Agenda packet — Foster City City Council, October 2, 2023 (part 1 of 2)

CITY OF FOSTER CITY/
ESTERO MUNICIPAL IMPROVEMENT DISTRICT
FOSTER CITY COUNCIL CHAMBERS
620 FOSTER CITY BOULEVARD
FOSTER CITY, CALIFORNIA
MEMBERS OF THE PUBLIC THAT WISH TO ATTEND AND/OR PARTICIPATE IN A MEETING MAY DO SO IN PERSON OR BY JOINING THE ZOOM MEETING HTTPS://FOSTERCITY ORG.ZOOM.US/J/82592136594 PUBLIC COMMENTS WILL BE ACCEPTED BOTH IN PERSON AND VIA ZOOM MEETING. ANY EMAILS SENT TO [email protected] WILL BE PROVIDED TO THE CITY COUNCIL PRIOR TO THE MEETING.

To Attend the Meeting in Person:

Location: 620 Foster City Blvd, Foster City, California, 94404 To Provide Public Comment in Person:

Members of the public wishing to speak will be asked to fill out a Request to Speak Form. Forms will be accepted until the staff presentation on an agenda item ends, or until the public comment period on non agenda items is closed. For special meetings, public comment is limited to item(s) on the agenda only.

To Observe the Meeting via Teleconference/Video Conference:

To access the meeting by computer / smartphone, go to: https://fostercityorg.zoom.us/j/82592136594 To dialin via phone:
16694449171 or
14086380968
And enter Webinar ID: 825 9213 6594
To Participate in the Meeting by Providing Public Comment via Teleconference/Video Conference:

During the Meeting: Live verbal public comments may be made by members of the public joining the meeting via Zoom. Zoom access information is provided above. Use the “raise hand” feature (for those joining by phone, press *9 to “raise hand”) during the public comment period for the agenda item you wish to address. The Zoom Host will call on people to speak by name provided or last 4 digits of phone number for dialin attendees. Please clearly state your full name for the record at the start of your public comment.

Before the Meeting: Written public comments for the record may be submitted in advance by 4:00 p.m. the day of the meeting by email to: [email protected] and will be made part of the written record but will not be read verbally at the meeting. Written public comments submitted by email should adhere to the following:

Clearly indicate the Agenda Item No. or specify “Public” in the Subject Line for items not on the agenda Include the submitter’s full name (Recommended but not required) Written public comments received by 4:00 p.m. the day of the meeting will be provided in their entirety to the City Council prior to the meeting and will be made part of the written record but will not be read verbally at the meeting.

Written public comments will be posted to the City’s website for review prior to the meeting.

AGENDA
Monday, October 02, 2023 6:30 PM
REGULAR MEETING AS CITY COUNCIL/EMID BOARD OF

DIRECTORS

1. CALL TO ORDER

2. PLEDGE OF ALLEGIANCE

3. ROLL CALL
Councilmembers/ex officio EMID Directors Sam Hindi, Stacy Jimenez, Art Kiesel, Patrick Sullivan, and Mayor/President Jon Froomin

4. SPECIAL PRESENTATIONS

4.1. A Proclamation Declaring the Week of October 814, 2023 as "Fire Prevention Week"

4.2. A Proclamation Recognizing October 9, 2023 as “Indigenous Peoples' Day”

5. PUBLIC
Government Code Section 54954.2 E (3) precludes the City Council from discussing or acting upon any topic initially presented during the “Public” portion of the agenda.

Information may be received, placed on a future agenda, or referred to the appropriate City staff. FCMC 2.08.240 Addressing the Council. "...Each person desiring to address the Council shall step up to the public rostrum after being recognized to speak by the presiding officer, shall state his/her name and address for the record, state the subject he/she wishes to discuss, state who he/she is representing if he/she represents an organization or other persons and, unless further time is granted by majority vote of the Council, shall limit his/her remarks to three minutes. The City Council may vary the time limit for any speaker, if it deems this necessary." Speakers may join the Zoom meeting via the meeting link and using the “raise hand” feature and the Zoom host will call on people.

6. CITY/EMID CONSENT CALENDAR
All matters listed under Consent Calendar are considered to be routine by the City Council/EMID Board of Directors and will be enacted by one motion unless removed by a member of the Council/Board, staff, or public. There will be no separate discussion on these items unless a citizen or a Council/Board member so requests.

This section includes minutes, ordinances for adoption, resolutions for adoption, and other business as needed. If discussion is required, that item will be removed from the Consent Calendar and will be considered separately after approval of the remaining items on the Consent Calendar. Vote may be by roll call.

6.1. City/EMID Regular Meeting Minutes of September 18, 2023

6.2. An Ordinance of the City of Foster City Making Various Text Amendments to Title 17, “Zoning” of the Foster City Municipal Code Chapter 17.78, “Accessory Dwelling Units” and Finding the Amendments Exempt From the California Environmental Quality Act RZ20230006 (First Reading on September 18, 2023)
a) Adopt Ordinance

6.3. An Ordinance of the City of Foster City Making Text Amendments to Title 17, “Zoning” of the Foster City Municipal Code Chapter 17.86, “Density Bonuses”, to Ensure Compliance With Recent Changes in State Law and Finding the Amendments Exempt From the California Environmental Quality Act – RZ20230007 (First Reading on September 18, 2023) a) Adopt Ordinance

6.4. a) A Resolution of the City Council of the City of Foster City Approving the Memorandum of Understanding for the American Federation of State, County and Municipal Employees (AFSCME), Council 57, Local 829 Effective July 1, 2023 and Approving a Supplemental Appropriation for an Aggregate $364,638 to Various Funds in Fiscal Year 20232024; and b) A Resolution of the Board of Directors of the Estero Municipal Improvement District Approving the Memorandum of Understanding for the American Federation of State, County and Municipal Employees (AFSCME), Council 57, Local 829 Effective July 1, 2023 and Approving a Supplemental Appropriation for an Aggregate $364,638 to Various Funds in Fiscal Year 20232024
c) Staff Report
d) Adopt Resolutions

6.5. a) A Resolution of the City Council of the City of Foster City Approving and Adopting the Pay Plan for Fiscal Year 20232024; and
b) A Resolution of the Board of Directors of the Estero Municipal Improvement District Approving and Adopting the Pay Plan for Fiscal Year 20232024
c) Staff Report
d) Adopt Resolutions

6.6. By Minute Order, Review and Accept the Independent Citizens’ Bond Oversight Committee’s Annual Report for FY 20222023 to the City Council Regarding the Expenditures of Bond Proceeds Associated with the Levee Protection Planning and Improvements Project (CIP 327657) a) Staff Report
b) Action – By Minute Order, Accept Report

6.7. Cancel the January 2, 2024 Regular Meeting of the City Council/Board of Directors of the City of Foster City/Estero Municipal Improvement District

7. NEW BUSINESS

7.1. Consideration of Proposed Solid Waste Rates for the FiveYear Period of 20242028
a) Staff Report
b) Action – By Minute Order, Provide Policy Direction

8. COMMUNICATIONS

8.1. City/District Warrants of Demands were Processed and Issued on September 14, 2023
a) Information Item Only
b) No Action Required

9. CITY/DISTRICT MANAGER REPORTS, COUNCIL/BOARD STATEMENTS AND REQUESTS, AND COUNCIL LIAISON REPORTS
City/District Manager and Council/EMID Board Members report on their various assignments and liaison roles and Council/EMID Board requests for scheduling future items.

10. ADJOURNMENT
The public is invited to attend.

Any attendee wishing special accommodations at the meeting should contact the City Clerk’s Department at (650) 2863250 or [email protected] at least 48 hours in advance of the meeting. The City has a procedure for receiving and swiftly resolving requests for reasonable accommodation for individuals with disabilities, consistent with the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12132), and resolving any doubt in favor of accessibility.

That procedure for receiving and resolving requests for accommodation is available at the City Clerk’s Office. All meetings are conducted in a manner consistent with applicable civil rights and nondiscrimination laws.

Any writings or documents provided to a majority of the City Council or EMID Board regarding any item on this agenda after the agenda packet was distributed will be made available for public inspection in the City Clerk Department at City Hall located at 610 Foster City Boulevard during normal business hours and at the meeting.

City Council meetings on FCTV on Comcast Channel 27 and AT&T Channel 99:

LIVE every 1st and 3rd Monday of the month
REPLAY next day at 1:00 pm (that week only)
REPLAY Saturday at 5:00 pm (only on Saturday the week the actual meeting occurs) City Council meetings on https://www.fostercity.org/community/page/fctvlivestream:

STREAMED LIVE every 1st and 3rd Monday of the month
City Council meetings ondemand:
https://www.fostercity.org/agendasandminutes

1 CITY OF FOSTER CITY/
ESTERO MUNICIPAL IMPROVEMENT DISTRICT
FOSTER CITY COUNCIL CHAMBERS
620 FOSTER CITY BOULEVARD
FOSTER CITY, CALIFORNIA
MEMBERS OF THE PUBLIC THAT WISH TO ATTEND AND/OR PARTICIPATE IN A MEETING MAY DO SO IN PERSON OR BY JOINING THE ZOOM MEETING HTTPS://FOSTERCITY ORG.ZOOM.US/J/82592136594 PUBLIC COMMENTS WILL BE ACCEPTED BOTH IN PERSON AND VIA ZOOM MEETING. ANY EMAILS SENT TO [email protected] WILL BE PROVIDED TO THE CITY COUNCIL PRIOR TO THE MEETING.

To Attend the Meeting in Person:

Location: 620 Foster City Blvd, Foster City, California, 94404 To Provide Public Comment in Person:

To Observe the Meeting via Teleconference/Video Conference:

Written public comments will be posted to the City’s website for review prior to the meeting.

AGENDA
Monday, October 02, 2023 6:30 PM
REGULAR MEETING AS CITY COUNCIL/EMID BOARD OF

DIRECTORS

1. CALL TO ORDER

2. PLEDGE OF ALLEGIANCE

3. ROLL CALL
Councilmembers/ex officio EMID Directors Sam Hindi, Stacy Jimenez, Art Kiesel, Patrick Sullivan, and Mayor/President Jon Froomin

4. SPECIAL PRESENTATIONS

4.1. A Proclamation Declaring the Week of October 814, 2023 as "Fire Prevention Week"

4.2. A Proclamation Recognizing October 9, 2023 as “Indigenous Peoples' Day”

5. PUBLIC
Government Code Section 54954.2 E (3) precludes the City Council from discussing or acting upon any topic initially presented during the “Public” portion of the agenda.

6.1. City/EMID Regular Meeting Minutes of September 18, 2023

6.7. Cancel the January 2, 2024 Regular Meeting of the City Council/Board of Directors of the City of Foster City/Estero Municipal Improvement District

7. NEW BUSINESS

7.1. Consideration of Proposed Solid Waste Rates for the FiveYear Period of 20242028
a) Staff Report
b) Action – By Minute Order, Provide Policy Direction

8. COMMUNICATIONS

8.1. City/District Warrants of Demands were Processed and Issued on September 14, 2023
a) Information Item Only
b) No Action Required

10. ADJOURNMENT
The public is invited to attend.

City Council meetings on FCTV on Comcast Channel 27 and AT&T Channel 99:

STREAMED LIVE every 1st and 3rd Monday of the month
City Council meetings ondemand:
https://www.fostercity.org/agendasandminutes

2 CITY OF FOSTER CITY/
ESTERO MUNICIPAL IMPROVEMENT DISTRICT
FOSTER CITY COUNCIL CHAMBERS
620 FOSTER CITY BOULEVARD
FOSTER CITY, CALIFORNIA
MEMBERS OF THE PUBLIC THAT WISH TO ATTEND AND/OR PARTICIPATE IN A MEETING MAY DO SO IN PERSON OR BY JOINING THE ZOOM MEETING HTTPS://FOSTERCITY ORG.ZOOM.US/J/82592136594 PUBLIC COMMENTS WILL BE ACCEPTED BOTH IN PERSON AND VIA ZOOM MEETING. ANY EMAILS SENT TO [email protected] WILL BE PROVIDED TO THE CITY COUNCIL PRIOR TO THE MEETING.

To Attend the Meeting in Person:

Location: 620 Foster City Blvd, Foster City, California, 94404 To Provide Public Comment in Person:

To Observe the Meeting via Teleconference/Video Conference:

Written public comments will be posted to the City’s website for review prior to the meeting.

AGENDA
Monday, October 02, 2023 6:30 PM
REGULAR MEETING AS CITY COUNCIL/EMID BOARD OF

DIRECTORS

1. CALL TO ORDER

2. PLEDGE OF ALLEGIANCE

3. ROLL CALL
Councilmembers/ex officio EMID Directors Sam Hindi, Stacy Jimenez, Art Kiesel, Patrick Sullivan, and Mayor/President Jon Froomin

4. SPECIAL PRESENTATIONS

4.1. A Proclamation Declaring the Week of October 814, 2023 as "Fire Prevention Week"

4.2. A Proclamation Recognizing October 9, 2023 as “Indigenous Peoples' Day”

5. PUBLIC
Government Code Section 54954.2 E (3) precludes the City Council from discussing or acting upon any topic initially presented during the “Public” portion of the agenda.

6.1. City/EMID Regular Meeting Minutes of September 18, 2023

6.7. Cancel the January 2, 2024 Regular Meeting of the City Council/Board of Directors of the City of Foster City/Estero Municipal Improvement District

7. NEW BUSINESS

7.1. Consideration of Proposed Solid Waste Rates for the FiveYear Period of 20242028
a) Staff Report
b) Action – By Minute Order, Provide Policy Direction

8. COMMUNICATIONS

8.1. City/District Warrants of Demands were Processed and Issued on September 14, 2023
a) Information Item Only
b) No Action Required

10. ADJOURNMENT
The public is invited to attend.

City Council meetings on FCTV on Comcast Channel 27 and AT&T Channel 99:

STREAMED LIVE every 1st and 3rd Monday of the month
City Council meetings ondemand:
https://www.fostercity.org/agendasandminutes

3 CITY OF FOSTER CITY/
ESTERO MUNICIPAL IMPROVEMENT DISTRICT
FOSTER CITY COUNCIL CHAMBERS
620 FOSTER CITY BOULEVARD
FOSTER CITY, CALIFORNIA
MEMBERS OF THE PUBLIC THAT WISH TO ATTEND AND/OR PARTICIPATE IN A MEETING MAY DO SO IN PERSON OR BY JOINING THE ZOOM MEETING HTTPS://FOSTERCITY ORG.ZOOM.US/J/82592136594 PUBLIC COMMENTS WILL BE ACCEPTED BOTH IN PERSON AND VIA ZOOM MEETING. ANY EMAILS SENT TO [email protected] WILL BE PROVIDED TO THE CITY COUNCIL PRIOR TO THE MEETING.

To Attend the Meeting in Person:

Location: 620 Foster City Blvd, Foster City, California, 94404 To Provide Public Comment in Person:

To Observe the Meeting via Teleconference/Video Conference:

Written public comments will be posted to the City’s website for review prior to the meeting.

AGENDA
Monday, October 02, 2023 6:30 PM
REGULAR MEETING AS CITY COUNCIL/EMID BOARD OF

DIRECTORS

1. CALL TO ORDER

2. PLEDGE OF ALLEGIANCE

3. ROLL CALL
Councilmembers/ex officio EMID Directors Sam Hindi, Stacy Jimenez, Art Kiesel, Patrick Sullivan, and Mayor/President Jon Froomin

4. SPECIAL PRESENTATIONS

4.1. A Proclamation Declaring the Week of October 814, 2023 as "Fire Prevention Week"

4.2. A Proclamation Recognizing October 9, 2023 as “Indigenous Peoples' Day”

5. PUBLIC
Government Code Section 54954.2 E (3) precludes the City Council from discussing or acting upon any topic initially presented during the “Public” portion of the agenda.

6.1. City/EMID Regular Meeting Minutes of September 18, 2023

6.7. Cancel the January 2, 2024 Regular Meeting of the City Council/Board of Directors of the City of Foster City/Estero Municipal Improvement District

7. NEW BUSINESS

7.1. Consideration of Proposed Solid Waste Rates for the FiveYear Period of 20242028
a) Staff Report
b) Action – By Minute Order, Provide Policy Direction

8. COMMUNICATIONS

8.1. City/District Warrants of Demands were Processed and Issued on September 14, 2023
a) Information Item Only
b) No Action Required

10. ADJOURNMENT
The public is invited to attend.

City Council meetings on FCTV on Comcast Channel 27 and AT&T Channel 99:

STREAMED LIVE every 1st and 3rd Monday of the month
City Council meetings ondemand:
https://www.fostercity.org/agendasandminutes

4 CITY OF FOSTER CITY/
ESTERO MUNICIPAL IMPROVEMENT DISTRICT
FOSTER CITY COUNCIL CHAMBERS
620 FOSTER CITY BOULEVARD
FOSTER CITY, CALIFORNIA
MEMBERS OF THE PUBLIC THAT WISH TO ATTEND AND/OR PARTICIPATE IN A MEETING MAY DO SO IN PERSON OR BY JOINING THE ZOOM MEETING HTTPS://FOSTERCITY ORG.ZOOM.US/J/82592136594 PUBLIC COMMENTS WILL BE ACCEPTED BOTH IN PERSON AND VIA ZOOM MEETING. ANY EMAILS SENT TO [email protected] WILL BE PROVIDED TO THE CITY COUNCIL PRIOR TO THE MEETING.

To Attend the Meeting in Person:

Location: 620 Foster City Blvd, Foster City, California, 94404 To Provide Public Comment in Person:

To Observe the Meeting via Teleconference/Video Conference:

Written public comments will be posted to the City’s website for review prior to the meeting.

AGENDA
Monday, October 02, 2023 6:30 PM
REGULAR MEETING AS CITY COUNCIL/EMID BOARD OF

DIRECTORS

1. CALL TO ORDER

2. PLEDGE OF ALLEGIANCE

3. ROLL CALL
Councilmembers/ex officio EMID Directors Sam Hindi, Stacy Jimenez, Art Kiesel, Patrick Sullivan, and Mayor/President Jon Froomin

4. SPECIAL PRESENTATIONS

4.1. A Proclamation Declaring the Week of October 814, 2023 as "Fire Prevention Week"

4.2. A Proclamation Recognizing October 9, 2023 as “Indigenous Peoples' Day”

5. PUBLIC
Government Code Section 54954.2 E (3) precludes the City Council from discussing or acting upon any topic initially presented during the “Public” portion of the agenda.

6.1. City/EMID Regular Meeting Minutes of September 18, 2023

6.7. Cancel the January 2, 2024 Regular Meeting of the City Council/Board of Directors of the City of Foster City/Estero Municipal Improvement District

7. NEW BUSINESS

7.1. Consideration of Proposed Solid Waste Rates for the FiveYear Period of 20242028
a) Staff Report
b) Action – By Minute Order, Provide Policy Direction

8. COMMUNICATIONS

8.1. City/District Warrants of Demands were Processed and Issued on September 14, 2023
a) Information Item Only
b) No Action Required

10. ADJOURNMENT
The public is invited to attend.

City Council meetings on FCTV on Comcast Channel 27 and AT&T Channel 99:

STREAMED LIVE every 1st and 3rd Monday of the month
City Council meetings ondemand:
https://www.fostercity.org/agendasandminutes

5 Proclamation
of the City of Foster City, California

“Fire Prevention Week”
October 8-14, 2023

WHEREAS, the City of Foster City is committed to ensuring the safety and security of all those living in and visiting Foster City; and
WHEREAS, fire is a serious public safety concern both locally and nationally, and homes are the locations where people are at greatest risk from fire, home fires killed more than 1 ,496 people in the United States in 2023, according to the United States Fire Administration (USFA), and in the United States there were 353,500 residential building fires in 2021; and
WHEREAS, kitchens are the place in the homes that are most likely to have a fire; and

WHEREAS, staying close to the food you are cooking while minimizing distractions; and

WHEREAS, City of Foster City residents should clear the area around your cooking appliances to minimize the chances of fire spreading in the kitchen; and

WHEREAS, Foster City residents should turn all pot handles toward the center of the stove to prevent burn injuries; and

WHEREAS, Foster City residents are encouraged to learn how to use fire extinguishers, and keep a lid close so that it may be slid over a fire if it starts; and

WHEREAS, San Mateo Consolidated Fire Department’s first responders are dedicated to reducing the occurrence of home fires and home fire injuries through prevention and protection education; and

WHEREAS, Foster City residents who are responsive to public education measures are better able to take personal steps to increase their safety from fire, especially in their homes; and

WHEREAS, the 2023 Fire Prevention Week theme, “Cooking safety starts with YOU! Pay Attention to Fire Prevention” effectively serves to remind us it is important to learn how to safely cook in our homes to prevent a fire.

NOW, THEREFORE, I, JON FROOMIN, MAYOR OF THE CITY OF FOSTER CITY, ON BEHALF OF THE CITY COUNCIL, do hereby proclaim October 8-14, 2023, as “Fire Prevention Week” throughout this City, and urge Foster City residents to review “Cooking safety starts with YOU! Pay Attention to Fire Prevention” for Fire Prevention Week 202 3 and to support the many public safety activities and efforts of San Mateo Consolidated Fire Department’s fire and emergency services during “Fire Prevention Week 2023.”

IN WITNESS WHEREOF, I have hereunto set my hand
and have caused the official seal of the City of Foster City to be affixed this second day of October, two
thousand twenty-three, A.D.

___________________________________________

MAYOR JON FROOMIN

4.1 4.1 Proclamation

6 Proclamation
of the City of Foster City, California
Recognizing October 9, 2023 as
“Indigenous Peoples’ Day”
WHEREAS, the City Council of the City of Foster City recognizes that the lands now known as the Americas have been inhabited by Indigenous peoples for thousands of years, and that the City of Foster City is built upon the ancestral homelands of the Ramaytush Ohlone People, who were longtime caretakers of these lands; and
WHEREAS, October 12, 1492, is one of the most significant historical dates for all Indigenous people of the Americas, as it marks the beginning of European and American colonization, which included widespread violence, forced relocations, land dispossession, cultural suppression, assimilation and termination policies that forever changed indigenous lives and cultures; and WHEREAS, government entities and public institutions today have a responsibility to enact policies to oppose systemic racism towards Indigenous people in the United States, as discrimination perpetuates high rates of poverty and disproportionate health, education, and social crises; and WHEREAS, Indigenous Peoples' Day wa s first proposed in 1977 by a delegation of Native Nations to the United Nations -sponsored International Conference on Discrimination Against Indigenous Populations in the Americas, and as of the date of this resolution, over 200 cities, counties, states, and universities across the United States have officially adopted Indigenous Peoples Day; and WHEREAS, recognizing Indigenous Peoples' Day on the second Monday of October provides a more accurate representation of our nation's and region's diverse history, and transforms a celebration of conquest and cultural genocide into a celebration of the enduring traditions, values, and strength of Indigenous Peoples, and brings hope for a brighter future of respect, partnership, and unity .

NOW, THEREFORE, I, JON FROOMIN, MAYOR OF THE CITY OF FOSTER CITY, ON BEHALF OF THE CITY COUNCIL, do hereby proclaim October 9, 2023, as Indigenous Peoples' Day, instead of and as a replacement for any official recognition of Columbus Day and encourage all local businesses, organizations, schools, and community members to recognize Indigenous Peoples' Day , and to take time to deepen their understanding of the history, cultural significance, sacrifices and contributions of the Indigenous people of this land.

IN WITNESS WHEREOF, I have hereunto set my
hand and have caused the official seal of the City of
Foster City to be affixed this second day of October,
two thousand twenty-three, A.D.
____
____________________________________

MAYOR JON FROOMIN

4.2 4.2 Proclamation

7 CITY OF FOSTER CITY/

ESTERO MUNICIPAL IMPROVEMENT DISTRICT

REGULAR MEETING OF SEPTEMBER 18, 2023

MINUTES

CALL TO ORDER OF CITY COUNCIL/EMID BOARD OF DIRECTORS

The Regular Meeting of September 18, 2023 of the City Council of the City of Foster City, sitting as said Council and as ex officio the Board of Directors of the Estero Municipal Improvement District (EMID), was called to order at 6: 30 p.m. by Mayor/President Froomin.

This meeting was held as a hybrid meeting.

ROLL CALL

The Communications Director/City Clerk/Recording Secretary called the roll:

PRESENT:

Councilmembers/ex officio Directors Sam Hindi, Stacy Jimenez, Art Kiesel, Patrick Sullivan, and Mayor/President Jon Froomin.

ABSENT: None.

STAFF PRESENT: Stefan Chatwin, City/District Manage r, Benjamin Stock , City Attorney/District Legal Counsel; Marlene Subhashini, Assistant City Manager; Andrew Brozyna, P ublic Works Director; Diane Pitman, Interim Human Resources Director; Sofia Mangalam, Community Development Director; Derek Schweigart, Parks and Recreation Director; Tracy Avelar, Police Chief; Cory Call, Police Captain; Laura Galli, Engineering Manager; James Atkins, Senior Planner; Justin Lai, Senior Civil Engineer; Francine Magno, Senior Civil Engineer; Nori Jabba, Housing Coordinator; Katherine Mendoza, Deputy City Clerk; Shuli Chen, Video Technician; and Communications Director/City Clerk, Priscilla Schaus.

SPECIAL PRESENTATIONS

PRESENTATION OF CERTIFICATES OF RECOGNITION TO THE FOSTER CITY WOLFPACK YOUTH BASEBALL TEAM.

Mayor Froomi n presented the Certificates of Recognition to the Foster City Wolfpack Youth Baseball Team.

PUBLIC

6.1 6.1 Minutes

8 Richa Awasti addressed the City Council via email regarding censorship.

CONSENT CALENDAR

Motion by Vice Mayor/Vice President Sullivan, seconded by Councilmember/Director Kiesel, and carried unanimously, 5-0-0, approving the following items on the City/District Consent Calendar:

City/EMID Consent Calendar

1. Minutes of City/EMID Regular Meeting of August 21, 2023;

2. City Resolution No. 2023-89, “A Resolution of the City Council of the City of Foster City Approving the After School Activity (ASA) Bus Program Funding Agreement Between the City of Foster City and the San Mateo Union High School District for a Contribution in the Amount of $21,667.50 to the ASA Bus Program for the 2023- 2024 School Year, Authorizing the City Manager to Execute the Funding Agreement, and Authorizing an Appropriation in an Amount Not -to-Exceed $21,667.50 to the Community Benefits Fund, Account No. 005-0110-413-4251, to Fund the Contribution;”

3. City Resolution No. 2023-90, “A Resolution of the City Council of the City of Foster City Approving the Established List of Qualified Environmental Consultants to Provide Project-based Professional on-call Services for California Environmental Quality Act (CEQA) Reviews for the Planning Division of the Community Development Department (CDD); Authorizing the Mayor to Execute a Master Professional Services Agreement With Each Consultant on the Lis t With No Compensation Maximum for a Term of Five Years; and Finding the Approval of the on- call List and Master Professional Services Agreements Exempt Under CEQA Pursuant to CEQA Guidelines Section 15061(B)(3);”

4. Minute Order No. 1935, “Approving the Recommendation to Remove the Existing Temporary Cofferdams to Restore Tidal Flow Back i nto the O’Neill Slough and Accept an Addendum to the 2017 Levee Project Final Environmental Impact Report (FEIR) Analyzing Modifications to O’Neill Slough, State Clearinghouse #2016012012 (2017 FEIR);”

5. Minute Order No. 1936, “Appointin g Two Resident Members, Ken Ludlum , Bhavanishankar Subramaniam , and One Business Member, Al De Groot (Representing Gilead), to Full Terms f rom October 1, 2023 Through September 30, 2026 on the Independent Citizen’s Bond Oversight Committee (Levee Bond Oversight Committee);”

6. Minute Order No. 1937, “Receiving and Accepting the Foster City Foundation Fund Annual Report of Financial Activities for Fiscal Year 2022-23;” and

7. Minute Order No.1938, “Approving the Response Letter to Honorable Nancy L.

Fineman Judge of the Superior Court in Response to the San Mateo County Civil Grand Jury Report, Dated July 10, 2023, entitled "Bike Safety in San Mateo County: Making Bicycling Safer in The County.”

