Agenda packet — Foster City City Council, June 15, 2026 (part 1 of 5)

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://FOSTERCITYORG.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 nonagenda 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, June 15, 2026 6:30 PM
1 teeetgbyeatopubccoet@ostectyogadbeadepatotetteecodbutotbe read verbally at the meeting. Written public comments submitted by email should adhere to the following:

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

AGENDA
Monday, June 15, 2026 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 Stacy Jimenez, Suzy Niederhofer, Patrick Sullivan, Phoebe Venkat, and Mayor/President Art Kiesel

4. SPECIAL PRESENTATIONS

4.1. A Proclamation Declaring the Week of June 1622, 2026 as “National Mosquito Control Awareness Week”

4.2. A Proclamation Declaring the Month of July as "Parks and Recreation Month”

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 2 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.

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 June 1, 2026

6.2. A Resolution of the City Council of the City of Foster City (1) Calling and Giving Notice of the Holding of a General Municipal Election to Be Held on Tuesday, November 3, 2026 for the Election of One (1) Member of the City Council for District 1 and One (1) Member of the City Council for District 2; Requesting That the Board of Supervisors of the County of San Mateo Consolidate the General Municipal Election to Be Held on November 3, 2026 with the Statewide General Election Pursuant to Section 10403 of the Elections Code and to Permit the San Mateo County Registration and Elections Division to Conduct Said Election, and Authorizing the City Clerk to Execute a Service Agreement with the County of San Mateo for Election Services
a) Staff Report
b) Adopt Resolution

6.3. A Resolution of the City Council of the City of Foster City Authorizing the Mayor to Execute an Agreement with CDW Government LLC for the Purchase of Mobile Data Computer (MDC) Replacements for Police Patrol Cars in the Amount of $67,339.23
a) Staff Report
b) Adopt Resolution

6.4. A Resolution of the City Council of the City of Foster City Authorizing a Change to the Previously Approved Appropriation from the Vehicle Replacement Fund (501) to Account No. 50105604314384, Decreasing the Amount from $88,456 to $78,126 ($10,330 Decrease); Amending the Award for the 2026 Ford Expedition Max Active 4WD Vehicle by Changing Vehicle to the 2027 Ford Expedition XL SSV4 in the Amount of $62,664 and $8,000 for Equipment Installation for a Total of $70,664; And Finding the Purchase Exempt from Review under the California Environmental Quality Act (CEQA) 15061(B)(3)
a) Staff Report
b) Adopt Resolution

6.5. A Resolution of the City Council of the City of Foster City Authorizing the Mayor to Execute Contract Amendment No. 1 to the Existing Agreement with West Coast Code Consultants (WC3) for Professional OnCall Building 3 ()g
Award for the 2026 Ford Expedition Max Active 4WD Vehicle by Changing Vehicle to the 2027 Ford Expedition XL SSV4 in the Amount of $62,664 and $8,000 for Equipment Installation for a Total of $70,664; And Finding the Purchase Exempt from Review under the California Environmental Quality Act (CEQA) 15061(B)(3)
a) Staff Report
b) Adopt Resolution

6.5. A Resolution of the City Council of the City of Foster City Authorizing the Mayor to Execute Contract Amendment No. 1 to the Existing Agreement with West Coast Code Consultants (WC3) for Professional OnCall Building Services for an Additional Amount of $100,000 for a Total Agreement Amount Not to Exceed $250,000, and to Extend the Term of the Agreement to June 30, 2027 and Finding the Request Exempt from the California Environmental Quality Act (CEQA) Pursuant to CEQA Guidelines 15061(B)(3) a) Staff Report
b) Adopt Resolution

6.6. A Resolution of the City Council of the City of Foster City Authorizing the City Manager to Execute a Second Amendment to the Cooperation Agreement Dated September 20, 2017, with the County of San Mateo, for Continued Participation in the County’s FederallyFunded Housing and Community Development Programs in Fiscal Years 2027, 2028, and 2029 with an Automatic Renewal for Fiscal Years 2030, 2031, and 2032 a) Staff Report
b) Adopt Resolution

6.7. A Resolution of the City Council of the City of Foster City Authorizing the First Amendment to the Concession Agreement with Edgewater Marine LLC for Boat Rental Services, Extending the Agreement through September 30, 2026 and Authorizing the Mayor to Execute the Amendment
a) Staff Report
b) Adopt Resolution

6.8. a) A Resolution of the City Council of the City of Foster City Approving the Amendment to the Joint Use Agreement between the City of Foster City/Estero Municipal Improvement District and the San MateoFoster City School District, Extending the Agreement through August 31, 2026, and Authorizing the Mayor to Execute the Amendment; and
b) A Resolution of the Board of Directors of the Estero Municipal Improvement District Approving the Amendment to the Joint Use Agreement between the City of Foster City/Estero Municipal Improvement District and the San MateoFoster City School District, Extending the Agreement through August 31, 2026, and Authorizing the Board President to Execute the Amendment
c) Staff Report
d) Adopt Resolutions

6.9. a) A Resolution of the City Council of the City of Foster City Adding the New Job Description of Recreation Specialist and Approving Revised Job Descriptions for the Communications Specialist and Senior Building Inspector; and
b) A Resolution of the Board of Directors of the Estero Municipal Improvement District Adding the New Job Description of Recreation Specialist and Approving Revised Job Descriptions for the Communications 4 yypp
the San MateoFoster City School District, Extending the Agreement through August 31, 2026, and Authorizing the Board President to Execute the Amendment
c) Staff Report
d) Adopt Resolutions

6.9. a) A Resolution of the City Council of the City of Foster City Adding the New Job Description of Recreation Specialist and Approving Revised Job Descriptions for the Communications Specialist and Senior Building Inspector; and
b) A Resolution of the Board of Directors of the Estero Municipal Improvement District Adding the New Job Description of Recreation Specialist and Approving Revised Job Descriptions for the Communications Specialist and Senior Building Inspector
c) Staff Report
d) Adopt Resolutions

6.10. a) A Resolution of the City Council of the City of Foster City Adopting an Updated Investment Policy Dated June 15, 2026; and
b) A Resolution of the Board of Directors of the Estero Municipal Improvement District Adopting an Updated Investment Policy Dated June 15, 2026
c) Staff Report
d) Adopt Resolutions

6.11. A Resolution of the Board of Directors of the Estero Municipal Improvement District Approving a OneYear Extension of the Water/Wastewater Rate Assistance Program (W/WRAP) through June 30, 2027, and Unless Further Extended by the District Board, Will Automatically Sunset at the Conclusion of This Period; And Finding the Approval of the Extension Is Exempt from Review Under the California Environmental Quality Act (CEQA) 15061(B)(3) a) Staff Report
b) Adopt Resolution

7. PUBLIC HEARINGS

7.1. A Public Hearing to Hear and Consider Comments Regarding the Gilead Campus Expansion Master Plan Project
a) Staff Report
b) Open Public Hearing
c) Receiving Public Hearing
d) Close Public Hearing
e) Action – Adopt A Resolution of the City Council of the City of Foster City to Approve the Second Addendum and the Mitigation Monitoring and Reporting Program (MMRP) to the ChessHatch Master Plan Environmental Impact Report (Sch #2008122065), and Addendum Thereto, for the Proposed Gilead Campus Expansion Project Up to 800,000 Square Feet of Research and Development (R&D) and Ancillary Uses, Located in the Chess Drive/Hatch Drive Area (APNs: 094010500, 094010510, 094010100) – Gilead Sciences, Inc. EA20250001
f) Action An Ordinance of the City Council of the City of Foster City Amending the Foster City Zoning Map to Modify the Previously Approved General Development Plan (GDP) for an Approximately 11.87Acre Land Known as Chess Hatch Master Plan Located at 11551159, 11611169, and 11751191 Chess Drive in the CM/PD (Commercial Mix/Planned Development Combining) District with an Amended GDP Removing Office PiUdUdtiAitdEhibittFilittthGild
5 ppggpg
Program (MMRP) to the ChessHatch Master Plan Environmental Impact Report (Sch #2008122065), and Addendum Thereto, for the Proposed Gilead Campus Expansion Project Up to 800,000 Square Feet of Research and Development (R&D) and Ancillary Uses, Located in the Chess Drive/Hatch Drive Area (APNs: 094010500, 094010510, 094010100) – Gilead Sciences, Inc. EA20250001
f) Action An Ordinance of the City Council of the City of Foster City Amending the Foster City Zoning Map to Modify the Previously Approved General Development Plan (GDP) for an Approximately 11.87Acre Land Known as Chess Hatch Master Plan Located at 11551159, 11611169, and 11751191 Chess Drive in the CM/PD (Commercial Mix/Planned Development Combining) District with an Amended GDP Removing Office as a Primary Use and Updating Associated Exhibits to Facilitate the Gilead Campus Expansion Project to Allow up to 800,000 Square Feet (SF) of Biotechnology or Research and Development (R&D) Uses with a Reduced Parking Ratio (APNs: 094010500, 094010510, 094010100) Gilead Sciences, Inc RZ20250005
i) Introduce Ordinance by title only, by motion waive further reading ii) By motion, pass ordinance to second reading
g) Action – Adopt A Resolution of the City Council of the City of Foster City Approving and Authorizing the Mayor to Execute a Parking Agreement Between the City of Foster City and Gilead Sciences, Inc. for the Proposed Gilead Campus Expansion Project Up to 800,000 Square Feet of Research and Development (R&D) and Ancillary Uses, Located in the Chess Drive/Hatch Drive Area (APNs: 094010500, 094010510, 094010100) – Gilead Sciences, Inc.

7.2. A Public Hearing to Hear and Consider Comments Regarding Amendments to Chapter 17.78 Accessory Dwelling Units of Title 17, “Zoning” of the Foster City Municipal Code to Ensure Compliance with State Laws Related to Accessory Dwelling Units and Finding the Proposed Amendments Exempt under California Environmental Quality Act (CEQA) Guideline Section 15061(B)(3), Common Sense Exemption and Public Resources Code Section 21080.17 – RZ20260002
a) Staff Report
b) Open Public Hearing
c) Receive Public Hearing
d) Close Public Hearing
e) Action An Ordinance of the City of Foster City Making Various Text Amendments to Chapter 17.78 Accessory Dwelling Units of Title 17, “Zoning” of the Foster City Municipal Code to Ensure Compliance with State Laws Related to Accessory Dwelling Units and Finding the Proposed Amendments Exempt under California Environmental Quality Act (CEQA) Guideline Section 15061(B)(3), Common Sense Exemption and Public Resources Code Section 21080.17 – RZ20260002
i) Introduce Ordinance by title only, by motion waive further reading ii) By motion, pass ordinance to second reading

7.3. A Public Hearing to Hear and Consider Comments Regarding the Adoption of the 2025 Urban Water Management Plan and Water Shortage Contingency Plan
a) Staff Report
b) Open Public Hearing
c) Receive Public Hearing
d) Close Public Hearing
e)Action–AdoptAResolutionoftheBoardofDirectorsoftheEstero 6 ()(),p
Code Section 21080.17 – RZ20260002
i) Introduce Ordinance by title only, by motion waive further reading ii) By motion, pass ordinance to second reading

7.3. A Public Hearing to Hear and Consider Comments Regarding the Adoption of the 2025 Urban Water Management Plan and Water Shortage Contingency Plan
a) Staff Report
b) Open Public Hearing
c) Receive Public Hearing
d) Close Public Hearing
e) Action – Adopt A Resolution of the Board of Directors of the Estero Municipal Improvement District Adopting the 2025 Urban Water Management Plan and the 2025 Water Shortage Contingency Plan; And Finding the Approval Exempt from CEQA Pursuant to Section 15282(v)

7.4. A Public Hearing to Hear and Consider Comments Regarding the Fiscal Year 202627 Appropriations Limit of the City/District
a) Staff Report
b) Open Public Hearing
c) Receive Public Hearing
d) Close Public Hearing
e) Action – Adopt A Resolution of the City Council of the City of Foster City Establishing the Fiscal Year 20262027 Appropriations Limit Pursuant to Article XIIIB of the California Constitution
f) Action – Adopt A Resolution of the Board of Directors of the Estero Municipal Improvement District Establishing the Fiscal Year 20262027 Appropriations Limit Pursuant to Article XIIIB of the California Constitution

7.5. A Public Hearing to Hear and Consider Comments Regarding the Report on the Foster City Workforce Vacancies, Recruitment and Retention Trends in Compliance with Assembly Bill 2561 (AB 2561)
a) Staff Report
b) Open Public Hearing
c) Receive Public Hearing
d) Close Public Hearing
e) Action – By Minute Order, Receive and Accept Report

8. REPORTS

8.1. Presentation on San Francisco Peninsula Destination Marketing Organization’s (DMO) New 2025–2028 Strategic Plan
a) Information Item Only
b) No Action Required

8.2. Integrated Adaptive Canada Goose Management Plan Project Implementation Quarterly Report
a) Staff Report
b) Action By Minute Order, Receive and Accept Report

9. RESOLUTIONS FOR ADOPTION

9.1. Consideration of Approving the Fiscal Years 202627 and 202728 City/District Budget
a) Staff Report
b)AtiAdtARltifthCitCilfthCitfFtCit
7 )y
b) No Action Required

8.2. Integrated Adaptive Canada Goose Management Plan Project Implementation Quarterly Report
a) Staff Report
b) Action By Minute Order, Receive and Accept Report

9. RESOLUTIONS FOR ADOPTION

9.1. Consideration of Approving the Fiscal Years 202627 and 202728 City/District Budget
a) Staff Report
b) Action – Adopt A Resolution of the City Council of the City of Foster City Approving the Fiscal Year 202627 and 202728 City Budget c) Action – Adopt A Resolution of the Board of Directors of the Estero Municipal Improvement District Approving the Fiscal Year 202627 and 2027 28 District Budget

9.2. Consideration of the First Amendment to the Professional Services Agreement with Wildlife Innovations, Inc. For Continued Implementation of the Integrated Adaptive Canada Goose Management Plan (CEQA Status:

IS/MND Approved on December 2, 2024)
a) Staff Report
b) Action – Adopt A Resolution of the City Council of the City of Foster City Authorizing the City Manager to Execute the First Amendment to the Professional Services Agreement with Wildlife Innovations, Inc. for Continued Implementation of the Integrated Adaptive Canada Goose Management Plan (CEQA Status: IS/MND Approved on December 2, 2024)

10. COMMUNICATIONS

10.1. City/District of Demands were Processed and Issued on May 28, 2026 a) Information Item Only
b) No Action Required

11. 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.

12. CLOSED SESSION

12.1. Conference With Legal Counsel—Existing Litigation (Paragraph (1) of subdivision (d) of Section 54956.9):Rosario Rodela Solaita v. Foster City et al., U.S. District Court, Northern District of California, Case No. 3:26cv04517

12.2. Conference With Legal Counsel—Existing Litigation (Paragraph (1) of subdivision (d) of Section 54956.9):Tuilatai Sabastiano Sevelo Jr. v. Foster City, San Mateo Superior Court Case No. 26CIV03897

12.3. Conference With Legal Counsel—Existing Litigation (Paragraph(1)ofsubdivision(d)ofSection549569):CountyofSanMateo 8 12. CLOSED SESSION

12.3. Conference With Legal Counsel—Existing Litigation (Paragraph (1) of subdivision (d) of Section 54956.9): County of San Mateo, et al. v. State of California et al., San Francisco Superior Court, Case No.

CPF25519270 (VLF Litigation)

12.4. Report Out from Closed Session

13. 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.

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10 4.1

4.1 Proclamation
11 4.2

4.2 Proclamation
12 CITY OF FOSTER CITY/

ESTERO MUNICIPAL IMPROVEMENT DISTRICT
REGULAR MEETING OF JUNE 1, 2026

MINUTES

CALL TO ORDER OF CITY COUNCIL/EMID BOARD OF DIRECTORS
The Regular Meeting of June 1, 2026 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. in the Council Chambers, 620 Foster City Boulevard, Foster City, San Mateo County, California, by Mayor/President Art Kiesel.

This meeting was held as a hybrid meeting.

ROLL CALL
The Communications Director/City Clerk/District Secretary called the roll:

PRESENT: Councilmembers/ex officio EMID Directors Stacy Jimenez, Suzy Niederhofer, Patrick Sullivan, Phoebe Venkat, and Mayor/President Art Kiesel.

ABSENT: None.

STAFF PRESENT: Marlene Subhashini, Acting City/District Manager; Benjamin Stock, City Attorney/District Legal Counsel; Sofia Mangalam, Deputy City Manager; Diane Pitman, Administrative Services Director; Derek Schweigart, Parks and Recreation Director; Nate Cruz, Finance Director; Cory Call, Police Chief; Jenna Grimaldi, Police Sergeant; Vuong Phan, Police Sergeant; Cathy Lau, Police Corporal; Lyly Mai, Police Officer; Rob Lasky, IT Manager; Laura Galli, Engineering Manager; Yelena Capello, Principal Management Analyst; Zaheed Danish, Public Works Maintenance Manager; Shuli Chen, Video Technician; and Priscilla Schaus, Communications Director/City Clerk/District Secretary.

SPECIAL PRESENTATIONS
PROCLAMATION RECOGNIZING JUNE 2026 AS LGBTQ PRIDE MONTH.

Councilmember Venkat presented the Proclamation Recognizing June 2026 as LGBTQ Pride Month to Marilyn Holinger, San Mateo County LGBTQIA+ Commissioner.

6.1 6.1 Minutes
13 PROCLAMATION RECOGNIZING AND OBSERVING JUNETEENTH.

Councilmember Sullivan presented the Proclamation Recognizing and Observing Juneteenth.

PRESENTATION BY THE SAN MATEO COUNTY TRANSPORTATION AUTHORITY (SMCTA) REGARDING THE 101 CORRIDOR CONNECT UPDATE.

Marissa Mathias, SMCTA’s Senior Transportation Planner, gave the presentation.

PUBLIC
Vihaan Tiwari addressed the City Council in person regarding the Youth Advisory Committee selection criteria.

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

City/EMID Consent Calendar

1. City/EMID Special Meeting Minutes of May 11, 2026;

2. City/EMID Regular Meeting Minutes of May 18, 2026;

3. City/EMID Special Meeting Minutes of May 19, 2026;

4. City Resolution No. 2026-051, “A Resolution of the City Council of the City of Foster City, California, Establishing the Property Tax Rate for General Obligation Bonds for Fiscal Year 2026-27;”

5. City Resolution No. 2026-052, “A Resolution of the City Council of the City of Foster City Approving a First Amendment to the Agreement with the County of San Mateo for Continued Provision of Animal Control Services for a Three-Year Term Beginning July 1, 2026 through June 30, 2029 and Authorizing the City Manager to Execute the Agreement”; and

6. City Resolution No. 2026-053, “A Resolution of the City Council of the City of Foster City Authorizing the Temporary Closure of Vehicular Traffic Flow on Shell Boulevard From E. Hillsdale Boulevard to Bounty Drive; The Closure of Vehicular Traffic Flow on Balclutha Drive West of the Turnaround Located in Front of the PJCC Campus and Shell Boulevard; The Shell Boulevard Exit From the South Service Road of the PJCC Campus; And the Shell Boulevard Exit From Civic Center Drive for the Fourth of July Celebration on July 4, 2026.”

ITEMS REMOVED FROM CONSENT CALENDAR
STREET REHABILITATION PROJECT (2026-2027) AND THE BICYCLE AND PEDESTRIAN IMPROVEMENTS PROJECT (2026-2027) FOR FISCAL YEAR 2026-

6.1 6.1 Minutes
14 2027 TO BE FUNDED BY SB 1: THE ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017. CITY RESOLUTION NO. 2026-054.

Without objection from the City Council, Mayor Kiesel removed this item from the Consent Calendar.

The following people addressed the City Council via email:

1. Michael Crocker;

2. Yiming Luo; and

3. Frederic de Sauvage.

Michael Crocker addressed the City Council in person.

Yiming Luo addressed the City Council via teleconference.

Motion by Councilmember Sullivan, seconded by Councilmember Venkat, and carried unanimously, 5-0-0, adopting City Resolution No. 2026-054, “A Resolution of the City Council of the City of Foster City Adopting the Street Rehabilitation Project (2026-2027) and the Bicycle and Pedestrian Improvements Project (2026-2027) for Fiscal Year 2026- 2027 To Be Funded by SB 1: The Road Repair and Accountability Act of 2017; and Finding the Approval Exempt from the California Environmental Quality Act (CEQA) Pursuant to Guidelines Section 15061(B)(3) and 15301(C) (Class 1-Existing Facilities)” with a correction to the resolution to state the estimated project schedule as July 2026- August 2027 for the Street Rehabilitation (2026-2027) Project.

APPROPRIATION IN THE AMOUNT OF $9,420 FROM THE GENERAL PLAN MAINTENANCE FUND (FUND 128) TO ACCOUNT 128-0838-419-42-51; AUTHORIZING CONTRACT AMENDMENT NO. FOUR (4) TO THE AGREEMENT WITH FEHR AND PEERS IN THE AMOUNT OF $9,420 FOR THE FOSTER CITY BICYCLE AND PEDESTRIAN MASTER PLAN. CITY RESOLUTION NO. 2026-055.

Without objection from the City Council, Mayor Kiesel removed this item from the Consent Calendar.

The following people addressed the City Council via email:

1. Yiming Luo; and

2. Fred de Sauvage.

Yiming Luo addressed the City Council via teleconference.

Motion by Councilmember Jimenez, seconded by Vice Mayor Niederhofer, and carried unanimously, 5-0-0, adopting City Resolution No. 2026-055, “A Resolution of the City Council of the City of Foster City Authorizing an Appropriation in the Amount of $9,420 from the General Plan Maintenance Fund (Fund 128) to Account 128-0838-419-42-51; Authorizing the Mayor to Execute Contract Amendment No. Four (4) to the Agreement with Fehr and Peers in the Amount of $9,420 for the Foster City Bicycle and Pedestrian

6.1 6.1 Minutes
15 Master Plan; and Finding the Approval of the Amendment Exempt from Review under the California Environmental Quality Act (CEQA) Pursuant to Public Resources Code Section 21000.”

MEMORANDUM OF UNDERSTANDING FOR THE FOSTER CITY POLICE OFFICERS ASSOCIATION (FCPOA) EFFECTIVE JULY 1, 2026 TO JUNE 30, 2029. CITY RESOLUTION NO. 2026-056. EMID RESOLUTIOBN NO. 3851.

Without objection from the City Council/EMID Board of Directors, Mayor/President Kiesel removed this item from the Consent Calendar.

Sergeant Jenna Grimaldi, President of the Foster City Police Officers Association (FCPOA), addressed the City Council/EMID Board of Directors in person.

Motion by Vice Mayor/Vice President Niederhofer, seconded by Councilmember/Director Jimenez, and carried unanimously, 5-0-0, adopting City Resolution No. 2026-056, “A Resolution of the City Council of the City of Foster City Approving the Memorandum of Understanding for the Foster City Police Officers Association (FCPOA), Effective July 1, 2026 to June 30, 2029,” and EMID Resolution No. 3851, “A Resolution of the Board of Directors of the Estero Municipal Improvement District Approving the Memorandum of Understanding for the Foster City Police Officers Association (FCPOA) Effective July 1, 2026 to June 30, 2029.”

REPORTS
FISCAL YEAR 2025-26 THIRD QUARTER FINANCIAL UPDATE. MINUTE ORDER NO. 2078. TAKEN OUT OF AGENDA ORDER.

Without objection from the City Council/EMID Board of Directors, Mayor/President Kiesel took this item out of agenda order.

RECESS. The meeting recessed at 7:25 p.m. and reconvened at 7:28 p.m.

Finance Director Cruz presented the staff report.

Motion by Vice Mayor/Vice President Niederhofer, seconded by Councilmember/Director Sullivan, and carried unanimously, 5-0-0, adopting Minute Order No. 2078, receiving and accepting the report on Fiscal Year 2025-26 Third Quarter Financial Update.

PUBLIC HEARING
FY 2026-27 AND FY 2027-28 PRELIMINARY BUDGET. MINUTE ORDER NO. 2079.

Finance Director Cruz presented the staff report.

Mayor/President Kiesel opened a public hearing to hear and consider comments regarding the FY 2026-27 and FY 2027-28 Preliminary Budget.

6.1 6.1 Minutes
16 The following people addressed the City Council/EMID Board of Directors via email:

1. Michael Crocker;

2. Yiming Luo;

3. Evan Adams; and

4. Frederic de Sauvage.

Yiming Luo addressed the City Council/EMID Board of Directors via teleconference.

Without objection from the City Council/EMID Board of Directors, Mayor/President Kiesel closed the public hearing.

Motion by Vice Mayor/Vice President Niederhofer, seconded by Mayor/President Kiesel, and carried unanimously, 5-0-0, adopting Minute Order No. 2079, receiving and accepting the FY 2026-2027 and FY 2027-2028 Preliminary Budget and directing staff to proceed with incorporating the terms from the preliminary budget into the final budget for FY 2026- 2027 and FY 2027-2028 to be considered for adoption by the City Council/EMID Board of Directors on June 15, 2026.

RESOLUTIONS FOR ADOPTION
AMENDED AND RESTATED CITY/DISTRICT MANAGER STEFAN CHATWIN’S EMPLOYMENT AGREEMENT. CITY RESOLUTION NO. 2026-057. EMID RESOLUTION NO. 3852.

City Attorney/District Legal Counsel Stock presented the staff report.

Discussion ensued.

Motion by Councilmember/Director Jimenez, seconded by Vice Mayor/Vice President Niderhofer, and carried unanimously, 5-0-0, adopting City Resolution No. 2026-057, “A Resolution of the City Council of the City of Foster City Approving the Amended and Restated City Manager Stefan Chatwin’s Employment Agreement,” and EMID Resolution No. 3852, “A Resolution of the Board of Directors of the Estero Municipal Improvement District Approving the Amended and Restated District Manager Stefan Chatwin’s Employment Agreement.”

COMMUNICATIONS
CITY/DISTRICT WARRANT OF DEMANDS. NO ACTION TAKEN.

City/District Warrants of Demands were processed via ACH on May 5, 2026, and Warrants of Demands were Processed and Issued on May 14, 2026.

6.1 6.1 Minutes
17 CITY/DISTRICT MANAGER REPORTS, COUNCIL/BOARD STATEMENTS AND

REQUESTS, AND COUNCIL LIAISON REPORTS
Acting City/District Manager Subhashini, on behalf of City/District Manager Chatwin, thanked the City Council/EMID Board of Directors for their consideration and approval of the Foster City Police Officers Association (FCPOA) Memorandum of Understanding (MOU), and thanked the FCPOA and the City’s Human Resources staff for their efforts throughout the process.

Councilmember/Director Sullivan thanked the Police Department for their enforcement against unlawful use of electric motorcycles and electric scooters. He stated he attended Bowditch Middle School’s Ribbon Cutting event for their new Gym and Academic Core facilities on May 20. On May 21, he attended the San Mateo Union High School District Board meeting, and he congratulated the graduating students of the Class of 2026. He requested to agendize a discussion regarding affordable housing opportunities for veterans, and he received the support of Mayor/President Kiesel and Vice Mayor/Vice President Niederhofer.

Councilmember/Director Venkat stated she attended the San Mateo-Foster City School District Board meeting on May 28. She congratulated graduating students and reminded the public to attend the San Mateo County Fair which starts on June 5. She shared that there will be a Juneteenth Celebration event hosted by the Foster City Association of Black Residents and Island United Church on June 20 at the Foster City Community Center Annex.

Councilmember/Director Jimenez stated she attended the San Mateo Consolidated Fire Department Board meeting on May 20, where they adopted their budget for Fiscal Year 2026-27. She congratulated all the graduating students and the City’s Deputy City Manager, Sofia Mangalam, on her new position.

Vice Mayor/Vice President Niederhofer stated she attended the Bowditch Middle School Ribbon Cutting event on May 20. On May 21, she attended Audubon Elementary School’s 20th Annual Writing Notebook Assembly and the Planning Commission meeting. She attended the LGBTQIA+ Progress Pride Flag Raising Ceremony at City Hall on June 1.

She requested to agendize a discussion regarding creating a Financial Policy and alternative ways to fund the City’s CIP projects, and received the support of Councilmember/Director Jimenez and Mayor/President Kiesel.

ADJOURNMENT
Hearing no objection from the City Council/EMID Board, Mayor/President Kiesel adjourned the meeting. Meeting adjourned at 8:05 p.m.

6.1 6.1 Minutes
18 DATE: June 15, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
FROM: Priscilla Schaus, Communications Director/City Clerk DEPARTMENT: Communications/City Clerk
SUBJECT: CALLING AND GIVING NOTICE OF THE NOVEMBER 3, 2026

GENERAL MUNICIPAL ELECTION, REQUESTING

CONSOLIDATION OF THE ELECTION AND AUTHORIZING THE

CITY CLERK TO EXECUTE A SERVICE AGREEMENT WITH THE

COUNTY OF SAN MATEO FOR ELECTION SERVICES

RECOMMENDATION
It is recommended that the City Council adopt a resolution:
(1) calling and giving notice of holding the General Municipal Election to be held on November 3, 2026 for the election of one (1) Member of the City Council for District 1 and one (1) Member of the City Council for District 2;
(2) requesting that the Board of Supervisors of the County of San Mateo consolidate the General Municipal Election to be held on November 3, 2026 with the General Election pursuant to Section 10403 of the Elections Code and to permit the San Mateo County Registration and Elections Division to conduct said election; and (3) authorizing the City Clerk to execute a service agreement with the County of San Mateo for election services.

BACKGROUND/ANALYSIS
The General Municipal Election to elect Members of the City Council for Foster City is held in November of even-numbered years. By law, a resolution must be adopted calling the General Municipal Election. The election process to fill the two (2) Councilmember seats begins by calling the election. In 2024, the City transitioned from at-large to district elections for its five city council seats in November of even-numbered

6.2 6.2 Staff Report
19 years. More information on the transition can be found at www.fostercity.org/districtelections.

This November, voters will elect City Council Members for Districts 1 and 2 for four-year terms ending in 2030. Foster City’s General Municipal Election is consolidated with other Consolidated Elections in San Mateo County, and this consolidation is approved by the San Mateo County Board of Supervisors. A service agreement is executed between the City of Foster City and the County of San Mateo for election services. The service agreement puts forth the duties that the City Clerk and County Assessor, ClerkRecorder and Elections office will perform. The resolution calling the election authorizes the City Clerk to enter into the service agreement.

Candidates who qualify for nomination in the General Municipal Election and submit a Candidate Statement of Qualifications to be published and distributed in the sample ballot will be governed by City Resolution No. 2023-102, which indicates that the word count of the statement cannot exceed 200 words, and that the candidate will cover the cost of publication, translation, and related services.

As noted in Attachment 2, the reorganization meeting for the November 3, 2026 General Municipal Election will take place at the regular meeting on December 7, 2026.

On December 7, 2026 the City Council would consider adopting a resolution certifying the November 3, 2026 General Municipal Election results and hold the reorganization installing newly elected Councilmembers and selecting the new Mayor and Vice Mayor.

Per Elections Code 10263, for a consolidated election, the governing body shall meet at its usual place of meeting no later than the next regularly scheduled City Council meeting following presentation of the 28-day canvass of the returns, or at a special meeting called for this purpose, to declare the results and to install the newly elected officers.

California Environmental Quality Act
Not Applicable

FISCAL IMPACT
Funding in the amount of $45,000, which includes costs associated with City Council vacancies, one member each for Districts 1 and 2, has been added to the Preliminary Budget for Fiscal Year 2026-2027 in the Municipal Elections account and is pending City Council approval, per adoption of the Fiscal Year 2026-2027 Budget at the June 15, 2026 City Council meeting.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
City Council Operations and Improved Community Engagement

6.2 6.2 Staff Report
20 ATTACHMENTS:

Attachment 1 – Resolution
Attachment 2 – Important Dates

6.2 6.2 Staff Report
21 RESOLUTION NO. _______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FOSTER CITY (1) CALLING

AND GIVING NOTICE OF THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 3, 2026 FOR THE ELECTION OF ONE (1) MEMBER OF THE CITY COUNCIL FOR DISTRICT 1 AND ONE (1) MEMBER OF THE CITY COUNCIL FOR DISTRICT 2; REQUESTING THAT THE BOARD OF

SUPERVISORS OF THE COUNTY OF SAN MATEO CONSOLIDATE THE GENERAL MUNICIPAL ELECTION TO BE HELD ON NOVEMBER 3, 2026 WITH THE STATEWIDE GENERAL ELECTION PURSUANT TO SECTION 10403 OF THE ELECTIONS CODE

AND TO PERMIT THE SAN MATEO COUNTY REGISTRATION AND ELECTIONS

DIVISION TO CONDUCT SAID ELECTION, AND AUTHORIZING THE CITY CLERK TO

EXECUTE A SERVICE AGREEMENT WITH THE COUNTY OF SAN MATEO FOR

ELECTION SERVICES

CITY OF FOSTER CITY
WHEREAS, under the provisions of the laws relating to general law cities in the State of California, a General Municipal Election shall be held on November 3, 2026; and WHEREAS, pursuant to Foster City Municipal Code section 2.56.025(D), commencing with the general municipal election in November, 2026, election of one (1) Member of the City Council for District 1 and one (1) Member of the City Council for District 2 for full four year terms; and
WHEREAS, it is desirable that the General Municipal Election be consolidated with the Statewide General Election to be held on the same date pursuant to Elections Code Section 10002 and within the City the precincts, polling places, and election officers for the elections be the same, and that the Registration and Elections Division of the County of San Mateo canvass the returns of the General Municipal Election and the election be held in all respects as if there were only one election.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Foster City, California that:

1. That pursuant to the requirements of the laws of the State of California relating to general law cities, there is called and ordered to be held in the City of Foster City on Tuesday, November 3, 2026, a General Municipal Election for the purpose of electing the following:
a. One Councilmember from District 1 for a term of four years, to expire in 2030;
b. One Councilmember from District 2 for a term of four years, to expire in 2030;

2. That the San Mateo County Registration and Elections Division is hereby authorized to canvass the returns of the City General Municipal Election, and that the General Municipal Election and the other elections shall be held in all respects

6.2 Attachment 1 - Resolution
22 as if there were only one election, and only one form of ballot shall be used. The election will be held and conducted in accordance with the provisions of law regulating the Statewide election.

3. That pursuant to the requirements of Section 10403 of the Elections Code, the San Mateo County Board of Supervisors is hereby requested to consent and agree to the consolidation of a General Municipal Election with the Statewide General Election.

4. That the ballots to be used at the election shall be in the form and content as required by law.

5. That the Board of Supervisors is hereby requested to issue to all officers of the County of San Mateo (the “County”) charged with duties pertaining to the other election instructions to take any and all steps necessary for the holding of the consolidated elections. Pursuant to Section 10002 of the Elections Code, the Board of Supervisors of the County is requested to permit the Registrar of Voters and County Clerk as County Elections Official to render all services specified by Section 10400 et seq. of the Elections Code relating to the election, for which services the City agrees to reimburse the County.

6. That the consolidated election shall be held and conducted, election officers appointed, voting precincts designated, ballots printed, polls opened at 7:00 a.m. and closed at 8:00 p.m. on election day, ballots counted and returned, returns canvassed, and all other proceeding in connection with the election shall be regulated and done by the County Clerk of the County in accordance with the provisions of law regulating the elections so consolidated.

7. Candidates who qualify for nomination in the General Municipal Election and submit a Candidate Statement of Qualifications to be published and distributed in the sample ballot will be governed by City Resolution No. 2023-102, which indicates that the word count of the statement cannot exceed 200 words, and that the candidate will cover the cost of publication and related services.

8. That the City Clerk is hereby authorized to execute a service agreement with the County to render specified services to the City relating to the November 3, 2026 Election, in a form approved by the City Attorney.

9. That notice of the time and place of holding the election is given and the City Clerk is authorized, instructed and directed to give further additional notice of election, in time, form and manner as required by law.

10.That the City Clerk of the City is hereby directed to file a certified copy of this resolution with the Board of Supervisors at the Registrar of Voters of the County as soon as possible and in no event later than 88 days prior to the date set for the elections.

6.2 Attachment 1 - Resolution
23 11.That in all particulars not recited in this resolution, the election shall be held and conducted as provided by law for holding municipal elections. That in the event of a tie vote (if any two or more persons receive an equal and the highest number of votes for an office) as certified by the County of San Mateo Registrar Recorder / County Clerk, the City Council, in accordance with Election Code § 15651(b), shall conduct a special runoff election to resolve the tie vote and such special runoff election is to be held on a Tuesday not less than 40 days nor more than 125 days after the administrative or judicial certification of the election which resulted in a tie vote.

PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the regular meeting held on the 15th day of June, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
________________________________

ART KIESEL, MAYOR
ATTEST:
________________________________

PRISCILLA SCHAUS, CITY CLERK

6.2 Attachment 1 - Resolution
24 Important Dates for the November 3, 2026 General Election Note: these dates are provided for informational purposes only and are not legal advice nor intended to be a substitute for the actual regulation, statute or law cited. The complete calendar can be found here:
https://smcacre.gov/elections/november-3-2026-election-calendar Date Description Code Reference
June 29 – July 13 City Notice of Election
Between these dates, a city shall publish its Notice of Election, stating the offices to be filled and the time of the election.

EC §§12101, 12111; GC
§6061
July 13 – August 7
(5:00 p.m.)
Candidate Filing Period
Between these dates is the Candidate Filing
Period. Nomination Documents (Declaration of
Candidacy and Nomination Papers) are available
during this time. Paperwork must be filed by the close
of business on the 88th day before the election. City
candidates shall file paperwork with the City Clerk’s
office and should check the business hours of their
City Clerk’s office; all other candidates shall file with the County Elections Official by 5 p.m. on the 88th
day before the election. City council candidates are
permitted to withdraw their candidacy by filing a
statement of withdrawal no later than 5 p.m. on
the 88th day before the election.

