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AGREEMENT FOR SERVICES
(For contracts over $5,000 - CONSULTANT)
This AGREEMENT made this 20th day of April, 2026, between:
CITY: City of Gilroy, having a principal place of business at 7351 Rosanna Street, Gilroy, California
and CONSULTANT: Hello Housing, having a principal place of business at 121 San Anselmo Avenue, #2440, San Anselmo, CA 94979.
ARTICLE 1. TERM OF AGREEMENT
This Agreement will become effective on July 1, 2026 and will continue in effect through June 30, 2028, with three, one-year extension options unless terminated in accordance with the provisions of Article 7 of this Agreement.
Any lapse in insurance coverage as required by Article 5, Section D of this Agreement shall terminate this Agreement regardless of any other provision stated herein. ______ Initial
ARTICLE 2. INDEPENDENT CONTRACTOR STATUS
It is the express intention of the parties that CONSULTANT is an independent contractor and not an employee, agent, joint venturer or partner of CITY. Nothing in this Agreement shall be interpreted or construed as creating or establishing the relationship of employer and employee between CITY and CONSULTANT or any employee or agent of CONSULTANT. Both parties acknowledge that CONSULTANT is not an employee for state or federal tax purposes.
CONSULTANT shall not be entitled to any of the rights or benefits afforded to CITY’S employees, including, without limitation, disability or unemployment insurance, workers’ compensation, medical insurance, sick leave, retirement benefits or any other employment benefits. CONSULTANT shall retain the right to perform services for others during the term of this Agreement.
ARTICLE 3. SERVICES TO BE PERFORMED BY CONSULTANT
A. Specific Services
CONSULTANT agrees to: Perform the services as outlined in Exhibit “A” (“Specific Provisions”) and Exhibit “B” (“Scope of Services”), within the time periods described in Exhibit “C” (“Milestone Schedule”).
B. Method of Performing Services
CONSULTANT shall determine the method, details and means of performing the above-described services. CITY shall have no right to, and shall not, control the manner or determine the method of accomplishing CONSULTANT’S services.
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C. Employment of Assistants
CONSULTANT may, at the CONSULTANT’S own expense, employ such assistants as CONSULTANT deems necessary to perform the services required of CONSULTANT by this Agreement, subject to the prohibition against assignment and subcontracting contained in Article 5 below. CITY may not control, direct, or supervise CONSULTANT’S assistants in the performance of those services. CONSULTANT assumes full and sole responsibility for the payment of all compensation and expenses of these assistants and for all state and federal income tax, unemployment insurance, Social Security, disability insurance and other applicable withholding.
D. Place of Work
CONSULTANT shall perform the services required by this Agreement at any place or location and at such times as CONSULTANT shall determine is necessary to properly and timely perform CONSULTANT’S services.
ARTICLE 4. COMPENSATION
A. Consideration
In consideration for the services to be performed by CONSULTANT, CITY agrees to pay CONSULTANT the amounts set forth in Exhibit “D” (“Payment Schedule”). In no event however shall the total compensation paid to CONSULTANT exceed $973,689.
B. Invoices
CONSULTANT shall submit invoices for all services rendered.
C. Payment
Payment shall be due according to the payment schedule set forth in Exhibit “D”. No payment will be made unless CONSULTANT has first provided City with a written receipt of invoice describing the work performed and any approved direct expenses (as provided for in Exhibit “A”, Section IV) incurred during the preceding period. If CITY objects to all or any portion of any invoice, CITY shall notify CONSULTANT of the objection within thirty (30) days from receipt of the invoice, give reasons for the objection, and pay that portion of the invoice not in dispute. It shall not constitute a default or breach of this Agreement for CITY not to pay any invoiced amounts to which it has objected until the objection has been resolved by mutual agreement of the parties.
D. Expenses
CONSULTANT shall be responsible for all costs and expenses incident to the performance of services for CITY, including but not limited to, all costs of equipment used or provided by CONSULTANT, all fees, fines, licenses, bonds or taxes required of or imposed against CONSULTANT and all other of CONSULTANT’S costs of doing business. CITY shall not be responsible for any expenses incurred by CONSULTANT in performing services for CITY, except for those expenses constituting “direct expenses” referenced on Exhibit “A.”
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ARTICLE 5. OBLIGATIONS OF CONSULTANT
A. Tools and Instrumentalities
CONSULTANT shall supply all tools and instrumentalities required to perform the services under this Agreement at its sole cost and expense. CONSULTANT is not required to purchase or rent any tools, equipment or services from CITY.
