as the context may require. Words and terms not otherwise defined in this Agreement shall have the meaning attributed to such terms in the Uniform Commercial Code. Accounting words 440
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and terms not otherwise defined in this Agreement shall have the meanings assigned to them in accordance with accepted accounting principles as in effect on the date of this Agreement:

Advance. The word “Advance” means a disbursement of Loan funds made, or to be made, to Borrower on Borrower’s behalf on a line of credit or multiple Advances under the terms and conditions of this Agreement.

Agreement. The word “Agreement” means this Business Loan Agreement, as this Business Loan Agreement may be amended or modified from time to time, together with all exhibits, schedules and Program Documents referenced in the Table of Contents attached to this Business Loan Agreement. Lender may make modifications to this Agreement provided to the Borrower.

Borrower. The word “Borrower” means [Borrower’s Legal Name] and includes all co- signers and co-makers signing the Note and all their successors and assigns.

Collateral. The word “Collateral” means all property and assets granted as Collateral security for a Loan, whether real or personal property, whether granted in the form of a Security Interest, mortgage, Collateral mortgage, deed of trust, assignment, pledge, crop pledge, chattel mortgage, Collateral chattel mortgage, chattel trust, factor’s lien, equipment trust, conditional sale, trust receipt, lien, charge, lien or title retention contract, lease or consignment intended as a security device, or any other security or lien interest whatsoever, whether created by law, contract, or otherwise.

Default. The word “Default’” means the Defaults set forth in this Agreement in the section titled “Default.”

Environmental Laws. The words “Environmental Laws” mean any and all state, federal, and local statutes, regulations, and ordinances relating to the protection of human health or environment, including without limitation the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et seq. (“CERCLA”), the Superfund Amendments and Reauthorization Act of 1986, Pub. L. No. 99-499 (“SARA”), the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801, et seq., Chapters 6.5 through 7.7 of Division 20 of the California Health and Safety Code, Section 25100, et seq., or other applicable state of federal laws, rules, or regulations adopted by pursuant thereto.

Event of Default.’ The words “Event of Default’” mean any of the events of Default’ set forth in this Agreement in the Default’ section of this Agreement.

GAAP. The word “GAAP” means Generally Accepted Accounting Principles.

Grantor. The word “Grantor” means each and all the persons or entities granting a Security Interest in any Collateral for the Loan, including without limitation all Borrowers granting such Security Interest.

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Hazardous Substances. The words “Hazardous Substances” mean material that, because of their quantity, concentration or physical, chemical, or infectious characteristics, may cause or pose a present or potential hazard to human health or the environment when improperly used, treated, stored, disposed of, generated, manufactured, transported, or otherwise managed. The words “Hazardous Substances” are used in their very broadest sense and include without limitation all hazardous or toxic substances, materials, or waste as defined by or listed under the Environmental Laws. The term “Hazardous Substances” also includes, without limitation, petroleum and petroleum by-products or any fraction thereof and asbestos.

Indebtedness. The word “Indebtedness” means the Indebtedness evidenced by the Note or Related Documents, including all principal and interest together with all other Indebtedness and costs and expenses for which the Borrower is responsible under this Agreement or under any of the Related Documents.

Lender. The word “Lender” means AmPac Tri-State CDC, Inc. dba AmPac Business Capital, its successors, and assigns.

Loan. The word “Loan” means all Business Loans and financial accommodations from Lender to Borrower whether now or hereafter existing, and however evidenced, including without limitation those Business Loans and financial accommodations described herein or described on any exhibit or schedule attached to this Agreement from time to time.

Note. The word “Note” means the Note executed by the Borrower in the principal amount of [Loan Amount ($0.00)], dated [Date], together with all renewals of, extensions of, modifications of, refinancing of, consolidations of, and substitutions for the Note or credit Agreement.

Permitted Liens. The words “Permitted Liens” mean: (1) liens and Security Interests securing Indebtedness owed by the Borrower to Lender; (2) liens for taxes, assessments, or similar charges either not yet due or being contested in good faith; (3) liens of materialmen, mechanics, warehousemen, or carriers, or other like liens arising in the ordinary course of business and securing obligations which are not yet delinquent; (4) purchase money liens or purchase money Security Interests upon or in any property acquired or held by Borrower in the ordinary course of business to secure Indebtedness outstanding on the date of this Agreement or permitted to be incurred under the paragraph of the Agreement titled “Indebtedness and Liens”; liens and Security Interests which, as of the date of this Agreement, have been disclosed to and approved by the Lender in writing; and (6) those liens and Security Interests which in the aggregate constitute an immaterial and insignificant monetary amount with respect to the net value of Borrower’s assets.

Related Documents. The words “Related Documents” mean all Promissory Notes, credit Agreements, Loan Agreements, environmental Agreements, guaranties, Security Agreements, mortgages, deeds of trust, security deeds, Collateral mortgages, and all other instruments, A greements, and documents, whether now or hereafter existing, executed in connection with the Loan.

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Security Agreement. The words “Security Agreement” mean and include without limitation any Agreements, promises, covenants, arrangements, understandings, or other Agreements, whether created by law, contract, or otherwise, evidencing, governing, representing, or creating a Security Interest.

Security Interest. The words “Security Interest” mean, without limitation, any and all types of Collateral security, present and future, whether in the form of a lien, charge, encumbrance, mortgage, deed of trust, security deed, assignment, pledge, crop pledge, chattel mortgage, Collateral chattel mortgage, chattel trust, factor’s lien, equipment trust, conditional sale, trust receipt, lien or title retention contract, lease or consignment intended as a security device, or any other security or lien interest whatsoever whether created by law, contract, or otherwise.

2. LOAN TERMS: This Agreement shall be effective as of [Date] and shall remain in effect until such time Borrower has paid in full the Loan, including principal, accrued and capitalized interest, any costs, expenses, attorneys’ fees, and other fees and charges due under this Loan, which shall be sixty (60) months from the date of the Note (the “Maturity Date”). The Maturity Date is the date by which the Borrower shall be required to pay the Loan in full, including principal, accrued and capitalized interests and any other costs, charges and fees.

2.1. Use of Funds:

2.1.1. [Remaining Funds] for [Use of Proceeds]

2.1.2. [Fees] for Loan Processing & Packaging Fees

2.1.3. [Loan Amount] Total Loan Amount

2.2. Loan Term:

2.2.1. [# of Years] Year Term.

2.3. Fixed Interest Rate:

2.3.1. [Interest Rate]%.

2.4. Maturity Date:

2.4.1. [insert date]

2.5. Prepayment: All or any portion of the Note and this Loan may be prepaid on any business day without penalty in an amount equal to the principal amount remaining hereunder and interest accrued thereon to the date of such prepayment. Borrower shall provide notice to Lender of such prepayment with five (5) days’ notice of the payment thereof.

Initials: _____________ Date: [Date] [Signer(s) Legal Name(s), and Title(s)]

3. LOAN ADVANCE: This Loan includes and contemplates Advances as Borrower 443
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requests them provided undisbursed funds remain on the Loan. Lender in its sole discretion will determine the sufficiency of the documentation supporting the requested Advance. Once the entire principal amount of this Loan is Advanced, no other draws will be permitted or are contemplated as part of this Loan.

4. LEGAL EFFECT: This Agreement including any additional exhibit, attachment, or document Borrower may additionally provide constitutes a legal, valid, and binding obligation.

Said obligations are enforceable against Borrower in accordance with local, state, and federal law any respective terms and conditions.

5. REPRESENTATIONS AND WARRANTIES: Borrower represents and warrants to Lender, as of the date of this Agreement, of each disbursement, of any renewal, extension, or modification of any Loan, and all times any Indebtedness exists, that:

5.1. Litigation And Claims: No litigation, claim, investigation, administrative proceeding, or similar action (including those for unpaid taxes) against Borrower is pending or threatened, and no other event has occurred which may adversely affect Borrower’s financial condition or properties, other than litigation, claims, or other events, if any, that have been disclosed to and acknowledged by Lender in writing.

5.2. Notice Of Claims And Litigations: Borrower shall inform Lender in writing of all existing or threatened litigation, claims, investigations, administrative proceedings, or similar actions affecting Borrower or any Guarantor which could materially affect their financial condition.

5.3. Hazardous Substances: Except as disclosed and acknowledged by Lender in writing, Borrower represents and warrants that: (1) Borrower has no knowledge of (A) any violation of Environmental Laws; (B) any use, generation, manufacture, storage, treatment, disposal, release, or threatened release of any hazardous substance on the Collateral by any prior owners or occupants of any of the Collateral: or any litigation or claims of any kind relating to such matters. Any inspections or tests made by Lender shall be at Borrower’s expense and for Lender’s purposes only. Borrower hereby releases and waives any future claims against Lender for indemnity or contribution in the event Borrower becomes liable for cleanup or other costs and (2) agrees in to indemnify, defend, and hold harmless Lender against any and all claims, losses, liabilities, damages, penalties, and expenses which Lender may directly or indirectly suffer as a consequence of any use, generation, manufacture, storage, disposal, release or threatened release of hazardous waste on the Collateral. The provisions of this section of the Agreement shall survive the payment of the debt and termination, expiration or otherwise satisfaction of this Agreement and shall not be affected by Lender’s acquisition of any interest in Collateral, whether by foreclosure or other means.

5.4. Taxes: All of Borrower’s tax returns, required to be filed, have been filed, and all taxes, assessments, or other charges resulting therefrom have been paid in full.

Notwithstanding the foregoing, Borrower may have disclosed certain contested disclosed certain contested amounts that have been contested in good faith and for which adequate reserves have been set aside.

5.5. Lien Priority: Unless otherwise disclosed in writing to Lender, Borrower has not granted any Security Interest or affected the Lender’s ability to perfect its priority lien position on Collateral.
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5.6. Financial Information: All financial statements supplied to Lender accurately and truly represent the financial condition of the Borrower on the applicable date. Moreover, Borrower is explicitly stating that as of the date of signing this Agreement there has been no material adverse change in Borrower’s financial condition. Borrower agrees to provide Lender financial statements on an annual basis. Each Loan party shall permit any representative that agent or Lender authorizes, including its attorneys and accountants, to inspect the Collateral and examine and make copies and abstracts of the books of account and records of such Loan party at reasonable times and upon reasonable notice during normal business hours; provided, however, that so long as no Event of Default’’ has occurred and is continuing, such examinations shall be limited to no more often than once per fiscal year. In addition, any such representative shall have the right to meet with management and officers such Loan party to discuss such books of account and records. In addition, agent or Lender shall be entitled at reasonable times and intervals to consult with and advise the management and officers of Loan parties concerning significant business issues affecting the Loan parties. Such consultations shall not unreasonably interfere with Loan parties’ business operations. The parties intend that the rights granted agent and Lender s hall constitute “management rights” within the meaning of 29 C.F.R. Section 2510.3-101 (d)(3)(ii), but that any advice, recommendations or participation by agent or Lender with respect to any business issues shall not be deemed to give agent or Lender, nor be deemed an exercise by agent of Lender of, control over a Loan party’s management or policies.

5.7. Authorization: Borrower’s executing, delivery, and performance of the terms and conditions contained within this Agreement and all Related Documents have been duly authorized by all necessary action of the Borrower and do not conflict with or violate any prior existing or contemporaneously created governing the ability of Borrower to enter into such an Agreement.

5.8. Binding Effect: Borrower agrees and acknowledges that this Agreement, and all Related Documents are binding upon the signers, their successors, representatives, and assigns, and legally enforceable in accordance with their respective terms and conditions.

6. BORROWER’S COVENANTS: Borrower agrees and makes further covenants with Lender, for the Term of this Agreement:

6.1. Repayment. Borrower acknowledges that the source of funds for this Loan are from public funds provided by the City of Fontana under its Program and as such must be paid per the terms of this Agreement and the Note. The City of Fontana is a third party beneficiary to this Agreement and enjoys all the rights and benefits of the Lender under this Agreement.

The Borrower covenants to pay all the payments, accrued and capitalized interests and any as applicable fees, costs and charges in full on or before the Maturity Date.

6.2. Organization: Borrower is duly organized, validly existing, and in good standing under the virtue of the laws of the State of California. Borrower is duly authorized to conduct business in all states in which Borrower is doing so. Specifically, Borrower is, and always shall be, duly qualified as a foreign entity where necessary to conduct business. Borrower has the full power and authority to own its properties and to transact business in which it presently does so or proposes to operate from. Borrower will notify Lender prior to any change in the location of Borrower’s state of organization or any change in Borrower’s name.

6.3. Assumed Business Names : Borrower h as filed or recorded all documents or 445
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filings required by law relating to all assumed business names used by Borrower. Excluding the name of Borrower, the following is a complete list of all assumed business names under which the Borrower does business:

Borrower: [Borrower’s dba and Legal Name]

6.4. Additional Information: Provide such information and supporting documentation as may be required by Lender from time to time.

6.5. Other Agreements: Comply with all terms and conditions of all other Agreements, now existing or later entered, and provide written notice to Lender of any Default’ in connection with any such Agreements.

6.6. Responsibilities: Perform and satisfy, in a timely fashion, all terms and conditions in this Agreement, in Related Docum ents, and in all other Agreements between Borrower and Lender.

6.7. Government Requirements: Comply with all laws, ordinances, and regulations now or hereafter created applicable to Borrower’s properties, business, and operations.

Borrower may contest such regulatory regulation so long as it is done in good faith, Lender is notified in writing and Lender’s interest in Collateral is not jeopardized.

6.8. Entity And Inspection: Permit Lender’s employees or agents, at reasonable times to inspect any Collateral for the Loan.

6.9. Additional Assurance: Make, executed, and deliver to Lender such Promissory Notes, mortgages, deeds of trust, Security Agreements, assignments, financing statements, instruments, documents, and other Agreements as Lender may request to secure the Loans and perfect its interest in the Collateral.

7. INSURANCE: Borrower for the entire Term of this Agreement, must procure and maintain fire and other risk insurance, public liability insurance, and such other insurance as Lender may require with respect to Borrower’s properties and operations, in form and amounts, coverage and with providers acceptable to Lender. Borrower will deliver to Lender, upon request, the policies, or certificates of insurance in a form satisfactory to Lender. All such policies shall include an endorsement providing coverage in favor of Lender that cannot be impaired in any way by an act or omission of Borrower or any other person. Financials records and statements. Maintain its books and records in accordance with GAAP, applied on a consistent basis, and permit Lender to examine and audit Borrower’s books and records at all reasonable times. Further Borrower shall provide Lender with financial statements and other supporting documentation as may be requested.

8. INDEMNIFICATION. Borrower agrees to defend, indemnify and hold City of Fontana, and its officials, officers, employees, agents, contractors, including Lender, free and harmless from and against any and all claims, liabilities, penalties, damages, judgments , costs, expenses, fees and interest arising from or related to any act or omission of Borrower in performing its obligations hereunder and arising out of or incident to any failure or alleged failure to comply with all applicable laws, rules or regulations, or in operating its Business, and including without limitation the payment of all consequential damages and attorneys’ fees and other related costs and expenses. Borrower assumes all risk of liability arising from any decision not to comply with applicable laws, rules or regulations.

9. 446
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10. GUARANTIES: In the event that a Guaranty was required as a condition to approval of the Loan, the following is the Guarantor for the Borrower:
[IF APPLICABLE - Guarantor(s) Legal Name(s)] [If not applicable: Note “None”]

11. LENDER’S OBLIGATION: Lender shall provide funds and disbursed pursuant to the terms provided herein at the time of closing should no condition of Borrower’s application amend during final review.

12. LENDER’S EXPENSES: All outstanding Lender expenses incurred through and after the closing date, when due (or, if no stated due date, within five (5) business days after demand by Lender).

13. LENDER EXPENDITURES: Where any action by Borrower would materially affect Lender’s interest in the Collateral or where Borrowers should fail to comply with any provision of this Agreement or any Related Documents, Lender may take any action necessary to preserve the Collateral. The cost of any action by Lender to preserve the Collateral, not paid by Borrower, shall incur interest at the stated rate until paid by Borrower. These expenses will become a part of the Borrower’s Indebtedness.

14. BORROWER’S NEGATIVE COVENANTS: The Borrower is prohibited from the following actions without the Lender’s prior consent, during the Term of this Agreement:

14.1. Continuity of Operations. (1) Perform business activities different than what Borrower is presently engaged in, or (2) Shut down operations, merge, transfer, acquire or consolidate with another entity, sell Collateral.

14.2. Agreements. Enter into any Agreement where performance under that or this Agreement would cause a violation or breach under either Agreement.