EC §§10220, 10224,
10407(a), 10510, 10603,
13107
August 7 Election Consolidation Deadline
Last day for a local entity to deliver a resolution
requesting election services and consolidation from
the County Board of Supervisors for the election. A
copy of the resolution of the governing board
requesting the consolidation shall be submitted to the
County Elections Official. A copy of the exact form of
the question, proposition, or office to appear on the
ballot must also be submitted.

EC §§1405, 10002, 10403(a)-
(b), 12001
August 8 – August 12
(5:00 p.m.)
Extended Candidate Filing Period
Between these dates is the Extended Candidate
Filing Period. If an eligible incumbent does not file
Nomination Documents (Declaration of Candidacy
and Nomination Papers) or if nomination papers are
filed but then withdrawn by the 88th day before the
election, the filing period is extended for that office for five calendar days until the 83rd day before the
election, for any person other than the
incumbent. City candidates shall file paperwork with
their City Clerk’s office and should check the
business hours of their City Clerk’s office; all other
candidates shall file with the County Elections Official by the 83rd day before the election. This section is
EC §§10225, 10407(b),
10516, 10604

6.2 Attachment 2 - Important Dates
25 not applicable for this election, as there is no
incumbent eligible to be elected due to these
being new District City Council member seats.

On or before
October 29
City Clerk publishes/posts list of “Nominees for Public Office” in the order that candidates will appear on the ballot, and a notice of “Measure to be Voted On”, if
applicable.
§12110, §12111
September 7 –
October 20
Write-in Candidate Filing Period
Between these dates is the Candidate Filing Period
for write-in candidates. Write-in candidates must file
a statement of write-in candidacy and other required
documentation with the County Elections Official. City
candidates must file their paperwork with their City
Clerk's office and should check the business hours of
their City Clerk's office.

EC §§8600-06
September 24 First Pre-Election Statement Due
First pre-election campaign committee statement for
candidates and committees is due for the reporting
period below (ending 45 days before the election) or
the day after the closing date of the last statement
filed.

Reporting Period: July 1, 2026 - September 19, 2026
GC §§84200.5, 84200.8(a)
Fair Political Practices
Commission (FPPC)
Form 460 or 470
October 5 Mailing of Vote by Mail Ballots
No later than this date, the County Elections Official
shall begin mailing Vote by Mail ballots to all
registered voters in the county.

EC §4005(a)(8)(A)
October 19 Voter Registration Deadline
Voter registration closes on this date for the
election. Voters must register by this date to be
eligible to vote non-provisionally in this election. Voter registration forms postmarked prior to or on this date
are accepted.

EC §2102
October 22 Second Pre-Election Statement Due
Second pre-election campaign committee statement
for candidates and committees is due for the
reporting period below (ending 17 days before the
election) or the day after the closing date of the last statement filed.

Reporting Period: September 20, 2026 - October 17,
2026
GC §§84200.5, 84200.8
FPPC Form 460
November 3 Election Day
All Vote Centers open from 7 a.m. to 8 p.m. Semifinal
official canvass commences upon the closing of all
polls at 8 p.m.

EC §§1000, 4005, 14212,
15150-51

6.2 Attachment 2 - Important Dates
26 December 3 County Election Certification
Last day for County Elections Official to certify
election results to the jurisdictions participating in the election.
§15372
At the December 7,
2026 Regular City
Council meeting
Adopt resolution certifying election results; Install
newly elected Councilmembers; and elect new Mayor
and Vice Mayor.
§10263

6.2 Attachment 2 - Important Dates
27 DATE: June 15, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
FROM: Rob Lasky, IT Manager
Diane Pitman, Administrative Services Director
DEPARTMENT: Administrative Services
SUBJECT: PURCHASE OF MOBILE DATA COMPUTER (MDC)

REPLACEMENTS FOR POLICE PATROL CARS FROM CDW-G
IN THE AMOUNT OF $67,339.23

RECOMMENDATION
It is recommended that the City Council adopt the attached resolution authorizing the Mayor to execute an agreement with CDW Government LLC for the purchase of Mobile Data Computer (MDC) replacements for Police patrol cars in the amount of $67,339.23.

EXECUTIVE SUMMARY
The Mobile Data Computers currently in the Police patrol cars were purchased in 2018 and have fulfilled their useful lives. The Information Technology (IT) Division recommends that the City Council approve the purchase of MDC replacements from CDW Government LLC.

BACKGROUND
MDCs are ruggedized computers which are able to withstand the harsh conditions of a vehicle. The current MDCs have performed well for seven (7) years but are now starting to break down more often. Also, due to their age, the units are unable to run Windows

11. The current MDCs were assigned an expected service life of six (6) years based on historical use. There are twelve (12) MDCs installed in Police vehicles. We also retain one (1) spare unit kept in IT for testing and for swapping out when a car unit fails.

6.3 6.3 Staff Report
28 ANALYSIS
The MDCs are installed in all of the Foster City Police Department (FCPD) marked Patrol vehicles. FCPD personnel utilize these systems while conducting routine and emergency police activities. They are used to receive information about calls for service, to access critical person and vehicle data in the field, and to enter data into the Police Records Management System. These computers provide mapping services which allows for vehicle tracking, locations of calls for service, and the nearest police unit. These systems also allow FCPD officers access into all the data warehouses routinely used by law enforcement. With these uses in mind, the MDCs are considered an important tool for the Police Department. Replacing the units when they reach the end of their useful life allows the FCPD to maintain the reliability and performance levels they have come to expect from their MDCs.

IT requested demo units of various sizes and form factors from three (3) leading vendors of MDCs and placed them in the Police Line-Up Room so officers were able to interact with them. After their hands-on testing, their preference was for the Panasonic laptop model.

A Request for Proposals (RFP) was released on May 20, 2026 for Panasonic laptops.

The only proposal received by the due date was from CDW-G.

The proposal is for equipment only. Installation will be performed by the vendor that does all of the patrol car outfitting (Priority 1 Public Safety Equipment Installation Inc.).

California Environmental Quality Act
Not Applicable

FISCAL IMPACT
The total cost of this purchase is $67,339.23 and is allocated in the Information Technology Replacement Fund (Account 504-0160-419 4388) in FY 2025-2026 for this purpose.

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

6.3 6.3 Staff Report
29 ATTACHMENTS:

Attachment 1 – Resolution
Attachment 2 – Order Form
Attachment 3 – Agreement

6.3 6.3 Staff Report
30 RESOLUTION NO.

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

AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT WITH CDW

GOVERNMENT LLC FOR THE PURCHASE OF MOBILE DATA COMPUTER (MDC) REPLACEMENTS FOR POLICE PATROL CARS IN THE AMOUNT OF $67,339.23

CITY OF FOSTER CITY
WHEREAS, the Mobile Data Computers (MDCs) used in the police vehicles have reached the end of their useful life; and
WHEREAS, MDCs can be classified as an important tool for the Police Department; and
WHEREAS, City Staff evaluated demo units for replacement of the MDCs; and WHEREAS, the City Staff released a Request for Proposals to solicit bids for replacement of the MDCs; and
WHEREAS, the only proposal submitted was from CDW Government LLC; and WHEREAS, funds are budgeted in the Information Technology Replacement Fund (Account 504-0160-419 4388) for FY 2025-2026 for this purpose.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Foster City does hereby authorize the Mayor to execute an agreement to purchase Mobile Data Computer (MDC) replacements for Police patrol cars from CDW Government LLC in an amount not to exceed $67,339.23.

PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the regular meeting held on the 15th day of June, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

ART KIESEL, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.3 Attachment 1 - Resolution
31 6.3
Attachment 2 - Order Form
32 6.3
Attachment 2 - Order Form
33 6.3
Attachment 2 - Order Form
34 6.3
Attachment 2 - Order Form
35 1 Updated 1/10/2022

VENDOR AGREEMENT FOR PRODUCTS AND/OR SERVICES
FOR
2026 MOBILE DATA COMPUTER (MDC) REPLACEMENTS
This Agreement is made and entered into as of the 15th day of June, 2026 by and between the City of Foster City hereinafter called "CITY" and CDW Government LLC. hereinafter called "VENDOR".

RECITALS
This Agreement is entered into with reference to the following facts and circumstances:

A. That CITY desires to engage VENDOR to provide a product and/or services to the CITY;
B. That VENDOR is specially trained, experienced and competent to perform and has agreed to provide the product and/or services to the CITY and; C. That the CITY has elected to engage VENDOR upon the terms and conditions as hereinafter set forth.

1. A. Services. The services to be performed by VENDOR under this Agreement are set forth in Exhibit A, which is, by this reference, incorporated herein and made a part hereof as though it were fully set forth herein.

Performance of the work specified in said Exhibit A is hereby made an obligation of VENDOR under this Agreement, subject to any changes that may be made subsequently hereto upon the mutual written agreement of the said parties.

Where in conflict, the terms of this Agreement supersede and prevail over any terms set forth in Exhibit A.

B. Product. The product to be supplied by VENDOR under this Agreement is set forth in Exhibit A which is, by this reference, incorporated herein and made a part hereof as though it were fully set forth herein.

Timely delivery of the product specified in said Exhibit A is hereby made an obligation of VENDOR under this Agreement, subject to any changes that may be made subsequently hereto upon the mutual written agreement of the said parties.

VENDOR’s obligation to provide the product includes but is not limited to, the provision of all labor, equipment, materials, testing and any other

6.3 Attachment 3 - Agreement
36 2 Updated 1/10/2022
required work or services or costs of any type incidental to the supply of the product.

2. Term; Termination. (a) The term of this Agreement shall commence upon the date hereinabove written and shall expire upon the date enumerated in Exhibit A, delivery of the product or completion of performance of services hereunder by VENDOR, whichever date shall first occur.
(b) Notwithstanding the provisions of (a) above, CITY may with or without cause, direct VENDOR to suspend, delay or interrupt services, in whole or in part, for such periods of time as CITY may determine in its sole discretion. (c) CITY may terminate performance of the services under this Agreement in whole, or from time to time in part, for default, should VENDOR commit a material breach of this Agreement, or part thereof, and not cure such breach within ten (10) calendar days of the date of CITY’s written notice to VENDOR demanding such cure, in which case VENDOR shall be liable to CITY for all loss, cost, expense, damage and liability resulting from such breach and termination. (d) CITY may terminate performance of the services under this Agreement in whole, or from time to time in part, for convenience, whenever CITY determines that such termination is in CITY’s best interests, in which case VENDOR shall be entitled to recover its costs expended up to the termination date plus reasonable profit thereon to the termination date as this Agreement would otherwise provide, but may recover no other cost, damage or expense.

VENDOR shall continue its work throughout the course of any dispute, and VENDOR’s failure to continue work during a dispute shall be a material breach of this Agreement.

3. Compensation; Expenses; Payment. CITY shall compensate VENDOR for all products supplied or services performed by VENDOR hereunder as shown in Exhibit B attached hereto and by this reference incorporated herein.

Notwithstanding the foregoing, the combined total of compensation and reimbursement of costs payable hereunder shall not exceed the sum Sixty Seven Thousand Three Hundred Thirty-Nine Dollars and Twenty Three Cents ($67,339.23). Invoices for amounts in excess of Sixty Seven Thousand Three Hundred Thirty-Nine Dollars and Twenty Three Cents ($67,339.23) shall not be paid unless additional amounts have been approved in advance of supplying the product, performing the services or incurring the costs and expenses by CITY’s City Manager (for contracts less than $50,000) or City Council (for contracts $50,000 or more) evidenced by motion duly made and carried and a written contract amendment having been executed.

6.3 Attachment 3 - Agreement
37 2 Updated 1/10/2022
Compensation and reimbursement of costs and expenses hereunder shall be payable upon VENDOR meeting contract milestones as defined in Exhibit B. Billing shall include an itemized statement, briefly describing by task and labor category or cost/expense items billed.

4. Additional Services. In the event CITY desires the delivery of additional products or performance of additional services not otherwise included within Exhibit A, such products or services shall be authorized in advance by CITY’s City Manager (for contracts less than $50,000) or City Council (for contracts $50,000 or more) by motion duly made and carried. Such amendment to this Agreement shall include a description of the product to be delivered or services to be performed thereunder, the maximum compensation and reimbursement of costs and expenses payable therefor, the time of performance thereof, and such other matters as the parties deem appropriate. Except to the extent modified by written amendment, all other terms and conditions of this Agreement shall be deemed incorporated in each such amendment.

5. Records. VENDOR shall keep and maintain accurate records of products delivered or of all time expended in performing services and costs and expenses incurred relating thereto. Said records shall be available to CITY for review and copying during regular business hours at VENDOR’s place of business or as otherwise agreed upon by the parties.

6. Authorization. This Agreement becomes effective when endorsed by both parties in the space provided below.

7. Documents. All documents, plans, drawings, renderings, and other papers, or copies thereof, as finally rendered, prepared by VENDOR pursuant to the terms of this Agreement, shall, upon preparation and delivery to CITY, become the property of CITY

8. Relationship of Parties. VENDOR is an independent Contractor and does not act as CITY’s agent in any capacity, whatsoever. VENDOR is not entitled to any benefits that CITY provides to CITY employees, including, without limitation, worker’s compensation benefits or payments, pension benefits, health benefits or insurance benefits. Terms within this Agreement regarding direction apply to and concern the result of the VENDOR’s provision of Services, not the means, methods, or scheduling of the VENDOR’s work. VENDOR shall be solely responsible for the means, methods, techniques, sequences and procedures with respect to its provision of Services under this Agreement. VENDOR shall pay all payroll taxes imposed by any governmental entity and shall pay all other taxes not specifically identified in this Agreement as CITY’s responsibility.

6.3 Attachment 3 - Agreement
38 3 Updated 1/10/2022

9. Schedule. VENDOR shall adhere to the schedule set forth in Exhibit A; provided, that CITY shall grant reasonable extensions of time for the delivery of products or performance of services occasioned by governmental reviews of VENDOR’s work product or other unavoidable delays; provided, further, that such unavoidable delay shall not include strikes, lockouts, work stoppages, or other labor disturbances conducted by, or on behalf of, VENDOR’s officers or employees.

VENDOR acknowledges the importance to CITY of timely delivery of products or services and agrees to put forth its best professional efforts to perform in a manner consistent with that schedule.

10. Force Majeure. Except for defaults of subcontractors at any tier, VENDOR shall not be liable for any excess costs if the failure to perform the Agreement arises from causes beyond the control and without the fault or negligence of VENDOR, including without limitation failure to reasonably mitigate any adverse impacts (Force Majeure). Force Majeure events include the following:

Acts of God, fires, floods, earthquake, other natural disasters, epidemics and pandemics (other than COVID-19 or variants), abnormal weather conditions beyond the parameters otherwise set forth in this Article, nuclear accidents, strikes, lockouts, freight embargos, interruptions in service by a regulated utility, or governmental statutes or regulations enacted or imposed after the fact (together, “force majeure events”).

11. VENDOR’s Liability for Injury to Persons or Damage to Property. a. VENDOR shall be liable for damages arising out of injury to the person and/or damage to City property, City employees, persons designated by City for training, or any other person(s) other than VENDOR’s agents or employees, designated by City for any purpose prior to, during, or subsequent to delivery, installation, acceptance, and use of the Products either at VENDOR’s site or at City’s place of business, provided that the injury or damage was caused by VENDOR’s fault or negligence.
b. VENDOR shall not be liable for damages arising out of or caused by an alteration or an attachment not made or installed by VENDOR, or for damage to alterations or attachments that may result from the normal operation and maintenance of the Products in accordance with the Agreement.

12. Indemnity. To the fullest extent allowed by law, VENDOR hereby agrees to defend, indemnify, and save harmless CITY and Estero Municipal Improvement District, its Council, boards, commissions, officers, employees, directors, volunteers and agents, from and against any and all

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claims, suits, actions liability, loss, damage, expense, injury (including, without limitation, economic harm, injury to or death of any person, including an employee of VENDOR or its Subcontractors), cost (including, without limitation, costs and fees of litigation) of every nature, kind or description, at law or equity, which may be brought against, or suffered or sustained by, CITY or Estero Municipal Improvement District, its Council, boards, commissions, officers, employees, directors, volunteers or agents that arise out of, pertain to, or relate to any negligence, recklessness, or willful misconduct of VENDOR, any Subcontractor, anyone directly or indirectly employed or retained by them, or anyone that they control. In the event one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, the VENDOR shall meet and confer with other parties regarding unpaid defense costs.

The duty of VENDOR to indemnify and save harmless, as set forth herein, shall include the duty to defend as set forth in Section 2778 of the California Civil Code; provided, however, that nothing herein contained shall be construed to require VENDOR to indemnify CITY and Estero Municipal Improvement District, its Council, boards, commissions, officers, employees and agents against any responsibility or liability in contravention of Section 2782 of the California Civil Code.

VENDOR’s responsibility for such defense and indemnity obligations shall survive the termination or completion of this Agreement for the full period of time allowed by law.

The defense and indemnification obligations of this agreement are undertaken in addition to, and shall not in any way be limited by, the insurance obligations contained within this Agreement.

13. Patent, Copyright and Trade Secret Indemnity.
a. VENDOR shall hold City, its officers, agents and employees, harmless from liability of any nature or kind, including costs and expenses, for infringement or use of any copyrighted or uncopyrighted composition, secret process, patented or
unpatented invention, article or appliance furnished or used in connection with the Agreement.
b. VENDOR may be required to furnish a bond to City against any and all loss, damage, costs, expenses, claims and liability for patent, copyright and trade secret infringement.
c. VENDOR, at its own expense, shall defend any action brought against City to the extent that such action is based upon a claim that the Products supplied by VENDOR or the operation of such Products pursuant to a current version of VENDOR supplied operating software infringes a patent or copyright or violates a

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trade secret. VENDOR shall pay those costs and damages finally awarded against City in any such action. Such defense and payment shall be conditioned on the following:
i. That VENDOR shall be notified within a reasonable time in writing by City of any notice of such claim; and
ii. That VENDOR shall have the sole control of the defense of any action on such claim and all negotiations for its settlement or compromise, provided, however, that when principles of
government or public law are involved, City shall have the option to participate in such action at its own expense.
d. Should the Products, or the operation thereof, become, or in VENDOR’s opinion are likely to become, the subject of a claim of infringement of a patent or copyright or a trade secret, City shall permit VENDOR at its option and expense either to procure for City the right to continue using the Products, or to replace or modify the same so that they become non infringing. If none of these options can reasonably be taken, or if the use of such Products by City shall be prevented by injunction, VENDOR agrees to take back such Products and make every reasonable effort to assist City in procuring substitute Products. If, in the sole opinion of City, the return of such infringing Products makes the retention of other Products acquired from VENDOR under the Agreement
impractical, City shall then have the option of terminating the Agreement, or applicable portions thereof, without penalty or termination charge. VENDOR agrees to take back such Products and refund any sums City has paid VENDOR less any reasonable amount for use or damage.
e. VENDOR shall have no liability to City under any provision of this clause with respect to any claim of patent, copyright or trade secret infringement which is based upon.
i. The combination or utilization of Products furnished hereunder with equipment or devices not made or furnished by VENDOR; or
ii. The operation of equipment furnished by VENDOR under the control of any operating software other than, or in addition to, the current version of VENDOR supplied
operating software; or
iii. The modification by City of the equipment of software furnished hereunder; or
iv. The combination or utilization of software furnished hereunder with non-VENDOR supplied software.
f. VENDOR certifies that it has appropriate systems and controls in place to ensure that City funds will not be used in the performance of the Agreement for the acquisition, operation or maintenance of computer software in violation of copyright laws.

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14. Insurance. Prior to execution of this Agreement, VENDOR shall furnish to CITY Certificates of Insurance showing satisfactory proof that it maintains the insurance required by this Agreement as set forth in EXHIBIT D, Insurance, which are attached and made a part of this Agreement.

VENDOR shall maintain all required insurance throughout the term of this Agreement and as otherwise provided in EXHIBIT D. In the event VENDOR fails to maintain any required insurance, and notwithstanding Paragraph 3 above, CITY may (but is not obligated to) purchase such insurance and deduct or retain premium amounts from any sums due VENDOR under this Agreement (or VENDOR shall promptly reimburse CITY for such expense).

VENDOR shall maintain insurance as required by this Agreement to the fullest amount allowed by law and shall maintain insurance for a minimum of five (5) years following completion of this project or service. In the event VENDOR fails to obtain or maintain completed operations coverage as required by this Agreement, the CITY at its sole discretion may purchase the coverage required and the cost will be paid by VENDOR.

15. WORKERS' COMPENSATION. VENDOR certifies that he is aware of the provisions of the Labor Code of the State of California which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that Code, and VENDOR certifies that he will comply with such provisions before commencing the performance of the work of this agreement.

16. NON-DISCRIMINATION. The VENDOR will not discriminate against any employee or applicant for employment because of race, color, religion, sex or national origin. The VENDOR will take affirmative action to ensure that applicants are employed and the employees are treated during employment without regard to their race, color, religion, sex or national origin. Such action shall include, but not be limited to the following:
employment, advancement, demotion, transfer, recruitment, or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The VENDOR shall at all times be in compliance with the requirements of the Federal Americans With Disabilities Act (Public Law 101-336) which prohibits discrimination on the basis of disability by public entities. The VENDOR agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CITY setting forth the provisions of this non-discrimination clause.

17. Notice. All notices required by this Agreement shall be given to the CITY and VENDOR in writing, by first class mail, postage prepaid, addressed as follows:

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CITY: City of Foster City
610 Foster City Boulevard
Foster City, CA 94404-2299
Attention: Rob Lasky
VENDOR: CDW Government LLC
230 N. Milwaukee Ave.

Vernon Hills, IL 60061
Attention: Brian Clouser
Email Address: [email protected]

18. Non-Assignment. This Agreement is not assignable either in whole or in part.

19. Substitutions. VENDOR may not substitute any Products or Services without City’s advance written consent. VENDOR shall not use any specification in lieu of those contained in the Agreement without City’s advance written consent.

20. Warranty. Unless otherwise specified, the warranties contained in the Agreement begin after acceptance has occurred.
a. VENDOR warrants that all Products and Services furnished hereunder will conform to the requirements of the Agreement (including all descriptions, specifications and drawings made a part hereof). All Products will be merchantable, fit for their intended purposes, free from all defects in materials and workmanship and to the extent not manufactured pursuant to detailed designs furnished by City, free from defects in design. No approval of designs, specifications or other Services furnished by VENDOR shall relieve VENDOR of its obligations under this warranty. b. All warranties, including special warranties specified elsewhere herein, shall inure to City, its successors and assigns, and any users of the Products or Services.

21. Samples.
a. City may require samples of items inspection and specification testing and must be furnished free of expense to City. The samples furnished must be identical in all respects to the products bid and/or specified in the Agreement.
b. Samples, if not destroyed by tests, may, upon VENDOR’s request made at the time the sample is furnished, be returned at VENDOR’s expense.

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22. Newly Manufactured Products. All Products shall be newly manufactured products; used or reconditioned products are prohibited, unless otherwise specified.

23. Packing and Shipment.
a. All Products shall be packed in suitable containers for protection in shipment and storage, and in accordance with applicable specifications. Each container of a multiple container shipment shall be identified to:
i. show the number of the container and the total number of containers in the shipment; and
ii. the number of the container in which the packing sheet has been enclosed.
b. All shipments by VENDOR or its subcontractors must include packing sheets identifying City’s Contract number; item number; quantity and unit of measure; description of the Products shipped; and appropriate evidence of inspection, if required.
c. Shipments must be made as specified in the Agreement, as it may be amended, or otherwise directed in writing by City.

24. Transportation Costs and Other Fees or Expenses. No charge for delivery, drayage, express, parcel post, packing, cartage, insurance, license fees, permits, cost of bonds, or for any other purpose will be paid by City unless expressly authorized by and itemized in the Agreement.

Unless otherwise directed by City in writing, all Products and components thereof shall be delivered f.o.b. Point of Delivery. VENDOR shall select the means and methods of transportation.

25. Inspection, Acceptance and Rejection.
a. VENDOR and its subcontractors shall provide and maintain a quality assurance system acceptable to City covering Products and Services under the Agreement and will tender to City only Products that have been inspected and found to conform to all requirements.

VENDOR will keep records evidencing inspections and their result, and will make these records available to City during the Agreement performance and for three years after final payment. VENDOR shall permit City to review procedures, practices, processes and related documents to determine the acceptability of VENDOR’s quality assurance system or other business practices related to performance of the Agreement.
b. All Products may be subject to inspection and test by City or its authorized representatives.
c. VENDOR and its subcontractors shall provide all reasonable facilities for the safety and convenience of inspectors at no

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additional cost to City. VENDOR shall furnish to inspectors all information and data as may be reasonably required to perform their inspection.
d. All Products may be subject to final inspection, test and acceptance by City, notwithstanding any payment or other inspection. e. City shall give written notice of rejection of Products delivered or Services performed within a reasonable time after receipt of such Products or performance of such Services. Such notice of rejection will state the respects in which the items do not substantially conform to their specifications. If City does not provide such notice of rejection within thirty (30) days of delivery, unless otherwise specified in the Agreement, such Products and Services will be deemed to have been accepted. Acceptance shall not be
construed to waive any warranty rights that City might have at law or by express reservation in the Agreement with respect to any nonconformity, or any other rights provided by law.

26. Compliance With Statutes and Regulations. VENDOR covenants that in the performance of the Agreement it will comply with all applicable statutes, rules, regulations and orders of the United States, the State and City, and shall defend, indemnify and hold the City harmless against any loss, cost, damage or liability by reason of VENDOR’s violation of this provision.

27. National Labor Relations Board Certification. VENDOR swears under penalty of perjury that no more than one final, unappealable finding of contempt of court by a federal court has been issued against VENDOR within the immediately preceding two-year period because of VENDOR’s failure to comply with an order of the National Labor Relations Board.

28. Covenant Against Gratuities. VENDOR warrants that no gratuities (in the form of entertainment, gifts, or otherwise) were offered or given by VENDOR, or any agent or representative of VENDOR, to any officer or employee of City with a view toward securing the Agreement or securing favorable treatment with respect to any determinations concerning the performance of the Agreement. For breach or violation of this warranty, City shall have the right to terminate the Agreement, either in whole or in part, and any loss or damage sustained by City in procuring on the open market any items which VENDOR agreed to supply shall be borne and paid for by VENDOR. The rights and remedies of City provided in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law or in equity.

29. Amendments. This Agreement may be amended or modified only by written agreement signed by both parties.

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30. Validity. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.

31. Governing Law. This Agreement shall be deemed to have been executed in the County of San Mateo, California. The formation, interpretation and performance of this Agreement shall be governed by the laws of the State of California, excluding its conflict of laws rules. Any suit or action initiated by either party shall be brought in the County of San Mateo, California unless the parties agree otherwise in a written amendment to this Agreement. In the event of litigation between the parties hereto to enforce any provision of the Agreement, the unsuccessful party will pay the reasonable attorney’s fees and expenses of litigation of the successful party.

32. Mediation. Should any dispute arise out of this Agreement, the parties shall meet in mediation and attempt to reach a resolution with the assistance of a mutually acceptable mediator. Neither party shall be permitted to file legal action without first meeting in mediation and making a good faith attempt to reach a mediated resolution. The costs of the mediator, if any, shall be paid equally by the parties. If a mediated settlement is reached neither party shall be deemed the prevailing party for purposes of the settlement and each party shall bear its own legal costs.

33. Conflict of Interest. VENDOR represents and warrants that it presently has no interest, and shall not have any interest, direct or indirect, which would conflict in any manner with the performance of work and services required under this Agreement. Without limitation, VENDOR represents to and agrees with CITY that VENDOR has disclosed any potential conflict of interest, and will have no future conflict of interest, in providing CITY services hereunder, including but not limited to, any interest (financial, share ownership, shared management, shared directors, or reporting responsibilities) VENDOR may presently have, or will have in the future, with respect to any other person or entity (including but not limited to potential VENDORs, consultants, contractors, or regulatory agency) which may have an interest in the subject matter of the Services.

34. Confidentiality. Any information, whether proprietary or not, made known to or discovered by VENDOR during the performance of or in connection with the Agreement for City, will be kept confidential and not be disclosed to any other person. VENDOR will immediately notify City in writing if it is requested to disclose any information made known to or discovered by during the performance of or in connection with the Agreement. These

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confidentiality provisions and limitations shall remain fully effective indefinitely after VENDOR’s completion of the Agreement.

35. Waiver of Default. Waiver of any default by either party to this Agreement shall not be deemed to be waiver of any subsequent default. Waiver or breach of any provision of this Agreement shall not be deemed to be a waiver of any other or subsequent breach, and shall not be construed to be a modification of the terms of this Agreement unless this Agreement is modified as provided below.

36. Entire Agreement. This Agreement, including Exhibits A, B C, D, and E , comprises the entire Agreement. Where in conflict, the terms of this Agreement supersede and prevail over any terms set forth in any of the Exhibits.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the date first above written by their respective officers duly authorized in that behalf.

CITY OF FOSTER CITY
Dated: _________________________________
Art Kiesel, Mayor
ATTEST:

Dated: ________________________________
Priscilla Schaus, City Clerk

APPROVED AS TO FORM
Dated:

Benjamin Stock, City Attorney
VENDOR
Dated:

CDW Government LLC.

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SCOPE OF WORK and SCHEDULE
FOR
2026 MOBILE DATA COMPUTER (MDC) REPLACEMENTS
Scope of Deliverables:
13 Panasonic Toughbook 56 with 5 years Protection Plus warranty and Smart Compliance Software
Please refer to attached CDW-G proposal for full details Project Schedule
Equipment to be delivered within 60 days of agreement execution

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EXHIBIT B
VENDOR’S FEES and PAYMENT MILESTONES
Summary
Total cost: $67,339.23
Itemized Fees
ITEM QTY UNIT PRICE EXT. PRICE
Panasonic Toughbook Protection Plus -
insurance - 5 years 13 $660.47 $8,586.11
Havis docking station 13 $655.92 $8,526.96
Car power adapter - 120 Watt 13 $137.50 $1,787.50
Panasonic Deployment Service -
configuration 13 $78.60 $1,021.80
Panasonic Connect Smart Compliance
Software Subscription 13 $139.33 $1,811.29
Panasonic Toughbook 56 13 $2,576.58 $33,495.54
16GB Memory Upgrade 13 $559.18 $7,269.34
Recycling Fee 13 $4.00 $52.00
SUBTOTAL $62,498.54
SHIPPING $0.00

RECYCLING
FEE $52.00
SALES TAX $4,788.69
GRAND TOTAL $67,339.23
Please refer to attached CDW-G proposal for full details Project Payment Schedule
Milestone Amount of Payment
Delivery of Equipment $67,339.23

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EXHIBIT C
ADDITIONAL TERMS and CONDITIONS
None.

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EXHIBIT D

INSURANCE
VENDOR shall provide, in addition to the Certificates of Insurance, original Endorsement affecting the coverages specified in herein on the attached form. No substitute form will be accepted.

This is an Exhibit to, and made a part of and incorporated by reference to the Agreement dated June 15, 2026, by and between CDW Government LLC., hereinafter referred to as "Vendor”, and the City of Foster City, hereinafter referred to as "City", providing for professional services.

1. Vendor's Duty to Show Proof of Insurance. Vendor, in order to protect City and its Council members, officials, agents, officers, and employees against all claims and liability for death, injury, loss and damage as a result of Vendor's acts, errors, or omissions in connection with the performance of Vendor's obligations, as required in this Agreement, shall secure and maintain insurance as described below. Vendor shall not perform any work under this Agreement until Vendor has obtained all insurance required under this section and the required certificates of insurance and all required endorsements have been filed with the City's authorized insurance representative, insurance Tracking Services Inc. (ITS).

Receipt of evidence of insurance that does not comply with all applicable insurance requirements shall not constitute a waiver of the insurance requirements set forth herein. The required documents must be signed by the authorized representative of the insurance company shown on the certificate. Upon request, Vendor shall supply proof that such person is an authorized representative thereof, and is authorized to bind the named underwriter(s) and their company to the coverage, limits and termination provisions shown thereon, Vendor shall promptly deliver to ITS a certificate of insurance, and all required endorsements, with respect to each renewal policy, as necessary to demonstrate the maintenance of the required insurance coverage for the term specified herein. Such certificates and endorsements shall be delivered to ITS prior to the expiration date of any policy and bear a notation evidencing payment of the premium thereof if so requested. Vendor shall immediately pay any deductibles and self-insured retentions under all required insurance policies upon the submission of any claim by Vendor or City as an additional insured.

1.1 Insurance Requirements
☒ Commercial General Liability Insurance
Commercial General Liability Insurance including, but not limited to, Contractual Liability Insurance (specifically concerning the indemnity provisions of this Agreement with the City ), Products-Completed Operations Hazard, liability for slander, false arrest and invasion of privacy arising out of professional services rendered hereunder, Personal Injury (including bodily injury and death), and Property Damage for liability arising out of Vendor's performance of services under this Agreement. The Commercial General Liability insurance shall contain no exclusions or limitation for independent contractors working on the behalf of the named insured. Vendor shall maintain the Products-Completed Operations Hazard coverage for the longest period allowed by law following termination of this Agreement. The amount of said insurance coverage required by this Agreement shall be the policy limits, which shall be at least two million dollars ($2,000,000) each occurrence and four million dollars ($4,000,000) aggregate.
*Please note, the City will require a separate additional insured endorsement for the Commercial General Liability policy, listing the “City of Foster City, its Council members, officials, agents, officers, and employees”.

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☒ Workers' Compensation Insurance
VENDOR shall submit written proof that VENDOR is insured against liability for workers' compensation in accordance with the provisions of section 3700 of the California Labor Code.

VENDOR shall require any Subcontractors to provide workers' compensation for all of the Subcontractors' employees, unless the Subcontractors' employees are covered by the insurance afforded by VENDOR. If any class of employees engaged in work or services performed under this Agreement is not covered by California Labor Code section 3700, VENDOR shall provide and/or require each Subcontractor to provide adequate insurance for the coverage of employees not otherwise covered. Vendor shall also maintain employer's liability insurance with limits of one million dollars ($1,000,000) for bodily injury or disease.

1.2 Self-Insured Retention
Any self-insured retentions in excess of $100,000 must be declared on the Certificate of insurance or other documentation provided to City and must be approved by the City Risk Manager.

1.3 Claims-Made Basis Coverage
If any of the insurance coverages required under this Agreement is written on a claims-made basis, Vendor, at Vendor's option, shall either (i) maintain said coverage for at least five (5) years following the termination of this Agreement with coverage extending back to the effective date of this Agreement; (ii) purchase an extended reporting period of not less than five (5) years following the termination of this Agreement; or (iii) acquire a full prior acts provision on any renewal or replacement policy.

2. City as Additional Insured
On Vendor's Commercial General Liability and Automobile policies, the City, its Council members, officers, directors, agents, employees, and volunteers, shall be named as additional insured's, but only with respect to liability arising out of the activities of the named insured. Any endorsement shall be provided using one of the following three options: (i) on ISO form CG 20 10 1 1 85; or (ii) on ISO form CG 20 37 10 01 plus either ISO form CG 20 10 10 01 or CG 20 33 10 01; or (iii) on such other forms which provide coverage at least equal to or better than form CG 20 10 1 1 85.

3. Insurance terms and conditions:

3.1 Cancellation of Insurance
The above stated insurance coverages required to be maintained by Vendor shall be maintained until the completion of all of Vendor's obligations under this Agreement except as otherwise indicated herein. Each insurance policy supplied by Vendor shall not be suspended, voided, cancelled or reduced in coverage or in limits except after ten (10) days written notice by Vendor in the case of non-payment of premiums, or thirty (30) days written notice in all other cases. This notice requirement does not waive the insurance requirements stated herein. Vendor shall immediately obtain replacement coverage for any insurance policy that is terminated, canceled,

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non-renewed, or whose policy limits have been exhausted or upon insolvency of the insurer that issued the policy.

3.2 All insurance shall be issued by a company or companies admitted to do business in California and listed in the current "Best's Key Rating Guide" publication with a minimum rating of A-; VII Any exception to these requirements must be approved by the City Risk Manager.

3.3 If Vendor is, or becomes during the term of this Agreement, self-insured or a member of a self-insurance pool, Vendor shall provide coverage equivalent to the insurance coverages and endorsements required above. The City will not accept such coverage unless the City determines, in its sole discretion and by written acceptance, that the coverage proposed to be provided by Vendor is equivalent to the above-required coverages.

3.4 For any claims related to the Agreement, the Vendor’s insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City , its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City , its officers, officials, employees, or volunteers shall be excess of the Vendor’s insurance and shall not contribute with it.

3.5 Insurance coverages in the minimum amounts set forth herein shall not be construed to relieve Vendor for any liability, whether within, outside, or in excess of such coverage, and regardless of solvency or insolvency of the insurer that issues the coverage; nor shall it preclude the City from taking such other actions as are available to it under any other provision of this Agreement or otherwise in law.

3.6 Failure by Vendor to maintain all such insurance in effect at all times required by this Agreement shall be a material breach of this Agreement by Vendor. City , at its sole option, may terminate this Agreement and obtain damages from Vendor resulting from said breach.

Alternatively, City may purchase such required insurance coverage, and without further notice to Vendor, City shall deduct from sums due to Vendor any premiums and associated costs advanced or paid by City for such insurance. If the balance of monies obligated to Vendor pursuant to this Agreement are insufficient to reimburse City for the premiums and any associated costs, Vendor agrees to reimburse City for the premiums and pay for all costs associated with the purchase of said insurance. Any failure by City to take this alternative action shall not relieve Vendor of its obligation to obtain and maintain the insurance coverages required by this Agreement.

3.7 Should any of the required insurance (other than errors and omissions insurance) be provided under a form of coverage that includes a general annual aggregate limit or provides that claims investigation or legal defenses costs be included in such general aggregate limit, such general annual aggregate limit shall be double the occurrence or claims limit specified above.

