DRAFT
RESOLUTION NO. 2025-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FREMONT APPROVING AND AUTHORIZING THE SUBMITTAL OF THE FY 202 5- 2029 CONSLIDATED PLAN AND FY 2025/ 2026 FINAL STATEMENT OF
CDBG AND ESG COMMUNITY DEVELOPMENT OBJECTIVES AND
PROJECTED USE OF FUNDS AND THE ANNUAL ACTION PLAN; AND
AUTHORIZING THE EXECUTION OF CDBG AND ESG AGREEMENTS
WITH THE UNITED STATES DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT AND GRANTEE AGENCIES; AND MAKING
FINDINGS OF CEQA EXEMPTION
WHEREAS, the City is estimated to be allocated $1,579,819 in CDBG entitlement funding and $146,207 in ESG entitlement funding from the United States Department of Housing and Urban Development (HUD) for FY 2025-2026; and
WHEREAS, Fremont residents have been afforded an adequate opportunity to participate in an advisory role in planning the federal funding programs as City staff held a public workshop on the federal fund process on January 9, 2025, and the Citizens Advisory Committee held public hearings on February 19, 2025, and March 6, 2025, and March 27, 2025 where the public had an opportunity to be heard; and
WHEREAS, on July 8, 2025, the City Council conducted a public hearing on the proposed FY 2025-2029 Consolidated Plan and the FY 2025/26 CDBG and ESG Programs Final State of Community Development Objectives and projected Use of Funds and the FY 2025/26 Annual Action Plan, afforded the public an opportunity to be heard, and considered the staff report including the staff recommendations therein.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF FREMONT RESOLVES AS FOLLOWS:
SECTION 1. CDBG Funds for FY 2025-26 are allocated as specified in Exhibit 3, the CDBG and ESG Statement of Community Development Objectives and projected Use of Funds.
SECTION 2. The City Manager or designee shall take such actions necessary to:
a. Allocate additional funds to public service projects should the City receive additional program in FY 2025-26 or a greater entitlement allocation from HUD in FY 2025-26. b. Reserve unallocated funds to provide gap funding or fund projects that meet emerging needs.
SECTION 3. The City’s FY 2025-2029 Consolidated Plan and FY 2025/26 Annual Action Plan attached as Exhibit 2 (“Consolidated & Action Plan”) and the Final Statement of Community
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Attachment: Exhibit 4 - Resolution FY 25-26 CDBG Funding Recommendations Draft (5413 : FEDERAL GRANTS FIVE-YEAR CONSOLIDATED
Development Objectives and Projected Use of Funds FY 2025-26, attached as Exhibit 3 (“Final Statement) are approved, and the City Manager or designee is authorized to submit the approved Action Plan and Final Statement to HUD and to execute assurances of compliance with applicable laws and regulations, and to take all other necessary actions for implementation of the FY 2025-2026 Annual Action Plan and the CDBG and ESG programs.
SECTION 4. CDBG-funded capital projects are exempt from review under the California Environmental Quality Act (“CEQA”) pursuant to, without limitation, pursuant to CEQA Guidelines Section 15301 as the repair, maintenance or minor alteration of existing facilities involving negligible or no expansion of use, and/or CEQA Guidelines Section 15302 as replacement or reconstruction of existing structures and facilities where the new structure will be located on the same site and have substantially the same purpose and capacity as the replaced structure. Each of the foregoing provides a separate and independent basis for CEQA exemption. Funding will not be distributed for a project until appropriate National Environmental Policy Act (“NEPA”) review and clearance is completed;
SECTION 5. The City Manager or designee is authorized to execute the CDBG and ESG entitlement funding agreements with HUD.
SECTION 6. The City Manager or designee is hereby authorized to execute CDBG agreements effective July 1, 2025 with the grantees recommended for funding in the amounts set forth in the FY 2025-26 Annual Action Plan contingent upon a finding of no significant impact in the corresponding environmental assessments, and contingent upon adoption of the budget.
ADOPTED, , 2025, by the City Council of the City of Fremont, by the following vote:
AYE:
NOES:
ABSENT:
ABSTAIN:
Mayor
ATTEST: APPROVED AS TO FORM:
City Clerk City Attorney
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Attachment: Exhibit 4 - Resolution FY 25-26 CDBG Funding Recommendations Draft (5413 : FEDERAL GRANTS FIVE-YEAR CONSOLIDATED Exhibit 3
PROPOSED FINAL STATEMENT OF COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) AND
EMERGENCY SOLUTIONS GRANT (ESG)
OBJECTIVES AND PROJECTED USE OF FUNDS
Proposed FY 2025-2026 Community Development Block Grant Objectives:
1. To make available public services designed primarily to address the most critical needs of low - and moderate-income households
2. To promote the rehabilitation of homes occupied by low and moderate -income households in order to eliminate conditions that threaten the health and safety of occupants including accessibility improvements for disabled renters
3. To provide grants for emergency home repairs to correct health and safety problems and facilitate access in housing occupied by low -income elderly, disabled or single parent homeowners.