B. Workers’ Compensation
CONSULTANT agrees to provide workers’ compensation insurance for CONSULTANT’S employees and agents and agrees to hold harmless, defend with counsel acceptable to CITY and indemnify CITY, its officers, representatives, agents and employees from and against any and all claims, suits, damages, costs, fees, demands, causes of action, losses, liabilities and expenses, including without limitation reasonable attorneys’ fees, arising out of any injury, disability, or death of any of CONSULTANT’S employees.
C. Indemnification of Liability, Duty to Defend
1. As to professional liability, to the fullest extent permitted by law, CONSULTANT shall defend, through counsel approved by CITY (which approval shall not be unreasonably withheld), indemnify and hold harmless CITY, its officers, representatives, agents and employees against any and all suits, damages, costs, fees, claims, demands, causes of action, losses, liabilities and expenses, including without limitation attorneys’ fees, to the extent arising or resulting directly or indirectly from any willful or negligent acts, errors or omissions of CONSULTANT or CONSULTANT’S assistants, employees or agents, including all claims relating to the injury or death of any person or damage to any property.
2. As to other liability, to the fullest extent permitted by law, CONSULTANT shall defend, through counsel approved by CITY (which approval shall not be unreasonably withheld), indemnify and hold harmless CITY, its officers, representatives, agents and employees against any and all suits, damages, costs, fees, claims, demands, causes of action, losses, liabilities and expenses, including without limitation attorneys’ fees, arising or resulting directly or indirectly from any act or omission of CONSULTANT or CONSULTANT’S assistants, employees or agents, including all claims relating to the injury or death of any person or damage to any property.
D. Insurance
In addition to any other obligations under this Agreement, CONSULTANT shall, at no cost to CITY, obtain and maintain throughout the term of this Agreement: (a) Commercial Liability Insurance on a per occurrence basis, including coverage for owned and non-owned automobiles, with a minimum combined single limit coverage of $1,000,000 per occurrence for all damages due to bodily injury, sickness or disease, or death to any person, and damage to property, including the loss of use thereof; and (b) Professional Liability Insurance (Errors & Omissions) with a minimum coverage of $1,000,000 per occurrence or claim, and $2,000,000 aggregate; provided however, Professional Liability Insurance written on a claims made basis must comply with the requirements
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set forth below. Professional Liability Insurance written on a claims made basis (including without limitation the initial policy obtained and all subsequent policies purchased as renewals or replacements) must show the retroactive date, and the retroactive date must be before the earlier of the effective date of the contract or the beginning of the contract work. Claims made Professional Liability Insurance must be maintained, and written evidence of insurance must be provided, for at least five (5) years after the completion of the contract work. If claims made coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date prior to the earlier of the effective date of the contract or the beginning of the contract work, CONSULTANT must purchase so called “extended reporting” or “tail” coverage for a minimum of five (5) years after completion of work, which must also show a retroactive date that is before the earlier of the effective date of the contract or the beginning of the contract work.
As a condition precedent to CITY’S obligations under this Agreement, CONSULTANT shall furnish written evidence of such coverage (naming CITY, its officers and employees as additional insureds on the Comprehensive Liability insurance policy referred to in (a) immediately above via a specific endorsement) and requiring thirty (30) days written notice of policy lapse or cancellation, or of a material change in policy terms.
E. Assignment
Notwithstanding any other provision of this Agreement, neither this Agreement nor any duties or obligations of CONSULTANT under this Agreement may be assigned or subcontracted by CONSULTANT without the prior written consent of CITY, which CITY may withhold in its sole and absolute discretion.
F. State and Federal Taxes
As CONSULTANT is not CITY’S employee, CONSULTANT shall be responsible for paying all required state and federal taxes. Without limiting the foregoing, CONSULTANT acknowledges and agrees that:
• CITY will not withhold FICA (Social Security) from CONSULTANT’S payments;
• CITY will not make state or federal unemployment insurance contributions on CONSULTANT’S behalf;
• CITY will not withhold state or federal income tax from payment to CONSULTANT;
• CITY will not make disability insurance contributions on behalf of CONSULTANT;
• CITY will not obtain workers’ compensation insurance on behalf of CONSULTANT.
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ARTICLE 6. OBLIGATIONS OF CITY
A. Cooperation of City
CITY agrees to respond to all reasonable requests of CONSULTANT and provide access, at reasonable times following receipt by CITY of reasonable notice, to all documents reasonably necessary to the performance of CONSULTANT’S duties under this Agreement.