3.8 City may (but is under no obligation to) secure project-specific insurance, wrap-up insurance, or administer an owner controlled insurance program ("OCIP"), in which case Vendor and its subcontractors shall communicate this fact to their insurance carriers and request that the risk of this project be excluded from their practice policies. Vendor's fees under this Agreement (and the fee of its subcontractors under subcontractor agreements) shall be reduced by the amount of insurance premiums that may be avoided by Vendor and its subcontractors by virtue of the City's obtaining the project-specific insurance, wrap-up insurance or administering an OCIP, and the exclusion of this project from coverage of Vendor's and subcontractors policies.

Construction Manager and its subcontractors shall afford City access to their books and records and cooperate with City in verifying the amount of savings realized.

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ATTACHED

1. Insurance Coverage Form

EXHIBIT D
This INSURANCE COVERAGE FORM modifies or documents insurance provided under the following:

Named Insured: Effective Work Date(s):

Description of Work/Locations/Vehicles:

ADDITIONAL INSURED: City of Foster City/Estero Municipal Improvement District (CITY) 610 Foster City Boulevard, Foster City, CA 94404
Attention: _________________________________
Contract Administrator
Endorsement and Certificates of Insurance Required
The Additional Insured, its elected or appointed officers, officials, employees and volunteers are included as insureds with regard to damages and defense of claims arising from: (Check all that apply) Insurer Policy
No.

General Liability: (a) activities performed by or on behalf of the Named Insured, (b) products and completed operations of the Named Insured, (c) premises owned, leased occupied or used by the Named Insured, and/or (d) permits issued for operations performed by the Named Insured. {Note: MEETS OR EXCEEDS ISO Form # CG 20 10 11 85}
Auto Liability: the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Named Insured, regardless of whether liability is attributable to the Named Insured or a combination of the Named Insured and the Additional Insured, its elected or appointed officers, officials, employees or volunteers.

Other: [Cyber Liability, Installation Floater, etc.]
Certificates of Insurance Required (no endorsement needed) (Check all that apply)
Insurer Policy
No.

Workers Compensation: work performed by employees of the Named Insured while those employees are engaged in work under the simultaneous directions and control of the Named Insured and the Additional Insured.

Professional Liability:

PRIMARY/NON-CONTRIBUTORY: This insurance is primary and is not additional to or contributing with any other insurance carried by or for the benefit of Additional Insureds.

SEVERABILITY OF INTEREST: The insurance afforded by this policy applies separately to each insured who is seeking coverage or against whom a claim is made or a suit is brought, except with respect to the insurer’s limit of liability.

PROVISIONS REGARDING THE INSURED'S DUTIES AFTER ACCIDENT OR LOSS: Any failure to comply with reporting provisions of the policy shall not affect coverage provided to the Additional Insured, its elected or appointed officers, officials, employees, or volunteers.

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by regular mail return receipt requested has been given to the Additional Insured. Such notice shall be addressed as shown above.

WAIVER OF SUBROGATION: The insurer(s) named above agree to waive all rights of subrogation against the CITY, its elected or appointed officers, officials, agents, volunteers and employees for losses paid under the terms of this policy which arise from work performed by the Named Insured for the CITY.

Nothing herein contained shall vary, alter or extend any provision or condition of the Policy other than as above stated.

SIGNATURE OF INSURER OR AUTHORIZED REPRESENTATIVE OF THE INSURER I, ___________________________________________________________(print/type name), warrant that I have authority to bind the above-named insurance company and by my signature hereon do so bind this company.

SIGNATURE OF AUTHORIZED REPRESENTATIVE (original signature required) ORGANIZATION: TITLE:

ADDRESS:

TELEPHONE: ( ) DATE ISSUED:

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EXHIBIT E
COVID-19 AMENDMENT/ATTACHMENT
(Vendor Agreement Form)
This COVID-19 Amendment/Attachment amends the Agreement between ____________________ (“City”) and ____________________________ (“Vendor”) dated ___________________________.

1. Definitions
A. The 2019 novel coronavirus and the disease it causes are collectively referred to herein as “COVID-19”.

B. A “COVID-19 Condition” is something attributable to COVID-19 not caused by the Vendor (which for purposes herein includes all subcontractors) and beyond its reasonable control including but not limited to COVID-19 Proclamations and supply chain disruptions due to COVID-19, and other circumstances concerning COVID-19 not caused by the Vendor and which are beyond its reasonable control.

C. A “COVID-19 Proclamation” includes but is not limited to orders, directives and guidance concerning COVID-19 that have been issued, and which may be issued from time to time, by public agencies or regulatory bodies, the CDC or OSHA or Cal/OSHA, including without limitation the Cal/OSHA COVID-19 Prevention Emergency Temporary Standards. Vendor acknowledges that those orders, directives and guidance may require the Project to shut down or otherwise increase the Vendor’s cost or time of performance by calling for things such as social distancing and the use of personal protective equipment. In the event of conflicting COVID-19 Proclamations, the Vendor shall follow the most applicable, restrictive and newest COVID-19 Proclamations.

D. An “Unknown COVID-19 Condition” is a COVID-19 Condition the Vendor did not know about, and reasonably should not have known about, as of the date the Vendor submitted its proposal. The requirements contained in COVID-19 Proclamations issued before submission of a proposal are not Unknown COVID-19 Conditions, and the Vendor will be deemed to have knowledge of those requirements.

E. An “Unknown COVID-19 Cost” is a cost that: (i) is solely attributable to an Unknown COVID-19 Condition; (ii) is reasonable and unavoidable under the circumstances; (iii) is not the result of the Vendor’s failure to comply with the contract documents or a COVID-19 Proclamation; and (iv) is not the result of a subcontractors failure to comply with a COVID-19 Proclamation in connection with the performance of the Services.

2. COVID-19 Conditions and Proposal. Vendor is expected to know and is deemed to have known about COVID-19 Conditions when it submits its proposal, and COVID-19

6.3 Attachment 3 - Agreement
57 6 Updated 1/18/2022
Conditions must be accounted for in the Vendor’s price and schedule. In order to be entitled to any relief from a COVID-19 Condition, the Vendor must demonstrate that the issue, cost or delay is due to an Unknown COVID-19 Condition.

3. Compliance with COVID-19 Proclamations.

A. Vendor shall comply with COVID-19 Proclamations in the performance of the Services, irrespective of when the COVID-19 Proclamations are issued, and as they pertains to performance of the Services. The cost of such compliance is noncompensable, except as otherwise expressly stated herein.

B. Vendor is responsible to ensure that its subcontractors and suppliers comply with COVID-19 Proclamations at all times in connection with the performance of their Services.

4. Delay. The Vendor is entitled to a reasonable time extension for an Unknown COVID-19 Condition. Such time extension is non-compensable.

5. City Directed Suspension. The City may suspend Services due to COVID-19 health concerns, even though the Vendor may be allowed to proceed with the Services based on COVID-19 Proclamations. The City may suspend the Services for its convenience. The Vendor is entitled to a time extension for a City Directed Suspension, and the contract amount will be equitably adjusted if and to the extent Vendor incurs increased costs that are Unknown COVID-19 Costs.

6. Compensation for COVID-19 Costs. City will reimburse the Vendor for Unknown COVID-19 Costs which are not included in the schedule of values.

7. Safe Work Practices. Vendor shall implement safe work practices recommended by CDC or OSHA or Cal/OSHA, which may include, inter alia, screening all employees, subcontractors, or others (“worker(s)”) at all locations where Services are performed for signs and symptoms of COVID-19; adopting staggered work schedules, e.g., providing alternating workdays or extra shifts, to reduce the total number of employees on a site at any given time and to ensure physical distancing; identifying choke points where workers are forced to stand together, such as hallways and elevators, ingress and egress points, break areas, and buses, and implement policies to maintain social distancing; coordinating deliveries in line with the employer's minimal contact and cleaning protocols; and instituting a rigorous housekeeping program to reduce dust levels at all exterior locations. Vendor remains fully responsible for following and complying with changes to recommended safe work practices from time to time.

8. Monitoring and Reporting. City may require the Vendor to actively monitor the health of its workers through temperature checks and questionnaires of major COVID19 symptoms, including but not limited to cough, fever above 100.4 degrees Fahrenheit and shortness of breath. Vendor shall immediately report to City any outbreaks of COVID-19 among its workers. The Vendor shall not knowingly allow any worker who

6.3 Attachment 3 - Agreement
58 7 Updated 1/18/2022
has tested positive with COVID-19 to enter a City building. In the event of an outbreak or an exposure to COVID-19, the City may impose appropriate mitigation strategies which may be in consultation with the public health officer.

9. Conflicts. In the event of an inconsistency between this COVID-19 Amendment and the Agreement, this Addendum shall control.

IN WITNESS WHEREOF, the City and Vendor have executed this Covid-19 Amendment as of the date set forth above.

VENDOR: CITY:
________________________ ____________________________
Signature Signature
________________________ ______________________________ Print Name & Title Print Name & Title

6.3 Attachment 3 - Agreement
59 DATE: June 15, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
FROM: Andrew Brozyna, Public Works Director
Michael Miller, Fleet Supervisor
DEPARTMENT: Public Works
SUBJECT: AUTHORIZING A CHANGE TO THE PREVIOUSLY

APPROVED APPROPRIATION FROM THE VEHICLE
REPLACEMENT FUND (501) TO ACCOUNT NO. 501-0560-
431-4384, DECREASING THE AMOUNT FROM $88,456 TO
$78,126 ($10,330 DECREASE) AND AMENDING THE
AWARD FOR THE 2026 FORD EXPEDITION MAX ACTIVE
4WD VEHICLE BY CHANGING VEHICLE TO THE 2027
FORD EXPEDITION XL SSV 4WD

RECOMMENDATION
It is recommended that City Council approve the attached resolution authorizing a change to the previously approved appropriation from the Vehicle Replacement Fund (501) to Account No. 501- 0560-431-4384, decreasing the amount from $88,456 to $78,126 ($10,330 decrease) and amending the award for the 2026 Ford Expedition Max Active 4WD vehicle by changing vehicle to the 2027 Ford Expedition XL SSV 4WD in the amount of $62,664 and $8,000 for equipment installation for a total of $70,664 and finding the purchase exempt from review under California Environmental Quality Act 15061(b)(3).

EXECUTIVE SUMMARY
On April 6, 2026, City Council approved the purchase of a 2026 Ford Expedition from Serramonte Ford and equipment installation for a total of $80,994 after the original low bidder was unable to honor its bid. Due to timing issues, the 2026 purchase window closed, and staff

6.4 6.4 Staff Report
60 issued a new request for bids for a 2027 model. Staff recommends awarding the purchase of the 2027 Ford Expedition XL SSV to Serramonte Ford, the lowest responsive bidder, for a total of $70,664, including equipment installation. This is $10,330 less than the previously approved amount, reducing the total supplemental appropriation for all thirteen (13) vehicles approved for purchase for FY 25-26 from $88,456 to $78,126.

BACKGROUND/ANALYSIS
At the February 17, 2026 City Council meeting, the City Council approved the purchase of thirteen (13) vehicles from the respective lowest responsive and responsible bidders.

Following Council approval, Towne Ford notified staff that it was unable to supply the 2026 Ford Expedition Max Active 4WD at the submitted bid price and could not honor its bid. On April 6, 2026, the City Council approved award of the purchase to the next lowest responsive and responsible bidder, Serramonte Ford, in the amount of $72,994, plus $8,000 for equipment installation, for a total of $80,994. The total additional appropriation approved for the thirteen (13) vehicles was $88,456, reflecting the amount needed above the budgeted amount to complete the vehicle purchases.

Due to timing issues, Serramonte Ford was unable to fulfill the order as Ford’s purchase window for the 2026 Expedition had closed. Staff issued an updated request for bids updating the vehicle year from 2026 to 2027 and various corresponding details.

A request for bid with the corresponding vehicle specifications and delivery requirements was published on the City’s website and sent to dealerships in accordance with the requirements of California Public Contract Code section 20125 and Government Code section 6062. Four (4) dealerships responded: Serramonte Ford, Downtown Ford of Sacramento, Ford Store San Leandro and Envision Ford Lincoln of Duarte.

Staff recommends purchasing one (1) vehicle from the appropriate lowest responsible bidder that meets the City’s vehicle specifications and delivery requirements.

The table below lists the vehicle type and the corresponding lowest bid:

Type Lowest Bid Equipment
Installation
Total Lowest Bidder
Ford Expedition XL SSV 62,664 8,000 70,664 Serramonte
Totals 62,664 8,000 70,664
The Ford Expedition will be used to support Police Department SWAT training and the transport of personnel and equipment for operational readiness.

The new bid from Serramonte reflects a decrease of $10,330 from the previously approved purchase amount. At the April 6, 2026 City Council meeting, the City Council approved the purchase of this vehicle from Serramonte Ford in the amount of $72,994, plus $8,000 for

6.4 6.4 Staff Report
61 equipment installation, for a total of $80,994. The updated bid is $62,664, plus $8,000 for equipment installation, for a total of $70,664.

Additionally, on April 6, 2026, the City Council approved a supplemental appropriation of $88,456 to fund the amount needed above the original budget for the purchase of all thirteen (13) vehicles. This vehicle was originally budgeted at $60,000, and since the previous bid was a total of $80,994, $20,994 of the approved supplemental appropriation was attributable to this vehicle. With the updated purchase price now decreasing by $10,330, the previously approved supplemental appropriation can be reduced from $88,456 to $78,126 for the purchase of all thirteen vehicles.

FISCAL IMPACT
The fiscal impact of purchasing one (1) 2027 Ford Expedition XL SSV 4WD instead of one (1) 2026 Ford Expedition Max Active 4WD is a savings of $10,330. The unused appropriation will fall to fund balance of the Vehicle Replacement Fund (501) at the end of the fiscal year. When the new vehicle is delivered and put into service, the replaced vehicle will be sold at public auction at an estimated sale value of $4,000 to $7,000, the proceeds from which will also return to fund balance of the Vehicle Replacement Fund (501).

CALIFORNIA ENVIRONMENTAL QUALITY ACT
The purchase is exempt from review under the California Environmental Quality Act 15061(b)(3) Common Sense Exemption because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment.

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

ATTACHMENTS
Attachment 1 – Resolution
Attachment 2 – Quotes – Serramonte Ford

6.4 6.4 Staff Report
62 RESOLUTION NO.____________

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

AUTHORIZING A CHANGE TO THE PREVIOUSLY APPROVED APPROPRIATION FROM THE VEHICLE REPLACEMENT FUND (501) TO ACCOUNT NO. 501-0560-431- 4384, DECREASING THE AMOUNT FROM $88,456 TO $78,126 ($10,330 DECREASE); AMENDING THE AWARD FOR THE 2026 FORD EXPEDITION MAX ACTIVE 4 WD VEHICLE BY CHANGING VEHICLE TO THE 2027 FORD EXPEDITION XL SSV4 IN THE AMOUNT OF $62,664 AND $8,000 FOR EQUIPMENT INSTALLATION FOR A TOTAL OF $70,664; AND FINDING THE PURCHASE EXEMPT FROM REVIEW UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) 15061(B)(3)

CITY OF FOSTER CITY
WHEREAS, At the February 17, 2026 City Council meeting, the City Council approved the purchase of thirteen (13) vehicles from the respective lowest responsive and responsible bidders; and
WHERAS, Following Council approval, Towne Ford notified staff that they were unable to supply the 2026 Ford Expedition Max Active 4WD at the submitted bid price and could not honor the original bid; and
WHEREAS, At the April 6, 2026 meeting, City Council approved award of purchase to the next lowest responsive and responsible bidder, Serramonte Ford, in the amount of $72,994, plus $8,000 for equipment, for a total of $80,994. The total appropriation for all (13) thirteen vehicles was $88,456 reflecting the amount over the budgeted amount to purchase the vehicles; and
WHEREAS, Serramonte Ford was unable to honor the bid, the purchase of 2026 vehicle window closed and staff issued an updated request for bids updating the vehicle year from 2026 to 2027 and various corresponding details; and WHEREAS, staff is recommending the purchase of one Ford Expedition XL SSV from the lowest responsible bidder in the amount of in the amount of $62,664, with an additional $8,000 necessary for equipment installation for a total amount of $70,664; and WHEREAS, the new bid amount is lower than the previously approved bid amount, thereby lowering the supplemental appropriation necessary to complete the purchase from $88,456 to $78,126.

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

1. Authorize a change to the previously approved appropriation from the Vehicle Replacement Fund (501) to Account No. 501-0560-431-4384, decreasing the

6.4 Attachment 1 - Resolution
63 previously approved appropriation from $88,456 to $78,126 ($10,330 decrease); and

2. The purchase of one (1) Ford Expedition XL SSV in the amount of $62,664, with an additional $8,000 necessary for equipment installation for a total amount of $70,664;

3. Find that the purchase is exempt from review under the California Environmental Quality Act (CEQA) 15061(b)(3) Common Sense Exemption because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment.

PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the regular meeting held on the 15th day of June, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

ART KIESEL, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.4 Attachment 1 - Resolution
64 6.4
Attachment 2 - Quotes - Serramonte Ford
65 6.4
Attachment 2 - Quotes - Serramonte Ford
66 6.4
Attachment 2 - Quotes - Serramonte Ford
67 6.4
Attachment 2 - Quotes - Serramonte Ford
68 6.4
Attachment 2 - Quotes - Serramonte Ford
69 6.4
Attachment 2 - Quotes - Serramonte Ford
70 DATE: June 15, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
FROM: Sofia Mangalam, Deputy City Manager
Thai-Chau Le, Interim Community Development Director
Chuck Venook, Chief Building Official
Becki Hanan, Senior Management Analyst
DEPARTMENT: Community Development
SUBJECT: CONTRACT AMENDMENT NO. 1 WITH WEST COAST
CONSULTANTS (WC3) FOR PROFESSIONAL ON-CALL

BUILDING SERVICES FOR AN ADDITIONAL AMOUNT NOT TO
EXCEED $100,000, AND EXTEND THE TERM TO JUNE 30, 2027

RECOMMENDATION
It is recommended that the City Council adopt the attached Resolution (Attachment 1) authorizing the Mayor to execute Contract Amendment No. 1 to the existing agreement with WC3 for professional on-call building services for an additional amount of $100,000, for a total agreement amount not to exceed $250,000 and extending the term of the agreement to June 30, 2027; and finding approval of the request exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines 15061(b)(3).

EXECUTIVE SUMMARY
The Building Division has a limited staff comprised of six (6) full-time positions and one (1) temporary Principal Building Inspector position providing services related to all construction permit activity in the City. In the last two (2) years, the Building Division has experienced significant challenges filling vacancies. Moreover, permit activity has significantly increased, especially for commercial permits. As a result, staff have

6.5 6.5 Staff Report
71 extensively relied on consulting services from 4Leaf and WC3 for on-call building services.

On July 15, 2024, the City Council approved professional service agreements with 4Leaf, Inc. and WC3 in an amount not to exceed $150,000 each for two (2) years ending June 30, 2026, to provide coverage during staff absences, ensuring continuity of services, increased flexibility, cost-effectiveness, and enhanced customer satisfaction. WC3 has been providing plan check services, and 4Leaf has been providing permit technician and building inspection services. Since then, there have been three (3) amendments to 4Leaf agreement. On November 3, 2025, the City Council approved Contract Amendment No. 3 with 4Leaf, extending the term to June 30, 2027, and increasing the contract amount by $550,000.

No contract amendment has been made for the WC3 contract, which is currently set to expire on June 30, 2026. As of May 21, 2026, the City has used approximately $115,743 of the current $150,000 contract amount with WC3.

To continue utilizing WC3 for on-call building services and to align the schedules of the two (2) on-call consultants, staff is requesting approval of Contract Amendment No. 1 with WC3, increasing the not-to-exceed amount by $100,000.

BACKGROUND/ANALYSIS
The Community Development Department (CDD) is committed to planning, maintaining, and improving the quality of life and public safety of Foster City in keeping with the vision of the City Council in the General Plan and other measures that reflect the City’s heritage as a Master Planned community. CDD is comprised of the Planning/Code Enforcement, Housing/Sustainability, and Building Divisions.

The Building Division is responsible for ensuring that all construction projects permitted within the City comply with the California Building Code, the Foster City Municipal Code, and all other applicable codes and regulations. The Building Division provides permit intake, plan check, and building inspection services to ensure compliance with the California Health and Safety Codes.

Currently, the Building Division is staffed by one (1) Chief Building Official, one (1) Plan Examiner, three (3) Building Inspectors (including a limited-term position), and two (2) permit technicians. All positions are filled, except for Senior Inspector position, which has been vacant for a few months and recruitment is underway. The limited staffing proves challenging during staff absences due to vacation, training, illness, and 9/80 off days, as well as during periods when positions are vacant and recruitment is underway.

Therefore, staff have been using current on-call consulting services with 4Leaf and WC3 to augment staffing needs.

The City has adopted a Master Fees & Service Charges Schedule, which specifies the payment for all processing costs associated with the review of applications for building

6.5 6.5 Staff Report
72 permits. The costs of services related to building permits and associated inspections are covered by the applicable building permit fees charged by the City. However, the City must have the staffing to be able to provide those services and therefore an amendment to the WC3 contract is necessary to ensure that services are not interrupted.

As noted earlier, permit activity has increased in the past two (2) years. This is in addition to numerous additions to homes, modifications to homes, and commercial tenant improvements that occur on a regular basis. Major projects under construction include:
• Gilead Lab Building at 331 Lakeside Dr.
• Gilead Lab Building at 335 Lakeside Dr.

There are also several Tenant Improvement and construction projects anticipated to commence in the next few months, which are identified below:
• Visa - Full interior renovation of two (2) twelve-story buildings, from level 5 through 12, approx. 573,237 square feet.
• Lab Building at Chess Hatch (upon entitlement approval). • Multi-family ADUs at different locations.

The remaining balance and the term limit in the WC3 contract is insufficient to continue providing uninterrupted services pertaining to plan checks. Although funds remain available in the 4Leaf contract, they are used for inspection and permit technician services while WC3 is used for plan check services.

The breakdown of WC3 and 4Leaf contracts and requested amendments are shown in the table below:

Agreement
Date
Amount Source of Funding Impact on
General Fund
WC3
Agreement July 15, 2024 $150,000 General Fund $150,000
Proposed
Amendment #1
June 15, 2026 $100,000 Unspent Salary from vacant
Senior Inspector and
Director positions
None
4Leaf
Agreement July 15, 2024 $150,000 General Fund $150,000
Amendment #1 April 7, 2025 $75,000 Unspent Salary from vacant CBO position
None
Amendment #2 July 21, 2025 $100,000 General Fund $100,000 Amendment #3 November 3,
2025
$300,000 for
FY 25-26
$250,000 for
FY 26-27
General Fund, to be largely
offset by reimbursement
from Gilead including cost
reimbursement and unspent
personnel budget authority.

None (After
reimbursement
from Gilead
including cost
reimbursement
and unspent
personnel
budget)
It shall be noted that Assembly Bill (AB) 339 requires local public agencies to provide unions with 45 days' advance notice before issuing a Request for Proposals (RFP),

6.5 6.5 Staff Report
73 Request for Qualifications (RFQ), or contract renewal for services similar to those performed by union members. The tasks under on-call building services include permit technician, plan checks and inspections services, which are performed by the American Federation of State, County and Municipal Employees (AFSCME) members. In compliance with the requirement, staff notified AFSCME on April 24, 2026, and initially received questions on the contract. Subsequently, on May 14, 2026, staff was notified that AFSCME had no objections to the City’s intent to renew the contract.

CALIFORNIA ENVIRONMENTAL QUALITY ACT
The approval of Contract Amendment No. 1 to the existing agreement with WC3 for professional on-call building services is not subject to review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) as it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, then the activity is not subject to CEQA.

FISCAL IMPACT
The agreement for on-call services includes building inspections, permit support services, and plan reviews, and the cost of these services are covered by the applicable building permit fees charged by the City.

The projected unspent personnel budget, in the amount of $100,000 from the vacant Senior Building Inspector and Director positions for two (2) months (July and August) within the Community Development Department, is forecasted to offset the cost of the contract amendment of $100,000; therefore, no additional appropriation is required at this time.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Smart Planning, Development, and the Local Economy
ATTACHMENTS:

Attachment 1 – Resolution
Attachment 2 – Contract Amendment No. 1
Attachment 3 – Agreement

6.5 6.5 Staff Report
74 RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FOSTER CITY AUTHORIZING THE MAYOR TO EXECUTE CONTRACT AMENDMENT NO. 1 TO THE EXISTING AGREEMENT WITH WEST COAST CODE CONSULTANTS (WC3) FOR

PROFESSIONAL ON-CALL BUILDING SERVICES FOR AN ADDITIONAL AMOUNT OF $100,000 FOR A TOTAL AGREEMENT AMOUNT NOT TO EXCEED $250,000, AND TO EXTEND THE TERM OF THE AGREEMENT TO JUNE 30, 2027 AND FINDING THE

REQUEST EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) PURSUANT TO CEQA GUIDELINES 15061(B)(3)

CITY OF FOSTER CITY
WHEREAS, the Building Division is responsible for ensuring that all construction projects permitted within the City comply with the California Building Code, the Foster City Municipal Code, and all other applicable codes and regulations; and WHEREAS, the Building Division has a limited staff comprising of six (6) full-time positions and one (1) temporary Principal Building Inspector position, providing services related to all construction permit activity in the City, and limited staffing poses a significant challenge in providing continuous and uninterrupted building division services; and WHEREAS, to address these challenges, on July 15, 2024, the City Council approved professional on-call building service agreements with West Coast Code Consultants, Inc. (WC3) and 4LEAF, Inc. (4Leaf) in an amount not to exceed $150,000 each to provide coverage during staff absences, ensuring continuity of services, increased flexibility, cost-effectiveness, and enhanced customer satisfaction for a period to two years ending June 30, 2026; and
WHEREAS, on November 3, 2025, the City Council approved Contract Amendment No.3 to the existing agreement with 4Leaf in an additional amount of $300,000, however, the contract with WC3 was not extended and is set to expire on June 30, 2026; and WHEREAS, as of May 21, 2026, the City has used approximately $115,743 of the current $150,000 WC3 contract amount; and
WHEREAS, the remaining funds in the WC3 agreement is insufficient to continue providing uninterrupted services pertaining to plan checks and will not be enough to ensure staffing coverage during upcoming training or unforeseen absences and vacancies; and
WHEREAS, the unspent personnel budget from the vacant Senior Inspector and Director positions of approximately $100,000 can be used to offset the cost of the proposed contract amendment; and
WHEREAS, staff is recommending that the City Council approve contract amendment No. 1 to the existing Contract Agreement with WC3 for professional on-call building services, for a total amount not to exceed $250,000 (initial contract amount $150,000 + contract amendment of $100,000) and extending the term to June 30, 2027.

6.5 Attachment 1 - Resolution
75 NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Foster City does hereby authorize the Mayor to execute Contract Amendment No. 1 to the existing Agreement with WC3, to extend the term to June 30, 2027, and increase compensation by $100,000 for a total maximum contract amount not to exceed $250,000.

PASSED AND ADOPTED as a Resolution of the City Council of the City of Foster City at the regular meeting held on the 15th day of June, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

ART KIESEL, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.5 Attachment 1 - Resolution
76 ORIGINAL

CITY OF FOSTER CITY
CONTRACT AMENDMENT NO. ONE (1)
DATE: June 15, 2026 ACCOUNT NO. 001-0820-419-4251
PROJECT NAME: On-Call Building Services
TO: West Coast Code Consultants
CHANGE REQUESTED BY: West Coast Code Consultants and City of Foster City Based on mutual agreement, West Coast Code Consultants. and City of Foster City agree to amend the original Agreement dated July 16, 2024 (“Agreement”) pursuant to

1.Section 2(a) of the Agreement and Exhibit A shall be revised to amend the term of the Agreement as follows: The term of this Agreement shall commence on July 16, 2024, and shall expire on June 30, 2027.

2.Section 3 of the Agreement is amended to add additional compensation amounts for the ongoing services which are identified as follows:

ORIGINAL AGREEMENT AMOUNT $150,000
AMOUNT OF CONTRACT AMENDMENT NO. ONE (1) $100,000
TOAL MAXIMUM CONTRACT AMOUNT $250,000
The increased Agreement maximum is necessary to continue using West Coast Code Consultants for on-call building services.

Except as specifically modified herein, all other terms and provisions in the Agreement shall remain unchanged.

West Coast Code Consultants. have given careful consideration to the work proposed and hereby agree, if this proposal is approved, to provide all equipment, furnish all materials except as may otherwise be noted above, and to perform all services necessary for the work above specified, and to accept as full payment therefore the prices shown above.

SUBMITTED BY:

Chuck Venook DATE

PROJECT MANAGER

6.5 Attachment 2 - Contract Amendment No. 1
77 ACCEPTED BY:

Donald Zhao DATE

VICE PRESIDENT/REGIONAL MANAGER

WEST COAST CODE CONSULTANTS
APPROVAL RECOMMENDED:

Thai-Chau Le DATE

INTERIM COMMUNITY DEVELOPMENT DIRECTOR
APPROVED FORDISTRICT:

Stefan Chatwin DATE

CITY MANAGER
ATTEST:

BY:

PRISCILLA SCHAUS, CITY CLERK
APPROVED AS TO FORM:

BY: ___________________________________
BENJAMIN L. STOCK, CITY ATTORNEY

6.5 Attachment 2 - Contract Amendment No. 1
78 MASTER SERVICES AGREEMENT
FOR

PROFESSIONAL ON-CALL BUILDING SERVICES
This Agreement is made and entered into as of the 16th day of July, 2024 by and between the City of Foster City hereinafter called "CITY" and West Coast Code Consultants, Inc. (WC-3). hereinafter called "CONSULTANT".

RECITALS
This Agreement is entered into with reference to the following facts and circumstances:

WHEREAS, CITY desires to engage CONSULTANT to provide professional services in the CITY;
WHEREAS, CONSULTANT is qualified to provide such services to the CITY and; NOW, THEREFORE, in consideration of the mutual promises, covenants, terms and conditions hereinafter contained, the parties hereby agree as follows:

TERMS AND CONDITIONS

1. Services. The services to be performed by CONSULTANT under this Agreement shall include those services set forth in Exhibit A, which is, by this reference, incorporated herein and made a part hereof as though it were fully set forth herein.

Performance of the work specified in said Exhibit A is hereby made an obligation of CONSULTANT under this Agreement, subject to any changes that may be made subsequently hereto upon the mutual written agreement of the said parties.

Where in conflict, the terms of this Agreement supersede and prevail over any terms set forth in Exhibit A.

2. Term; Termination. (a) The term of this Agreement shall commence July 16, 2024 and shall expire on June 30, 2026 by CONSULTANT. (b) Notwithstanding the provisions of (a) above, CITY may with or without cause, direct CONSULTANT to suspend, delay or interrupt Services, in whole or in part, for such periods of time as CITY may determine in its sole discretion. (c) CITY may terminate performance of the Services under this Agreement in whole, or from time to time in part, for default, should CONSULTANT commit a material breach of this Agreement, or part thereof, and not cure such breach within ten (10) calendar days of the date of CITY’s written notice to CONSULTANT demanding such cure, in which case CONSULTANT shall be liable to CITY for all loss, cost, expense, damage Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
79 and liability resulting from such breach and termination. (d) CITY may terminate performance of the Services under this Agreement in whole, or from time to time in part, for convenience, whenever CITY determines that such termination is in CITY’s best interests, in which case CONSULTANT shall be entitled to recover its costs expended up to the termination date plus reasonable profit thereon to the termination date as this Agreement would otherwise provide, but may recover no other cost, damage or expense. CONSULTANT shall continue its work throughout the course of any dispute, and CONSULTANT’s failure to continue work during a dispute shall be a material breach of this Agreement.

3. Compensation; Expenses; Payment. CITY shall compensate CONSULTANT for all services performed by CONSULTANT hereunder in an amount based upon CONSULTANT’s hourly rates during the time of the performance of said services. A copy of CONSULTANT’s hourly rates for which services hereunder shall be performed are set forth in CONSULTANT’s fee schedule marked Exhibit “B” hereof, attached hereto and by this reference incorporated herein.

Notwithstanding the foregoing, the combined total of compensation and reimbursement of costs payable hereunder shall not exceed the sum of one hundred and fifty thousand dollars ($150,000). Invoices for amounts in excess of one hundred and fifty thousand dollars ($150,000) shall not be paid unless the performance of services and/or reimbursement of costs and expenses in excess of said amounts have been approved in advance of performing such services or incurring such costs and expenses by the City Manager (for contracts less than $50,000) or City Council (for contracts $50,000 or more) evidenced by motion duly made and carried and a written contract amendment having been executed.

Compensation and reimbursement of costs and expenses hereunder shall be payable upon monthly billing therefor by CONSULTANT to CITY, which billing shall include an itemized statement, briefly describing by task and labor category or cost/expense items billed. Final payment will be made when all Services required under this Agreement have been completed to the reasonable satisfaction of CITY including, without limitation, CONSULTANT's transmittal of all deliverables to CITY required by EXHIBIT A.

CITY shall not incur any charges under this Agreement, nor shall any payments become due to CONSULTANT for any payment period on the Project, until CITY receives all deliverables required under Exhibit A, SCOPE OF WORK AND SCHEDULE, for the payment period (if any) and reasonably accepts such deliverables as meeting the requirements of this Agreement. In cases where CONSULTANT has partially completed one or more deliverables due during a payment period, and if CONSULTANT demonstrates diligent progress thereon, then CITY may make a partial Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
80 progress payment based upon percentage completion of the partially completed deliverables and diligent progress but taking into account any adverse impacts upon CITY. CITY shall not be liable for, and CONSULTANT shall not be entitled to, any payment for Services performed before this Agreement's execution.

4. Additional Services. In the event CITY desires the performance of additional services not otherwise included within the services described in Exhibit A, such services shall be authorized in advance of the performance thereof by the City Manager (for contracts less than $50,000) or City Council (for contracts $50,000 or more) by motion duly made and carried. Such amendment to this Agreement shall include a description of the services to be performed thereunder, the maximum compensation and reimbursement of costs and expenses payable therefor, the time of performance thereof, and such other matters as the parties deem appropriate for the accomplishment of such services. Except to the extent modified by written amendment, all other terms and conditions of this Agreement shall be deemed incorporated in each such amendment.

5. Records. CONSULTANT shall keep and maintain accurate records of all time expended and costs and expenses incurred relating to services to be performed by CONSULTANT hereunder. Said records shall be available to CITY for review and copying during regular business hours at CONSULTANT’s place of business or as otherwise agreed upon by the parties.

6. Authorization. This Agreement becomes effective when endorsed by both parties in the space provided below.

7. Reliance on Professional Skill of CONSULTANT. CONSULTANT represents that it has the necessary professional skills to perform the services required and the CITY shall rely on such skills of the CONSULTANT to do and perform the work. In performing services hereunder CONSULTANT shall adhere to the standards generally prevailing for the performance of expert consulting services similar to those to be performed by CONSULTANT hereunder.

CONSULTANT represents that it has reviewed Exhibit A and that in its professional judgment the Services to be performed under this Agreement can be performed for a fee within the maximum amount set forth in the Compensation Schedule established in Exhibit A and within the times specified for each individual Project.

CONSULTANT represents that it possesses all necessary training, licenses and permits to perform the Services and that its performance of the Services will conform to the standards of practice of a professional having experience and expertise in performing professional services of like nature and Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
81 complexity of the Services working on similar, successfully completed projects.

The granting of any progress payment by CITY, or the receipt thereof by CONSULTANT, or any inspection, review, approval or oral statement by any representative of CITY or any other governmental entity, shall in no way waive or limit the obligations in this Paragraph 7 or lessen the liability of CONSULTANT for unsatisfactory Services, including but not limited to cases where the defective or below standard Services may not have been apparent or detected at the time of such payment, inspection, review or approval.

8. Documents. All documents, plans, drawings, renderings, and other papers, or copies thereof, as finally rendered, prepared by CONSULTANT pursuant to the terms of this Agreement, shall, upon preparation and delivery to CITY, become the property of CITY.

9. Relationship of Parties. CONSULTANT is an independent Contractor and does not act as City’s agent in any capacity, whatsoever. CONSULTANT is not entitled to any benefits that CITY provides to CITY employees, including, without limitation, worker’s compensation benefits or payments, pension benefits, health benefits or insurance benefits. Terms within this Agreement regarding direction apply to and concern the result of the CONSULTANT’s provision of Services, not the means, methods, or scheduling of the CONSULTANT’s work. CONSULTANT shall be solely responsible for the means, methods, techniques, sequences and procedures with respect to its provision of Services under this Agreement.

CONSULTANT shall pay all payroll taxes imposed by any governmental entity and shall pay all other taxes not specifically identified in this Agreement as CITY’s responsibility.

10. Schedule. CONSULTANT shall adhere to the schedule set forth in Exhibit A; provided, that CITY shall grant reasonable extensions of time for the performance of such services occasioned by governmental reviews of CONSULTANT’s work product or other unavoidable delays; provided, further, that such unavoidable delay shall not include strikes, lockouts, work stoppages, or other labor disturbances conducted by, or on behalf of, CONSULTANT’s officers or employees.

CONSULTANT acknowledges the importance to CITY of CITY’s Project schedule and agrees to put forth its best professional efforts to perform its services under this Agreement in a manner consistent with that schedule.

11. Indemnity. To the fullest extent allowed by law, CONSULTANT hereby agrees to defend, indemnify, and save harmless CITY and Estero Municipal Improvement District, its Council, boards, commissions, officers, employees, directors, volunteers and agents, from and against any and all Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
82 claims, suits, actions liability, loss, damage, expense, injury (including, without limitation, economic harm, injury to or death of any person, including an employee of CONSULTANT or its Subconsultants), cost (including, without limitation, costs and fees of litigation) of every nature, kind or description, at law or equity, which may be brought against, or suffered or sustained by, City of Foster City or Estero Municipal Improvement District, its Council, boards, commissions, officers, employees, directors, volunteers or agents that arise out of, pertain to, or relate to any negligence, recklessness, or willful misconduct of CONSULTANT, any Subconsultant, anyone directly or indirectly employed or retained by them, or anyone that they control. In the event one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, the CONSULTANT shall meet and confer with other parties regarding unpaid defense costs.