4. To provide fair housing services to investigate and resolve complaints of illegal discriminatory practices; provide educational outreach to discourage and prevent illegal housing practices; and increase public awareness of fair housing laws and services available to detect and challenge illegal practices.
CDBG Projected Use of Funds:
Project
FY 2025-
2026
Afghan Coalition:
Build and expand microenterprise program for women with the objective of increasing self-sufficiency. (570.201 (o)(1)(ii))
$50,000
Community Child Care Coordinating Council (4Cs):
Maintain family childcare development program with the goal of providing childcare and small business training to potential family child providers. (570.201(o)(1)(ii) $50,000
Fremont Family Resource Center, SparkPoint Program:
Provide technical assistance, advice, and support services to clients with the goals of developing micro-enterprises or attaining homeownership. (570.201(o) and 570.201(n))
$70,000
Habitat for Humanity
Provide Housing Rehabilitation Loan, Minor Home Repair and Emergency Repair Program for low-income single-family home owners and mobile home owners. (citywide activity) ((570.202(a)(1) & 570.202(b))
$300,000
Safe Alternatives to Violent Environments (SAVE) :
Shelter and assistance for victims of domestic violence . $65,000
Project Sentinel:
Administer the fair housing and landlord/tenant program. The program provides counseling, and information and referral to all rental housing providers and rental housing consumers. (570.201(e))
$86,280
Social Services: Funds to support the City’s Social Service grant funding to provide basic needs services, crisis intervention services and prevention and enabling services to people with the fewest resources and who are most in need. (570.201 €) $103,129
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Attachment: Exhibit 3 - FY2025-26 Proposed Final Statement (5413 : FEDERAL GRANTS FIVE-YEAR CONSOLIDATED PLAN AND ANNUAL Exhibit 3
Bay Area Community Health (BACH): Mowry III Renovation Pt 2 $250,000 Mid-Peninsula Housing Corporation: Century Village Rehabilitation Project $465,280 Fremont Family Resource Center: Flooring Replacement Project $175,000 Ohlone College: Basic Needs Resource Center Pre-development Activities/Feasibility Study
$50,000
CDBG Program Administration:
Administer new and existing projects for compliance with CDBG regulations (570.206(a)).
$340,192
Total Uses: $2,004,881
General Administration and Public Service Cap Calculations:
FY 2025/26
Public Service Cap: ($1,579,819+$116,240) x.15 = $254,409 CDBG Administration Cap: ($1,579,819 + $121,143) x .20 = $340,192
It is projected that at least 80% of the CDBG funds allocated to the above projects will benefit low and moderate-income households. The City will appropriate any additional income received during FY 20 25- 2026 to eligible CDBG projects.
Proposed FY 2025-2026 Emergency Solutions Grant (ESG) Objectives:
1. Address the needs of homeless people in emergency or transitional shelters to assist people to quickly regain stability in permanent housing after experiencing a housing crisis and/or homelessness.
2. ESG funds must be used for activities which primarily benefit individuals and families that meets HUD’s “homeless” and “at-risk of homelessness” definitions in accordance with 24 CFR 576 .
ESG Projected Use of Funds:
Project
FY 2025-
2026
Housing Stability – Homelessness Prevention:
Provide housing stability services for individuals at -risk or in danger of falling into homelessness.
$10,965
ESG Program Administration (7.5% Cap):
Administer new and existing projects for compliance with ESG regulations. $135,242
Total Uses: $146,207
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Attachment: Exhibit 3 - FY2025-26 Proposed Final Statement (5413 : FEDERAL GRANTS FIVE-YEAR CONSOLIDATED PLAN AND ANNUAL Fremont City Council Meeting: 07/08/25 07:00 PM
3300 Capitol Avenue Div/Dept: Environmental Services
Fremont, CA 94538 Category: Agreements and Contracts
SCHEDULED
Sponsors:
COUNCIL STAFF REPORT (ID # 5491) DOC ID: 5491
Updated: 7/3/2025 9:29 AM by Dina Lewis Page 1
CRITICAL MUNICIPAL FACILITIES PROJECT - Public Hearing (Published Notice) to consider a resolution 1) authorizing the City Manager, or designee, to negotiate, execute and implement a Power Purchase Agreement (PPA) with Ava Community Energy for installation of solar-battery microgrids at two critical City facilities; 2) finding that the PPA qualifies for expedited procurement under California Government Code Section 4217.10; 3) finding that the project is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) per, without limitation, on a separate and independent basis, Public Resources Code 21080.35, Guideline 15301 (Existing Facilities), 15303 (New Construction or Conversion of Small Structures), and 15311 (Accessory Structures); and 4) finding that the resolution supersedes Resolution 2024-49.