15. UNFORESEEN CIRCUMSTANCES: No commitment by Lender under this Agreement or any other shall create any further obligation if any of the following occur: Borrower or any Guarantor is in “Default’’ under the terms of this Agreement or any of the Related Documents; Borrower or any Guarantor dies, becomes incompetent, files for bankruptcy protection, or is adjudged a bankrupt; there is a material adverse changes in Borrower’s financial condition, that of any Guarantor, or in the value of the Collateral; or any Guarantor attempts to limit or revoke Guarantor’s Guaranty of the Loan with Lender.

16. DEFAULT: In the event of a Default by the Borrower, Lender shall have all rights and remedies provided in the Related Documents or available at law, in equity, or otherwise.

Lender’s rights are cumulative, except as may be prohibited by law. Lender may exercise its rights singularly or concurrently as its sole option. [Use Language if Borrower has more than 1 loan with AmPac: “Default occurs where Borrower does not meet any and all existing loan obligations and commitments including but not limited to the aforementioned loan or any loan commitment Borrower has with Lender. Where Default occurs, Lender shall have all rights and remedies provided in the Related Documents or available at law, in equity, or otherwise.

Lender’s rights are cumulative, except as may be prohibited by law. Lender may exercise its rights singularly or concurrently as its sole option. Where a Default occurs on any existing loan commitments between Borrower and Lender, all obligations under existing loan commitments are immediately due regardless of the prior loan obligation.”]

17. REMEDIES IN DEFAULT : The Lender may elect in its sole discretion to pursue and 447
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elect methods to recoup expenditures or to take action to fulfil an obligation of Borrower or of any Grantor. Such action shall not affect Lender’s right to declare a Default’ and to exercise its rights and remedies.

18. LENDER’S RIGHTS AND REMEDIES: Upon the occurrence and during the continuance of an Event of Default, Lender may, without notice or demand do any or all of the following:

18.1. Declare all obligations immediately due and payable (but in an Event of Default described in Event of Default occurs all obligations are immediately due and payable without any action by Lender);

18.2. Stop advancing money or extending credit for Borrower’s benefit under this Agreement or under any other Agreement between any Loan party and Lender;

18.3. Verify the amount of demand payment of and performance under, and collect any accounts and general intangibles, settle, or adjust disputes and claims directly with account debtors for amounts on terms and in any order that Lender consider advisable, and notify any person owing a Loan party money of Lender’s Security Interest in such funds;

18.4. Make any payments and do any acts it considers necessary or reasonable to protect the Collateral and/or its Security Interest in the Collateral. Loan parties shall assemble the Collateral if Lender requests and make it available as Lender designates. Lender may enter premises where the Collateral is located, take, and maintain possession of any part of the Collateral, and pay, purchase, contest, or compromise any lien which is prior or superior to its Security Interest and pay all expenses incurred. Each Loan party grants Lender a license to enter and occupy any of its premises, without charge, to exercise any of Lender’s rights or remedies.

18.5. Apply to the obligations any amount held by Lender owing to or for the credit or the account of the Loan party;

18.6. Ship, reclaim, recover, store, finish, maintain, repair, prepare for sale, advertise for sale, and sell the Collateral. Lender is hereby granted a non-exclusive, royalty-free license or other right to us, without charge, a Loan part’s labels, patents, copyrights, mask works, rights of use of any name, trade secrets, trade names, trademarks, and advertising for sale, and selling any Collateral and, in connection with Lender’s exercise of its rights under this section, a Loan party’s rights under all licenses and all franchise Agreements inure to Lender’s benefit;

18.7. Place a “hold” on any account maintained with Lender and/or deliver a notice of exclusive control, any entitlement order, or other directions or instructions pursuant to any account control Agreement or similar Agreements providing control of any Collateral;

18.8. Demand and receive possession of any Borrower’s books; and

18.9. Exercise all rights and remedies available to Lender under the Loan documents or at law or equity, including all remedies provided under the code (including disposal of the Collateral pursuant to the terms thereof).

19. CONFLICT OF INTEREST.

19.1. Borrower has disclosed to the Lender whether it has made any campaign 448
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contributions of more than $250 to any member of the City Council for the City of Ontario (“City”) or other City elected officer, within the earlier of: (1) the date of the submission o f Borrower’s application for the Project, or (2) twelve (12) months before the date this Agreement was approved by the City Council. Borrower acknowledges that under Government Code section 84308, Borrower is prohibited from making campaign contributions of more than $250 to any member of the City Council or City elected officer for twelve (12) months after the Lender’s consideration of the Agreement. In the event of a proposed amendment to this Agreement, Borrower will provide the Lender a written statement disclosing any campaign contribution(s) of more than $250 to any member of the City Council or other City elected officer within the preceding twelve (12) months of the date of the proposed amendment.

Campaign contributions include those made by any agent/person/entity on behalf of the Borrower or by a parent, subsidiary or otherwise related business entity of Borrower.

19.2. Except for approved eligible administrative or personnel costs, no person described in Sec tion 19.3 below who exercises or has exercise d any functions or responsibilities with respect to the activities funded pursuant to this Agreement or who is in a position to participate in a decision- making process or gain inside information with regard to such activities, may obtain a personal or financial interest or benefit from the activity, or have an interest in any contract, subcontract or agreement with respect thereto, or the proceeds thereunder, either for themselves or those with whom they have family or business ties, during, or at any time after, such person's tenure. Borrower shall exercise due diligence to ensure that the prohibition in this Section is followed.

19.3. The conflict of interest provisions of this Section apply to any person who is an employee, agent, consultant, officer, or any immediate family member of such person, or any elected or appointed official of the City, or any person related within the third (3rd) degree of such person.

19.4. In accordance with California Government Code Section 1090 and the Political Reform Act, California Government Code section 87100 et seq., no person who is a director, officer, partner, trustee or employee or consultant of Borrower, or immediate family member of any of the preceding, may make or participate in a decision, made by the City or a City board, commission or committee, if it is reasonably foreseeable that the decision will have a material effect on any source of income, investment or interest in real property of that person or Borrower. Interpretation of this Section is governed by the definitions and provisions used in the Political Reform Act, California Government Code Section 87100 et seq., its implementing regulations manual and codes, and California Government Code Section 1090.

20. NON-DISCRIMINATION. Borrower, for itself and its successors and assigns, agrees that, in performing the construction of the Project, it shall not discriminate against any employee or applicant for employment because of race, color, sexual orientation and/or gender identity, creed, religion, ancestry, political affiliation or opinion, national origin, sex, physical condition, medical condition, pregnancy or pregnancy -related condition, or condition of physical or mental disability or other handicap, age, marital status, or s tatus with regard to public assistance. Borrower will take affirmative action to insure that all employment practices are free from such discrimination. Such employment practices include but are not limited to the following: hiring, upgrading, demotion, tr ansfer, recruitment or recruitment advertising, layoff, termination, rates of pay or other forms of compensation and selection for training, 449
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including apprenticeship. Borrower agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the contracting agency setting forth the provisions of this nondiscrimination clause.

21. ARBITRATION: Borrower and Lender agree that all disputes, claims, controversies, between them whether individual, joint, or class i n nature, arising from this Agreement or otherwise, including without limitation contract and tort disputes, shall be arbitrated pursuant to the Rules of the American Arbitration Association in effect at the time the claim is filed, upon request of either party. No act to take or dispose of any Collateral shall constitute a waiver of this arbitration Agreement or be prohibited by this arbitration Agreement. This includes, without limitation, obtaining injunctive relief or a temporary restraining order; invoking a power of sale under any deed of trust or mortgage; obtaining a write of attachment or imposition of a receiver; or exercising any rights relating to personal property, including taking or disposing of such property with or without judicial process pursuant to Articles 9 of the Uniform Commercial Code. Any disputes, claims, or controversies concerning the lawfulness or reasonableness of any act, or exercise of any right, concerning any Collateral, including any claim to rescind, reform, or otherwise modify any Agreement relating to the Collateral, shall also be arbitrated, provided however that no arbitrator shall have the right or the power to enjoin or restrain any act of any party. Borrower and Lender agree that in the event of an action for judicial foreclosure pursuant to California Code of Civil Procedure Section 726, or any similar provision in any other state, the commencement of such an action will not constitute a waiver of the right to arbitrate and the court shall refer to arbitration as much of such action, including counterclaims, as lawfully may be referred to arbitration. Judgement upon any award rendered by any arbitrator may be entered in any court having authority. Nothing in this Agreement shall preclude any party from seeking equitable relief from a court of competent authority . The statute of limitations, estoppel, waiver, laches, and similar doctrines which would otherwise be applicable in an action brough by a party shall be applicable in any arbitration proceeding, and the commencement of an arbitration proceeding shall be deemed the commencement of an action for these purposes. The Federal Arbitration Act shall apply to the construction, interpretation, and enforcement of this arbitration provision.

22. GOVERNING LAW: This Agreement will be governed by federal law applicable to Lender and, to the extent not preempted by federal law, the laws of the State of California without regard to its conflict of law provisions. The Lender in the State of California have accepted this Agreement.

23. VENUE: Borrower agrees to submit to the authority of the courts of San Bernardino County, State of California.

24. NOTICES: Any notice required to be given under this Agreement shall be given in writing, and shall be effective when delivered, when received by tele-facsimile (unless otherwise required by law), when deposited with a nationally recognized overnight courier, or, if mailed, when deposited in the United States mail, as first class, certified or registered mail postage prepaid, directed to the addresses shown near the beginning of this Agreement. Any party may change its address for notices under this Agreement by giving formal written notice to the other parties, specifying that the purpose of the notice is to change the party’s address.

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current address. Unless otherwise provided or required by law, if these is more than one Borrower, any notice given by Lender to any Borrower is deemed to be notice given to all Borrowers. Notices shall be sent as follows:

If to Borrower: If to Lender:
[name] AmPac
Attn: Attn:
[address]
[address]
With a copy to:

City of Fontana
Attn:

25. SEVERABILITY: If a court of competent authority finds any provision of this Agreement to be illegal, invalid, or unenforceable as to any circumstance, which finding shall not make the offending provision illegal, invalid, or unenforceable as to any other circumstance. If feasible, the offending provisi on shall be considered modified so that it becomes legal, valid, and enforceable. If the offending provision cannot be so modified, it shall be considered deleted from this Agreement. Unless otherwise required by law, the illegality, invalidity, or unenforceability of any provision of this Agreement shall not affect the legality, validity, or enforceability of any other provision of this Agreement.

26. ATTORNEYS’ FEES AND EXPENSES: Borrower agrees to pay upon demand all of Lender’s costs and expenses, including Lender’s attorney fees and Lender’s legal expenses, incurred in connection with the enforcement of this Agreement. Borrower’s obligation is created whether there is a lawsuit. Borrower also shall pay all court costs and such additional fees as may be directed by the court.

27. FINAL AGREEMENT: This Agreement, together with any Related Documents constitutes the entire understanding and Agreement of the parties as to the matters set forth herein. Only a written amendment signed by the party or parties to be bound will be binding.

28. CAPTION HEADINGS: Caption headings in this Agreement are for convenience purposes only and are not to be used to define or interpret this Agreement.

29. CONSENT TO LOAN PARTICIPATION: Borrower agrees and consents to Lender’s sale or transfer, whether now or later, of one or more participation interests in the Loan to one or more purchasers, whether related or unrelated to Lender. Lender may provide, without any limitation, to anyone or more purchaser, or potential purchaser, any information or knowledge about Borrower or the Loan, and Borrower waives any rights to privacy with respect to such matters. Borrower additionally waives all notices of sale of participation interests, as well as all notices of any repurchase of such participation interests. Borrower also agrees that the purchasers of any such participation interest will be considered as absolute owners of such 451
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interests in the Loan and have all the rights under the participation Agreement or Agreements governing the sale of such participation interests.

30. WAIVER BY BORROWER: Borrower further waives all rights of offset or counterclaim that it may have now or later against Lender or against any purchaser of such a participation interest and unconditionally agrees that either Lender or such purchaser may enforce Borrower’s obligation under the Loan irrespective of the failure or insolvency of any holder of any interest in the Loan. Borrower further agrees that the purchaser of any such participation interests may enforce its interests irrespective of any personal claims or defenses that Borrower may have against Lender.

31. NO WAIVER BY LENDER: Lender shall not be deemed to have waived any rights under this Agreement unless such waiver is gi ven in writing and signed by Lender. No delay or omission on the part of Lender in exercising any right shall operate as a waiver of such right or any other right. A waiver by Lender of a provision of this Agreement shall not prejudice the or constitute a waiver of Lender’s right otherwise to demand strict compliance with that provision or any other provision of this Agreement. No prior waiver by Lender, nor any course of dealing between Lender and Borrower, or between Lender and Grantor, shall constitute a waiver of any Lender’s rights or of any of Borrower’s or any Grantor’s obligations as to any future transactions. Whenever the consent of Lender is required under this Agreement, the granting of such consent by Lender in any instance shall not constitute continuing consent to subsequent instances where such consent is required and in all cases such consent may be granted or withheld in the sole discretion of Lender.

32. SUBSIDIARIES AND AFFILIATES OF BORROWER: To the extent the context of any provisions of this Agreement makes it appropriate, including without limitation any representation, warranty or covenant, the word “Borrower” as used in this Agreement shall include all of Borrower’s subsidiaries and affiliates. Notwithstanding the for egoing however, under no circumstances shall this Agreement be construed to require Lender to make any Loan or other financial accommodation to any of Borrower’s subsidiaries or affiliates.

33. SUCCESSOR AND ASSIGNS: All covenants and Agreements by or on behalf of Borrower contained in this Agreement or any Related Documents shall bind Borrower’s successors and assigns and shall inure to the benefit of Lender and its successors and assigns. Borrower shall not, however, have the right to assign Borrower’s rights under this Agreement or any interest therein, without the prior written consent of Lender.

34. SURVIVAL OF REPRESENTATIONS AND WARRANTIES: Borrower understands and agrees that in extending unforeseen circumstances, Lender is relying on all representations, warranties, and covenants made by Borrower in this Agreement or in any certificate or other instrument delivered by Borrower to Lender under this Agreement or the Related Documents. Borrower further agrees that regardless of any investigation made by Lender, all such representations, warranties, and covenants will survive the extension of continuing in nature, shall be deemed made and then dated by Borrower at the time each Loan Advance is made, and shall remain in full force and effect until such time as Borrower’s Indebtedness shall be paid in full, or until this Agreement shall be terminated in the manner provided above, whichever is the last to occur.

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TIME IS OF THE ESSENCE: TIME IS OF THE ESSENCE IN THE PERFORMANCE OF THIS BUSINESS LOAN AGREEMENT. BORROWER ACKNOWLEDGES HAVING READ ALL

THE PROVISIONS OF THIS BUSINESS LOAN AGREEMENT BORROWER AGREES TO ITS TERMS.

(Signature provisions on following page)
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IN WITNESS WHEREOF, the Borrower and Lender have executed this Business Loan Agreement as of the date provided below.

THIS BUSINESS LOAN AGREEMENT IS DATED: [DATE].

BORROWER:
[Borrower’s Legal Name]

______________________________________
[Signer(s) Legal Name(s), and Title(s)]

LENDER:

AmPac Tri-State CDC, Inc. dba AmPac Business Capital

______________________________________
Hilda J. Kennedy, Executive Director

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$[Loan Amount] Date: [Date]
For value received, the undersigned, [Signer(s) Legal Name(s) ], doing business as [Borrower’s Legal Name] (“Borrower”), a business located at [Borrower’s Address], and [Signer(s) Legal Name(s) ], an individual residing at [Signer(s) Address(es) ], (“Individual”), jointly and severally promise to pay to the order of AmPac Tri -State CDC, Inc., a California Corporation dba AmPac Business Capital, (“ Lender”), located at 3110 B Inland Empire Blvd.

Ontario, CA 91764, the principal sum of [Loan Amount ($0.00)], together with annual interest at the rate of six and one-half per cent (6.5%) on the principal balance, with all principal and interest due and payable on [date] (the “Maturity Date”) and subject to the terms and conditions set forth below:

This Note shall be subject to the following additional provisions:

1. Purpose of Loan: This Promissory Note is made and given pursuant to that certain Business Loan Agreement (“Agreement”) by and between the Borrower and Lender dated on the same date of this Promissory Note, which is incorporated herein by reference. The loan is being funded by the City of Fontana (“City” as beneficiary under the Ci ty’s Empowerment Revolving Loan Fund Program for entrepreneurs and small businesses with the City of Fontana for the purpose of providing access to funding for business growth. All initially capitalized terms used but not defined herein shall have the same meanings given to them in the Agreement.

2. Term; Note Payments; Repayment:

Commencing [Date of First Payment], Borrower promises to pay Lender the loan balance of [Loan Amount ($0.00)], in Sixty (60) monthly installments of [Payment Amount ($0.00) to be received by Lender on or before the 1 st day of the month for each of the following sixty (60) months. Principal and interest are payable in lawful money of the United States of America.