The duty of CONSULTANT to indemnify and save harmless, as set forth herein, shall include the duty to defend as set forth in Section 2778 of the California Civil Code; provided, however, that nothing herein contained shall be construed to require CONSULTANT to indemnify City of Foster City and Estero Municipal Improvement District, its Council, boards, commissions, officers, employees and agents against any responsibility or liability in contravention of Section 2782 of the California Civil Code.

CONSULTANT’s responsibility for such defense and indemnity obligations shall survive the termination or completion of this Agreement for the full period of time allowed by law.

The defense and indemnification obligations of this agreement are undertaken in addition to, and shall not in any way be limited by, the insurance obligations contained within this Agreement.

12. Insurance. Prior to execution of this Agreement, CONSULTANT shall furnish to CITY Certificates of Insurance showing satisfactory proof that it maintains the insurance required by this Contract as set forth in EXHIBIT C, Insurance, which are attached and made a part of this Agreement.

CONSULTANT shall maintain all required insurance throughout the term of this Agreement and as otherwise provided in EXHIBIT C. In the event CONSULTANT fails to maintain any required insurance, and notwithstanding Paragraph 3 above, CITY may (but is not obligated to) purchase such insurance and deduct or retain premium amounts from any sums due CONSULTANT under this Agreement (or CONSULTANT shall promptly reimburse CITY for such expense).

CONSULTANT shall maintain insurance as required by this Agreement to the fullest amount allowed by law and shall maintain insurance for a minimum of five (5) years following completion of this project or service. In the event CONSULTANT fails to obtain or maintain completed operations Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
83 coverage as required by this Agreement, the CITY at its sole discretion may purchase the coverage required and the cost will be paid by CONSULTANT.

13. WORKERS' COMPENSATION. CONSULTANT certifies that he is aware of the provisions of the Labor Code of the State of California which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that Code, and CONSULTANT certifies that he will comply with such provisions before commencing the performance of the work of this agreement.

14. NON-DISCRIMINATION. The CONSULTANT will not discriminate against any employee or applicant for employment because of race, color, religion, sex or national origin. The CONSULTANT will take affirmative action to ensure that applicants are employed and the employees are treated during employment without regard to their race, color, religion, sex or national origin. Such action shall include, but not be limited to the following:
employment, advancement, demotion, transfer, recruitment, or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The CONSULTANT shall at all times be in compliance with the requirements of the Federal Americans With Disabilities Act (Public Law 101-336) which prohibits discrimination on the basis of disability by public entities. The CONSULTANT agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CITY setting forth the provisions of this non-discrimination clause.

15. Notice. All notices required by this Agreement shall be given to the CITY and CONSULTANT in writing, by first class mail, postage prepaid, addressed as follows:

CITY: City of Foster City
610 Foster City Boulevard
Foster City, CA 94404-2299
Attention: Priscilla Schauss
CONSULTANT: West Coast Code Consultants, Inc. (WC3)
417 Grand Avenue, #201
South San Francisco, CA 94080
[email protected]
Attention: Donald Zhao

16. Non-Assignment. This Agreement is not assignable either in whole or in part.

17. Amendments. This Agreement may be amended or modified only by written agreement signed by both parties.

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84 18. Validity. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.

19. Governing Law. This Agreement shall be deemed to have been executed in the County of San Mateo, California. The formation, interpretation and performance of this Agreement shall be governed by the laws of the State of California, excluding its conflict of laws rules. Any suit or action initiated by either party shall be brought in the County of San Mateo, California unless the parties agree otherwise in a written amendment to this Agreement. In the event of litigation between the parties hereto to enforce any provision of the Agreement, the unsuccessful party will pay the reasonable attorney’s fees and expenses of litigation of the successful party.

20. Mediation. Should any dispute arise out of this Agreement, the parties shall meet in mediation and attempt to reach a resolution with the assistance of a mutually acceptable mediator. Neither party shall be permitted to file legal action without first meeting in mediation and making a good faith attempt to reach a mediated resolution. The costs of the mediator, if any, shall be paid equally by the parties. If a mediated settlement is reached neither party shall be deemed the prevailing party for purposes of the settlement and each party shall bear its own legal costs.

21. Conflict of Interest. CONSULTANT represents and warrants that it presently has no interest, and shall not have any interest, direct or indirect, which would conflict in any manner with the performance of work and services required under this Agreement. Without limitation, CONSULTANT represents to and agrees with CITY that CONSULTANT has disclosed any potential conflict of interest, and will have no future conflict of interest, in providing CITY services hereunder, including but not limited to, any interest (financial, share ownership, shared management, shared directors, or reporting responsibilities) CONSULTANT may presently have, or will have in the future, with respect to any other person or entity (including but not limited to potential suppliers, vendors, consultants, contractors, or regulatory agency) which may have an interest in the subject matter of the Services.

22. Liability of CITY.

Except as provided in Exhibit A, Services to be Provided by CONSULTANT and Exhibit C, Insurance, CITY's obligations under this Agreement shall be limited to the payment of the compensation provided for in Paragraphs 1, 3, and 4 of this Agreement,
Notwithstanding any other provision of this Agreement, in no event shall CITY be liable, regardless of whether any claim is based on contract, tort or otherwise, for any special, consequential, indirect or incidental damages, Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
85 lost profits or revenue, arising out of or in connection with this Agreement, the Services, or the Project.

CITY shall not be responsible for any damage to persons or property as a result of the use, misuse or failure of any equipment used by CONSULTANT, or by any of its employees, even though such equipment be furnished, rented or loaned to CONSULTANT by CITY. The acceptance or use of such equipment by CONSULTANT or any of its employees shall be construed to mean that CONSULTANT accepts full responsibility for and shall exonerate, indemnify, defend and save harmless CITY from and against any and all claims for any damage or injury of any type, including attorneys' fees, arising from the use, misuse or failure of such equipment, whether such damage be to the CONSULTANT, its employees, CITY employees or third parties, or to property belonging to any of the above.

Nothing in this Agreement shall constitute a waiver or limitation of any right or remedy, whether in equity or at law, which CITY or CONSULTANT may have under this Agreement or any applicable law. All rights and remedies of CITY or CONSULTANT, whether under this Agreement or other applicable law, shall be cumulative.

23. Waiver of Default. Waiver of any default by either party to this Agreement shall not be deemed to be waiver of any subsequent default. Waiver or breach of any provision of this Agreement shall not be deemed to be a waiver of any other or subsequent breach, and shall not be construed to be a modification of the terms of this Agreement unless this Agreement is modified as provided below.

24. Force Majeure. Except for defaults of subconsultants at any tier, CONSULTANT shall not be liable for any excess costs if the failure to perform the Agreement arises from causes beyond the control and without the fault or negligence of CONSULTANT, including without limitation failure to reasonably mitigate any adverse impacts (Force Majeure). Force Majeure events include the following:

Any Force Majeure event with a duration in excess of 30 days entitles either party to terminate this Agreement with written notice to the other party, without further penalty or compensation.

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86 25. Entire Agreement. This Agreement, including Exhibits A, B, C, and D comprises the entire Agreement.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the date first above written by their respective officers duly authorized in that behalf.

CITY OF FOSTER CITY
Dated: _________________________________
Patrick Sullivan, Mayor
ATTEST:

Dated: ________________________________
Priscilla Schaus, City Clerk

APPROVED AS TO FORM
Dated:

Benjamin Stock, City Attorney

CONSULTANT
Dated:

Donald Zhao, Vice President/Regional Manager
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6.5 Attachment 3 - Agreement
87 EXHIBIT A
Services shall commence on July 16, 2024 and terminate on June 30, 2026 unless otherwise extended in a written agreement by the parties.

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88 Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
89 Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
90 Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
91 Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
92 Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
93 EXHIBIT B - FEE SCHEDULE
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94 Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
95 EXHIBIT C

INSURANCE FORMS
CONSULTANT shall provide, in addition to the Certificates of Insurance, original Endorsement affecting the coverages specified in herein on the attached form. No substitute form will be accepted.

This is an Exhibit to, and made a part of and incorporated by reference to the Agreement dated July 18, 2023, by and between West Coast Code Consultants, Inc. (WC-3), hereinafter referred to as "Consultant”, and the City of Foster City, hereinafter referred to as "City", providing for professional services.

1. Consultant's Duty to Show Proof of Insurance. Consultant, in order to protect City and its Council members, officials, agents, officers, and employees against all claims and liability for death, injury, loss and damage as a result of Consultant's acts, errors, or omissions in connection with the performance of Consultant's obligations, as required in this Agreement, shall secure and maintain insurance as described below. Consultant shall not perform any work under this Agreement until Consultant has obtained all insurance required under this section and the required certificates of insurance and all required endorsements have been filed with the City's authorized insurance representative, insurance Tracking Services Inc. (ITS). Receipt of evidence of insurance that does not comply with all applicable insurance requirements shall not constitute a waiver of the insurance requirements set forth herein. The required documents must be signed by the authorized representative of the insurance company shown on the certificate. Upon request, Consultant shall supply proof that such person is an authorized representative thereof, and is authorized to bind the named underwriter(s) and their company to the coverage, limits and termination provisions shown thereon, Consultant shall promptly deliver to ITS a certificate of insurance, and all required endorsements, with respect to each renewal policy, as necessary to demonstrate the maintenance of the required insurance coverage for the term specified herein. Such certificates and endorsements shall be delivered to ITS prior to the expiration date of any policy and bear a notation evidencing payment of the premium thereof if so requested. Consultant shall immediately pay any deductibles and self-insured retentions under all required insurance policies upon the submission of any claim by Consultant or City as an additional insured.

1.1 Insurance Requirements
☒ Commercial General Liability Insurance
Commercial General Liability Insurance including, but not limited to, Contractual Liability Insurance (specifically concerning the indemnity provisions of this Agreement with the City ), Products-Completed Operations Hazard, liability for slander, false arrest and invasion of privacy arising out of professional services rendered hereunder, Personal Injury (including bodily injury and death), and Property Damage for liability arising out of Consultant's performance of services under this Agreement. The Commercial General Liability insurance shall contain no exclusions or limitation for independent contractors working on the behalf of the named insured. Consultant shall maintain the Products-Completed Operations Hazard coverage for the longest period allowed by law following termination of this Agreement. The amount of said insurance coverage required by this Agreement shall be the policy limits, which shall be at least one million dollars ($1,000,000) each occurrence and two million dollars ($2,000,000) aggregate.
*Please note, the City will require a separate additional insured endorsement for the Commercial General Liability policy, listing the “City of Foster City, its Council members, officials, agents, officers, and employees”.

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96 ☒ Business Automobile Liability Insurance
Automobile Liability Insurance against claims of Personal Injury (including bodily injury and death) and Property Damage covering any vehicle and/or all owned, leased, hired and non-owned vehicles used in the performance of Services pursuant to this Agreement with coverage equal to the policy limits, which shall be at least two million dollars ($2,000,000) each occurrence.
☒ Workers' Compensation Insurance
Consultant shall submit written proof that Consultant is insured against liability for workers' compensation in accordance with the provisions of section 3700 of the California Labor Code. Consultant shall require any Subconsultants to provide workers' compensation for all of the Subconsultants' employees, unless the Subconsultants' employees are covered by the insurance afforded by Consultant. If any class of employees engaged in work or services performed under this Agreement is not covered by California Labor Code section 3700, Consultant shall provide and/or require each Subconsultant to provide adequate insurance for the coverage of employees not otherwise covered. Consultant shall also maintain employer's liability insurance with limits of one million dollars ($1,000,000) for bodily injury or disease. ☒ Professional Liability Insurance
Professional Liability (Errors and Omissions) Insurance, for liability arising out of, or in connection with, all negligent acts, errors or omissions in connection with services to be provided under this Agreement, with no exclusion for claims of one insured against another insured, with coverage equal to the policy limits, which shall not be less than two million dollars ($2,000,000) per occurrence and two million dollars ($2,000,000) aggregate.

1.3 Claims-Made Basis Coverage
If any of the insurance coverages required under this Agreement is written on a claims-made basis, Consultant, at Consultant's option, shall either (i) maintain said coverage for at least five (5) years following the termination of this Agreement with coverage extending back to the effective date of this Agreement; (ii) purchase an extended reporting period of not less than five (5) years following the termination of this Agreement; or (iii) acquire a full prior acts provision on any renewal or replacement policy.

2. City as Additional Insured
On Consultant's Commercial General Liability and Automobile policies, the City, its Council members, officers, directors, agents, employees, and volunteers, shall be named as additional insured's, but only with respect to liability arising out of the activities of the named insured. Any endorsement shall be provided using one of the following three options: (i) on ISO form CG 20 10 1 1 85; or (ii) on ISO form CG 20 37 10 01 plus either ISO form CG 20 10 10 01 or CG 20 33 10 01; or (iii) on such other forms which provide coverage at least equal to or better than form CG 20 10 1 1 85.

3. Insurance terms and conditions:

3.1 Cancellation of Insurance
The above stated insurance coverages required to be maintained by Consultant shall be maintained until the completion of all of Consultant's obligations under this Agreement except as otherwise indicated herein. Each insurance policy supplied by Consultant shall not be suspended, voided, cancelled or reduced in coverage or in limits except after ten (10) days written notice by Consultant in the case of non-payment of premiums, or thirty (30) days Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
97 written notice in all other cases. This notice requirement does not waive the insurance requirements stated herein.

Consultant shall immediately obtain replacement coverage for any insurance policy that is terminated, canceled, nonrenewed, or whose policy limits have been exhausted or upon insolvency of the insurer that issued the policy.

3.3 If Consultant is, or becomes during the term of this Agreement, self-insured or a member of a self-insurance pool, Consultant shall provide coverage equivalent to the insurance coverages and endorsements required above.

The City will not accept such coverage unless the City determines, in its sole discretion and by written acceptance, that the coverage proposed to be provided by Consultant is equivalent to the above-required coverages.

3.4 For any claims related to the Agreement, the Consultant’s insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City , its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City , its officers, officials, employees, or volunteers shall be excess of the Consultant’s insurance and shall not contribute with it.

3.5 Insurance coverages in the minimum amounts set forth herein shall not be construed to relieve Consultant for any liability, whether within, outside, or in excess of such coverage, and regardless of solvency or insolvency of the insurer that issues the coverage; nor shall it preclude the City from taking such other actions as are available to it under any other provision of this Agreement or otherwise in law.

3.6 Failure by Consultant to maintain all such insurance in effect at all times required by this Agreement shall be a material breach of this Agreement by Consultant. City , at its sole option, may terminate this Agreement and obtain damages from Consultant resulting from said breach. Alternatively, City may purchase such required insurance coverage, and without further notice to Consultant, City shall deduct from sums due to Consultant any premiums and associated costs advanced or paid by City for such insurance. If the balance of monies obligated to Consultant pursuant to this Agreement are insufficient to reimburse City for the premiums and any associated costs, Consultant agrees to reimburse City for the premiums and pay for all costs associated with the purchase of said insurance. Any failure by City to take this alternative action shall not relieve Consultant of its obligation to obtain and maintain the insurance coverages required by this Agreement.

Consultant's fees under this Agreement (and the fee of its subconsultants under subconsultant agreements) shall be reduced by the amount of insurance premiums that may be avoided by Consultant and its subconsultants by virtue of the City's obtaining the project-specific insurance, wrap-up insurance or administering an OCIP, and the exclusion of this project from coverage of Consultant's and subconsultants policies. Construction Manager and its subconsultants shall afford City access to their books and records and cooperate with City in verifying the amount of savings realized.

ATTACHED

1. Insurance Coverage Form
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98 EXHIBIT C
This INSURANCE COVERAGE FORM modifies or documents insurance provided under the following:

Named Insured: Effective Work Date(s):

Description of Work/Locations/Vehicles:

MEETS OR EXCEEDS ISO Form # CG 20 10 11 85}
Auto Liability: the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Named Insured, regardless of whether liability is attributable to the Named Insured or a combination of the Named Insured and the Additional Insured, its elected or appointed officers, officials, employees or volunteers.

Other:

Certificates of Insurance Required (no endorsement needed) (Check all that apply) Insurer Policy No.

Professional Liability:

PRIMARY/NON-CONTRIBUTORY: This insurance is primary and is not additional to or contributing with any other insurance carried by or for the benefit of Additional Insureds.

CANCELLATION NOTICE. The insurance afforded by this policy shall not be suspended, voided, canceled, reduced in coverage or in limits except after thirty (30) days' prior written notice (ten (10) days if canceled due to non-payment) by regular mail return receipt requested has been given to the Additional Insured. Such notice shall be addressed as shown above.

Nothing herein contained shall vary, alter or extend any provision or condition of the Policy other than as above stated.

SIGNATURE OF INSURER OR AUTHORIZED REPRESENTATIVE OF THE INSURER I, ______________________________________________________________(print/type name), warrant that I have authority to bind the above-named insurance company and by my signature hereon do so bind this company.

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99 ORGANIZATION: TITLE:

ADDRESS:

TELEPHONE: ( ) DATE ISSUED:

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100

EXHIBIT D
COVID-19 AMENDMENT/ATTACHMENT
(Consulting Agreement Form)
This COVID-19 Amendment/Attachment amends the Agreement between (“City”) and West Coast Code Consultants, Inc. (WC-3) (“Consultant”) dated July 18, 2023.

1. Definitions
A. The 2019 novel coronavirus and the disease it causes are collectively referred to herein as “COVID-19”.

B. A “COVID-19 Condition” is something attributable to COVID-19 not caused by the Consultant (which for purposes herein includes all subconsultants) and beyond its reasonable control including but not limited to COVID-19 Proclamations and supply chain disruptions due to COVID-19, and other circumstances concerning COVID-19 not caused by the Consultant and which are beyond its reasonable control.

C. A “COVID-19 Proclamation” includes but is not limited to orders, directives and guidance concerning COVID-19 that have been issued, and which may be issued from time to time, by public agencies or regulatory bodies, the CDC or OSHA or Cal/OSHA, including without limitation the Cal/OSHA COVID-19 Prevention Emergency Temporary Standards. Consultant acknowledges that those orders, directives and guidance may require the Project to shut down or otherwise increase the Consultant’s cost or time of performance by calling for things such as social distancing and the use of personal protective equipment. In the event of conflicting COVID-19 Proclamations, the Consultant shall follow the most applicable, restrictive and newest COVID-19 Proclamations.

D. An “Unknown COVID-19 Condition” is a COVID-19 Condition the Consultant did not know about, and reasonably should not have known about, as of the date the Consultant submitted its proposal. The requirements contained in COVID-19 Proclamations issued before submission of a proposal are not Unknown COVID-19 Conditions, and the Consultant will be deemed to have knowledge of those requirements.

E. An “Unknown COVID-19 Cost” is a cost that: (i) is solely attributable to an Unknown COVID19 Condition; (ii) is reasonable and unavoidable under the circumstances; (iii) is not the result of the Consultant’s failure to comply with the contract documents or a COVID-19 Proclamation; and (iv) is not the result of a subconsultants failure to comply with a COVID-19 Proclamation in connection with the performance of the Services.

2. COVID-19 Conditions and Proposal. Consultant is expected to know and is deemed to have known about COVID-19 Conditions when it submits its proposal, and COVID-19 Conditions must be accounted for in the Consultant’s price and schedule. In order to be entitled to any relief from a COVID19 Condition, the Consultant must demonstrate that the issue, cost or delay is due to an Unknown COVID-19 Condition.

3. Compliance with COVID-19 Proclamations.

A. Consultant shall comply with COVID-19 Proclamations in the performance of the Services, irrespective of when the COVID-19 Proclamations are issued, and as they pertains to performance of Docusign Envelope ID: D7950A12-B1E6-4E6A-A858-B6A0183B073F 6.5 Attachment 3 - Agreement
101
the Services. The cost of such compliance is non-compensable, except as otherwise expressly stated herein.

B. Consultant is responsible to ensure that its subconsultants and suppliers comply with COVID19 Proclamations at all times in connection with the performance of their Services.

4. Delay. The Consultant is entitled to a reasonable time extension for an Unknown COVID-19 Condition. Such time extension is non-compensable.

5. City Directed Suspension. The City may suspend Services due to COVID-19 health concerns, even though the Consultant may be allowed to proceed with the Services based on COVID-19 Proclamations. The City may suspend the Services for its convenience. The Consultant is entitled to a time extension for a City Directed Suspension, and the contract amount will be equitably adjusted if and to the extent Consultant incurs increased costs that are Unknown COVID-19 Costs.

6. Compensation for COVID-19 Costs. City will reimburse the Consultant for Unknown COVID-19 Costs that are not included in the schedule of values.

7. Safe Work Practices. Consultant shall implement safe work practices recommended by CDC or OSHA or Cal/OSHA, which may include, inter alia, screening all employees, subconsultants, or others (“worker(s)”) at all locations where Services are performed for signs and symptoms of COVID-19; adopting staggered work schedules, e.g., providing alternating workdays or extra shifts, to reduce the total number of employees on a site at any given time and to ensure physical distancing; identifying choke points where workers are forced to stand together, such as hallways and elevators, ingress and egress points, break areas, and buses, and implement policies to maintain social distancing; coordinating deliveries in line with the employer's minimal contact and cleaning protocols; and instituting a rigorous housekeeping program to reduce dust levels at all exterior locations. Consultant remains fully responsible for following and complying with changes to recommended safe work practices from time to time.

8. Monitoring and Reporting. City may require the Consultant to actively monitor the health of its workers through temperature checks and questionnaires of major COVID-19 symptoms, including but not limited to cough, fever above 100.4 degrees Fahrenheit and shortness of breath. Consultant shall immediately report to City any outbreaks of COVID-19 among its workers. The Consultant shall not knowingly allow any worker who has tested positive with COVID-19 to enter a City building. In the event of an outbreak or an exposure to COVID-19, the City may impose appropriate mitigation strategies which may be in consultation with the public health officer.

9. Conflicts. In the event of an inconsistency between this COVID-19 Amendment and the Agreement, this Addendum shall control.
[Signatures on Next Page]
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IN WITNESS WHEREOF, the City and Consultant have executed this Covid-19 Amendment as of the date set forth above.

CONSULTANT: CITY:
________________________ ____________________________
Signature Signature
Donald Zhao, Vice President/ Patrick Sullivan, Mayor
Regional Manager
________________________ ______________________________ Print Name & Title Print Name & Title
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DATE: June 15, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
FROM: Thai-Chau Le, Interim Community Development Director Nori Jabba, Housing and Sustainability Manager
DEPARTMENT: Community Development Department
SUBJECT: SECOND AMENDMENT TO COUNTY OF SAN MATEO
COOPERATION AGREEMENT OF SEPTEMBER 20, 2017 FOR
THE CONTINUED PARTICIPATION IN THE FEDERALLYFUNDED HOUSING AND COMMUNITY DEVELOPMENT

PROGRAMS

RECOMMENDATION
It is recommended that the City Council adopt a Resolution authorizing the City Manager to execute a Second Amendment to the Cooperation Agreement dated September 20, 2017, with the County of San Mateo, for continued participation in the County’s federally-funded Housing and Community Development Programs in fiscal years 2027, 2028, and 2029 with an automatic renewal for fiscal years 2030, 2031, and 2032 (Attachment 1).

EXECUTIVE SUMMARY
The proposed Second Amendment to the 2017 Cooperation Agreement with the County of San Mateo (“Agreement”) (see Exhibit 1-A of Attachment 1) continues the participation by City of Foster City in the Urban County designation for San Mateo County, which allows smaller cities of less than 50,000 in population the opportunity to access services throughout the County funded through federal programs, including Community Development Block Grant (CDBG), Home Investment Partnerships Program (HOME), and Emergency Solutions Grants (ESG) Programs. Currently, organizations funded by these programs and providing services to the City of Foster City through the Agreement include Project Sentinel, which provides fair housing support and training; Rebuilding

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Together Peninsula, which provides home repair services to lower income residents and seniors (this is in addition to the City of Foster City’s Minor Home Repair Program through this same organization), and a variety of additional public services, such as meals, legal, and shelter services for the county’s most vulnerable residents. Without the Cooperation Agreement, the City of Foster City would not be eligible to receive the federally-funded services provided by these organizations.

The 2017 Agreement, executed September 20, 2017, was a three (3)-year agreement for participation (Attachment 2). The Agreement was amended in July 2023 to continue Foster City’s participation through the 2026 fiscal year (Attachment 2, First Amendment).

The proposed Second Amendment to the Agreement has 13 new provisions related to the City's responsibilities that are now required by U.S. Department of Housing and Urban Development (HUD), as summarized below:
• Fair Housing. The Agreement requires the City to comply with applicable fair housing and anti-discrimination laws and to affirmatively further fair housing within its own jurisdiction.
• Prohibition on Transfer of Funds. The City may not transfer CDBG funds that it receives.
• ESG Program. The City may only participate in the ESG Program through the Urban County.

The Cooperation Agreement continues to have the following key provisions, summarized below:
• The City and County will cooperate in participation in CDBG, HOME, and ESG Programs.
• The term of the Cooperation Agreement is three (3) years (fiscal years 2027, 2028, and 2029).
• Any funds coming to the City will be subject to an individual agreement with program requirements.
• The City has a policy prohibiting the use of excessive force by law enforcement against individuals engaged in non-violent civil rights demonstrations. (This provision has been part of the Cooperation Agreement since at least 1996.) The existing Foster City Police Department Policy on Standards of Conduct has a general prohibition on the use of excessive force.
• The City may not apply for grant funds from CDBG, HOME, and ESG programs except through the County.
• The City agrees to abide by affirmative action requirements. • The City shall use the funds only for the purpose granted. • If there is any program income, it must be reported to the County.

It should be noted that there is no cost to the City of Foster City for participating in the Urban County Cooperation Agreement.

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The Second Amendment also requires authorization by both the governing body and the chief executive officer. In addition, the Second Amendment includes an acknowledgement of a court case involving HUD, to which the County of San Mateo is a party. Details regarding the case are included below.

BACKGROUND
As a city with a population of less than 50,000, the City of Foster City is not large enough to be entitled to receive its own CDBG, HOME, or ESG funding from HUD. The City has participated with San Mateo County via a Cooperation Agreement to receive funding as part of an "Urban County" since 1975. In 2017, HUD required that the County and participating cities execute a new Cooperation Agreement, instead of renewing the previous agreement. Participation in the Urban County Cooperation Agreement provides smaller cities the opportunity to access programs funded by CDBG, HOME, and ESG funds through the County of San Mateo. As stated above, these funds are used for a variety of programs, including fair housing support and training, home repairs, and a variety of community services.

The City entered into a new Agreement with the County in 2017 for participation in the CDBG, HOME HOME, and the ESG programs managed by the HUD. The Agreement allows the County to serve as the lead agency to receive funds through these programs and disburse funds to serve partnering cities with populations of less than 50,000. Cities with populations of less than 50,000 do not qualify to receive allocations of funding for these HUD programs directly.

CDBG funds are used for community improvement projects that meet one of three National Objectives: (1) benefiting low- and moderate-income persons; (2) aiding in the prevention or elimination of slums or blight; or (3) meeting an urgent community need.

CDBG funds cover a variety of services and activities, including • Acquisition/disposition of real property
• Public improvements and facilities (e.g., senior citizens center, recreation center, daycare center)
• Public services (e.g., childcare, health care, job training/education programs, recreation programs, drug abuse counseling/treatment, and services for homeless persons)
• Interim assistance; relocation payments/assistance
• Rehabilitation of residential, commercial/industrial, or other nonprofit-owned, nonresidential buildings
• Historic preservation
• Lead-based paint hazard evaluation and reduction
• Code enforcement
• Special economic development
• Assistance to microenterprises
• Homeownership assistance
• Urban renewal completion

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• Technical assistance to increase the capacity of public/private nonprofits • Assistance to institutions of higher education and program administration costs related to planning and execution of CDBG-assisted activities The HOME program is a federal block grant administered by HUD that provides funding to states and localities to create and sustain affordable housing for low-income households. HOME provides formula grants to states and localities that communities use - often in partnership with local nonprofit groups - to fund a wide range of activities including building, buying, and/or rehabilitating affordable housing for rent or homeownership or providing direct rental assistance to low-income people. It is the largest federal block grant to state and local governments designed exclusively to create affordable housing for low-income households.

The ESG program assists people with quickly regaining stability in permanent housing after experiencing a housing crisis and/or homelessness. ESG provides funding to engage homeless individuals and families living on the street; improve the number and quality of emergency shelters for homeless individuals and families; help operate shelters; provide essential services to shelter residents; rapidly re-house homeless individuals and families; and prevent families and individuals from becoming homeless.

Please note that in this qualification period, HUD updated the processing requirements to mandate Amendment approval by the governing body and execution (signature) by the chief executive officer. Even though the HUD-required updates to the Cooperative Agreement are minor, the two levels of authorization are now required and will be mandatory henceforth. (See Letter from County, Attachment 3).

In addition, the Second Amendment includes a provision acknowledging that San Mateo County is a plaintiff in King County et al. v. Turner et al., 2:25-cv-00814-BJR (W.D.

Wash.) and clarifying that, to the extent this Agreement purports to impose any terms or conditions that are enjoined under the Preliminary Injunction issued in that case, San Mateo County is not bound by those enjoined terms or conditions. On July 10, 2025, San Mateo County joined ongoing litigation against multiple federal agencies, including HUD, challenging certain new and unlawful terms and conditions imposed on federal grant awards. On August 12, 2025, the court issued a Preliminary Injunction (Attachment 4) prohibiting HUD from enforcing those terms and conditions against San Mateo County in connection with any HUD grants awarded to the County. Accordingly, the County has included this provision in the Second Amendment to remind HUD that the King County Preliminary Injunction extends to the Cooperative Agreement. This term should not affect any party’s obligations under this Agreement.

ANALYSIS
For FY 2023 through 2026, the City executed a First Amendment to the Cooperation Agreement. This Second Amendment extends the 2017 Cooperation Agreement for another three (3) years (fiscal years 2027, 2028, and 2029) with an automatic renewal,

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unless the City opts out, for 2030, 2031, and 2032, and includes 10 changes to the Cooperation Agreement as follows:

1. Adds the following emboldened, italicized phrase: “WHEREAS, the County of San Mateo has heretofore qualified as an urban county under the Act, the County again solicits the cooperation and co-participation of public entities such as the City in its application for federal assistance under the Act for Federal Fiscal Years 2027, 2028 and 2029 and one subsequent three-year period thereafter.”

2. Adds the following as a new Whereas provision: “WHEREAS, the City Executive of the City is authorized to execute this Amendment on the City’s behalf, and the County Executive is authorized to execute this Amendment on the County’s behalf.”

3. Amends Section 1 (Purpose) as follows: replaces the first sentence with the following emboldened, italicized phrase: “The County and City agree to cooperate to undertake, or assist in undertaking, essential community development and housing assistance activities in and for the benefit of the City, as approved or authorized between the parties in the CDBG Agreements, including the Consolidated Plan. This Agreement includes...”

4. Amends Section 2 (Term), 1 as follows: amends and restates the first paragraph in its entirety as follows: “This Agreement shall remain in effect for the three-year program period of Federal Fiscal Years 2027, 2028 and 2029, and until funds granted and program income received during the three-year program period are expended and the funded activities completed. Neither the County nor the Municipality may terminate, withdraw, or be removed from the program during the three-year program period. The Agreement will renew automatically for participation in one successive three-year Urban County qualification period (Federal Fiscal Years 2030, 2031, and 2032), unless the Municipality or the County provide written notice to the other party that it elects not to participate in a new qualification period. The terminating party shall send a copy of the notice of termination to the HUD field office by the date specified on the HUD Exchange Urban Counties website. The County will notify the Municipality in writing of the Municipality’s right to make this election. A copy of the County’s notification must be sent to the HUD field office by the date specified on the HUD Exchange Urban Counties website.”

5. Amends Section 3 (County’s Responsibilities as Applicant) as follows: amends and restates Paragraphs 4 and 5 of Subsection a. in their entirety as follows:
“Therefore, the County and City agree to cooperate to undertake, or assist in undertaking, essential community development and housing assistance activities in and for the benefit of the City, as approved or authorized between the parties in the CDBG Agreements, including the Consolidated Plan. The County and City will also strictly adhere to the Consolidated Plan as approved and to all assurances and certifications provided to HUD, including taking all actions necessary to

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comply with the Urban County’s certifications under Section 104(b) of Title I of the Housing and Community Development Act of 1974, as amended, that the grant will be conducted and administered in conformity with:
• Title VI of the Civil Rights Act of 1964, implementing regulations at 24 CFR Part 1; and
• the Fair Housing Act, and implementing regulations at 24 CFR Part 100 and will comply with the obligation to affirmatively further fair housing; and • Section 109 of Title I of the Housing and Community Development Act of 1974, and the implementing regulations at 24 CFR Part 6, which incorporates: Section 504 of the Rehabilitation Act of 1973, and the • implementing regulations at 24 CFR Part 8; and
• Title II of the Americans with Disabilities Act of 1974, and the implementing regulations at 28 CFR Part 35; and
• the Age Discrimination Act of 1975, and the implementing regulations at 24 CFR Part 146; and
• Section 3 of the Housing and Urban Development Act of 1968; and • Uniform Relocation and Real Property Policies Act of 1970 and the implementing regulations at 49 CFR Part 24; and
• Section 104(d) of the Housing and Community Development Act of 1974 and the implementing regulations at 24 CFR Part 42; and • all other applicable laws and regulations.

6. Amends Section 3 (County’s Responsibilities as Applicant as follows: amends and restates Subsection c. in its entirety as follows: “Parties to this Agreement understand and agree that they may not sell, trade, or otherwise transfer all or any portion of CDBG funds to a Metropolitan City, Urban County, unit of general local government, or insular area that directly or indirectly receives CDBG funds in exchange for any funds, credits, or non Federal considerations, but must use such funds for activities eligible under Title I of the Housing and Community Development Act of 1974, as amended.”

7. Amends Section 5 as follows: adds the following italicized and underlined language: The City and County have each adopted and enforcing: a. A policy prohibiting the use of excessive force by law enforcement agencies within its jurisdiction against any individuals engaged in non-violent civil rights demonstrations; b. A policy of enforcing applicable State and local laws against physically barring entrance to or exit from a facility or location which is the subject of such non-violent civil rights demonstrations within jurisdictions.

8. Adds Section 8 (County’s Responsibility to City) as follows: adds the following new Subsection d.: “d. The Urban County agrees that the CDBG funds that the Municipality is entitled to will be utilized to benefit the Municipality.”

9. Amends Section 10 (Program Income) as follows: amends and restates Subsection e. in its entirety as follows: “e. The County and Municipality shall not

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terminate or withdraw from the Agreement while it remains in effect. The County may transfer the program income to the Metropolitan City, upon its termination of Urban County participation, provided that the Municipality begins participating as an independent CDBG Entitlement grantee and agrees to use the program income in its own CDBG Entitlement program.”

10.Amends Section 13 (Minor Amendments to the Agreement) as follows: amends and restates Section 13 in its entirety as follows: “13. Amendments to the Agreement. “The Parties agree to adopt amendment(s) to this Agreement as may be required by HUD to meet any new Urban County Qualification requirement(s), when applicable. Failure by either Party to adopt any such amendment, and to submit such amendment to HUD, will void the Agreement for such qualification period.”
While Foster City does not receive funds through the Cooperation Agreement directly from the County, the County has awarded CDBG, HOME, and ESG funds to agencies to provide services countywide. Currently, agencies funded throughout the County include:

1. Project Sentinel
Project Sentinel provides support and training for fair housing and antidiscrimination to renters. Founded in 1976, Project Sentinel is one of the largest Northern California agencies providing comprehensive housing services. The organization is dedicated to safeguarding the availability and stability of housing through developing and promote fairness and equality of housing for all people and advocate peaceful resolution of disputes for community welfare and harmony.

Project Sentinel provides fair housing advocacy and counseling, dispute resolution and enforcement, and outreach and education services.

In addition, Project Sentinel provides the City of Foster City’s annual fair housing and anti-discrimination training, as required by Housing Element Program H-G-2- b: Fair Housing Training for Landlords and Tenants (page HE-110), which requires the City of Foster City to conduct at least one fair housing training for tenants and landlords annually, beginning in 2024.

2. Rebuilding Together Peninsula
Rebuilding Together Peninsula (RTP) has provided a home repair program at no cost for low-income homeowners since 1989. The program serves low-income homeowners, including seniors, veterans, individuals with disabilities, and multigenerational households. In addition, RTP provides services for a range of community facilities.

The RTP program is in addition to Foster City’s recently launched Minor Home Repair Program, which provides an additional $30,000 (up to $5,000 for each home) for very low-income homeowners needing minor home repairs. This program, administered by RTP implements Housing Element Program H-B-2-b:

Facilitate Non-Profit Rehabilitation/Maintenance Assistance. (page HE-85). The

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program Agreement was executed earlier this year and has recently been launched.

The combination of the two programs, the County funding for RTP and Foster City’s Minor Home Repair Program, maximizes the opportunity for low-income Foster City homeowners to preserve their homes.

3. Public Services
The County invested about $350,000 in CDBG funds to support public services grants, which provide meals, legal services, and operate local shelters last year.

Staff recommends approval of the Second Amendment to enable the City of Foster City to continue receiving the services provided by the County through the Cooperation Agreement.

Staff has confirmed with the County, that, if the City of Foster City opts out of the Cooperation Agreement, and, therefore elects not to continue with the Urban County program, agencies that use the County’s CDGB, HOME, and/or ESG funds, will not be authorized to provide specifically funded services to Foster City residents. This will likely result in the City of Foster City needing to fund the agencies directly for specific services, such as the annual training and counseling provided by Project Sentinel.

Participation in the Cooperation Agreement is at no cost to the City of Foster City.

Therefore, by staying in the Urban County program, Foster City residents can continue to use services through entities that receive those CDBG-funded services.

CEQA
The approval of the Second Amendment to the Agreement dated September 20, 2017 is not subject to review under the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21000, et seq. and the CEQA Guidelines (14 Cal. Code Regs. §§ 15000 et. seq.), including without limitation, Public Resources Code section 21065 and California Code of Regulations 15378 as this is not a “project” that may cause a direct, or reasonably foreseeable indirect, physical change in the environment.