Contact Persons:
Name: Allyn McAuley
Title: Sustainability Manager
Div/Dept: Environmental Services
Phone: 510-494-4576
E-Mail: [email protected]
Executive Summary: City staff have worked with Ava Community Energy (Ava) to prepare plans and agreements for solar and battery installations at two City facilities: Age Well Center at South Fremont and the City-owned building at 37350 Joseph Street housing the Tri-City Volunteers Food Bank. The proposed projects would be financed through a Power Purchase Agreement (PPA) between the City and Ava. It is anticipated to cost about $55,000 in the first year with a 2% annual inflator over a 25-year term. These upgrades are expected to save the City just under $15,000 over the full term. The PPA would allow Ava to own, operate, and maintain the generating equipment and the City would agree to host the systems and purchase the electric output for 25 years. The project is an implementation action of both the updated Climate Action Plan (“Climate Ready Fremont”) and the City’s Local Hazard Mitigation Plan.
Staff is recommending that Council authorize the City Manager, or designee, to negotiate, execute and implement the PPA with Ava and make additional findings to carry out this action as stated in this staff report.
BACKGROUND: East Bay Community Energy (EBCE) formed in 2016 as a joint powers authority to provide cleaner, greener energy at lower rates to Alameda County customers.
EBCE started providing electricity to customers in 2018 and has expanded to include communities in San Joaquin County. In 2023, the name was changed to Ava Community Energy (Ava) to better reflect the larger service territory. Ava’s goals include local control and oversight, driving investment in renewable energy, and improving resilience of local communities. To help advance these goals, Ava is offering a regional procurement program called the Critical Municipal Facilities program, to deploy solar/battery microgrids at city facilities for some of its member agencies.
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Council Staff Report (ID # 5491) Meeting of July 8, 2025 Updated: 7/3/2025 9:29 AM by Dina Lewis Page 2
On July 6, 2021, the City Council adopted a resolution authorizing the City Manager to pursue deployment of solar and battery energy systems at critical municipal facilities in partnership with Ava.
Across Ava’s service area, more than 300 critical municipal facilities were analyzed to determine the feasibility of solar and battery energy storage systems to meet critical loads in times of grid outages. In Fremont, approximately forty critical municipal facilities were initially identified as potential microgrid locations. After excluding sites that were due for significant retrofitting, rebuilding, or likely redevelopment, six sites in Fremont were selected as part of the procurement project portfolio. On December 3, 2024, the City Council unanimously adopted Resolution No. 2024-49 authorizing the City Manager to negotiate and execute an agreement with Ava Community Energy (Ava) to install solar- battery microgrids at those six city facilities.
Following the December 2024 Council meeting, staff worked closely with Ava staff to carry out Council’s direction by negotiating the PPA for the six sites, while some participating cities were still preparing to bring the item to their respective councils. During the PPA negotiations, Ava and their partners began having concerns when they learned about potential tariffs and rescinded renewable energy tax credits that were likely to have direct impacts on this project. Starting in late January, the new federal administration began taking actions and discussing future actions that elevated these concerns. Ava notified participating cities including Fremont on February 13th that the project’s financier, Green Bridge Energy, was ceasing work on this project, effectively ending their involvement and the entire project in its existing form.
Ava acted quickly to devise a new arrangement to preserve the project. The new strategy included Ava taking over as the owner, conducting a new RFP to hire an Engineering, Procurement, and Construction (EPC) firm, and reducing the scope for the regional project to two sites per city. Now that Ava is serving as the owner, they wanted to reduce the portfolio to decrease the financial risk and increase the likelihood of building the projects by the April 15, 2026 deadline to achieve the more favorable NEM 2.0 solar rates. The Ava Board of Directors considered this revised project at their May 21st meeting and voted to proceed unanimously.
As of June 2025, Fremont, Hayward, Livermore, and Berkeley are still participating in the regional project.
DISCUSSION/ANALYSIS: There are 8 project sites across four cities participating in this program. Ava designed the Resilient Municipal Critical Facilities program to reduce barriers to local governments for the deployment of solar and storage by providing technical expertise and staff time and aggregating cities’ small solar projects into a larger portfolio to take advantage of bulk purchasing, a streamlined contracting process, and better pricing.
The primary objective of this program is to add resilience to municipal facilities, allowing them to operate emergency loads using solar and storage technologies during a grid outage.
Battery systems will also allow facilities to “island”, or isolate, from the grid during a Public Safety Power Shutoff (PSPS) event or other grid outage. The battery systems are anticipated to provide 8 or more hours of backup service under normal usage, 2.5 hours of backup service at maximum usage, and potentially infinite backup power with solar recharging and reducing demand to essential operations only.
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Council Staff Report (ID # 5491) Meeting of July 8, 2025 Updated: 7/3/2025 9:29 AM by Dina Lewis Page 3
Similar solar/battery microgrids were installed at three Fremont fire stations in 2018/19 with help from a California Energy Commission grant and have proven to provide reliable and clean backup power with no negative impact on operations.
The two sites proposed for upgrades are:
Project Site Location PV Size
(kW DC)*
Battery Size
(kWh)*
Tri-City
Volunteers
Centerville 51.33 81
Age Well Center
South Fremont
Warm Springs 25.23 81
*Sizes are approximate and may be modified to optimize operational and financial benefits.