ITEMS REMOVED FROM CONSENT

6.1 6.1 Minutes

9 APPROPRIATION OF $41,000.00 FROM THE GENERAL FUND BALANCE TO FOSTER CITY POLICE ACCOUNT NO. 001 -0620-421-4251 FOR FY 23- 24 TO FUND

ONE CONTRACTED FULL -TIME MENTAL HEALTH CLINICIAN TO BE SHARED EQUALLY WITH SAN MATEO POLICE. CITY RESOLUTION NO. 2023-91.

Without objection from the Cit y Council, Mayor Froomin removed this item from the Consent Calendar at the request of City staff.

Discussion ensued.

Motion by Councilmember Hindi, seconded by Vice Mayor Sullivan, and carried unanimously, 5- 0-0, adopting City Resolution No. 2023- 91, “A Resolution of the City Council of the City of Foster City Authorizing the Appropriation of $41,000.00 From the General Fund Balance to Foster City Police Account No. 001- 0620-421-4251 for FY 23- 24 to Fund One Contracted Full-time Mental Health Clinician to Be Shared Equally With San Mateo Police as Part of the Community Wellness and Crisis Response Team Mental Health Partnership.”

REQUEST FOR PROPOSALS AND/OR QUALIFICATIONS FOR PROFESSIONAL

SERVICES FOR CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES,

ARCHITECTURAL ENGINEERING, LANDSCAPE ARCHITECTURE, WATER AND

WASTEWATER ENGINEERING, CORROSION ENGINEERING, COST ESTIMATION,

AND GEOTECHNICAL ENGINEERING SERVICES AND FINDING THE PROJECT EXEMPT FROM CEQA UNDER SECTION 15061(B)(3). CITY RESOLUTION NO. 2023-

92. EMID RESOLUTION NO. 3745

Without objection from the City Council/EMID Board of Directors, Mayor/President Froomin removed this item from the Consent Calendar at the request of Councilmember/Director Hindi.

Discussion ensued.

Motion by Mayor/President Froomin, seconded by Councilmember/Director Jimenez, and carried 4- 1-0, Councilmember/Director Hin di voted “no”, adopting City Resolution No. 2023-92, “ A Resolution of the City Council of the City of Foster City Authorizing the Issuance of a Request for Pr oposals and/or Qualifications for Professional Services for Construction Management and Inspection Services, Architectural Engineering, Landscape Architecture, Water and Wastewater Engineering, Corrosion Engineering, Cost Estimation, and Geotechnical Engineering Services and Finding the Project Exempt from CEQA under Section 15061(B)(3)” and EMID Resolution No. 3745, “A Resolution of the Board of Directors of the Estero Municipal Improvement District Authorizing the Issuance of a Request for Proposals and/or Qualification s for Professional Services for Construction Management and Inspection Services, Architectural Engineering, Landscape Architecture, Water and Wastewater Engineering, Corrosion Engineering,

6.1 6.1 Minutes

10 Cost Estimation, and Geotechnical Engineering Services and Finding the Project Exempt from CEQA under Section 15061(B)(3).”

RESOLUTIONS FOR ADOPTION

APPOINTMENT OF FIFTEEN MEMBERS TO THE YOUTH ADVISORY COMMITTEE.

CITY RESOLUTION NO. 2023-93.

Recreation Coordinator Koval presented the staff report.

Discussion ensued.

Motion by Councilmember Jimenez , seconded by Vice Mayor Sullivan, and carried unanimously, 5- 0-0, adopting City Resolution No. 2023- 93, “A Resolution of the City Council of the City of Foster City Ap proving the Appointment of Fifteen Member s to the Youth Advisory Committee.”

PUBLIC HEARINGS

AMENDMENTS TO TITLE 17, “ZONING” CHAPTERS 17.78 ACCESSORY DWELLING UNITS, AND 17.86 DENSITY BONUSES AND FINDING THE AMENDMENTS EXEMPT

FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) PURSUANT TO CEQA GUIDELINE SECTION 15061(B)(3).

Community Development Director Mangalam presented the staff report.

Mayor Froomin opened a public hearing to hear and consider comments r egarding the amendments to Title 17, “Zoning” Chapters 17.78 Accessory Dwelling U nits, and 17.86 Density Bonuses and finding the amendments exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guideline Section 15061(b)(3).

Evan Adams addressed the City Council via teleconference.

Without objection from the City Council, Mayor Froomin closed the public hearing.

Discussion ensued.

Motion by Vice Mayor Sullivan, seconded by Councilmember Kiesel , and carried unanimously by roll call vote, 5-0-0, to introduce the ordinance by title and waive further reading, and pass to second reading “An Ordinance of the City of Foster City Making Various Text Amendments to Title 17, “Zoning” of the Foster City Municipal Code Chapter

17.78, “Accessory Dwelling Units” and Finding the Amendments Exempt from the California Environmental Quality Act – RZ2023-0006.”

Motion by Councilmember Hindi , seconded by Councilmember Jimenez, and carried unanimously by roll call vote, 5-0-0, to introduce the ordinance by title and waive further

6.1 6.1 Minutes

11 reading, and pass to second reading “An Ordinance of the City of Foster City Making Text Amendments to Title 17, “Zoning” of the Foster City Municipal Code Chapter 17.86, “Density Bonuses”, to Ensure Compliance with Recent Changes in State Law and Finding the Amendments Exempt from the California Environmental Quality Act – RZ2023-0007.”

NEW BUSINESS

IMPLEMENT HYBRID MEETINGS AND THE RECORDING OF ALL CITIZEN ADVISORY COMMITTEE MEETINGS. MINUTE ORDER NO. 1939.

Communications Director/City Clerk Schaus presented the staff report.

Fred Baer addressed the City Council in person.

The following people addressed the City Council via teleconference:

1. Evan Adams;

2. Michael Levinson;

3. Nilo Motiwala; and

4. Larry Staley.

Discussion ensued.

Motion by Councilmember Jimenez , seconded by Vice Mayor Sullivan, and carr ied unanimously, 5- 0-0, adopting Minute Order No. 193 9, providing policy direction to implement hybrid meetings and record meetings of the Citizens Sustainability Advisory Committee, Levee Bond Oversight Committee, Parks and Recreation Committee, and Traffic Review Committee.

RECREATION CENTER REBUILD PROJECT (CIP 301 -678) - SCHEMATIC DESIGN AND PROJECT BUDGET. MINUTE ORDER NO. 1940.

Parks and Recreation Director Schweigart presented the staff report.

The following people addressed the City Council via email:

1. Bart Pantoja, representing the Building & Construction trades Council of San Mateo County; and

2. Phoebe Venkat.

The following people addressed the City Council via teleconference:

1. Eric Corpuz;

2. Rich Biederman;

3. Doris Duncan;

4. Karen Epstein; and

5. Evan Adams.

Discussion ensued.

6.1 6.1 Minutes

12 Motion by Mayor Froomin, seconded by Councilmember Kiesel, and carried unanimously, 5-0-0, adopting Minute Order No. 1940 , to receive and accept the Recreation Center Rebuild Project (CIP 301-678) report on the schematic design phase, and by consensus of the Council, provide policy direction to:

1. Accept the construction budget estimate for the Recreation Center Rebuild and request staff to come back with an update on funding options;

2. Include the Café, Shell Blvd. Entry Façade Enhancement, Expanded Preschool Patio and Playground, and Bocce Court in the project scope and budget;

3. Exclude the Shell Blvd. Events Wing Roof Enhancement and Park Restroom from the project scope and budget;

4. Approve the schematic design concept for the new Recreation Center Rebuild Project (RCRP), a two-story building with curved (wing) roof lines, material and color palette; and

5. Approve the design concept for RCRP site/landscape design (public terraces along lagoon and controlled access yards/patios on Shell Blvd).

OLD BUSINESS

GRANT CONSENT TO THE CITY OF BURLINGAME TO INCLUDE THE CITY OF

FOSTER CITY IN THE SAN FRANCISCO PENINSULA TOURISM MARKETING DISTRICT (SFPTMD). CITY RESOLUTION NO. 2023-94.

City Manager Chatwin presented the staff report.

Discussion ensued.

Motion by Councilmember Hindi, seconded by Vice Mayor Sullivan, and carried unanimously, 5- 0-0, adopting City Resolution No. 2023- 94, “A Resolution o f the City Council of the City o f Foster City, State o f California, Granting Consent t o the City o f Burlingame to Include t he City of Foster City i n the San Francisco Peninsula Tourism Marketing District (SFPTMD).”

COMMUNICATIONS

CITY/DISTRICT WARRANT OF DEMANDS. NO ACTION TAKEN.

City/District Warrants of Demands were Processed and Issued on August 15, 2023, August 31, 2023 and September 5, 2023, and ACH were processed on September 5, 2023.

CITY/DISTRICT MANAGER REPORTS, COUNCIL/BOARD STATEMENTS AND

REQUESTS, AND COUNCIL LIAISON REPORTS

REQUEST TO PLACE AN ITEM ON A FUTURE AGENDA BY VIC E MAYOR PATRICK SULLIVAN REGARDING UPDATING THE CITY’S DISPOSABLE FOOD SERVICE

6.1 6.1 Minutes

13 WARE ORDINANCE WHICH IS CURRENTLY BASED ON SAN MATEO COUNTY ORDINANCE AND INCLUDE THE CITY OF PACIFICA ’S PROVISIONS UNDER SECTION 6-5.404.

The following people addressed the City Council via email:

1. Marah Curry;

2. Shilpi Goel;

3. Amit Khare;

4. Murli Melwani;

5. Stuti Goel;

6. Manisha;

7. Phoebe Venkat;

8. Inna Magne; and

9. Falgoon Desai.

The following people addressed the City Council via teleconference:

1. Nilofer Motiwala;

2. Nicole Lee;

3. Griffin Lee;

4. Amanda Yu;

5. Katherine Geng;

6. Lana Levison;

7. M Yu; and

8. Evan Adams.

Discussion ensued.

Motion by Councilmember Jimenez, seconded by Councilmember Hindi, and carried 4-1- 0, Mayor Froomin voted “no,” to agendize updating the C ity’s Disposable Food Service Ware Ordinance which is currently based on San Mateo County Ordinance to include the City of Pacifica’s provisions under Section 6-5.404.

Discussion ensued.

Motion by Councilmember Jimenez, seconded by Councilmember Kiesel, and carried unanimously, 5-0-0, to reconsider the previous motion.

Vice Mayor Sullivan withdrew his request and noted he may come back at a future meeting with an updated request.

CLOSED SESSION

Mayor/President Froomin recessed the meeting into Closed Session for:

1. Conference with Labor Negotiators (Government Code Section 54957.6) Agency designated representative: Stefan Chatwin, Diane Pitman, and Austris

6.1 6.1 Minutes

14 Rungis
Employee Organizations: AFSCME

2. Report out from Closed Session

Meeting recessed into Closed Session at 11:48 p.m. and reconvened at 12:05 a.m.

City Attorney/District Legal Counsel Benjamin Stock reported that no action was taken in Closed Session.

ADJOURNMENT

Hearing no objection from the City Council/EMID Board, Mayor/President Froomin adjourned the meeting. Meeting adjourned at 12:05 a.m.

6.1 6.1 Minutes

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8 ORDINANCE NO. __________

AN ORDINANCE OF THE CITY OF FOSTER CITY MAKING VARIOUS TEXT AMENDMENTS TO TITLE 17, “ZONING” OF THE FOSTER CITY MUNICIPAL CODE CHAPTER 17.78, “ACCESSORY DWELLING UNITS” AND FINDING THE

AMENDMENTS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT - RZ2023-0006

CITY OF FOSTER CITY
WHEREAS, the Planning and Zoning Law authorizes local jurisdictions to act by ordinance to provide for the creation and regulation of accessory dwelling units (“ADUs”) and junior accessory dwelling units (“JADUs”); and
WHEREAS, in 2022, the legislature adopted two (2) key ADU bills in 2022:

Assembly Bill (AB) 2221 and Sente Bill (SB) 897 that amended Government Code Sections 65852.2, 65852.22. and 65852.23, and Health and Safety Code Section 17980.12; and
WHEREAS, these bills make further revisions to state law, and local jurisdictions need to readopt any local ordinances related to ADUs to include new provisions/clarifications; and
WHEREAS, on June 15, 2023, a Planning Commission Study Session was held to update the public and the Planning Commission on most recent State Laws affecting land uses, including additional revisions to the requirements of accessory dwelling units; and
WHEREAS, Public Resources Code Section 21080.17 says that the California Environmental Quality Act (CEQA) does not apply to the adoption of an ordinance to implement the provisions of Section 65852.2 of the Government Code, which means that adoption of this ordinance to update the Municipal Code to implement State ADU law is statutorily exempt from CEQA; and
WHEREAS, on August 17, 2023, the Planning Commission conducted a duly and properly noticed public hearing to take public testimony and consider a Resolution regarding the amendments to Chapter 17.78, and after conducting the public hearing, adopted Resolution No. P-11-23 with the Planning Commission recommending City Council approval of the amendments to Chapter 17.78; and WHEREAS, on September 6, 2023, a public hearing notice was published posted in three public places, and mailed pursuant to California Code Section 65090 for the City Council public hearing on September 18, 2023; and

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF FOSTER CITY DOES ORDAIN AS FOLLOWS:

Section 1. The City Council does hereby find and determine based upon the aforementioned Record as follows:

1. The foregoing Recitals are true and correct and are incorporated herein by this reference; and

2. The proposed amendments are internally consistent with all other provisions of the General Plan and do not conflict with any of the previously adopted goals, policies, or programs of the General Plan.

3. The proposed amendments are necessary to implement the goals and policies of the General Plan through implementation of the Housing Element.

4. The proposed Zoning amendments comply with, and are required by, applicable State law, including Government Code Section 65852.2, 65852.22, 68852.23, and the Health and Safety Code Section 17980.12.

5. The proposed amendments will not be detrimental to the public interest, convenience, and general welfare of the City.

6. The proposed amendments are exempt from CEQA Guideline Section 15061(b)(3) and consistent with Public Resources Code Section 21080.17.

Section 2. Amendment. Chapter 17.78 “Accessory Dwelling Units” within Title 17, “Zoning” of the Foster City Municipal Code are hereby amended by repealing the existing Chapters 17.78 in their entireties and replacing those Chapters to read as set forth in the attached Exhibits A, as listed below and attached hereto and incorporated herein by reference:

Section 3. Severability. If any section, subsection, sentence, clause or phrase of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council does hereby declare that it should have adopted the Ordinance and each section, subsection, sentence, clause or phrase thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional.

Section 4. Taking Effect. This Ordinance shall take effect and be in force thirty (30) days from and after its adoption.

Section 5. Posting. Within fifteen (15) days after the adoption of this Ordinance, the City Clerk shall have it posted in three (3) public places designated by the City Council.

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 This Ordinance was introduced and read on the 18th day of September, 2023, and passed and adopted on the 2nd day of October, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

JON FROOMIN, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 EXHIBIT A
Chapter 17.78 Accessory Dwelling Unit Update
2023 Updates
Chapter 17.78

ACCESSORY DWELLING UNITS
Sections:

17.78.010 Findings.

17.78.020 Purpose.

17.78.030 Application.

17.78.040 Definitions.

17.78.050 Permit application for an accessory dwelling unit.

17.78.060 Standards applicable to single-family residence zoning districts.

17.78.070 Standards applicable to multifamily residence zoning districts.

17.78.080 Parking requirements for accessory dwelling units.

17.78.090 Permit issuance.

17.78.100 Other provisions.

17.78.010 Findings.

A. The adoption of an accessory dwelling unit ordinance which permits accessory dwelling units by ministerial review in areas zoned to allow residential development is consistent with the goals and policies of the Foster City general plan in that accessory dwelling units would help meet the need for affordable housing. Furthermore, construction of accessory dwelling units is not as costly as new construction, because there are no additional land costs, infrastructure costs are reduced, and an accessory dwelling unit can be added at the cost of an addition to, or remodeling of, the main single- family dwelling.

B. The accessory dwelling unit ordinance is intended to permit accessory dwelling units while maintaining the health, safety and welfare of surrounding residents, the character of existing neighborhoods, and the community as a whole. (Ord. 657 § 4 (Exh. P), 2023)

17.78.020 Purpose.

The purpose of this chapter is to allow accessory dwelling units in areas zoned to allow residential development through ministerial permit procedures in compliance with state laws. (Ord. 657 § 4 (Exh.

P), 2023)

17.78.030 Application.

The provisions of this chapter shall apply in zoning districts where residential uses are permitted (with or without a planned development combining district). Accessory dwelling units are not permitted in any other district. (Ord. 657 § 4 (Exh. P), 2023)

17.78.040 Definitions.

A. “Accessory dwelling unit” or “ADU” means an attached or a detached residential dwelling unit that provides complete independent living facilities for one or more persons and is located on a lot with a

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 proposed or existing primary residence. It shall include permanent provisions for living, sleeping, eating, cooking, and sanitation on the same parcel as the single-family or multifamily dwelling is or will be situated. An accessory dwelling unit also includes the following:

1. An efficiency unit.

2. A manufactured home, as defined in Section 18007 of the Health and Safety Code.

B. “Attached accessory dwelling unit” means an ADU that is constructed as a physical expansion (i.e., addition) of an existing single-family residence and shares at least one (1) wall with the single-family residence.

C. “Conversion accessory dwelling unit” means an ADU that is created within existing space, including a portion of a primary dwelling unit or existing non-habitable space in an existing primary or accessory structure.

D. “Detached accessory dwelling unit” means an ADU that is constructed as a separate structure from the primary dwelling unit and does not share any walls with the primary dwelling unit or an existing attached accessory structure.

E. “Efficiency unit” has the same meaning as defined in Section 17958.1 of the Health and Safety Code.

F. “High-quality transit corridor” means a corridor with fixed route bus service with service intervals no longer than fifteen minutes during peak commute hours.

G. “Infeasible” shall mean when applicable development standards are applied, they would physically preclude development of a proposed ADU up to 800 square feet with at least 4 ft. side and read yard setbacks.

H. “Junior accessory dwelling unit” or “JADU” means a unit that is no more than five hundred (500) square feet in size and contained entirely within a single-family residence. A junior accessory dwelling unit may include separate sanitation facilities, or may share sanitation facilities with the existing structure.

I. “Living area” means the interior habitable area of a dwelling unit including basements and attics but does not include a garage or any accessory structure or building.

J. “Major transit stop” has the same meaning as defined in Section 21155 of the California Public Resources Code.

K. “Passageway” means a pathway that is unobstructed clear to the sky and extends from a street to one entrance of the ADU.

L. “Public transit” means a location, including, but not limited to, a bus stop or train station, where the public may access buses, trains, subways, and other forms of transportation that charge set fares, run on fixed routes, and are available to the public. (Ord. 657 § 4 (Exh. P), 2023)

17.78.050 Permit application for an accessory dwelling unit.

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 The application for an ADU permit shall be made by the owners of the subject property in writing to the building division in the form designated by the building division and shall contain the following:

A. A completed building permit application form and applicable fee; B. Written project description;
C. Courtesy neighbor notification report in a form designated by building official indicating adjacent property owners have been notified of the new ADU (garage conversions are exempt from notification); D. Plans and drawings as required by the building division; E. A copy of required deed restriction as included in Section 17.78.100, unless exempt. (Ord. 657 § 4 (Exh. P), 2023)

17.78.060 Standards applicable to single-family residence zoning districts.

The following shall apply to single-family lots in R-1, R-2 and R-1/PD zoning districts:

A. Number of Units. A single-family lot with a primary dwelling unit may have:

Option 1
One JADU (up to 500 SF); or
Option 2
One ADU (conversion, attached, or detached); or
Option 3
One (1) JADU (up to 500 SF); and,
One (1) conversion ADU; and,
One (1) newly constructed ADU (up to 800 SF).

Option 4
One (1) JADU (up to 500 SF); and,
One (1) newly constructed ADU over 800 square feet
Option 5
One (1) JADU (up to 500 SF); and,
One (1) conversion ADU
B. Junior Accessory Dwelling Units.

1. The number of JADUs shall be limited to one (1) unit per residential lot zoned for single-family residences that includes a proposed or existing single-family residence.

2. The property owner must reside in either the remaining portion of the primary dwelling unit or the JADU. Owner occupancy shall not be required if the owner is another governmental agency, land trust, or housing organization.

3. The owner must record a deed restriction as outlined in Government Code Section 65852.22, which shall run with the land, and shall include both of the following:
a. A prohibition on the sale of the JADU separate from the sale of the single-family residence, including a statement that the deed restriction may be enforced against future purchasers.

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 b. A restriction on the size and attributes of the JADU that conforms with this chapter. c. If a JADU is rented, the unit shall not be rented for a period of less than thirty consecutive calendar days.

4. A JADU shall be constructed within the walls of the proposed or existing single-family residence, including attached garages.

5. JADUs shall include a separate entrance from the main entrance to the proposed or existing single-family residence. If a permitted JADU does not include a separate bathroom, the permitted JADU shall include a separate entrance from the main entrance to the structure, with an interior entry to the main living area.

6. The JADU shall include an efficiency kitchen, which shall include all of the following:
a. A cooking facility with appliances.
b. A food preparation counter and storage cabinets that are of reasonable size in relation to the size of the junior accessory dwelling unit.

C. Attached ADUs. One attached ADU per single-family lot is permitted, subject to the following requirements:

1. Size. The total floor area of an attached ADU shall be not more than one thousand two hundred (1,200) square feet or fifty (50) percent of the existing or proposed primary dwelling, whichever is less.

2. Location. Attached ADUs shall not be located in the front yard unless development of an eight hundred (800 sq. ft.) square foot ADU is otherwise infeasible.

3. Setbacks. The side and rear setbacks shall be no less than four (4) feet.

4. Height.
a. An attached ADU shall not exceed twenty-five (25) feet in height, or the height requirement for the primary dwelling, whichever is lower.
b. ADUs shall not exceed two (2) stories in height.

D. Detached ADUs. One newly constructed detached ADU per single-family lot is permitted, subject to the following requirements:

1. Size. The total floor area of a detached ADU shall not exceed one thousand two hundred (1,200) square feet or fifty (50) percent of the existing or proposed primary dwelling, whichever is less.

2. Location. Detached ADUs shall not be located in the front yard unless development of an eight hundred (800 sq. ft.) square foot ADU is otherwise infeasible.

3. Setbacks.
a. The side and rear setbacks shall be no less than four feet. b. The separation between the detached ADU and the primary dwelling shall be as per California Residential Code.

4. Height. A detached ADU shall not exceed sixteen (16) feet in height, except in the following cases:
a. A height of eighteen (18) feet is permitted when an ADU is located within one-half mile walking distance of a major transit stop or a high-quality transit corridor, as defined in this code section; and, and additional two (2) feet of height to accommodate a roof pitch on the ADU that is aligned with the roof pitch of the primary dwelling unit.

E. Conversion ADUs. One conversion ADU per single-family lot is permitted, subject to the following requirements:

1. Setbacks. No setbacks shall be required for ADU conversions located within the existing living area or an existing accessory structure, or an ADU that replaces an existing structure and is

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 located in the same location and to the same dimensions as the structure being replaced. A legal accessory building (including a detached garage) may be converted into an ADU provided the side and rear setbacks are sufficient for fire safety.

Notwithstanding the provisions of this section, conversion ADUs shall provide sufficient side and rear setbacks for fire safety.

2. Height. A conversion ADU shall not alter the height of the existing structure (single-family dwelling, accessory building, or garage) that is being converted.

3. Other Standards.
a. Conversion ADUs in existing accessory structures may expand the existing dimensions of the structure no more than one hundred fifty (150) square feet to accommodate ingress/egress.

Any such expansion shall count towards the size of the ADU.

F. Additional Requirements.

1. All JADUs and ADUs shall provide exterior access that is separate from the proposed or existing single-family dwelling.

2. Except as specified in this section, ADUs shall comply with lot coverage, open space, front setbacks, minimum lot size, and other zoning standards applicable to the primary dwelling, except in no event shall the application of any of these standards preclude at least an eight hundred (800) square foot ADU. (Ord. 657 § 4 (Exh. P), 2023)

17.78.070 Standards applicable to multifamily residence zoning districts.

The following shall apply to multifamily dwelling lots in R-3, R-4 and R-T (with or without a planned combining district) zoning districts:

A. Conversion ADUs. ADUs are permitted within portions of existing legally permitted multifamily dwelling structures that are not used as livable space including storage rooms, boiler rooms, passageways, attics, basements, and garages, subject to the following requirements:

1. Number of ADUs. At least one ADU within an existing multifamily building and no more than twenty-five percent of the existing multifamily dwelling units shall be permitted.

2. Size. The total floor area of a conversion ADU shall not exceed eight hundred fifty square feet for a studio or one bedroom, or one thousand square feet for an ADU with two or more bedrooms.

3. Existing livable space may not be converted into an ADU.

B. Detached ADUs.

1. Number of ADUs. Up to two (2) detached ADUs are permitted on a multifamily lot with an existing, new, or proposed multifamily building.

2. Size. The total floor area of a detached ADU shall not exceed eight hundred fifty (850) square feet for a studio or one (1) bedroom, or one thousand two hundred (1,200) square feet for an ADU with two (2) or more bedrooms.

3. Setbacks.
a. The side and rear setbacks shall be no less than four (4) feet. b. The separation between the detached ADU and the primary dwelling shall be as per California Residential Code.

4. Height.
a. Where an ADU is on a lot with an existing or proposed multifamily, multi-story dwelling, it shall not exceed eighteen (18) feet in height.

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 b. An ADU may add up to two (2) feet of height to accommodate a roof pitch on the ADU that is aligned with the roof pitch of the multifamily dwelling (for a maximum of twenty (20) feet. (Ord. 657 § 4 (Exh. P), 2023)

17.78.080 Parking requirements for accessory dwelling units.

A. Parking requirements for newly constructed ADUs shall not exceed one (1) parking space per unit or per bedroom, whichever is less. This space may be provided as tandem parking, including on an existing driveway or in setback areas, excluding the non-driveway front yard setback. Exception to the requirement for provision of one parking space may be made per subsection B of this section.

B. Parking is not required in the following instances:

1. The ADU is located within one-half mile walking distance of public transit.

2. When there is an approved car share vehicle for which a Foster City business license has been issued and remains active, located within one block of the accessory dwelling unit.

3. JADU.

4. ADU that only includes a studio with no bedroom.

5. The ADU is located within an architecturally and historically significant area.

6. Where the ADU is part of the proposed or existing primary residence or an accessory structure. (Ord. 657 § 4 (Exh. P), 2023)

17.78.090 Permit process.

A. Pursuant to Government Code Section 65852.2 mandating ministerial approval of ADUs if all of the applicable standards are met, the chief building official or his/her designee shall approve the ADU permit within sixty (60) days of the complete application being submitted. If the ADU or JADU is proposed as part of a new or remodeled primary residence, the sixty (60) day timeline shall not commence until the primary residence is permitted. The City may review and approve the ADU or JADU in conjunction with the new or remodeled primary residence, but the application to create the ADU or JADU shall be considered without discretionary review or hearing.