FISCAL IMPACT
Authorization of the Cooperation Agreement will have a positive fiscal impact by preserving Foster City’s eligibility to access additional funding for local housing programs and projects while also increasing amount of funding available to San Mateo County to address housing issues county-wide.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Smart Planning, Development, and the Local Economy
ATTACHMENTS:

Attachment 1 – Resolution

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Exhibit A – Second Amendment to County Cooperation Agreement Attachment 2 – First Amendment and 2017 Original Agreement Attachment 3 – Letter from County dated June 5, 2026
Attachment 4 – King County Plaintiff Preliminary Injunction Order

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RESOLUTION NO. _______

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

AUTHORIZING THE CITY MANAGER TO EXECUTE A SECOND AMENDMENT TO THE COOPERATION AGREEMENT DATED SEPTEMBER 20, 2017, WITH THE COUNTY OF SAN MATEO, FOR CONTINUED PARTICIPATION IN THE COUNTY’S

FEDERALLY-FUNDED HOUSING AND COMMUNITY DEVELOPMENT PROGRAMS IN FISCAL YEARS 2027, 2028, AND 2029 WITH AN AUTOMATIC RENEWAL FOR FISCAL YEARS 2030, 2031, AND 2032

CITY OF FOSTER CITY
WHEREAS, the Housing and Community Development Act of 1974, as amended ("Act"), provides for the distribution of federal funds through the process of Community Development Block Grants to eligible public entities; and WHEREAS, those public entities which are eligible to receive said funds are cities with a population in excess of 50,000, ''hold harmless” public entities, and urban counties; and
WHEREAS, public entities that do not otherwise come within the definition of an eligible public agency may cooperate and participate with an eligible public entity such as an urban county; and
WHEREAS, the County of San Mateo (“County”) has qualified as an urban county under the Act; and
WHEREAS, the County again solicits the cooperation and co-participation of public entities such as the City of Foster City (“City”) in its application for federal assistance under the Act for the Federal Fiscal Years 2027, 2028, and 2029 to 2032; and WHEREAS, the City of Foster City is a non-entitlement city, having a population of less than 50,000, and do not qualify to receive their own allocation of Community Development Block Grant (CDBG), HOME Investment Partnership, or Emergency Solutions Grant (ESG) funding desire to cooperate and co-participate with County in this venture; and
WHEREAS, a Cooperation Agreement by and between City and County establishes the formal relationship to cooperate and co-participate and is specifically authorized under the provisions of Government Code Section 6502 and 26227; and WHEREAS, the City of Foster City expressed its intent and desire to participate in the Urban County in order to cooperate and participate with County of San Mateo in its plan application and to engage in housing and community development activities within its incorporated limits thereunder; and

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WHEREAS, the City understands that in participating in the Urban County, the City automatically participates in the CDBG, HOME and ESG Programs, which provide eligible local jurisdictions with federal funds for affordable housing activities; and WHEREAS, the City entered into an a Cooperation Agreement (“Agreement”) on September 20, 2017 and First Amendment dated July 1, 2024, and now desire to enter into this Second Amendment to the Agreement with the County of San Mateo so that it may continue to qualify, under applicable provisions of the Act and HUD regulations, as co-participant with County ineligible activities under the Act; and WHEREAS, the approval of the Second Amendment to the Agreement dated September 20, 2017 is not subject to review under the California Environmental Quality Act (CEQA) pursuant to Public Resources Code Section 21000, et seq. and the CEQA Guidelines (14 Cal. Code Regs. §§ 15000 et. seq.), including without limitation, Public Resources Code section 21065 and California Code of Regulations 15378 as this is not a “project” that may cause a direct, or reasonably foreseeable indirect, physical change in the environment.

NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Foster City concurs with and approves the Second Amendment to the Cooperation Agreement, dated September 20, 2017, for continued participation in the County’s housing and community development programs.

BE IT FURTHER RESOLVED, that the City Council hereby authorizes the City Manager to execute the Second Amendment to the Cooperation Agreement, originally dated September 20, 2017, in a form approved by the City Attorney.

PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the regular meeting held on the 15th day of June 2026 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________________________

ART KIESEL, MAYOR
ATTEST:
_________________________________

PRISCILLA SCHAUS, CITY CLERK

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County of San Mateo Cooperative Agreement Amendment
Cooperation Agreement dated September 20, 2017 Amendment Number: 2 (Second) Cooperation Agreement Amendment #1 dated July 2023
Agreement between the COUNTY OF SAN MATEO and the CITY OF FOSTER CITY

THE AGREEMENT IS CHANGED AS FOLLOWS
I. Witnesseth Section is hereby ☐ added ☒ amended as follows:

Adds the following emboldened, italicized phrase:

WHEREAS, the County of San Mateo has heretofore qualified as an urban county under the Act, the County again solicits the cooperation and co-participation of public entities such as the City in its application for federal assistance under the Act for Federal Fiscal Years 2027, 2028 and 2029 and one subsequent three-year period thereafter; and
II. Witnesseth Section is hereby ☐ added ☒ amended as follows:

Adds the following as a new Whereas provision:

WHEREAS, the City Executive of the City is authorized to execute this Amendment on the City’s behalf, and the County Executive is authorized to execute this Amendment on the County’s behalf.

III. Section 1 (Purpose) is hereby ☐ added ☒ amended as follows:

Replaces the first sentence with the following emboldened, italicized phrase:
“The County and City agree to cooperate to undertake, or assist in undertaking, essential community development and housing assistance activities in and for the benefit of the City, as approved or authorized between the parties in the CDBG Agreements, including the Consolidated Plan. This Agreement includes...” IV. Section 2 (Term), 1 is hereby ☐ added ☒ amended as follows:

Amends and restates the first paragraph in its entirety as follows:
“This Agreement shall remain in effect for the three-year program period of Federal Fiscal Years 2027, 2028 and 2029, and until funds granted and program income received during the three-year program period are expended and the funded activities completed. Neither the County nor the Municipality may terminate, withdraw, or be removed from the program during the three-year program period. The Agreement will renew automatically for participation in one successive three-year Urban County qualification period (Federal Fiscal Years 2030, 2031, and 2032), unless the Municipality or the County provide written notice to the other party that it elects not to participate in a new qualification period. The terminating party shall send a copy of the notice of termination to the HUD field office by the date specified on the HUD Exchange Uran Counties website. The County will notify the Municipality in writing of the Municipality’s right to make this election. A copy of the County’s notification must be sent to the HUD field office by the date specified on the HUD Exchange Urban Counties website.”

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V. Section 3 (County’s Responsibilities as Applicant) is hereby ☐ added ☒ amended as follows:

Amends and restates Paragraphs 4 and 5 of Subsection a. in their entirety as follows:
“Therefore, the County and City agree to cooperate to undertake, or assist in undertaking, essential community development and housing assistance activities in and for the benefit of the City, as approved or authorized between the parties in the CDBG Agreements, including the Consolidated Plan. The County and City will also strictly adhere to the Consolidated Plan as approved and to all assurances and certifications provided to HUD, including taking all actions necessary to comply with the Urban County’s certifications under Section 104(b) of Title I of the Housing and Community Development Act of 1974, as amended, that the grant will be conducted and administered in conformity with:
• Title VI of the Civil Rights Act of 1964, implementing regulations at 24 CFR Part 1; and • the Fair Housing Act, and implementing regulations at 24 CFR Part 100 and will comply with the obligation to affirmatively further fair housing; and
• Section 109 of Title I of the Housing and Community Development Act of 1974, and the implementing regulations at 24 CFR Part 6, which incorporates: Section 504 of the Rehabilitation Act of 1973, and the • implementing regulations at 24 CFR Part 8; and
• Title II of the Americans with Disabilities Act of 1974, and the implementing regulations at 28 CFR Part 35; and
• the Age Discrimination Act of 1975, and the implementing regulations at 24 CFR Part 146; and • Section 3 of the Housing and Urban Development Act of 1968; and • Uniform Relocation and Real Property Policies Act of 1970 and the implementing regulations at 49 CFR Part 24; and
• Section 104(d) of the Housing and Community Development Act of 1974 and the implementing regulations at 24 CFR Part 42; and
• all other applicable laws and regulations.

The Parties acknowledge that the Urban County is a plaintiff in King County et al. v. Turner et al., 2:25-cv-00814- BJR (W.D. Wash.) and through this litigation has obtained a Preliminary Injunction against HUD. To the extent that this Agreement purports to impose terms or conditions that are enjoined pursuant to that Preliminary Injunction, the Urban County is not bound to those enjoined terms or conditions.

The Parties agree that Urban County funding in no event will be used for activities in, or in support of, any cooperating unit of general local government that impedes the County’s actions to comply with the County’s fair housing certification and duty to affirmatively further fair housing. This provision is required because noncompliance by a unit of general local government included in an urban county may constitute noncompliance by the grantee (i.e. the Urban County) that can, in turn, provide cause for funding sanctions or other remedial actions by the Department.”
VI. Section 3 (County’s Responsibilities as Applicant), is hereby ☐ added ☒ amended as follows:

Amends and restates Subsection c. in its entirety as follows:
“Parties to this Agreement understand and agree that they may not sell, trade, or otherwise transfer all or any portion of CDBG funds to a Metropolitan City, Urban County, unit of general local government, or insular area that directly or indirectly receives CDBG funds in exchange for any funds, credits, or nonFederal considerations, but must use such funds for activities eligible under Title I of the Housing and Community Development Act of 1974, as amended.”

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VII. Section 5 is hereby ☐ added ☒ amended as follows:

Adds the following italicized and underlined language:

The City and County has each adopted and is enforcing:
a. A policy prohibiting the use of excessive force by law enforcement agencies within its jurisdiction against any individuals engaged in non-violent civilrightsdemonstrations; b. A policy ofenforcing applicable State and local laws against physically barring entrance to or exitfrom a facility or location which isthe subject ofsuch non-violent civil rights demonstrations within jurisdictions.

VIII. Section 8 (County’s Responsibility to City), is hereby ☒ added ☐ amended as follows:

Adds the following new Subsection d.:
“d. The Urban County agrees that the CDBG funds that the Municipality is entitled to will be utilized to benefit the Municipality.”
IX. Section 10 (Program Income) is hereby ☐ added ☒ amended as follows:

Amends and restates Subsection e. in its entirety as follows:
“e. The County and Municipality shall not terminate or withdraw from the Agreement while it remains in effect.

The County may transfer the program income to the Metropolitan City, upon its termination of Urban County participation, provided that the Municipality begins participating as an independent CDBG Entitlement grantee and agrees to use the program income in its own CDBG Entitlement program.” X. Section 13 (Minor Amendments to the Agreement) is hereby ☐ added ☒ amended as follows Amends and restates Section 13 in its entirety as follows:

13. Amendments to the Agreement.
“The Parties agree to adopt amendment(s) to this Agreement as may be required by HUD to meet any new Urban County Qualification requirement(s), when applicable. Failure by either Party to adopt any such amendment, and to submit such amendment to HUD, will void the Agreement for such qualification period.” Other changes: None
I hereby certify that the requested changes are required per the United States Department of Housing and Urban Development.
________ June 4, 2026_____ Karen Coppock___________
Requestor Signature Date Requestor Name (please print)
County of San Mateo County of San Mateo
HCD Supervisor_____________
Requestor Title (please print)

6.6 Exhibit A - Second Amendment to County Cooperation Agreement 117
This change is effective as of: July 1, 2027
ALL OTHER TERMS AND CONDITIONS OF THE AGREEMENT REMAIN UNCHANGED.

In witness of and in agreement with this Amendment’s terms, the Parties, by their duly authorized representatives, affix their respective signatures:

For City:
___________________________ ___________________ __________________________________ Signature Date Name (please print)
(City Manager)
For County:
____________________________ ____________________ _________ ______________________ Signature Date Name (please print)
(County Executive)

6.6 Exhibit A - Second Amendment to County Cooperation Agreement 118

6.6 Attachment 2 - First Amendment and 2017 Agreement
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Main Office - Department of Housing (DOH)
264 Harbor Blvd., Building A, Belmont, CA 94002-4017
Housing & Community Development (HCD)
Tel: (650) 802-5050
Housing Authority of the County of San Mateo (HACSM)
Tel: (650) 802-3300
Board of Supervisors:

Jackie Speier
Noelia Corzo
Ray Mueller
Lisa Gauthier
David Canepa
Director: HACSM Executive Director:

Raymond Hodges Debbie McIntyre
Department of Housing (DOH) website: www.smchousing.org  E-mail: [email protected] June 5, 2026
Delivered via E-mail Only
RE: Urban County Qualification for Participation in the CDBG Program:

Federal Fiscal Years 2027, 2028, 2029
Notice of Renewal and Amendment to the CDBG Cooperation Agreement ACTION REQUIRED BY JULY 15, 2026
Dear City Manager Stefan Chatwin,
As a follow-up to the letter sent on May 27, 2026, this is a notification regarding the renewal of the Urban County’s CDBG Cooperation Agreement.

In September 2017, San Mateo County and the City of Foster City entered into a Cooperative Agreement whereby the City, a public entity which would not be eligible for Community Development Block Grant (CDBG) funds on its own, could cooperate and participate in the San Mateo County Urban County Program in order to access CDBG funding. The Cooperation Agreement provides for automatic renewals every three years unless an amendment to the Agreement is required, which is the case for this program cycle.

Benefits of participation include eligibility to apply for CDBG funds through the Urban County’s annual CDBG funding cycle as well as participation in the Emergency Solutions Grant (ESG) and HOME Investment Partnership (HOME) programs since the Urban County is a member of the San Mateo County HOME Consortium.

The CDBG Cooperative Agreement between the County of San Mateo and the City, requires renewal for Federal Fiscal Years 2027, 2028 and 2029. Per HUD’s Urban County Qualification Notice (CPD-26-08), this is the second and final step in the Urban County requalification process, which requires an amendment to the CDBG Cooperative Agreement:

6.6 Attachment 3 - Letter from County of San Mateo June 5 2026 126
The attached Amendment to the Urban County Cooperation Agreement must be approved by your governing body, signed by your Chief Executive Officer/Manager and returned to the County by July 15, 2026 for your city or town to remain in the Urban County.

San Mateo County HUD Field Office
Attn: Danita Robertson, HCD Specialist
Department of Housing
264 Harbor Blvd, Bldg. A
Belmont, CA 94002
[email protected]
Attn: Suyong Choi, Senior CPD Representative
HUD San Francisco CPD Division
One Sansome Street, Suite 1200
San Francisco, CA 94101
[email protected]
If you have any questions about this notice or the Urban County requalification process, please contact me at [email protected]. Thank you in advance for your prompt attention to this matter.

Sincerely,
Danita Robertson
Housing & Community Development Specialist
County of San Mateo, Department of Housing
cc: Sofia Mangalam, Community Development Director, City of Foster City Nori Jabba, Housing Coordinator, City of Foster City

6.6 Attachment 3 - Letter from County of San Mateo June 5 2026 127
County of San Mateo Cooperative Agreement Amendment
Cooperation Agreement dated September 20, 2017 Amendment Number: 2 (Second) Cooperation Agreement Amendment #1 dated July 2023
Agreement between the COUNTY OF SAN MATEO and the CITY OF FOSTER CITY

THE AGREEMENT IS CHANGED AS FOLLOWS
I. Witnesseth Section is hereby ☐ added ☒ amended as follows:

Adds the following emboldened, italicized phrase:

Adds the following as a new Whereas provision:

WHEREAS, the City Executive of the City is authorized to execute this Amendment on the City’s behalf, and the County Executive is authorized to execute this Amendment on the County’s behalf.

III. Section 1 (Purpose) is hereby ☐ added ☒ amended as follows:

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V. Section 3 (County’s Responsibilities as Applicant) is hereby ☐ added ☒ amended as follows:

6.6 Attachment 3 - Letter from County of San Mateo June 5 2026 129
VII. Section 5 is hereby ☐ added ☒ amended as follows:

Adds the following italicized and underlined language:

VIII. Section 8 (County’s Responsibility to City), is hereby ☒ added ☐ amended as follows:

Amends and restates Subsection e. in its entirety as follows:
“e. The County and Municipality shall not terminate or withdraw from the Agreement while it remains in effect.

6.6 Attachment 3 - Letter from County of San Mateo June 5 2026 130
This change is effective as of: July 1, 2027
ALL OTHER TERMS AND CONDITIONS OF THE AGREEMENT REMAIN UNCHANGED.

In witness of and in agreement with this Amendment’s terms, the Parties, by their duly authorized representatives, affix their respective signatures:

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6.6 Attachment 3 - Letter from County of San Mateo June 5 2026 141

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ORDER GRANTING PLAINTIFFS’ THIRD

MOTION FOR PRELIMINARY INJUNCTION
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25 The Honorable Barbara J. Rothstein

UNITED STATES DISTRICT COURT

WESMTERN DISTRICT OF WASHINGTON

AT SEATTLE
MARTIN LUTHER KING, JR. COUNTY, et
al.

Plaintiffs,
vs.

SCOTT TURNER in his official capacity as
Secretary of the U.S. Department of Housing
and Urban Development, et al.,
Defendants.

NO. 2:25-cv-814
ORDER GRANTING PLAINTIFFS’

THIRD MOTION FOR

PRELIMINARY INJUNCTION
I. INTRODUCTION
Congress, as the branch of government constitutionally entrusted with the power of the purse, has long made critical investments in programs to end homelessness, strengthen communities, and improve local infrastructure. These budget decisions are not mere technical exercises, they reflect difficult judgments (and compromises) about how best to allocate our nation’s resources. Every dollar allocated is a deliberate decision on how to serve the public good. And under the constitution, it is Congress—not the President—that has the authority to Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 1 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 make those judgments. Yet that is precisely what the Plaintiffs in this case allege the current administration has attempted to override. They contend that the Trump Administration unlawfully seeks to impose hotly contested political conditions on funds that Congress has already appropriated—substituting the Executive’s preferences for the will of Congress, in clear defiance of constitutional limits.

On June 3, 2025, this Court enjoined Defendants U.S. Department of Housing and Urban Development (“HUD”) and U.S. Department of Transportation (“DOT”) from imposing unlawful funding conditions on an estimated $4 billion in HUD Continuum of Care Program (“CoC”) and DOT grants that had been awarded to the then Plaintiffs—at the time 31 local governments and agencies—to support vital programs across the country, including homelessness prevention and transportation infrastructure. This Court determined that those Plaintiffs are likely to succeed on the merits of their claims that Defendants’ actions violated the Administrative Procedure Act (“APA”), 5 U.S.C. § 551 et seq., as contrary to the constitution and in excess of statutory authority, and arbitrary and capricious.

On July 10, 2025, Plaintiffs filed an amended complaint in which they added approximately 30 additional local governments and agencies as plaintiffs and the U.S.

Department of Health and Human Services (“HHS”) as a defendant. Currently before the Court is Plaintiffs’ Third Motion for Preliminary Injunction. Dkt. No. 186. Plaintiffs allege that not only is HUD attempting to impose the same unlawful funding conditions that this Court previously enjoined on CoC grants awarded to some of the newly added Plaintiffs, but it is attempting to impose the funding conditions on all HUD grants, regardless of whether they are CoC grants.

Plaintiffs further claim that DOT is also attempting to impose the same previously enjoined Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 2 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 funding conditions on grants awarded to some of the newly added Plaintiffs. Lastly, Plaintiffs allege that HHS has begun imposing substantially similar unlawful funding conditions on its grants. Plaintiffs assert that Defendants’ actions threaten more than $12 billion in funding that is needed to support essential and life-sustaining programs in their communities and seek a preliminary injunction extending the relief that this Court previously granted in June 2025 to the newly added Plaintiffs that have CoC and/or DOT grants, barring HHS from applying the unlawful funding conditions on its grants, and barring HUD from doing the same as to all of its grant programs.

Having reviewed the briefs and exhibits filed in support of and in opposition to the motion, the record of the case, and the relevant legal authority, the Court will grant the motion. The reasoning for the Court’s decision follows.

II. PROCEDURAL HISTORY
This case started on May 2, 2025 when Martin Luther King, Jr. County (“King County”), Pierce County, Snohomish County, City and County of San Francisco (“San Francisco”), Santa Clara County, Boston, Columbus, and New York City (collectively, “the Original Plaintiffs”) sued HUD, DOT, and the Federal Transit Administration (“FTA”), as well as the agencies’ heads in their official capacities, challenging the imposition of new funding conditions on grants that the Original Plaintiffs had been conditionally awarded for fiscal year 2024. 1 Dkt. 1. Seven of the
Original Plaintiffs (excluding Columbus) then moved for a temporary restraining order (“TRO”) on May 5, 2025. The Court held a hearing and granted their motion two days later. Dkt. Nos. 5, 1 The original Defendants were HUD, DOT, Scott Turner in his official capacity as Secretary of HUD, Sean Duffy in his official capacity as Secretary of DOT, FTA, and Matthew Welbes as the acting Director of FTA. Dkt. No. 1 at ¶¶ 16-21.

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25 51–52. At the conclusion of the TRO hearing, the Original Plaintiffs stated their intent to move for a preliminary injunction on the same issues subject to the TRO, which was set to expire fourteen days later. Dkt. No. 53. The Court ordered briefing and on May 21, 2025, held a hearing on the motion for a preliminary injunction. Id.; Dkt. No. 73. At the conclusion of that hearing, the Court determined that good cause existed to extend the TRO by another fourteen days, to June 4, 2025, and stated that it would issue a written decision on the motion for preliminary injunction by that date. Dkt. No. 73.

Later that day the Original Plaintiffs filed an amended complaint adding 23 local governments and agencies as Plaintiffs, as well as the Federal Highway Administration (“FHWA”), the Federal Aviation Administration (“FAA”), the Federal Railroad Administration (“FRA”), and the component heads in their official capacities, as Defendants.2 Dkt. No. 71. The 23 newly added Plaintiffs brought the same claims and challenged the same funding conditions as the Original Plaintiffs. Dkt. 71.

They also sought a TRO and preliminary injunction, which the Court granted. Dkt. Nos. 72, 152.

Defendants appealed the preliminary injunction order to the U.S. Court of Appeals for the Ninth Circuit, where the appeal remains pending.3 Dkt. No. 173. 2 The 23 newly added Plaintiffs were the City and County of Denver, Colorado (“Denver”), the Metropolitan government of Nashville and Davidson County, Tennessee (“Nashville”), Pima County, Arizona (“Pima County”), County of Sonoma, California (“Sonoma”), City of Bend, Oregon (“Bend”), City of Cambridge, Massachusetts (“Cambridge”), City of Chicago, Illinois (“Chicago”), City of Culver City, California, (“Culver City”), City of Minneapolis, Minnesota (“Minneapolis”), City of Pittsburgh, Pennsylvania (“Pittsburgh”), City of Portland, Oregon (“Portland”), City of San Jose, California (“San Jose”), City of Santa Monica, California (“Santa Monica”), City of Pasadena, California (“Pasadena”), City of Tucson, Arizona (“Tucson”), City of Wilsonville, Oregon (“Wilsonville”), Central Puget Sound Regional Transit Authority located in King, Pierce, and Snohomish Counties, Washington (“CPSRTA”), Intercity Transit located in Thurston County, Washington (“Intercity Transit”), Port of Seattle, Washington (“Port of Seattle”), King County Regional Homelessness Authority located in King County, Washington (“King County RHA”), Santa Monica Housing Authority, California (“Santa Monica HA”), San Francisco County Transportation Authority, located in the City and County of San Francisco, California (“SFCTA”), and Treasure Island Mobility Management Agency located in Treasure Island and Yerba Buena Island, California (“TIMMA”). Dkt. No. 71 at ¶¶ 8-38. The newly added Defendants were FHWA, Gloria M. Shepard as the acting Director of FHWA, FAA, Chris Rocheleau as acting Administrator of FAA, FRA, and Drew Feeley as acting Administrator of FRA. Id. at ¶¶ 39-50. 3 In moving for leave to file the second amended complaint, Plaintiffs asserted that the “claims in the [second amended complaint] challenging new grant conditions are indistinguishable on the facts and law [from] the existing Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 4 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 On July 10, 2025, Plaintiffs filed a second amended complaint adding another 29 local governments and agencies as plaintiffs.4 Dkt. No. 184. Plaintiffs continue to challenge the HUD and DOT funding conditions as before, but now have added HUD grants outside the CoC program, and have brought new claims against HHS and its agencies, including the Administration for Children and Families (“ACF”), Health Resources and Services Administration (“HRSA”), National Institutes of Health (“NIH”), Substance Abuse and Mental Health Services Administration (“SAMHSA”), and the Centers for Disease Control and Prevention (“CDC”). As before, Plaintiffs seek a preliminary injunction enjoining the imposition of the new funding conditions on their federal grants.

The new Plaintiffs challenging the imposition of the new funding conditions on HUD CoC grants are Alameda County, Albuquerque, Baltimore, Columbus, Dane County, Hennepin claims.” Dkt. No. 181 at 4. Defendants did not oppose the motion. While the Ninth Circuit has not ruled directly on the issue of whether a district court retains jurisdiction to allow amendment of pleadings pending appeal of a preliminary injunction, district courts within this circuit have recognized that pending interlocutory appeal they retain jurisdiction over matters that would not change the issues before the appellate court. See e.g. Center for Food Safety v. Vilsack, 2011 WL 672802 at *2 (N.D. Cal. 2011). In light of this, the Court concluded that it retained jurisdiction to allow the requested amendment because a significant portion of the second amended complaint simply adds new Plaintiffs challenging Defendants’ imposition of the previously enjoined unlawful funding conditions on CoC HUD and DOT grants. And while the second amended complaint does also challenge Defendants’ imposition of funding conditions on non-COC HUD and HHS grants, the challenged conditions are either identical or substantially similar to the previously imposed conditions, and the claims implicate identical legal issues. In addition, several of the newly added Plaintiffs face a fast-approaching deadline of August 16, 2025 to submit consolidated/action plans to HUD or forfeit the formula grant funding. Dkt. No. 186 at 1; Dkt. No. 184 at ¶ 623. Nevertheless, if it is determined that this Court lacked jurisdiction because an appeal is pending, then this Court issues this order as an indicative ruling pursuant to Fed. Rule of Civ. P. 62.1(3). 4 The 29 newly added Plaintiffs are County of Alameda (“Alameda County”), City of Albuquerque (“Albuquerque”), Mayor and City Council of Baltimore (“Baltimore”), City of Bellevue (“Bellevue”), City of Bellingham (“Bellingham”), City of Bremerton (“Bremerton”), County of Dane (“Dane County”), City of Eugene (“Eugene”), City of Healdsburg (“Healdsburg”), County of Hennepin (“Hennepin County”), Kitsap County, City of Los Angeles (“Los Angeles”), City of Milwaukee (“Milwaukee”), Milwaukee County, Multnomah County, City of Oakland (“Oakland”), City of Pacifica (“Pacifica”), City of Petaluma (“Petaluma”), Ramsey County, City of Rochester (“Rochester”), City of Rohnert Park (“Rohnert Park”), City of San Diego (“San Diego”), County of San Mateo (“San Mateo County”), City of Santa Rosa (“Santa Rosa”), City of Watsonville (“Watsonville”), Culver City Housing Authority (“CCHA”), Puget Sound Regional Council (“PSRC”), Sonoma County Transportation Authority (“SCTA”), and Sonoma County Community Development Commission (SCCDC”). Dkt. No. 184 at ¶¶ 136-253.

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25 County, Milwaukee, Multnomah County, Oakland, Petaluma, Ramsey County, San Mateo County, and Sonoma County (collectively, “the New CoC Plaintiffs”).

The new Plaintiffs challenging the imposition of the new funding conditions on DOT grants are Alameda County, Albuquerque, Baltimore, Bellevue, Bellingham, Bremerton, Cambridge, Dane County, Eugene, Healdsburg, Hennepin County, Kitsap County, Los Angeles, Milwaukee, Milwaukee County, Multnomah County, Oakland, Pacifica, Pasadena, Petaluma, PSRC, Ramsey County, Rochester, Rohnert Park, San Diego, San Mateo County, Santa Rosa, SCTA, and Watsonville (collectively, “the New DOT Plaintiffs”).

The Plaintiffs challenging the new funding conditions on non-CoC HUD grants are King County, Pierce County, Snohomish County, Boston, Columbus, San Francisco, Santa Clara, NYC, Bend Cambridge, Chicago, Culver City, Minneapolis, Nashville, Pasadena, Pima County, Pittsburgh, Portland, San Jose, Santa Monica, Tucson, King County RHA, Santa Monica HA, Alameda County, Albuquerque, Baltimore, Bellevue, Bellingham, Bremerton, Dane County, Eugene, Hennepin County, Kitsap County, Los Angeles, Milwaukee, Multnomah County, Oakland, Petaluma, Ramsey County, Rochester, San Diego, San Mateo County, Santa Rosa, Sonoma County, Watsonville, CCHA, and SCCDC (collectively, “the Non-CoC HUD Plaintiffs”).

Lastly, the Plaintiffs challenging the HHS grants are Alameda County, Baltimore, Boston, Cambridge, Chicago, Columbus, Dane County, Denver, Eugene, Hennepin County, King County, Milwaukee, Minneapolis, Multnomah County, NYC, Oakland, Pacifica, Pierce Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 6 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 County, Pima County, Ramsey County, Rochester, San Francisco, Santa Clara, San Mateo County, Snohomish County, and Wilsonville (collectively, “the HHS Plaintiffs”).5 III. FACTUAL BACKGROUND6
As stated above, initially this lawsuit concerned the allocation of congressionally appropriated federal funds through HUD and DOT grant programs, and several DOT operating administrations. Originally the lawsuit concerned only HUD grants through its CoC program, but with the second amended complaint, while Plaintiffs still challenge the funding conditions on the CoC grants (as well as DOT grants), they now object to funding conditions that HUD seeks to impose on all of its grants. In addition, the lawsuit has expanded to include grants administered by HHS and several of its operating administrations, including ACF, HRSA, NIH, SAMHSA, and the CDC.

A. HUD CoC and DOT Grants
HUD administers the CoC program with funds appropriated by Congress through the McKinney-Vento Homeless Assistance Act, 42 U.S.C. § 11301(b)(2)–(3). The CoC program is designed to assist individuals and families experiencing homelessness by providing services to help such individuals move into transitional and permanent housing, with the goal of long-term stability. Congress established DOT in 1966 “to assure the coordinated, effective administration of the transportation programs of the Federal Government” and has established by statute a wide variety of grant programs that provide federal funds to state and local governments for public transit services. See Department of Transportation Act, Pub. L. No. 89-670, 80 Stat. 931 (1966). 5 Note, several Plaintiffs fall into more than one Plaintiff group. 6 This Court assumes familiarity with the detailed fact section set forth in its June 3, 2025 order granting Plaintiffs’ motions for a preliminary injunction. Dkt. No. 169.

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25 1. The Funding Conditions on HUD CoC and DOT Grants
In the first two motions for a preliminary injunction, Plaintiffs charged HUD and DOT with imposing funding conditions that are not authorized by statute on HUD CoC and DOT grants and are therefore unlawful. Plaintiffs argued that the new funding conditions sought to coerce grant recipients dependent on federal funding into implementing the Trump Administration’s policy agenda. Specifically, Plaintiffs objected to the following six conditions with respect to the CoC grants:

A. The recipient “shall not use grant funds to promote ‘gender ideology,’ as defined in E.O. 14168 Defending Women from Gender Ideology Extremism and Restoring Biological Truth to the Federal Government”; B. The recipient “agrees that its compliance in all respects with all applicable Federal anti-discrimination laws is material to the U.S. Government’s payment decisions for purposes of [the False Claims Act, 31 U.S.C. § 3729(b)(4)]”;
C. The recipient “certifies that it does not operate any programs that violate any applicable Federal anti-discrimination laws, including Title VI of the Civil Rights Act of 1964”;
D. The recipient “shall not use any Grant Funds to fund or promote elective abortions, as required by E.O. 14182, Enforcing the Hyde Amendment”; E. “No state or unit of general local government that receives funding under this grant may use that funding in a manner that by design or effect facilitates the subsidization or promotion of illegal immigration or abets policies that seek to shield illegal aliens from deportation”; and F. “Subject to the exceptions provided by [the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (“PRWORA”)], the recipient must use SAVE, or an equivalent verification system approved by the Federal government, to prevent any Federal public benefit from being provided to an ineligible alien who entered the United States illegally or is otherwise unlawfully present in the United States.”
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25 Dkt. No. 11 (“McSpadden Decl.”), Ex. A at 3. And Plaintiffs objected to the following three conditions with respect to the DOT grants:

A. “Pursuant to section (3)(b)(iv)(A), Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity, the Recipient agrees that its compliance in all respects with all applicable Federal antidiscrimination laws is material to the government’s payment decisions for purposes of [the False Claims Act, 31 U.S.C. § 3729(b)(4)]”; B. “Pursuant to section (3)(b)(iv)(B), Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity, by entering into this Agreement, Recipient certifies that it does not operate any programs promoting diversity, equity, and inclusion (DEI) initiatives that violate any applicable Federal anti-discrimination laws”; and
C. “[T]he Recipient will cooperate with Federal officials in the enforcement of Federal law, including cooperating with and not impeding U.S. Immigration and Customs Enforcement (ICE) and other Federal offices and components of the Department of Homeland Security in the enforcement of Federal immigration law.”
Dkt. No. 71 at ¶¶ 164, 172. In addition, the new funding conditions also required recipients to comply with all executive orders. McSpadden Decl., Ex. A at 1, ¶ 5; Dkt. No. 71 at ¶¶ 168, 170.

Plaintiffs challenged Defendants’ imposition of the foregoing conditions on the grants, arguing that the conditions are unconstitutional, violate the APA, and exceed statutory authority.

They further argued that they would be irreparably harmed if the conditions were imposed on the grants and sought injunctive relief from this Court.

2. This Court Grants Injunctive Relief to Plaintiffs
This Court determined that Plaintiffs were entitled to a preliminary injunction because they satisfied the Winter factors. Dkt. No. 169 at 30 (citing Winter v. Nat. Res. Def. Council, Inc., 555 U.S. 7, 22 (2008)). Plaintiffs established that they are likely to succeed on the merits of their APA claim because Defendants’ actions are contrary to the constitution, in excess of statutory Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 9 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 authority, and arbitrary and capricious. Id. at 30-38. Plaintiffs also demonstrated that they were likely to suffer irreparable harm in the absence of preliminary injunctive relief and that the balance of equities weighed in favor of Plaintiffs. Id. at 39-45. Therefore, among other relief, the Court enjoined Defendants from:
(1) imposing or enforcing the new funding conditions, as defined in Plaintiffs’ motions for preliminary injunction, or any materially similar terms or conditions with respect to any HUD CoC or DOT funds awarded to Plaintiffs; (2) with respect to Plaintiffs, rescinding, withholding, cancelling, or otherwise not processing any HUD CoC and/or DOT Agreements, or pausing, freezing, impeding, blocking, cancelling, terminating, delaying, withholding, or conditioning HUD CoC and/or DOT funds, based on such terms or conditions, including without limitation failing or refusing to process and otherwise implement grants signed with changes or other objection to conditions enjoined by this preliminary injunction; (3) requiring Plaintiffs to make any “certification” or other representation related to compliance with such terms or conditions; or
(4) refusing to issue, process, or sign HUD CoC and/or DOT Agreements based on Plaintiffs’ participation in this lawsuit.

Id. at 46-48.

3. New HUD CoC and DOT Plaintiffs
Plaintiffs allege that despite this Court enjoining Defendants from imposing the unlawful funding conditions on the Original Plaintiffs’ HUD CoC grants, Defendants are attempting to impose the conditions on CoC grants awarded to Alameda County, Albuquerque, Baltimore, Dane County, Hennepin County, Milwaukee, Multnomah County, Oakland, Petaluma, Ramsey County, San Mateo County, and Sonoma County—the New CoC Plaintiffs. Dkt. No. 184 at ¶¶ 292-293. According to Plaintiffs, the CoC grants will allow the New CoC Plaintiffs “to continue homelessness assistance programs, ensuring [their] ability to serve their residents so they [will] not experience a sudden drop off in the availability of housing services, permanent and Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 10 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 transitional housing, and other assistance.” Id. at ¶ 300. Plaintiffs further allege that in reliance on the awards, many of the New CoC Plaintiffs “already notified service providers of forthcoming funding and/or contracted with service providers for homelessness assistance services.” Id. at ¶ 301.

In addition, Plaintiffs allege that Defendants also continue to impose the funding conditions on DOT grants awarded to Alameda County, Albuquerque, Baltimore, Bellevue, Bellingham, Bremerton, Cambridge, Dane County, Eugene, Healdsburg, Hennepin County, Kitsap County, Los Angeles, Milwaukee, Milwaukee County, Multnomah County, Oakland, Pacifica, Pasadena, Petaluma, PSRC, Ramsey County, Rochester, Rohnert Park, San Diego, San Mateo County, Santa Rosa, SCTA, and Watsonville—the New DOT Plaintiffs. According to Plaintiffs, each of the New DOT Plaintiffs “previously received, currently receive, or are otherwise eligible to receive DOT grants, directly and/or on a pass-through basis. Id. at ¶ 391.

Plaintiffs further allege that each of the New DOT Plaintiffs rely on the DOT grants to undertake transportation-related projects for the benefit of their communities.

Plaintiffs claim that “[t]he grant conditions that Defendants seek to impose leave [the New CoC and DOT] Plaintiffs with the Hobson’s choice of accepting illegal conditions that are without authority, contrary to the Constitution, and accompanied by the poison pill of heightened risk of FCA claims or forgoing the benefit of grant funds—paid for (at least partially) through local federal taxes—that are necessary for crucial local services.” Id. at ¶ 623. Finally, Plaintiffs assert that loss of these grant funds would result in loss of billions of dollars in funding for critical services and projects for the New CoC and DOT Plaintiffs, destabilizing their Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 11 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 communities. Id. at ¶¶ 625-627. Plaintiffs request that this Court extend its injunction against Defendants to the New CoC and DOT Plaintiffs’ grants.