Power Purchase Agreement (PPA) – Under a PPA model, a PPA provider pays for the installation, operations and maintenance of the solar and battery energy storage systems, and the City pays an agreed upon price per kilowatt-hour (kWh) for power generated. Staff has negotiated the key terms of the PPA between the City and Ava. Ava is contracting with McMillan Electric to build the microgrid installations. Ava will own, operate and maintain the solar and battery systems.
Key Terms of the PPA:
• There are no upfront costs to the City.
• The City will make monthly payments to Ava for electricity and battery storage. • The City will only pay for the electricity received from the systems. Furthermore, if the equipment delivers less than 85% of the expected annual power output from the system, Ava would make cash payments to the City to offset the City’s costs in procuring needed power. This provision provides additional incentive to Ava, and in turn their contractors, to maintain the systems in good working order. • The PPA payments include a 2% annual escalation rate over the 25-year term of the agreement, compared to a forecasted 4.5% escalation rate for standard electricity bills.
• The City’s total payments over the 25-year contract, in combination with regular electricity and natural gas bills, are projected to be less than they would be without the project.
• The PPA grants Ava and its contractors a license to access the solar and battery systems for monitoring and maintenance purposes.
• Ava will ensure that all contractors, subcontractors, and employees hired or contracted by Ava which will perform work on the projects will be paid prevailing wages.
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Council Staff Report (ID # 5491) Meeting of July 8, 2025 Updated: 7/3/2025 9:29 AM by Dina Lewis Page 4
The staff report for the December 2024 Council meeting stated that Ava estimated the six proposed projects would generate total savings of nearly $900,000 over the 25 year life of the PPA. However, due to the substantial changes to the project resulting from the federal actions and the withdrawal of the financing partner, Ava no longer forecasts significant savings for the City. This project is now projected to be essentially cost-neutral.
Even with the revised economics, staff still recommends the project due to several key benefits:
• Resiliency: Adding microgrids at an Age Well Center and community food bank provides vital public-serving community facilities with the ability to use electricity generated and stored on-site to perform essential operations during power outages. • Clean Tech: This project will equip city facilities with advanced renewable energy and non-fossil fuel technologies.
• Reduced Risk: Solar PPAs enable the City to “lock in” electricity rates for a long term, and the reduced portfolio of 2 sites lowers financial risk. In addition, Ava will take on the financial risk of relevant items like tariffs and tax credits and guarantee an estimated savings floor of 0.5% for the City.
Climate Ready Fremont and Local Hazard Mitigation Plan
Council adopted an updated Climate Action Plan (entitled “Climate Ready Fremont”) in October 2023. Climate Ready Fremont includes a “Game Plan” that identifies priority actions to be completed in the first three years of implementation. Partnering with Ava to install solar/battery microgrids at City facilities is one of the actions called for in the Game Plan as it furthers the goals of carbon neutrality and community resilience embedded in Climate Ready Fremont.
Council also adopted an updated Local Hazard Mitigation Plan (LHMP) in November 2024.
The LHMP includes a list of prioritized Mitigation Actions. One of the identified Mitigation Actions is to maintain and expand auxiliary power capabilities at critical City facilities, which would be furthered by the proposed solar/battery microgrid project.
Single Source Procurement
The proposed PPA with Ava, described above, is a single source procurement. Staff recommends that the City utilize California Government Code Section 4217.10 that allows for the expedited procurement of energy conservation projects by municipal agencies as long as the energy project is determined to provide financial savings over the operating lifetime.
Specifically, Code Section 4217.10 et seq authorizes public agencies to enter into an energy service contract without competitive bidding, provided that there is a two-week public notice before the authorization of the procurement and the cost of the conservation services provided by an energy conservation facility will be less than the anticipated marginal cost of energy that would have been consumed in the absence of the project.
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Council Staff Report (ID # 5491) Meeting of July 8, 2025 Updated: 7/3/2025 9:29 AM by Dina Lewis Page 5
Equipment Pre-order
In June, Ava notified the City that they intend to pre-order equipment for Fremont in advance of the July 8th Council meeting. Ava understands that the City’s participation in this regional project is contingent upon Council approval and hence their decision carries some risk. Ava has decided that it is nevertheless most prudent for them to pre-order the equipment due to the risks of increased tariffs and losing the applicable investment tax credits.
FISCAL IMPACT: The City is anticipating costs of about $55,000 in PPA payments the first year. These costs were included in the FY 2025/26 General Fund adopted operating budget.
This forecast is derived using a fixed 2% annual rate increase for the PPA payments, and a
4.5% anticipated annual escalation rate for standard electricity bills. Since Fremont’s portfolio only consists of two sites, the expected annual payments with this project are similar to the expected annual payments without these systems. The project is forecasted to be slightly more expensive than anticipated costs absent the PPA for the first half of the 25-year term, between $500 - $8,500 annually. Then the project is forecasted to be less expensive than anticipated costs absent the PPA for the second half of the term, with expected savings of $500 - $14,500 annually. These annual payments cumulatively result in anticipated savings of just under $15,000 over the full term when compared to estimated electricity costs for the two sites absent the PPA.