Unless due at an earlier time by virtue of the acceleration of the balance her eof in accordance with Section 3 hereof, all unpaid principal shall be due and payable on or by the date that is sixty (60) months following the date of this Note (the “Maturity Date”). Payment shall be made payable to AmPac Tri-State CDC, Inc. dba AmPac Business Capital and shall be collected via ACH transfer collected directly from the Borrower ’s bank account provided at the time of closing.

3. Default:

Failure to remit any payment as set forth above shall constitute a default under this Note.

Each payment must be received on or before the due dates stated above, and any payment not received within ten days of each due date shall, in addition to the amount past due, accrue a late fee in the additional amount of 10% of the amount past due.

In addition, the parties underlying loan agreement requires that Borrower remain in business for six months and retain employees. If the Borrower fails to remain in business for six months and retain employees shall constitute a default under this Note.

In the event of default, the entire outstanding balance shall become due and payable, at Lender’s option, and Lender shall recover all its costs and expenses in enforcing this Note, including reasonable attorneys’ fees and court costs incurred, whether or not suit has been filed on this Note. Borrower expressly waives notice of the exercise of this option. 455
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Lender may waive certain terms or conditions of this Note. Any waiver must be in writing, and constitutes a waiver limited to the specific circumstances set forth in such writing, and not a waiver of any other requirement or condition of this Note.

4. Default Rate of Interest: On the occurrence of a Default under this Note, the entire unpaid principal balance shall then automatically bear interest at an annual rate equal to the lesser of (a) _ _[number]_ _ percent (_ _[number]_ _%) per annum or (b) the maximum interest rate allowed by law (the Default Rate).

5. No Pre-Payment Penalty and Application of Payments:

This Note may be prepaid, in whole or in part, without penalty, at option of Borrower and without the consent of Lender, as long as any principal prepayment is accompanied by a payment of interest accrued to the date of prepayment on the amount prepaid. In the event of partial pre- payments, regular monthly payments continue to be due on the dates and in the amounts set forth above.

Additional principal payments will not impact on the fact that regular monthly payments, in the full amount, must be received by Lender. Additional principal payments in addition to regular monthly payments will result in reduction in the number of monthly payments for the loan to be paid off.

Each payment under this Note shall be credited first to interest then due and any remainder to principal. All payments of principal under this Note shall be applied to the most remote principal installment then unpaid.

6. Savings Clause:

This Note shall be deemed a part of and shall be construed pursuant to the terms of the Loan Agreement signed by the parties, which agreement is attached hereto and incorporated herein, as though set forth in full. If any portion of this Note is found to be invalid or unenforceable, then, as far as reasonable, and possible, the remainder of the terms of the Note shall be valid and enforceable and the party’s intent-that Borrower shall pay Lender the entire principal amount due under this Note, plus interest-shall be upheld.

7. Security:

This Note is secured by a security interest on the equipment, furniture, computers and other office machines, supplies, tools, inventory, accounts receivable of the business known as [Borrower’s Legal Name] more fully described in the Loan Agreement between Lender and Borrower and dated on or about the same date as this Note . Borrower is advised that a UCC -1 Financing Statement will be filed with the Californi a Secretary of State, to be released upon Borrower’s payment in full of this Note and all obligations related to it.

8. Governing Law/Jurisdiction/Venue:

This Note is to be construed in accordance with and governed by the laws of the State of California. The parties agree that authority and venue should be in the courts of San Bernardino County, California.

9. Waiver of any Claim of Consequential Damages and of Trial by Jury:

In any suit between the parties, only actual damages may be recovered. The parties waive any right they might have to any claim for special, exemplary, consequential, or punitive damages.

The parties also specifically waive any right they may have to a trial by jury. Each party signing 456
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Promissory Note
[Borrower’s Legal Name]- City of Fontana Empowerment Loan- Loan #[Loan Number]

Promissory Note Page 3 of 3

below has had the opportunity to consult with an attorney of their own choosing regarding signing this document.

10. Usury: All agreements between Borrower and Lender are expressly limited, so that in no event or contingency, whether because of the advancement of the proceeds of this Note, acceleration of maturity of the unpaid principal balance, or otherwise, shall the amount paid or agreed to be paid to Lender for the use, forbearance, or retention of the money to be advanced under this Note exceed the highest lawful rate permissible under applicable usury laws. If, under any circumstances, fulfillment of any provision of this Note or the interest or instrument securing this Note or any other agreement pertaining to this Note, after timely performance of such provision is due, shall involve exceeding the limit of validity prescribed by law that a court of competent jurisdiction deems applicable, then, ipso facto, the obligations to be fulfilled shall be reduced to the limit of such validity. If under any circumstances, Lender shall ever receive as interest an amount that exceeds the highest lawful rate, the amount that would be excessive interest shall be applied to reduce the unpaid principal balance under this Note and not to pay interest, or, if such excessive interest exceeds the unpaid principal balance under this Note, such excess shall be refunded to Borrower. This provision shall control every other provision of all agreements between Borrower and Lender.

11. Costs Paid by Borrower . Borrower agrees to pay the following costs, expenses and attorneys’ fees paid or incurred by the City, or as adjudged by a court of competent jurisdiction:
(a) reasonable costs of collection, costs and expenses and attorneys’ fees paid or incurred in connection with the collection or enforcement of this Promissory Note, whether or not suit is filed; and (b) costs of suit in such sum as the court may adjudge reasonable as attorneys’ fees in any action to enforce payment of this instrument.

12. Joint and Several Obligation. Borrower and all other persons liable or to become liable for all or part of this indebtedness, jointly and severally waive demand, presentment for payment, notice of nonpayment, protest and notice of protest hereon, and agree to pay, in the Event of Default hereunder, all costs of collection, including reasonable attorneys’ fees of City, whether or not suit is commenced.

13. Time Is of the Essence: Time is of the essence with respect to all obligations of Borrower under this Note.

IN WITNESS WHEREOF , Borrower has executed this Promissory Note as of the date first written above.

Borrower:
[Borrower’s Legal Name]

______________________________________
[Signer(s) Legal Name(s), and Title(s)]
457
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 1 of 9

THIS SECURITY AGREEMENT (“Security”), dated for reference purposes [Date ] is entered into by and among [Borrower’s Legal Name] , [insert legal capacity] (“Borrower”), and AmPac Tri-State CDC, Inc. (the “Lender”) with reference to the following facts:

RECITALS
A. The Borrower has entered a Loan dated as of [ Date], (the “Loan Agreement”), with the Lender, pursuant to which the Lender, subject to the terms and conditions contained therein, is making a Loan to the Borrower in the original principal amount of [Loan Amount ($0.00)] (referred to as the “Loan”).

B. As a condition of making the Loan, the Lender requires that the Borrower grant to Lender a perfected Security Interest in certain personal or real property as described herein.

NOW, THEREFORE, in consideration of the promises contained herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

1. Definitions: All capitalized terms used herein without definitions shall have their respective meanings provided therefor in the Loan Agreement. The term “State,” as used herein, means the State of California. All terms defined in the Uniform Commercial Code of the State and used herein shall have the same definitions herein as specified therein; provided, however, that the terms “Instrument” shall be such term as defined in Article 9 of the Uniform Commercial Code of the State rather than Article 3. The term “Obligations”, as used herein, means all of the Indebtedness, obligations, and liabilities of the Borrower to the Lender, individually or collectively, whether direct or indirect, joint or several, absolute or contingent, due or to become due, now existing or hereafter arising under or in respect of the Loan Agreement including the Note described in the Loan Agreement, the term “Event of Default’’”, as used herein, means the failure of the Borrower to pay or perform any of the obligations as and when due to be paid or performed under the terms of the Loan Agreement.

2. Grant of Security Interests: The Borrower hereby grants to the Lender, to secure the payment and performance in full of all of the obligations, a Security Interest in and so pledges and assigns to the Lender the following properties, assets and rights of the Borrower, wherever located, whether now owned or hereafter acquired or arising, and all proceeds and products thereof (all of the same being hereinafter called the “Collateral”): All inventory, equipment, accounts (including but not limited to all health - care-insurance receivables), chattel paper, instruments (including but not limited to all promissory notes), letter-of-credit rights, letters of credit, documents, deposit accounts, investment property, money, other rights to payment and performance, and general intangibles (including but not limited to all software and all payment intan gibles); all oil, gas and other minerals before extraction; all oil, gas, other minerals and accounts constituting as -extracted collateral; all fixtures; all timber to be cut; all attachments, accessions, accessories, fittings, increases, tools, parts, repairs, supplies, and commingled goods relating to the foregoing property, and all additions, replacements of and substitutions for all or any part of the foregoing property; all insurance refunds relating to the foregoing property; all good will relating to the foregoing property; all records and data and embedded software relating to the foregoing property, and all 458
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 2 of 9

equipment, inventory and software to utilize, create, maintain and process any such records and data on electronic media; and all supporting obl igations relating to the foregoing property; all whether now existing or hereafter arising, whether now owned or hereafter acquired or whether now or hereafter subject to any rights in the foregoing property; and all products and proceeds (including but not limited to all insurance payments) of or relating to the foregoing property.

3. Authorization to File Financing Statements: The Borrower hereby irrevocably authorize the Lender at any time and from time to time to file in any Uniform Commercial Code authority any initial financing statements and amendments thereto that:

I. [UCC Language from Credit Memo]

4. Borrower/Debtor is a [Type of Entity] organized and existing in and under the laws of the State of California, at the following locations: [Borrower’s Address] I. whether the Borrower is an organization, the type of organization and any organization identification number issued to the Borrower and, II. in the case of a financing statement filed as a fixture filing or indicating Collateral as as -extracted Collateral or timber to be cut, a sufficient description of real property to which the Collateral relates. The Borrower agrees to furnish any such information to the Lender promptly upon request.

5. Relation to Other Security Documents: The provisions of this Agreement supplement the provisions of any real estate mortgage or deed of trust granted by the Borrower to the Lender and securing the payment or performance of any of the obligations. Nothing contained in any such real estate mortgage or deed of trust shall derogate from any of the rights or remedies of the Lender hereunder.

6. Representation and Warranties Concerning Legal Status: The Borrower represents and warrants that they are the individuals who have the authority to enter into this Agreement.

7. Covenants Concerning Legal Status: The Borrower covenant with the Lender as follows: (A) without providing at least 30 days prior written notice to the Lender, the Borrower, will not change their place of business or their mailing address (B) if the Borrower do not have an organizational identification number and later obtain one, the Borrower shall forthwith notify the Lender of such organizational identification number, and (C) the Borrower will not change their type of organization, jurisdiction of organization or other legal structure.

8. Representations and Warranties Concerning Collateral, etc.: The Borrower further represent the warrant to the Lender as follows:
(A) The Borrower are the owners of, or will become the owner of the Collateral, free from any adverse lien, Security Interest, or other encumbrance, except for the Security Interest created by this Agreement,
(B) None of the Collateral constitutes, or is the proceeds of, “farm products” as defined in §9-102(a)(34) of the Uniform Commercial Code,
(C) None of the account debtor or other persons Obligated on any of the Collateral 459
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 3 of 9

is governmental authority subject to the Federal Assignment of Claims Act or like federal, state, or local statute or rule in respect of such Collateral, (D) The Borrower has at all times operated its business in compliance with all applicable provisions of the federal Fair Labor Standards Act, as am ended, and with all applicable provisions of federal, state, and local statues and ordinances dealing with the control, shipment, storage or disposal of Hazardous Materials or Substances and
(E) All of the representations and warranties set forth in the Loan Agreement remain true and correct.

9. Covenants Concerning Collateral, etc.: The Borrower further covenant with the Lender as follows:
(A) The Collateral will all be kept at the Property and the Borrower, will not remove the Collateral from the Property without the express written consent of the Lender, which shall be requested by at least 30 days prior to written notice to the Lender, (B) The Borrower shall be the owner of the Collateral free from any Lien, Security Interest, or other encumbrance, and the Borrower shall defend the same against all claims and demands of all persons at any time claiming the same or any interests therein adverse to the Lender
(C) The Borrower shall not pledge, mortgage, or create, or suffer to exist a Security Interest in the Collateral in favor of any person other than the Lender (D) The Borrower will keep the Collateral in good order and repaid and will not sure the same in violation of law or any policy of insurance there on, (E) The Borrower will permit the Lender, or its designee, to inspect the Collateral at any reasonable time, wherever located,
(F) The Borrower will pay promptly when due all taxes, assessment, governmental charges, and levies upon the Collateral or incurred in connection with the use or operation of such Collateral or incurred in connection with the Agreement, (G) The Borrower will continue to operate, its business in compliance with all applicable provisions of the federal Fair Labor Standards Act, as amended, and with all applicable provisions of federal, state, and local statutes and ordinances dealing with the control, shipment, storage, or disposal of Hazardous Materials or Substances, and
(H) The Borrower will not sell or otherwise dispose, or offer to sell or otherwise dispose, of the Collateral or any interest therein except for dispositions with the express written consent of the Lender, which shall be requested by at least 30 days prior written notice to the Lender

10. Collateral Protection and Preservation; Obligations and Duties: Anything herein to the contrary notwithstanding, the Borrower shall remain liable under each contract or Agreement comprised in the Collateral to be observed or performed by the Borrower.

The Lender shall not have any obligation or liability under any such contract or Agreement by reason of or arising out of this Agreement or the receipt by the Lender of 460
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 4 of 9

any payment relating to any of the Collateral, nor shall the Lender be obligated in any manner to perform any of the obligations of the Borrower under or pursuant to any such contract or Agreement, to make inquiry as to the nature of sufficiency of any payment received by the Lender in respect of the Collateral or as to the sufficiency of any performance by any party under any such contract or Agreement, to present or file any claim, to take any action to enforce any performance or to collect the payment of any amounts which may have been assigned to the Lender or to which the Lender may be entitled at any time or times. The Lender’s sole duty w ith respect to the custody, safe keeping, and physical preservation of the Collateral in its possession, under keeping, and physical preservation of the Collateral in its possession, under §9-207 of the Uniform Commercial Code of the Status or otherwise, shall be to deal with such Collateral in the same manner as the Lender deals with similar properties for its own amount.

11. Notification to Account Debtors and Other Persons Obligated on Collateral: If an Event of Default shall have occurred and be continuing, the Borrower shall, at the request of the Lender, notify account debtors and other persons obligated on any of the Collateral of the Security Interest of the Lender in any account, chattel paper, general intangible, instrument or other Collateral and that payment thereof is to be made directly to the Lender or to any financial institution designated by the Lender as the Lender’s agent therefore, and the Lender may itself, if an Event of Default shall have occurred and be continuing, without noti ce to or demand upon the Borrower, so notify account debtors and other persons obligated on Collateral. After the making of such a request or the giving of any such notification, the Borrower shall hold any proceeds of collection of accounts, chattel paper , general intangibles, instruments, and other Collateral received by the Borrower as trustee for the Lender without commingling the same with other funds of the Borrower and shall turn the same over to the Lender in the identical form received, together with any necessary endorsements or assignments. The Lender shall apply the proceeds of collection of accounts, chattel paper, general intangibles, instruments, and other Collateral received by the Lender to the Obligations, such proceeds to be imm ediately entered after final payment in cash or other immediately available funds of the items giving rise to them.

12. Power of Attorney:

12.1 Appointment and Powers of Lender: The Borrower hereby irrevocably constitute and appoint the Lender and any officer or agent thereof, with full power of substitution, as their true and lawful attorneys -in-fact with full irrevocable power and authority in the place and stead of the Borrower or in the Lender’s own name, for the purpose of carrying out the terms of this Agreement, to take any and all appropriate action and to execute any and all documents and instruments that may be necessary or desirable to accomplish the purposes of this Agreement and, without limiting the generality of the foregoing, hereby gives said attorneys the power and right, on behalf of the Borrower, without notice to or assent by the Borrower, to do the following:
(A) Upon the occurrence and during the continuance of an Event of Default, generally to s ell, transfer, pledge, make any Agreement with respect to or otherwise deal with any of the Collateral in such manner as is consistent with 461
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 5 of 9

the Uniform Commercial Code of the State and as fully and completely as though the Lender were the absolute owner thereof for all purposes, and to do at the Borrower’s expense, at any time, or from time to time, all acts and things which the Lender deems necessary to protect, preserve, or realize upon the Collateral and the Lender’s Security Interest therein, in order to effect the intent of this Agreement, all as fully and effectively as the Borrower might do, including, without limitation.

I. The filing and prosecuting of registration and transfer applications with the appropriate federal or local agencies or authorities with respect to trademarks, copyrights, and patentable inventions and processes,
II. Upon written notice to the Borrower, the exercise of voting rights with respect to voting securities, which rights may be exercised, if the Lender so elects, with a view to causing the liquidation in a commercially reasonable manner of assets of the issuer of any such securities and the execution, delivery, and recording, in connection with a sale or other disposition of any Collateral, of the endorsements, assignments, or other instruments of conveyance or transfer with respect to such Collateral; and
(B) To the extent that the authorization given herein is not sufficient, to file such financing statements with respect hereto, with or without the signature, or a photocopy of this Agreement in substitution for a financing statement, as the Lender may deem appropriate and to execute in the Borrower’s names such as financing statements and amendments thereto and continuation statements which may require the Borrower’s signatures.