B. Non-CoC HUD Grants
Plaintiffs allege that in addition to CoC grants, many of them receive or are otherwise eligible to receive non-CoC HUD grants—the Non-CoC HUD Plaintiffs. These grants include congressionally appropriated funding for homelessness assistance, affordable housing, community development programs, and other services that benefit the Non-CoC HUD Plaintiffs’ communities, including the Community Development Block Grant (“CDBG”) program, 42 U.S.C. §§ 5303–06; the Emergency Solutions Grant (“ESG”) program, which funds emergency shelters and homelessness services, id. §§ 11371–78; the Home Investment Partnerships (“HOME”) program, which supports affordable housing, id. §§ 12741–56; and the Housing Opportunities for Persons with AIDS (“HOPWA”) program, id. §§ 12901–12. Dkt. No. 184 at ¶¶ 302-358.

Plaintiffs allege, and Defendants do not dispute, that HUD seeks to impose on all HUD grants substantially similar funding conditions to those that this Court previously enjoined. As evidence of this, Plaintiffs point to the fact that in April 2025, HUD amended its General Administrative, National, and Departmental Policy Requirements and Terms (the “HUD Policy Terms”) that sets forth the “various laws and policies that may apply to recipients of” HUD grant awards. Dkt. No. 184 at ¶ 516. The amended HUD Policy Terms list President Trump’s executive orders among the “laws and policies that may apply” to HUD grants as well as language materially the same as the previously enjoined funding conditions. Id. at ¶ 520.

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25 In addition, Plaintiffs note that in May 2025, HUD amended its standard Applicant and Recipient Assurances and Certifications (“the HUD Certifications”) to require applicants to certify that they “[w]ill not use Federal funding to promote diversity, equity, and inclusion (DEI) mandates, policies, programs, or activities that violate any applicable Federal antidiscrimination laws.” Dkt. No. 271, Amaral Decl., Ex. B; Dkt. No. 184 at ¶ 522. Local governments and agencies must submit the HUD Certifications with certain consolidated plans and/or action plans annually as a condition to receiving CDBG, ESG, HOME, and HOPWA formula funding.

Lastly, on June 5, 2025, HUD’s Office of Community Planning and Development (“CPD”), which administers the CoC, CDBG, ESG, HOME, and HOPWA programs, issued a letter announcing HUD’s decision to impose on all CPD formula grants funding conditions substantially similar to the previously enjoined funding conditions. Dkt. No. 184 at ¶¶ 524-525.

These funding conditions include requiring recipients to certify that they: (1) “shall not use grant funds to promote ‘gender ideology,’” (2) will not “use any grant funds to fund or promote elective abortions,” (3) will “use SAVE, or an equivalent verification system approved by the Federal government, to prevent any Federal public benefit from being provided to an ineligible alien who entered the United States illegally or is otherwise unlawfully present in the United States,” and (4) agree that they will not use funding to “subsidiz[e] or promot[e] … illegal immigration or [to] seek to shield illegal aliens from deportation.” Id. at ¶¶ 527-533.

Plaintiffs claim that HUD has already notified at least three Non-CoC HUD Plaintiffs that their consolidated/action plans violate the newly imposed funding conditions. For instance, HUD threatened to disapprove Petaluma’s 2025 Consolidated Action Plan for CDBG funds because it allegedly violated the DEI, gender ideology, and immigration funding conditions by including Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 13 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 references to “equity,” “environmental justice,” “transgender or gender non-conforming,” and “undocumented individuals.” Dkt. No. 244, Cochran Decl., Ex. B. Bellevue and King County received similar notices. Dkt. No. 195, Esparza Decl., Ex. A; Dkt. No. 222, Third Supp. Marshall Decl., Ex. B. HUD gave Petaluma, Bellevue, and King County less than 48 hours to remedy the purported violations by scrubbing their plans of the offending language. Id.; Cochran Decl. at ¶

12. King County’s plan was subsequently disapproved. Dkt. No. 223, Holcomb Decl., Ex. A.

Plaintiffs further allege that the Non-CoC HUD Plaintiffs face immediate and irreparable harm from imposition of the funding conditions. Several Non-CoC HUD Plaintiffs face a deadline of Saturday, August 16, 2025 to submit consolidated/action plans to HUD or forfeit the formula grant funding. Dkt. No. 186 at 1; Dkt. No. 184 at ¶ 623. Plaintiffs assert that loss of this funding would disrupt the lives of the Non-CoC HUD Plaintiffs’ most vulnerable residents, likely leading to evictions and increased homelessness and further straining local resources.

According to Plaintiffs, even a temporary loss of funding would set back efforts to create and preserve affordable housing, ameliorate homelessness, and house low-income individuals living with HIV/AIDS. Dkt. No. 184 at ¶ 625. Plaintiffs request that this Court enjoin Defendants from imposing the new funding conditions on the Non-CoC HUD Plaintiffs’ grants.

C. HHS Grants
HHS administers both competitive grant programs and formula and block grant programs that provide funds to local governments to enhance the health and well-being of their communities. In administering grant programs, HHS often acts through its operating divisions and agencies. For instance, ACF administers discretionary and formula grants to support programs that serve children and families. HRSA awards a variety of competitive and formula Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 14 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 grants including Primary Care/Health Centers, Health Workforce Training, HIV/AIDS, Organ Donation, Maternal and Child Health, Rural Health, the Health Center Program, and the Ryan White HIV/AIDS program. SAMHSA administers both competitive, discretionary grant programs and noncompetitive formula grant programs to fund substance use and mental health services to advance the behavioral health and improve the lives of those living with mental and substance use disorders. The CDC provides funding to support public health systems and activities by local and state governments. It supports programs such as HIV/AIDS, Viral Hepatitis, STI, and TB Prevention; Chronic Disease Prevention and Health Promotion; Public Health Preparedness and Response; and Injury Prevention and Control.

Congress annually appropriates funding for these HHS grant programs, setting forth priorities and directives to the Secretary of HHS with respect to the funding. Examples of such appropriation legislation are: Consolidated Appropriations Act, 2021, Pub. L. 116-260, 134 Stat. 1523– 28, 1567–98; Consolidated Appropriations Act, 2022, Pub. L. 117-103, 136 Stat. 397– 402, 441–74; Consolidated Appropriations Act, 2023, Pub. L. 117-328, 136 Stat. 4808–13, 4854–87; Consolidated Appropriations Act, 2024, Pub. L. 118-42, 138 Stat. 272–77, 397–419.

Plaintiffs allege that the HHS Plaintiffs have received, currently receive, or are otherwise eligible to receive federal grants administered by ACF, HRSA, SAMHSA, and CDC, among others. Collectively, HHS Plaintiffs rely on over $2 billion in appropriated federal funds from HHS grant programs which support essential health programs and services in the HHS Plaintiffs’ communities, such as child welfare assistance, adoption and foster care services, and healthcare for low-income individuals and those living with HIV/AIDS. Dkt. No. 184 at ¶¶ 475.

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25 Plaintiffs claim that like HUD and DOT, HHS has begun attaching unlawful funding conditions to HHS grants that are substantially similar to those that this Court previously enjoined, including by updating HHS’s Grants Policy Statement in April 2025 (“the 2025 HHS GPS”) to provide:
[R]ecipients must comply with all applicable Federal anti-discrimination laws material to the government’s payment decisions for purposes of 31 U.S.C. § 372(b)(4).
(1) Definitions. As used in this clause –
(a) DEI means “diversity, equity, and inclusion.”
(b) DEIA means “diversity, equity, inclusion, and accessibility.” (c) Discriminatory equity ideology has the meaning set forth in Section 2(b) of Executive Order 14190 of January 29, 2025.
. . . . .

By accepting the grant award, recipients are certifying that . . . [t]hey do not, and will not during the term of this financial assistance award, operate any programs that advance or promote DEI, DEIA, or discriminatory equity ideology in violation of Federal anti-discrimination laws.

Dkt. No. 184 at ¶ 606.7
Plaintiffs further alleged that in addition to these agency-wide changes, several HHS operating divisions and agencies have issued their own general terms and conditions incorporating the 2025 HHS GPS. For instance, ACF updated its Standard Terms and Conditions that apply to both discretionary and non-discretionary awards, to add a certification that states:
7 On July 24, 2025, after Plaintiffs filed the instant motion, HHS updated the 2025 HHS GPS, removing express references to DEI but stating: “By applying for or accepting federal funds from HHS, recipients certify compliance with all federal antidiscrimination laws and these requirements and that complying with those laws is a material condition of receiving federal funding streams.” 2025 HHS GPS at 18, https://www.hhs.gov/sites/default/files/hhsgrants-policy-statement-july-2025.pdf. Thus, the foregoing certification is required even to just “apply[]” for federal funds from HHS. The 2025 HHS GPS also states that “[r]ecipients are responsible for ensuring subrecipients, contractors, and partners also comply.” Id.

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25 For new awards made on or after May 8, 2025, the following is effective immediately:

Recipients must comply with all applicable Federal anti-discrimination laws material to the government’s payment decisions for purposes of [the FCA]. (1) Definitions. As used in this clause –
(a) DEI means “diversity, equity, and inclusion.”
(b) DEIA means “diversity, equity, inclusion, and
accessibility.”
(c) Discriminatory equity ideology has the meaning
set forth in Section 2(b) of Executive Order 14190 of
January 29, 2025.
(e) Federal anti-discrimination laws means Federal
civil rights law that protect individual Americans
from discrimination on the basis of race, color, sex,
religion, and national origin.
(2) Grant award certification.
(a) By accepting the grant award, recipients are
certifying that:
(i) They do not, and will not during the term of this
financial assistance award, operate any programs that
advance or promote the following in violation of
Federal anti-discrimination laws: DEI, DEIA, or
discriminatory equity ideology.

Id. at ¶ 609.8
Likewise, HRSA issued updated general terms and conditions applicable to all active awards. The revised HRSA terms and conditions incorporate the 2025 HHS GPS and also contain the following new provision:
8 On July 29, 2025, ACF updated its Standard Terms and Conditions again to remove express references to DEI.

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25 By accepting this award, including the obligation, expenditure, or drawdown of award funds, recipients, whose programs, are covered by Title IX certify as follows:
• Recipient is compliant with Title IX of the Education Amendments of 1972, as amended, 20 U.S.C. §§ 1681 et seq., including the requirements set forth in Presidential Executive Order 14168 titled Defending Women From Gender Ideology Extremism and Restoring Biological Truth to the Federal Government, and Title VI of the Civil Rights Act of 1964, 42 U.S.C. §§ 2000d et seq., and Recipient will remain compliant for the duration of the Agreement. • The above requirements are conditions of payment that go to the essence of the Agreement and are therefore material terms of the Agreement. • Payments under the Agreement are predicated on compliance with the above requirements, and therefore Recipient is not eligible for funding under the Agreement or to retain any funding under the Agreement absent compliance with the above requirements.
• Recipient acknowledges that this certification reflects a change in the government’s position regarding the materiality of the foregoing requirements and therefore any prior payment of similar claims does not reflect the materiality of the foregoing requirements to this Agreement. • Recipient acknowledges that a knowing false statement relating to Recipient’s compliance with the above requirements and/or eligibility for the Agreement may subject Recipient to liability under the False Claims Act, 31 U.S.C. § 3729, and/or criminal liability, including under 18 U.S.C. §§ 287 and 1001.

Dkt. No. 184 at ¶ 611. Plaintiffs allege that SAMHSA and the CDC have also updated their terms to contain funding conditions that require recipients not to promote gender ideology. Id. at ¶¶ 607-08.

Plaintiffs argue that foregoing funding conditions are unconstitutional, violate the APA, exceed statutory authority, and are President Trump’s attempt to coerce grant recipients that rely on federal funds into implementing his political agenda. According to Plaintiffs, withholding “HHS grants from the HHS Plaintiffs would threaten or eliminate critical individual and public health services for millions of residents. Loss of funding could decimate public health budgets Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 18 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 and cause residents, including those most vulnerable, to lose access to meals, medical care, housing and lifesaving social safety net services. Loss of funding could also devastate local public health and child welfare agencies, who may be forced to conduct significant layoffs and operational reductions.” Id. at ¶ 628. Therefore, Plaintiffs request that this Court enjoin HHS and/or its operating agencies from imposing the new funding conditions on the HHS Plaintiffs’ grants.

IV. DISCUSSION
A. Legal Standard
A preliminary injunction is a matter of equitable discretion and is “an extraordinary remedy that may only be awarded upon a clear showing that the plaintiff is entitled to such relief.” Winter v. Nat. Res. Def. Council, Inc., 555 U.S. 7, 22 (2008). “A plaintiff seeking preliminary injunctive relief must establish that [it] is likely to succeed on the merits, that [it] is likely to suffer irreparable harm in the absence of preliminary relief, that the balance of equities tips in [its] favor, and that an injunction is in the public interest.” Id. at 20. Alternatively, an injunction may issue where “the likelihood of success is such that serious questions going to the merits were raised and the balance of hardships tips sharply in [the plaintiff’s] favor,” provided that the plaintiff can also demonstrate the other two Winter factors. All. for the Wild Rockies v.

Cottrell, 632 F.3d 1127, 1131–32 (9th Cir. 2011) (citation and internal quotation marks omitted).

Under either standard, Plaintiffs bear the burden of making a clear showing that they are entitled to this extraordinary remedy. Earth Island Inst. v. Carlton, 626 F.3d 462, 469 (9th Cir. 2010). The most important Winter factor is likelihood of success on the merits. See Disney Enters., Inc. v.

VidAngel, Inc., 869 F.3d 848, 856 (9th Cir. 2017).

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25 B. Plaintiffs’ Claims Are Reviewable under the APA
As they did when they opposed Plaintiffs’ first two motions for a preliminary injunction, Defendants argue that Plaintiffs’ claims are not reviewable by this Court because the actions at issue are committed to the agencies’ discretion. While “the APA establishes a basic presumption of judicial review for one suffering legal wrong because of agency action, that presumption can be rebutted by a showing that . . . the agency action is committed to agency discretion by law.” Dep’t of Homeland Sec. v. Regents of the Univ. of California, 140 S. Ct. 1891, 1905 (2020) (cleaned up); 5 U.S.C. § 701(a)(2). Where that is the case, courts have no authority to review or set aside the agency’s action.

However, as this Court previously concluded, this exception to the “basic presumption of judicial review” does not apply in this case. Agency action is committed to agency discretion only in those “rare instances where statutes are drawn in such broad terms that in a given case there is no law to apply, thereby leaving the court with no meaningful standard against which to judge the agency’s exercise of discretion.” ASSE Int’l, Inc. v. Kerry, 803 F.3d 1059, 1068 (9th Cir. 2015); Texas v. United States, 809 F.3d 134, 168 (5th Cir. 2015), as revised (Nov. 25, 2015). Once again, Defendants have failed to demonstrate that the contested conditions fall within “[t]his limited category of unreviewable actions.” Regents, 140 S. Ct. at 1905 (citing Weyerhaeuser Co. v.

United States Fish and Wildlife Serv., 139 S. Ct. 361, 370 (2018). As before, Defendants rely on Lincoln v. Vigil, 508 U.S. 182 (1993) for the principle that an agency’s decision to cancel a program is unreviewable because how to allocate funds “‘from a lump-sum appropriation’ is an ‘administrative decision traditionally regarded as committed to agency discretion.’” Dkt. No. 334 at 11 (citing 508 U.S. at 192). This Court previously concluded that the agency action in Lincoln Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 20 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 differed materially from the actions at issue in this case, namely that the funds at issue in this case are not appropriate in undifferentiated “lump sums” as they were in Lincoln. Dkt. No. 169 at 28.

Rather, the grants at issue here “abound with specific directives” that provide substantial guidance as to how the agencies’ discretion should be exercised in implementing these programs. Id. at 28-

29. Defendants ignore entirely this Court’s previous conclusion, and the Court once again concludes that Plaintiffs’ claims do not involve the “narrow category” of agency actions that are unreviewable under the APA.

C. Plaintiffs Are Likely to Succeed on the Merits of Their APA Claims The Court has already determined that Defendants’ attempt to impose the challenged funding conditions on the CoC and DOT grants violated the APA. See generally Dkt. No. 169.

Defendants present no argument as to why this conclusion should not apply equally to the New CoC and DOT Plaintiffs; thus, the Court concludes that the New CoC and DOT Plaintiffs are also likely to succeed on the merits of their APA claim and focuses the remainder of its analysis on the Defendants’ actions with respect to the non-CoC HUD and HHS grants.

The APA broadly “sets forth the procedures by which federal agencies are accountable to the public and their actions subject to review by the courts.” Regents, 140 S. Ct. at 1905 (quoting Franklin v. Massachusetts, 505 U.S. 788, 796 (1992)). Under the APA, agencies must “engage in reasoned decisionmaking,” and courts are empowered to “hold unlawful and set aside agency action . . . found to be (A) arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law; (B) contrary to constitutional right; [or] (C) in excess of statutory jurisdiction, authority, or limitations, or short of statutory right.” 5 U.S.C. § 706(2). As stated above, Plaintiffs challenge Defendants’ actions as “contrary to constitutional right” and “in excess Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 21 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 of statutory authority,” and as arbitrary and capricious. See Dkt. No. 184, Counts 5, 6, and 7, ¶¶ 670-703.

1. Defendants’ Actions Violate the APA as Contrary to the Constitution and in Excess of Statutory Authority (Counts 6 & 7)
(a) Separation of Powers Doctrine
Under the APA, a court may set aside an agency action that is “contrary to constitutional right, power, privilege, or immunity” or “in excess of statutory jurisdiction, authority, or limitations, or short of statutory right.” 5 U.S.C. § 706(2)(B), (C). Plaintiffs challenge Defendants’ conditions as both contrary to the Constitution’s Separation of Powers doctrine and in excess of any authority conferred by Congress. Dkt. No. 184 at ¶¶ 690-703. As with this Court’s prior order enjoining Defendants’ actions, because the Separation of Powers doctrine and the APA’s “in excess of statutory authority” standard both turn on the same essential question— whether the agency acted within the bounds of its authority, either as conferred by the Constitution or delegated by Congress—the Court addresses the claims in a single analysis.

The Separation of Powers doctrine recognizes that the “United States Constitution exclusively grants the power of the purse to Congress, not the President.” City & Cnty. of San Francisco v. Trump, 897 F.3d 1225, 1231 (9th Cir. 2018) (citing the Appropriations Clause, U.S.

Const. art. I, § 9, cl. 7 (“No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law.”)). “The [Appropriations] Clause has a ‘fundamental and comprehensive purpose . . . to assure that public funds will be spent according to the letter of the difficult judgments reached by Congress as to the common good and not according to the individual favor of Government agents.’” United States v. McIntosh, 833 F.3d 1163, 1175 (9th Cir. 2016) (quoting Office of Pers. Mgmt. v. Richmond, 496 U.S. 414, 427–28, 2473 (1990)).

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25 In contrast, “[t]here is no provision in the Constitution that authorizes the President to enact, to amend, or to repeal statutes.” Clinton v. City of New York, 524 U.S. 417, 438 (1998). “Aside from the power of veto, the President is without authority to thwart congressional will by canceling appropriations passed by Congress.” San Francisco, 897 F.3d at 1231. Quite the contrary, it is well-established that an executive agency “literally has no power to act . . . unless and until Congress confers power upon it.” La. Pub. Serv. Comm’n v. FCC, 476 U.S. 355, 374 (1986); see California v. Trump, 379 F. Supp. 3d 928, 941 (N.D. Cal. 2019), aff’d, 963 F.3d 926 (9th Cir. 2020). When an agency is charged with administering a statute, “both [its] power to act and how [it is] to act [are] authoritatively prescribed by Congress.” City of Arlington v. FCC, 569 U.S. 290, 297 (2013). “Absent congressional authorization, the Administration may not redistribute or withhold properly appropriated funds in order to effectuate its own policy goals.” San Francisco, 897 F.3d at 1235.

Plaintiffs argue that in attempting to condition disbursement of funds in part on grounds not authorized by Congress, but rather on Executive Branch policy, Defendants are acting in violation of the Separation of Powers principle and “in excess of statutory jurisdiction, authority, or limitations, or short of statutory right.” 5 U.S.C. § 706(2)(B), (C). Plaintiffs argue that the statutes authorizing the grants at issue do not confer on Defendants the kind of authority they are attempting to assert. For the reasons explained below, and in its June 3, 2025 order, the Court agrees.
(b) The Non-CoC HUD Funding Conditions
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25 prohibit DEI or promotion of ‘gender ideology’ or ‘elective abortion’ or require participation in federal immigration enforcement, immigration status verification, or adherence to EOs unrelated to the grant’s purpose.” Dkt. No. 186 at 9. Defendants counter that they do have the authority to impose the challenged conditions, citing to HUD regulations that require “federal agencies [to] incorporate ‘statutory, executive order, other Presidential directive, or regulatory requirements’ into the terms and conditions” of HUD grants. Dkt. No. 334 at 8 citing 2 C.F.R. § 200.211(c)(1)(ii). However, as this Court noted in rejecting this argument the first time Defendants raised it, “an agency regulation cannot create statutory authority; only Congress can do that.” Dkt. No. 169 at 33 (emphasis in original). Defendants must point to a statutory source that confers the authority. Without such a source, the agency action violates the separation of powers principle.

Next Defendants argue that the challenged conditions “merely require grant recipients to agree to comply with existing federal laws, like federal antidiscrimination laws” and “Congress has expressly authorized HUD to require that grantees comply with federal laws.” Dkt. No. 334 at 8 (citing 42 U.S.C. § 5304(b)(6) (“Any [CDBG] grant … shall be made only if the grantee certifies to the satisfaction of the Secretary that … the grantee will comply with the other provisions of this chapter and with other applicable laws.”)). The problem with Defendants’ argument is that they fail to acknowledge the evidence in the record that demonstrates that Defendants interpret federal antidiscrimination laws in a manner that is inconsistent with wellestablished legal precedent. For example, on April 4, 2025, DOT Secretary Duffy issued a letter “To All Recipients of U.S. Department of Transportation Funding” in which he stated that “any policy, program, or activity” that is “designed to achieve so called “diversity, equity, and Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 24 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 inclusion,’ or ‘DEI[]’ goals[] presumptively violates Federal law” even if the policy, program, or activity is “described in neutral terms.” Dkt. No. 6 at 346 (emphasis added). Secretary Duffy’s statement can easily be interpreted to mean that a federal grant recipient that has a “policy” to accommodate individuals with disabilities so that those individuals can participate in an “activity” has “presumptively violate[d] Federal law.” This, of course, is inconsistent with well-established federal precedent that requires entities that receive federal funds to provide reasonable accommodations for qualified individuals with disabilities so that they can participate in their programs. See e.g., U.S. Dept. of Transp. v. Paralyzed Veterans of America, 477 U.S. 597, 604 (1986) (“Section 504 prohibits discrimination against any qualified handicapped individual under ‘any program or activity receiving Federal financial assistance.’”); Muir v. United States Dept. of Homeland Security, 2025 WL 2088450, *6 (D.C. Cir. July 25, 2025) (“Section 504 of the Rehabilitation Act prohibits discrimination against disabled persons by recipients of federal funds.”); Ward v. McDonald, 762 F.3d 24, 28 (D.C. Cir. 2014) (It is a basic tenet of the Rehabilitation Act of 1973 “that the government must take reasonable affirmative steps to accommodate the handicapped, except where undue hardship would result”).

Likewise, on May 19, 2025, U.S. Deputy Attorney General Todd Blanche sent a memorandum to all United States Attorneys, among others, in which he stated that federal fund recipients may run afoul of the False Claims Act if they allow transgender individuals to use bathrooms consistent with their gender identities (i.e., “allow[] men to intrude into women’s bathrooms”). Dkt. No. 65 at 5. Deputy Attorney General Blanche’s statement contradicts the decisions of multiple appellate courts that have held that federal law forbids discrimination based on transgender status. See e.g., Grimm v. Gloucester Cnty. Sch. Bd., 972 F.3d 586, 616–17 (4th Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 25 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 Cir. 2020) (transgender student’s exclusion from bathroom constituted Title IX discrimination); A.C. by M.C. v. Metro. Sch. Dist. of Martinsville, 75 F.4th 760, 769 (7th Cir. 2023) (“[D]iscrimination against transgender persons is sex discrimination for Title IX purposes . . . .”).

And as recently as July 29, 2025, U.S. Attorney General Pam Bondi issued a memorandum titled “Guidance for Recipients of Federal Funds regarding Unlawful Discrimination” in which she purports to “clarif[y] the application of federal antidiscrimination laws to programs or initiatives that may involve discriminatory practices, including those labeled as Diversity, Equity, and Inclusion (“DEI”) programs.” Dkt. No. 331, Ex. A at 1. Among other “clarifications”, Attorney General Bondi states that the use of “[f]acially neutral criteria (e.g., ‘cultural competence,’ ‘lived experience,’ geographic targeting) that function as proxies for protected characteristics violate federal law if designed or applied with the intention of advantaging or disadvantaging individuals based on protected characteristics.” Id. at 2. This “clarification,” however, is inconsistent with Supreme Court precedent that has “consistently declined to find constitutionally suspect” the adoption of race-neutral criteria “out of a desire . . . to improve racial diversity and inclusion”—even where the decision-maker was “well aware” the race-neutral criteria “correlated with race.” Coal. for TJ v. Fairfax Cnty. Sch. Bd., 68 F.4th 864, 885–86 (4th Cir. 2023) (internal quotation marks and citation omitted) (citing, inter alia, Tex.

Dep’t of Hous. & Cmty. Affs. v. Inclusive Cmtys. Project, Inc., 576 U.S. 519, 545 (2015). Nor does Supreme Court precedent prohibit the use of diversity statements for the purpose of advancing racial diversity goals; to the contrary, in Students for Fair Admissions, Inc. v.

President & Fellows of Harvard College, the Court described these goals as “commendable” and “worthy” (though insufficient to justify race-based admissions). 600 U.S. 181, 214-15, 230 Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 26 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 (2023) (“[N]othing in this opinion should be construed as prohibiting universities from considering an applicant’s discussion of how race affected his or her life, be it through discrimination, inspiration, or otherwise.”); United States v. Skrmetti, 145 S. Ct. 1816, 1854 (2025) (Thomas, J., concurring) (suggesting strict scrutiny does not apply to “a university’s decision to credit ‘an applicant’s discussion of how race affected his or her life’” simply because it is “inextricably bound up with” the applicant’s race) (cleaned up).

The above demonstrates that Plaintiffs are at the mercy of Defendants’ interpretation of federal antidiscrimination laws, regardless of how those laws are interpreted by the courts.

Indeed, this has already played out in this case where HUD recently informed King County that it was rejecting King County’s CDBG Consolidated Plan submission for Program Year 2025 because HUD “is questioning the accuracy of King County’s … certification that the [CDBG] funds described in [the plan] will be administered in conformity with applicable laws, including Executive Orders.” Dkt. No. 223 at 5-6. Among other reasons HUD expressed concern was King County’s use of words such as “equity,” “migrant,” and “immigrant” throughout the plan. Id. at 6-8. In order to assuage HUD’s concerns, King County was instructed to replace “all ‘equity’ references” throughout the plan with “activities and actions that do not violate any applicable Federal anti-discrimination laws, including Title VI of the Civil Rights Act of 1964” and to replace all references to “migrant” and “immigrant” with “legal/documented migrant/immigrant.” Id. at 8. However, as Plaintiffs aptly point out, “[n]o case law … suggests that using words like ‘equity’ or ‘migrant’ violates any law.” dkt. no. 335 at 3, thus refuting Defendants’ claim that the challenged funding requirements “merely require grant recipients to Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 27 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 agree to comply with existing federal laws, like federal antidiscrimination laws,” dkt. no. 334 at

8.9 Moreover, Defendants’ ability to impose the challenged conditions on the non-CoC HUD grants is further constrained by 42 U.S.C. § 12711, which prohibits HUD from “denying funds made available under [HUD] programs . . . based on the adoption, continuation, or discontinuation” of any lawful local policies. Stated differently, “HUD may not … condition funding on changes to local policies.” Cnty. of Westchester v. U.S. Dep’t of Housing and Urban Dev., 802 F.3d 413, 433 (2d Cir. 2015) (emphasis in original). Yet that is exactly what Defendants attempt to do here; they are leveraging the Non-CoC HUD Plaintiffs’ dependence on federal funding to coerce them into replacing their own local policies with the Trump Administration’s political agenda.
9 Nor are the new funding conditions authorized by PRWORA or the Hyde Amendment as Defendants claim. The challenged funding conditions purport to require non-CoC HUD Plaintiffs to “use SAVE, or an equivalent verification system approved by the Federal government, to prevent any Federal public benefit from being provided to an ineligible alien who entered the United States illegally or is otherwise unlawfully present in the United States.” Dkt. No. 184 at ¶¶ 492, 517. While PRWORA does provide that noncitizens without qualifying immigration status are ineligible for certain “Federal public benefit[s],” 8 U.S.C. § 1611(a), it does not require grant recipients to verify eligibility until the U.S. Attorney General has promulgated regulations implementing a verification requirement. See id. § 1642(a); § 1642(b) (“Not later than 24 months after the date the regulations described in subsection (a) are adopted, a State that administers a program that provides a Federal public benefit shall have in effect a verification system that complies with the regulations.”). The Attorney General is yet to promulgate a final regulation implementing a verification requirement. See Interim Guidance on Verification of Citizenship, Qualified Alien Status and Eligibility Under Title IV of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, 62 Fed. Reg. 61344 (Nov. 17, 1997); Verification of Eligibility for Public Benefits, 63 Fed. Reg. 41662 (Aug. 4, 1998) (proposed rule). By requiring grant recipients to verify eligibility by using SAVE (or an equivalent system) without the benefit of implementing regulations and/or the two-year ramp-up period, Defendants are attempting to rewrite PRWORA, not implement it.

The Hyde Amendment also does not authorize the challenged funding condition that requires the Non-CoC HUD Plaintiffs to certify that no grant funds will be used “to promote elective abortions.” Dkt. No. 1854 at ¶¶ 494, 520.

The Hyde Amendment bars use of federal funds to pay for or to require a person to facilitate an abortion; it does not prohibit federally funded programs from promoting elective abortions, which could be read to include providing program participants with information about lawful abortions. Pub. L. 118-42, §§ 202–03, 138 Stat. 153.

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25 Lastly, the challenged funding conditions conflict with statutory provisions authorizing the HUD grant programs. Far from barring diversity-related “inclusion,” Congress requires consideration of diversity when allocating HUD funds. For instance, the HUD Secretary is required to set aside CDBG funds for “[s]pecial purpose grants,” including grants to “historically Black colleges.” 42 U.S.C. § 5307(b)(2); see also id. § 5307(c) (requiring CDBG funds be allocated to provide “assistance to economically disadvantaged and minority students”). And in authorizing the HOME and HOPWA programs, Congress acted to “improve housing opportunities for all residents of the United States, particularly members of disadvantaged minorities, on a nondiscriminatory basis.” 42 U.S.C. § 12702(3). Congress also requires HOME recipients “to establish and oversee a minority outreach program . . . to ensure the inclusion, to the maximum extent possible, of minorities and women, and entities owned by minorities and women . . . in all contracts[] entered into by the participating jurisdiction.” 42 U.S.C. § 12831(a).

Based on the foregoing, the Court concludes that the Non-CoC HUD Plaintiffs are likely to prevail on their claim that in attempting to impose the challenged funding conditions on the recipients of non-CoC funds, Defendants have run afoul of the Separation of Powers doctrine, and are acting in excess of statutory authority, and that under the APA, those conditions must be set aside.
(c) The HHS Grants Funding Conditions
Defendants’ attempts to identify statutory authority for imposing the contested conditions on the HHS grants suffer from similar deficiencies. As an initial matter, Defendants once again rely on agency regulations for the authority to impose the conditions, but as noted above, agency regulations are not the equivalent of statutory authority, and HHS’ attempt to rely on them also Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 29 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 fails. Nor does Defendants’ reliance on generic statutory provisions authorizing the HHS Secretary to prescribe the “form and manner” for grant applications and the “information” it must “contain” fair any better. Dkt. No. 335 at 6 (citing 42 U.S.C. §§ 254b(k)(1), 300ff-15(a), (b), 290ee-1(b)(1)(B)). These provisions only encompass prescriptions as to form, manner, and information, and Defendants’ claim that such ministerial provision authorize wide-ranging substantive conditions on hotly debated policy choices runs afoul of the well-established principle that “Congress … does not alter the fundamental details of a regulatory scheme in vague terms or ancillary provisions—it does not, one might say, hide elephants in mouseholes.” Whitman v. Am. Trucking Ass’ns, 531 U.S. 457, 468 (2001).

Defendants also invoke Title IX of the Education Amendments Act of 1972, which prohibits sex discrimination by federal education funding recipients, as authority for requiring HHS grant recipients to comply with Presidential Executive Order 14168 “Defending Women From Gender Ideology Extremism and Restoring Biological Truth to the Federal Government.” This Executive Order mandates that “[f]ederal funds shall not be used to promote gender ideology” and requires grant recipients to “recognize two sexes, male and female” and that “[t]hese sexes are not changeable and are grounded in fundamental and incontrovertible reality.” But nothing in Title IX mandates such understandings. To the contrary, as cited above courts have concluded that failure to recognize an individual’s transgender status constituted discrimination under Title IX. See e.g., Grimm v. Gloucester Cnty. Sch. Bd., 972 F.3d 586, 616– 17 (4th Cir. 2020) (transgender student’s exclusion from bathroom constituted Title IX discrimination); A.C. by M.C. v. Metro. Sch. Dist. of Martinsville, 75 F.4th 760, 769 (7th Cir. 2023) (“[D]iscrimination against transgender persons is sex discrimination for Title IX purposes Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 30 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 . . . .”). As such, far from enforcing Title IX, Defendants seek to graft new requirements into the statute.

Accordingly, the Court concludes that the HHS Plaintiffs are likely to prevail on their claim that in attempting to impose the conditions in the 2025 HHS GPS and the various operating agencies and divisions’ terms and conditions, Defendants have acted in a manner that violates the Separation of Powers doctrine and exceeds statutory authority, and that under the APA those conditions must be set aside.

2. Defendants’ Actions Were “Arbitrary and Capricious,” 5 U.S.C. § 702(2)(A) (Count 5)
Plaintiffs also assert that the challenged conditions must be set aside as “arbitrary” and “capricious.” 5 U.S.C. § 706(2)(A); Dkt. No. 184 at ¶¶ 671-688. The APA requires agencies to engage in “reasoned decisionmaking,” and their actions must be “reasonable and reasonably explained.” Michigan v. EPA, 576 U.S. 743, 750 (2015); Ohio v. EPA, 603 U.S. 279, 292 (2024) (cleaned up). An agency must offer “a satisfactory explanation for its action,” and cannot rely on “factors which Congress has not intended it to consider.” Motor Vehicle Mfrs. Ass’n of U.S., Inc. v. State Farm Mut. Auto. Ins. Co., 463 U.S. 29, 43 (1983). Plaintiffs maintain that Defendants have not followed these prescriptions and have failed to provide reasonable explanations for any of the challenged funding conditions.

Defendants do not dispute that they have not offered contemporary, reasoned explanations for the imposition of the challenged funding conditions; rather, they argue that they are not required to do so because the conditions are not subject to notice-and-comment rulemaking. Defendants are mistaken. “The APA, by its terms, provides a right to judicial review of all ‘final agency action for which there is no other adequate remedy in a court,’” Bennett v.

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25 Spear, 520 U.S. 154, 175 (1997) (quoting 5 U.S.C. § 704), whether or not that action is subject to notice-and-comment rulemaking. See Cal. Communities Against Toxics v. EPA, 934 F.3d 627, 635–36 (D.C. Cir. 2019). Defendants do not contest that the challenged funding conditions are final agency actions. As such, each agency must have “reasonably considered the relevant issues and reasonably explained its decision” to impose the challenged conditions. Barton v. Off. of Navajo, 125 F.4th 978, 982 (9th Cir. 2025) (cleaned up).

At most, the Defendants rely on reference to the Trump Administration’s executive orders to justify the imposition of the challenged funding conditions, but as this Court previously stated “rote incorporation of executive orders—especially ones involving politically charged policy matters that are the subject of intense disagreement and bear no substantive relations to the agency’s underlying action—does not constitute ‘reasoned decisionmaking.’” Dkt. No. 169 at

38. Thus, the Court concludes that Plaintiffs are likely to succeed on the merit of their claim that Defendants’ imposition of the challenged funding conditions is arbitrary and capricious, which is an independent ground for setting aide those conditions.10 10 Plaintiffs have asserted several other claims both under the APA and under the Constitution. See Dkt. No. 184 at ¶¶ 630-669, 704-724. The Court does not reach these claims at this stage, in part because “[t]he Court need only find that Plaintiffs are likely to succeed on one of [their] claims for [the likelihood-of-success] factor to weigh in favor of a preliminary injunction,” and a ruling on Plaintiffs’ additional claims would not affect the relief afforded. Aids Vaccine Advoc. Coal. v. United States Dep’t of State, No. CV 25-00400 (AHA), 2025 WL 752378, at *7 (D.D.C.