ENVIRONMENTAL REVIEW: The proposed project is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) per, without limitation, on a separate and independent basis, Public Resources Code 21080.35, Guideline 15301 (Existing Facilities), 15303 (New Construction or Conversion of Small Structures), and 15311 (Accessory Structures).
ATTACHMENTS:
• 2025 Critical Facilities Resolution DRAFT
RECOMMENDATIONS:
1. Hold public hearing.
2. Adopt a resolution a) authorizing the City Manager, or designee, to negotiate, execute and implement a PPA with Ava Community Energy, consistent with the terms described in the staff report; b) finding that California Government Code Section 4217.10 applies to the PPA and authorizes expedited procurement; c) finding that the project is categorically exempt from CEQA per, without limitation, on a separate and independent basis, Public Resources Code 21080.35, Guideline 15301 (Existing Facilities), 15303 (New Construction or Conversion of Small Structures), and 15311 (Accessory Structures); and d) finding that the resolution supersedes Resolution 2024 -49.
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Resolution 2025-XX Page 1 of 3 RESOLUTION NO. 2025-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FREMONT
AUTHORIZING THE CITY MANAGER OR DESIGNEE TO
NEGOTIATE, EXECUTE AND IMPLEMENT A POWER PURCHASE
AGREEMENT (PPA) WITH AVA COMMUNITY ENERGY FOR THE
DEPLOYMENT OF SOLAR AND BATTERY ENERGY SYSTEMS AT
CRITICAL MUNICIPAL FACILITIES; FINDING THAT CALIFORNIA
GOVERNMENT CODE SECTION 4217.10 APPLIES TO THE PPA AND
AUTHORIZES EXPEDITED PROCUREMENT ; FINDING THAT THE
RESOLUTION SUPERSEDES RESOLUTION 2024 -49; AND MAKING
FINDINGS OF CEQA EXEMPTION
WHEREAS, the City Council of the City of Fremont (City Council) adopted its first Climate Action Plan (CAP) in November 2012, setting forth an implementation plan to reduce both municipal and community-scale greenhouse gas (GHG) emissions by 25% by 2020 from a 2005 baseline in alignment with its General Plan vision; and WHEREAS, on November 15, 2016, the City Council adopted Ordinance No. 23-2016 authorizing Fremont's participation in the East Bay Community Energy Authority (EBCE), development of the EBCE Community Choice Aggregation program, and implementation of EBCE as Fremont’s Load Serving Entity; and
WHEREAS, on February 19, 2019, the City Council adopted Resolution No. 2019-03 establishing new municipal and community-scale GHG emissions reduction targets of 55% by 2030 from a 2005 baseline and carbon neutrality by 2045; and WHEREAS, on July 6, 2021, the City Council adopted Resolution No. 2021-45, authorizing the City Manager to pursue deployment of solar and battery energy storage systems at critical municipal facilities in partnership with EBCE; and WHEREAS, on October 10, 2023, the City Council adopted an updated CAP with specific measures to reduce GHG emissions by an additional 30 percent from 2018 levels (equivalent to a 55 percent reduction from 2005 levels) in alignment with its adopted 2030 GHG reduction target; and
WHEREAS, the short-term Game Plan of priority CAP actions includes partnering with Ava Community Energy to install solar and battery energy storage systems on critical City facilities; and
WHEREAS, the City Council has demonstrated its commitment to a sustainable and resilient future through its policy goals and actions, including energy reduction, clean energy programs, and the expansion of local renewable power supply; and WHEREAS the City of Fremont aims to provide state-of-the-art, well-maintained infrastructure, amenities, and facilities, creating a resilient, safe, connected, and prepared city and being a global leader in addressing climate change and protecting the environment; and
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Attachment: 2025 Critical Facilities Resolution DRAFT (5491 : Critical Municipal Facilities Project)
Resolution 2025-XX Page 2 of 3 WHEREAS, solar and battery energy storage systems provide clean, renewable electricity, can reduce time-of-use charges during peak pricing periods, and provide resilience benefits allowing critical facilities to continue to operate on a limited basis during a power outage; and
WHEREAS, in October 2023, East Bay Community Energy changed its name to Ava Community Energy (Ava); and
WHEREAS, on December 3, 2024, the City Council adopted Resolution No. 2024-49 authorizing the City Manager to negotiate and execute a Power Purchase Agreement (PPA) with Ava for the deployment of solar and battery energy systems at six City facilities; and WHEREAS, in February 2025, prior to execution of the PPA, Ava’s financing partner withdrew from the project due to fiscal plans and actions of the federal government impacting project finances; and
WHEREAS, Ava took over the vacated role of project owner and reduced the portfolio from six Fremont sites to two; and
WHEREAS, City staff worked with Ava staff to develop preliminary plans for solar and batteries at the two City facilities: Age Well Center at South Fremont and the City-owned building at 37350 Joseph Street housing the Tri-City Volunteers Food Bank; and WHEREAS, the PPA between the City and Ava would allow Ava to own, operate, and maintain the generating equipment and the City would agree to host the systems and purchase the electric output for 25 years; and
WHEREAS, there are no upfront costs to the City and the City’s total payments over the 25-year contract, in combination with regular electricity and natural gas bills, will be less than they would be without the project; and