B. If the City disapproves an application for an ADU or JADU, the building division shall return in writing, a full set of comments to the applicant with a list of items that are defective or deficient and a description of how the application can be remedied by the applicant.

C. A demolition permit for a detached garage that is to be replaced with an ADU, mut be reviewed with the application for the ADU and issued at the same time. (Ord. 657 § 4 (Exh. P), 2023)

17.78.100 Other provisions.

A. Unless exempt from the owner-occupancy requirement per subsection B of this section, prior to obtaining a building permit for an ADU, an owner-occupancy deed restriction, approved by the city attorney, shall be recorded with the county recorder’s office, which shall include the pertinent restrictions and limitations of an ADU identified in this section including but not limited to: prohibition of the sale of the ADU separate from the sale of the single-family residence; restrictions on the size and attributes of the ADU; and prohibitions on rentals less than thirty consecutive days. Said deed restriction shall run with the land, and shall be binding upon any future owners, heirs, or assigns.

B. Owner Occupancy. Notwithstanding the foregoing or any other provision of this chapter, no owner- occupancy requirement shall be enforced and no deed restriction shall be required for ADU permit applications submitted between January 1, 2020, and December 31, 2024.

6.2 Attachment 1 - Ordinance for Chapter 17.78

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8 C. Delay in Enforcement of Unpermitted ADUs. For any unpermitted or substandard ADU built before January 1, 2020, upon an owner’s request, the city’s chief building official shall delay enforcing any building standards if the building official determines that the unpermitted ADU meets health and safety standards. This provision shall sunset on January 1, 2030; however, any delay that was approved by the enforcement agency before January 1, 2030, shall be valid for the full term of the delay.

D. Any ADU may be leased for a period not fewer than thirty (30) consecutive days.

E. Fire flow and fire department access must comply with the California Fire Code as amended by the San Mateo Consolidated Fire Department, or an alternate means shall be proposed.

F. Fire Sprinklers.

1. An ADU shall not be required to provide fire sprinklers if they are not required for the primary residence and may employ alternative methods for fire protection.

2. The construction of an ADU shall not trigger a requirement of fire sprinklers to be installed in the existing primary dwelling.

G. ADUs that are seven hundred fifty square feet or smaller are exempt from impact fees.

H. Notwithstanding the provisions of this section, the requirements for newly constructed ADUs shall not preclude constructing one ADU of at least eight hundred square feet, which is not more than sixteen feet in height, and at least four feet setback from the side and rear property lines.

I. Notwithstanding any other provision of this code, an applicant shall not be required to correct nonconforming conditions on the subject property as a condition of obtaining permits to construct an ADU or JADU.

J. Any properties with ADUs built or developed by a nonprofit corporation may qualify to be sold or conveyed separately from the primary residence, pursuant to California Government Code Section 65852.26. A qualified nonprofit corporation is a nonprofit corporation which is organized pursuant to Section 501(c)(3) of the Internal Revenue Code that has received a welfare exemption under Section 214.15 of the Revenue and Taxation Code for properties intended to be sold to low-income families who participate in a special no-interest loan program.

K. All JADUs and ADUs shall comply with the current Title 24 California Code of Regulations, as adopted by the city and all related safety codes. (Ord. 657 § 4 (Exh. P), 2023)

6.2 Attachment 1 - Ordinance for Chapter 17.78

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0 ORDINANCE NO. __________

AN ORDINANCE OF THE CITY OF FOSTER CITY MAKING TEXT AMENDMENTS TO TITLE 17, “ZONING” OF THE FOSTER CITY MUNICIPAL CODE CHAPTER 17.86, “DENSITY BONUSES”, TO ENSURE COMPLIANCE WITH RECENT CHANGES IN

STATE LAW AND FINDING THE AMENDMENTS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT – RZ2023-0007

CITY OF FOSTER CITY
WHEREAS, California Government Code Section 65915 ("State Density Bonus Law") requires all cities to adopt an ordinance that specifies how compliance with State Density Bonus Law will be implemented; and;
WHEREAS, in 2022, the Legislature adopted three (3) bills, Assembly Bills (AB) 2334, 1551, and 682, that make various amendments and clarifications to State Density Bonus Law, Government Code (GC) Section 65915; and
WHEREAS, on June 15, 2023, a Planning Commission Study Session was held to update the public and the Planning Commission on most recent State Laws affecting land uses, including additional revisions to the requirements density bonus law; and WHEREAS, the proposed amendments are required to be adopted to comply with State Density Bonus Law, which would preempt inconsistent provisions of the Municipal Code if such amendments were not adopted, and therefore the Municipal Code amendments would not result in a direct or indirect foreseeable physical change to the environment and are exempt from the California Environmental Quality Act (CEQA) under CEQA Guidelines (14 CCR 15000 et seq.) Section 15061(b)(3), Common Sense Exemption; and
WHEREAS, on August 17, 2023, the Planning Commission conducted a duly and properly noticed public hearing to take public testimony and consider a Resolution regarding the amendments to Chapter 17.86, and after conducting the public hearing, adopted Resolution No. P-12-23 with the Planning Commission recommending City Council approval of the amendments to Chapter 17.86; and WHEREAS, on September 6, 2023, a public hearing notice was published posted in three public places, and mailed pursuant to California Code Section 65090 for the City Council public hearing on September 18, 2023; and

NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF FOSTER CITY DOES ORDAIN AS FOLLOWS:

Section 1. The City Council does hereby find and determine based upon the aforementioned Record as follows:

6.3 Attachment 1 - Ordinance for Chapter 17.86

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0 1. The foregoing Recitals are true and correct and are incorporated herein by this reference; and

2. The proposed amendments are internally consistent with all other provisions of the General Plan and do not conflict with any of the previously adopted goals, policies or programs of the General Plan.

3. The proposed amendments are necessary to implement the goals and policies of the General Plan through implementation of the Housing Element.

4. The proposed Zoning amendments comply with, and are required by, applicable State law, including Government Code Section 68915 – 65918, and the Health and Safety Code Section 17980.12.

5. The proposed amendments will not be detrimental to the public interest, convenience, and general welfare of the City.

6. The proposed amendments are exempt from CEQA under CEQA Guidelines Section 15061(b)(3).

Section 2. Amendment. Chapter 17.86 “Density Bonuses” within Title 17, “Zoning” of the Foster City Municipal Code are hereby amended by repealing the existing Chapters

17.86 in their entireties and replacing those Chapters to read as set forth in the attached Exhibits A, as listed below and attached hereto and incorporated herein by reference:

Section 4. Taking Effect. This Ordinance shall take effect and be in force thirty (30) days from and after its adoption.

Section 5. Posting. Within fifteen (15) days after the adoption of this Ordinance, the City Clerk shall have it posted in three (3) public places designated by the City Council.

6.3 Attachment 1 - Ordinance for Chapter 17.86

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2 0
0 This Ordinance was introduced and read on the 18th day of September, 2023, and passed and adopted on the 2nd day of October, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

JON FROOMIN, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.3 Attachment 1 - Ordinance for Chapter 17.86

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0 EXHIBIT A
Chapter 17.86 Density Bonuses
2023 Updates
Chapter 17.86

DENSITY BONUSES
Sections:

17.86.010 Purpose.

17.86.020 Definitions.

17.86.030 Applicability.

17.86.040 Application requirements.

17.86.050 Density bonus.

17.86.060 Incentives.

17.86.070 Discretionary approval authority retained.

17.86.080 Waivers.

17.86.090 Affordable housing agreement.

17.86.100 Design and quality.

17.86.010 Purpose.

The purpose of this chapter is to comply with Government Code Section 65915 through 65918 (“State Density Bonus Law”) and implement the housing element of the Foster City General Plan in an effort to encourage the production of affordable housing units in developments proposed within the city. (Ord. 580 § 2 (part), 2013)

17.86.020 Definitions.

Unless otherwise specified in this chapter, the definitions found in State Density Bonus Law shall apply to the terms contained herein. (Ord. 580 § 2 (part), 2013)

17.86.030 Applicability.

A. This chapter and State Density Bonus Law shall apply to all zoning districts, where residential development, including mixed-use development, are allowed.

B. An applicant that proposes a housing development of five or more dwelling units is eligible to apply for a density bonus, incentives or concessions, waivers, and reduced parking standards if the applicant seeks and agrees to construct a housing development that includes at least one of the housing types specified in State Density Bonus Law in at least the quantity specified therein.

C. If any portion of this Chapter conflicts with State Density Bonus Law, State Density Bonus Law shall supersede this Chapter. Any ambiguities in this Chapter shall be interpreted to be consistent with State Density Bonus Law. (Ord. 580 § 2 (part), 2013)

17.86.040 Application requirements.

A. To apply for a State Density Bonus, incentive, concession, waiver, or parking modification, the applicant shall submit a letter of intent to the City along with the first application for approval of a

6.3 Attachment 1 - Ordinance for Chapter 17.86

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2 0
0 residential or mixed-use development project that demonstrates the project's eligibility for the requested State Density Bonus, incentive, concession, waiver, or parking modification.

B. The letter of intent shall specify the density permitted by the zoning and general plan, the affordability levels to be provided, tenure (for-sale or rental), number and location of affordable housing units or senior housing provided, description of all dwelling units existing on the site in the five-year period preceding the date of submittal, number of bonus units requested, number of concessions or incentives requested, and what specific incentives, concessions, waivers, or parking modifications would be sought.

C. The letter of intent shall include sufficient information for the review authority to determine whether the application conforms with the following requirements:

1. Replacement of Units. The development provides sufficient units to account for the replacement of units currently rented or rented to very low-, and low-income households in the past five (5) years, as required by State Density Bonus Law.

2. Concessions and Incentives. Provide evidence that any requested concession or incentive will reduce the cost of the housing development to provide for affordable housing costs or rents; except that, if a mixed-use development is requested, the application must instead meet all of the requirements of State Density Bonus Law.

3. Waiver. Evidence that the development standards for which a waiver is requested would have the effect of physically precluding the construction of a development at the densities or with the concessions or incentives permitted by State Density Bonus Law.

4. Parking Modification. If a parking modification is sought, evidence that the project is eligible for the parking reduction allowed by State Density Bonus Law.

5. Donation of Land. If the density bonus is based all or in part on donation of land, all of the requirements included in State Density Bonus Law have been met.

6. Child Care Facility. If the density bonus or incentive is based all or in part on the inclusion of a childcare facility, all of the requirements included in State Density Bonus Law have been met.

7. Condominium Conversion. If the density bonus or incentive is based all or in part on the inclusion of affordable units as part of a condominium conversion, all of the requirements included in State Density Bonus Law have been met.

D. The applicant shall be notified if the application is complete in a manner consistent with State Density Bonus Law.

E. (An application for a State Density Bonus, incentive, concession, waiver, or parking modification shall be considered and acted upon by the review authority with authority to review the residential or mixed-use development project concurrently with the action on the underlying project within the timelines prescribed by State Density Bonus Law et seq. (Ord. 580 § 2 (part), 2013)

17.86.050 Density bonus.

6.3 Attachment 1 - Ordinance for Chapter 17.86

30 1
2 0
0 A. A density bonus for a housing development means a density increase over the otherwise maximum allowable residential density under the applicable zoning and land use designation on the date the application is deemed complete. The amount of the allowable density bonus shall be calculated as provided in State Density Bonus Law. The applicant may select from only one of the income categories identified in State Density Bonus Law and may not combine density bonuses from different income categories to achieve a larger density bonus.

B. The body with approval authority for the planning approval sought will approve, deny or modify the request for a density bonus, incentive, waiver or use of density bonus parking standards in accordance with State Density Bonus Law and this chapter. Additionally, nothing herein prevents the city from granting a greater density bonus and additional incentives or waivers than that provided for herein, or from providing a lesser density bonus and fewer incentives and waivers than that provided for herein, when the housing development does not meet the minimum thresholds. (Ord. 580 § 2 (part), 2013)

17.86.060 Incentives.

A. Incentives and concessions are those defined by State Density Bonus Law.

B. The number of incentives granted shall be based upon the number the applicant is entitled to pursuant to State Density Bonus Law.

C. A requested incentive may be denied only for those reasons provided in State Density Bonus Law.

Denial of an incentive is a separate and distinct act from a decision to deny or approve the entirety of the project. (Ord. 580 § 2 (part), 2013)

17.86.070 Discretionary approval authority retained.

The granting of a density bonus or incentive(s) shall not be interpreted in and of itself to require a general plan amendment, zoning change or other discretionary approval. If a density bonus or an incentive would otherwise trigger one of these approvals, when it is granted as a density bonus or an incentive, no general plan amendment, zoning change or other discretionary approval is required.

However, if the base project without the density bonus or incentive requires a general plan amendment, zoning change or other discretionary approval, the city retains discretion to make or not make the required findings for approval of the base project. (Ord. 580 § 2 (part), 2013)

17.86.080 Waivers
A waiver is a modification to a development standard that would otherwise physically preclude the construction of a housing project eligible for a density bonus at the densities or with the incentives or concessions permitted by State Density Bonus Law. Development standards include, but are not limited to, a height limitation, a setback requirement, minimum floor areas, an on-site open space requirement, or a parking ratio that applies to a residential development. There is no limit on the number of waivers. (Ord. 580 § 2 (part), 2013)

17.86.090 Affordable housing agreement and senior housing agreement.

A. Except when a density bonus, waiver, or parking reduction is awarded for a market-rate senior housing development, the applicant shall enter into an affordable housing agreement with the city to the satisfaction of the city attorney guaranteeing the affordability of the rental or ownership units for a minimum of 55 years, identifying the type, size and location of each affordable unit and containing requirements for administration, reporting and monitoring.

6.3 Attachment 1 - Ordinance for Chapter 17.86

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0 B. Where a density bonus, waiver, or parking reduction is provided for a market-rate senior housing development, the applicant shall enter into a restrictive covenant with the city to the satisfaction of the City Attorney to require that the housing development be operated as “housing for older persons” consistent with state and federal fair housing laws.

C. Such affordable housing agreement or senior housing agreement, as applicable, shall be recorded in the San Mateo County recorder’s office prior to issuance of the first building permit for the housing development. (Ord. 580 § 2 (part), 2013)

17.86.100 Design and quality.

A. Affordable units shall be constructed concurrently with market-rate units and shall be integrated into the project.

B. Affordable units shall be of equal design and quality as the market rate unit. Exteriors and interiors, including architecture, elevations, floor plans, interior finishes and amenities of the affordable units shall be substantially similar to the market rate units.

C. The number of bedrooms in the affordable units shall be consistent with the mix of market rate units.

D. Parking standards may be modified as allowable under the State Density Bonus Law and anything beyond those standards shall be considered a request for an incentive. (Ord. 580 § 2 (part), 2013)

6.3 Attachment 1 - Ordinance for Chapter 17.86

32 4
5 6
DATE: October 2, 2023

TO: Mayor and Members of the City Council
President and Members of the Estero Municipal Improvement District (EMID) Board of Directors
VIA: Stefan Chatwin, City/District Manager

FROM: Diane Pitman, Interim Human Resources Director
DEPARTMENT: Human Resources
SUBJECT: CONSIDERATION OF ADOPTION THE AMERICAN

FEDERATION OF STATE, COUNTY & MUNICIPAL EMPLOYEES
(AFSCME) MEMORANDUM OF UNDERSTANDING EFFECTIVE
JULY 1, 2023, THROUGH SEPTEMBER 8, 2024 AND

APPROVING A SUPPLEMENTAL APPROPRIATION FOR AN
AGGREGATE $364,638 TO VARIOUS FUNDS IN FISCAL YEAR
2023-2024

RECOMMENDATION
It is recommended that the City Council/Estero Municipal Improvement District Board of Directors (hereinafter referred to as “City Council”) adopt the attached resolutions (Attachment 1 and Attachment 2) approving the Memorandum of Understanding (MOU), effective July 1, 2023, through September 8, 2024, for the American Federation of State, County and Municipal Employees (AFSCME) and approve a supplemental appropriation for an aggregate $364,638 to various Funds in Fiscal Year 2023-2024.

EXECUTIVE SUMMARY
The previous MOU for employees represented by AFSCME expired on June 30, 2023.

The City’s labor negotiation team and the AFSCME negotiation team met multiple times to discuss a successor agreement. Members of the AFSCME unit ratified a tentative agreement on September 27, 2023. The good faith efforts of the bargaining teams resulted in the attached fourteen month and 8-day agreement that includes increases to

6.4 6.4 Staff Report

33 4
5 6
compensation (wages and health benefit contributions) and a commitment to commence negotiations for a new MOU in February 2024 which will include the Classification and Compensation study completed earlier this year.

BACKGROUND/ANALYSIS
The previous MOU with AFSCME expired on June 30, 2023. Starting in July 2023, the City/District labor negotiation team continued to negotiate in good faith with the AFSCME negotiation team. After multiple meetings, AFSCME brought the tentative agreement to their membership, and it was ratified by the group on September 27, 2023. The tentatively agreed upon changes to the MOU are:

Term: Fourteen months and eight days, effective July 1, 2023, through September 8, 2024
Wages: Effective July 1, 2023 – a 5% increase to base salary.

Flexible Benefit Plan (Medical, Dental, Vision): Effective January 1, 2024, the Employer’s contribution towards the Flexible Benefit Plan will be increased by the percentage increase in the CalPERS Kaiser HMO Basic Premium Region 1 rate for Public Agencies.

Negotiations: Commence negotiations on a new MOU, to include the Classification Study and results of the Compensation study, no later than February 29, 2024
Staff is recommending the City Council approve the MOU with an effective date of July 1, 2023 (Attachment 3). Upon adoption, negotiation team members will sign the attached MOU and staff will implement the provisions of the MOU.

California Environmental Quality Act
Not Applicable

FISCAL IMPACT
The City Council adopted the FY 2023-2024 budget which included a 2% placeholder increase in wages for the AFSCME employees. The additional provisions negotiated in this agreement require a supplemental budget appropriation of $364,638 to various funds as noted below.

Amount
General Fund 001 $217,185 General Fund 003 $ 31,716

6.4 6.4 Staff Report

34 4
5 6
CalOpps Fund 114 $ 2,101 Water Enterprise Fund 401 $ 39,682 Wastewater Enterprise Fund 451 $ 44,017 Vehicle Internal Service Fund 501 $ 9,680 Information Technology Internal Service Fund 504 $ 1,315 Building Maintenance Internal Service Fund 505 $ 18,942 Total $364,638
The fiscal impact for the period from July 1, 2024 to September 8, 2024 will be incorporated into the preparation of the FY 2024-2025 budget.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Staff Empowerment and Operational Excellence
ATTACHMENTS:

Attachment 1 – City Resolution
Attachment 2 – EMID Resolution
Attachment 3 – AFSCME Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

6.4 6.4 Staff Report

35 RESOLUTION NO. _____________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FOSTER CITY

APPROVING THE MEMORANDUM OF UNDERSTANDING FOR THE AMERICAN

FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES (AFSCME), COUNCIL 57, LOCAL 829 EFFECTIVE JULY 1, 2023, AND APPROVING A SUPPLEMENTAL APPROPRIATION FOR AN AGGREGATE $364,638 TO VARIOUS FUNDS IN FISCAL YEAR 2023-2024

CITY OF FOSTER CITY
WHEREAS, the City and the American Federation of State, County and Municipal Employees (AFSCME), Council 57, Local 829 have met in good faith and agreed upon a fourteen month and eight-day memorandum of understanding.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Foster City does hereby

1) approve effective July 1, 2023, the Memorandum of Understanding for the American Federation of State, County and Municipal Employees (AFSCME), Council 57, Local 829, for the period July 1, 2023, through September 8, 2024, and
2) authorize additional appropriations totaling $364,638 in Fiscal Year 2023-2024 for the following funds as noted below
3) authorize the Finance Director to further allocate the above amounts to the applicable account objects within these Funds.

6.4 Attachment 1 - City Resolution

36 PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the regular meeting held on the 2nd day of October 2023 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
________________________________

JON FROOMIN, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.4 Attachment 1 - City Resolution

37 RESOLUTION NO. _____________

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ESTERO MUNICIPAL

IMPROVEMENT DISTRICT APPROVING THE MEMORANDUM OF UNDERSTANDING

FOR THE AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES (AFSCME), COUNCIL 57, LOCAL 829 EFFECTIVE JULY 1, 2023 AND APPROVING A SUPPLEMENTAL APPROPRIATION FOR AN AGGREGATE $364,638 TO VARIOUS FUNDS IN FISCAL YEAR 2023-2024

ESTERO MUNICIPAL IMPROVEMENT DISTRICT
WHEREAS, the District and the American Federation of State, County and Municipal Employees (AFSCME), Council 57, Local 829 have met in good faith and agreed upon a fourteen month and eight-day memorandum of understanding; and NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Estero Municipal Improvement District does hereby
1) approve effective July 1, 2023, the Memorandum of Understanding for the American Federation of State, County and Municipal Employees (AFSCME), Council 57, Local 829, for the period July 1, 2023, through September 8, 2024, and
2) authorize additional appropriations totaling $364,638 in Fiscal Year 2023-2024 for the following funds as noted below
3) authorize the Finance Director to further allocate the above amounts to the applicable account objects within these Funds.

6.4 Attachment 2 - EMID Resolution

38 PASSED AND ADOPTED as a resolution of the Board of Directors of the Estero Municipal Improvement District at the Regular Meeting held on the 2 nd day of October, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
________________________________

JON FROOMIN, PRESIDENT
ATTEST:

PRISCILLA SCHAUS, DISTRICT SECRETARY

6.4 Attachment 2 - EMID Resolution

39 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833

MEMORANDUM OF UNDERSTANDING

BETWEEN

CITY OF FOSTER CITY/ESTERO MUNICIPAL IMPROVEMENT

DISTRICT

AND
COUNCIL 57, LOCAL 829

AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL

EMPLOYEES

EFFECTIVE JULY 1, 20212023, TO
THROUGH September 8, 2024 JUNE 30, 2023

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

40 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 i

Contents
WAGES AND OTHER COMPENSATION ....................................................................................1 Section 1 - Wages and Retirement ............................................................................................1 Section 2 - Merit Increases ........................................................................................................2 Section 3 – Probationary Period ...............................................................................................2 Section 4 - Pay for Work in Higher Class ................................................................................3 Section 5 - Work Week ..............................................................................................................3 Section 6 - Premium / Additional Pays .....................................................................................4 Section 7 – Certification Accomplishment Pay ........................................................................8 Section 8 - Flexible Benefits Plan ............................................................................................10 Section 9 - Long Term /Accident Disability Insurance .........................................................10 Section 10 - Life Insurance Premium .....................................................................................11 Section 11 - Sick Leave Payment .............................................................................................11 Section 12 - Employee Assistance Program (EAP) ................................................................11 Section 13 - Voluntary Deferred Compensation Program ....................................................11 Section 14 – Employee Service Recognition Plan ..................................................................11 Section 15 – Vision / Professional Development Reimbursement ........................................12 Section 16 – VEBA Program ...................................................................................................13 HOLIDAYS ...................................................................................................................................14 Section 17 - Official City/District Holidays ............................................................................14 VACATION AND OTHER LEAVES ...........................................................................................15 Section 18 - Vacation Accrual .................................................................................................15 Section 19 - Discretionary Leave .............................................................................................16 Section 20 – Service Recognition Leave .................................................................................16 Section 21 – Funeral / Bereavement Leave ............................................................................17 Section 22 - Sick Leave Accrual and Use ................................................................................17 Section 23 - Industrial Disability Leave ..................................................................................18 Section 24 - Other Leave Provisions .......................................................................................18 REPRESENTATION .....................................................................................................................18 Section 25 - Advance Notice ....................................................................................................18 Section 26 - Stewards ...............................................................................................................19 Section 27 - Representation for Employees at Interviews .....................................................19

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

41 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 ii

Section 28 - Bulletin Boards ....................................................................................................20 DUES DEDUCTION .....................................................................................................................20 Section 29 –Dues Deduction .....................................................................................................20 Section 30 – PEOPLE Deduction ............................................................................................21 Section 31 - Hold Harmless .....................................................................................................21 SAFETY .........................................................................................................................................21 Section 32 - Safety Program ....................................................................................................21 GRIEVANCE PROCEDURE ........................................................................................................22 Section 33 - Grievance Procedure ...........................................................................................22 LAYOFF PROCEDURE ................................................................................................................22 Section 34 -- Definition .............................................................................................................22 Section 35 -- Notice to Employees ...........................................................................................22 Section 36 -- Layoff Order and Procedure .............................................................................23 Section 37 -- Priority Employment Rights .............................................................................23 Section 38 – Reemployment Lists ............................................................................................23 Section 39 -- Status of Laid Off Employees ............................................................................24 Section 40 -- Fringe Benefits ....................................................................................................24 Section 41 -- Reemployment ....................................................................................................24 Section 42 -- Status of Rehired Employees .............................................................................25 Section 43 -- Anniversary Date of Rehired Employees .........................................................25 Section 44 -- Pay of Rehired Employees .................................................................................25 Section 45 -- Medical Examination for Rehires .....................................................................26 MISCELLANEOUS TERMS AND CONDITIONS OF EMPLOYMENT ...................................26 Section 46 - Non-Discrimination .............................................................................................26 Section 47 - Access to Personnel Files .....................................................................................26 Section 48 - Job Specifications .................................................................................................26 Section 49 - Personnel Rules ....................................................................................................27 Section 50 - Transfer, Promotion, Demotion..........................................................................27 Section 51 – Discipline, Discharge ...........................................................................................27 Section 52 - Light Duty / Light Work .....................................................................................27 Section 53 - Seniority ................................................................................................................27 Section 54 - Uniform Policy .....................................................................................................27 Section 55 - Education and Career Development ..................................................................29

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

42 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 iii

Section 56 - Contracting Work ................................................................................................29 Section 57 - Temporary Employees ........................................................................................29 Section 58 – COVID Recognition Bonus ................................................................................29 Section 59 58 - Market Compensation Study ........................................................................29 Section 60 59 – Labor Management Committee (LMC) .......................................................30 PROVISIONS OF LAW ................................................................................................................30 Section 61 60 – City / District Rights ......................................................................................31 Section 62 61 - Effect of Agreement ........................................................................................31 Section 63 62 - Statement of Understanding ..........................................................................31 Section 64 63 - Severability ......................................................................................................31 TERM OF THIS MEMORANDUM OF UNDERSTANDING .....................................................31 ATTACHMENTS .........................................................................................................................33 Attachment A ............................................................................................................................33 Represented Classifications ........................................................................................................33 Attachment B ............................................................................................................................34 Salaries .......................................................................................................................................34 Attachment C ............................................................................................................................35 Uniform Policy for Public Works Maintenance Employees ..................................................... 35 Attachment D ............................................................................................................................36 Side Letter of Agreement, dated February 20, 2021 .................................................................. 36

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

43 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 1 MEMORANDUM OF UNDERSTANDING

BETWEEN

CITY OF FOSTER CITY/

ESTERO MUNICIPAL IMPROVEMENT DISTRICT
AND
COUNCIL 57, LOCAL 829

AMERICAN FEDERATION OF STATE, COUNTY AND MUNICIPAL EMPLOYEES

This Memorandum of Understanding is entered into by the City of Foster City/Estero Municipal Improvement District (hereinafter referred to as the City/District) and the American Federation of State, County and Municipal Employees, Council 57, Local 829 (hereinafter referred to as the Union or AFSCME) pursuant to and subject to Section 3500 et seq. of the Government Code of the State of Californi a (hereinafter referred to as MOU). The City/District acknowledges that AFSCME is the recognized employee organization which, within the scope of representation, represents the bargaining unit consisting of all regular employees in the classifications list ed in Attachment A. Hereinafter "Employees" shall mean employees serving in classifications assigned to the AFSCME bargaining unit as defined above.