B. Assignment
CITY may assign this Agreement or any duties or obligations thereunder to a successor governmental entity without the consent of CONSULTANT. Such assignment shall not release CONSULTANT from any of CONSULTANT’S duties or obligations under this Agreement.
ARTICLE 7. TERMINATION OF AGREEMENT
A. Sale of Consultant’s Business/ Death of Consultant.
CONSULTANT shall notify CITY of the proposed sale of CONSULTANT’s business no later than thirty (30) days prior to any such sale. CITY shall have the option of terminating this Agreement within thirty (30) days after receiving such notice of sale. Any such CITY termination pursuant to this Article 7.A shall be in writing and sent to the address for notices to CONSULTANT set forth in Exhibit A, Subsection V.H., no later than thirty (30) days after CITY’ receipt of such notice of sale.
If CONSULTANT is an individual, this Agreement shall be deemed automatically terminated upon death of CONSULTANT.
B. Termination by City for Default of Consultant
Should CONSULTANT default in the performance of this Agreement or materially breach any of its provisions, CITY, at CITY’S option, may terminate this Agreement by giving written notification to CONSULTANT. For the purposes of this section, material breach of this Agreement shall include, but not be limited to the following:
1. CONSULTANT’S failure to professionally and/or timely perform any of the services contemplated by this Agreement.
2. CONSULTANT’S breach of any of its representations, warranties or covenants contained in this Agreement.
CONSULTANT shall be entitled to payment only for work completed in accordance with the terms of this Agreement through the date of the termination notice, as reasonably determined by CITY, provided that such payment shall not exceed the amounts set forth in this Agreement for the tasks described on Exhibit C” which have been fully, competently and timely rendered by CONSULTANT. Notwithstanding the foregoing, if CITY terminates this Agreement due to CONSULTANT’S default in the performance of this Agreement or material breach by CONSULTANT of any of its provisions, then in addition to any other rights and remedies CITY
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may have, CONSULTANT shall reimburse CITY, within ten (10) days after demand, for any and all costs and expenses incurred by CITY in order to complete the tasks constituting the scope of work as described in this Agreement, to the extent such costs and expenses exceed the amounts CITY would have been obligated to pay CONSULTANT for the performance of that task pursuant to this Agreement.
C. Termination for Failure to Make Agreed-Upon Payments Should CITY fail to pay CONSULTANT all or any part of the compensation set forth in Article 4 of this Agreement on the date due, then if and only if such nonpayment constitutes a default under this Agreement, CONSULTANT, at the CONSULTANT’S option, may terminate this Agreement if such default is not remedied by CITY within thirty (30) days after demand for such payment is given by CONSULTANT to CITY.
D. Transition after Termination
Upon termination, CONSULTANT shall immediately stop work, unless cessation could potentially cause any damage or harm to person or property, in which case CONSULTANT shall cease such work as soon as it is safe to do so. CONSULTANT shall incur no further expenses in connection with this Agreement. CONSULTANT shall promptly deliver to CITY all work done toward completion of the services required hereunder, and shall act in such a manner as to facilitate any the assumption of CONSULTANT’s duties by any new consultant hired by the CITY to complete such services.
ARTICLE 8. GENERAL PROVISIONS
A. Amendment & Modification
No amendments, modifications, alterations or changes to the terms of this Agreement shall be effective unless and until made in a writing signed by both parties hereto.
B. Americans with Disabilities Act of 1990
Throughout the term of this Agreement, the CONSULTANT shall comply fully with all applicable provisions of the Americans with Disabilities Act of 1990 (“the Act”) in its current form and as it may be amended from time to time. CONSULTANT shall also require such compliance of all subcontractors performing work under this Agreement, subject to the prohibition against assignment and subcontracting contained in Article 5 above. The CONSULTANT shall defend with counsel acceptable to CITY, indemnify and hold harmless the CITY OF GILROY, its officers, employees, agents and representatives from and against all suits, claims, demands, damages, costs, causes of action, losses, liabilities, expenses and fees, including without limitation reasonable attorneys’ fees, that may arise out of any violations of the Act by the CONSULTANT, its subcontractors, or the officers, employees, agents or representatives of either.