WHEREAS, California Government Code Section 4217.10, et seq., allows expedited procurement in lieu of standard contract bidding requirements, provided that the energy project is determined to provide financial savings over the operating lifetime; and WHEREAS, California Government Code Section 4217.12 requires that the City hold a public hearing and there is a two-week public notice before the authorization of the procurement; and
WHEREAS, a public hearing notice was published in the Tri City Voice on June 24, 2025.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FREMONT AS FOLLOWS:
Section 1. The City Council of the City of Fremont hereby authorizes and directs the City Manager or designee to negotiate, execute and take all necessary and reasonable steps to implement the PPA with Ava and facilitate the installation of solar and batteries at the two City facilities; and
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Attachment: 2025 Critical Facilities Resolution DRAFT (5491 : Critical Municipal Facilities Project)
Resolution 2025-XX Page 3 of 3 Section 2. The City Council finds that proposed PPA with Ava for the solar and battery energy systems project will provide financial savings over the operating lifetime and therefore qualifies for expedited single source procurement under California Government Code Section 4217.10; and
Section 3. The City Council finds that this proposed project is exempt from the requirements of the California Environmental Quality Act (CEQA) per, without limitation, on a separate and independent basis, Public Resources Code 21080.35, Guideline 15301 (Existing Facilities), 15303 (New Construction or Conversion of Small Structures), and 15311 (Accessory Structures); and
Section 4. This resolution supersedes Resolution 2024-49.
ADOPTED____________, 2025 by the City Council of the City of Fremont by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_________________________________
Mayor
ATTEST:
__________________________________
City Clerk
APPROVED AS TO FORM:
_________________________________
City Attorney
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Attachment: 2025 Critical Facilities Resolution DRAFT (5491 : Critical Municipal Facilities Project) Fremont City Council Meeting: 07/08/25 07:00 PM
3300 Capitol Avenue Div/Dept: Fire Department
Fremont, CA 94538 Category: Code Adoptions & Amendments
SCHEDULED
Sponsors:
COUNCIL STAFF REPORT (ID # 5504) DOC ID: 5504
Updated: 7/3/2025 8:55 AM by Dina Lewis Page 1
DESIGNATION OF FIRE HAZARD ZONES IN THE WILDLAND URBAN INTERFACE
FIRE AREA OF THE CITY AND RE-ESTABLISHMENT OF THE WILDLAND URBAN INTERFACE FIRE AREA - Consideration of an ordinance that will maintain existing vegetation management, defensible space and fire-resistant building standard requirements in the Hazardous Fire Area by amending the State of California's newly released fire hazard severity designations for the City of Fremont and establishing the Wildland-Urban Interface Fire Area.
Contact Persons:
Name: Eric Govan Gregory Miller
Title: Fire Marshal Deputy Fire Marshal
Div/Dept: Fire Department Fire Department
Phone: 510-494-4200 510-494-4200
E-Mail: [email protected] [email protected]
Executive Summary: Pursuant to California Government Code Section 51179, cities are required to adopt updated Fire Hazard Severity Zone (FHSZ) maps and designations provided by the California State Fire Marshal (CAL FIRE). CAL FIRE released new Fire Hazard Severity Zone (FHSZ) maps for Local Responsibility Areas (LRA) on February 24, 2025, following a statewide update, which designated areas in the City as “Moderate,” “High” and “Very High” fire hazard severity zones. This ordinance would adopt CAL FIRE’s 2025 FHSZ map, with amendments retaining additional areas previously classified by the City as Very High fire hazard severity zones in accordance with changes in state law, and to continue current fire protection standards previously established by the City in and around the hill areas of the City.
BACKGROUND: In 1980, the City of Fremont (City) adopted Ordinance No. 1416 establishing the areas east of Mission Boulevard, east of Interstate 680, the Ardenwood Historic Farm and Coyote Hills Regional Park as Very High Fire Hazardous Severity Zone Area (VHFHSZ). The City Council also previously approved a VHFHSZ on December 4, 2007 via Ordinance 33-2007.
The VHFHSZ designation reflected the potential in these areas for a wildfire to ignite, spread rapidly, and overwhelm local firefighting resources due to the fuel load, terrain, winds, and other factors. In the 2007 code adoption cycle, the California Building Standards Commission adopted heighten fire protection building standards for structures located in the fire hazard severity zones identified by the CAL FIRE. These heightened standards are very similar to those adopted by the City for the VHFHSZ Area.
The 2025 CAL FIRE map reclassifies some areas of the City as “Moderate” and “High” fire hazard zones, with only a small area identified as VHFHSZ within the City’s urban-wildland interface area. The Fire Department has reviewed the new CAL FIRE maps and determined that the existing zones previously designated by the City as VHFHSZ, approved by City Council in 2007, should continue and remain appropriate and sufficient for the purposes of fire safety regulation, including defensible space, building code enforcement, and public safety and outreach.