The staff representatives of the City/District (hereinafter referred to as Management) and the representatives of the Union have met and conferred in good faith, exchanged proposals, and have agreed to the adjustments to wages, hours, and other terms and conditions of employment for the above-described Union. The Union agrees to recommend favorably to its members the adjustments set forth herein, and Management agrees to recommend to the City Council of the City of Foster City/Board of Directors of the Estero Municipal Improvement District (hereinafter referred to as the Council/Board) that the adjustments set forth herein be adopted in full by the Council/Board in the manner and procedure prescribed by law. By their signatures, the representatives of both parties attest to agreement on the adjustments set forth herein.

WAGES AND OTHER COMPENSATION

Section 1 - Wages and Retirement

1.1 Effective July 1, 2021 2023 wages for classes represented by the Union shall be as stated in Appendix Attachment B

1.2 Effective July 1, 2022, an across-the-board increase to base salary for all bargaining unit classifications shall be equal to a percentage movement of the SF-Oakland-Hayward, CA CPI-U April 2021 to April 2022 (Urban) with a minimum of three percent (3.0%) and a maximum of five percent (5.0%).

1.31.2 The City/District contracted with the Public Employees Retirement System (PERS) to provide the 2.7%@ 55 retirement plan for miscellaneous Employees effective October 1, 2007. Upon implementation of the 2.7%@55 benefit, the Employee Service Recognition Plan as set forth in Section 14 terminated, excep t as provided in Section 14.1 (Employees who retired prior to the implementation of the 2.7%@55 retirement benefit). Effective January 1, 2013, the City/District no longer offered the 2.7%@ 55 retirement benefit formula to new Employees. All miscellaneous Employees hired on or before December 31, 2012 will continue to be afforded the 2.7%@55 retirement benefit formula. Effective January 1, 2013,

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

44 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 2 the Public Employees Pension Reform Act (PEPRA) requires new miscellaneous Employees to enroll in the 2%@62 retirement tier with pension calculated based on the average highest annual compensation over a consecutive 36-month period. This new retirement tier applies only to a new member. A new member is (a) someone who has never been in P.E.R.S. or a reciprocal retirement system or (b) someone previously in P.E.R.S. or a reciprocal retirement system, but who has a gap of at lea st six (6) months since being covered by any of those pension systems. PERS refers to Employees hired before January 1, 2013 as classic members.

1.41.3 Employee contributions to PERS shall be administered in accordance with Internal Revenue Code Section 414 (h)(2).

1.51.4 The City/District has contracted with PERS to provide the 4th Level of 1959 Survivor Benefits.

1.61.5 The City/District shall continue to contract with PERS to provide the Military Service Credit.

1.71.6 Employee Pension Committee – The City has requested that 2 employees from the bargaining unit represented AFSCME (Selected by AFSCME) join/participate on the Employee Pension Committee.

1.81.7 Effective April 1, 2022, the parties agree that Classic employees will pay/contribute 0.5% toward the Employer’s PERS contribution rate.

Section 2 - Merit Increases

2.1 Upon satisfactory completion of six (6) months of the required probationary period, a merit increase to the next higher step in the salary range shall be granted to eligible Employees.

Each twelve (12 ) months thereafter, upon the anniversary of such first merit increase, and until the maximum pay range established for the job class has been reached, each Employee receiving a satisfactory performance evaluation shall receive a merit increase to the next higher step. Provided, however, that the Employee shall not receive annual merit increases beyond the maximum step of the salary range for the established job class.

Section 3 – Probationary Period

3.1 The probationary period for new Employees shall be for a period of not less than twelve (12) months of actual service. The length of the promotional probationary period shall be for a period of not less than six (6) months of actual service. If a promotional probationary Employee is rejected at any time, the Employee will maintain the ability to return to his/her previous job if the position is still vacant, as provided in the City/District Personnel Rules and Regulations (hereinafter referred to as City/District Personnel Rules).

3.2 Further provisions regarding probationary periods are found in the City/District Personnel Rules.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

45 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 3 Section 4 - Pay for Work in Higher Class

4.1 In order to receive additional compensation for performing duties assigned to a higher job class, all the following conditions must be met:

a. The higher job class must be vacant or filled by another Employee who is absent; b. The Employee must receive prior written approval from his/her department head before performing such duties;
c. The Employee must be assigned to perform the duties of the higher job class; and d. The duration of the assignment shall be for a minimum of four (4) consecutive full working days in that higher job class. Pay shall be retroactive to the first day.

4.2 An Employee who believes he/she is performing the duties of a vacant position or an absent Employee in a higher class, but has not received prior writte n approval from his/her department head or division head and Human Resources shall immediately notify his/her department head in writing. The Department Head or designee shall approve or deny, within one business day, the Employee’s inquiry.

4.3 Compensation for performing duties assigned to a higher job class shall be paid at the first step of that higher class or at a step which is not less than 5% more than the Employee's current rate, whichever is more, provided the maximum pay step is not exc eeded. The pay rate established for work in a higher class shall be considered the straight rate of pay for an Employee so assigned.

4.4 The maximum amount of time required to work out of class shall not exceed three (3) months.

No Employee shall be required regularly to perform the duties of another classification except in an emergency situation.

Section 5 - Work Week

5.1 The work week shall be forty (40) hours within seven (7) consecutive days. Employees shall be scheduled to work on regular work shifts, with regular starting and quitting times.

The standard work week consists of eight (8) hour days five (5) days per week. Eligible Employees may work a 9/80 work schedule under which Employees work nine (9) hour days four (4) days per week, plus one eight (8) hour day once every two weeks. The work week under the 9/80 schedule is defined as 40 hours per week and will begin four (4) hours after the start time of each employee’s eight (8) hour day. The Alternative Work Schedule Policy located on the City/District’s intranet provides details on the 9/80 schedule.

Changes to the schedule, including start shift times, will be met and conferred on.

5.2 An Employee who is required to work in excess of a regularly scheduled workday shall not be required to reduc e another regularly scheduled work week in whole or in part to compensate for that additional time worked.

5.3 Hours Off Between Shifts Nothing herein shall prohibit department management from occasionally adjusting regular shift work hours by up to four hours earlier or later or days of a regular shift due to a special event or circumstance with at least 48 hours advance notice to the affected Employee(s). For example, the 7:00 am to 4:30 pm regular shift could be

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

46 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 4 adjusted to 5:00 am to 2:30 pm or 10:00 am to 7:30 pm.

When Employees are scheduled to work shifts which have been changed, to accommodate business needs of the City/District, eight hours of off -duty time will be scheduled between shifts. If eight (8) hours of time between shif ts cannot be granted, all time worked on the second shift shall be paid at the overtime rate of time -and-one-half. Any off -duty time necessary to provide eight (8) hours between shifts will be paid at straight time.

Hours off between shifts shall also app ly to Employees attending training, meetings, conferences or any other job related event in which an Employee is required to be present.

5.4 Rest Periods after Extended Shift
An Employee, who works more than fourteen (14) hours during a twenty -four (24) hour period, starting at the beginning of the Employee’s regularly scheduled start time, shall be entitled to receive a ten (10) hour rest period before returning to duty. Such rest period shall commence when the Employee goes off duty.

Should the ten (10) hour rest period extend beyond the starting time of the Employee’s regular shift, the Employee shall be required to work only the remainder of that shift but shall be compensated as though he/she had worked the entire shift.

Should an Employee who has worked more than fourteen (14) hours in a twenty -four (24) hour period be required to return to duty prior to completion of the ten (10) hour rest period, that Employee shall be compensated at one and one-half (1-1/2) times his/her regular rate of pay for the time remaining in the rest period.

Shifts not filled on a voluntary basis will require Employees to be mandated to work based on seniority from lowest to highest.

5.5 Day Light Savings Time
Employees who work during the twice annual daylight change over period will be given one hour overtime in the fall when their shift is extended by one hour and will need to take one hour of leave in the spring when their shift is reduced by an hour.

Section 6 - Premium / Additional Pays

6.1 Overtime and Compensatory Leave - An Employee who is required to work in excess of the regular working hours during any one work day or who is required to attend a meeting not held during regular working hours (e.g., Planning Commission meeting), shall be compensated by overtime pay at the rate of one and one -half times the Employee's straight rate of pay (e.g., base pay plus any applicable additional pay in Sections 7.1 and 7.2) or by compensatory time off at the rate of one and one-half times the hours worked.

6.2 All work in excess of regular working hours shall be subject to prior approval of the department head.

6.3 Compensatory Leave Accrual - No Employee shall be allowed to accumulate more than 120 hours of compensatory leave (80 straight hours worked).

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

47 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 5 6.4 Work on a Holiday - An Employee who is required to work on an authorized holiday shall be compensated at the rate of one and one -half times the hours worked in addition to the usual straight time pay for the holiday.

For purposes of determining eligibility for premium pay for work on a holiday, the authorized holiday shall be defined as the day observed by the City/District as an official holiday in accordance with Section 17, or as the actual date of the holiday, but not both.

6.5 Night Shift Differential – Effective July 1, 2001, there shall be a $1.10 per hour shift differential for any maintenance Employees who work non-overtime hours between 10 p.m. and 6 a.m.

6.6 Callback Pay – An Employee recalled to work outside of and not continuous with an Employee’s regularly scheduled hours of work shall be paid a minimum of two hours at the rate of one and one-half times the Employee's regular straight-time rate of pay. An Employee shall not receive additional two-hour payments for multiple callbacks that occur within one two-hour period. Pay shall include hours worked only and shall exclude any travel time.

When a maintenance Employee is on the premises prior to the beginning of their scheduled shift and responds to a call to work, they shall be paid at the overtime rate as follows:

a. One hour for work within one hour of the start of their shift.

b. Two hours for work between one and two hours prior to the start of their shift.

6.7 Standby Pay - To provide for operation and maintenance of water and sewer systems, designated Employees shall be available as scheduled based on item j) below. The following rules and regulations are established with regard to "standby pay".

a. Off-hour service (i.e., service outside the Employee's 40 -hour work week) shall be provided by standby Employees.

b. Employees shall be specifically assigned standby duty by department management.

Department management will first request volunteers and then assign employees based on seniority from lowest to highest. The routine standby period shall be one week. Employees on the standby list who do not wish to work standby on their given date(s) can change or trade the assignment if they can find another eligible Employee to fill his/her day or week on standby. He/she shall be responsible for notifying management of the replacement in advance. In the event a replacement cannot be found, it is the responsibility of the Employee to work standby as assigned.

c. Standby pay for a regularly scheduled workday (Monday through Friday) shall be $75 per calendar day of standby.

d. Standby pay for a non -regularly scheduled workday (e.g., weekend days, 9/80 day off) shall be $100 per calendar day of standby.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

48 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 6 e. In addition to standby pay provided in c) and d), standby Employees who are called for service during off-duty hours by an authorized Employee shall be compensated for hours worked pursuant to Section 6.1 Overtime and Compensatory Leave, based on hours worked only and shall exclude any travel time. Pay or compensatory leave shall not be less than three (3) hours at the rate of time and one -half. The standby Employee shall perform a Yard Check on Saturdays, Sundays and holidays. The Yard Check shall be completed between 6:00 a.m. and 10:00 a.m. Performance of the Yard Check shall adhere to the “Standby S.O.P. For Public Works Maintenance Employees”. Employees completing the Yard Check will receive three (3) hours of pay at time and one -half. On weekends or holidays, should the standby Employee be on a call between the hours of 5:00 a.m. to 10:00 a.m., upon resolving the original problem, the Employee shall complete the Yard Check before returning home. In this situation, the Employee will receive the minimum of three (3) hours of pay at time and one -half for completing the call and the Yard Check. There will not be an additional three (3) hours pay at time and one -half for the Yard Check. If the call and the Yard Check exceed three (3) hours, the standby Employee will receive pay for the total hours worked at time and one-half. Standby Employees shall advise the Public Safety dispatcher of arrival and departure from City/District facilities when called for service. If the standby Employee receives an additional call within fifteen (15) minutes of contacting Public Safety Dispatch that he/she is departing from City/District facilities, the standby Employee will return to the City/District and continue working at time and one half pay. This will not generate an additional call back minimum. If the standby Employee receives an additional call from Public Safety Dispatch, he/she is still within the three (3) hour time frame from the initial call and sixteen (16) minutes or more have passed since departing City/District facilities, the Employee will return to the City/District and be paid for a minimum of two (2) hours at time and one half.

f. Standby Employees may take home a City/District service vehicle to be used only for official business of the City/District. Employees who elect to use a City/District vehicle must sign a Vehicle Use Declaration and Acknowledgement Form.

g. Standby Employees will be covered by Worker's Compensation in accordance with current State law.

h. The City/District shall provide one cell phone to be used by Employees assigned to standby duty. Employees shall be responsible for negligent loss of or damage to the standby cell phone.

i. An Employee assigned to standby duty for sewage lift station emergencies, which involve work below ground, shall comply with all the standards and procedures outlined in the City/District's Confined Space Policy which is included in the Citywide Safety Program Manual and which shall comply with all appropriate Federal or State regulations.

j. Routine One-Week Standby Schedule:

Standby Period Schedule
Monday 4:30 p.m. to 7:00 a.m. Tuesday 14.5 hours
Tuesday 4:30 p.m. to 7:00 a.m. Wednesday 14.5 hours
Wednesday 4:30 p.m. to 7:00 a.m. Thursday 14.5 hours

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

49 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 7 Thursday 4:30 p.m. to 7:00 a.m. Friday 14.5 hours
Friday 3:30 p.m. to 7:00 a.m. Saturday 14.5 hours
Saturday 7:00 a.m. to 7:00 a.m. Sunday 24.0 hours
Sunday 7:00 a.m. to 7:00 a.m. Monday 24.0 hours
120.5 hours

k. When a maintenance Employee is called more than once between the hours of 12 midnight and 6 a.m. in any 24 hour period which does not result in a response (no call back pay applies), the Employee shall receive one (1) hour of straight-time pay.

6.8 Court-Time Pay - Senior Community Service Officers subpoenaed to court in their capacity as an Employee of the City/District during off-duty hours shall receive a minimum of four (4) hours paid at a rate of time and one -half. However, if the scheduled court appearance falls within one hour prior t o the commencement of his/her scheduled shift, or within one hour after the end of his/her scheduled shift, the Employee shall receive a maximum of two (2) hours paid at a rate of time and one-half.

6.9 Senior Community Service Officers required to be on telephonic standby for purposes of appearing in court during off duty hours, pursuant to a subpoena or at the direction of the District Attorney or the City Attorney shall be paid standby pay at half (1/2) of their overtime pay rate to a maximum of four (4) hours pay at the overtime rate per day.

6.10 Special Assignment Pay – An Employee who performs a substantial portion of specially assigned work that includes lead worker duties including supervising staff, special projects, or other work which may be deemed to be working outside of one’s specified job classification, that is otherwise not considered to be working in a higher class as specified in Section 4, shall be eligible to receive up to a 10% differential above the Employee’s regular base pay rate, subject to the prior approval of the department head and the City/District Manager. The special assignment must be for a period of not less than two weeks.

6.11 Each premium pay shall be based on the Employee's straight time rate of pay per hour.

6.12 Release Time – When a Maintenance Employee has worked overtime equal to or greater than two (2) hours between the hours of 10:00pm and 7:00am on any one night between Sunday evening and Friday morning, for safety reasons, paid release time will be granted in thirty (30) minute increments equal to the time worked and will not provide for fractions of hours that are less than thirty (30) minutes. The employee and his/her Supervisor shall mutually agree on whether the paid release time will be taken at the beg inning or the end of the employees’ shift, taking into consideration the maintenance of a safe working environment and needs of the business.

6.13 Special Shift Change – A special shift change would require employees to work during traditional graveyard hours for special projects and/or planned service needs. All special shift changes must have a minimum of 120 hours (5 business days) notice. A special shift change will be a minimum of two consecutive shifts. A special shift that exceeds the employees’ normal 8 hour work day (9 hours if they are on the 9/80 work schedule) will be paid at time and one half. The special shift that is scheduled will be considered one continuous shift even when it is divided between two calendar days.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

50 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 8 When there is a Special Shift Change, management will first determine the number of employees required from each Department, Division and Job Classification. Management will first take volunteers by Job Classification and then select employees based on seniority within each job classification to ensure half of the employees on the special shift represent the more senior ranks of the job classification and the other half of the employees on the special shift represent the more junior ranks of the job classification. Management will use reasonable efforts to ensure all employees work one special shift before selecting employees to work a second special shift. The selection process will ensure cross training of all employees.

Section 7 – Certification Accomplishment Pay

Certification pays for Maintenance classifications shall be an annual payment on the payroll check upon renewal. In order to continue to receive the certification pay, Employees are required to maintain their certification level and provide their direct supervisor with the proper certification renewal documents to maintain certification pay level. Employees failing to recertify and/or not providing documentation of certification renewal will have their certification pay reduced accordingly. To ensure proper processing and no loss of certification pay, all certification documents should be provided to their direct supervisor upon completion o f the certification. On July 1 of each year, the Parks and Public Works Department supervisors will submit a completed and signed Personnel Action Form for each Employee’s certification pay based on the certificates held by the Employee on July 1 to the Fi nance Department, and the certification pay to the Employee shall be made upon the Finance Department’s receipt of the Personnel Action Form.

Employees who obtain additional certificates after July 1, will be compensated up to the maximum limit for the fiscal year upon the Finance Department’s receipt of a completed and signed Personnel Action Form.

7.1 Employees in the maintenance classifications and the Senior Engineering Technician who earn City/District-approved and endorsed certifications, or who successfully renew their existing certifications, are eligible to earn certificate pay as listed below. The total maximum annual certificate pay for multiple earned or renewed certificates shall not exceed $750 in Fiscal Year 2020 – 2021. While an Employee can only receive certificate pay for the highest certificate obtained in each series (not an aggregate), an Employee is eligible for certificate pay for certificates held in two or more of the series, subject to the Fiscal Year maximum. For example, an Employee who holds two Grade 1 certificates in different series would be eligible for a total certificate pay of $400. Employees in the Public Works Maintenance Worker II classification are required to have at least one of the Grade certificates listed below.

Department of Health Services (DOHS) Water Distribution Department of Health Services (DOHS) Water Treatment
California Water Environment Association (CWEA)
California Water Pollution Control Association (CWPCA)

Grade 1 - $200
Grade 2 - $300
Grade 3 - $400
Grade 4 - $500

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

51 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 9 Grade 5 - $600

Qualified Applicator Certificate Holder (QAC) - $250
Pest Control Advisor Certificate Holder (PCA) - $300
Backflow Prevention License - $300
Certified Arborist (ISA) - $300”
Certified Playground Safety Inspector (CPSI) - $300
Building Operator Certification (BOC) - $300
Master Gardener - $200
First Aid/CPR Instructor - $200

In addition, AFSCME Employees who are not in the maintenance or Senior Engineering Technician classifications are eligible for the First Aid/CPR Instructor certification accomplishment pay of $200 per year.”

7.2 Employees in the building inspection classifications who earn City/District -approved and endorsed certifications listed from a recognized model code certification program are eligible to earn certificate pay as follows:

a. $100/month Building, Plumbing, Electrical and Mechanical Inspector

b. Additional $100/month Either Building Plans Examiner or Certified Access Specialist issued by the State of California; or Build
it Green New Home or a LEED Accredited
Professional.
c. Additional $100/month Any one certificate listed in b) that has not been previously earned or a combination of two (2) of the
following:

Pre-stressed Concrete Special Inspector
Reinforced Concrete Special Inspector
Structural Masonry Special Inspector
Structural Steel/Welding Special Inspector
Spray-Applied Fireproofing Special Inspector
Electrical Plans Examiner
Plumbing Plans Examiner
Mechanic Plans Examiner
Green Building Plans Examiner
Fire Plans Examiner
Certified Building Official
Certified Fire Marshal
Fire Inspector I or II
Green Building Inspector
CalEMA-SAP Disaster Response Inspector

7.2.1 Building Inspectors with a Residential Fire Protection Systems Inspector certificate will earn $200/month certificate pay.

7.3 The maximum certificate pay is $500 per month, a maximum of $300/month for

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

52 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 10 certifications outlined in Section 7.2 (a), (b) and (c) and/or $200/month for the certification outlined in Section 7.2.1. Employees holding certificates listed in Sections 7.2 and/or 7.2.1 on July 1, 2015 were immediately eligible for the certificate pay amounts listed in Sections

7.2 and 7.2.1 upon submission of supporting documentation to their direct supervisor.

Section 8 - Flexible Benefits Plan

8.1 The City/District shall offer a Flexible Benefits Plan and make monthly contributions for employee benefit allowances for allocation to health, dental, optional vision insurance premiums, health and dependent care flexible spending accounts as follows effective January 1, 20222023:

Employee and Family Members
Enrolled in Medical Plan
ChoiceEmployee and Family
Members Enrolled in Medical
Plan Choice
Contribution
Amount
1/1/2023Con
tribution
Amount
1/1/2022
No PlanNo Plan $1,005$943
Employee OnlyEmployee Only $1,333$1,25
0 Employee + OneEmployee + One $1,913$1,79
4 Employee + Two or MoreEmployee
+ Two or More
$2,418$2,26
8 Effective January 1, 20232024, the Employer’s contribution toward the Flexible Benefit Plan will be increased by the percentage increase in the CalPERS Kaiser Basic Premium Region 1 Rate.

8.2 Employees who have any leftover benefit allowance available after deducting all selected plan premium amounts may annually choose to allocate remaining funds into a flexible spending account (Section 125 plan), provided the allocations are within the IRS limits; or receive as taxable cash.

8.3 The City/District will assume the third party administration costs for participation in the health and/or dependent reimbursement plans. A plan participant is defined as any Employee for whom the third party plan administrator charges a fee. This provision does not apply to the VEBA program which is covered in Section 16 of this MOU.

8.4 Family members include state-registered domestic partners and their dependents as recognized by the State of California.

8.5 Employees who opt out of health plan coverage through the City/District must annually provide proof of insurance in order to be eligible for the “no plan” contribution amount in Section 8.1. Coverage that is received through a healthcare exchange is not valid for purposes or receiving the “no plan” contribution.

Section 9 - Long Term /Accident Disability Insurance

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

53 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 11 9.1 The City/District shall pay the full premium amount necessary to provide Long Term Disability (LTD) insurance for Employees.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

54 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 12 Section 10 - Life Insurance Premium

10.1 The City/District shall pay the full premium amount necessary to provide $75,000 term life insurance policy plus the same amount of Accidental Death and Dismemberment (AD&D) insurance for each Employee.

Section 11 - Sick Leave Payment

General Provisions

11.1 Employees who have completed six (6) months of service and terminate their employment in good standing shall receive compensation for unused sick leave in a sum equal to twenty- five percent (25%) of the prescribed value of unused sick leave.

11.2 The prescribed value of unused sick leave shall be calculated as follows:
▪ 25% of the total dollar value of sick leave at the rate of pay at the time of termination will be the sick leave payment.

Section 12 - Employee Assistance Program (EAP)

12.1 The City/District and the Union have a mutual interest in the health and welfare of its Employees. To this end, both parties will work cooperatively to utilize the employee assistance program as described in the City/District Employee Assistance Program Combined Evidence of Coverage and Disclosure Form. The City/District bears the full cost of the program and reserves the right to modify benefits and change providers of the EAP at its discretion, based on cost and service considerations. The City/District will give notice and seek input and feedback from the Union prior to implementing changes in providers or benefits. State-registered domestic partners and their dependents as recognized and allowable by the EAP provider are considered eligible family members for EAP benefits.

Section 13 - Voluntary Deferred Compensation Program

13.1 AFSCME Employees shall be eligible to participate in the City/District voluntary deferred compensation program in accordance with Internal Revenue Code Section 4 57 (457 Plan).

Information about the 457 Plan options is available on the City/District’s intranet. The plan year for Employee contributions to the 457 Plan is the calendar year, January 1 to December

31. The maximum voluntary contribution to any Employee’s account shall be that amount established by law.

Section 14 – Employee Service Recognition Plan

14.1 Effective July 1, 2001, the City/District implemented an Employee Service Recognition Plan to recognize Employees’ length of service with the City/District and to offset retiree medical costs for Employees who retire from the City/District. Effective October 1, 2007, the City/District adopted the 2.7% at 55 retirement benefit and amended this provision to only apply to those Employees who retired from City/District service prior to the implementation of the 2.7% at 55 retirement benefit.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

55 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 13 14.2 Employees eligible for the Employee Service Recognition Plan who retire from the City/District as defined by P.E.R.S., whether for a normal retirement or an industrial disability retirement, shall receive a monthly benefits payment as outlined in the table in Section 14.3 below starting at the beginning of the first calendar month following retirement.

14.3 Effective July 1, 2006 the monthly benefit payments for the Employee Service Recognition Plan shall be as follows:

Years of Service Upon Retirement Monthly Benefit Amount Day 1, Year 10 through Year 14 $125
Day 1, Year 15 through Year 19 $200
Day 1, Year 20 through Year 24 $275
Day 1, Year 25 and thereafter $350

14.4 The monthly benefit as described in Section 14.3 is payable to the Employee up until the Employee’s death. Benefits shall cease on the first day of the calendar month following the Employee’s death.

14.5 Prior to implementation of the Plan, the City/District determined a third party administrator was not necessary to establish and administer the Plan. If the City/District makes a contrary determination in the future, such decision will be discussed upon mutual cons ent with the Union prior to implementation and will be mutually agreed upon. If a third -party administrator is used, any recurring administrative fees associated with administering the plan shall be paid by the participating Employees. The City/District sh all also strive to implement the Plan in accordance with Internal Revenue Code statutes and in a manner that minimizes the tax liability of the Employee to the extent possible.

14.6 Retirees currently receiving plan benefits will be eligible for future benefits enhancements and increases as negotiated in future MOU’s.

Section 15 – Vision / Professional Development Reimbursement

15.1 The City/District shall reimburse, upon presentation of proper documentation as outlined below, up to $200 per fiscal year (July through June of the following year) for the following items:

a. Vision –Presentation of bills from a qualified optometrist and/or optician towards the cost of the Employee's eye examination, prescription eyeglasses and/or contact lenses, reading glasses, and sun/safety glasses. Corrective lens surgery (e.g., laser surgery) shall be reimbursable for a one-time reimbursement of $200. Employees are only eligible for the sun/safety eyewear benefit if they are using these for protective eyewear for safety reasons to perform their job functions.

b. Professional Development – Professional development expenses including the following:
the cost of certificate programs, seminars, workshops, conferences; job -related books, tapes, or training programs. Reimbursement for such expenses must be approved by the Department Head. These expenses must be career/job related, and not provided through any other budgetary means such as the City/District-wide training fund, or departmental

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

56 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 14 travel/meeting funds.

Section 16 – VEBA Program

16.1 The purpose of the VEBA (Voluntary Employee Beneficiary Account) Trust is to provide employees with the ability to plan for future as well as current health care expenses. Expenses such as unreimbursed medical premiums, copayments and pharmacy charges are all eligible expenses under a VEBA Trust arrangement. Employees will realize a significant benefit since eligible contributions to a VEBA Trust are tax exempt and the reimbursed expenses from the VEBA Trust are also tax exempt.