C. Attorneys’ Fees
If any action at law or in equity, including an action for declaratory relief, is brought to enforce or interpret the provisions of this Agreement, the prevailing party will be entitled to reasonable
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attorneys’ fees, which may be set by the court in the same action or in a separate action brought for that purpose, in addition to any other relief to which that party may be entitled.
D. Captions
The captions and headings of the various sections, paragraphs and subparagraphs of the Agreement are for convenience only and shall not be considered nor referred to for resolving questions of interpretation.
E. Compliance with Laws
The CONSULTANT shall keep itself informed of all State and National laws and all municipal ordinances and regulations of the CITY which in any manner affect those engaged or employed in the work, or the materials used in the work, or which in any way affect the conduct of the work, and of all such orders and decrees of bodies or tribunals having any jurisdiction or authority over the same. Without limiting the foregoing, CONSULTANT agrees to observe the provisions of the Municipal Code of the CITY OF GILROY, obligating every contractor or subcontractor under a contract or subcontract to the CITY OF GILROY for public works or for goods or services to refrain from discriminatory employment or subcontracting practices on the basis of the race, color, sex, religious creed, national origin, ancestry of any employee, applicant for employment, or any potential subcontractor.
F. Conflict of Interest
CONSULTANT certifies that to the best of its knowledge, no CITY employee or office of any public agency interested in this Agreement has any pecuniary interest in the business of CONSULTANT and that no person associated with CONSULTANT has any interest that would constitute a conflict of interest in any manner or degree as to the execution or performance of this Agreement.
G. Entire Agreement
This Agreement supersedes any and all prior agreements, whether oral or written, between the parties hereto with respect to the rendering of services by CONSULTANT for CITY and contains all the covenants and agreements between the parties with respect to the rendering of such services in any manner whatsoever. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein, and that no other agreement, statement or promise not contained in this Agreement shall be valid or binding.
No other agreements or conversation with any officer, agent or employee of CITY prior to execution of this Agreement shall affect or modify any of the terms or obligations contained in any documents comprising this Agreement. Such other agreements or conversations shall be considered as unofficial information and in no way binding upon CITY.
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H. Governing Law and Venue
This Agreement shall be governed by and construed in accordance with the laws of the State of California without regard to the conflict of laws provisions of any jurisdiction. The exclusive jurisdiction and venue with respect to any and all disputes arising hereunder shall be in state and federal courts located in Santa Clara County, California.
I. Notices
Any notice to be given hereunder by either party to the other may be effected either by personal delivery in writing or by mail, registered or certified, postage prepaid with return receipt requested.
Mailed notices shall be addressed to the parties at the addresses appearing in Exhibit “A”, Section V.H. but each party may change the address by written notice in accordance with this paragraph.
Notices delivered personally will be deemed delivered as of actual receipt; mailed notices will be deemed delivered as of three (3) days after mailing.
J. Partial Invalidity
If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions will nevertheless continue in full force without being impaired or invalidated in any way.
K. Time of the Essence
All dates and times referred to in this Agreement are of the essence.
L. Waiver
CONSULTANT agrees that waiver by CITY of any one or more of the conditions of performance under this Agreement shall not be construed as waiver(s) of any other condition of performance under this Agreement.
Executed at Gilroy, California, on the date and year first above written.
CONSULTANT: CITY:
HELLO HOUSING CITY OF GILROY
By: By:
Name: Jennifer Duffy Name: Matt Morley
Title: President Title: City Administrator
Social Security or Taxpayer
Identification Number 14-1870357
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Approved as to Form ATTEST:
City Attorney City Clerk
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EXHIBIT “A”
SPECIFIC PROVISIONS
I. PROJECT MANAGER
CONSULTANT shall provide the services indicated on the attached Exhibit “B”, Scope of Services (“Services”). (All exhibits referenced are incorporated herein by reference.) To accomplish that end, CONSULTANT agrees to assign Jennifer Duffy, President, who will act in the capacity of Project Manager, and who will personally direct such Services.
Except as may be specified elsewhere in this Agreement, CONSULTANT shall furnish all technical and professional services including labor, material, equipment, transportation, supervision and expertise to perform all operations necessary and required to complete the Services in accordance with the terms of this Agreement.