12.2 Ratification by Borrower: To the extent permitted by law, the Borrower hereby ratify all that said attorney shall lawfully do or cause to be done by virtue hereof.

This role of power of attorney is a power coupled with an interest and shall be irrevocable.

12.3 No Duty on Lender: The powers conferred on the Lender hereunder are solely to protect its interests in the Collateral and shall not impose any duty upon it to exercise any such powers. The Lender shall be accountable only for the amounts that it receives because of the exercise of such powers and neither it nor any of its officers, directors, employees, or agents shall be responsible to the Borrower for any act of failure to act, except for the Lender’s own gross negligence or willful misconduct.

13. Remedies: If an Event of Default shall have occurred and be continuing, the Lender may, without notice to or demand upon the Borrower, declare this Agreement to be in Default, and the Lender shall thereafter have in any jurisdiction in which enforcement hereof is sought, in addition to all other rights and remedies, the rights and remedies of a secured party under the Uniform Commercial Code or of any jurisdiction in which Collateral is located, including, without limitation, the right to take possession of the 462
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 6 of 9

Collateral, and for that purpose the Lender may, so far as the Borrower can give authority therefor, enter upon any premises on which the Collateral may be situated and remove the same therefrom. The Lender may in its discretion require the Borrower to assemble all or any part of the Collateral at such location or locations within the authority(ies) of the Borrower’s principal office(s) or at such other locations as the Lender may designate. Unless the Collateral is perishable or threatens to decline speedily in value or is of a type customarily sold on a recognized market, the Lender shall give to the Borrower at least five business days prior written notice of the time and place of any public sale of Collateral or of the time after which any private sale or any other intended disposition is to be made. The Borrower hereby acknowledge that five business days prior written notice of such sale or sales shall be reasonable notice. In addition, the Borrower waive all rights that it may have to a judicial hearing in Advance of the enforcement of any of the Lender’s rights, including, without limitation, its right following an Event of Default to take immediate possession of the Collateral and to exercise its rights with respect thereto.

14. Standards for Exercising Remedies: To the extent that applicable law imposes duties on the Lender to exercise remedies in a commercially reasonable manner, the Borrower acknowledge and agrees that it is not commercially unreasonable for the Lender:
(A) To fail to incur expenses deemed significant by the Lender to prepare Collateral for disposition or otherwise to complete raw material or work in process into finished goods or other finished products for disposition, (B) To fail to obtain third party consents for access to Collateral to be disposed of, or to obtain or, if not required by other law, to fail to obtain governmental or third- party consents for the collection of disposition of Collateral to be collected or disposed of,
(C) To fail to exercise collection remedies against account debtors or other persons obligated on Collateral or to remove liens or encumbrances on or any adverse claims against Collateral,
(D) To exercise collection remedies against account debtors and other persons obligated on Collateral directly or through the use of collection agencies and other collection specialists, to advertise dispositions of Collateral through publications or media of general circulation, whether or not the Collateral is of specialized nature,
(E) To contact other persons, whether or not in the same business as the Borrower, for expressions of interest in acquiring all or any portion of the Collateral, (F) To hire one or more professional auctioneers to assist in the disposition of Collateral, whether or not the Collateral is of a specialized nature, (G) To dispose of Collateral by utilizing Internet sites that provide for the auction of assets of the types included in the Collateral or that have the reasonable capability of doing so, or that match buyers and sellers of assets, (H) To dispose of assets in wholesale rather than retail markets, 463
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 7 of 9

(I) To deny disposition warranties,
(J) To purchase insurance or Loan enhancements to insure the Lender against risks of loss, collection, or disposition of Collateral or to provide to the Lender a guaranteed return from the collection or disposition of Collateral, or to the extent deed appropriate by the Lender, to obtain the services of other brokers, investment Lenders, consultants, and other professionals to assist the Lender in the collection of disposition of any of the Collateral. The Borrower acknowledges that the purpose of this Section 14 is to provide non-exhaustive indications of what actions of omissions by the Lender would not commercially unreasonable in the Lender’s exercise of remedies against the Collateral and that other actions or omissions by the Lender shall not be deemed commercially unreasonable solely on account of not being indicated in this Section 16. Without limitation upon the foregoing, nothing contained in this Section 14 shall be construed to grant any rights to the Borrower or to impose any duties on the Lender that would not have been granted or imposed by this Agreement or by applicable law in the absence of this Section

14. 15. No Waiver by Lender: The Lender shall not be deemed to have waived any of its rights upon or under the Obligations or the Collateral unless such waiver shall be in writing and signed by the Lender. No delay or omission on the part of the Lender in exercising any right shall operate as a waiver of such right or any other right. A waiver on any one occasion shall not be construed as a bar to or waiver of any right on any future occasion.

All rights and remedies of the Lender with respect to the Obligations or the Collateral, whether evidenced hereby or by any other instrument or papers, shall be cumulative and may be exercised singularly, alternatively, successively, or concurrently at such time or at such times as the Lender deems expedient.

16. Suretyship Waivers by Borrower: The Borrower waives demand, notice, protest, notice of acceptance of this Agreement, notice of Loans made, Loan extended, Collateral received or delivered, or other action taken in reliance hereon and all other demands and notices of any description. With respect to both the Obligations and the Collateral, the Borrower assents to any extension or postponement of the time of payment or any other indulgence, to any substitution, exchange or release of or failure to perfect any Security Interest in any Collateral, to the addition or release of any party or person primarily or secondarily liable to the acceptance of partial payment thereon and the settlement, compromising, or adjusting of any thereof, all in such manner and at such time or times as the Lender may deem advisable. The Lender shall have no duty as to the collection or protection of the Collateral or any income thereon, nor as to the preservation of rights against prior parties. The Borrower further waives all other suretyship defenses.

17. Marshal Obligation: The Lender shall not be required to marshal any present or future Collateral security(including but not limited to this Agreement and the Collateral) for, or other assurances of payment of, the Obligations or any of them or to resort to such Collateral security or other assurances of payment in any order, and all its rights hereunder and in respect of such Collateral security and other assur ances of payment shall be cumulative and in addition to all other rights, however existing or arising. To the 464
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 8 of 9

extent that it lawfully may, the Borrower hereby agree that they will not invoke any law relating to the marshalling of Collateral which might cause delay in or impede the enforcement of the Lender’s rights under this Agreement or under any other instrument creating or evidencing any of the Obligations or under which any of the Obligations is outstanding or by which any of the Obligations is secured or payment thereof is otherwise assured, and, to the extent that it lawfully may, the Borrower hereby irrevocably waive the benefits of all such laws.

18. Proceeds of Dispositions: Expenses: The Borrower shall pay to the Lender on demand all expenses, includi ng reasonable attorney’s fees and disbursements, incurred, or paid by the Lender in protecting, preserving, or enforcing the Lender’s rights under or in respect of any of the Obligations or any of the Collateral. After deducting all said expenses, the residue of any proceeds of collection or sale of the Obligations or Collateral shall, to the extent received in cash, be applied to the payment of the Obligations in such order or preference as the Lender may determine proper allowance and provision being made for any Obligations not then due. Upon the final payment and satisfaction in full of all the Obligations and after making any payments required be Sections9-608(a)(1)(C) or 9-615(a)(3) of the Uniform Commercial Code, any excess shall be returned to the Borrower, and the Borrower shall remain liable for any deficiency in the payment of the Obligations.

19. Overdue Amounts: Until paid, all amounts due and payable by the Borrower hereunder shall be a debt secured by the Collateral and shall accrue interest at the rate indicated by the contract prejudgment and the legal rate thereafter.

20. Governing Law: Consent to Jurisdiction: This Agreement shall be governed by, and construed in accordance with, the laws of the State of California. The Borrower agrees that any suit for the enforcement of this Agreement may be brought in the courts of the State or any federal court sitting therein and consents to the non- exclusive authority of such court. The Borrower hereby waives any objection that it may now or hereafter have to the venue of any such suit or any such court or that such suit is brought in an inconvenient court.

21. Counterparts. This Agreement may be signed in counterparts and sill be binding on all parties hereto notwithstanding that all the parties are not signatories to the original or same counterpart. The parties agree that this document may be executed and delivered by facsimile, PDF transmission, any electronic signature complying with the applicable laws governing electronic signatures, California Uniform Electronic Transaction Act (Cal.

Civ. Code Sections 1633.1-1633.17) or the U.S. Federal ESIGN Act of 200, as amended, or similar reproduction of such signed writing using electronic mail shall be as effective as an original executed signature page.

22. Miscellaneous: The headings of each section of this Agreement are for convenience only and shall not define or limit the provisions thereof. This Agreement and all rights and obligations hereunder shall be binding upon the Borrower and their respective successors and assigns and shall inure to benefit of the Lender and its successors and assigns. If any term of this Agreement shall be held to be invalid, illegal, or unenforceable, the validity of all other terms hereof shall in no way be affected thereby, 465
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Security Agreement Without Guarantor
[Borrower’s Legal Name]- [Loan Product]- Loan # [Loan Number]

Security Agreement
Form 03 W/OG Page 9 of 9

and this Agreement shall be construed and be enforceable as if such invalid, illegal, or unenforceable term had not been included herein. The Borrower acknowledge receipt of a copy of this Agreement.

IN WITNESS WHEREOF, Intending to be legally bound, the parties hereto have caused this Agreement to be duly executed as of the date first above written. This Security Agreement is dated: [Date].

Borrower:
[Borrower’s Legal Name]

______________________________________
[Signer(s) Legal Name(s), and Title(s)]

Lender:

AmPac Tri-State CDC, Inc.

______________________________________
Hilda J. Kennedy, Executive Director

466
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Unconditional Guarantee by Entity
Unconditional Guarantee by Entity Page 1 of 4 Form 04 ENT

Loan # [Loan Number]
Loan Name [Loan Name]
Guarantor [Guaranteeing Entity’s Legal Name]
Borrower [Borrower’s Legal Name]
Lender AmPac Tri-State CDC, Inc. Dba AmPac Business Capital Date [Date]
Note Amount [Loan Amount ($0.00)]

1. GUARANTEE:

Guarantor unconditionally guarantees payment to Lender of all amounts owing under the Note. This Guarantee remains in effect until the Note is paid in full. Guarantor must pay all amounts due under the Note when Lender makes written demand upon Guarantor. Lender is not required to seek payment from any other source before demanding payment from Guarantor.

2. NOTE:

The “Note” is the promissory note dated [Date] in the principal amount of [Loan Amount ($0.00)] from Borrower to Lender. It includes any assumption, renewal, substitution, or replacement of the Note, and multiple notes under a line of credit.

3. DEFINITIONS:
“Collateral” means any property taken as security for payment of the Note or any guarantee of the Note. “Loan” means the loan evidenced by the Note.
“Loan Documents” means the documents related to the Loan signed by Borrower, Guarantor or any other guarantor, or anyone who pledges Collateral.

4. LENDER’S GENERAL POWERS:

Lender may take any of the following actions at any time, without notice, without Guarantor’s consent, and without making demand upon Guarantor:

A. Modify the terms of the Note or any other Loan Document except to increase the amounts due under the Note;
B. Refrain from taking any action on the Note, the Collateral, or any guarantee; C. Release any Borrower or any guarantor of the Note;
D. Compromise or settle with the Borrower or any guarantor of the Note; E. Substitute or release any of the Collateral, whether or not Lender receives anything in return; 467
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Unconditional Guarantee by Entity
Unconditional Guarantee by Entity Page 2 of 4 Form 04 ENT
F. Foreclose upon or otherwise obtain, and dispose of, any Collateral at public or private sale, with or without advertisement;
G. Bid or buy at any sale of Collateral by Lender or any other lienholder, at any price Lender chooses; and
H. Exercise any rights it has, including those in the Note and other Loan Documents.

These actions will not release or reduce the obligations of Guarantor or create any rights or claims against Lender.

5. FEDERAL LAW:

When Lender is the holder, the Note and this Guarantee will be construed and enforced under federal law, including Lender regulations. Lender may use state or local procedures for filing papers, recording documents, giving notice, foreclosing liens, and other purposes. By using such procedures, Lender does not waive any federal immunity from state or local control, penalty, tax, or liability. As to this Guarantee, Guarantor may not claim or assert any local or state law against Lender to deny any obligation, defeat any claim of Lender, or preempt federal law.

RIGHTS, NOTICES, AND DEFENSES THAT GUARANTOR WAIVES:

To the extent permitted by law,
A. Guarantor waives all rights to:
1) Require presentment, protest, or demand upon Borrower; 2) Redeem any Collateral before or after Lender disposes of it; 3) Have any disposition of Collateral advertised; and
4) Require a valuation of Collateral before or after Lender disposes of it.

B. Guarantor waives any notice of:
1) Any default under the Note;
2) Presentment, dishonor, protest, or demand;
3) Execution of the Note;

4) Any action or inaction on the Note or Collateral, such as disbursements, payment, nonpayment, acceleration, intent to accelerate, assignment, collection activity, and incurring enforcement expenses;
5) Any change in the financial condition or business operations of Borrower or any guarantor; 6) Any changes in the terms of the Note or other Loan Documents, except increases in the amounts due under the Note; and
7) The time or place of any sale or other disposition of Collateral.

C. Guarantor waives defenses based upon any claim that:
1) Lender failed to obtain any guarantee;
2) Lender failed to obtain, perfect, or maintain a security interest in any property offered or taken as Collateral;
3) Lender or others improperly valued or inspected the Collateral; 4) The Collateral changed in value, or was neglected, lost, destroyed, or underinsured; 5) Lender impaired the Collateral;
6) Lender did not dispose of any of the Collateral;
468
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Unconditional Guarantee by Entity
Unconditional Guarantee by Entity Page 3 of 4 Form 04 ENT
7) Lender did not conduct a commercially reasonable sale; 8) Lender did not obtain the reasonable value of the Collateral; 9) Lender did not make or perfect a claim upon the death or disability of Borrower or any guarantor of the Note;
10) The financial condition of Borrower or any guarantor was overstated or has adversely changed;
11) Lender made errors or omissions in Loan Documents or administration of the Loan;

12) Lender did not seek payment from the Borrower, any other guarantors, or any Collateral before demanding payment from Guarantor;
13) Lender impaired Guarantor’s suretyship rights;

14) Lender modified the Note terms, other than to increase amounts due under the Note. If Lender modifies the Note to increase the amounts due under the Note without Guarantor’s consent, Guarantor will not be liable for the increased amounts and related interest and expenses, but remains liable for all other amounts;
15) Borrower has avoided liability on the Note; or
16) Lender has taken an action allowed under the Note, this Guarantee, or other Loan Documents.

7. DUTIES AS TO COLLATERAL:

Guarantor will preserve the Collateral pledged by Guarantor to secure this Guarantee. Lender has no duty to preserve or dispose of any Collateral.

8. SUCCESSORS AND ASSIGNS:

Under this Guarantee, Guarantor includes heirs and successors, and Lender includes its successors and assigns.

9. GENERAL PROVISIONS:

A. ENFORCEMENT EXPENSES. Guarantor promises to pay all expenses Lender incurs to enforce this Guarantee, including, but not limited to, attorney’s fees and costs.

B. LENDER NOT A CO-GUARANTOR. Guarantor’s liability will continue even if Lender pays Lender.

Lender is not a co-guarantor with Guarantor. Guarantor has no right of contribution from Lender.

C. SUBROGATION RIGHTS. Guarantor has no subrogation rights as to the Note or the Collateral until the Note is paid in full.

D. JOINT AND SEVERAL LIABILITY. All individuals and entities signing as Guarantor are jointly and severally liable.

E. DOCUMENT SIGNING. Guarantor must sign all documents necessary at any time to comply with the Loan Documents and to enable Lender to acquire, perfect, or maintain Lender’s liens on Collateral.

F. FINANCIAL STATEMENTS. Guarantor must give Lender financial statements as Lender requires.

G. LENDER’S RIGHTS CUMULATIVE, NOT WAIVED. Lender may exercise any of its rights separately or together, as many times as it chooses. Lender may delay or forgo enforcing any of its rights without losing or impairing any of them.

H. ORAL STATEMENTS NOT BINDING. Guarantor may not use an oral statement to contradict or alter the written terms of the Note or this Guarantee, or to raise a defense to this Guarantee. 469
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Unconditional Guarantee by Entity
Unconditional Guarantee by Entity Page 4 of 4 Form 04 ENT
I. SEVERABILITY. If any part of this Guarantee is found to be unenforceable, all other parts will remain in effect.