Mar. 10, 2025). Furthermore, the Court adheres to the “fundamental and longstanding principle of judicial restraint” that requires courts to “avoid reaching constitutional questions in advance of the necessity of deciding them.” Al Otro Lado v. Exec. Off. for Immigr. Rev., No. 22-55988, 2024 WL 5692756, at *14 (9th Cir. May 14, 2025) (vacating district court’s “entry of judgment for Plaintiffs on the constitutional due process claim” where judgment was granted in Plaintiffs’ favor on APA claim) (citing Lyng v. Nw. Indian Cemetery Protective Ass’n, 485 U.S. 439, 445 (1988)); see also Washington v. Trump, 441 F. Supp. 3d 1101, 1125 (W.D. Wash. 2020) (“[A] court should not reach a constitutional question if there is some other ground upon which to dispose of the case. Given that this Court has already determined that Defendants’ [action] violates the APA and, therefore, can dispose of the case on that basis, the Court exercises restraint and declines to reach the constitutional claims raised by Washington.”) (cleaned up, citing Nw. Austin Mun. Util. Dist. No. One v. Holder, 557 U.S. 193, 205 (2009); Harmon v. Brucker, 355 U.S. 579, 581 (1958)). Because Plaintiffs are likely to prevail on Counts 5, 6 and 7 of their Second Amended Complaint—that the challenged actions were arbitrary and capricious, contrary to the constitutional Separation of Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 32 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 D. Irreparable Injury
A plaintiff seeking a preliminary injunction must establish that it is likely to suffer irreparable harm in the absence of preliminary relief. Winter, 555 U.S. at 20. Such harm “is traditionally defined as harm for which there is no adequate legal remedy, such as an award of damages.” Arizona Dream Act Coal. v. Brewer, 757 F.3d 1053, 1068 (9th Cir. 2014) (citing Rent–A–Ctr., Inc. v. Canyon Television & Appliance Rental, Inc., 944 F.2d 597, 603 (9th Cir.1991)).

The Court addressed this issue when previously granting preliminary relief, stating:

Plaintiffs allege several forms of irreparable harm that are either presently occurring, or are likely to occur, in the absence of injunctive relief. They are facing a choice between two untenable options; as this Court has already determined, ‘Defendants have put Plaintiffs in the position of having to choose between accepting conditions that they believe are unconstitutional and risking the loss of hundreds of millions of dollars in federal grant funding, including funding that they have already budgeted and are committed to spending.’ On the one hand, being forced to accept conditions that are contrary either to statute or to the Constitution (or both) is a constitutional injury, and constitutional injuries are ‘unquestionably’ irreparable. Hernandez v. Sessions, 872 F.3d 976, 994 (9th Cir. 2017).

On the other hand, avoiding the constitutional offense by refusing to agree to the new funding conditions may very well result in the loss of access to promised grant funds. And indeed, Defendants have not denied that Plaintiffs would be assuming this risk by not signing the agreements. They merely complain that Plaintiffs have not provided details as to when exactly that loss will occur. But this argument misses the point. It is this looming risk itself that is the injury, and one that Plaintiffs are already suffering. Courts evaluating similar circumstances have recognized that this injury of acute budgetary uncertainty is irreparable; ‘[w]ithout clarification regarding the Order’s scope or legality, the Counties will be obligated to take steps to mitigate the risk of losing millions of dollars in federal funding, which will include placing funds in reserve and making cuts to services. These mitigating steps will cause the Counties irreparable harm.’ Santa Clara v. Trump, 250 F. Supp. 3d 497, 537 (N.D. Cal. 2017). While a preliminary injunction will not eliminate these risks entirely, Plaintiffs have demonstrated it will at least mitigate them pending Powers doctrine, and in excess of Defendants’ statutory authority, and must therefore be set aside under the APA— the Court’s inquiry into the likelihood-of-success factor is at an end.

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25 resolution of this case on its merits.

Furthermore, Plaintiffs have submitted substantive and detailed evidence illustrating the ways in which a loss of grant funds would be devastating and irreparable if these risks in fact materialize. . . . . The administration’s attempt to compel Plaintiffs’ compliance with unrelated policy objectives by leveraging the needs of our most vulnerable fellow human beings is breathtaking in its callousness.

Defendants’ argument that these harms are not irreparable is simply wrong.

Dkt. No. 169 at 39-42 (some internal citations omitted).

Plaintiffs have once again provided comprehensive evidence (in the form of nearly 100 declarations from local government and agency administrators, see dkt. nos. 187-282) demonstrating that should the loss of the grant funds come to pass, the resulting harm would be severe and irreparable. In addition, Plaintiffs have provided substantial evidence demonstrating that this harm is not, as Defendants suggest, merely monetary in nature. Adequate financial compensation for the destabilization of immediate and future budgets, reductions in workforce, hundreds of shelter-unstable families losing access to housing, loss of access to health care services to vulnerable populations, and the termination of transportation projects simply does not exist. Therefore, the Court concludes that the harms Plaintiffs have alleged are quintessentially irreparable in nature and can be avoided only by entry of the requested injunction.

E. The Balance of Equities and Public Interest Favor Plaintiffs In deciding whether to grant an injunction, “courts must balance the competing claims of injury and must consider the effect on each party of the granting or withholding of the requested relief.” Disney Enters, 869 F.3d at 866 (quoting Winter, 555 U.S. at 24). Courts “explore the relative harms to applicant and respondent, as well as the interests of the public at large.” Barnes v. E-Sys., Inc. Grp. Hosp. Med. & Surgical Ins. Plan, 501 U.S. 1301, 1305 (1991) (internal quotation marks and citation omitted). Where the government is a party, the balance of equities Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 34 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 and public interest factors merge. Drakes Bay Oyster Co. v. Jewell, 747 F.3d 1073, 1092 (9th Cir. 2014) (citing Nken v. Holder, 556 U.S. 418, 435 (2009)).

Defendants once again argue that the balance of equities and the public interest favor Defendants because “[en]suring compliance with federal laws is assuredly in the public interest.” Dkt. No. 334 at 14. But as discussed supra, the contested funding conditions are not congressionally authorized, nor do they merely seek compliance with federal law. Defendants do not have a legitimate interest in ensuring that funds are spent pursuant to conditions that were likely imposed in violation of the APA and/or the Constitution. See Valle del Sol Inc. v. Whiting, 732 F.3d 1006, 1029 (9th Cir. 2013) (there is no legitimate government interest in violating federal law). Defendants also contend that “Plaintiffs could be compensated for any lost money after a ruling on the merits” in this case. Dkt. No. 334 at 14. The Court has already rejected the notion that Plaintiffs could be adequately compensated for the devastation that would result from the loss of the federal funding. Thus, for the reasons outlined above, the irreparable harms Plaintiffs face in the absence of an injunction tip the balance of equities sharply in their favor.

F. The Court Denies Defendants’ Request for a Bond and Request to Stay Defendants request that if this Court issues an injunction, it be stayed pending any appeal and further requests that this Court require Plaintiffs to post a bond for the value of the specific grants subject to the injunction pursuant to Fed. R. Civ. P. 65(c). The Court denies both requests.

Defendants have not met the standard for a stay. See, e.g., Maryland v. Dep’t of Agriculture, JKB25-0748, 2025 WL 800216, at *26 (D. Md. Mar. 13, 2025) (“It is generally logically inconsistent for a court to issue a TRO or preliminary injunction and then stay that order, as the findings on which those decisions are premised are almost perfect opposites.”). Nor have Defendants argued, Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 35 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 let alone demonstrated, that they will suffer any material harm from the injunction the Court issues today. “Despite the seemingly mandatory language, Rule 65(c) invests the district court with discretion as to the amount of security required, if any.” Johnson v. Couturier, 572 F.3d 1067, 1086 (9th Cir. 2009) (citations and internal quotation marks omitted). “In particular, the district court may dispense with the filing of a bond when it concludes there is no realistic likelihood of harm to the defendant from enjoining his or her conduct.” Id. (cleaned up).

V. CONCLUSION
For the foregoing reasons,

1. Plaintiffs’ Third Motion for Preliminary Injunction is GRANTED;

2. HUD and its officers, agents, servants, employees, and attorneys, and any other persons who are in active concert or participation with them (collectively “Enjoined HUD CoC Parties”), are enjoined from (1) imposing or enforcing the CoC Grant Conditions, as defined in the Appendix II to this Order, or any materially similar terms or conditions at any stage of the grantmaking process, including but not limited to in new grant applications, notices of funding availability or opportunity, certifications, grant agreements, or post-award submissions, with respect to any CoC funds awarded to the New CoC Plaintiffs or members of their Continuums; (2) as to the New CoC Plaintiffs or members of their Continuums, rescinding, withholding, cancelling, or otherwise not processing any CoC Agreements, or pausing, freezing, impeding, blocking, cancelling, terminating, delaying, withholding, or conditioning CoC funds, based on such terms or conditions, including without limitation failing or refusing to process and otherwise implement grants signed with changes or other objections to conditions enjoined by this preliminary injunction; (3) requiring the New CoC Plaintiffs or members of their Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 36 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 Continuums to make any “certification” or other representation related to compliance with such terms or conditions; or (4) refusing to issue, process, or sign CoC Agreements based on New CoC Plaintiffs’ participation in this lawsuit;

3. The Enjoined HUD CoC Parties shall immediately treat any actions taken to implement or enforce the CoC Grant Conditions or any materially similar terms or conditions as to the New CoC Plaintiffs or their Continuums, including but not limited to any delays or withholding of funds based on such conditions, as null, void, and rescinded; while this preliminary injunction is in effect, shall treat as null and void any such conditions included in any grant agreement executed by any New CoC Plaintiff or member of a New CoC Plaintiff’s Continuum; and may not retroactively apply such conditions to grant agreements during the effective period of this preliminary injunction. The Enjoined HUD CoC Parties shall immediately take every step necessary to effectuate this order, including without limitation clearing any administrative, operational, or technical hurdles to implementation;

4. HUD, all of the HUD program offices, and their officers, agents, servants, employees, and attorneys, and any other persons who are in active concert or participation with them (collectively “Enjoined HUD Parties”), are enjoined from (1) imposing or enforcing the Non-CoC HUD Grant Conditions, as defined in the Appendix II to this Order, or any materially similar terms or conditions at any stage of the grant-making process, including but not limited to in new grant applications, notices of funding availability or opportunity, certifications, grant agreements, or post-award submissions, with respect to any non-CoC HUD funds awarded to the Non-CoC HUD Plaintiffs, their consortia, or their subrecipients; (2) as to the Non-CoC HUD Plaintiffs, their consortia, or their subrecipients, rescinding, withholding, cancelling, or otherwise Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 37 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 not processing any non-CoC HUD awards, or pausing, freezing, impeding, blocking, cancelling, terminating, delaying, withholding, or conditioning non-CoC HUD funds, based on such terms or conditions, including without limitation failing or refusing to process and otherwise implement grants signed with changes or other objections to conditions enjoined by this preliminary injunction; (3) requiring the Non-CoC HUD Plaintiffs, their consortia, or their subrecipients to make any “certification” or other representation related to compliance with such terms or conditions; or (4) refusing to issue, process, or sign grant agreements based on the Non-CoC HUD Plaintiffs’ participation in this lawsuit;

5. The Enjoined HUD Parties shall immediately treat any actions taken to implement or enforce the Non-CoC HUD Grant Conditions or any materially similar terms or conditions as to the Non-CoC HUD Plaintiffs, their consortia, or their subrecipients, including but not limited to any delays or withholding of funds based on such conditions, as null, void, and rescinded; while this preliminary injunction is in effect, shall treat as null and void any such conditions included in any grant agreement executed by any Non-CoC HUD Plaintiff, a member of its consortium, or its subrecipient; and may not retroactively apply such conditions to grant agreements during the effective period of this preliminary injunction. The Enjoined HUD Parties shall immediately take every step necessary to effectuate this order, including without limitation clearing any administrative, operational, or technical hurdles to implementation;

6. DOT, all of the DOT operating agencies, and their officers, agents, servants, employees, and attorneys, and any other persons who are in active concert or participation with them (collectively “Enjoined DOT Parties”), are enjoined from (1) imposing or enforcing the DOT Grant Conditions, as defined in the Appendix II to this Order, or any materially similar Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 38 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 terms or conditions at any stage of the grant-making process, including but not limited to in new grant applications, notices of funding availability or opportunity, certifications, grant agreements, or post-award submissions, as to any DOT funds awarded, directly or indirectly, to the New DOT Plaintiffs or their subrecipients; (2) as to the New DOT Plaintiffs or their subrecipients, rescinding, withholding, cancelling, or otherwise not processing the DOT grant awards, or pausing, freezing, impeding, blocking, canceling, terminating, delaying, withholding, or conditioning DOT funds, based on such terms or conditions, including without limitation failing or refusing to process and otherwise implement grants signed with changes or other objections to conditions enjoined by this preliminary injunction; (3) requiring the New DOT Plaintiffs or their subrecipients to make any “certification” or other representation related to compliance with such terms or conditions; or (4) refusing to issue, process, or sign grant agreements based on New DOT Plaintiffs’ participation in this lawsuit;

7. The Enjoined DOT Parties shall immediately treat any actions taken to implement or enforce the DOT Grant Conditions or any materially similar terms or conditions as to DOT funds awarded, directly or indirectly, to the New DOT Plaintiffs or their subrecipients, including but not limited to any delays or withholding of funds based on such conditions, as null, void, and rescinded; while this preliminary injunction is in effect, shall treat as null and void any such conditions included in any grant agreement executed by any New DOT Plaintiff or its subrecipient; and may not retroactively apply such conditions to grant agreements during the effective period of this preliminary injunction. The Enjoined DOT Parties shall immediately take every step necessary to effectuate this order, including without limitation clearing any administrative, operational, or technical hurdles to implementation; Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 39 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 8. HHS, all of the HHS operating divisions and agencies, and their officers, agents, servants, employees, and attorneys, and any other persons who are in active concert or participation with them (collectively “Enjoined HHS Parties”), are enjoined from (1) imposing or enforcing the HHS Grant Conditions, as defined in the Appendix II to this Order, or any materially similar terms or conditions at any stage of the grant-making process, including but not limited to in new grant applications, notices of funding availability or opportunity, certifications, grant agreements, or post-award submissions, as to any HHS funds awarded, directly or indirectly, to the HHS Plaintiffs or their subrecipients; (2) as to the HHS Plaintiffs or their subrecipients, rescinding, withholding, cancelling, or otherwise not processing HHS grant awards, or pausing, freezing, impeding, blocking, canceling, terminating, delaying, withholding, or conditioning HHS funds, based on such terms or conditions, including without limitation failing or refusing to process and otherwise implement grants signed with changes or other objections to conditions enjoined by this preliminary injunction; (3) requiring the HHS Plaintiffs or their subrecipients to make any “certification” or other representation related to compliance with such terms or conditions; or (4) refusing to issue, process, or sign grant agreements based on HHS Plaintiffs’ participation in this lawsuit;

9. The Enjoined HHS Parties shall immediately treat any actions taken to implement or enforce the HHS Grant Conditions or any materially similar terms or conditions as to HHS funds awarded, directly or indirectly, to the HHS Plaintiffs or their subrecipients, including but not limited to any delays or withholding of funds based on such conditions, as null, void, and rescinded; while this preliminary injunction is in effect, shall treat as null and void any such conditions included in any grant agreement executed by any HHS Plaintiff or its subrecipient; Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 40 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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25 Barbara Jacobs Rothstein
U.S. District Court Judge
and may not retroactively apply such conditions to grant agreements during the effective period of this preliminary injunction. The Enjoined HHS Parties shall immediately take every step necessary to effectuate this order, including without limitation clearing any administrative, operational, or technical hurdles to implementation;

10. Defendants’ counsel shall provide written notice of this Order to all Defendants and their employees by the end of business on the second day after issuance of this Order;

11. By the end of business on the second day after issuance of this Order, the Defendants SHALL FILE on the Court’s electronic docket and serve upon Plaintiffs a Status Report documenting the actions that they have taken to comply with this Order, including a copy of the foregoing notice (paragraph 10 above) and an explanation as to whom the notice was sent;

12. This order shall remain in effect pending further orders from this Court.

Dated this 12th day of August 2025.

A
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25 APPENDIX I
A. Complaint filed May 2, 2025

1. Plaintiffs
a. CoC Plaintiffs11
King County, Pierce County, Snohomish County, City and County of San Francisco, Santa Clara County, Boston, Columbus, and New York City.
b. DOT Plaintiff
King County

2. Defendants
United States Department of Housing and Urban Development (“HUD”), Department of Transportation (“DOT”), and the Federal Transit Administration (“FTA”), as well as the agencies’ heads in their official capacities (Scott Turner in his official capacity as Secretary of HUD, Sean Duffy in his official capacity as Secretary of DOT, and Matthew Welbes in his official capacity as acting Director of the FTA).

B. First Amended Complaint filed May 21, 2025

1. Plaintiffs added:
a. Added CoC Plaintiffs
Metropolitan Government of Nashville & Davidson County (“Nashville”), Pima County, Cambridge, San Jose, Pasadena, Tucson, King County Regional Homelessness Authority located in King County, Washington (“King County RHA”), Santa Monica Housing Authority, California (“Santa Monica HA”)
b. Added DOT Plaintiffs
Denver, Nashville, Pima County, Sonoma County, Bend, Chicago, Culver City, Minneapolis, Pittsburgh, San Jose, Santa Monica, Tucson, Wilsonville, Central Puget Sound Regional Transit Authority located in King, Pierce, and Snohomish Counties, Washington (“CPSRTA”), Intercity Transit located in Thurston County, Washington (“Intercity Transit”), Port 11 A Plaintiff may be included in more than one Plaintiff Group.

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25 of Seattle, San Francisco County Transportation Authority, located in the City and County of San Francisco, California (“SFCTA”), and Treasure Island Mobility Management Agency located in Treasure Island and Yerba Buena Island, California (“TIMMA”)

2. Defendants added
Federal Highway Administration (“FHWA”), the Federal Aviation Administration (“FAA”), the Federal Railroad Administration (“FRA”), and component heads in their official capacities (Tariq Bokhari as the acting Administrator of FTA,12 Gloria M. Shepard as the acting Director of FHWA, Chris Rocheleau as acting Administrator of FAA, and Drew Feeley as acting Administrator of FRA).

C. Second Amended Complaint filed July 10, 2025

1. Plaintiffs Added 13
a. CoC Plaintiffs
Alameda County, Albuquerque, Baltimore, Columbus, Dane County, Hennepin County, Milwaukee, Multnomah County, Oakland, Petaluma, Ramsey County, San Mateo County, and Sonoma County.
b. DOT Plaintiffs
Alameda County, Albuquerque, Baltimore, Bellevue, Bellingham, Bremerton, Cambridge, Dane County, Eugene, Healdsburg, Hennepin County, Kitsap County, Los Angeles, Milwaukee, Milwaukee County, Multnomah County, Oakland, Pacifica, Pasadena, Petaluma, PSRC, Ramsey County, Rochester, Rohnert Park, San Diego, San Mateo County, Santa Rosa, SCTA, and Watsonville.
c. Non-CoC HUD Plaintiffs
King County, Pierce County, Snohomish County, Boston, Columbus, San Francisco, Santa Clara, NYC, Bend Cambridge, Chicago, Culver City, Minneapolis, Nashville, Pasadena, Pima County, Pittsburgh, Portland, San Jose, Santa Monica, Tucson, King County RHA, Santa Monica HA, Alameda County, Albuquerque, Baltimore, Bellevue, Bellingham, Bremerton, Dane County, Eugene, Hennepin County, Kitsap County, Los Angeles, Milwaukee, Multnomah County, Oakland, 12 Replacing Matthew Welbes in his official capacity as acting Director of the FTA. 13 Some of these are new Plaintiffs; some are previous Plaintiffs but with new claims.

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d. HHS Plaintiffs
Alameda County, Baltimore, Boston, Cambridge, Chicago, Columbus, Dane County, Denver, Eugene, Hennepin County, King County, Milwaukee, Minneapolis, Multnomah County, NYC, Oakland, Pacifica, Pierce County, Pima County, Ramsey County, Rochester, San Francisco, Santa Clara, San Mateo County, Snohomish County, and Wilsonville.

2. Defendants added
HHS and its agencies, including the Administration for Children and Families (“ACF”), Health Resources and Services Administration (“HRSA”), National Institutes of Health (“NIH”), Substance Abuse and Mental Health Services Administration (“SAMHSA”), and the Centers for Disease Control and Prevention (“CDC”), as well as Robert F. Kennedy in his official capacity as the Secretary of HHS.

APPENDIX II
The “CoC Grant Conditions” enjoined by this Order are the following terms and conditions:
– The recipient or applicant shall not use grant funds to promote “gender ideology,” as defined in Executive Order 14168, Defending Women from Gender Ideology Extremism and Restoring Biological Truth to the Federal Government;
– The recipient or applicant agrees that its compliance in all respects with all applicable Federal antidiscrimination laws is material to the U.S. Government’s payment decisions for purposes of section 3729(b)(4) of title 31, United States Code;
– The recipient or applicant certifies that it does not operate any programs that violate any applicable Federal anti-discrimination laws, including Title VI of the Civil Rights Act of 1964; – The recipient or applicant shall not use any Grant Funds to fund or promote elective abortions, as required by Executive Order 14182, Enforcing the Hyde Amendment;
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25 – The recipient or applicant must administer its grant in accordance with all applicable immigration restrictions and requirements, including the eligibility and verification requirements that apply under title IV of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, as amended (8 U.S.C. 1601-1646) (“PRWORA”) and any applicable requirements that HUD, the Attorney General, or the U.S. Center for Immigration Services [sic] may establish from time to time to comply with PRWORA,
Executive Order 14218, or other Executive Orders or immigration laws;
– No state or unit of general local government that receives funding under this grant may use that funding in a manner that by design or effect facilitates the subsidization or promotion of illegal immigration or abets policies that seek to shield illegal aliens from deportation;
– Subject to the exceptions provided by PRWORA, the recipient or applicant must use SAVE, or an equivalent verification system approved by the Federal government, to prevent any Federal public benefit from being provided to an ineligible alien who entered the United States illegally or is otherwise unlawfully present in the United States;
– The recipient or applicant agrees that use of Grant Funds and its operation of projects assisted with Grant Funds are governed by all Executive Orders.

The “Non-CoC HUD Grant Conditions” enjoined by this Order are the following terms and conditions:
– The recipient or applicant will not use Federal funding to promote diversity, equity, and inclusion (“DEI”) mandates, policies, programs, or activities that violate any applicable Federal antidiscrimination laws;
– The recipient or applicant shall not use grant funds to promote “gender ideology,” as defined in Executive Order 14168, Defending Women from Gender Ideology Extremism and Restoring Biological Truth to the Federal Government;
– The recipient or applicant agrees that its compliance in all respects with all applicable Federal anti-discrimination laws is material to the Case 2:25-cv-00814-BJR Document 338 Filed 08/12/25 Page 45 of 50 6.6 Attachment 4 - King County PIaintiff Injunction Order
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– The recipient or applicant certifies that it does not operate any programs that violate any applicable Federal antidiscrimination laws, including Title VI of the Civil Rights Act of 1964; – The recipient or applicant shall not use any grant funds to fund or promote elective abortions, as required by Executive Order 14182, Enforcing the Hyde Amendment;
– The recipient or applicant must administer its grant in accordance with all applicable immigration restrictions and requirements, including the eligibility and verification requirements that apply under title IV of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, as amended (8 U.S.C. 1601-1646) (“PRWORA”) and any applicable requirements that HUD, the Attorney General, or the U.S. Citizenship and Immigration Services may establish from time to time to comply with PRWORA,
Executive Order 14218, or other Executive Orders or immigration laws;
– If applicable, no state or unit of general local government that receives or applies for funding under this grant may use that funding in a manner that by design or effect facilitates the subsidization or promotion of illegal immigration or abets policies that seek to shield illegal aliens from deportation;
– Unless excepted by PRWORA, the recipient or applicant must use SAVE, or an equivalent verification system approved by the Federal government, to prevent any Federal public benefit from being provided to an ineligible alien who entered the United States illegally or is otherwise unlawfully present in the United States. – The recipient or applicant must comply with applicable existing and future Executive Orders, as advised by the Department, including but not limited to E.O. 14182, Enforcing the Hyde Amendment; Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity; Executive Order 14168, Defending Women From Gender Ideology Extremism and
Restoring Biological Truth to the Federal Government; and Executive Order 14151, Ending Radical and Wasteful Government DEI Programs and Preferencing.

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– Pursuant to section (3)(b)(iv)(A), Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity, the recipient or applicant agrees that its compliance in all respects with all applicable Federal antidiscrimination laws is material to the government’s payment decisions for purposes of section 3729(b)(4) of title 31, United States Code;
– Pursuant to section (3)(b)(iv)(B), Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity, by entering into this Agreement, the recipient or applicant certifies that it does not operate any programs promoting diversity, equity, and inclusion (“DEI”) initiatives that violate any applicable Federal antidiscrimination laws; – The recipient or applicant agrees to comply with executive orders, including but not limited to Executive Order 14168 titled Defending Women From Gender Ideology Extremism and Restoring
Biological Truth to the Federal Government, as they relate to the application, acceptance, and use of Federal funds for this project or grant;
– The recipient or applicant will cooperate with Federal officials in the enforcement of Federal law, including cooperating with and not impeding U.S. Immigration and Customs Enforcement (“ICE”) and other Federal offices and components of the Department of Homeland Security in the enforcement of Federal immigration law; – The recipient or applicant will follow applicable federal laws pertaining to Subchapter 12, and be subject to the penalties set forth in 8 U.S.C. § 1324, Bringing in and harboring certain aliens, and 8 U.S.C. § 1327, Aiding or assisting certain aliens to enter. – The recipient or applicant must comply with other applicable federal nondiscrimination laws, regulations, and requirements, and follow federal guidance prohibiting discrimination;
– The recipient or applicant must comply with all applicable executive orders as they relate to the application, acceptance, and use of Federal funds for this Project;
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25 – Performance under this agreement or application shall be governed by and in compliance with the following requirements, as applicable, to the type of organization of the recipient or applicant and any applicable sub-recipients. The applicable provisions to this agreement or application include, but are not limited to, the following: Bringing in and harboring certain aliens – 8 U.S.C. 1324; Aiding or assisting certain aliens to enter – 8 U.S.C. 1327; Executive Order 14151, Ending Radical and Wasteful Government DEI Programs and Preferencing; Executive Order 14168 Defending Women from Gender Ideology Extremism and Restoring Biological Truth to the Federal Government; and Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity.

The “HHS Grant Conditions” enjoined by this Order are the following terms and conditions:
– The recipient or applicant must comply with all applicable Federal anti-discrimination laws material to the government’s payment decisions for purposes of 31 U.S.C. § 372(b)(4).
(1) Definitions. As used in this clause –
(a) DEI means “diversity, equity, and inclusion.”
(b) DEIA means “diversity, equity, inclusion, and accessibility.” (c) Discriminatory equity ideology has the meaning set forth in Section 2(b) of Executive Order 14190 of January 29, 2025. . . . .
(e) Federal anti-discrimination laws means Federal civil rights law that protect individual Americans from discrimination on the basis of race, color, sex, religion, and national origin. (2) Grant award certification.
(a) By accepting the grant award, recipients are certifying that:
(i) They do not, and will not during the term of this financial assistance award, operate any programs that advance or
promote DEI, DEIA, or discriminatory equity ideology in violation of Federal anti-discrimination laws;
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– All activities proposed in your application and budget narrative must be in alignment with the current Executive Orders;
– Recipients are required to comply with all applicable Executive Orders; – Funds cannot be used to support or provide services, either directly or indirectly, to removable or illegal aliens;
– By accepting this award, including the obligation, expenditure, or drawdown of award funds, recipients or applicants, whose programs, are covered by Title IX certify as follows:

The recipient or applicant is compliant with Title IX of the Education Amendments of 1972, as amended, 20 U.S.C. §§
1681 et seq., including the requirements set forth in Presidential Executive Order 14168 titled Defending Women From Gender Ideology Extremism and Restoring Biological Truth to the Federal Government, and Title VI of the Civil Rights Act of 1964, 42 U.S.C. §§ 2000d et seq., and Recipient will remain compliant for the duration of the Agreement.

The above requirements are conditions of payment that go the essence of the Agreement and are therefore material terms of the Agreement.

Payments under the Agreement are predicated on compliance with the above requirements, and therefore the recipient or applicant is not eligible for funding under the Agreement or to retain any funding under the Agreement absent compliance with the above requirements.

The recipient or applicant acknowledges that this certification reflects a change in the government’s position regarding the materiality of the foregoing requirements and therefore any prior payment of similar claims does not reflect the materiality of the foregoing requirements to this Agreement.

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25 The recipient or applicant acknowledges that a knowing false statement relating to recipient’s or applicant’s compliance with the above requirements and/or eligibility for the Agreement may subject the recipient or applicant to liability under the False Claims Act, 31 U.S.C. § 3729, and/or criminal liability, including under 18 U.S.C. §§ 287 and 1001.

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DATE: June 15, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
FROM: Derek Schweigart, Parks and Recreation Director
Tiffany Oren, Recreation Manager
DEPARTMENT: Parks and Recreation
SUBJECT: FIRST AMENDMENT TO THE CONCESSION AGREEMENT

WITH EDGEWATER MARINE LLC FOR BOAT RENTAL

SERVICES, EXTENDING THE AGREEMENT THROUGH
SEPTEMBER 30, 2026

RECOMMENDATION
It is recommended that the City Council adopt the attached resolution authorizing the First Amendment to the Concession Agreement with Edgewater Marine LLC, extending the agreement term through September 30, 2026.

EXECUTIVE SUMMARY
Edgewater Marine LLC has provided boat rental concession services within Foster City since January 2021. The current Concession Agreement expires on June 30, 2026, with optional extensions through June 30, 2030. Staff recommends extending the agreement through September 30, 2026, to allow continued operation of boat rental services while providing additional time for staff to negotiate the terms of an agreement extension and to determine the most appropriate long-term operating strategy for lagoon-based recreation services.

BACKGROUND/ANALYSIS

6.7 6.7 Staff Report
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On January 4, 2021, the City Council adopted a resolution awarding a Concession Agreement to Edgewater Marine LLC for boat rental services within Foster City. The agreement commenced on January 1, 2021, and extends through June 30, 2026, with optional extensions through June 30, 2030.

The current agreement is scheduled to expire on June 30, 2026. Staff have evaluated the ongoing operation of the concession and recommends a short-term extension through September 30, 2026, to ensure uninterrupted public access to boat rental services during the peak summer and fall recreation seasons.

The proposed extension will also provide staff with additional time to assess long-term operational needs, evaluate future concession opportunities, and determine whether modifications to the concession structure or agreement terms may be appropriate prior to exercising any remaining extension options.

Edgewater Marine has expressed its desire to continue operating the concession and has maintained a cooperative working relationship with the City throughout the term of the agreement. Staff believes the proposed extension is in the best interest of the City and its residents, as it avoids service disruptions while allowing sufficient time for a comprehensive review of future concession operations.

California Environmental Quality Act
Not Applicable

FISCAL IMPACT
There is no direct fiscal impact with the approval of the agreement extension. Per the current agreement, the City receives concession revenue equal to seven percent (7%) of gross revenues generated by Edgewater Marine. Approval of the extension will allow the City to continue receiving concession revenue while maintaining recreational services without additional operating costs to the City. For the period January – December 2025, the amount received from Edgewater Marine was approximately $16,778.45.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
City Council Operations and Improved Community Engagement ATTACHMENTS:

Attachment 1 - Resolution
Attachment 2 - Agreement Amendment
Attachment 3 - Agreement

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RESOLUTION NO. ____________

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

AUTHORIZING THE FIRST AMENDMENT TO THE CONCESSION AGREEMENT

WITH EDGEWATER MARINE LLC FOR BOAT RENTAL SERVICES, EXTENDING THE AGREEMENT THROUGH SEPTEMBER 30, 2026 AND AUTHORIZING THE MAYOR

TO EXECUTE THE AMENDMENT

CITY OF FOSTER CITY
WHEREAS, on January 4, 2021, the City Council approved a Concession Agreement with Edgewater Marine LLC to provide boat rental services within the City of Foster City, with an initial term from January 1, 2021 through June 30, 2026; and WHEREAS, Edgewater Marine LLC, has provided a proposal under which the City of Foster City will receive a concession fee of 7% of gross revenues during the term of January 1, 2021 through June 30, 2026, with optional extensions through June 30, 2030; and
WHEREAS, the current Concessions Agreement for boat rental is scheduled to expire on June 30, 2026; and
WHEREAS, Edgewater Marine LLC has expressed its desire to continue operating the concession and has maintained a cooperative working relationship with the City throughout the term of the agreement; and
WHEREAS, extending the agreement through September 30, 2026, will allow continued operation of boat rental services while providing additional time for staff to negotiate the terms of an agreement extension and to determine the most appropriate long-term operating strategy for lagoon-based recreation services; and WHEREAS, the City Council finds that extending the agreement through September 30, 2026 is in the best interest of the City and its residents.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Foster City does hereby approve a First Amendment to the Concession Agreement with Edgewater Marine LLC for Boat Rental Services, extending the agreement thorough September 30, 2026, and authorizes the Mayor to execute the agreement amendment on behalf of the City.

6.7 Attachment 1 - Resolution
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PASSED AND ADOPTED as a Resolution of the City Council of the City of Foster City at the regular meeting held on the 15th day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_______________________________

ART KIESEL, MAYOR
ATTEST:
______________________________

PRISCILLA SCHAUS, CITY CLERK

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AMENDMENT TO CONCESSION AGREEMENT
THIS AMENDMENT is made and entered into this 15th day of June, 2026, by and between the CITY OF FOSTER CITY, hereinafter called "CITY," and EDGEWATER MARINE LLC, hereinafter called "CONCESSIONAIRE."
The CITY and CONCESSIONAIRE entered into a Concession Agreement dated January 1, 2021, for the provision of boat rental services within the City of Foster City, with a term through June 30, 2026, with optional extensions through June 30, 2030.

The CITY and CONCESSIONAIRE agree to extend the term of the January 1, 2021 Concession Agreement by three (3) months through September 30, 2026. This extension will allow for the continued operation of boat rental services during the peak summer and fall recreation seasons while providing the CITY additional time to evaluate future concession opportunities and determine the most appropriate long-term operating strategy for lagoon-based recreation services.

Except as expressly amended herein, all other terms and conditions of the Concession Agreement shall remain unchanged and in full force and effect.

IN WITNESS WHEREOF, the parties hereto have caused this AMENDMENT to be executed on the date first above written by their respective officers duly authorized in that behalf.

CITY OF FOSTER CITY
BY:

ART KIESEL, Mayor
Dated:

ATTEST:

PRISCILLA SCHAUS, City Clerk

6.7 Attachment 2 - Agreement Amendment
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EDGEWATER MARINE, LLC
BY:

Michael Terner, Owner

APPROVED AS TO FORM
BY:

BENJAMIN STOCK,
City Attorney

6.7 Attachment 2 - Agreement Amendment
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1 CONCESSIONS AGREEMENT
FOR

BOAT RENTAL CONCESSION
This Agreement is made and entered into as of the _____ day of _______, 2021 by and between the City of Foster City hereinafter called "CITY" and Edgewater Marine LLC hereinafter called "CONCESSIONAIRE".

RECITALS
This Agreement is entered into with reference to the following facts and circumstances:

A. That CONCESSIONAIRE engaged CITY for authorization to operate a boat rental concession;
B. That CONCESSIONAIRE is qualified to operate the concession; C. That the CITY and CONCESSIONAIRE wish to enter into an agreement upon the terms and conditions as hereinafter set forth.

1. Services. The services to be performed by CONCESSIONAIRE under this Agreement are set forth in Exhibit A, which is, by this reference, incorporated herein and made a part hereof as though it were fully set forth herein.

Performance of the work specified in said Exhibit A is hereby made an obligation of CONCESSIONAIRE under this Agreement, subject to any changes that may be made subsequently hereto upon the mutual written agreement of the said parties.

Where in conflict, the terms of this Agreement supersede and prevail over any terms set forth in Exhibit A.

2. Term; Termination. (a) The term of this Agreement shall be from January 1, 2021 to June 30, 2026, during which CONCESSIONAIRE shall have an exclusive right to provide the services called for by this Agreement.

Thereafter, the CITY, at its sole discretion, may grant two (2) additional nonexclusive options; each for a term of two (2) years, thereby extending the Agreement to June 30, 2030.
(b) Notwithstanding the provisions of (a) above, either party may terminate this Agreement without cause by giving written notice not less than thirty (30) days prior to the effective date of termination, which date shall be included in said notice. Nothing herein contained shall be deemed a limitation upon the right of CITY to terminate this Agreement for cause, or otherwise to exercise such rights or pursue such remedies as may accrue to CITY hereunder.

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2 3. Compensation; Expenses; Payment. CONCESSIONAIRE shall compensate CITY in an amount fully described in Exhibit B attached hereto and by this reference incorporated herein.

4. Records. CONCESSIONAIRE shall keep and maintain accurate records of its gross receipts. Said records shall be available to CITY for review and copying during regular business hours at CONCESSIONAIRE’s place of business or as otherwise agreed upon by the parties.

5. Authorization. This Agreement becomes effective when endorsed by both parties in the space provided below.

6. Relationship of Parties. It is understood that the relationship of CONCESSIONAIRE to the CITY is that of an independent contractor and all persons working for or under the direction of CONCESSIONAIRE are its agents or employees and not agents or employees of the CITY.

7. Schedule. CONCESSIONAIRE shall adhere to the schedule set forth in Exhibit A; provided, that CITY shall grant reasonable extensions or deviations from the schedule as needed to account for unavoidable circumstances; provided, however, that CONCESSIONAIRE obtains authorization from the CITY.

8. Indemnity. To the fullest extent allowed by law, CONCESSIONAIRE hereby agrees to defend, indemnify, and save harmless CITY and Estero Municipal Improvement District, its Council, boards, commissions, officers, employees and agents, from and against any and all claims, suits, actions liability, loss, damage, expense, cost (including, without limitation, costs and fees of litigation) of every nature, kind or description, which may be brought against, or suffered or sustained by, CITY or Estero Municipal Improvement District, its Council, boards, commissions, officers, employees or agents caused by, or alleged to have been caused by, the negligence, intentional tortuous act or omission, or willful misconduct of CONCESSIONAIRE, its officers, employees, subcontractors or agents in the performance of any services or work pursuant to this Agreement.

The duty of CONCESSIONAIRE to indemnify and save harmless, as set forth herein, shall include the duty to defend as set forth in Section 2778 of the California Civil Code; provided, however, that nothing herein contained shall be construed to require CONCESSIONAIRE to indemnify CITY and Estero Municipal Improvement District, its Council, boards, commissions, officers, employees and agents against any responsibility or liability in contravention of Section 2782 of the California Civil Code.