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Council Staff Report (ID # 5504) Meeting of July 8, 2025 Updated: 7/3/2025 8:55 AM by Dina Lewis Page 2
DISCUSSION/ANALYSIS: This ordinance would adopt CAL FIRE’s 2025 FHSZ map and designations, with local amendments continuing the City’s prior designation of additional areas as VHFHSZ, in accordance with Government Code Section 51179(b). Continuation of these additional VHFHSZ areas in the City is necessary in order to implement the requirements of Government Code Section 51182 for effective fire protection within the area, considering local conditions and historical information, such as the prevalence of fire resistive construction features, fuel and topography, lack of natural firebreaks which limit the spread of embers, and others. Based on past surveys and staff experience with fire hazards and the standards currently in place in these areas, staff recommend retaining the designation of VHFHSZ for these areas, which locations and boundaries are depicted in the fire hazard severity zone map attached as Exhibit A to the proposed ordinance.
The VHFHSZ designation will trigger fire protective building standards established by the 2022 California Building Standards Code for Wildland-Urban Interface Fire Areas. These standards are in the process of being updated and will be included in the next editions of the 2025 California Building and Fire Codes. By adopting the 2025 CAL FIRE Local Responsibility Area map for the City without altering the existing VHFHSZ designations, Fremont maintains continuity in wildfire risk management while complying with state law.
This action supports the City’s Wildland-Urban Interface (WUI) mitigation program and ensures regulatory consistency with previously adopted fire codes.
FISCAL IMPACT: There are no direct fiscal impacts to the City.
ENVIRONMENTAL REVIEW: The action is not a project as defined by Pub. Res. Code Section 21065, and is exempt from CEQA review per: (1) CEQA Guidelines Section 15378(b)(2), as exempt continuing administrative, policy and procedure making, or maintenance activities; (2) CEQA Guidelines Section 15378(b)(4), as the creation of a government funding mechanism or other government fiscal activity that does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment; (3) CEQA Guidelines Section 15061(b)(3), which exempts projects when it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.
ATTACHMENTS:
• Draft Ordinance- Wildland Urban Interface Area Fire Hazard Severity Zones • Very High Fire Hazard Severity Zone (VHFHSZ) Map
RECOMMENDATION: Waive full reading and introduce an ordinance updating Fremont Municipal Code Chapter 15.65 to adopt CAL FIRE’s 2025 FHSZ map and designations, with local amendments continuing the City’s prior designation of additional areas as Very High fire hazard severity zones.
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Ordinance XX-2025 Page 1 of 3 ORDINANCE NO. XX-2025
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FREMONT REPEALING AND REPLACING CHAPTER 15.65 OF THE FREMONT
MUNICIPAL CODE TO DESIGNATE FIRE HAZARD SEVERITY ZONES
AND REESTABLISH THE WILDLAND URBAN INTERFACE FIRE AREA
IN THE CITY
WHEREAS, the State Fire Marshal is charged with the responsibility to designate areas in the state as moderate, high, or very high fire hazard severity zones based on consistent statewide criteria and the fire hazard risk expected to prevail in those areas; and WHEREAS, the Fremont Fire Department received recommendations from the State Fire Marshal in early 2025, and thereafter made the information available to the public in accordance with Government Code Section 51178.5; and
WHEREAS, local agencies are required by law to comply with the designations of the State Fire Marshall, but may, by ordinance, re-designate areas as very high fire hazard severity zones within their jurisdictions not otherwise designated as such by the State Fire Marshal pursuant to Government Code Section 51179, based on findings supported by substantial evidence in the record that the requirements of Government Code Section 51182 are necessary for effective fire protection within the area.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY FREMONT HEREBY ORDAINS AS FOLLOWS:
SECTION 1. FMC CHAPTER 15.65 REPEALED AND REPLACED
Title 15, Chapter 15.65 of the Fremont Municipal Code is hereby repealed in its entirety and is replaced by a new Chapter 15.65 to read as follows:
Sec. 15.65.010 Title
This Chapter shall be known as the “Wildland-Urban Interface Fire Area Ordinance.” Sec. 15.65.020 Purpose
This Chapter is intended to comply with the requirements of Government Code Sections 51175 – 51189, and Public Resources Code Section 4291(a), which require the City to adopt, by ordinance, the fire hazard severity zones designated by the California Department of Forestry and Fire Protection (CALFIRE), which consist of Very High, High, and Moderate designations, subject to the City’s authority to designate areas as Very High Fire Hazard Zones not otherwise designated by CALFIRE. By adopting this Chapter, the City exercises its authority pursuant to Government Code Section 51179 to reclassify areas as necessary to enable city officials to identify and implement wildfire prevention measures that slow the spread, reduce the intensity of uncontrolled fires, and protect resources, lives, and properties.