16.2 Eligibility Defined Effective July 1, 2012, all eligible employees, who are represented by the Union, may participate in the VEBA Trust. An eligible employee is an employee who is represented by the Union. Beginning July 1, 2012, all eligible employees had fifteen (15) days to “opt-in” or “opt -out” of the VEBA Trust. Elections to “opt -in” or “opt -out” were irrevocable for the duration of the Employee’s tenure within the Union. Participation is subject to and governed by all IRS requirements applicable to the VEBA Trust. Union represented employees who elected to “opt-in” will make uniform monthly contributions and contributions upon separation as outlined below.

Contribution amounts may be changed by a separate vote of Union Members that is not in conjunction with a contract r atification vote or election of Stewards/Officers. The contribution amounts will have to be uniform for all Employees and must conform to the IRS regulations. If there is a change in the contribution amounts, that change will not generate a new “opt-in/out-out” period; it only changes the contribution amounts for Employees already participating in the VEBA program and new hires to the Union or internal transfers into the Union.

Employee Contributions Participation in the VEBA Trust by an Employee who elects to “opt-in” requires a payroll deduction each pay period to fund the Employee’s account. The Union determined that contributions to the VEBA effective July 1, 2012 were:

Years of Service Contribution Amount Per Pay Period
0 to 5 $25.00
6 to 10 $50.00
11 to 20 $100.00
21 or more $150.00

Contributions made by an eligible Employee must be made through payroll deductions.

Eligible Employees cannot make direct contributions to the VEBA Trust. Once separated from the City/District, the Employee can no longer make contributions to the VEBA Trust.

Leave Payout

Sick Leave – as of July 1, 2012, upon retirement/separation of employment, 100% of the Employee’s sick leave balance payout (25% of the total dollar value – Section 11 in MOU) will be contributed to his/her VEBA account.

Vacation Leave – as of July 1, 2012, upon retirement/separation of employment, 50% of the

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

57 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 15 Employee’s vacation leave payout will be contributed to his/her VEBA account. If an Employee elects to sell back any accrued vacation leave and/or contribute any accrued vacation leave to his/her 457 Plan account pursuant to Section 18.4, the VEBA vacation leave payout will be calculated by apply ing the 50% contribution amount percentage to the remaining balance of the Employee’s accrued vacation leave after the sell back and/or 457 Plan account contribution.

New Employees or Newly Eligible Employees
Employees, whether new to the City/District or to the Union, who become eligible to participate in the VEBA Trust after July 1, 2012 will have fifteen (15) calendar days from the date of eligibility to elect whether they would like to “opt-in” or “opt-out” of the VEBA Trust. If a newly eligible Employ ee elects to “opt -in,” payroll deductions will begin in accordance with the Employee Contribution amounts in the current MOU. If a newly eligible Employee fails to make an election within fifteen (15) days from the date of plan eligibility, it will be deemed that the newly eligible Employee has elected to “opt-out.”

Participant Account
A separate account is maintained for each contributing eligible Employee which documents the Employee’s contributions and disbursements. Contributions to a VEBA Trust, as well as any disbursements to cover non-reimbursed post-tax medical care expenses, are both tax- free. Eligible benefits subject to reimbursement by the VEBA Trust shall be limited to non- reimbursed medical premiums, co -payments, prescribed drug expenses and other medical care costs as defined by Internal Revenue Code Section 213.

An eligible Employee’s VEBA account is subject to a monthly administrative fee of $4.45 for expenses related to recordkeeping, claims processing and claims reimbursement. The fee will be deducted from the eligible Employee’s individual account. The fee of $4.45 will remain the same for the duration of the contract with the VEBA provider and the City of Foster City.

If the Internal Revenue Service concludes t hat the VEBA Trust does not qualify under the requirements of the Tax Code or no longer qualifies after initial qualification, the City/District shall meet with the Union and discuss options to bring the VEBA Trust into compliance or to discontinue the VEBA Trust.

16.3 Retirement Health Savings - During the term of this MOU, the City/District and the Union may by mutual agreement reopen Section 16 of the MOU to discuss options for retirement medical savings. This discussion will only reopen this Section 16 and will not affect any other section or attachment in this MOU.

HOLIDAYS

Section 17 - Official City/District Holidays

17.1 The following holidays are observed by the City/District:

New Year's Day, January 1
Martin Luther King, Jr. Day, January 15 or its legal substitute (third Monday in January)

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

58 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 16 President’s Day, February 22 or its legal substitute (third Monday in February) Memorial Day, May 31 or its legal substitute (last Monday in May) Independence Day, July 4
Labor Day, first Monday in September
Veteran's Day, November 11
Thanksgiving Day, fourth Thursday in November
Day after Thanksgiving, fourth Friday in November
Christmas Eve, December 24
Christmas Day, December 25
New Years’ Eve, December 31

When any day recognized as a holiday falls on a Sunday, the holiday shall be observed on the following Monday. When any day recognized as a holiday falls on a Saturday, the holiday shall be observed on the preceding Friday.

With regard to the holidays on Christmas Eve (December 24) and New Years’ Eve (December 31) should either date fall on a Saturday or Sunday, the preceding Friday shall be observed. In the case where Christmas Day and/or New Years’ Day are observed on Friday, the corresponding Eve holiday shall be observed on Thursday.

17.2 Holidays shall have a compensatory value of eight (8) hours for each full holiday. Other provisions regarding official City/District holidays are found in the City/District Personnel Rules.

VACATION AND OTHER LEAVES

Section 18 - Vacation Accrual

18.1 Employees shall accrue vacation in accordance with the following schedule; such accrual shall not be credited until completion of the initial six (6) months of employment:

Hours per Maximum Years
of Service
Hrs. per Pay
Period
Max. Hours Days per Year
(8 hour days)
1 through 3 3.67 176 11
Day 1, Year 4 4.00 192 12
Day 1, Year 5 5.00 240 15
Day 1, Year 6 5.33 256 16
Day 1, Year 7 5.67 272 17
Day 1, Year 8 6.00 288 18
Day 1, Year 9 6.33 304 19
Day 1, Year 10 6.67 320 20
Day 1, Year 11 through 15 7.00 336 21
Day 1, Year 16 and thereafter 7.67 368 23

18.2 Employees shall accrue vacation leave only as it is earned. New Employees shall not be eligible to use any vacation leave, however, until after completion of their initial six months of employment.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

59 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 17 18.3 Employees may use accrued vacation in no less than one half hour (1/2 hour) increments, subject to department head approval.

18.4 Vacation Accumulation - Employees shall not accumulate more than the equivalent of two annual vacation accruals. An Employee who accumulates vacation in excess of two annual vacation accrual s shall not accrue additional hours until the balance is below maximum amount pursuant to this section.

Vacation use may be deferred by the written approval of the City/District Manager when in the best interests of City/District government and the Employee. Requests for deferring vacation use must be presented to the City/District Manager 60 days before the maximum accrual is reached.

It is the responsibility of Employees to review the vacation accrual balance printed on each paycheck stub to ensure that he/she uses vacation within two accrual years unless deferment is requested and obtained from the City/District Manager as provided herein.

Employees may cash out up to eighty (80) hours of accrued vacation leave once per calendar year in December. An Employee is eligible for this cash out option only if he/she has used at least forty eight (48) hours of vacation leave in the previous twelve (12) month period and filed a vacation cash out request form with Human Resources no later than December 20th of the prior year. Payroll records will be used to determine whether or not an Employee has taken the required forty-eight (48) hours of vacation leave.

Thirty (30) days prior to separation, Employees may elect to contribute any or all of their accrued vacation leave balance to their 457 Plan account within applicable IRS limits. The number of vacation hours to be contributed must be accrued at the time of separation. If an Employee elects to contribute accrued vacation leave to his/her 457 Plan account and participates in VEBA, the VEBA vacation leave payout in Section 16.2 will be calculated by applying the 50% VEBA contribution amount percentage to the remaining balance of the employee’s accrued vacation leave after any cash out and/or 457 Plan contribution.

Section 19 - Discretionary Leave

19.1 Employees shall be entitled to thirty -two (32) hours of discretionary leave. Such time off shall be taken at the Employee's discretion contingent upon approval by the department head.

Such time may not be taken in increments of less than one-half hour (30 minutes). The thirty- two (32) hours shall be credited at the beginning of the fiscal year. Twelve (12) hours may be carried over to the succeeding fiscal year and must be used within that subsequen t fiscal year, otherwise they expire. The hours shall be prorated at the rate of 2.66 hours per month and may be used in advance subject to adjustments for periods of unpaid leave of absence and deduction from final paycheck should Employee not complete the fiscal year. Upon appointment, new Employees shall receive this leave on the same prorated basis. No Employee shall receive pay in lieu of time off.

Section 20 – Service Recognition Leave

20.1 In recognition of years of service Employees shall receive one time posting of service

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

60 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 18 recognition leave hours as indicated below:

15 years of service 24 hours
20 years of service 32 hours
25 years of service 40 hours
30 years of service 48 hours

20.2 No Employee shall receive pay in lieu of time off. This special leave will be posted by Payroll automatically upon obtaining the above level of service and must be used within one year of the date of posting.

Section 21 – Funeral / Bereavement Leave

21.1 Regular and probationary Employees shall be entitled to up to three (3) working days of Funeral/Bereavement leave for each occurrence of death of an immediate family member.

Requests for funeral/bereavement leave of up to three (3) working days and for any additional time beyond the standard leave of three (3) working days must be approved by the department head and the City/District Manager. Immediate family shall mean spouse (including state - registered domestic partners), children of either spouse, either parent, brother or sis ter, employee's grandparents, grandchildren, father -in-law, mother -in-law, brother -in-law or sister-in-law. Other relatives and significant persons may be included with the approval of the City/District Manager. This leave shall not be accumulated and is i n addition to sick leave and vacation benefits.

21.2 Employees may be entitled to additional leave upon request, pursuant to Federal and State Family Leave laws.

Section 22 - Sick Leave Accrual and Use

22.1 Sick leave shall be accrued at a rate of 8.66 hours per calendar month for each month that a probationary or regular Employee has worked regularly scheduled hours. There shall be no maximum accumulation of sick leave. Sick leave shall be allowed and used only in cases when the Employee is too sick or disabl ed to safely and effectively perform his/her duties, for medical or dental treatment, or as authorized for funeral/emergency leave, family illness and injury (including state-registered domestic partners) as outlined in Section 22.2; and as an income suppl ement to worker's compensation benefits. In order to receive sick leave compensation while absent, an eligible Employee who is unable to report to work due to illness or injury shall notify his/her department head or supervisor, either in person or by voice mail, prior to or within one (1) hour after the time set for reporting to work.

22.2 Family sick leave may be taken and if taken, shall be charged to sick leave or, with the concurrence of the department head, to vacation or discretionary leave where the pre sence of the Employee elsewhere is essential because of illness, or disability of immediate members of his/her family. Immediate family means parent, spouse, state-registered domestic partner, dependent child, parent, parent-in-law, sibling, grandparent or grandchild. No more than half of the Employee’s annual accrual may be granted for family sick leave in any one calendar year. Any additional absences due to family illness or for other family members shall be charged to discretionary leave balances (e.g., vacation, compensatory time off, etc.).

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

61 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 19 22.3 Employees may be entitled to additional leave upon request, pursuant to Federal and State Family Leave laws.

22.4 The patterns of use, frequency of occurrence, total hours used, and hours available compared to hours accrued for each Employee will be periodically and routinely reviewed by department management. Department standards will be communicated and applied to evaluate the individual use of this benefit. An improvement plan may be developed and implemented with approval of the department head, considering factors such as Employee's circumstances, the operational impact of the unscheduled absences and the obligation to provide consistency within the department.

22.5 Employees covered by this MOU are eligible to participate in a catastrophic leave donation program in accordance with the City/District's Catastrophic Leave Donation Policy.

Section 23 - Industrial Disability Leave

23.1 The City/District will pay full pay for the initial three (3) months to non -Safety Employees who suffer industrial disabilities and are on authorized disability leave. During this period, the Employee will accrue benefits and the City/District will continue to contribute to benefits as usual. Employee will pay the usual portion of benefits.

Worker's Compensation benefits will be integrated and checks endorsed to the City/District by Employee. No use of sick leave will be required during the first three (3) months.

23.2 After the first three (3) months of Industrial Disability Leave, until the Employee is determined to be able to return to work or permanent and stationary and unable to return to work, the Employee may integrate Worker's Compensation benefits with unused sick leave to assure no loss of compensation. The continuing eligibility for Employee benefits will be determined in accordance with insurance contracts, state and federal law, and City/District policy after the first three months.

Section 24 - Other Leave Provisions

24.1 Other provisions regarding leaves are found in the City/District Personnel Rules.

REPRESENTATION

Section 25 - Advance Notice

25.1 Except in cases of emergency as provided in this section, the City/District shall give reasonable written notice (hard copy or email) to the Union, if affected, of any ordinance, rule, resolution, or regulation directly relating to matters within the scope of representation proposed to be adopted by the City/District and shall give the Union the opportunity to meet and confer with the City/District.

In cases of emergency when the City/District determines that an ordinance, rule, resolution, or regulation must be adopted immediately without prior notice or meeting, the City/District

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

62 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 20 shall provide such notice and opportunity to meet and confer at the earliest practicable time following the adoption of such ordinance, rule, resolution, or regulation.

Section 26 - Stewards

26.1 The Union shall be entitled to three (3) Stewards (1 - General Unit: Recreation, City Hall, Corporation Yard Administration, and Police Records/CSO, 1 -Parks Maintenance and 1 - Public Works Maintenance), unless the City/District and the Union, during the term of this MOU, mutually agree that a larger number is justified. Stewards shall:

a. Serve as th e Union's representative during meet and confer sessions with City/District representatives; however, not more than one shall be from the same work crew for maintenance unit Employees, or from the same department for general unit Employees; b. Be the Union's official representatives on all City/District committees on which the Union is entitled to serve; and
c. Investigate and process grievances to assist other Employees in their unit. Only one (1) Steward shall process any one grievance. Time for such purpose shall not exceed four hours per month. A steward shall obtain permission from his/her supervisor before leaving his/her workstation and shall notify his/her supervisor when returning to work. This provision shall not be used to preven t Stewards from performing their duties set forth in this Section; and
d. Attend new Employee orientations for the purpose of informing Employees about Union representation. Human Resources will notify the appropriate Union Steward in advance of the time and place of a new Employee orientation. It is the responsibility of the notified Steward to arrange for an alternate Steward if he/she cannot attend.

Union Stewards are designated bargaining team members and shall be released when a session coincides with their work shift in order to attend and participate in the negotiations.

Union Stewards and alternates shall be released for sessions as needed and compensated if such negotiations sessions are held during the regular work hours. Advanced notice of the necessity for release shall be provided to the Department Head for all members of the AFSCME bargaining team by the City/District HR Director. The Union agrees to provide a 48-hour notice of the need to release an alternate Union Steward for negotiations. Such notice shall be waived in the event of an emergency. Time spent in negotiations outside of the Employee’s regular work schedule is not compensable.

26.2 Stewards shall serve as provided above unless the Union has designated, in writing, another Employee in their unit. Stewards and other Employees officially serving in the capacities outlined above shall be given reasonable time off with pay on regularly scheduled work days.

Each Steward may have one Alternate Steward whose sole purpose shall be to serve in the absence of the Steward.

Section 27 - Representation for Employees at Interviews

27.1 Whenever an Employee is required to meet with a supervisor or other department management and the Employee reasonably anticipates that such meeting may result in adverse action, upon request the Employee shall be entitled to have a Steward or Union representative present. The Employee shall arrange for the presence of such representative at the earliest possible time. When such representative is not reasonably available and the

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

63 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 21 circumstances warrant immediate inquiry and/or action, the City/District shall have the right to proceed and the Employee shall have the right to have another Employee in his/her unit of his/her choice present as a witness.

Section 28 - Bulletin Boards

28.1 The Union is authorized to use portions of City/District bulletin boards under the following conditions:

a. All materials must receive the approval of the department management; b. All materials must be dated and indicate a removal date, and must identify the organization that posted them;
c. Materials which the department management considers objectionable will not be posted or will be removed if already posted, provided, however, the department management shall first discuss this denial with the City/District Manager; and d. Reasonable space (approximately 2 feet by 3 feet minimum) shall be allocated for Union use. The City/District reserves the right to determine where bulletin boards shall be placed.

DUES DEDUCTION

Section 29 –Dues Deduction

29.1 The City/District recognizes the American Federation of State, County and Municipal Employees, Local 829 as the employee organization representing the employees in this unit, which consists of all employees in the classifications identified in Attachment A and as may be added to the unit by the City/District during the term of this MOU.

Use of Payroll Deduction – The Union shall have the privilege of using the City/District’s payroll system for the purpose of deducting Union dues and other lawfully permitted deductions from Employees’ pay for whom the Union is the recognized majority representative employee organization. This authorization shall not be provided to any other registered or recognized employee group or organization.

Amount of Deductions – The Union shall withhold dues and other lawfully permitted deductions in such amounts as are officially prescribed by the Union or are otherwise established by the terms of this MOU.

Authorization for Dues Deductions – The City/District shall withhold Union dues and/or other lawfully permitted deductions from the salary of an employee and remit withholdings to the Union or such other organization as is identified in this MOU as follows:

Authorization of File – The Employee shall have a written request and authorization for deduction of Union dues in effect upon the date this MOU is approved and adopted.

Authorization – The Employee shall submit to the Union and City/District (Human Resources Department) a written authorization for the deduction of Union dues during the term of this MOU.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

64 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 22 Deduction Continuance – The Employee shall have such dues deductions continued during the term of this MOU, excepting that such an Employee shall be allowed to withdraw authorization for continued withholding of dues deductions during the last thirty (30) calendar days of the ter m of this MOU by filing a written statement withdrawing authorization for dues deductions with the City/District and the Union. Upon the receipt of such a withdrawal of authorization from an Employee, the City/District shall discontinue deducting Union due s from the salary of the Employee effective the first full pay period immediately following the expiration of this MOU. The City/District shall provide the Union with the names of Employees who have filed a withdrawal of authorization for Union dues deductions.

29.2 Compliance
Suspension of Dues, Fees, or In-Lieu Payments During Leave of Absence – An Employee on unpaid leave of absence for a period of 30 calendar days or more shall not be required to pay Union dues, agency fees, or make charitable contributions during the period of the Employee’s leave.

Notification of New Employees – The City/District shall notify the Union of the name, classification and date of hire of each new Employee appointed to a position covered by this MOU. Notice shall be provided to the Union within one (1) calendar month from the date of hire.

29.3 The City/District shall prepare and submit to the Union Business Agent twice a year in June and December or at the request of the Union, a current list, including name, department, and classification, of all City/District employees in classes represented by the Union.

Section 30 – PEOPLE Deduction

The City/District shall deduct voluntary contributions to Public Employees Organized to Promote Legislative Equality ( PEOPLE) from the pay of those Employees who request, in writing on a form supplied by the Union and approved by the City/District, that such deductions be made. The amount to be deducted shall be determined by the Employee except that there shall be a minimum deduction of two ($2.00) per month. The aggregate deductions of all Employees shall be remitted with a monthly itemized statement to the Union.

Section 31 - Hold Harmless

31.1 The Union agrees to indemnify the City/District and hold it harmless agains t any and all suits, claims, demands, and liabilities which may arise out of or by reason of the application of or implementation of the provisions of this Article.

SAFETY
Section 32 - Safety Program

32.1 The City/District and the Union have a mutual interest in providing safe and healthful working conditions for its Employees, in protecting the City/District property from damage and loss and in ensuring the safety of the public when using City/District Facilities. To this

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

65 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 23 end, both parties will work actively to adhere to the provisions of the City/District Safety Manual Procedures.

GRIEVANCE PROCEDURE

Section 33 - Grievance Procedure

33.1 A grievance is any dispute which involves the interpretation or application of any of the provisions of the existing MOU, existing City/District Personnel Rules, or other existing ordinances, resolutions, policies or practices which directly relate to a regular Employee's wages, hours and other terms and conditions of employmen t, including but not limited to such disciplinary actions as discharge, suspension and demotions.

The following matters are specifically excluded from consideration under the grievance procedure:

A. Determination and application of the procedures, qualifications, and standards of employment;
B. Budget and capital expenditures;
C. Items not subject to meet and confer;
D. Performance evaluations;
F. Any items that are a managerial right;
E. Items that are expressly designated in this MOU as not subject to grievance.

Employees are encouraged to use the problem resolution processes as a first step in resolving disputes within their respective department; however, should Employees choose to pursue a formal grievance, the Grievance Procedure outlined in City/District Personnel Rules, Rule

15.04 shall apply. In addition to the definitions listed in the City/District Personnel Rules, a violation of the terms of wages, hours and working conditions may be considered a grievance.

LAYOFF PROCEDURE

Section 34 -- Definition

34.1 Layoff shall mean the separation of employees from the active work force due to lack of work or funds, organization or duty changes, or the abolition of positions by the Council/Board.

The City/District Manager shall approve the number and location in the City/District work force in which layoffs shall occur.

Section 35 -- Notice to Employees

35.1 Regular full-time, regular part-time and probationary employees shall receive written notice stating the reason for a layoff a minimum of sixty (60) days prior to the date of expected layoff. With such notice, the Employee shall be informed of the procedure to be followed and the rights to which he/she is entitled. Similar notice shall be provided to the Union for the represented classes aff ected. Department Heads shall make every effort to allow Employees who will be laid off reasonable time to seek other employment.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

66 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 24 Section 36 -- Layoff Order and Procedure

36.1 In the event of the need for layoffs, employees will be laid off in the following order:
a. Seasonal
b. Temporary
c. Part-time
d. Probationary
e. Regular Part-time
f. Regular Full-time

36.2 Layoff shall be based on seniority of initial hire / anniversary date as defined in the City/District Personnel Rules and Section 37 of this MOU.

Maintenance Unit -- An Employee who is laid off from his/her classification shall be entitled to displace another Employee with less seniority in an equal or lower paying classification in his/her unit, for which he/she meets the minimum qualifications and in which he/she has held prior status.

General Unit -- An Employee shall have the right to displace an Employee in a classification in his/her unit, for which he/she meets the minimum qualifications and over whom he/she has seniority.

The laid off Employee who has successfully displaced another Employee shall be placed in his/her chronological position of seniority in the new class. Employees identified for layoff who have seniority (displacement) rights to equal or lower paying classifications must declare their intention to exercise these rights at least twenty -five (25) days prior to layoff, otherwise displacement rights will automatically terminate. Employees of another representation unit may not be displaced. (An Employee wh o declares seniority rights may not also claim priority employment rights for other vacant positions pursuant to Section 37, below.) Employees laid off as a result of another Employee's exercise of seniority rights shall not be entitled to an additional th irty (30) days’ notice, but the minimum notice shall be fourteen (14) days.

Section 37 -- Priority Employment Rights

37.1 After all Employees have exhausted their displacement rights pursuant to Section 36 above, any vacant positions remaining in the unit may be filled by Employees meeting the minimum qualifications of such positions on the basis of total City/District seniority, except that no Employee may fill a vacant position which is at a higher salary range than that from which he/she was originally laid off.

37.2 When all laid off Employees within a unit have fully exercised their priority employment rights under Section 37.1 above, Employees remaining on layoff shall be entitled to transfer into positions outside the representation unit for which they possess the minimum qualifications pursuant to City/District Personnel Rule 13.12.

Section 38 – Reemployment Lists

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

67 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 25 38.1 An Employee shall be placed on the Reemployment List for any classification from which laid off and any classification previously held in the unit. Employees shall be ranked on such lists in order of total City/District seniority.

38.2 A laid off Employee who has fully exercised his/her rights pursuant to Section 37.1 above shall be entitled to be placed on the Reemployment Lis ts for classifications outside the representation unit, only pursuant to City/District Personnel Rule 13.12.

Section 39 -- Status of Laid Off Employees

39.1 Layoff for regular and probationary Employees is considered a leave of absence without pay (See Section 42) until an Employee resigns. Termination occurs at the end of the life of a reemployment list. Layoff is not the same as termination unless the Employee chooses to terminate in lieu of being placed on a reemployment list.

Section 40 -- Fringe Benefits

40.1 In the event of layoff, a regular full -time or probationary Employee may continue to participate in the Employee insurance plans until termination of reemployment lists or resignation if premiums are paid in full by Employee and the contract permits. Agreement to pay premiums must be in writing.

Other fringe benefits such as worker's compensation and unemployment insurance will cease on the last day on payroll. Sick leave and vacation accruals will cease on the last day on payroll. Any unused discretionary leave should be used within the thirty (30) day notice period as it cannot be paid or carried as an accrual.

Contributions to PERS will cease on the last day on payroll. Full-time Employees who have been members of PERS for five full-time years or more may:

a. Leave contributions on interest-bearing deposit; or
b. Apply for retirement, if eligible under PERS criteria; or c. Apply for a refund.

Employees who have less than five years’ service may apply for a refund or leave funds on deposit for one year. Details should be obtained from the PERS Office.

The provisions of Section 11 shall apply to unused sick leave payout for regular employees upon the termination of the reemployment list unless an Employee requests the payout provisions at an earlier date. Payment for unused vacation time will be made in a lump sum at this time or at a later date if desired.

Section 41 -- Reemployment

41.1 The City/District will send notice of reemployment by certified mail to the last address of record but has no responsibility to attempt to trace an Employee if such notice is not delivered by the Post Office. It is the responsibility of the Employee who has been laid off to keep the City/District informed as to his/her current address and telephone number. Employee has

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

68 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 26 ten (10) working days in which to notify the City/District by mail, telephone or otherwise, regarding intention to return to position offered. If at the end of ten (10) working days from date of notice, no response has been received from Employee on layoff, City/District will be entitled to fill positions in the following order: (a) the laid off Employee next in line for recall, if available for work, until the reemployment list is exhausted, and then; (b) by the normal recruiting process. An Employee on layoff shall have the right to refuse an offer of reemployment without forfeiting the right to reemployment or his/her place on the list. If the Employee on layoff fails to respond within ten (10) working days of mailing of two separate written offers of reemployment sent by certified mail, the Employee shall forfeit the right to reemployment pursuant to the terms of this Layoff Procedure and his/her name shall be removed from the reemployment list.

In order to expedite the reemployment process, the City/District may notify more than one Employee simultaneously, indicating the order of priority to each person.

The right to reemployment is contingent upon the ability of the Employee to meet the physical and other requirements of the position to which the employee is being returned.

Section 42 -- Status of Rehired Employees

42.1 Regular and probationary Employees rehired within 12 months following layoff shall be considered as having been on leave of absence without pay. If rehired within 12 months, the Employee shall be credited with prior service for purposes of vacation accrual and seniority.

This means the Employee will return to his/her previous status for accruing benefits but does not accrue benefits during the layoff period. Employees rehired to a regular position shall retain the sick leave balance at time of layoff unless he/she received payoff for said sick leave.

Section 43 -- Anniversary Date of Rehired Employees

43.1 Layoff time which exceeds 30 days shall cause the anniversary date of the Employee to be adjusted commensurate with the length of absence from work.

Section 44 -- Pay of Rehired Employees

44.1 An Employee rehired into the classification from which originally laid off shall be paid at the current rate for that classification and at the pay step held at the time of layoff.