J. CONSIDERATION. The consideration for this Guarantee is the Loan or any accommodation by Lender as to the Loan.

10. STATE – SPECIFIC PROVISIONS:

Guarantor waives its rights of subrogation, reimbursement, indemnification, and contribution and any other rights and defenses that are or may become available to the guarantor by reason of California Civil Code Sections 2787 to 2855, inclusive. The guarantor waives all rights and defenses that the guarantor may have because the debtor's debt is secured by real property. This means, among other things: (1) The creditor may collect from the guarantor without first foreclosing on any real or personal property collateral pledged by the debtor. (2) If the creditor forecloses on any real property collateral pledged by the debtor: (A) The amount of the debt may be reduced only by the price for which that collateral is sold at the foreclosure sale, even if the collateral is worth more than the sale price. (B) The creditor may collect from the guarantor even if the creditor, by foreclosing on the real property collateral, has destroyed any right the guarantor may have to collect from the debtor. This is an unconditional and irrevocable waiver of any rights and defenses the guarantor may have because the debtor's debt is secured by real property. These rights and defenses include, but are not limited to, any rights or defenses based upon Section 580a, 580b, 580d, or 726 of the Code of Civil Procedure. The guarantor waives all rights and defenses arising out of an election of remedies by the creditor, even though that election of remedies, such as a nonjudicial foreclosure with respect to security for a guaranteed obligation, has destroyed the guarantor's rights of subrogation and reimbursement against the principal by the operation of Section 580d of the Code of Civil Procedure or otherwise.

11. GUARANTOR ACKNOWLEDGEMENT OF TERMS.

Guarantor acknowledges that Guarantor has read and understands the significance of all terms of the Note and this Guarantee, including all waivers.

12. GUARANTOR NAME(S) AND SIGNATURE(S):

By signing below, each individual or entity becomes obligated as Guarantor under this Guarantee.

Guarantor:
[Guarteeing Entity’s Legal Name]

______________________________________
[Signer(s) Legal Name(s), and Title(s)]

470
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Disbursement Request and Authorization
[Borrower’s Legal Name]- [Loan Product] Loan #[Loan Number] Disbursement Request and Authorization Page 1 of 1

LOAN TYPE: [Loan Product]. This is a Fixed Rate Loan for [Loan Amount ($0.00)] , due on [Maturity Date].

PRIMARY PURPOSE OF LOAN: [Primary Use of Funds]. The primary purpose of this Loan is for [Primary Use of Funds].

DISBURSEMENT INSTRUCTIONS: Borrower understands that no Loan proceeds will be disbursed until all of Lender’s conditions for making the Loan have been satisfied. Please disburse the Loan proceeds as follows: [Special Disbursement Instructions, If Applicable].

Other Disbursements: [Total of Disbursements]
[Disbursement(s)] [($0.00]

Total Financed/Prepaid Charges: [Total Fees]
Loan Packaging and Processing: [($0.00]
Legal Fees: $350.00
Out of Pocket and Interest to
Month End: [($0.00]

Note Principal Amount: [Total Principal Amount]

FINANCIAL CONDITION: BY SIGNING THIS AUTHORIZATION, BORROWER REPRESENTS

AND WARRANTS TO LENDER THAT THE INFORMATION PROVIDED ABOVE IS TRUE AND

CORRECT AND THAT THERE HAS BEEN NO MATERIAL ADVERSE CHANGE IN BORROWER’S FINANCIAL CONDITION DISCLOSED IN BORROWER’S MOST RECENT FINANCIAL STATEMENT TO LENDER.

THIS DISBURSEMENT REQUEST AND AUTHORTIZATION IS DATED: [DATE].

Borrower:
[Borrower’s Legal Name]

______________________________________
[Signer(s) Legal Name(s), and Title(s)]

471
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba Ampac Business Capital Authorization Agreement for Pre- Authorization Payment (Debit) Authorization Agreement for Pre-Authorization Payment (Debit) Page 1 of 1

I (We) authorize AmPac Tri-State CDC, Inc dba AmPac Business Capital to initiate debit entries payable to the account (described below) and bank (named below) to debit the amounts of such entries:

Periodically as such amounts become due, without further authorization (standing authorization);
Bank name

Address

City State Zip
Account: Checking Savings Other

Transit ABA
Transit routing number Check digit Account number information

*Check Digit is the Last Digit in the Routing Number*

Designated by Federal Reserve.

NOTICE: When completing account number information, insert a hyphen (-) for each Dash Cue Symbol (-) contained in the field and insert a number sign (#) for each “On Us” Cue Symbol (|’).

This form must be provided to AmPac Tri-State CDC, Inc. dba AmPac Business Capital prior to the 15th of the month for ACH changes/new accounts to be effective on the first of the subsequent month.

Account Name (as shown on Check)
[Date]
Signature Date
[Date]
Signature 2 (as required) Date

Attached Voided Check (Required): Yes No
*If a Voided Check is not available, a screenshot from the Mobile Banking App reflecting the Routing and Account Number will Suffice*

For AmPac Business Capital Use Only:

CDC Number: 09-697
Borrower’s Name: [Borrower’s Legal Name]
Loan Type: [Loan Type]
Loan Number: [Loan Number]

472
Form W-9
(Rev. March 2024)
Request for Taxpayer
Identification Number and Certification
Department of the Treasury
Internal Revenue Service Go to www.irs.gov/FormW9 for instructions and the latest information.

Give form to the
requester. Do not
send to the IRS.

Before you begin. For guidance related to the purpose of Form W-9, see Purpose of Form, below.

Print or type.

See Specific Instructions on page 3.
1 Name of entity/individual. An entry is required. (For a sole proprietor or disregarded entity, enter the owner’s name on line 1, and enter the business/disregarded entity’s name on line 2.)
2 Business name/disregarded entity name, if different from above. 3a Check the appropriate box for federal tax classification of the entity/individual whose name is entered on line 1. Check only one of the following seven boxes.

Individual/sole proprietor C corporation S corporation Partnership Trust/estate LLC. Enter the tax classification (C = C corporation, S = S corporation, P = Partnership) . . . .

Note: Check the “LLC” box above and, in the entry space, enter the appropriate code (C, S, or P) for the tax classification of the LLC, unless it is a disregarded entity. A disregarded entity should instead check the appropriate box for the tax classification of its owner.

Other (see instructions)
3b If on line 3a you checked “Partnership” or “Trust/estate,” or checked “LLC” and entered “P” as its tax classification, and you are providing this form to a partnership, trust, or estate in which you have an ownership interest, check this box if you have any foreign partners, owners, or beneficiaries. See instructions . . . . . . . . . 4 Exemptions (codes apply only to
certain entities, not individuals;
see instructions on page 3):

Exempt payee code (if any)
Exemption from Foreign Account Tax
Compliance Act (FATCA) reporting
code (if any)
(Applies to accounts maintained
outside the United States.)
5 Address (number, street, and apt. or suite no.). See instructions. 6 City, state, and ZIP code
Requester’s name and address (optional)
7 List account number(s) here (optional)
Part I Taxpayer Identification Number (TIN)
Enter your TIN in the appropriate box. The TIN provided must match the name given on line 1 to avoid backup withholding. For individuals, this is generally your social security number (SSN). However, for a resident alien, sole proprietor, or disregarded entity, see the instructions for Part I, later. For other entities, it is your employer identification number (EIN). If you do not have a number, see How to get a TIN, later.

Note: If the account is in more than one name, see the instructions for line 1. See also What Name and Number To Give the Requester for guidelines on whose number to enter.

Social security number
– –
or
Employer identification number
–
Part II Certification
Under penalties of perjury, I certify that:

1. The number shown on this form is my correct taxpayer identification number (or I am waiting for a number to be issued to me); and

2. I am not subject to backup withholding because (a) I am exempt from backup withholding, or (b) I have not been notified by the Internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding; and

3. I am a U.S. citizen or other U.S. person (defined below); and

4. The FATCA code(s) entered on this form (if any) indicating that I am exempt from FATCA reporting is correct.

Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions, item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an individual retirement arrangement (IRA), and, generally, payments other than interest and dividends, you are not required to sign the certification, but you must provide your correct TIN. See the instructions for Part II, later.

Sign
Here
Signature of
U.S. person Date
General Instructions
Section references are to the Internal Revenue Code unless otherwise noted.

Future developments. For the latest information about developments related to Form W-9 and its instructions, such as legislation enacted after they were published, go to www.irs.gov/FormW9.

What’s New
Line 3a has been modified to clarify how a disregarded entity completes this line. An LLC that is a disregarded entity should check the appropriate box for the tax classification of its owner. Otherwise, it should check the “LLC” box and enter its appropriate tax classification.

New line 3b has been added to this form. A flow-through entity is required to complete this line to indicate that it has direct or indirect foreign partners, owners, or beneficiaries when it provides the Form W-9 to another flow-through entity in which it has an ownership interest. This change is intended to provide a flow-through entity with information regarding the status of its indirect foreign partners, owners, or beneficiaries, so that it can satisfy any applicable reporting requirements. For example, a partnership that has any indirect foreign partners may be required to complete Schedules K-2 and K-3. See the Partnership Instructions for Schedules K-2 and K-3 (Form 1065).

Purpose of Form
An individual or entity (Form W-9 requester) who is required to file an information return with the IRS is giving you this form because they Cat. No. 10231X Form W-9 (Rev. 3-2024)
473
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Advertising/Marketing Release Form
[Borrower’s Legal Name]- [Loan Product] Loan #[Loan Number]

Advertising/Marketing Release Form Page 1 of 1

Date: [Date]

Borrower’s Name: [Borrower’s Legal Name]

Business Address: [Business Address]

In addition to that information which is available via public record, such as loan amount and the name of the Borrower and the Business, this Release authorizes AmPac Tri-State CDC, Inc. dba AmPac Business Capital to use the names and pictures of the business principals, pictures of the business and any testimonials given by the undersigned (“Borrower Information”).

By signing below, the undersigned acknowledges that AmPac Tri -State CDC, Inc. dba AmPac Business Capital is relying on this Advertising/Marketing Release in preparing and using press releases, advertising, and marketing materials.

Please acknowledge your agreement and consent to the foregoing by executing this Advertising/Marketing Release Form. Thank you for your support of AmPac Tri -State CDC, Inc. dba AmPac Business Capital.

The Borrower hereby agrees and consents to the above listed terms and conditions ☐

The Borrower hereby opts of the above listed terms and conditions ☐

Borrower:
[Borrower’s Legal Name]

__________________________________
[Signer(s) Legal Name(s), and Title(s)]

474
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Certification of Identity
[Borrower’s Legal Name]- [Loan Product] Loan #[Loan Number]

Certification of Identity Page 1 of 1

I, [Signer’s Legal Name], hereby certify:

THAT, [Signer’s Legal Name], whose name appears on the loan papers and [Variations of Signer’s Legal Name on Application Forms] , whose name appears on various other documents in connection with said [Loan ] are on and the same person.

I FURTHER CERTIFY, that my date of birth is [Signer’s Date of Birth] , and my social security number is [Signer’s Social Security Number].

This Certification is dated: [Date]

_____________________________________
[Signer’s Legal Name], individually

475
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Closing and Business Purpose Certifications
Post-Closing Compliance and Document Correction Agreement [Borrower’s Legal Name]- [Loan Product]- Loan #[Loan Number]

Closing and Business Purpose Certifications Page 1 of 4

In consideration of the loan made by AmPac Tri -State CDC, Inc. dba AmPac Business Capital (“Lender”) to [Borrower’s Legal Name] (“Borrower”) in the amount of [Loan Amount ($0.00)] (“Loan”) and to induce the Lender to make the Loan, the undersigned do(es) hereby represent, certify, covenant, and agree as follows:

1. The proceeds of such Loan will be used solely for the following business or commercial purposes: [Use of Funds] as set forth in the applicable Loan Approval Letter Loan #[Loan Number] dated [Date] as modified.

2. No parts of the proceeds of such Loan will be used for personal, family, or household purposes.

3. The undersigned is exercising and will continue to exercise actual control over the managerial decisions of the Borrower conc erning the use of funds and/or credit to be derived from the Loan.

4. The Loan is not secured by an assignment of wages, salaries, or compensation for the services of the undersigned nor by the household furniture or other goods of the Borrower or the undersigned used for personal, family, or household purposes.

5. The undersigned hereby agrees to indemnify and save hold Lender, its successors and assigns, harmless from and against any and all liabilities, losses, damages, suits, judgements, executions, costs, and expenses, including, without limitation, reasonable attorney’s fees and expenses, which may or shall arise or be incurred by Lender by reason of Lender’s consummation of the aforementioned Loan in reliance upon the representations and warranties contai ned herein and in any documents delivered to Lender by the undersigned in connection with the Loan.

6. (Please Initial A or B) The undersigned represent and warrant that:

___________ a. They are represented by legal counsel of their choice, are fully aware of the terms and conditions of the loan transaction and all related transactions and have voluntarily and without coercion or duress of any kind, entered into the transaction(s) and the documents executed in connection with the transaction(s).

-OR-

___________ b. They have knowingly and intentionally waived their right to have legal counsel of their choice review and represent them with respect to the loan transaction and all related transactions. They further acknowledge that Lender’s legal staff have acted only as in- house counsel to the Lender in this transaction. Any work performed by said Lender legal staff at their request has been solely ministerial in nature; they have been advised of their right to retain legal counsel in the loan transaction and all related transactions and have voluntarily waived their right to do so.
476
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Closing and Business Purpose Certifications
Post-Closing Compliance and Document Correction Agreement [Borrower’s Legal Name]- [Loan Product]- Loan #[Loan Number]

Closing and Business Purpose Certifications Page 2 of 4

7. As of this date, there have been no unremedied adverse changes in the Borrower(s) or Guarantor(s) financial condition, organizations, operations or fixed assets and there are no outstanding tax liabilities owed as of this date, including, but not limited to the following:

Federal, State, and Local income and other taxes since the loan application was submitted to Lender.

a. If any properties pledged as collateral are designated by the Federal Government as falling within the boundaries of a special flood hazard area and Federal Flood Insurance becomes available, the undersigned will purchase and maintain such insurance in the amounts and coverage equal to or lesser of (a) the insurable value of the property, or (b) the maximum limit of coverage available at subsidized rates during the life of the Loan.

b. F.I.C.A. and Withheld Income Tax of the Borrower are currently being deposited on a regular basis. All other payroll taxes are paid or deposited quarterly. The undersigned hereby certifies that Borrower is current on all Federal and State taxes, including, but not limited to, income taxes, payroll taxes, real estate taxes, and sales taxes, and that all future taxes will be paid when due.

c. All insurance, licenses, permits and/or other approvals necessary to lawfully operate the Borrower’s business have been obtained or have been applied for and will be obtained. To the extent that it may later be determined that any additional insurance, licenses, permits and/or other approvals may be required, the undersigned will immediately secure them and forward copies to Lender once they have been obtained.

8. In consideration of Lender disbur sing funds for the closing of the Loan secured by the Property being encumbered, and regardless of the reason for any loss, misplacement, or inaccuracy in any loan documentation, the undersigned agree(s) as follows: If any document is lost, misplaced, misstated or inaccurately reflects the true and correct terms and conditions of the Loan, upon request of the Lender, the undersigned will comply with Lender’s request to execute, acknowledge, initial, and deliver to Lender any documentation Lender deems neces sary to replace or correct the lost, misplaced, misstated, or inaccurate documents. All documents Lender requests of Borrower(s) and/or Guarantor(s) shall be referred to as “Replacement Documents.” The undersigned agree(s) to deliver the Replacement Documents within ten (10) days after receipt by the undersigned of a written request for such replacement. The undersigned also agree(s) that upon request the undersigned will supply additional amounts and/or pay to Lender any additional sum previously disclosed to Borrower(s) and/or Guarantor(s) for any cost or fee associated with the Loan, which for whatever reason it was not collected at closing (“Additional Fees”).

a. Any request under this Agreement may be made by the Lender (including assignees and persons ac ting on behalf of the Lender) and shall be prima facie evidence of the necessity for same. A written statement addressed to the 477
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Closing and Business Purpose Certifications
Post-Closing Compliance and Document Correction Agreement [Borrower’s Legal Name]- [Loan Product]- Loan #[Loan Number]

Closing and Business Purpose Certifications Page 3 of 4

undersigned, or any of them at the address indicated in the Loan documentation shall be considered conclusive evidence of the necessity for Replacement Documents.

b. Failure or refusal by the undersigned to comply with the terms of the correction request shall constitute a default under the note and/or mortgage/deed of trust and shall give Lender the option of declaring all sums secured by the Loan documents immediately due and payable.

c. If Failure or refusal by the undersigned to execute, acknowledge, initial, and deliver the Replacement Documents or provide the Replacement Documents or Additional Fees to Lender more than ten (10 day s after being requested to do so by Lender and understanding that Lender is relying on these representations, Borrower(s) agrees to be liable for any and all loss or damage which Lender reasonably sustains thereby, including, but not limited to all reasonable attorney’s fees and costs incurred by Lender.