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Attachment: Draft Ordinance- Wildland Urban Interface Area Fire Hazard Severity Zones (5504 : WILDLAND URBAN INTERFACE FIRE AREA) Ordinance XX-2025 Page 2 of 3 Sec. 15.65.030 Adoption of CALFIRE Recommended Fire Hazard Severity Zones The City hereby designates the Fire Hazard Severity Zones as recommended by CALFIRE in 2025 pursuant to Government Code Section 51178, as amended by this Chapter.
Sec. 15.65.040 City Designation of Very High Fire Hazard Severity Zones (a) The City hereby designates additional areas beyond those identified by the State Fire Marshal, as Very High Fire Hazard Severity Zones based on a finding supported by substantial evidence in the record that the requirements of Government Code Section 51182 are necessary for effective fire protection within the City-designated areas. These areas were previously approved by the City Council as Very High Fire Hazard Severity Zones on December 4, 2007 (Ordinance 33-2007).
(b) The designation, locations, and boundaries of the Fire Hazard Severity Zones in the City, as recommended by the State Fire Marshal and as amended by the City, are set forth on the map labeled “City of Fremont, Local Responsibility Area, Fire Hazard Severity Zones” dated June 26, 2025. Said map is hereby approved by the City Council and attached to the Ordinance as Exhibit A and incorporated herein.
(c) An official copy of the Fire Hazard Severity Zones map must be kept on file with the City Clerk’s Office, posted online on the Fire Department’s website, and shall be made available to the public at the administrative offices of the Fire Department during regular business hours.
Sec. 15.65.050 Authority to Impose More Restrictive Fire and Public Safety Requirements
Pursuant to Government Code Section 51175, neither the adoption of this Chapter nor the City’s designation of areas as Very High Fire Hazard Severity Zones shall limit or restrict the authority of the City to impose more restrictive fire and public safety requirements, including any such restrictions currently in existence and any that may be adopted in the future, as otherwise authorized by law.
SECTION 2. CEQA
The City Council finds under Title 14 of the California Code of Regulations, Section 15061(b)(3), that this ordinance is exempt from the requirements of the California Environmental Quality Act (CEQA) because, without limitation, it is not a “project” as defined in CEQA Guidelines Section 15378(b)(2) and/or 15378(b)(5), and it can be seen with certainty that the activity does not have the potential of causing a significant effect on the environment per CEQA Guidelines Section 15061(b)(3), each as a separate and independent basis for CEQA compliance.
SECTION 3. SEVERABILITY
If any section, subsection, sentence, clause or phrase of this ordinance is for any reason held by a court of competent jurisdiction to be invalid, such a decision shall not affect the validity of the remaining portions of this ordinance. Such section, subsection, sentence, clause or phrase, instead, shall be superseded and replaced by the corresponding provisions, if any exist, of Title 24 of the California Code of Regulations. The City Council of the City of Fremont hereby declares that it
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Attachment: Draft Ordinance- Wildland Urban Interface Area Fire Hazard Severity Zones (5504 : WILDLAND URBAN INTERFACE FIRE AREA) Ordinance XX-2025 Page 3 of 3 would have adopted this ordinance and each section or subsection, sentence, clause and phrase thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid.
SECTION 4. EFFECTIVE DATE
This ordinance shall take effect and be enforced 30 days after adoption.
SECTION 5. PUBLICATION AND POSTING
The City Clerk will cause the ordinance to be posted and published in accordance with the requirements of Government Code Section 36933.
The foregoing ordinance was introduced before the City Council of the City of Fremont at the regular meeting of the City Council, held on the _____day of ________________ and adopted at a regular meeting of the City Council held on the _____ day of __________________ by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_________________________________
Mayor
ATTEST
__________________________________
City Clerk
APPROVED AS TO FORM:
_________________________________
City Attorney
Exhibit A – Fremont Local Responsibility Area Fire Hazard Severity Zones Map
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Attachment: Draft Ordinance- Wildland Urban Interface Area Fire Hazard Severity Zones (5504 : WILDLAND URBAN INTERFACE FIRE AREA) San Jose
Fremont
Hayward
Sunol
Palo Alto
Union City
Newark
Milpitas
Menlo Park
East Palo Alto
Local Responsibility Area | Fire Hazard Severity Zones
¦
Fire Hazard Severity Zones (FHSZ)
in Local Reponsibility Area (LRA),
as Identified by the State Fire Marshal
Moderate
High
Very High
Fire Hazard Severity Zones in State
Responsibility Area (SRA),
Effective April 1, 2024
Very High
High
Moderate
Very High Fire Hazard
Severity Zone
City Ordinance 33-2007
City Council Appoved November 27, 2007
Incoporated City
Unzoned LRA
Waterbody
FRA Areas
Map prepared by the GIS Division, Information Technology Services June 26, 2025 | 1:84,000
ALAMEDA CO
SAN MATEO CO
ALAMEDA CO
SANTA CLARA CO
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Attachment: Very High Fire Hazard Severity Zone (VHFHSZ) Map (5504 : WILDLAND URBAN INTERFACE FIRE AREA)