An Employee rehired into a classification previously held but not that from which originally laid off shall be paid at the current rate for that classification and at the pay step which most closely approximates, but does not exceed, the pay step held in the classification from which originally laid off.

An Employee rehired into a classification not previously held shall be paid at the current rate for that classification and at a pay step recommended by the department head and approved by the City/District Manager.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

69 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 27 Section 45 -- Medical Examination for Rehires

45.1 An Employee, to be rehired, must pass a medical examination. At the time of layoff, exit interviews will be conducted, which will include a medical checklist for the Employee to complete; complete recovery from worker's compensation injuries must be testified to.

MISCELLANEOUS TERMS AND CONDITIONS OF EMPLOYMENT

Section 46 - Non-Discrimination

46.1 There shall be no discrimination by the City/District, recognized employee organizations, or anyone employed by the City/District for or against any Employee or applicant for employment, promotion, demotion or discharge, because of race, religious creed, color, ancestry, national origin, sex or sexual preference, marital status, political opinions or affiliations, or lawful employee organization activi ties; and to the extent prohibited by applicable State and Federal law, there shall be no discrimination because of age. There shall be no discrimination against any disabled person solely because of such disability unless that disability prevents the person from performing the essential duties established for the position for which he/she is applying.

46.2 The City/District and the Union recognize that the City/District has an obligation under law to meet with individual Employees who allege a need for a reasonable accommodation in the workplace because of a disability. If by reason of the aforesaid requirement, the City/District contemplates actions to provide reasonable accommodation to an individual Employee in compliance with the Americans with Disabilities Act (ADA) which are in potential conflict with any provision of this MOU, the Union will be advised of any such proposed accommodation and be afforded an opportunity to discuss same prior to implementation by the City/District.

Section 47 - Access to Personnel Files

47.1 Employees have the ability to access their personnel file and request removal of documents, pursuant to City/District Personnel Rule 3.06.

Section 48 - Job Specifications

48.1 New or revised job descriptions shall be sent to the Uni on Business Agent and steward representing the affected classification. The Union shall be given the opportunity to discuss job specifications for classes represented by the Union with the City/District prior to submittal to the Council/Board.

48.2 An Employee may request a copy of his/her job description from Human Resources. Job descriptions are also available on the City/District website, www.fostercity.org.

48.3 The City/District shall pay the Class B Driver's License renewal fees for any Employees in job classifications which require this license as a condition of employment. If an Employee is not eligible to obtain or renew the license by mail, he/she will be granted two hours paid time off at the end of the work day to obtain or renew the license.

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

70 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 28 Section 49 - Personnel Rules

49.1 The City/District agrees to meet and confer with the Union on proposed changes to the existing City/District Personnel Rules affecting matters within the scope of representation.

Section 50 - Transfer, Promotion, Demotion

50.1 Provisions regarding transfer, promotion, and demotion are found in the City/District Personnel Rules.

Section 51 – Discipline, Discharge

51.1 Provisions regarding discipline and discharge are found in the City/District Personnel Rules.

Section 52 - Light Duty / Light Work

52.1 Provisions regarding light duty work are found in the City/District Personnel Rules.

Section 53 - Seniority

53.1 Seniority is based on hire/anniversary date as defined in the City/District Personnel Rules and Regulations.

53.2 Seniority will be a factor in determining promotions and vacations.

53.3 Employees who separate from employment due to a catastrophic leave illness, in accordance with the Catastrophic Leave Policy, and after having exhausted their FMLA leave, who are subsequently rehired by the City/District in the same or equivalent position within 12 months of separation from employment, will have their previous seniority reinstated to the time which they stopped accruing seniority.

Section 54 - Uniform Policy

54.1 Safety Boots –The City/District will provide a boot allowance of $300 per fiscal year for probationary and regular Employees for the purchase of safety-toed footwear complying with the Standard Test Methods for Foot Protection and Standard Specification for Performance Requirements for Foot Protection. The safety boot allowance will be paid in the month of July of each fiscal year. The wearing of footwear as defined herein shall be required of all maintenance unit Employees, Senior Engineering Technicians, Engineering Technicians, Building Inspectors, and Building Service Coordin ators, unless medically unable to do so pursuant to written doctor's instructions. New employees hired into any of the above job classifications shall be immediately eligible for the $300 boot allowance which will be provided on the pay date when the emplo yee receives his/her first pay check. Employees shall comply with management direction regarding the condition and appearance of work attire.

54.2 The uniform requirements for the Parks and Public Works Maintenance Employees shall be

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

71 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 29 as set forth in the City/District Uniform Policy for Parks and Public Works Maintenance Employees. The current Uniform Policies are attached to this MOU as Attachments C and D. The City/District agrees to meet and confer on proposed changes that directly impact Employees.

54.3 The uniform stipend for Senior Community Service Officers (CSOs) shall be used for the purchase and maintenance of uniforms, footwear and other necessary equipment. Senior CSOs shall be required to adhere to the maintenance standards, uniform specifications and appearance standards established by the Police Department. Uniforms and footwear shall become the property of the Employee after purchase and shall not be returned to the City/District in lieu of repaying any prorated uniform stipend upon termination.

Newly appointed Senior CSOs shall, upon completion of the second pay period after the initial date of employment or upon completion of the second pay period occurring after being required to wear a uniform, receive the $650 uniform stipend per fiscal year towards the initial uniform and footwear expense. New hires shall not be entitled to any additional uniform stipend during the first year of employment with the City/District. Upon completion of one (1) year as an Employee, such Employee shall receive $54.17 per month for each month of service to be completed between the end of the first year of employment and the next July. Employees eligible for initial uniform stipend who terminate before completing one (1) year of service shall reimburse the City/District a prorated amount of $54.17 for each month of service not completed by deduction from the Employee's final paycheck. After completing the first year of service, the continuing uniform stipend shall apply as provided below.

In July of each calendar year, the City/District shall pay to each Senior CSO who is required to wear a uniform, the uniform stipend in a lump sum of $650 (non -PERSable) per fiscal year. Employees who terminate City/District employment for any reason shall be entitled only to compensation at the rate of $54.17 for each month of service in the fiscal year and shall reimburse the City/District a prorated amount of $54.17 for each month of service not completed, by deduction from the Employee's fin al paycheck. The City will research via CalPERS the uniform stipend for Senior CSO to allow the compensation to be listed as PERSable Special Compensation.

Alternate Uniform Provisions - The City/District retains the option of considering and implementing alternative methods of providing uniforms to Employees and nothing herein shall limit the option. The City/District and AFSCME will discuss alternate methods before a change is undertaken.

54.4 Protective Vests - Senior CSOs

The City/District shall provide Senior CSOs assigned to Patrol with protective vests of a type approved by the Chief of Police. Decisions on who receives a replacement vest each year will be based on the following criteria, in this order:

1. New hire needing a fitted vest

2. Condition of current vest

3. Age of current vest

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

72 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 30 4. Seniority

In no case shall any vest be in service longer than eight (8) years of cumulative active use, unless the manufacturer's warranty exceeds that period.

Section 55 - Education and Career Development

55.1 The City/District and the Union have a mutual interest in providing and supporting training and career development opportunities for its Employees. To this end, both parties will work cooperatively to adhere to the provisions of the City/District Educational Reimbursement Program Policy.

Section 56 - Contracting Work

56.1 The City/District will notify the Union with a written notice (hard copy or email) a reasonable time prior to making the final decision of contracting or subcontra cting work customarily performed by members of the Union bargaining units; the Union shall be given an opportunity to engage in impact bargaining on the effect(s) of the proposed action upon its members and, upon request, to propose and effective and econo mical alternative way in which such services could continue to be provided by the City/District's own Employees. In the event that the City/District decides to contract or subcontract work the City/District will 1) make reasonable efforts to transfer affected Employees to positions for which they meet minimum qualifications, 2) pursue in a reasonable manner obtaining employment for affected Employees with the proposed contractor or subcontractor, and 3) provide thirty (30) days written notice to all affected Employees prior to contracting work. However, the City/District does not guarantee employment in the event work is no longer performed by City/District Employees.

Section 57 - Temporary Employees

57.1 Provisions regarding temporary Employees are found in the City/District Personnel Rules.

Section 58 – COVID Recognition Bonus

58.1 Effective the pay period after the City Council ratifies this new MOU, a one -time COVID Recognition Bonus of Two Thousand Dollars ($2,000) shall be paid to each employee of this bargaining unit who are employed by the City upon ratification.

Section 59 58 - Market Compensation Study

On or about April 1, 2022, tThe parties will meet and confer on the results of the City’s Compensation Study. As part of the Market Compensation Study the City will study the following items brought forward by AFSCME:

Employees (including Classic employees) PERS contribution Section 6- Premium / Additional Pays
Section 7- Certification pay
Section 11 - Sick Leave Payment
Section 16 – Vision / Professional Development Reimbursement

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

73 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 31 Section 18 - Official City/District Holidays
Section 19 - Vacation Accrual
Section 23 - Sick Leave Accrual

Section 60 59 – Labor Management Committee (LMC)

59.1Labor/Management Relation - The Employer and the Union recognize that the character and quality of the Union/Management relationship in each Department has an impact upon productivity and quality of services. Accordingly, the parties agree to support joint Labor/Management training in skills and concepts which may contribute to increased Union/Management understanding and cooperative relationship

59.2Purpose and Agenda
a. The purpose of these committees is to provide a means for continuing communication between the parties and to promote a climate of constructive Employee-Employer relations. b. This would include, but is not limited to, such activities as to:
o Discuss the administration of this Agreement;
o Notify the Union of changes contemplated by the Employer which may affect bargaining unit employees;
o Discuss the future needs and programs of the Employer; o Disseminate general information of interest to the parties; o Give the Union representatives the opportunity to discuss the views of bargaining unit employees and/or make suggestions on subjects affecting those employees; o Give the parties the opportunity to discuss the problems that give rise to outstanding grievances and to discuss ways of preventing contract violations and other workplace conflicts from occurring;.
o Proposed work rules will be an appropriate subject for discussion; and o Scope of bargaining issues and grievances will not be an appropriate topic for Labor/Management Committees.

59.3Department Committee Meetings. Equal number of management and union, chosen by each respective side. Shall meet consistently as needed. The union will provide an agenda beforehand. Either Management or the Union can invite special attendees to either speak to an agenda item or provide neutral feedback to achieve resolution.

60.2 59.4 City Wide LMC- Equal number of management and union, chosen by each respective side. Shall meet consistently as needed. The union will provide an agenda beforehand. Either Management or the Union can invite special attendees to either speak to an agenda item or provide neutral feedback to achieve resolution.

60.3 59.5Minutes will be kept of all committee meetings. Copies will be distributed out the Thursday before the meeting to all parties in attendance.

PROVISIONS OF LAW

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

74 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 32 Section 61 60– City / District Rights

Except as expressly limited by this MOU, and as thereafter amended or modified, it is understood and agreed by the Union that the City/District retains all of its powers to direct, manage and control the affairs of the City/District to the full extent of the law. Included in, but not limited to, those duties and powers are the exclusive right to: determine its organization; direct the work of its employees; determine the times and hours of operation; determine the kinds and levels of services to be provided and the methods and means of providing them; establish City/District policies, goals and objectives; maintain the efficiency of City/District operations; establish budget procedures and determine budgetary allocation; determine the methods of raising revenue; and contract out work. In addition, the City/District retains the right to hire, classify, assign, evaluate, promote, terminate and discipline regular employees for just cause and probationary employees in accordance with relevant local ordinances and rules and State and Federal statutes.

Section 62 61 - Effect of Agreement

61.1To the extent there is a conflict, it is understood and agreed that the specific provisions contained in this MOU shall prevail over City/District rules, regulations, policies and procedures. It is further understood and agreed that in the absence of specific provisions in this MOU, such City/District rules, regulations, policies and practices shall remain in full force and effect during the term of this MOU.

62.1 61.2The terms and conditions set forth in this MOU represent the full and complete understanding and commitment between the parties. The terms and conditions may be altered, changed, added to, deleted from, or modified only through the voluntary and mutual consent of the parties in a written amendment to the MOU. During the term of this MOU, the Union agrees that the City/District shall not be obligated to meet and confer with respect to any subject matter covered in this MOU.

Section 63 62- Statement of Understanding

It is the intent of the parties that ordinances, resolutions, rules, and regulations enacted pursuant to this MOU be administered and observed in good faith.

Section 64 63 - Severability

In the event that any provisions of this MOU is declared by a court of competent jurisdiction to be illegal, invalid, or unconstitutional, such finding shall not affect the validity of the remaining provisions, the balance of which provisions shall remain in full force and effect for the term of this MOU.

TERM OF THIS MEMORANDUM OF UNDERSTANDING

The City/District and the Union agree by their signatures hereto that the wages, hours, terms and conditions of employment contained herein shall be continued in full force and eff ect during the term of this MOU except as otherwise provided herein. Contingent upon ratification by members of the Union and contingent upon adoption by the City Council of the City of Foster City/Board

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

75 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 33 of Directors of the Estero Municipal Improvement District of a Resolution approving this MOU, the term shall commence on July 1, 2021and 2023and shall expire on June 30, 2023September 8, 2024.

The parties will commence negotiations for a new Memorandum of Understanding no later than February 29, 2024 and that will include meet and confer on the results of the Classification Study and meet and confer on the results of the Compensation Study.Either party may request, on fifteen (15) day’s written notice, the commencement of meet and confer for a successor Memorandum of Understanding.

Staff Representatives of the Representatives of Council 57, Local 829, City of Foster City / American Federation of State, County and Estero Municipal Improvement District Municipal Employees

Stefan Chatwin Date Michael MillerBrandon Basas Date

Diane Pitman Date Daniel WeberFakatoulava Kioa Date

David Liu Date Marcel StevensonVictor Sandoval Date

Austris Rungis, IEDA Date Rod Palmquist, AFSCME Date

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

76 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 34 ATTACHMENTS

Attachment A

Represented Classifications

The City/District acknowledges that the American Federation of State, County and Municipal Employees, Council 57, Local 829 is the recognized employee organization which, within the scope of representation, represents the bargaining unit consisting of all regular employees in the following classifications:

AFSCME Maintenance Unit
Building Lead Maintenance Worker
Building Maintenance Worker I
Building Maintenance Worker II
Equipment Maintenance Worker
Mechanic I
Parks Lead Maintenance Worker
Parks Maintenance Worker
Parks Maintenance Worker I
Parks Maintenance Worker II
Public Works Lead Maintenance Worker
Public Works Maintenance Worker
Public Works Maintenance Worker I
Public Works Maintenance Worker II

AFSCME General Unit
Accounting Specialist
Administrative Assistant I
Administrative Assistant II
Building Inspector
Building Permit Technician
Building Services Coordinator
Code Enforcement Officer I
Code Enforcement Officer II
Office Assistant I
Office Assistant II
Police Records Specialist
Principal Building Inspector
Recreation Coordinator I
Recreation Coordinator II
Senior Accounting Specialist
Social Media / Communication Assistant
Senior Building Inspector
Senior Community Services Officer
Senior Engineering Technician

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

77 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 35 Attachment B
Salaries
Effective July 1, 2021 2023 wages for classes represented by the Union shall be listed below:

AFSCME - Maintenance Unit Step 1 Step 2 Step 3 Step 4 Step 5 Public Works Lead Maintenance Worker $6,366 $6,684 $7,018 $7,369 $7,737 Building Lead Maintenance Worker $6,250 $6,562 $6,890 $7,235 $7,597 Parks Lead Maintenance Worker $6,250 $6,562 $6,890 $7,235 $7,597 Mechanic I $6,178 $6,487 $6,811 $7,152 $7,509
Building Maintenance Worker II $5,884 $6,178 $6,487 $6,812 $7,152 Public Works Maintenance Worker II $5,774 $6,063 $6,366 $6,684 $7,018 Parks Maintenance Worker II $5,669 $5,952 $6,250 $6,562 $6,890 Equipment Maintenance Worker $5,603 $5,883 $6,178 $6,486 $6,811 Building Maintenance Worker I $5,337 $5,604 $5,884 $6,178 $6,487 Public Works Maintenance Worker I $5,237 $5,499 $5,774 $6,062 $6,366 Parks Maintenance Worker I $5,141 $5,398 $5,668 $5,952 $6,249 Public Works Maintenance Worker $4,750 $4,988
Parks Maintenance Worker $4,663 $4,897
AFSCME - General Unit
Principal Building Inspector $9,125 $9,581 $10,060 $10,563 $11,091 Senior Building Inspector $8,276 $8,690 $9,125 $9,581 $10,060 Building Inspector $7,507 $7,882 $8,276 $8,690 $9,125
Senior Engineering Technician $6,659 $6,992 $7,342 $7,709 $8,095 Recreation Coordinator II $6,579 $6,908 $7,254 $7,616 $7,997 Social Media / Communication Assistant $6,255 $6,568 $6,896 $7,241 $7,603 Administrative Assistant II $6,097 $6,402 $6,722 $7,058 $7,411 Recreation Coordinator I $5,968 $6,266 $6,579 $6,908 $7,254 Code Enforcement Officer II $5,957 $6,254 $6,567 $6,896 $7,240 Senior Accounting Specialist $5,616 $5,896 $6,191 $6,501 $6,826 Administrative Assistant I $5,530 $5,807 $6,097 $6,402 $6,722 Senior Community Services Officer $5,403 $5,673 $5,957 $6,254 $6,567 Code Enforcement Officer I $5,403 $5,673 $5,957 $6,254 $6,567 Accounting Specialist $5,348 $5,616 $5,896 $6,191 $6,501 Building Services Coordinator $5,337 $5,603 $5,884 $6,178 $6,487 Police Records Specialist $5,269 $5,532 $5,809 $6,099 $6,404 Building Permit Technician $5,269 $5,532 $5,809 $6,099 $6,404 Office Assistant II $4,889 $5,133 $5,390 $5,659 $5,942
Office Assistant I $4,434 $4,656

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

78 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833 Attachment
C

UNIFORM POLICY
FOR

PUBLIC WORKS MAINTENANCE EMPLOYEES

The following shall be the policy of the City/District for uniforms of AFSCME Public Works Maintenance Unit employees. City shall contract with a uniform supply company and issue the following. Uniform style and color shall be determined by mutual agreement between AFSCME and Management but shall be consistent throughout the unit.

Standard uniform issue to employees shall be:

A Eleven (11) pairofpants and polo shirts with City logo, approved by the Public Works Director; B. One (1) long sleeve winter jacket with City logo (supplied by City); C. One (1) pair of coveralls;
D. One (1) set of safety rated rain gear -coat, pants and rain boots.

Employees are not to alter the uniforms in any way. Coveralls may be worn when working in dirty areas in order to protect clothing. Paper coveralls shall be provided to those employees painting or working in extremely dirty areas. Employees will not be permitted to wear cloth, soft -soled or other soft shoes while working. Employees must wear steel toed boots.

Employees must carry their City -issued identification badge while at work to identify them as City employees to any third party. An employee on standby who receives a callout shall not be required to wear the above mentioned uniform but must wear clothing (such as a reflective vest or jacket issued by the City) that identifies him/her as a City employee and carry his/her City-issued identification badge.

The wearing of the safety vest is required at all times when on duty except when indoors or inthe Corporation Yard.

Employees shall maintain a neat, clean appearance. Uniforms supplied by the uniform supply company shall be washed and maintained by the company . The City/District will clean coveralls.

Employees who fail to adhere to this policy without good cause may be subject to progressive disciplinary action up to and including termination.

Upon terminating employment, employees shall return all issued uniforms and equipment to their supervisor. Replacement value of uniforms and equipment not returned or damaged shall be deducted from the employee's final check.

Effective July 1, 2017

Kevin M. Miller, City Manager

Human Resources

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

79 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833

Attachment D

Side Letter of Agreement
Between
City of Foster City/Estero Municipal Improvement District And
Council 57, Local 829
American Federation of State, County and Municipal Employees February 2.0, 2019
The parties have met and conferred and hereby agree to the following changes to the current Fiscal Year 2017-2019 Memorandum of Understanding between the City of Foster City/Estero Municipal Improvement District (the "City/District") and Council 57, Local 829, American Federation of State, County and Municipal Employees ("AFSCME" or "Union") ("MOU"):

Section 55.3 of the MOU, Uniform Policy -Alternate Uniform Provision, describes the uniform policy for AFSCME Employees. Section 55.3 states that the City/District retains the option of considering and implementing alternative methods of providing uniforms to Employees and nothing herein shall limit the option. The City/District and AFSCME will discuss alternate methods before a change is undertaken.

After meeting with three different suppliers, Parks and Recreation Management is proposing that the City use a company called Mission Uniforms to provide the following services:
• Supply 11 pants to the Parks Department
• Supply 11 shirts to the Parks Department
• Provide weekly laundry services
• Optional on demand printing and embroidering for any number of other component . (hats, jackets, sweatshirts)

The services provided by Mission Uniform is similar to what the Department of Public Works currently has and the majority of Parks $taff is in support of using their services.

Staff Representatives of the City of
Foster City/Estero Municipal
Improvement District

AnnRitzma Date
Representatives of Council 57,
Local 829, American Federation of
State, County and Municipal Employees

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

80 DocuSign Envelope ID: A48D4E2B-B563-4812-9B4F-E76F30376833

3jlct/1f
Date

.J'
'!

[Signatures conttnue or; the i'leXt page] 2

Fanara

Date

6.4 Attachment 3 - American Federation of State, County, and Municipal Employees (AFSCME) Memorandum of Understanding, effective July 1, 2023, through September 8, 2024

81 4
5 5
DATE: October 2, 2023

TO: Mayor and Members of the City Council
President and Members of the Estero Municipal Improvement District (EMID) Board of Directors
VIA: Stefan Chatwin, City/District Manager

FROM: Diane Pitman, Interim Human Resources Director
DEPARTMENT: Human Resources
SUBJECT: AMENDED PAY PLAN FOR THE CITY OF FOSTER

CITY/ESTERO MUNICIPAL IMPROVEMENT DISTRICT

RECOMMENDATION
It is recommended that the City Council/EMID Board of Directors (hereinafter referred to as City Council) adopt the attached resolutions amending the City of Foster City/Estero Municipal Improvement District (herein after referred to as City/District) Pay Plan.

EXECUTIVE SUMMARY
The City Council approves a Pay Plan at a regularly scheduled meeting as part of the budget adoption process and amends the Pay Plan if there are changes during the fiscal year. American Federation of State, County and Municipal Employees (AFSCME) recently ratified a tentative agreement for a Memorandum of Understanding (MOU) which has been recommended for approval to the City Council. Staff has prepared an updated City/District Pay Plan to reflect an adjustment of 5% to AFSCME positions retroactive to July 1, 2023, as negotiated in the new MOU. There are no other changes to the Pay Plan.

BACKGROUND/ANALYSIS

6.5 6.5 Staff Report

82 4
5 5
Staff has recently concluded labor negotiations with AFSCME. One provision in the new MOU is a 5% adjustment to salaries for AFSCME positions. The Foster City Pay Plan has been updated (Attachment 1) to include changes to AFSCME salaries. All other salaries were previously approved by the City Council at the June 20, 2023, City Council meeting.

To meet CalPERS requirements under Government Code 20636 and CCR section 570.5, which requires public agencies to provide a publicly available pay schedule, staff is bringing this time forward to ensure the City’s pay schedule is updated with the newly approved pay rates. Staff requests approval of the resolutions (Attachment 2 and Attachment 3) to approve the updated Pay Plan for Fiscal Year 2023-2024, effective July 1, 2023. Upon approval, staff will publish the updated pay plan on the City’s website for public access.

California Environmental Quality Act
Not Applicable

FISCAL IMPACT
The updated FY 2023-2024 Pay Plan reflects the updated salary ranges for AFSCME positions effective July 1, 2023. The City Council adopted the FY 2023-2024 budget which included a 2% placeholder increase in wages for the AFSCME employees. Staff has requested an additional budget appropriation of $364,638 with the approval of the AFSCME MOU.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Staff Empowerment and Operational Excellence
ATTACHMENTS:

Attachment 1 – City Resolution
Attachment 2 – EMID Resolution
Attachment 3 – City/District Pay Plan for FY 2023-2024, effective July 1, 2023

6.5 6.5 Staff Report

83 RESOLUTION NO. _____________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FOSTER CITY APPROVING AND ADOPTING THE PAY PLAN FOR FISCAL YEAR 2023-2024

CITY OF FOSTER CITY
WHEREAS, the City Manager has prepared and submitted to the City Council a schedule of pay ranges for job classifications for Fiscal Year 2023-2024; and WHEREAS, the schedule of pay ranges is referred to as the Pay Plan; and WHEREAS, the Pay Plan incorporates the negotiated salary increases for the American Federal, State, County and Municipal Employees (AFSCME) labor unit; and WHEREAS, the City Council of the City of Foster City must approve the Pay Plan in order for the pay ranges to become effective.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Foster City that the amended Pay Plan for Fiscal Year 2023-2024 is hereby adopted effective July 1, 2023.

PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the Regular Meeting held on the 2nd day of October, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

JON FROOMIN, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.5 Attachment 1 - City Resolution

84 1
2 4
8 RESOLUTION NO. _____________

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ESTERO MUNICIPAL

IMPROVEMENT DISTRICT APPROVING AND ADOPTING THE PAY PLAN FOR FISCAL YEAR 2023-2024

ESTERO MUNICIPAL IMPROVEMENT DISTRICT
WHEREAS, the District Manager has prepared and submitted to the Board of Directors a schedule of pay ranges for job classifications for Fiscal Year 2023-2024; and WHEREAS, the schedule of pay ranges is referred to as the Pay Plan; and WHEREAS, the Pay Plan incorporates the negotiated salary increases for the American Federal, State, County and Municipal Employees (AFSCME) labor unit; and WHEREAS, the Board of Directors of the Estero Municipal Improvement District must approve the Pay Plan in order for the pay ranges to become effective.

NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Estero Municipal Improvement District that the amended Pay Plan for Fiscal Year 2023-2024 is hereby adopted effective July 1, 2023.