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3 CONCESSIONAIRE’s responsibility for such defense and indemnity obligations shall survive the termination or completion of this Agreement for the full period of time allowed by law.

The defense and indemnification obligations of this agreement are undertaken in addition to, and shall not in any way be limited by, the insurance obligations contained within this Agreement.

9. Insurance. CONCESSIONAIRE shall acquire and maintain Workers’ Compensation, employer’s liability, commercial general liability, owned and non-owned and hired automobile liability insurance coverage relating to CONCESSIONAIRE’s services to be performed hereunder covering CITY’s risks in form subject to the approval of the City Attorney and/or CITY’s Risk Manager. The minimum amounts of coverage corresponding to the aforesaid categories of insurance per insurable event shall be as follows:

Insurance Category Minimum Limits
Workers’ Compensation statutory minimum
Employer’s Liability $1,000,000 per accident for bodily injury or disease
Commercial General Liability $1,000,000 per occurrence and $2,000,000 aggregate for bodily injury,
personal injury and property damage
Automobile Liability $1,000,000 per accident for bodily injury and property damage (coverage required
to the extent applicable to
CONCESSIONAIRE’s vehicle usage in
performing services hereunder)
It shall be a requirement under this Agreement that any available insurance proceeds broader than or in excess of the specified minimum insurance coverage requirements and/or limits shall be available to the CITY as an Additional Insured. Furthermore, the requirements for coverage and limits shall be the greater of either (1) the minimum coverage and limits specified in this Agreement or (2) the broader coverage and maximum limits of coverage of any insurance policy or proceeds available to the named Insured.

CONCESSIONAIRE agrees to include with all subcontractors in their subcontracts the same requirements and provisions of this agreement including the indemnity and insurance requirements to the extent they apply to the scope of the subcontractor’s work. Subcontractors hired by DocuSign Envelope ID: 8519688A-B73A-4F99-B1A1-DC50BFE82155 6.7 Attachment 3 - Agreement
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4 CONCESSIONAIRE shall agree to be bound to CONCESSIONAIRE and CITY in the same manner and to the same extent as CONCESSIONAIRE is bound to CITY under this Agreement and its accompanying documents.

Subcontractors shall further agree to include these same provisions with any sub-subcontractors. A copy of the indemnity and insurance provisions of this Agreement will be furnished to the Subcontractor upon request.

CONCESSIONAIRE shall require all subcontractors to provide a valid certificate of insurance and the required endorsements included in the subcontract agreement and will provide proof of compliance to the CITY prior to commencement of any work by the subcontractor.

Concurrently with the execution of this Agreement, CONCESSIONAIRE shall, on the Insurance Coverage form provided in Exhibit D, or equivalent, furnish CITY with certificates and copies of all declaration and endorsement pages for the insurance policy or policies required hereunder. With respect to commercial general liability and automobile liability insurance coverage, CONCESSIONAIRE must obtain and provide the following original endorsements:
(a) Precluding cancellation or reduction in per occurrence limits before the expiration of thirty (30) days (10 days for nonpayment) after CITY shall have received written notification of cancellation in coverage or reduction in per occurrence limits by first class mail; (b) Naming the CITY and Estero Municipal Improvement District, its Council, officers, boards, commissions, employees, and agents, as additional insureds; and
(c) Providing the additional insured coverage under
CONCESSIONAIRE’s insurance policy shall be primary and noncontributory insurance with respect to CITY and Estero Municipal Improvement District, its Council, officers, boards, commissions, employees, and agents, and any insurance or self-insurance maintained by CITY for itself, its Council, officers, boards, commissions, employees, or agents shall be in excess of CONCESSIONAIRE’s insurance and not contributory with it.

CONCESSIONAIRE and its insurer may not seek contribution from CITY’s insurance or self-insurance.

The limits of insurance required in this agreement may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of CITY, to the extent required by this Agreement, before the CITY’s insurance or self-insurance may be called upon to protect CITY as a named Insured.

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5 All self-insured retentions (SIR) must be disclosed to CITY for approval and shall not reduce the limits of liability coverage. Policies containing and SIR provision shall provide or be endorsed to provide that the SIR may be satisfied by either the named CONCESSIONAIRE/Named Insured or CITY.

CITY reserves the right to obtain a full certified copy of any insurance policy and endorsements. Failure to exercise this right shall not constitute a waiver of right to exercise later.

Any and all Subcontractors shall agree to be bound to CONCESSIONAIRE and CITY in the same manner and to the same extent as
CONCESSIONAIRE is bound to CITY under this Agreement.

Subcontractors shall further agree to include the same requirements and provisions of this Agreement, including the indemnity and insurance requirements, in any agreement with sub-subcontractors to the extent that they apply to the scope of the sub-subcontractor’s work. A copy of the indemnity and insurance provisions of this Agreement shall be furnished to any subcontractor upon request.

CONCESSIONAIRE shall maintain insurance as required by this Agreement to the fullest amount allowed by law and shall maintain insurance for a minimum of five (5) years following completion of this project or service. In the event CONCESSIONAIRE fails to obtain or maintain completed operations coverage as required by this Agreement, the CITY at its sole discretion may purchase the coverage required and the cost will be paid by CONCESSIONAIRE.

10. WORKERS' COMPENSATION. CONCESSIONAIRE certifies that he is aware of the provisions of the Labor Code of the State of California which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that Code, and CONCESSIONAIRE certifies that it will comply with such provisions before commencing the performance of the work of this agreement.

11. NON-DISCRIMINATION. The CONCESSIONAIRE will not discriminate against any employee or applicant for employment because of race, color, religion, sex or national origin. The CONCESSIONAIRE will take affirmative action to ensure that applicants are employed and the employees are treated during employment without regard to their race, color, religion, sex or national origin. Such action shall include, but not be limited to the following: employment, advancement, demotion, transfer, recruitment, or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The CONCESSIONAIRE shall at all times be in compliance with the DocuSign Envelope ID: 8519688A-B73A-4F99-B1A1-DC50BFE82155 6.7 Attachment 3 - Agreement
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6 requirements of the Federal Americans With Disabilities Act (Public Law 101-336) which prohibits discrimination on the basis of disability by public entities. The CONCESSIONAIRE agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CITY setting forth the provisions of this non-discrimination clause.

12. Notice. All notices required by this Agreement shall be given to the CITY and CONCESSIONAIRE in writing, by first class mail, postage prepaid, addressed as follows:

CITY: City of Foster City
610 Foster City Boulevard
Foster City, CA 94404-2299
Attention: Tiffany Oren, Recreation Manager
CONCESSIONAIRE: Edgewater Marine LLC
715 San Miguel Lane
Foster City, CA 94404
Attention: Michael Terner

13. Non-Assignment. This Agreement is not assignable either in whole or in part.

14. Amendments. This Agreement may be amended or modified only by written agreement signed by both parties.

15. Validity. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.

16. Governing Law. This Agreement shall be governed by the laws of the State of California and any suit or action initiated by either party shall be brought in the County of San Mateo, California. In the event of litigation between the parties hereto to enforce any provision of the Agreement, the unsuccessful party will pay the reasonable attorney’s fees and expenses of litigation of the successful party.

17. Mediation. Should any dispute arise out of this Agreement, the parties shall meet in mediation and attempt to reach a resolution with the assistance of a mutually acceptable mediator. Neither party shall be permitted to file legal action without first meeting in mediation and making a good faith attempt to reach a mediated resolution. The costs of the mediator, if any, shall be paid equally by the parties. If a mediated settlement is reached neither party shall be deemed the prevailing party for purposes of the settlement and each party shall bear its own legal costs.

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7 18. Entire Agreement. This Agreement, including Exhibits A, B C, D, and E, comprises the entire Agreement.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the date first above written by their respective officers duly authorized in that behalf.

CITY OF FOSTER CITY
Dated: _________________________________
Sanjay Gehani, Mayor
ATTEST:

Dated: ________________________________
Priscilla Schaus, City Clerk

APPROVED AS TO FORM
Dated:

Jean Savaree, City Attorney

CONCESSIONAIRE
Dated:

Michael Terner, Owner
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8 EXHIBIT A
SCOPE OF WORK and SCHEDULE
FOR

BOAT RENTAL CONCESSION
The concession agreement grants exclusive right to a single CONCESSIONAIRE to operate a boat rental business for the term of the Agreement. CONCESSIONAIRE shall provide materials and staff to provide the service and shall pay to CITY a monthly concession fee.

1. Scope of Deliverables:

Location and Equipment. CONCESSIONAIRE shall operate a concession at the Leo Ryan Park boat tie-ups and from a facility at Boat Park that is under construction at the inception of this agreement, and is anticipated to be completed and issued an occupancy permit during the agreement term. CONCESSIONAIRE shall provide all equipment necessary to operate the concession.

2. Scope of Services:

Purpose; Days and Hours; Operation. CONCESSIONAIRE will operate a boat rental concession on the Foster City lagoon, open to the general public daily January through December. Standard operating hours will be adjusted seasonally to take advantage of longer days: Standard hours for the summer season from March through September shall be noon to 7 PM weekdays and 9:30 AM to 7:00 PM weekends. Standard operating hours for the rest of the year shall be noon to 4:30 PM weekdays and 9:30 AM to 4:30 PM on weekends. CONCESSIONAIRE may close operations during adverse weather or other adverse operating conditions. CONCESSIONAIRE will vacate the premises when requested by the City/District for major events or for required maintenance as determined by the City/District.

CONCESSIONAIRE expressly agrees at all times during the term of this Agreement, at its own cost and expense, to maintain and operate the concession in a clean, safe, wholesome and sanitary condition, free of trash, garbage or obstruction of any kind and in compliance with any and all present and future laws, general rules or regulations of any governmental authority now or at any time during the term of the Agreement in force relating to public health, safety or welfare.

CONCESSIONAIRE shall comply with all laws, rules and regulations applicable thereto, adopted by federal, state or other governmental bodies or departments of officers thereof, and the Agreement is expressly subject to present and future regulations and policies of the CITY/DISTRICT.

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9 CONCESSIONAIRE shall remedy without delay any defective or dangerous conditions.

No alcoholic beverage (including beer and wine) or goods, merchandise or material that are in any way explosive or hazardous shall be sold, kept or stored on the premises. No offensive or dangerous activity shall be carried on or permitted on the premises.

Additional Requirements. Concession shall be operated under the following additional conditions:
• Garbage Disposal: It is illegal to dispose of any garbage in Foster City’s lagoon.

An enclosed receptacle for trash is required to be on board the vessel(s) at all times. CONCESSIONAIRE will be ultimately responsible for proper disposal of recyclable and non-recyclable items. Concession staff is permitted to impose an extra cleanup charge to renters if additional maintenance is required. • Alcoholic Beverages: Alcohol use on the rental boat will be allowed. Operating the vessel under the influence of alcohol (.08% blood alcohol concentration and over) or other drugs is strictly prohibited. Smoking on the vessel is also prohibited per Foster City Municipal Code Section 8.05.030 (R).
• Passenger Loading and Unloading: The renter and cruise passengers may embark and disembark only at Leo Ryan Park at tie-ups near the Foster City Recreation Center, at renter’s private property, or at the CONCESSIONAIRE’s facility at Boat Park once construction is complete and a certificate of occupancy has been issued by the Foster City Community Development Department.
• Proposed Waterway Route: Renters must cruise primarily on the wide water, maintaining 25 feet distance from all private property bulkheads. Vessels may not operate in the smaller side channels, except to access renter’s private property, or under the Highway 92 bridge.
• Docking: Docking is permitted only at public docks: Ryan Park, Boat Park, Marlin Cove Floating Dock, Catamaran Park, and Edgewater Place. Vessels may not dock at any private dock or seawall except those owned or leased by the renter.

Concessionaire shall provide lagoon maps that include marked non-transit zones for each renter.
• Boat Identification: Rental boats are required to bear CONCESSIONAIRE’s company name and phone number in a visible exterior area of the boat. Each rental boat will also have assigned CF Numbers visible on the outside of the boat. This will allow for the easy tracking and identification of all rental boats that are accessing the lagoon.
• Community Involvement: Under the supervision of the Department of Parks and Recreation, CONCESSIONAIRE will coordinate a boating safety program to be provided as part of the department class curriculum. CONCESSIONAIRE will also DocuSign Envelope ID: 8519688A-B73A-4F99-B1A1-DC50BFE82155 6.7 Attachment 3 - Agreement
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10 donate 6 hours of rental time to the Foster City Foundation to be used as raffle prizes at charity events.
• Noise Control: Per Foster City Municipal Code Section 17.68.030 (B), music and/or conversation shall not exceed 60 decibels.
• Privacy: As an element of the concession and rental agreement, Renters are required to maintain homeowners’ privacy.
• License: The driver of the rental boat must be at least 21 years old. Renters must provide a valid driver’s license, credit card, and signed contract to CONCESSIONAIRE prior to rental.
• Safety: CONCESSIONAIRE will provide a safety training for drivers of the boat including an outline of the 15-minute orientation with checklist. All rental boats shall have safety equipment compatible with coast guard safety standards. All rentals boats will be inspected, cleaned and maintained by CONCESSIONAIRE.

Lifejackets will be provided for all passengers. Children under the age of 13 are required by law to wear a lifejacket. Adults are not required by law to wear a lifejacket but will be reminded that it is a good practice. • Emergency Communication: Renters must have a cell phone or other communications device available during the cruise.
• Towing: Towing service must be available at all times during active boat rental.

Insurance: Insurance will be reviewed by City Risk Manager and/or City Attorney.

Signs: CONCESSIONAIRE shall supply City/District with copies of all promotional materials at least ten days prior to use thereof for its reasonable approval. City/District reserves the right to approve all signs to be placed on City property. Signs must comply with the City’s Sign Ordinance, Foster City Municipal Code Chapter 15.12.

Parking: CONCESSIONAIRE shall park vehicles in areas designated by the City/District.

Employees and customers shall be directed by CONCESSIONAIRE to park in designated legal parking spaces. All regulations governing controlled parking spaces and fire lanes shall be observed.

Taxes: CONCESSIONAIRE shall pay when due all taxes levied on personal property on the premises and shall pay any possessory interest tax that may be levied in connection with use of the premises. CONCESSIONAIRE agrees to indemnify and save City/District harmless from all such taxes.

Condition of Premises: CONCESSIONAIRE agrees to accept City premises and any improvements thereon in the existing condition, “as-is.” City/District shall not be obligated to make any alterations, additions, improvements or repairs.

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11 CONCESSIONAIRE’s Personnel: CONCESSIONAIRE shall keep the City/District advised, in writing, of the names, mailing addresses, and phone number of all CONCESSIONAIRE employees engaged in operating the concession at the premises.

All employees shall be at least 16 years of age and fully trained and qualified, to perform duties assigned to them. They shall be recognizable as employees of the concession.

Quality of Service; Rates and Charges: CONCESSIONAIRE shall maintain a consistently high standard of service. Service rendered shall be of good quality and that the service shall be prompt, clean, courteous, and efficient. If City/District is of the opinion that any fee is not comparable with fees being charged in other similar operations, the City/District shall notify CONCESSIONAIRE and request it to justify such fee. If City/District shall thereafter reasonably determine that the fee is not comparable, CONCESSIONAIRE shall not implement same.

Renewal of Contract: Not less than two months before the expiration of the Agreement term, the City/District will review the CONCESSIONAIRE’s performance and determine if the term should be extended. The criteria used for extension of the Agreement will include but not be limited to quality of service, maintenance of concession site, rates, charges, customer and public input, and safety procedures.

Lagoon Inspection and Maintenance: City/District reserves the right of entry upon the premises at all reasonable times for inspection purposes and to do any and all work of any nature necessary for maintenance and operation of the lagoon. CONCESSIONAIRE shall be given reasonable notice when any such work may become necessary and will adjust concession operations in such a manner that City/District may proceed expeditiously. City/District shall coordinate with CONCESSIONAIRE in an attempt to cause a minimum of interference with CONCESSIONAIRE’s activities.

Compliance: CONCESSIONAIRE expressly agrees at all times during the term of the Agreement, at its own cost and expense, to maintain and operate the concession in a clean, safe, wholesome and sanitary condition, free of trash, garbage or obstruction of any kind and in compliance with any and all present and future laws, general rules or regulations of any governmental authority now or at any time during the term of this Agreement in force relating to public health, safety or welfare. CONCESSIONAIRE shall comply with all laws, rules and regulations applicable thereto, adopted by federal, state or other governmental bodies or departments of officers thereof, and this Agreement is expressly subject to present and future regulations and policies of the CITY/DISTRICT.

CONCESSIONAIRE shall remedy without delay any defective or dangerous conditions.

No alcoholic beverage (including beer and wine) or goods, merchandise or material which are in any way explosive or hazardous shall be sold, kept or stored on City property. No offensive or dangerous activity shall be carried on or permitted on City property.

Project Schedule
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12 a. Term. The initial term of the Agreement shall commence January 1, 2021 and expire on June 30, 2026.
b. Term Extensions. The contract term may be renewed at the CITY’s sole option for up to two (2) two-year (24 months) increments. Within six (6) months of the expiration of the current term of the agreement, but not less than two (2) months before the expiration, CITY may exercise its option to extend the term, should an option remain, by notifying the CONCESSIONAIRE in writing.

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13 EXHIBIT B
CONCESSIONAIRE’S FEES and PAYMENT MILESTONES
Summary:

Concession Fee. CONCESSIONAIRE shall pay the CITY/DISTRICT, without demand, a concession fee of 7% of CONCESSIONAIRE’s gross receipts.

Gross Receipts. The Term “gross receipts” as used herein is the total amount of fees for service performed at the premises whether paid at the concession site or elsewhere, it being understood that sales on credit are to be included in gross receipts at the time of sale whether or not CONCESSIONAIRE actually receives payment. Any transaction shall be treated as a sale for the full price at the time such transaction was entered into irrespective of the time of payment. Gross sales shall not include the amount of any sales tax where such tax is stated separately, paid by CONCESSIONAIRE’’s customers and remitted directly to the taxing authorities by CONCESSIONAIRE.

Records; Inspection. CONCESSIONAIRE shall keep true and complete books and records showing all of concession business transactions separately from any other business of CONCESSIONAIRE, in a manner reasonably acceptable to the CITY/DISTRICT. CONCESSIONAIRE shall preserve all such records for at least three years following the date of the last transaction recorded therein. CITY/DISTRICT shall have the right through its representatives, at all reasonable times, to inspect such books and records, including State of California Sales Tax and Federal Income Tax return.

CITY/DISTRICT shall also have the right to examine all books and records at any time during the one-year period following the termination of this Agreement.

CONCESSIONAIRE agrees that as part of his record keeping activity he shall:
(a) Record all purchases on a register showing a digital read-out of the total sale amount to the customer at the time of the sales transaction or record all purchases in an on-line booking system.
(b) Provide detailed reports of daily sales transactions upon request for review at any time.
(c) Utilize a separate deposit bank account for all receipts from the premises prior to transfer thereof to any other depository.

Project Payment Schedule:

Milestone. Beginning on the 15th day of the second calendar month of the term, and thereafter not later than the 15th day of each month of the term and the 15th day of the month next following the end of the term CONCESSIONAIRE shall pay the CITY/DISTRICT, without demand, the agreed upon percentage concession fee.

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14 EXHIBIT C
ADDITIONAL TERMS and CONDITIONS
Business License. A current Foster City business license is required to operate a concession in the City of Foster City.

Regular Communication: CITY and CONCESSIONAIRE, will meet annually to review concession operations and make adjustments where necessary within the terms of the agreement.

The City reserves the right to adjust, limit or suspend the rental concession at any time it deems necessary. Special consideration will be taken into account for events with expected large attendance in Leo Ryan Park which may result in limiting CONCESSIONAIRE’s number of boats.

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15 EXHIBIT D
This INSURANCE COVERAGE FORM modifies or documents insurance provided under the following:

Named Insured: Effective Work Date(s):

Description of Work/Locations/Vehicles:

Other:

Certificates of Insurance Required (no endorsement needed) (Check all that apply) Insurer Policy No.

Professional Liability:

PRIMARY/NON-CONTRIBUTORY: This insurance is primary and is not additional to or contributing with any other insurance carried by or for the benefit of Additional Insureds.

Nothing herein contained shall vary, alter or extend any provision or condition of the Policy other than as above stated.

SIGNATURE OF AUTHORIZED REPRESENTATIVE (original signature required) ORGANIZATION: TITLE:

ADDRESS:

TELEPHONE: ( ) DATE ISSUED:

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16 Exhibit E
SPECIAL TERMS and CONDITIONS
NONE
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DATE: June 15, 2026
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
Marlene Subhashini, Assistant City/District Manager
FROM: Derek Schweigart, Parks and Recreation Director
Tiffany Oren, Recreation Manager
SUBJECT: AMENDMENT TO EXTEND JOINT USE AGREEMENT WITH SAN

MATEO-FOSTER CITY SCHOOL DISTRICT

RECOMMENDATION
It is recommended that the City Council/EMID Board of Directors adopt a resolution authorizing the Mayor/President to execute an amendment to the Joint Use Agreement (JUA) between the City of Foster City/Estero Municipal Improvement District (CITY/EMID) and the San Mateo-Foster City School District (SCHOOL DISTRICT) to extend the term of the agreement through August 31, 2026.

EXECUTIVE SUMMARY
The existing JUA between the City/EMID and the School District expired on April 30, 2026. On May 4, 2026, a temporary extension through June 30, 2026, was approved by the City Council/EMID Board to allow both agencies time to negotiate and finalize a new multi-year agreement aligned with their fiscal years. As agreement terms remain under review and summer schedules have limited the ability to complete negotiations, staff recommend extending the current agreement through August 31, 2026, to provide additional time to finalize and execute the new long-term agreement.

BACKGROUND/ANALYSIS
The CITY/EMID and the SCHOOL DISTRICT have maintained a JUA since 1991 for

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the shared use of facilities at Audubon, Foster City, and Brewer Island Schools. The agreement promotes efficient use of public resources and provides community access to recreational and educational facilities.

On April 23, 2023, CITY/EMID and the SCHOOL DISTRICT entered into the current JUA with a term from May 1, 2023, through April 30, 2026. As the agreement approached expiration, both parties identified opportunities to update and refine various provisions to better reflect current operational practices and align the agreement term with each agency’s fiscal year, which runs from July 1 through June

30. To provide additional time for negotiations and development of a new multi-year agreement, on May 4, 2026, City Council approved a short-term extension through June 30, 2026. Since that time, staff from both agencies have continued to review and negotiate agreement terms. While progress has been made, several provisions remain under review and require additional coordination before a long-term agreement can be finalized.

Due to summer schedules and operational commitments, staff recommend extending the current Joint Use Agreement through August 31, 2026. This extension will provide sufficient time for both parties to complete negotiations, finalize updated terms, and prepare a new multi-year agreement for formal consideration and approval by their respective governing bodies.

CEQA
Not Applicable

FISCAL IMPACT
There is no direct fiscal impact associated with this short-term extension. The amendment maintains the existing terms and conditions of the current agreement.

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Operational Excellence, and Social Equity

ATTACHMENTS
Attachment 1 – City Resolution
Attachment 2 – EMID Resolution
Attachment 3 – Agreement Amendment

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RESOLUTION NO.________

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

APPROVING THE AMENDMENT TO THE JOINT USE AGREEMENT BETWEEN THE

CITY OF FOSTER CITY/ESTERO MUNICIPAL IMPROVEMENT DISTRICT AND THE

SAN MATEO-FOSTER CITY SCHOOL DISTRICT, EXTENDING THE AGREEMENT THROUGH AUGUST 31, 2026, AND AUTHORIZING THE MAYOR TO EXECUTE THE

AMENDMENT

CITY OF FOSTER CITY
WHEREAS, the City of Foster City/Estero Municipal Improvement District (“CITY/EMID”) and the San Mateo-Foster City School District (“SCHOOL DISTRICT”) entered into a Joint Use Agreement dated April 23, 2023, for the shared use of facilities, with a term from May 1, 2023 through April 30, 2026; and WHEREAS, on May 4, 2026, the CITY/EMID and the SCHOOL DISTRICT approved a temporary extension of the agreement through June 30, 2026, to allow additional time to review and update agreement provisions and align the agreement term with both agencies’ fiscal years (July 1 through June 30); and WHEREAS, staff from both agencies have continued to review and negotiate updated agreement terms, and while progress has been made, several provisions remain under consideration; and
WHEREAS, due to summer schedules and operational commitments, additional time is needed to complete negotiations and finalize a new multi-year Joint Use Agreement; and
WHEREAS, the proposed Amendment would extend the term of the existing Joint Use Agreement through August 31, 2026; and
WHEREAS, City staff recommends approval of the Amendment to the Joint Use Agreement.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Foster City hereby authorizes the Mayor to execute the Amendment to the Joint Use Agreement between the City of Foster City/Estero Municipal Improvement District and the San Mateo-Foster City School District, extending the term of the agreement through August 31, 2026.

6.8 Attachment 1 - City Resolution
218
PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the regular meeting held on the 15th day of June, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_______________________________________

ART KIESEL, MAYOR
ATTEST:
_______________________________________

PRISCILLA SCHAUS, CITY CLERK

6.8 Attachment 1 - City Resolution
219
RESOLUTION NO.________

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ESTERO MUNICIPAL

IMPROVEMENT DISTRICT APPROVING THE AMENDMENT TO THE JOINT USE

AGREEMENT BETWEEN THE CITY OF FOSTER CITY/ESTERO MUNICIPAL

IMPROVEMENT DISTRICT AND THE SAN MATEO-FOSTER CITY SCHOOL DISTRICT, EXTENDING THE AGREEMENT THROUGH AUGUST 31, 2026, AND

AUTHORIZING THE BOARD PRESIDENT TO EXECUTE THE AMENDMENT

ESTERO MUNICIPAL IMPROVEMENT DISTRICT
WHEREAS, the City of Foster City/Estero Municipal Improvement District (“CITY/EMID”) and the San Mateo-Foster City School District (“SCHOOL DISTRICT”) entered into a Joint Use Agreement dated April 23, 2023, for the shared use of facilities, with a term from May 1, 2023 through April 30, 2026; and WHEREAS, on May 4, 2026, the CITY/EMID and the SCHOOL DISTRICT approved a temporary extension of the agreement through June 30, 2026, to allow additional time to review and update agreement provisions and align the agreement term with both agencies’ fiscal years (July 1 through June 30); and WHEREAS, staff from both agencies have continued to review and negotiate updated agreement terms, and while progress has been made, several provisions remain under consideration; and
WHEREAS, due to summer schedules and operational commitments, additional time is needed to complete negotiations and finalize a new multi-year Joint Use Agreement; and
WHEREAS, the proposed Amendment would extend the term of the existing Joint Use Agreement through August 31, 2026; and
WHEREAS, City staff recommends approval of the Amendment to the Joint Use Agreement.

NOW, THEREFORE, BE IT RESOLVED that Board of Directors of the Estero Municipal Improvement District hereby authorizes the Board President to execute the Amendment to the Joint Use Agreement between the City of Foster City/Estero Municipal Improvement District and the San Mateo-Foster City School District, extending the term of the agreement through August 31, 2026.

6.8 Attachment 2 - EMID Resolution
220
PASSED AND ADOPTED as a resolution of the Board of Directors of the Estero Municipal Improvement District at the regular meeting held on the 15th day of June, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_______________________________________

ART KIESEL, PRESIDENT
ATTEST:
_______________________________________

PRISCILLA SCHAUS, DISTRICT SECRETARY

6.8 Attachment 2 - EMID Resolution
221

SECOND AMENDMENT TO JOINT USE AGREEMENT FOR JOINT USE FACILITIES THIS AMENDMENT is made and entered into this day of June 15, 2026, by and between the CITY OF FOSTER CITY/ESTERO MUNICIPAL IMPROVEMENT DISTRICT, hereinafter
called “CITY/EMID”, and the SAN MATEO FOSTER CITY SCHOOL DISTRICT, hereinafter called “SCHOOL DISTRICT.”
The CITY and SCHOOL DISTRICT entered into a joint use agreement dated April 23, 2023, with a term from May 1, 2023 through April 30, 2026, and on May 4, 2026 agreed to extend the term of the April 23, 2023 agreement by two months through June 30, 2026. The parties agree to further extend the term of the Joint Use Agreement through August 31, 2026. This second extension will provide additional time for CITY/EMID and SCHOOL DISTRICT to finalize revisions and negotiate a new multi-year Joint Use Agreement.

In August 2026, a new agreement will be brought forward to both the CITY and SCHOOL DISTRICT.

IN WITNESS WHEREOF, the parties hereto have caused this SECOND AMENDMENT to be executed on the date first above written by their respective officers duly authorized in that behalf.

CITY OF FOSTER CITY
BY:

ART KIESEL, Mayor
Dated:

ATTEST:

PRISCILLA SCHAUS, City Clerk

ESTERO MUNICIPAL IMPROVEMENT

DISTRICT
BY:

ART KIESEL, President
ATTEST:

PRISCILLA SCHAUS, District Secretary

6.8 Attachment 3 - Agreement Amendment
222

SAN MATEO-FOSTER CITY SCHOOL

DISTRICT
BY:

ATTEST:

Maggie Trinh,
President of the Board of Trustees
Stacey Ho,
Clerk of the Board of Trustees

APPROVED AS TO FORM
BY:

BENJAMIN STOCK,
City Attorney/District Legal Counsel
for CITY/EMID

6.8 Attachment 3 - Agreement Amendment
223
DATE: June 15, 2026
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, Administrative Services Director
Dawud Brewer, Human Resources Manager
DEPARTMENT: Administrative Services
SUBJECT: ADDING NEW JOB DESCRIPTION FOR RECREATION

SPECIALIST AND UPDATED JOB DESCRIPTIONS FOR

COMMUNICATIONS SPECIALIST AND SENIOR BUILDING

INSPECTOR

RECOMMENDATION
It is recommended that the City Council/Estero Municipal Improvement District Board of Directors (City Council) adopt the attached resolutions approving the new job description of Recreation Specialist and updated job descriptions of Communications Specialist and Senior Building Inspector.

EXECUTIVE SUMMARY
The City Council has adopted a job classification plan that consists of a series of job classifications with associated distinguishing characteristics, examples of duties, statements of required knowledge, skills, and abilities and minimum qualifications. The City periodically updates and/or adds to this list of job classifications to address organizational changes, changes in job requirements, and/or changes in required duties.

The City/District Manager continues to make adjustments to staffing levels and positions to ensure the organization is able to focus on City Council goals and meet the

6.9 6.9 Staff Report
224
needs of the Foster City community. As such, staff is recommending approval of the new job classifications and salary ranges for Recreation Specialist and revisions to the Communications Specialist (formerly Social Media/Communications Assistant) and Senior Building Inspector to allow for better internal organizational support and structure and to appropriately staff these two functions.

BACKGROUND/ANALYSIS
Recreation Specialist
The Recreation Specialist is a new classification created based on the recommendations in the Foster City Community Center business operations plan which was approved by the City Council in February 2026. The classification provides part-time permanent support to Recreation Coordinators and assists in delivering a variety of recreation and leisure programs. Responsibilities include planning and promoting assigned programs, maintaining program and activity records, providing customer service, participating in City events, serving as a liaison for special events, and offering administrative and operational support. The position requires schedule flexibility, including evenings and weekends and would be placed in the American Federation of State, County and Municipal Employees (AFSCME) bargaining unit. This position was budgeted at 0.75 FTE and included in the preliminary budget discussion that was held in May 2026.

Additionally, the creation of this classification better aligns the series with our surveyed agencies. A salary analysis was completed and based on the review, staff recommend the salary for the new classification be placed between the Recreation Leader and Recreation Coordinator I classifications. This position would be created for FY 2026/2027 at the salary schedule below and provide full benefits.

Position Step 1 Step 2 Step 3 Step 4 Step 5
Recreation
Specialist $34.7226 $36.4588 $38.2817 $40.1959 $42.2056 Communications Specialist
The Communications Specialist classification has been updated to reflect current industry practices and the City’s expanding communication needs. This journey-level classification is responsible for planning and implementing public information and communications programs. In addition, currently this classification is solely used in one department (Communications/City Clerk) and there is a desire to use the classification within other departments, therefore the job specifications are being updated to reflect this change. This is a current AFSCME classification and staff met and conferred with AFSCME on these changes. No salary change is recommended.

6.9 6.9 Staff Report
225
Senior Building Inspector
The Senior Building Inspector is an existing AFSCME position that has been in recruitment since the beginning of the calendar year. This is a hard to fill position that is needed on a full-time basis. Staff have been using consultant services to provide inspection assistance, while recruitment efforts were ongoing. Because the recruitment of this position has not resulted in any qualified candidates, Human Resources staff and the Chief Building Official met to evaluate whether the position’s education, experience and certification requirements could be modified. The attached revised job description outlines the changes that are recommended to those requirements. These changes were informed based on comparable classifications reviewed at other cities. These revisions were discussed with AFSCME and have been agreed to as required. No salary change is recommended.

California Environmental Quality Act
Not Applicable

FISCAL IMPACT
There is no fiscal impact associated with approving the Recreation Specialist and updated Communications Specialist and Senior Building Inspector classifications. The recommended salary range for the Recreation Specialist will take effect in FY 2026– 2027 and has been incorporated into the proposed FY 2026-27 and FY 2027-28 budget. The Communications Specialist and Senior Building Inspector classifications maintain the existing salary range; therefore, no additional appropriation is required.

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

Attachment 1 – City Resolution
Attachment 2 – EMID Resolution
Attachment 3 – Recreation Specialist Job Description
Attachment 4 – Communications Specialist Job Description Attachment 5 – Senior Building Inspector Job Description

6.9 6.9 Staff Report
226
RESOLUTION NO. __________

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

THE NEW JOB DESCRIPTION OF RECREATION SPECALIST AND APPROVING

REVISED JOB DESCRIPTIONS FOR THE COMMUNICATIONS SPECIALIST AND

SENIOR BUILDING INSPECTOR

CITY OF FOSTER CITY
WHEREAS, the City has adopted a classification plan of job class titles with associated distinguishing characteristics, examples of duties, statements of desired knowledge, skills and abilities and minimum qualifications for each class; and WHEREAS, there is a need to periodically evaluate and revise the requirements of those classes; and
WHEREAS, the City Manager, in consultation with the Administrative Services, Parks and Recreation and Community Development Directors have determined a need for the job classifications of Recreation Specialist and revised job descriptions for the Communications Specialist and Senior Building Inspector; and WHEREAS, these job classifications require adoption by the City Council in order to fill the positions.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Foster City does hereby approve the new job description for the Recreation Specialist and the revised job descriptions for the Communications Specialist and Senior Building Inspector.

PASSED AND ADOPTED as a resolution of the City Council of the City of Foster City at the Regular Meeting held on the 15th day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

ARK KIESEL, MAYOR
ATTEST:

PRISCILLA SCHAUS, CITY CLERK

6.9 Attachment 1 - City Resolution
227
RESOLUTION NO. __________

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ESTERO MUNICIPAL

IMPROVEMENT DISTRICT ADDING THE NEW JOB DESCRIPTION OF RECREATION

SPECALIST AND APPROVING REVISED JOB DESCRIPTIONS FOR THE

COMMUNICATIONS SPECIALIST AND SENIOR BUILDING INSPECTOR

ESTERO MUNICIPAL IMPROVEMENT DISTRICT
WHEREAS, the Estero Municipal Improvement District has adopted a classification plan of job class titles with associated distinguishing characteristics, examples of duties, statements of desired knowledge, skills and abilities and minimum qualifications for each class; and
WHEREAS, there is a need to periodically evaluate and revise the requirements of those classes; and
WHEREAS, the District Manager, in consultation with the Administrative Services, Parks and Recreation and Community Development Directors have determined a need for the job classification of Recreation Specialist and revised job descriptions for the Communications Specialist and Senior Building Inspector; and WHEREAS, these job classifications require adoption by the Board of Directors of the Estero Municipal Improvement District in order to fill the positions.

NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Estero Municipal Improvement District does hereby approve the new job description for the Recreation Specialist and the revised job descriptions for the Communication Specialist and Senior Building Inspector.

PASSED AND ADOPTED as a resolution of the Board of Directors of the Estero Municipal Improvement District at the Regular Meeting held on the 15th day of June 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

ARK KIESEL, PRESIDENT
ATTEST:
________

PRISCILLA SCHAUS, DISTRICT SECRETARY

6.9 Attachment 2 - EMID Resolution
228
Recreation Specialist Duties
DEFINITION:

Provides support to Recreation Coordinators to coordinate a wide variety of recreation and leisure activities for various age groups. Position requires flexibility in working hours.

DISTINGUISHING CHARACTERISTICS, FEATURES, REQUIREMENTS:

This is a part-time permanent position that provides support to the Recreation Coordinators. This position is distinguished from Recreation Coordinator in the amount of supervision, autonomy, and specialization of the duties performed.

SUPERVISION EXERCISED AND RECEIVED
Assists in supervising Recreation Leaders. Receives direct supervision from the Recreation Coordinator.

DUTIES AND RESPONSIBILITIES
The duties listed below are illustrative only and are not meant to be a full and exhaustive listing of all of the duties and responsibilities of the position. • Plans, promotes, develops, and oversees a portion of assigned recreation programs; participates in planning and leading activities; promotes programs through a variety of media; and may schedule, train, and provide guidance to parttime staff. • Provides administrative support to assigned programs, including maintaining inventories of equipment and supplies and keeping accurate records related to participation, attendance, behavior, progress, and related statistics. • May participate in marketing Recreation Division programs and activities; may use social media and other platforms to promote programs; may assist with creating and distributing promotional materials; and may help coordinate content for the City website.
• Provides support for and participates in a variety of City events and programs and may assist with decorating, setup, or operation of event components. • May serve as a liaison for special events, including receiving and managing special event applications, coordinating interdepartmental tasks, distributing applications and assignments, and serving as a point of contact for the City.

6.9 Attachment 3 - Recreation Specialist Job Description 229
Recreation Specialist
City of Foster City

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Foster City City CouncilJune 15, 2026

Foster City City Council
June 15, 2026