9. The undersigned have read all the Loan documents relating to the Loan and understand(s) the meaning and content of said Loan documents.

10. The undersigned understands and acknowledges that the representations made herein are material to Lender’s decision to close and fund the Loan and that Lender is relying upon these representations in connection with the making of the Loan. The undersigned further acknowledge and understand that the obligations enumerated herein shall survive closing and that any failure to comply with the obligations as set forth herein shall constitute a default under the Loan documents, entitling Lender to pursue any and all remedies set forth in the Loan documents, including, but no way limited to acceleration of the indebtedness.

11. Any documents required to be delivered to Lender shall be delivered to the offices of 3110 B Inland Empire Blvd. Ontario, CA 91764.

12. This agreement will survive the closing of the Loan and inure to the benefit of the Lender’s successors and assigns and binding up the heirs, successors, and assigns of Borrower(s).

Signature Provisions on Following Page
478
City of Fontana’s Empowerment Revolving Loan Fund Program Administered by AmPac Tri-State CDC, Inc. dba AmPac Business Capital Closing and Business Purpose Certifications
Post-Closing Compliance and Document Correction Agreement [Borrower’s Legal Name]- [Loan Product]- Loan #[Loan Number]

Closing and Business Purpose Certifications Page 4 of 4

IN WITNESS WHEREOF , the undersigned have caused this Agreement to be executed as of the date set forth herein.

Dated: [Date].

Borrower:
[Borrower’s Legal Name]

_____________________________________
[Signer(s) Legal Name(s), and Title(s)]

Guarantor(s):
[Guarantor(s) Legal Name(s)]

_____________________________________
[Signer(s) Legal Name(s)], Individually

479
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0634 Agenda Date: 10/28/2025
Agenda #: AD. Category: Consent Calendar
FROM:

Development Services
SUBJECT:

Memorandum of Understanding between the County of San Bernardino, the City of Fontana, and participating cities for the property located at 11109 Jasmine Street.

RECOMMENDATION:

1. Approve the Memorandum of Understanding (MOU) between the City of Fontana, the County of San Bernardino, and the cities of Chino, Chino Hills, Fontana, Montclair, Ontario, Rancho Cucamonga, Rialto, and Upland for the operation of the West End Navigation Center for a term of ten (10) years from the effective date, at an initial annual cost of $1,000,000 to the City of Fontana.

2. Authorize the City Manager, or designee, to execute the MOU and related documents necessary to implement participation.

COUNCIL GOALS:
· Provide a diverse range of housing types and levels of affordability while addressing homelessness in the community by promoting diverse range of housing projects and levels of affordability.
· Provide a diverse range of housing types and levels of affordability while addressing homelessness in the community by address Homelessness through proactive programs, including the efforts of the COAST and MET teams.
· Concentrate on Inter-governmental relations by pursuing financial participation from county, state, and federal governments.

DISCUSSION:

The City of Fontana has identified Homelessness and Homeless prevention as a top priority. To address this need, the County of San Bernardino, and participating cities are developing the West End Navigation Center (WENC), a 200-bed, full-service regional facility located at 11109 Jasmine Street, Fontana. The City acquired the property with the intent to convert the existing facility, through the Tenant Improvement Project, into a Regional Navigation Center. Design is underway with the construction estimated expected to last 9-12 months.

The Navigation Center represents a regional solution that goes beyond traditional shelters or short- term motel vouchers. It is designed as a low-barrier, housing-focused service hub that reduces barriers, provides stability, and connects people directly to permanent housing. Core Features include:

City of Fontana Printed on 10/23/2025Page 1 of 3
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480
File #: 25-0634 Agenda Date: 10/28/2025
Agenda #: AD. Category: Consent Calendar
· 200 beds: 100 emergency shelter, 100 recuperative medical care, plus a sobering center. · 24/7 operations: Residents remain in place; stability is prioritized. · Referral-only admissions with “No Walk-Ins / No Walk-Offs”: All entries and exits are coordinated for safety and continuity.
· One-stop service model: Behavioral Health, Substance Use Services, Public Health, Transitional Assistance, Workforce Development, and the Office of Homeless Services (OHS) for housing navigation and Continuum of Care coordination. · Low-barrier design: Guests may bring pets, personal belongings, and partners. · Comprehensive supports: Meals, case management, benefits enrollment, transportation, and employment services.

The County has committed $25M in capital and reserves, reducing local upfront costs with the following financial structure:
· County Capital Investment: $20M projected to acquire the building fully improved from the City of Fontana.
· County Operating Reserve: $5M Capitalized Operating Subsidy Reserve (COSR).

As a participating city, the City of Fontana also serves as the host city. The contributions of the participating cities for the first year of operation of the WENC will be $3.0 million. Contributions are based upon the size and population of each city party and the estimated unhoused population within each. Contributions by city are as follows:
· Chino: Two Hundred Thousand Dollars ($200,000.00)
· Chino Hills: Two Hundred Thousand Dollars ($200,000.00) · Fontana: One Million Dollars ($1,000,000.00)
· Montclair: Two Hundred Fifty Thousand Dollars ($250,000.00) · Ontario: Two Hundred Fifty Thousand Dollars ($250,000.00) annually for the first three (3) operational years
· Rancho Cucamonga: Three Hundred Thousand Dollars ($300,000.00) · Rialto: Two Hundred Fifty Thousand Dollars ($250,000.00) · Upland: Two Hundred Fifty Thousand Dollars ($250,000.00) · County: Four Hundred Seventy-Five Thousand Dollars ($475,000.00) City contributions shall be adjusted annually by the value of the immediately preceding January Consumer Price Index for All Urban Consumers for Riverside-San Bernardino-Ontario, but not to exceed five percent (5%). Contribution levels will be evaluated every two years and adjusted for the most recent Point-in-Time Count, actual usage, actual cost of WENC operation, and a review of grant funding.

FISCAL IMPACT:

The annual fiscal impact associated with the approval of this item is $1,000,000 as the City’s allocated cost of the WENC operations once the facility is operational. This was included in the Fiscal Year 2025/2026 budget in account no. 10130000 8130 MOTION:

City of Fontana Printed on 10/23/2025Page 2 of 3
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File #: 25-0634 Agenda Date: 10/28/2025
Agenda #: AD. Category: Consent Calendar
Approve staff recommendation.

City of Fontana Printed on 10/23/2025Page 3 of 3
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MEMORANDUM OF UNDERSTANDING
between

THE CITIES OF CHINO, CHINO HILLS, FONTANA, MONTCLAIR, ONTARIO, RANCHO CUCAMONGA, RIALTO, and UPLAND
and

SAN BERNARDINO COUNTY
for the

OPERATION OF A REGIONAL NAVIGATION CENTER

This Memorandum of Understanding (“MOU”) is entered into as of December 16 , 2025 (“Effective Date”) by and between the Cities of Chino, Chino Hills, Fontana, Montclair, Ontario, Rancho Cucamonga, Rialto, and Upland, each of which is a municipal corporation organized and existing under the laws of the State of California ( referred to individually as “City Party” and collectively as “the City Parties”), and San Bernardino County, a political subdivision of the State of California (“County”). The City Parties and the County may be referred to individually as “Party” and collectively as “the Parties.”

Recitals
WHEREAS, the Parties, like many regions throughout California, have experienced significant growth in their unhoused population in recent years , presenting complex challenges driven by untreated substance use and mental health disorders, rising housing costs, and insufficient emergency, transitional, and affordable housing resources; and
WHEREAS, this growth in the unhoused population has resulted in increased incidents of camping and loitering on public rights -of-way, parks, and other public property within the Parties' jurisdictions, creating public health and safety concerns while straining municipal resources; and WHEREAS, the Parties desire to cooperate to address homelessness through collaborative, evidence- based approaches that prioritize both public safety and the dignified treatment of unhoused individuals; and
WHEREAS, the Parties seek to implement comprehensive solutions to balance enforcement with meaningful support services; and
WHEREAS, the Parties recognize that addressing homelessness effectively requires collaborative regional efforts and hereby commit to establishing an emergency housing facility that offers integrated support services—including case management, behavioral health care, medical oversight, coordinated social services, transportation support, and housing placement assistance—designed to help residents successfully transition to permanent, stable housing; and WHEREAS, the Parties further commit to establishing clear pathways from emergency housing to permanent housing solutions by providing coordinated access to transitional housing, permanent supportive housing, and affordable housing opportunities within their respective jurisdictions; and WHEREAS, the Parties recognize the need for professional expertise in delivering trauma -informed, comprehensive services that address the complex needs of unhoused individuals and families; and 483
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WHEREAS, this collaborative approach represents the Parties' commitment to addressing homelessness through shared resources, coordinated planning, and evidence -based practices that serve both unhoused individuals and the broader community; and WHEREAS, the Parties' respective governing bodies have reviewed and approved this MOU, finding that this regional partnership advances the health, safety, and welfare of all residents within their jurisdictions; and
WHEREAS, the Parties desire to cooperate in good faith to operate a new regional emergency housing and services center; and
WHEREAS, the Parties desire to define the responsibilities of each Party with respect to the funding and operation of a new Regional Navigation Center.

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TABLE OF CONTENTS
I. RECITALS ............................................................................... 4 II. PURPOSE ............................................................................... 4 III. TERM ...................................................................................... 4 IV. TERMINATION ....................................................................... 4 V. COUNTY RESPONSIBILITIES ....................................... 5 VI. SCOPE OF SERVICES .........................................................10 VII. RESPONSIBILITIES OF THE CITY PARTIES ......................12 VIII. PRINCIPAL REPRESENTATIVES AND NOTICE ............. 14 IX. MISCELLANEOUS ................................................................15

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I. RECITALS
The Recitals set forth above are true and correct and are hereby incorporated and made a substantive part of this MOU by this reference.

II. PURPOSE
A. The Parties desire to work together cooperatively and in good faith towards funding and operating a Regional Navigation Center (“Facility”). The Facility will operate as a referral- only facility with managed access protocols designed to ensure safety and security for all participants. The Facility will serve individuals who meet established eligibility criteria for each program component, providing comprehensive in -house services, case management, medical oversight, and coordinated service delivery within an environment optimized for successful outcomes.

B. This MOU is intended to define the rights and responsibilities of the Parties with respect to the establishment, funding, and operation of the Facility for homeless individuals as defined by the U.S. Department of Housing and Urban Development (HUD) and the State of California, including individual adults (persons 18 -years of age or older), individual adults (parent or guardian) with children, and families (married or unmarried adult partners with children) experiencing homelessness within the referring Party's respective jurisdiction, as further described herein.

III. TERM
A. Initial Term, Extension. This MOU shall be effective as of the Effective Date and shall remain in force and effect for ten (10) years unless terminated earlier by mutual agreement of the Parties pursuant to Section IV of this MOU. Thereafter, this MOU shall automatically renew for one additional five (5) year term unless any Party provides written notice of non-renewal to all other Parties at least ninety (90) days prior to the expiration of the initial term, or the Parties may mutually agree in writing to a renewal term of two (2), three (3), or four (4) years instead.

B. Renewal. After the initial term and first extension, as provided for in Section III.A of this MOU, lapse, the terms of t his MOU may be renegotiated between the Parties, for a successor MOU , or the Parties may agree, upon written approval of their respective governing Boards or Councils, to extend this Agreement for consecutive one-year terms.

IV. TERMINATION
A. Mutual Termination. Notwithstanding the term set forth in Section III.A of this MOU, this MOU may be terminated at any time upon the written agreement of at least six (6) City Parties and the County to this MOU. Such termination shall be evidenced by a written instrument executed by the authorized representatives of at least six (6) participating city jurisdictions and the County, and shall specify the effective date of termination.

B. Individual Party Withdrawal. Beginning in the ninth (9th) year after the Effective Date of this MOU, any City Party may withdraw from this MOU by providing twelve (12) months advance written notice to all other Parties. The withdrawing Party must continue all obligations, including timely payment of costs and any applicabl e termination fees, 486
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through the effective date of withdrawal. Notwithstanding the above, beginning in the third (3rd) year after the Effective Date of this MOU, the City of Ontario may withdraw from this MOU by providing three (3) months advance written notice to all other Parties.

C. Termination Fee Prior to End of Ten -Year Term. The termination fee payable by any City Party terminating its participation pursuant to Section IV.B of this MOU shall be equal to the unpaid portion of the ten (10) year commitment as calculated from the effective date of termination through the end of the Term. The termination fee shall be paid by the terminating City Party to the County not later than six (6) months before the effective date of termination, unless another agreeable date is reached and agreed to by the County.

Failure to timely remit the termination fee shall render a City Party's notice of termination ineffective. Notwithstanding the above, the City of Ontario shall not be subject to the termination fee regardless of whether Ontario terminates the agreement upon three (3) years of Facility operations or later.

V. COUNTY RESPONSIBILITIES
A. Facility. The County shall be responsible for the acquisition and operation of the Facility, to be located at 11109 Jasmine Street, Fontana, California 92337.

B. Host City. The City of Fontana agrees to serve as the host city for the Facility and to allow the Facility to be located and operated within its jurisdiction for the purposes set forth in this MOU for such term as the MOU remains in force and effect. As host city, the City of Fontana shall provide or facilitate necessary municipal services, permits, zoning approvals, and regulatory compliance required for the Facility's operation, notwithstanding any possible termination of the City of Fontana's participation in the MOU pursuant to Section IV of this MOU. The County agrees to coordinate with the City of Fontana in its role as host city and to support Fontana in fulfilling its host city responsibilities.

C. Establishment of Facility . The County agrees to be responsible for the acquisition of the Facility, property start-up costs, and its identified portion of operational costs as set forth in Section VII of this MOU. The County shall pay all costs and expenses associated with the operation and maintenance of the Facility and the provision of services at the Facility, except for the amounts set forth in Section VII of this MOU for which the City Parties shall be responsible. Annual operating costs that exceed the agreed -upon threshold established in Section VII shall be subject to negotiation among all Parties prior to the County's obligation to pay such excess costs.

D. Vendor of Choice. The operation and management of the Facility and the provision of the services at the Facility, as described in Section VI of this MOU, shall be performed by a vendor selected by the County through a County-directed procurement process.

1. Operations Agreement. The County and Facility Operator, and other vendors and sub-vendors as determined necessary and appropriate by the County, shall enter into agreement for operation and management of the Facility, such duties to encompass, among other things, the matters described in Section VI of this MOU.

2. Vendor Oversight. The County shall, at all times, have the duty and responsibility to oversee the conduct and performance of any vendor and sub-vendors, and take appropriate measures to ensure vendors are, at all times, in compliance with the 487
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provisions of this MOU and any operations agreements between the County and such vendors.

E. Mission Oversight . The County shall oversee the successful achievement of the Facility’s mission to serve the unhoused population and a chieve a short- and long-term reduction in the unhoused population within the jurisdictions of the Parties.

F. Service Outcomes. The County shall oversee service outcomes related to the sheltering, care, and treatment of Facility clients.

G. County Insurance . The County shall obtain and maintain appropriate policies of insurance or self-insured retention in accordance with the minimum requirements for the types and amounts of coverage established by the County’s risk management standards, or as otherwise esta blished in policies established by the County for operation of the Facility.

H. Indemnification and Insurance Requirements

1. Indemnification. To the fullest extent permitted by law, County shall indemnify and hold harmless City Parties, and each of them (individually, a “City Party”), together with their officials, officers, employees, agents, and volunteers from and against any and all claims, actions, losses, liabilities, damages, costs and expenses, including attorneys’ fees and costs, caused in whole or in part by the negligent or wrongful act, error or omission of County, its officers, agents, employees, consultants, subconsultants, vendors, or sub-vendors (including the officers, employees, agents, contractors and volunteers of any vendor or sub-vendor performing work or services at, or in connection with, the Facility or its operation) in the performance of services under this MOU or the performance of any work or service at or in connection with the Facility or its operation. County’s duty to indemnify and hold harmless a City Party shall not extend to that City Party’s sole or active negligence.

In the event a City Party is made a party to any action, lawsuit, or other adversarial proceeding arising from the performance of the services contemplated by this MOU, or the performance of work or services at or in connection with the Facility by any individual or entity, and upon demand by the City Party, County shall defend the City Party at County’s cost to the extent the matters arise from, relate to or are caused by County’s negligent acts, errors or omissions in connection with the performance of services under this MOU or the negligent acts, errors, or omissions of any County officer, official, employee, consultant, subconsultant, vendor, or sub -vendor (including the officers, employees, agents, contractors and volunteers of any vendor or sub -vendor) in the performance of any work or service at or in connection with the Facility or its operation.