PASSED AND ADOPTED as a resolution of the Board of Directors of the Estero Municipal Improvement District at the Regular Meeting held on the 2 nd day of October, 2023, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

JON FROOMIN, PRESIDENT
ATTEST:
_________

PRISCILLA SCHAUS, DISTRICT SECRETARY

6.5 Attachment 2 - EMID Resolution

85 Exhibit ACity of Foster City / Estero Municipal Improvement District FY 2023-2024 Pay Plan
Effective July 1, 2023
Hourly
Position Step 1 Step 2 Step 3 Step 4 Step 5
Monthly
Executive Management
City Manager 26,338.10$
Chief of Police 19,659.45 20,642.42 21,674.54 22,758.27 23,896.18 Assistant City Manager 19,659.45 20,642.42 21,674.54 22,758.27 23,896.18 Director of Public Works 18,040.10 18,942.11 19,889.22 20,883.69 21,927.86 Deputy City Manager 18,040.10 18,942.11 19,889.22 20,883.69 21,927.86 Community Development Director 17,609.77 18,490.25 19,414.75 20,385.49 21,404.76 Finance Director 17,609.77 18,490.25 19,414.75 20,385.49 21,404.76 Administrative Services Director 17,609.77 18,490.25 19,414.75 20,385.49 21,404.76 Parks & Recreation Director 17,609.77 18,490.25 19,414.75 20,385.49 21,404.76 Communications Director / City Clerk 16,804.81 17,645.04 18,527.29 19,453.65 20,426.33 Other Management - Exempt
Police Captain 16,547.61 17,375.00 18,243.75 19,155.93 20,113.74 Engineering Manager 14,566.48 15,294.81 16,059.56 16,862.54 17,705.67 Police Lieutenant 14,389.06 15,108.51 15,863.93 16,657.13 17,489.97 Assistant Finance Director 13,931.29 14,627.84 15,359.24 16,127.19 16,933.56 Chief Building Official 13,351.78 14,019.37 14,720.33 15,456.34 16,229.17 Economic Development Manager 13,191.46 13,851.03 14,543.59 15,270.77 16,034.30 Information Technology Manager 13,191.46 13,851.03 14,543.59 15,270.77 16,034.30 Human Resources Manager 13,191.46 13,851.03 14,543.59 15,270.77 16,034.30 Planning Manager 12,889.71 13,534.20 14,210.91 14,921.45 15,667.53 Principal Management Analyst 12,485.95 13,110.24 13,765.75 14,454.04 15,176.74 Financial Services Manager 12,155.92 12,763.71 13,401.89 14,071.98 14,775.57 Senior Civil Engineer 12,094.18 12,698.89 13,333.82 14,000.51 14,700.54 Public Works Maintenance Manager 11,917.57 12,513.45 13,139.13 13,796.09 14,485.88 Building/Fleet Maintance Manager 11,321.77 11,887.86 12,482.25 13,106.37 13,761.70 Parks Maintenance Manager 11,083.45 11,637.63 12,219.51 12,830.50 13,472.02 Recreation Manager 10,908.61 11,454.04 12,026.73 12,628.06 13,259.46 Senior Management Analyst 10,857.15 11,400.01 11,970.02 12,568.52 13,196.94 Senior Planner 10,574.25 11,102.97 11,658.12 12,241.03 12,853.08 Associate Civil Engineer 10,516.81 11,042.65 11,594.79 12,174.53 12,783.26 Senior Human Resources Analyst 10,389.10 10,908.56 11,453.99 12,026.68 12,628.01 Public Works Maintenance Superintendent 10,129.36 10,635.82 11,167.61 11,725.98 12,312.28 Sr. Systems Analyst 9,970.64 10,469.16 10,992.61 11,542.23 12,119.35 Senior Accountant 9,803.58 10,293.76 10,808.46 11,348.88 11,916.32 Communications Manager 9,506.97 9,982.32 10,481.43 11,005.51 11,555.79 Assistant Engineer 9,464.99 9,938.24 10,435.15 10,956.90 11,504.74 Management Analyst 9,440.96 9,913.02 10,408.67 10,929.10 11,475.55 Associate Planner 9,194.92 9,654.67 10,137.40 10,644.28 11,176.50 Human Resources Analyst 9,033.77 9,485.46 9,959.73 10,457.72 10,980.61 Technology Analyst II 8,813.46 9,254.13 9,716.84 10,202.68 10,712.81 Accountant II 8,524.55 8,950.78 9,398.32 9,868.25 10,361.66 Assistant Planner 8,275.11 8,688.85 9,123.30 9,579.46 10,058.43 Technology Analyst I 7,762.46 8,150.58 8,558.11 8,986.02 9,435.31 Accountant I 7,672.43 8,056.05 8,458.86 8,881.81 9,325.91 Management Assistant 6,455.99 6,778.79 7,117.73 7,473.61 7,847.29

Page 1 ends

6.5 Attachment 3 - City District Pay Plan for FY 2023-2024, effective July 1, 2023

86 Exhibit ACity of Foster City / Estero Municipal Improvement District FY 2023-2024 Pay Plan
Effective July 1, 2023
Hourly
Position Step 1 Step 2 Step 3 Step 4 Step 5
Other Management - Non-Exempt
Deputy City Clerk 43.8784 46.0723 48.3759 50.7947 53.3344 Police Records Supervisor 49.8726 52.3662 54.9845 57.7337 60.6204 Housing Coordinator 54.4671 57.1905 60.0500 63.0525 66.2051 Human Resources Technician 40.8812 42.9253 45.0716 47.3252 49.6915 AFSCME - Maintenance Unit
Public Works Lead Maintenance Worker 42.1107$ 44.2162$ 46.4270$ 48.7483$ 51.1857$ Building Lead Maintenance Worker 41.3424$ 43.4095$ 45.5800$ 47.8590$ 50.2519$ Parks Lead Maintenance Worker 41.3424$ 43.4095$ 45.5800$ 47.8590$ 50.2519$ Irrigation Technician 41.3424$ 43.4095$ 45.5800$ 47.8590$ 50.2519$ Mechanic I 40.8662$ 42.9095$ 45.0550$ 47.3077$ 49.6731$ Building Maintenance Worker II 38.9232$ 40.8694$ 42.9129$ 45.0585$ 47.3114$ Public Works Maintenance Worker II 38.1956$ 40.1054$ 42.1107$ 44.2162$ 46.4270$ Parks Maintenance Worker II 37.4988$ 39.3737$ 41.3424$ 43.4095$ 45.5800$ Equipment Maintenance Worker 37.0669$ 38.9202$ 40.8662$ 42.9095$ 45.0550$ Building Maintenance Worker I 35.3045$ 37.0697$ 38.9232$ 40.8694$ 42.9129$ Public Works Maintenance Worker I 34.6446$ 36.3768$ 38.1956$ 40.1054$ 42.1107$ Parks Maintenance Worker I 34.0125$ 35.7131$ 37.4988$ 39.3737$ 41.3424$ Public Works Maintenance Worker 31.4236$ 32.9948$
Parks Maintenance Worker 30.8504$ 32.3929$
AFSCME - General Unit
Plans Examiner 60.3602$ 63.3782$ 66.5471$ 69.8745$ 73.3682$ Sr. Bldg Inspector 54.7484$ 57.4858$ 60.3601$ 63.3781$ 66.5470$ Building Inspector 49.6584$ 52.1413$ 54.7484$ 57.4858$ 60.3601$ Sr. Engineering Technician 44.0526$ 46.2552$ 48.5680$ 50.9964$ 53.5462$ Recreation Coordinator II 43.5227$ 45.6988$ 47.9837$ 50.3829$ 52.9020$ Social Media / Communication Assistant 41.3790$ 43.4479$ 45.6203$ 47.9013$ 50.2964$ Administrative Assistant II 40.3340$ 42.3507$ 44.4682$ 46.6916$ 49.0262$ Recreation Coordinator I 39.4764$ 41.4502$ 43.5227$ 45.6988$ 47.9837$ Code Enforcement Officer II 39.4086$ 41.3790$ 43.4480$ 45.6204$ 47.9014$ Senior Accounting Specialist 37.1478$ 39.0052$ 40.9555$ 43.0033$ 45.1535$ Administrative Assistant I 36.5841$ 38.4133$ 40.3340$ 42.3507$ 44.4682$ Sr. Comm. Services Officer 35.7448$ 37.5320$ 39.4086$ 41.3790$ 43.4480$ Code Enforcement Officer I 35.7448$ 37.5320$ 39.4086$ 41.3790$ 43.4480$ Accounting Specialist 35.3789$ 37.1478$ 39.0052$ 40.9555$ 43.0033$ Building Services Coordinator 35.3044$ 37.0696$ 38.9231$ 40.8693$ 42.9128$ Police Records Specialist 34.8515$ 36.5941$ 38.4238$ 40.3450$ 42.3622$ Building Permit Technician 34.8515$ 36.5941$ 38.4238$ 40.3450$ 42.3622$ Office Assistant II 32.3380$ 33.9549$ 35.6526$ 37.4352$ 39.3070$ Office Assistant I 29.3315$ 30.7981$
FCPOA
Police Sergeant 68.1757$ 71.5845$ 75.1637$ 78.9219$ 82.8680$ Police Corporal 62.2919$ 65.4065$ 68.6768$ 72.1106$ 75.7161$ Police Dispatch Supervisor 57.2142$ 60.0749$ 63.0786$ 66.2325$ 69.5441$ Police Officer 56.2988$ 59.1137$ 62.0694$ 65.1729$ 68.4315$ Lead Police Dispatcher 52.4087$ 55.0291$ 57.7806$ 60.6696$ 63.7031$ Police Officer Recruit 51.0645$ 53.6177$
Police/Fire Dispatcher 47.5362$ 49.9130$ 52.4087$ 55.0291$ 57.7806$ Hourly / Part-Time / Seasonal
Building Services Coordinator Assistant 18.94$ 19.60$ 20.29$ 21.00$ 21.74$ Recreation Leader III 18.94$ 19.60$ 20.29$ 21.00$ 21.74$ Recreation Leader II 17.68$ 18.30$ 18.93$ 19.60$ 20.29$ Building Serv. Assistant 16.50$ 17.08$ 17.68$ 18.29$ 18.93$ Clerical Assistant 16.50$ 17.08$ 17.68$ 18.29$ 18.93$ Recreation Leader I 16.50$ 17.08$ 17.68$ 18.29$ 18.93$ Department Intern 16.50$ 30.00$
Videographer 20.00$ 30.00$
Hourly

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6.5 Attachment 3 - City District Pay Plan for FY 2023-2024, effective July 1, 2023

87 DATE: October 2, 2023

TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager

FROM: Andrew Brozyna, Public Works Director
DEPARTMENT: Public Works
SUBJECT: INDEPENDENT CITIZENS’ BOND OVERSIGHT COMMITTEE’S FY 2022-2023 ANNUAL REPORT REGARDING THE

EXPENDITURES OF BOND PROCEEDS ASSOCIATED WITH

THE LEVEE PROTECTION PLANNING AND IMPROVEMENTS
PROJECT (CIP 327-657)

RECOMMENDATION
It is recommended that the City Council review and accept, by Minute Order, the Independent Citizens’ Bond Oversight Committee’s (Committee) FY 2022-23 Annual Report from July 1, 2022 through June 30, 2023 regarding the expenditures of bond proceeds associated with the Levee Protection Planning and Improvements Project (CIP 327-657).

EXECUTIVE SUMMARY
The Committee met on July 27, 2023 and determined the following:

1. For fixed contracts, the City has expended bond proceeds only for the purposes set forth in the ballot measure; and

2.For time and materials contracts, the Committee cannot determine whether or not the Tanner Pacific, Inc. or Schaaf & Wheeler contracts are in compliance with the requirements of Measure P.

6.6 6.6 Staff Report

88 These findings are consistent with the Committee’s previous annual reports presented to the City Council at the November 15, 2021 and November 21, 2022 City Council meetings.

BACKGROUND
On June 5, 2018, Foster City voters passed Measure P, authorizing the City to issue General Obligation bonds in the amount of $90,000,000 to fund improvements to the City’s levee system. The Measure P Election was conducted under California Government Code Section 53411. The bond measure ballot language promised voters that the expenditure of bond funds would be subject to “citizens’ oversight,” as more fully articulated in City Resolution No. 2018-15 (Attachment 1), which declared the public interest in and necessity of the levee improvements.

Beginning on October 28, 2020, the Committee has met quarterly to review and discuss information pertaining to the Levee project expenditures. At the November 15, 2021 Council Meeting, the Committee presented the Fiscal Year 2020-2021 Annual Report expenditures from September 2015 through June 30, 2021. At the November 21, 2022 City Council meeting, the Committee presented the Fiscal Year 2021-2022 Annual Report expenditures from July 1, 2021 through September 30, 2022. The report for City Council’s consideration presented at tonight’s meetings includes the Fiscal Year 2022- 2023 Annual Report expenditures from July 1, 2022 through June 30, 2023.

ANALYSIS
On July 27, 2023, the Committee held its quarterly meeting to review the City’s expenditure of bond proceeds and to consider approval of the Annual Report to the City Council, which is one of the duties of the Committee described in section 3.3(a) of the Committee’s Bylaws. As the third Annual Report of the Committee, this report addresses expenditures from July 1, 2022 through June 30, 2023. The Annual Report was reviewed and approved unanimously by the members of the Committee. As indicated in the Annual Report, the Committee determined that the City expended bond proceeds only for the purposes set forth in Measure P for fixed contracts. For time and materials contracts, at this time the Committee cannot determine whether or not the Tanner Pacific or Schaaf & Wheeler contracts are in compliance with the requirements of Measure P. These findings are consistent with the findings in the previous Annual Reports. The Annual Report is attached as Attachment 2 and will be available on the City’s website.

CEQA
Not Applicable

FISCAL IMPACT
There is no fiscal impact associated with the attached report.

6.6 6.6 Staff Report

89 CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA Facilities and Infrastructure
ATTACHMENTS:

Attachment 1 – Resolution 2018-15
Attachment 2 – Independent Citizens’ Bond Oversight Committee’s Annual Report for FY 2022-2023

6.6 6.6 Staff Report

90 6.6
Attachment 1 - Resolution 2018-15

91 6.6
Attachment 1 - Resolution 2018-15

92 INDEPENDENT CITIZEN’S BOND OVERSIGHT COMMITTEE
2022-2023 FISCAL YEAR ANNUAL REPORT

RELATED TO MEASURE P
I. INTRODUCTION
The City of Foster City voters passed Measure P on the June 5, 2018 ballot, which authorizes the City to issue $90,000,000 aggregate principal amount of general obligation bonds to fund improvements to the City’s Levee system. As a result of Measure P, the City has issued $85,000,000 in bonds to date. The Levee improvements will allow Foster City to maintain FEMA accreditation and also protect essential city services during storms or earthquake damage. The Measure P Election was conducted under California Government Code Section 53411. Pursuant to Section 2 of the City Resolution No. 2018- 15 of the City Council of the City of Foster City, the City is obligated to establish a citizens’ oversight committee to review all expenditures of the bond proceeds. Section 2, Fiscal Accountability, reads as follows:

The expenditure of bond proceeds to construct the levee system improvements will be subject to strict financial accountability requirements, including review of all expenditures of bond proceeds by a citizens’ oversight committee, and annual reports pursuant to Government Code Section 53411. The citizens’ oversight committee, composed of citizens appointed by the City Council, will ensure the bond proceeds are spent for their authorized purposes, and meet at least two times per calendar year and will submit at minimum two times a year a written report to the City Council and the public on the bond expenditures.

At the December 16, 2019 City Council meeting, the City Council of the City of Foster City established the Independent Citizens’ Bond Oversight Committee and Bylaws were adopted. The Bylaws specify the Committee’s purview within Section 3. Duties and Section 4. Authorized Activities, respectively as follows:

6.6 Attachment 2 - Independent Citizens’ Bond Oversight Committee’s Annual Report for FY 2022-2023

93 3.1 Inform the Public. The Committee shall inform the public concerning the City’s expenditure of bond proceeds. In fulfilling this duty, all official communications to either the City Council or the public shall come from the Chair acting on behalf of the Committee. The Chair shall only release information that reflects the majority view of the Committee.

3.2 Review Expenditures. The Committee shall review expenditure reports produced by the City to ensure that bond proceeds were expended only for the purposes set forth in Measure P.

3.3 Bi-Annual Reports. The Committee may, from time to time and on an as-needed basis, submit written reports to the City Council, which the Council shall review in public session. Additionally, the Committee shall present to the City Council, in public session, at least two written reports annually, which shall include the following:
a) A statement indicating whether the City is in compliance with the requirements of Measure P; and
b) A summary of the Committee’s proceedings and activities since its last report to the Council.

4.1 In order to perform the duties set forth in Section 3, the Committee may engage in the following authorized activities:
a) Receive copies of the City’s annual independent performance audit and annual independent financial audit (“Audits”) at the same time Audits are submitted to the City and review the Audits.
b) Inspect City facilities and property where bond proceeds have been or will be expended, in accordance with any access procedure established by the City’s Public Works Director or designee.
c) Review efforts by the City to maximize bond proceeds by implementing various cost-saving measures, as applicable.

II. CURRENT MEMBERSHIP OF THE INDEPENDENT CITIZEN’S OVERSIGHT

COMMITTEE
Bob Fitzgerald, Chairperson
Al DeGroot, Vice-Chairperson
Qing Liu, Member
Sanford Heisler, Member
III. SUMMARY OF PROCEEDINGS AND ACTIVITIES

6.6 Attachment 2 - Independent Citizens’ Bond Oversight Committee’s Annual Report for FY 2022-2023

94 The Independent Citizens’ Bond Oversight Committee has met quarterly to review and discuss information pertaining to the Levee Project expenditures. Below is a summary of the Committee’s proceedings and activities for the 2022-2023 fiscal year.

Meeting Date Summary
October 27, 2022 Review and discussion of the Fourth Quarterly Report and Expenditures for FY 2021/2022 and First Quarterly Report for FY 2022/2023.

Approved the FY 2021/2022 Annual Report to City Council.

January 26, 2023 Committee meeting was cancelled due to quorum not being met.

April 27, 2023 Review and discussion of the Second and Third Quarterly Report and Expenditures for FY 2022/2023.

July 27, 2023 Review and discussion of the Fourth Quarterly Report and Expenditures for FY 2022/2023.

Approved the Annual Report to City Council.

Each meeting has been conducted in compliance with the Brown Act. The meetings have been open to the public and formally scheduled with agendas duly posted and noticed.

Meeting minutes have been taken, approved and posted on the City’s webpage. In addition, individual committee members have taken the opportunity to visit the project site to view progress.

IV. STATEMENT OF COMPLIANCE
The members of the Bond Oversight Committee have reviewed the expenditure reports produced by the City for the 2021-2022 fiscal year through the First Quarter of 2023.

Fixed Contracts
Since the project inception, the City has issued fixed contracts in the total amount of $72,122,421.53. The total billed to date on these contracts is $63,727,205.83 Active fixed contracts are billed as monthly progress payments based on the completion of work.

These monthly progress payments are reviewed by the Committee on a quarterly basis.

The Committee has found the progress payments to be consistent with the completion of work. The members of the Bond Oversight Committee have reviewed the expenditure reports produced by the City for Fixed Contracts since September 2015 through June 30, 2023.

The Bond Oversight Committee finds that the expenditures for fixed contracts are in compliance with the requirements of Measure P. The Bond Oversight Committee further finds that bond proceeds from Measure P in regards to fixed contracts have been expended only for the purposes set forth in Measure P.

6.6 Attachment 2 - Independent Citizens’ Bond Oversight Committee’s Annual Report for FY 2022-2023

95 Time and Material Contracts
There is a time and material contract with Tanner Pacific, Inc. for construction management services in the amount of $9,585,087.81 of which $8,196,002.35 has been paid to date. In addition, there have been three different time & material contracts with Schaaf & Wheeler to provide Pre-Design (Phase I), Final Design (Phase II) and Bidding, Construction Support and Project Closeout Services (Phase III). Schaaf & Wheeler issued separate contracts to Consultants which were required to assist Schaaf & Wheeler to complete their work. These separate contracts, as well as the work done directly by Schaaf & Wheeler, are provided on a cost plus basis with total cost not to exceed the contract amounts. Each consultant provides separate progress payment requests to Schaaf & Wheeler, which are then included as reimbursables in the Schaaf & Wheeler progress payment request to the City. The total amount of these contracts is $8,097,825, of which $7,808,720.29 has been paid to date.

It should be noted that, up to this date, no detailed review of any individual progress payments submitted by either Tanner Pacific, Inc. or Schaaf & Wheeler, or its consultants, for accuracy as regards to labor hours, rates, reimbursables, markups or other charges to ascertain their compliance with terms of the time and material contracts has been done. It should be considered at what point in the project this review will be done.

It should also be noted that the original request for CO # 1 to the Phase II contract was $990,000, for expenses already incurred by Schaaf & Wheeler and its consultants above and beyond the original contract amount of $2,324,286. Schaaf & Wheeler subsequently agreed to accept $529,150 as full payment for these expenses, a reduction of $460,850.

A reduction of this amount, for expenses which had already occurred is unusual and warrants further review and explanation.

Due to the lack of information noted above, the Bond Oversight Committee cannot determine at this time whether or not the Tanner Pacific, Inc. or Schaaf & Wheeler contracts are in compliance with the requirements of Measure P.

6.6 Attachment 2 - Independent Citizens’ Bond Oversight Committee’s Annual Report for FY 2022-2023

96 4
2 8
DATE: October 2, 2023

TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager

FROM: Andrew Brozyna, Public Works Director/City Engineer ‘Andra Lorenz, Principal Management Analyst
DEPARTMENT: Public Works
SUBJECT: SOLID WASTE RATES FOR THE FIVE-YEAR PERIOD OF 2024- 2028

RECOMMENDATION
It is recommended that the City Council review and discuss the proposed Solid Waste collection rates for Calendar Year 2024 and by Minute Order provide direction to staff to mail a Proposition 218 notice and to set a public hearing to be held on November 20, 2023, for Council to consider the following:

1. Updating solid waste rates for a five-year period of 2024 through 2028.

2. Increasing the 2023 residential collection rates by no more than $5.40 per account for 2024, $4.74 in Rate Year 2025, $4.98 in Rate Year 2026, $4.19 in Rate Year 2027 and $4.35 in Rate Year 2028.

3. Increasing 2024 charges for Unscheduled Services (optional services requested by customers above the base service level) by 5.465% over 2023, and annually thereafter based on actual indexed factors up to a maximum not to exceed 6.0% per year.

7.1 7.1 Staff Report

97 4
2 8

EXECUTIVE SUMMARY
Based on the known calculated costs for collection, materials processing, disposal, legal compliance, outreach and program administration, the revenue immediately required to run the solid waste program for Rate Year 2024 requires increasing annual revenue collection by $600,498.

During Rate Year 2023, the City conducted a rate analysis and determined that current commercial sector rates were adequate to cover their cost of service; however, residential rates require adjustment to better reflect the increased costs to provide their services (Attachment 1).

Taking into account solid waste and recycling program fund balances, and in order to adjust rates as detailed in the analysis section of this report, Staff recommends that the Proposition 218 notice be prepared with base residential rates for Rate Year 2024 to be increased by no more than $5.40 per account over current rates. If a $5.40 increase to residential rates is ultimately approved by the City Council at the Public Hearing on November 20, 2023, Foster City’s rate for a 32-gallon container (the most commonly subscribed size) would increase from $27.52 to $32.92 per month, the second lowest among the eleven (11) South Bayside Waste Management Authority (SBWMA) member agencies compared to the approved 2023 rates, and would be expected to remain in the lowest quartile after the other SBWMA agencies adjust their rates for 2024 (Attachment 2).

Further, staff is recommending that the City Council approve maximum increases of $4.74 in Rate Year 2025, $4.98 in Rate Year 2026, $4.19 in Rate Year 2027 and $4.35 in Rate Year 2028. Approving rates for a five-year period will allow for the planned and orderly implementation of rate adjustments over the term to ensure that revenue requirements are met and balances remain at acceptable levels.

Finally, an increase of 5.465% over 2023 charges is required for Unscheduled Services which are optional services provided to customers above the base service level upon customers’ request and paid by the requesting customer. Attachment 3 lists the proposed 2024 charges for Additional Services. In years 2025 through 2028, adjustments to Unscheduled Services charges will be based on actual indexed factors up to a maximum not to exceed 6.0% per year.

BACKGROUND
The City Council has typically established rates annually to be charged for solid waste, recycling, and organic material collection sufficient to cover the revenue requirements of the collection and processing program. Historically, rates have been adjusted by an

7.1 7.1 Staff Report

98 4
2 8
overall percentage increase applied to all rate categories. The average percentage base rate increase over the last five years has been 3.9%.

Single family residential rates for all services (garbage, recycling, and organics) are based on the size of the black garbage cart. Customers who down-size to smaller garbage cart sizes, while keeping any preferred size recycling and organics carts, presumably reduce trash to the landfill and receive the benefit of a less expensive service charge. Rates for commercial and multi-family sectors pay separately for each service.

ANALYSIS
Solid waste revenue requirements are calculated by determining the anticipated cost of service in the upcoming rate year plus any shortfall balances from previous rate years, and calculating the difference between the estimated revenue required and the anticipated revenues that would be collected at current rates and service levels.

The total annual cost of the solid waste program includes collection, processing, disposal, compliance, administration, and fees.
•Collection. Recology’s annual compensation application for collection services is reviewed by the SBWMA for compliance with the City-approved Franchise Agreement. Recology’s compensation is adjusted annually based on Consumer Price Indices (CPI) and changes in service levels. Service level adjustments are calculated based on a three-year rolling average of single family accounts, commercial lifts, and drop box pulls based on an annual route audit conducted over a four-week period. On September 28, 2023, the SBWMA Board approved a

7.4% increase to Recology’s compensation for 2024 based upon the calculation methodology in the Franchise Agreement.
•Processing. Materials collected from the City’s residents and businesses are delivered by Recology to the SBWMA-owned Shoreway Environmental Center where they are assessed fees for processing based on tonnage. New operator, South Bayside Industries (SBI), takes over site operations from South Bay Recycling (SBR) under a new contract with the SBWMA starting January 1, 2024.

Processing costs, including SBI’s 2024 compensation, reflect a 25.1% increase over costs for 2023; 25.0% of the increase is attributable to the increase in the per- ton tip fees and 0.1% is attributable to an increase in tonnages collected from the City’s residents and businesses.
•Disposal. Disposal costs are based on fees negotiated under agreements between the SBWMA and Ox Mountain Landfill, Newby Island Resource Recovery Park and Blossom Valley Organics,. Revenue from the sale of processed recyclable commodities sorted at the Shoreway Environmental Center is used to partially offset the cost of material disposal.

7.1 7.1 Staff Report

99 4
2 8
•Compliance and Administration. Program costs include SBWMA outreach, education, reporting, compliance and administration, debt service, and the franchise fee paid to the City of San Carlos for the Shoreway Environmental Center. Among other activities, SBWMA has taken a leading role in ensuring Foster City’s compliance with the outreach, route review, waiver validation and documentation requirements of SB 1383. Continuing significant insurance costs for the facility are also reflected in the 2024 revenue requirement. •Agency Fees. Foster City collects two modest fees associated with the solid waste program. First, a 5% Franchise Fee recovers City costs associated with the operation of the franchise and compensates the City for the use of City property related to the Franchise. The City undertook a detailed analysis of the Franchise Fee in 2023 and validated that the fee does not exceed the costs to provide the service. Second, the City recovers a street sweeping fee of just over $100,000 to fund the City’s actual cost for the street sweeping contract.

Revenue Requirement
Table 1 shows that the total anticipated cost for services for 2024 of $7,835,476 is $600,498 more than the $7,234,978 that is estimated to be collected in revenue at current 2023 rates. Because the City Council has been proactive in saving reserves in a balancing account to allow for rate smoothing, an estimated reserve balance of $629,035 is available as of December 31, 2022.

As shown in Table 1, without a rate increase, expenses will exceed projected revenue by $600,498. As stated above, the City has a positive balancing account of $629,035 which can be used to smooth in cost increases. Utilizing the greater part of the surplus balance to offset the total revenue requirement in a single year is not prudent as it will lead to compounding increases in future years. Instead, Staff recommends to send out the Proposition 218 Notice with an intent to increase base residential rates by no more than $5.40 per account in Rate Year 2024. Setting these rates would utilize approximately

7.1 7.1 Staff Report

100

4 2
8 $166,400 from the balancing account and raise the remaining $434,100 through rates.

This will allow the remaining balance to be used to smooth rates over a five-year term.

Staff’s recommendation to increase residential rates is based upon a rate analysis conducted during 2023 that identified that commercial sector rates were adequate to cover the cost of services, however, residential rates required adjustment to better reflect the cost to provide services (Attachment 1).