In the event of any dispute between County and a City Party, as to whether liability arises from the sole or active negligence of the City Party or its officers, employees, or agents, County will be obligated to pay for City Party’s defense until such time as a final judgment has been entered adjudicating the City Party as solely or actively negligent. County will not be entitled in the absence of such a determination to any reimbursement of defense costs including but not limited to attorneys’ fees, expert fees and costs of litigation.

2. Insurance. County and City Parties are authorized self -insured or partially self-insured public entities for purposes of Professional Liability, General Liability, Automobile Liability and Worker's Compensation and warrant that through their respective programs of self- insurance and insurance, they have adequate coverage or resources to protect against 488
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liabilities arising out of performance of the terms, conditions or obligations of this Agreement.

I. Licenses. The County shall be responsible for obtaining and maintaining , at all times while this MOU is operational and in effect, all business licenses, professional licenses or certifications, and permits, if any, determined by the County to be necessary for operating and providing services at the Facility pursuant to this MOU.

1. Vendor Licenses. The County shall ensure that each party providing services or otherwise engaged in the delivery of services to the Facility , including but not limited to the Facility Operator, shall obtain and maintain, at all times, all business licenses, professional licenses or certifications, and permits, if any, determined by the County to be necessary for operating and providing services at the Facility pursuant to this MOU.

J. Records. The County shall be responsible for maintaining complete and accurate records with respect to all services and programs performed at the Facility and all costs and expenses incurred pursuant to this MOU. Such records shall be retained during the term of this MOU and for five (5) years after the termination of the MOU. The County shall also be responsible for establishing and maintaining on a curr ent basis an adequate accounting system in accordance with generally accepted accounting princ iples. The County shall further be responsible during the term of this MOU for the preparation of an annual report to the City Parties, in a format approved by the City Parties, with respect to all services and programs performed at the Facility and all costs and expenses incurred pursuant to this MOU.

1. Vendor Records . The County shall ensure that all vendors under contract to provide services to the Facility maintain complete and accurate records with respect to all services and programs performed at the Facility, including records related to all costs and expenses incurred pursuant to their operational agreement with the County. To that end, County must ensure that each of its vendor operating agreements requires the vendor to:
a) Retain all records during the term of their respective operational agreement and, in the event of termination of the operational agreement, provide and turn over all records maintained by the vendor in relation to services provided under the operational agreement to the County. In the event of dispute related to providing and turning over records to the County, the vendor shall retain such records indefinitely until such matters of dispute are resolved either through mutual agreement, dispute resolution, mediation, or by order of a court of competent jurisdiction. b) Be responsible for establishing and maintaining on a current basis an adequate accounting system in accordance with generally accepted accounting principles.
c) Be responsible during the term of th eir operational agreement, for the preparation of annual reports required by the County, in a format approved by the County, with respect to all services and programs performed at the Facility and all costs and expenses incurred pursuant to th eir respective operational agreement.

2. Data-Sharing. The County shall provide the City Parties with Homeless Management Information System (HMIS) project-level data on a quarterly basis.

The data submission shall include, at a minimum, information on client demographics; services provided; bed utilization records by jurisdiction; project 489
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enrollments and exits; recidivism rates within six (6) to twelve (12) months; housing outcomes and cost incurred per outcome. Data shall be submitted in a format approved by the City Parties and within fifteen (15) days following the end of each quarter. The City Parties reserve the right to request additional HMIS data or performance reports as necessary to evaluate program outcomes and compliance with funding requirements.

K. Financial Audit. The County shall annually conduct a financial audit of Facility Operator’s financial records related to the performance of this MOU.

1. Frequency of Audit . Such audits may be conducted by the County or its authorized representatives at reasonable times during normal business hours upon providing reasonable written notice to vendors. Additional audits may be conducted upon reasonable request by the Parties o r in response to security incidents.

2. Scope and Methodology. The purpose of such audits is to ensure compliance with the terms of this MOU and to verify the accuracy of vendors’ performance.

The audit shall be conducted in accordance with industry best practices and any relevant standards specified in this MOU.

3. Access and Documentation. Vendors shall provide the County or its authorized representatives with access to all relevant records, documents and facilities necessary to conduct each annual audit. Documents to be audited shall include, but not be limited to invoices, contracts, quality control records, and any other documentation pertinent to the audit scope.

4. Reporting and Remediation . Following completion of each annual audit, the County shall report to the Oversight Committee regarding the performance of the vendor, including any identified discrepancies, non -compliance issues, or areas for improvement.

5. Vendor Compliance/Non -compliance. The County shall be responsible for addressing issues of non -compliance with the vendor and ensuring timely implementation of corrective actions. The County shall work with the vendor to develop and monitor corrective action plans and take enforcement measures as necessary to ensure full compliance with this MOU and applicable operational agreements.

6. Confidentiality of Records . Parties agree to maintain confidentiality of any proprietary, sensitive, confidential, or patient/client information disclosed during the annual audit. All audit -related findings and communications shall be treated as confidential, unless otherwise required by law or regulating authorities.

7. Costs.
a. Audit Costs. The County shall bear all costs associated with the annual audit described in this Section V.K. The County shall not charge the City Parties for any expenses directly related to conducting or procuring the annual audit of the Facility Operator’s financial records. b. Administrative Fee. Separately, the County may assess an administrative fee to recover reasonable costs associated with its management and oversight of the Facility, including fiscal administration, contract management, compliance monitoring, and coordination of reporting 490
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requirements. Any such administrative fee shall not exceed a reasonable percentage of total operating costs and shall be disclosed annually to the Oversight Committee as part of the County’s presentation of the Facility’s annual operating budget.

8. Dispute Resolution. Any disputes arising from audit findings or related matters shall be resolved in accordance with dispute resolutions agreed to between the County and vendors, and consistent with the broader dispute resolution process set forth in Section IX.J of this MOU. The County shall make reasonable efforts to mediate and resolve audit -related concerns in collaboration with the Facility Operator and the affected City Parties prior to escalation L. Oversight Committee. An Oversight Committee is hereby established, comprised of one (1) leadership representative from each participating jurisdiction, who shall be either the City Manager, Chief Executive Officer, or an Elected Official from such jurisdiction. The Oversight Committee shall provide high -level oversight of this MOU and ensure the effective deliverance of the mission. The Oversight Committee shall have the authority to review overall program performan ce, strategic direction, and compliance wi th the terms of this MOU. The Oversight Committee shall meet at least once annually to fulfill its duties under this MOU.

M. Operations Committee. An Operations Committee is hereby established, comprised of one (1) representative from each participating jurisdiction who has technical knowledge of homeless and/or housing issues. The Operations Committee shall provide guidance on policy matters, regional collaboration efforts, and referral processes. The Operations Committee shall review statistical reports on a monthly basis and shall meet monthly to fulfill its duties under this MOU. The Operations Committee may make recommendations to the Oversight Committee regarding operational improvements, policy adjustments, and program effectiveness measures.

1. Committee Representation . Each participating jurisdiction shall designate its representatives to both the Oversight Committee and Operations Committee within thirty (30) days of executing this MOU. Jurisdictions may change their designated representatives upon written notice to a ll other Parties, provided that replacement representatives meet the qualifications set forth in this MOU.

2. County Responsibilities. In addition to producing and delivering the agenda to the City Parties and conducting meetings of the Committees, the County shall be tasked with the following:
a) Facilitate communication and discussion during Committee meetings. b) Serve as public information officer related to actions of the Committees and matters related to the operation and management of the Facility. c) Provide research as needed for the Committees.
d) Recommend policies for review or development, and ensure existing policies comply with all local, state and federal laws and guidelines by staying up to date with relevant laws and regulations.
e) Administer a grants program for management and operation of the Facility, report to the Committees on available grants, oversee application for state and federal grants, and retain, disburse or seek reimbursement of grant funds as applicable.
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f) Require the Facility vendor for operations and management to submit an annual budget and present the annual budget to the Oversight Committee for review and consideration.

3. City Parties Responsibilit ies. In addition to serving in an advisory role to the County, the City Parties shall be tasked with the following:
a) Review Operations Committee agenda materials and participate in meetings.
b) Provide policy recommendations and review current policies as recommended by the County.
c) Provide grant recommendations.
d) Review and consider the Facility vendor for operations and management’s annual budget.
e) Serve as ambassadors to further the Facility’s mission and vision.

VI. SCOPE OF SERVICES

The Facility will operate as a referral -only, low-barrier emergency shelter with comprehensive services designed to support individuals experiencing homelessness in stabilizing and transitioning to permanent housing. The Facility will be open 24 hours a day, 7 days a week, 365 days per year, and will include three core program components: Emergency Shelter Services, Recuperative Care Services, and Sobering Center Services.

A. Emergency Shelter Services
The Facility will provide congregate and non-congregate emergency shelter accommodations for unhoused individuals referred by participating jurisdictions. Services will include meals, hygiene and laundry facilities, intensive case management, housing navigation, access to public benefits, life sk ills development, transportation assistance, and coordination with the Coordinated Entry System (CES).

B. Recuperative Care Services
Recuperative care addresses the critical gap between hospital discharge and safe housing for homeless individuals who require continued medical recovery but do not need acute hospital -level care. The Facility shall operate as a recuperative care facility providing temporary residential accommodations, basic medical oversight, medication management, wound care, assistance with activities of daily living, case management, and care coordination. These services are designed for homeless individuals recovering from illness, injury, surgery, or other acute medical conditions who cannot safely recover in traditional shelter environments or on the streets, with the goal of supporting complete medical recovery and facilitating transition to appropriate long-term housing solutions.

C. Sobering Center Services
The Facility will include a monitored space for individuals under the influence of alcohol or other substances who do not require hospitalization. Services will include medical monitoring, crisis intervention, substance use disorder referrals, and coordination with law enforcement and emergency services.

D. Operations and Access Protocols
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The Facility will not accept walk-ins. All guests must be referred by an approved entity. A bed reservation system will be maintained to manage referrals and ensure capacity coordination. Upon discharge —whether voluntary or involuntary —the Facility Operato r will coordinate alternate housing placement or provide return transportation to the originating city , except in cases involving individuals deemed violent or dangerous, in which case coordination with appropriate agencies (e.g., law enforcement, behavio ral health, probation/parole) will occur.

E. Commercial Kitchen and Support Services
The Facility will have a commercial kitchen capable of preparing up to 600 meals daily, accommodating dietary needs and complying with applicable food safety regulations.

Guests will also have access to medical and behavioral health services, substance use disorder treatment ref errals, discharge planning, aftercare coordination, and benefits enrollment. Services will be delivered in accordance with an Operations Plan developed by the County and the Facility Operator, reviewed by the Operations Committee, and approved by the host jurisdiction.

F. Compliance and Oversight

1. Low Barrier . The Facility shall operate as a low -barrier navigation center accessible to homeless individuals and families regardless of income, mental health status, or substance use disorders. The Facility shall accommodate residents' personal belongings, pets, and partners within operational capacity.

Barriers to entry shall be minimal, and case managers will provide individualized assessments and service plans based on each person's needs and available resources to support housing stability.

2. Facility Operations Parameters. The Operations Plan shall establish the Facility as a coordinated entry navigation center with the following operational requirements:
a) Admissions Process. The Facility shall not accept walk-in admissions. All prospective residents must be referred through a participating jurisdiction, law enforcement or approved healthcare provider and transported by an agency, department, or organization that has been authorized by the County or a participating City Party to conduct outreach and make referrals to the Facility, before admission can occur.
b) Resident Movement. Residents may leave the premises for activities that support their housing stability and personal well -being, including but not limited to healthcare appointments, employment opportunities, educational programs, family reunification efforts, faith -related activities, and other case plan objectives, subject to coordination with Facility staff and available transportation arrangements. For school -age children at the Facility, the Facility Operator shall coordinate with the appropriate local education agency, in accordance with the federal McKinney -Vento Homeless Assistance Act, to ensure safe and reliable transportation to and from school and related educational activities.
c) Discharge and Transport. When a resident is discharged for non - compliance with facility requirements or voluntarily chooses to leave, the 493
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Facility Operator shall coordinate an alternative housing placement if possible. If not available, the Facility Operator will arrange transportation back to the city of origin. Discharges of residents who are deemed violent or otherwise dangerous shall be coordinated with appropriate agencies including law enforcement, behavioral health services, and/or probation or parole officers as necessary for public safety.
d) Resident Agreement. Prior to admission, all residents must acknowledge and agree in writing to Facility requirements and applicable provisions of the Operations Plan.
e) Plan Modifications. The operational provisions required by this section may not be modified or deleted without advance written approval of all Parties. Notwithstanding the foregoing, the “No Walk-In / No Walk-Out” requirement described in Section VI.F.2(a) and the “Return to City of Origin” provision described in Section VI.F.2(c) are mandatory and shall not be amended, modified, or eliminated under any circumstances.

G. Referral Policies and Protocols. Each Party agrees to develop comprehensive policies and protocols for referral of unhoused persons for their respective jurisdiction to the Facility. Policies and protocols developed by the City Parties shall comply with referral standards established by the County, the Continuum of Care’s Coordinated Entry System (CES) and may be subject to review and approval by the Operations Committee.

1. Bed Reservation System . A bed reservation system shall be established and maintained to coordinate Facility capacity and ensure efficient placement of referred individuals and families. Referring entities must secure a bed reservation through the CES prior to transportation to the Facility. Access to the bed reservation system may also be granted to prior identified entities, as approved by the County and the Operations Committee, for the purpose of coordinating referrals and monitoring placement activity. Bed reservations shall be valid for a period not to exceed twenty-four (24) hours from the time of confirmation.

2. Transportation Responsibility . Transportation to the Facility shall be coordinated by the referring entity (which may include an approved outreach entity). The referring entity shall also coordinate arrival times with Facility staff and shall ensure timely delivery of referred persons within the bed reservation timeframe.

3. Waivers and Documentation. Waivers releasing and absolving the Parties of any and all liabilities shall be provided prior to admission to the Facility.

VII. RESPONSIBILITIES OF THE CITY PARTIES
A. The City Parties agree to a pro rata share of costs related to Facility management as detailed in Sections VII.C and VII.D.

B. Bed Allocation Based on Investment Level. Emergency bed allocations per investment level are as follows:

1. Two Hundred Thousand Dollars ($200,000.00): five (5) beds 494
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2. Two Hundred Fifty Thousand Dollars ($250,000.00): seven (7) beds

3. Three Hundred Thousand Dollars ($300,000.00) and above: ten (10) beds

4. The balance of general beds shall be equally allocated to the County and City of Fontana. The County beds will be utilized via referrals from County departments.

5. Investments below Two Hundred Thousand Dollars ($200,000) will not receive a bed allocation and will have access to unused beds if available.

6. Additional bed capacity may be purchased by City Parties at a rate of one hundred twenty-five dollars ($125.00) per bed, per night. Charges will be invoiced monthly by the Facility Operator and must be paid in full within thirty (30) days of receipt.

C. The contributions of the City Parties for the first year of the operation of the Facility, payable to the County on or before the Effective Date, shall total Three Million Dollars ($3,000,000.00) and shall be allocated among the City Parties on the basis g enerally of the size and population of each City Party and the estimated unhoused population within each jurisdiction for the year prior to the Effective Date. The prorated payment allocations for the initial operational year shall be as follows:

1. Chino: Two Hundred Thousand Dollars ($200,000.00)

2. Chino Hills: Two Hundred Thousand Dollars ($200,000.00)

3. Fontana: One Million Dollars ($1,000,000.00)

4. Montclair: Two Hundred Fifty Thousand Dollars ($250,000.00)

5. Ontario: Two Hundred Fifty Thousand Dollars ($250,000.00) annually for the first three (3) operational years

6. Rancho Cucamonga: Three Hundred Thousand Dollars ($300,000.00)

7. Rialto: Two Hundred Fifty Thousand Dollars ($250,000.00)

8. Upland: Two Hundred Fifty Thousand Dollars ($250,000.00)

9. County: Four Hundred Seventy-Five Thousand Dollars ($475,000.00) D. For the City of Ontario, this contribution shall be fixed at $250,000 per year for the first three (3) years of Facility operations. After the conclusion of the third year, Ontario shall have no further obligation to provide funding and shall not be entitled to refer or utilize the Facility thereafter, unless Ontario elects to extend the Agreement beyond three (3) years in accordance with Section III.A.