If a $5.40 increase to residential rates is ultimately approved by the City Council at the Public Hearing on November 20, 2023, Foster City’s rate for a 32-gallon container (the most commonly subscribed size) would increase from $27.52 to $32.92 per month, which is the second lowest among the eleven (11) South Bayside Waste Management Authority (SBWMA) member agencies compared to the approved 2023 rates, and would be expected to remain in the lowest quartile after the other SBWMA agencies adjust their rates for 2024.

Attachment 2 compares the 2023 residential rates of the SBWMA Member Agencies.

Foster City’s proposed 2024 rate of $32.92 per month for a residential 32-gallon container (the most commonly subscribed size) would remain among the lowest among the SBWMA member agencies’ current rates.

Adoption of Five-Year Rates
Staff is recommending that the City Council consider adopting multi-year rates for a number of reasons. First and foremost, adoption of multi-year rates allows the City Council to make a plan on the use of the positive balancing account to smooth rates over the five-year term while fine tuning the alignment of rates between account types (i.e., residential and commercial). Secondly, adopting multi-year rates reduces the costs, including staff time, associated with implementing annual Proposition 218 notice processes. Finally, adopting multi-year rates allows for customers to plan their budgets over a longer term.

If the City Council does approve five-year rates, the consultant recommends the residential rates shown in Table 2 for each year, which equate to maximum increases of $5.40 in Rate Year 2024, $4.74 in Rate Year 2025, $4.98 in Rate Year 2026, $4.19 in Rate Year 2027 and $4.35 in Rate Year 2028.

7.1 7.1 Staff Report

101

4 2
8 Table 2
The draft Proposition 218 notice that is included as Attachment 4 has been prepared with an adjustment of $5.40 for Rate Year 2024 per residential account based upon Staff’s recommendation. If the City Council directs staff to propose a rate adjustment higher than $5.40 per residential account or utilizing an alternative methodology in the Proposition 218 Notice, Staff will modify the Proposition 218 notice accordingly.

Unscheduled Services (Attachment 3)
In addition to the base rates, the City annually adopts a schedule of charges for “on demand” services charged by Recology. Since these costs are charged on a usage basis and are paid for directly by the customers who request them, they are not included in Recology’s “base compensation.”
Per the Franchise Agreement, the contractor’s costs for Unscheduled Services are adjusted each year based on the cost to provide the service. For 2023 the increase is

5.465%. (See Attachment 3). In years 2025 through 2028, adjustments to Unscheduled Services charges will be based on actual indexed factors up to a maximum not to exceed

6.0% per year.

Proposition 218
The Franchise Agreement requires the City to follow Proposition 218’s public noticing and majority protest procedures in order to increase base rates. The City has typically also included information about charges for Unscheduled Services in the notice for the purpose of transparency although Unscheduled Service charges are not subject to Proposition 218’s noticing and public hearing requirements.

Upon direction from the City Council, the attached Proposition 218 Notice (Attachment 4) will be mailed to each customer within the week following this meeting.

7.1 7.1 Staff Report

102

4 2
8 With City Council approval of the Staff recommendation, the Proposition 218 notice will reflect that residential solid waste rates will be increased by no more than $5.40 per account over the 2023 levels for 2024, $4.74 in Rate Year 2025, $4.98 in Rate Year 2026, $4.19 in Rate Year 2027 and $4.35 in Rate Year 2028; and that rates for Unscheduled Services will be increased by no more than 5.465% over the 2023 levels for 2024 and based upon indexed costs in years two through five. Following the required minimum 45- day noticing period, on November 20, 2023, the City Council will hold a public hearing to consider the adoption of a resolution increasing rates accordingly.

CEQA
Exempt per California Environmental Quality Act (CEQA) Guideline, Section 15061(b)(3).

FISCAL IMPACT
Solid waste collection service costs in Foster City are covered by the solid waste rates paid by residents and businesses. The costs of these services do not impact the City budget or the General Fund.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Innovation and sustainability

ATTACHMENTS
Attachment 1 – Proposed 2024 Solid Waste Rates Memo from HF&H Consultants Attachment 2 - Comparison of Foster City 2024 Proposed Rates to SBWMA Member Agencies’ Approved 2023 Rates
Attachment 3 - Unscheduled Services (Attachment Q of the Franchise Agreement) Attachment 4 - Draft Proposition 218 Notice

7.1 7.1 Staff Report

103

Managing Tomorrow’s Resources Today

590 Ygnacio Valley Road, Suite 105 Robert D. Hilton, Emeritus Walnut Creek, California 94596 John W. Farnkopf, PE
Telephone: 925/977-6950 Laith B. Ezzet, CMC
www.hfh-consultants.com Richard J. Simonson
Marva M. Sheehan, CPA
Robert C. Hilton

4886-3549-0431 v1

MEMORANDUM

Date: September 15, 2023
To: ‘Andra Lorenz, Principal Management Analyst, City of Foster City From: Rick Simonson, Senior Vice President, HF&H
Copy to: Megan A. Burke, Partner, Burke, Williams & Sorenson Subject: Proposed 2024 Solid Waste Rates

This technical memorandum reports the results of our analysis to update the City of Foster City’s (City’s) solid waste rates.

BACKGROUND
The City is a member of the South Bayside Waste Management Authority Joint Powers Authority (SBWMA). Under the SBWMA Joint Powers Authority Agreement, each member agency sets its own solid waste rates for residential and commercial customers. Each of the eleven SBWMA member agencies has a franchise agreement with Recology of San Mateo County (Recology) for residential and commercial solid waste, residential recycling, and residential green waste collections. The current franchise agreement runs from January 1, 2021, through December 31, 2035. Recology provides service to approximately 6,740 residential accounts and 415 commercial accounts in the City.

In addition, a contract w ith South Bay Industries (SBI) provides for operations at the Shoreway Environmental Center (SEC), which is owned the SBWMA. The Shoreway facility serves as a regional solid waste and recycling facility for the receipt, handling and transfer of refuse, rec yclable, and organic materials collected by Recology.

For the annual contractors’ compensation review process, staff reviews the various cost components attributable to its solid waste services, which in turn determines the revenue required from its customers for subsequent rate years. Each member of the SBWMA has specific rates that will apply to their respective service areas. The rates are then applied based on the garbage cart/bin size of the customer and frequency of collection services. All customers are billed by Recology for all solid waste costs.

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Rates are developed to cover costs for the following components:
• Recology's compensation to collect and deliver materials to the SEC. • Tipping (disposal and processing) fees at the SEC.
• City fees, including the franchise fee paid by Recology and street sweeping fees.

Annual Revenue Reconciliation/Balancing Account
Annually, revenues collected are compared to Recology’s SBWMA-approved compensation for services to the City. If actual revenues collected exceed the approved compensation, the excess revenue is held by Recology in a balancing account. When actual revenues collected are less than all solid waste costs (including Recology’s approved compensation), the City’s balancing account is decreased. As of December 31, 2022, the City has a positive balancing account with Recology of $629,035. The balancing account can go negative if sufficient revenues are not collected. However, any negative balance will accrue interest at the current prime interest rate plus one percent. At the expiration of the franchise agreement, the City will owe Reco logy if the balancing account is negative or Recology will owe the City if the balancing account is positive.

Study Purpose and Objectives
The purpose of this solid waste rate study is to conduct a comprehensive analysis of the City’s solid waste rates, in cluding documentation of the analysis, underlying assumptions, and the rationale for the recommended rates.

This study has several key objectives:
• Determine the revenue requirement (expenses) which the City’s solid waste rates need to cover , including Recology’s compensation, tipping fees at the SEC, and City fees, while maintaining an adequate balancing account balance with Recology;
• Determine the cost of service attributable to each customer based upon the type and size of container serving the account and the subscribed service level; and, • Conduct a preliminary analysis of the City’s franchise fees to determine the amounts the City is entitled to charge for its services and the use of its public right of ways.

These objectives are met by applying industry best practices and by complying with all applicable laws.

ANALYSIS
A spreadsheet model was developed to derive revenue requirements for the five-year period of calendar years (CY) 2024-2028. The revenue requirements represent the costs that must be cove red by revenue

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from rates and other sources. For this study, we have relied on Recology’s 2024 compensation application (which was audited by the SBWMA), the SBWMA’s estimate of 2024 tip fees for the processing of material at the SEC, and the City’s existing fees. With the assumption of inflationary increases, the five -year projection of the City’s revenue requirement is shown in Table 1.

Table 1. 5-Year Revenue Requirement Projections

Recology Collection Costs
Recology's collection costs are identified in their annual compensation report and were calculated in accordance with the Franchise Agreement with the City. Recology’s final 2024 compensation is scheduled for approval at the SBWMA’s September Board meeting. Recology’s costs were estimated to increase annually by 4% in 2025-2028.

Disposal and Processing Fees
Disposal and processing fees at the Shoreway Environmental Center for 2024 we re estimated by the SBWMA based on projected volumes collected within the City and the per-ton tip fees by material typeset by SBWMA . Like Recology’s collection costs, the SBWMA’s 2025 -2028 tipping fees are projected to increase by 4.0% each year.

City Expenses
City expenses are made up of the City’s street sweeping contract and franchise fees. In 2024, the City’s street sweeping contract is $131,000 and is anticipated to increase by 3.5% annually . Franchise fees are levied by the City on Recology pursuant to the Franchise Agreement. The franchise fee is an obligation of Recology’s, paid out of the total revenues received by Recology for services provided to residents and businesses.

Based on preliminary analysis, HF&H found the current franchise fees from now through the end of the rate period are less than the City is entitled to charge for its services and the use of its public right of ways.

Table 2 provides a summary of the cost of the services the City provides under the franchise agreement with Recology.
2024 2025 2026 2027 2028
R
ecology Collection Costs $4,480,793 $4,667,866 $4,854,581 $5,048,764 $5,250,715 Disposal & Processing Fees 2,856,803 2,971,075 3,089,918 3,213,514 3,342,055 City Expenses 497,880 517,532 537,555 558,356 579,964
Total Revenue Requirement $7,835,475 $8,156,473 $8,482,054 $8,820,634 $9,172,734

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Table 2. City Services Provided under the Franchise Agreement

In addition to the services provided by the City, HF&H analyzed a reasonable fee that the City could charge for the use of its public rights-of-way. On-street collection requires temporary placement of containers in the public right-of-way. The access to containers afforded to Recology personnel serves as a temporary encroachment to on-street parking.

Based on preliminary calculations, we have determined that the City could charge at least $380,000 for the use of public right of ways to place containers for the purpose of solid waste collection. This amount was determined by using the $180 per square foot land value in Foster City, calculated by the Commercial Linkage Fee Nexus Study, prepared by Economic & Planning Systems, Inc. in January 2022, and applying that land value to the square footage of public right of way used for solid waste containers throughout the City. Several additional assumptions were employed to calculate the rental value of the encroachment area of the solid waste containers placed in the right -of-way: 1) a rental realization rate value of 26; 2) weekly solid waste collection occurs once per week; 3) the encroachment area of the containers, including the mandatory 2 feet of spacing between containers specified by Recology, is 33.60 square feet; and 4) all 7,082 accounts have the authorization under the franchise agreement to place containers in the street for collection. The resulting public right of way rental value for solid waste containers was $380,000.

This calculation represents a very conservative estimate of the value of the City’s public right of ways. This area of the law is currently evolving, and as such, we recommend that the City revisit its fran chise fee calculations in five years to determine if a higher fee is warranted.

Collectively, the sum of the cost of services provided by the City is $404,585 and the reasonable fee for the use of public right of ways for container placement is $380,000, equaling a total minimum value of $784,723. The projected franchise fees range from $497,880 to $579,964 through the rate period. Thus, the City’s franchise fee is less than the total amount of justified fees throughout the rate period.

Revenue Projections
HF&H annualized 2023 revenues received through June to estimate annual revenues for 2024 at current rates. Tables 3 and 4 provide an overview of 2023 revenue projections and the projected revenue shortfall Services Provided Expense
Trash Capture/Street Sweeping $145,367
C
ontract Admin & Enforcement $205,200
Legal Support $20,000
Street Tree Trimming $4,354
Government Facility Allocation $29,664
Total $404,585

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if rates are not increased over the next five years. Collectively, the City faces a cumulative shortfall of more than $6.2 million through 2028.

Table 3. 2023 Annual Revenue Projections

Table 4. Projected Revenue Shortfalls 2024-2028

The projected 2024 shortfall of $600,498 would require a revenue increase of 8.3%. Instead of increasing existing rates by this figure, a phased approach is proposed to provide more gradual increases over the five-year period. Table 5 provides the recommended revenue increases and corresponding annual shortfalls that would be absorbed by the balancing account with Recology.

Table 5. Recommended Revenue Increases and Revised Shortfalls 2024-2028

Cost-of-Service Analysis
HF&H conducted a cost-of-service analysis by service level and customer. The analysis determined that the rates charged to commercial/multi-family customers and roll-off customers are currently sufficient to meet their cost of service. However, r esidential customers are not meeting their cost of service. As a result, increases to r esidential rates are recommended to reduce the revenue shortfall and to move residential rates towards alignment with the cost of service.

Customer Class
Revenue at
Current Rates
Residential $2,422,456
C
ommercial, Multi-Family $4,176,894
Roll-off $635,628
Total $7,234,978
2024 2025 2026 2027 2028
P
roj. Revenue at Current Rates $7,234,978 $7,234,978 $7,234,978 $7,234,978 $7,234,978 Net Revenue Requirement ($7,835,475) ($8,156,473) ($8,482,054) ($8,820,634) ($9,172,734) Surplus/(Shortfall) ($600,498) ($921,495) ($1,247,076) ($1,585,657) ($1,937,756) 2024 2025 2026 2027 2028
P
roposed Revenue Increase 6.0% 5.0% 5.0% 4.0% 4.0%
Revenue with Increase $7,669,076 $8,052,530 $8,455,156 $8,793,363 $9,145,097 Net Revenue Requirement ($7,835,475) ($8,156,473) ($8,482,054) ($8,820,634) ($9,172,734) Surplus/(Shortfall) ($166,399) ($103,943) ($26,898) ($27,272) ($27,636)

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RECOMMENDATION
Table 5 provides the recommended five-year schedule of rate increases to residential rates. The increases reduce the revenue shortfall that will be absorbed temporarily by the Recology balancing account and reduce the gap between current revenues and the cost of service.

Table 6. Recommended Residential Rate Increases 2024-2028

It is not recommended that rates for solid waste, recycling, or organics services to commercial/multi- family and roll-off customers be increased during 2024-2028.

Absent these necessary increases, the City will build a balancing account deficit that must be paid off by the end of the franchise agreement in 2035. We recommend the City increase rates, as indicated in Table 6, to avoid any balancing account deficit and the corresponding interest that would accrue.

Residential Bundled Service Current Rates 2024 Rates 2025 Rates 2026 Rates 2027 Rates 2028 Rates 20 Gallons $17.18 $22.58 $27.32 $32.30 $36.49 $40.84
32 Gallons $27.52 $32.92 $37.66 $42.64 $46.83 $51.18
64 Gallons $55.02 $60.42 $65.16 $70.14 $74.33 $78.68
96 Gallons $82.55 $87.95 $92.69 $97.67 $101.86 $106.21

7.1 Attachment 1 - Proposed 2024 Solid Waste Rates Memo from HF&H Consultants

109

ATTACHMENT 2
COMPARISON OF 2023 RATES OF SBWMA AGENCIES
Member Agency
RATES1
20-gallon 32-gallon2 64-gallon 96-gallon
Foster City (2023 rate) $17.18 $27.52 $55.02 $82.55
Burlingame $16.13 $29.83 $59.66 $88.54
Foster City (proposed 2024 rate) $22.58 $32.92 $60.42 $87.95 San Mateo $23.59 $32.93 $58.93 $89.08
North Fair Oaks $36.79 $36.79 $36.79 $84.14
Redwood City $23.87 $38.86 $67.20 $95.31
Belmont $36.22 $43.21 $85.06 $127.59
San Mateo County $36.74 $43.67 $64.43 $88.00
San Carlos $30.81 $46.04 $70.11 $90.59
Menlo Park $39.31 $47.64 $67.22 $91.46
East Palo Alto $55.41 $55.41 $55.41 $55.41
West Bay Sanitary District $50.00 $56.00 $72.75 $105.00 Hillsborough $58.13 $64.60 $84.38 $109.86
NOTE 1: The rates shown for member agencies are for current year and do not reflect possible changes in the next rate period.

NOTE 2: Rates are sorted based on the current 32 gallon rate from lowest to highest.

7.1 Attachment 2 - Comparison of Foster City 2024 Proposed Rates to SBWMA Member Agencies’ Approved 2023 Rates

110

Foster City
2024 Rates for Unscheduled Services

5.465% above 2023 Rates
Service Category Rate Description of Rate
Backyard Collection Service—Single
Family Dwelling
For one Solid Waste Cart: Rates vary based on distance & number of carts.
$24.16 (0-50 ft)
$28.18 (51-100ft)
Contact the City for rates for
distances beyond 100 feet and for
more than one solid waste cart.

Return Trip Cost—Single Family
Dwelling (Request to provide
collection service after the regularly
scheduled collection day)
$20.14 Per collection event.

On-Call Bulky Item Collection $109.47
Per each collection event beyond
first 2 per year.
(Each customer receives 2 free
bulky collections per year)
Distance charge—MFD and
Commercial Accounts
A – 10% of base monthly rate A – 51 to 100 feet from access by contractor’s collection vehicle
B – 25% of base monthly rate B – 101 feet or more from access by contractor’s collection vehicle
Container Relocation Service
A – 12% of base monthly rate
A –distance greater than 50 feet and
less than or equal to 100 feet from
access by contractor’s collection
vehicle
B – 27% of base monthly rate
B – distance greater than 100 feet
from access by contractor’s
collection vehicle
Extra Pick-Up Cost—MFD and
Commercial Accounts
25% of the base monthly rate for the
size of container collected once per
week
Per collection event
Additional Targeted Recyclable
Materials or Organic Materials Cart
Rental or Purchase
$4.03 Monthly rental fee (any size cart)
Collection of Contaminated Targeted
Recyclable Materials or Organic
Materials Container
25% of the base monthly rate for the
size of container collected once per
week Per collection event
Plus: $20.14
Key Service
A -- $11.41 per month A – Residential Customers
B -- $12.75 per month B – Commercial Customers
Lock Purchase $22.81 –one time charge One-time charge per account. No fee for replacement locks.

Overage Fee 100% of the base monthly rate Per collection event Overage Bags 50% of the base monthly rate or
$10.73 minimum Rate per bag

7.1 Attachment 3 - Unscheduled Services (Attachment Q of the Franchise Agreement)

111

Service Category Rate Description of Rate
Container Cleaning
A -- $67.12 A – per Cart
B -- $114.09 B – per Bin or Drop-Box
Dirty Cart Replacement
A -- $87.24 A – per 32 gallon Cart
B -- $100.67 B – per 64 gallon Cart
C -- $114.09 C – per 96 gallon Cart
Fee for Service On-Call Bulky Item
Collection Service $109.47 Per Event
Backyard Collection Service Distance Costs for Single-Family Dwellings (Section 5.02.A)
One (1) Solid
Waste Cart
Two (2) Solid
Waste Carts
Three (3) Solid
Waste Carts
Four (4) Solid
Waste Carts
Distance from Curbside
Base monthly
Solid Waste
Rate plus
Base monthly
Solid Waste
Rate plus
Base monthly
Solid Waste
Rate plus
Base monthly
Solid Waste
Rate plus
0 – 50 feet $24.16 $38.55 $77.10 $115.65
51-100 feet $28.18 $42.58 $81.13 $119.68
101-150 feet $32.21 $46.61 $85.16 $123.71
151 – 200 feet $36.24 $50.63 $89.19 $127.73
201 – 250 feet $40.27 $54.66 $93.20 $131.76
251 – 300 feet $44.29 $58.68 $97.24 $135.78
301 - 350 feet $48.32 $62.71 $101.26 $139.81
Each additional 50 foot increment
over 350 feet
Amount equals the difference between the Charge for 250 to 350 feet and 300 to 350 feet
2024 Rates for Unscheduled Services

5.465% above 2023 Rates

7.1 Attachment 3 - Unscheduled Services (Attachment Q of the Franchise Agreement)

112

This notice is to you that the Foster City, City
Council will be holding a public hearing to
consider approving updated rates for
garbage, recyclables and organics collection
services, and this notice is therefore given in
accordance with Proposition 218 and Article
XIID of the California Constitution.

NOTICE OF
PUBLIC HEARING TO
CONSIDER PROPOSED
INCREASE IN GARBAGE,
RECYCLABLES AND
ORGANICS COLLECTION
SERVICE RATES

Effective January 1, 2024
City of Foster City
610 Foster City Boulevard, Foster City, CA 94404-2222
PRSRT STD
US POSTAGE
PAID
HAYWARD, CA
PERMIT #3335
Rates for Unscheduled Services
The franchise agreement allows for adjustments to Unscheduled Service charges, which are generally those optional services that are specifically requested and paid for by the requestor. During the five-year term, Unscheduled Services charges will be adjusted in 2024 by 5.465% over 2023 rates and annually thereafter based on actual indexed factors up to a maximum not to exceed 6.0% per year. The City is including information about charges for unscheduled services in this notice for the purpose of transparency although Unscheduled Service charges are not subject to Proposition 218’s noticing and public hearing requirements.

7.1 Attachment 4 - Draft Proposition 218 Notice

113

PUT TRASH IN ITS PLACE
Not everything belongs in the solid waste stream.

Keep rates low, help ensure the continuing
availability of landfill space, reduce greenhouse
gas emissions and reduce the toxicity of the
environment by handling wastes properly.
• Make an appointment to take Hazardous
Wastes, like paints and pesticides, to the
County’s Hazardous Waste program.
• Keep batteries out of all carts. Place
household batteries and cell phones in zipper
bags on top of your black cart (single family)
or ask your property manager to place a
battery bucket in a common area for all
residents. (multi-family).
• Place food waste in your green cart where it
can be composted into useful products.
• Place used automobile oil in sealed one-
gallon containers and oil filters in plastic
zipper bags at your curb.
• Drop off unwanted medications at Health
Department Safe Medication Disposal
locations.
• Make an appointment for Recology to pick up
bulky items.
• Take other items to the Shoreway Public
Recycling Center for proper disposal or
recycling.
• When in doubt, call Recology San Mateo
County to ask if an item belongs in the cart.

ABOUT SOLID WASTE COLLECTION

SERVICES IN FOSTER CITY
Garbage, recyclables and organics collection is
provided under a franchise agreement between
Recology San Mateo County and the City of
Foster City. Foster City is a member of the South
Bayside Waste Management Authority (SBWMA),
also known as RethinkWaste, a collection of
agencies that coordinate waste management
services and manage the Shoreway
Environmental Center in San Carlos. Make an
appointment for a tour of the Shoreway facility at
rethinkwaste.org.

WHAT DO PROPOSED BASE RATES
PAY FOR?
Residential:
• Weekly curbside collection of garbage,
recyclables and organics
• Curbside collection of used motor oil, oil
filters, cell phone and household batteries
• Two annual “On Call” bulky item pick-ups (by
appointment)
• Holiday tree recycling
• No cost public recycling at Shoreway
Environmental Center, including mattresses,
electronics, batteries, and small appliances
• One annual confidential document shredding
event and one annual compost give-away
event (additional events in Foster City are
funded by other sources)
Commercial
• Subscribed level of collection for garbage,
recycling, and organics
• Customized waste management assistance by
Waste Zero Specialists
All Customers
• Energy-efficient, cleaner emissions collection
vehicles
• Operation of the Shoreway Environmental
Center for waste and recycling
• Education and information related to Federal,
State and Local solid waste requirements

RECOLOGY SAN MATEO COUNTY
Garbage, Recyclables and Organics Collection
www.Recology.com/Recology-san-mateo-county
(650) 595-3900

RETHINKWASTE
Governing Board, Shoreway Tours,
Waste Reduction Information
www.RethinkWaste.org
(650) 802-3500
SAN MATEO COUNTY HEALTH DEPT.

Hazardous Waste Disposal
www.smchealth.org/safe-waste-disposal
Medical Waste Disposal
www.smchealth.org/rxdisposal

PROPOSED RATE INCREASE
Foster City’s Solid Waste rates are calculated to
collect the revenue required to run the Solid
Waste program. Approximately 94% of the
revenue requirement is based on the cost of
collection, processing, and disposal from Foster
City's residents and businesses.. The remainder is
composed of city-specific service levels. Revenue
from commodity sales of recovered recyclables is
used to offset revenue requirements. City fees
were reviewed in 2023 and were validated to be
less than the actual cost of service. A rate
analysis conducted in 2023 demonstrated that an
increase is needed in residential rates based on the cost to provide the services while commercial
rates are currently sufficient to recover their cost
of service. Based on this analysis, residential base
rates for the five-year period from 2024 through
2028 are proposed to increase by $5.40 per
account in Rate Year 2024, $4.74 in Rate Year
2025, $4.98 in Rate Year 2026, $4.19 in Rate Year
2027 and $4.35 in Rate Year 2028. These rates
will provide for adequate revenue for the Solid
Waste program after taking into account
offsetting revenues and utilizing excess fund
balance that has been generated for this
purpose.

The rate analysis performed in 2023 sets forth
the basis upon which the rates were calculated.

Some significant reasons for the rate increase
include a fuel index increase of 14.9%, an
increase to processing and disposal costs of

25.1% and increases related to the
implementation of SB 1383 regulations.

PUBLIC HEARING
Monday, November 20, 2023, at 6:30 PM
The City Council has scheduled a Public Hearing
to consider adopting garbage, recyclables and
organics collection service rates for Foster City for Calendar Year 2024.

Unless prohibited by public health orders, the
public hearing will be held in the Foster City
Council Chambers, 620 Foster City Boulevard,
Foster City, CA. The public may participate by
providing live verbal public comment in person,
by joining the meeting via video or
teleconference, or by submitting comments to
[email protected]. Instructions on
how to join the meeting will be included in the agenda
that will be posted at least 72 hours prior to the
meeting at www.fostercity.org/agendasandminutes.

The Public Hearing is open to the public, and
anyone may appear and be heard or submit a
written statement on this matter. At the
conclusion of the Public Hearing, the City Council
will consider taking official action to set garbage,
recyclables and organics collection rates for
Foster City for Rate Year 2024.

Any owner or customer associated with a
property receiving solid waste services in Foster
City may file a written protest against the
proposed rate increases. The City Council will
consider all input, but State law provides that
only written protests may be counted to
determine whether a majority protest to the
proposed increases exists. The City Clerk must
receive a written protest not later than the close
of the Public Hearing to be counted. If a majority
protest exists, then the City Council cannot
impose the increased rates. If, at the conclusion
of the Public Hearing, a majority protest does not
exist, the City Council will consider adoption of the proposed rates.

Written protests must include the protestor’s
name, property service address or tax assessor’s
parcel number, and the protestor’s original
signature. Written protests may be hand
delivered or mailed to: City Clerk, 610 Foster
City Boulevard, Foster City, CA 94404. No more
than one protest per parcel will be counted.

MULTI-YEAR RATE SETTING
Setting rates for multiple years allows for the
rates to recover costs of service while taking into
account the anticipated revenue requirements
for the five-year period including known future
increases associated with anticipated compliance
with new service and enforcement requirements
associated with stormwater regulations and
California State Senate Bill 1383 regulations.

7.1 Attachment 4 - Draft Proposition 218 Notice

114

Prepared Date 9/14/2023 City of Foster City, CA
Accounts Payable Check Register

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Foster City City CouncilOctober 2, 2023

Foster City City Council
October 2, 2023