E. Prior to payment, City Parties shall identify the source of funds for payment to ensure the eligible use.

F. Thereafter, the contributions of the City Parties, payable to the County prior to each fiscal year in semi-annual amounts or an annual lump sum payment at the election of each City Party shall be adjusted in July of each fiscal year for the duration of this MOU by the value of the immediately preceding January Consumer Price Index for All Urban Consumers for Riverside-San Bernardino-Ontario, not to exceed five percent (5%) annually. Following 495
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the second (2nd) year of the operation of the Facility, the annual prorated payment allocations of each City Party for subsequent fiscal years shall be adjusted in accordance with the information provided by the most recent Point-in-Time Count, provided that the total annual contributions of all City Parties shall not be less than Three Million Dollars ($3,000,000.00) per year. Agreed upon adjustments, if any, shall be based on good faith negotiations and written agreements between the Parties after review and audit of the actual usage by each Party and the actual cost of operation of the facility for the prior two- year period.

For purposes of this section, a “fiscal year” means the twelve -month period beginning July 1 and ending June 30 of the following year.

G. An annual evaluation of City Party cost allocations shall include a review of grant funds obtained for the Facility during the prior two -year period, and adjustments to City Party contributions shall reflect the impact of such grant funds. The annual evaluation shall also include a utilization review of Facility services by each City Party, and adjustments to contributions may be considered in light of actual usage levels.

H. In the event that the County secures state, federal, or private grant funding that reduces the net operating costs of the Facility, the Parties agree that the annual prorated payment allocations of the City Parties shall be reanalyzed in good faith and adj usted downward to reflect the reduced costs. Any such adjustments shall be applied proportionally based on each City Party’s contribution level, unless otherwise agreed to in writing by all Parties.

I. Except as otherwise expressly provided in this MOU, t he responsibilities of the City Parties, and each of them, shall be limited to the foregoing monetary contributions. The City Parties shall not be responsible for any of the costs and expenses associated with the establishment, management and operation of the Facility and the provision of services at the Facility in excess of the annual contribution amounts set forth in this Section VII.

In addition, none of the City Parties shall be responsible for the provision of any services at the Facility.

VIII. PRINCIPAL REPRESENTATIVES AND NOTICE
A. City Manager or his/her designee is designated as the principal representative of the City of Chino for purposes of communicating with said city on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

B. City Manager or his/her designee is designated as the principal representative of the City of Chino Hills for purposes of communicating with said city on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

C. City Manager or his/her designee is designated as the principal representative of the City of Fontana for purposes of communicating with said city on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

D. City Manager or his/her designee is designated as the principal representative of the City of Montclair for purposes of communicating with said city on any matter associated with 496
PAGE 15 OF 26
the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

E. City Manager or his/her designee is designated as the principal representative of the City of Ontario for purposes of communicating with said city on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

F. City Manager or his/her designee is designated as the principal representative of the City of Rancho Cucamonga for purposes of communicating with said city on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

G. City Manager or his/her designee is designated as the principal representative of the City of Rialto for purposes of communicating with said city on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

H. City Manager or his/her designee is designated as the principal representative of the City of Upland for purposes of communicating with said city on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties, or any of them, in connection with this MOU.

I. Chief Executive Officer (CEO) or his/her designee is designated as the principal representative of the County for purposes of communicating with the County on any matter associated with the performance of the services set forth in this MOU and for purposes of any notice provided to the Parties or any of them, in connection with this MOU.

J. Any Party may designate another individual as its principal representative by giving written notice of such designation to the other Parties.

K. Notice. All written notices shall also be sent to the City Clerk of the respective City Party or the Clerk of the Board of Supervisor s for the County. Notice shall be deemed communicated two (2) County working days from the date of mailing.

IX. MISCELLANEOUS
A. Compliance with Laws. The Parties agree to be bound by all applicable, federal, state, and local laws, ordinances, regulations, and directives as they pertain to the performance of this MOU.

B. Governing Law. This MOU has been negotiated and executed in the State of California, and its validity and any of its terms or provisions, as well as the rights and duties of the Parties under the MOU, shall be governed by and construed under the laws of the State of California. This MOU is intended by each Party hereto to be deemed and construed to have been jointly prepared by the Parties, and the Parties hereby expressly agree that any uncertainty or ambiguity existing herein shall not be interpreted against any of them.

C. Entire Agreement . This MOU supersedes any and all prior or contemporary agreements, either oral or written, between the Parties or any of them with respect to the subject matter of this MOU. This MOU contains all of the covenants and agreements 497
PAGE 16 OF 26
between the Parties with respect to the subject matter of this MOU, and each Party hereto acknowledges that no representations, inducements, promises or agreements have been made by or on behalf of any Party, except those covenants and agreements in this MOU.

D. Amendment. No agreement, statement or promise with respect to the subject matter of this MOU which is not contained in this MOU shall not be valid or binding on any Party without a valid modification or amendment to this MOU in accordance with the approval of the governing bodies of each Party and pursuant to a written instrument signed by all Parties.

E. Cooperation of the Parties . The Parties shall cooperate fully in the execution of any other documents and the performance of any other actions required to effectuate and implement this MOU and its terms and intent.

F. Venue. In the event of any legal action , suit or proceeding to enforce or interpret this MOU, the sole and exclusive venue shall be a court of competent jurisdiction located in San Bernardino County , California, and the Parties agree to and hereby submit to the jurisdiction of such court, notwithstanding California Code of Civil Procedure section 394.

Furthermore, the Parties specifically agree to waive any and all rights to request that an action be transferred for trial to another county.

G. Assignment. This MOU shall not be assigned by any Party without the prior written consent of all other Parties.

H. Relationship of the Parties. Nothing herein is intended or shall be construed as creating the relationship of employer and employee, or principal and agent, between any Party, or any Party’s employees or agents. Each Party shall retain all authority for the rendition of services, standards of performance, control of personnel, and other matters incident to the performance of services pursuant to this MOU.

I. Severability. If any one or more of the sentences, clauses, paragraphs, or sections contained herein is declared invalid, void or unenforceable by a court of competent jurisdiction, the same shall be deemed severable from the remainder of this MOU and shall not affect, impair or invalidate any of the remaining provisions contained herein.

J. Informal Dispute Resolution. In the event the County determines that service is unsatisfactory, or in the event of any other dispute, claim, question or disagreement arising from or relating to this Contract or breach thereof, the parties hereto shall use their best efforts to settle the dispute, claim, question or disagreement. To this effect, they shall consult and negotiate with each other in good faith and, recognizing their mutual interests, attempt to reach a just and equitable solution satisfactory to both parties.

K. Attorneys’ Fees and Costs. If any legal action is instituted to enforce any party’s rights hereunder, each party shall bear its own costs and attorney’s fees, regardless of who is the prevailing party. This paragraph shall not apply to those costs and attorney’s fees directly arising from a third-party legal action against a party hereto and payable under Indemnification and Insurance Requirements.

L. Review by Attorneys. Each Party hereto has had its attorney(s) review this MOU. Each Party hereto has consulted with its attorney(s) and has negotiated the terms of this MOU based on such consultation.
498
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M. Authorization of Persons Executing MOU . Each of the Parties to this MOU hereby represent that all necessary and appropriate actions of their governing bodies have been taken to make this MOU a binding obligation of the Parties hereto. The persons executing this MOU warrant that they are duly authorized to execute this MOU on behalf of and bind the Parties each purports to represent.

N. Time is of the Essence . Time is of the essence in the performance of the obligations under this MOU.

O. Counterpart Execution. This MOU may be executed in counterparts. Said counterparts shall together constitute one and the same MOU. This MOU shall have the same force and effect as if the original had been signed by all Parties.

499
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

SAN BERNARDINO COUNTY

Dawn Rowe, Chair, Board of Supervisors
Dated:

SIGNED AND CERTIFIED THAT A COPY OF THIS

DOCUMENT HAS BEEN DELIVERED TO THE

CHAIRMAN OF THE BOARD
Lynna Monell
Clerk of the Board of Supervisors
of the San Bernardino County

By
Deputy

500
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF CHINO

By:

(Authorized signature - sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 13220 Central Avenue

Chino, CA 91710
Approved as to form:
(City Attorney)

501
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF CHINO HILLS

By:

(Authorized signature - sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 14000 City Center Drive

Chino Hills, CA 91709
Approved as to form:
(City Attorney)

502
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF FONTANA

By:

(Authorized signature - sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 8353 Sierra Avenue

Fontana, CA 92335
Approved as to form:
(City Attorney)

503
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF MONTCLAIR

By:

(Authorized signature – sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 5111 Benito Street

Montclair, CA 91763
Approved as to form:
(City Attorney)

504
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF ONTARIO

By:

(Authorized signature – sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 303 E B Street

Ontario, CA 91764
Approved as to form:
(City Attorney)

505
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF RANCHO CUCAMONGA

By:

(Authorized signature - sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 10500 Civic Center Drive

Rancho Cucamonga, CA 91730
Approved as to form:
(City Attorney)

506
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF RIALTO

By:

(Authorized signature – sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 150 S Palm Avenue

Rialto, CA 92376
Approved as to form:
(City Attorney)

507
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IN WITNESS WHEREOF, the Parties have each caused this MOU to be executed as of the dates set forth below by its duly authorized officers, on its behalf.

CITY OF UPLAND

By:

(Authorized signature - sign in blue ink)
Name:
(Print or type name of person signing contract)

Title:

Dated:
(Print or Type)

Address: 460 N Euclid Avenue

Upland, CA 91786
Approved as to form:
(City Attorney)

508
City of Fontana
Action Report
City Council Meeting
8353 Sierra Avenue
Fontana, CA 92335
File #: 25-0529 Agenda Date: 10/28/2025
Agenda #: A. Category: Public Hearing
FROM:

Planning Department
SUBJECT:

Appeal No. 25-0002: Request to overturn the Planning Commission’s August 19, 2025 decision adopting a Categorical Exemption per Section 15332 (Class No. 32) and approving Conditional Use Permit No. 24-0022, and Design Review No. 23-0024 for the development of a mixed use project (163 multi-family units and 5,000 square feet of commercial retail) within the R-5 zoning district that includes a five-story 83,125 square foot mixed-use building and associate improvements, on a 3.5 acre site located on the northeast corner of Foothill Boulevard and Sultana Avenue and identified as Assessor Parcel Numbers 11110-331-13 and 1110-331-25.

RECOMMENDATION:

Deny Appeal No. 25-0002, thereby upholding the Planning Commission’sdecision on August 19, 2025, approving, pursuant to a categorical exemption under California Environmental Quality Act (CEQA) Section No. 15332 (Class No. 32. Infill Development), Conditional Use Permit No. 24-0022 and Design Review No. 23-0024 for the development of a five-story mixed-use project including 163 multi-family units and 5,000 square feet of commercial retail within the R-5 zoning district and for the site and architectural review of a five-story 83,125 square foot mixed-use building and associated improvements on a 3.5 acre site located on the northeast corner of Foothill Boulevard and Sultana Avenue (APN Nos.: 1110-331-13 and 1110-331-25).

APPELLANT / APPEAL APPLICANT:

Appeal No. 25-0002: Supporters Alliance for Environmental Responsibility, 1939 Harrison Street, Suite No. 150, Oakland, CA 94612.

COUNCIL GOALS:
· Promote economic development by concentrating on job creation. · Promote economic development by establishing a quick, consistent development process. · Promote economic development by being business friendly at all levels and striving to constantly improve the city's competitiveness.

DISCUSSION:

On August 26, 2025, the City received an application for an appeal (Appeal No. 25-0002) from Supporters Alliance for Environmental Responsibility. The application is a request to overturn the Planning Commission adoption of a Categorical Exemption, Section 15332, Class No. 32, and approval of the development of a five-story mixed-use project (163 multi-family units and 5,000 square feet of commercial retail) within the R-5 zoning district totaling 83,125 square feet.

Project entitlements include Conditional Use Permit No. 24-0022 and Design Review No. 23-0024 City of Fontana Printed on 10/22/2025Page 1 of 3
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File #: 25-0529 Agenda Date: 10/28/2025
Agenda #: A. Category: Public Hearing
Project entitlements include Conditional Use Permit No. 24-0022 and Design Review No. 23-0024 and adoption of a Categorical Exemption Section 15332 (Class No. 32) for the development of a five- story mixed use project (163 multi-family units and 5,000 square feet of commercial retail) within the R-5 zoning district totaling 83,125 square foot mixed-use building and associate improvements, on a

3.5 acre site located on the northeast corner of Foothill Boulevard and Sultana Avenue (APNs: 11110- 331-13 and 1110-331-25).

Background:

The Planning Commission held a public hearing on August 19, 2025 and approved Conditional Use Permit No. 24-0022 and Design Review No. 23-0024, pursuant to a Categorical Exemption under CEQA Section 15332 (Class No. 32), with adoption of Resolution PC Number 2025-027 on a 4-0 vote. The staff report and attachments for the August 19, 2025, Planning Commission hearing for the project, along with meeting minutes, are included as Attachment Nos. 4 and 5, respectively, to this staff report.

Appeal:

Subsequent to the Planning Commission’sAugust 19, 2025, approval of Conditional Use Permit No. 24-0022 and Design Review No. 23-0024, the City received Appeal No. 25-0002 from Supporters Alliance for Environmental Responsibility. In summary, the appellant contends that the terms of the Class No. 32 Exemption do not apply because the Project site has value as habitat for endangered, rare, or threatened species. The appellant also claims that the City should rescind the Project approvals, conduct an initial study, and prepare a new CEQA document, whether a mitigated negative declaration or environmental impact report, to analyze and mitigate the Project’s environmental impacts. Responses to the letters have been prepared to address the issues raised by the appellant (see Attachment No. 3).

The project environmental consultant (Lilburn Corporation), who prepared the CEQA Class No. 32 (In -Fill Development) Categorical Exemption Memorandum for the Mixed-Used Project, has prepared written responses to the applicant’sclaims. The responses explain why the claims raised in the Supporters Alliance for Environmental Responsibility letter were not significant and the Categorical Exemption was appropriate. The detailed response to the claims raised in the appeal finds that none of the comments provide substantial evidence to support the preparedness of an Initial Study/Mitigated Negative Declaration.

FISCAL IMPACT:

None.

MOTION:

Approve staff’s recommendation.

ATTACHMENTS:

1. Vicinity Map

2. Appellant Letter - Support Alliance for Environmental Responsibility Memorandum

3. Applicant’s Environmental Consultant Response to Appeal Letter

4. Planning Commission August 19, 2025, Packet
City of Fontana Printed on 10/22/2025Page 2 of 3
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Agenda #: A. Category: Public Hearing

5. Planning Commission Minutes of August 19, 2025

6. Clerk of the Board Fee Receipt and NOE

7. Public Hearing Notice
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ATTACHMENT NO. 1

VICINITY MAP
DATE: October 28, 2025
CASE: Appeal No. 25-0002
Master Case No. 23-0101

CITY OF FONTANA PLANNING DEPARTMENT

CIT
Sultana Avenue
Foothill Boulevard
Project Site
512

Via Accela Portal

August 26, 2025

Germaine Key
City Clerk’s Office
City of Fontana
8353 Sierra Avenue
Fontana, CA 92335
[email protected]

Patty Nevins
Director of Planning
City of Fontana
8353 Sierra Avenue
Fontana, CA 92335
[email protected]
[email protected]
Salvador Quintanilla, Senior Planner
Planning Department
City of Fontana
8353 Sierra Avenue
Fontana, CA 92335
[email protected]

Re: Appeal of August 19, 2025, Planning Commission Decision Approving Master Case No. 23-0101 (Conditional Use Permit No. 24-0022, Design Review No. 23-0024) and Class 32 Categorical Exemption

Dear City Clerk Key, Director Nevins, and Planner Quintanilla:

I am writing on behalf of Supporters Alliance for Environmental Responsibility (“SAFER”), regarding Master Case No. 23-0101 (Conditional Use Permit No. 24-0022, Design Review No. 23-0024), which proposes the construction of a mixed-use development consisting of 163 multi-family residential units located on a 3.5 acre site located on the northeast corner of Foothill Boulevard and Sultana Avenue on APNs 1110-331-13 and 1110-331-25 in the City of Fontana (“Project”). Through this letter, SAFER appeals the City of Fontana Planning Commission’s (“City”) August 19, 2025 decision to approve the Project based on the City’s reliance on a Class 32 Categorical Exemption for the Project.

The Planning Commission’s August 19, 2025, decision related to the Project should not be upheld because under the California Environmental Quality Act (“CEQA”), the terms of the Class 32 Exemption do not apply because the Project site has value as habitat for endangered, rare, or threatened species. SAFER requests that the City rescind the Project approvals, conduct an initial study, and prepare a CEQA document, whether a mitigated negative declaration or environmental impact report, to analyze and mitigate the Project’s environmental impacts.

513
Appeal of August 19, 2025, Planning Commission Decision Approving Master Case No. 23- 0101 (Conditional Use Permit No. 24-0022, Design Review No. 23-0024) and Class 32 Categorical Exemption
August 26, 2025

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Fontana City CouncilOctober 28, 2025

Fontana City Council
October 28, 2025