II. NOTICE TO PROCEED/COMPLETION OF SERVICE
A. NOTICE TO PROCEED
CONSULTANT shall commence the Services upon delivery to CONSULTANT of a written “Notice to Proceed”, which Notice to Proceed shall be in the form of a written communication from designated City contact person(s). Notice to Proceed may be in the form of e-mail, fax or letter authorizing commencement of the Services. For purposes of this Agreement, Christie Thomas, Housing and Community Services Manager, shall be the designated City contact person(s). Notice to Proceed shall be deemed to have been delivered upon actual receipt by CONSULTANT or if otherwise delivered as provided in the Section V.H. (“Notices”) of this Exhibit “A”.
B. COMPLETION OF SERVICES
When CITY determines that CONSULTANT has completed all of the Services in accordance with the terms of this Agreement, CITY shall give CONSULTANT written Notice of Final Acceptance, and CONSULTANT shall not incur any further costs hereunder. CONSULTANT may request this determination of completion when, in its opinion, it has completed all of the Services as required by the terms of this Agreement and, if so requested, CITY shall make this determination within two (2) weeks of such request, or if CITY determines that CONSULTANT has not completed all of such Services as required by this Agreement, CITY shall so inform CONSULTANT within this two (2) week period.
III. PROGRESS SCHEDULE
The schedule for performance and completion of the Services will be as set forth in the attached Exhibit “C”.
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IV. PAYMENT OF FEES AND DIRECT EXPENSES
Payments shall be made to CONSULTANT as provided for in Article 4 of this Agreement.
Direct expenses are charges and fees not included in Exhibit “B”. CITY shall be obligated to pay only for those direct expenses which have been previously approved in writing by CITY.
CONSULTANT shall obtain written approval from CITY prior to incurring or billing of direct expenses.
Copies of pertinent financial records, including invoices, will be included with the submission of billing(s) for all direct expenses.
V. OTHER PROVISIONS
A. STANDARD OF WORKMANSHIP
CONSULTANT represents and warrants that it has the qualifications, skills and licenses necessary to perform the Services, and its duties and obligations, expressed and implied, contained herein, and CITY expressly relies upon CONSULTANT’S representations and warranties regarding its skills, qualifications and licenses. CONSULTANT shall perform such Services and duties in conformance to and consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California.
Any plans, designs, specifications, estimates, calculations, reports and other documents furnished under this Agreement shall be of a quality acceptable to CITY. The minimum criteria for acceptance shall be a product of neat appearance, well-organized, technically and grammatically correct, checked and having the maker and checker identified. The minimum standard of appearance, organization and content of the drawings shall be that used by CITY for similar purposes.
B. RESPONSIBILITY OF CONSULTANT
CONSULTANT shall be responsible for the professional quality, technical accuracy, and the coordination of the Services furnished by it under this Agreement. CONSULTANT shall not be responsible for the accuracy of any project or technical information provided by the CITY. The CITY’S review, acceptance or payment for any of the Services shall not be construed to operate as a waiver of any rights under this Agreement or of any cause of action arising out of the performance of this Agreement, and CONSULTANT shall be and remain liable to CITY in accordance with applicable law for all damages to CITY caused by CONSULTANT’S negligent performance of any of the services furnished under this Agreement.
C. RIGHT OF CITY TO INSPECT RECORDS OF CONSULTANT
CITY, through its authorized employees, representatives or agents, shall have the right, at any and all reasonable times, to audit the books and records (including, but not limited to, invoices, vouchers, canceled checks, time cards, etc.) of CONSULTANT for the purpose of verifying any and all charges made by CONSULTANT in connection with this Agreement. CONSULTANT shall maintain for a minimum period of three (3) years (from the date of final payment to
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CONSULTANT), or for any longer period required by law, sufficient books and records in accordance with standard California accounting practices to establish the correctness of all charges submitted to CITY by CONSULTANT, all of which shall be made available to CITY at the CITY’s offices within five (5) business days after CITY’s request.
D. CONFIDENTIALITY OF MATERIAL
All ideas, memoranda, specifications, plans, manufacturing procedures, data (including, but not limited to, computer data and source code), drawings, descriptions, documents, discussions or other information developed or received by or for CONSULTANT and all other written and oral information developed or received by or for CONSULTANT and all other written and oral information submitted to CONSULTANT in connection with the performance of this Agreement shall be held confidential by CONSULTANT and shall not, without the prior written consent of CITY, be used for any purposes other than the performance of the Services, nor be disclosed to an entity not connected with the performance of the such Services. Nothing furnished to CONSULTANT which is otherwise known to CONSULTANT or is or becomes generally known to the related industry (other than that which becomes generally known as the result of CONSULTANT’S disclosure thereof) shall be deemed confidential. CONSULTANT shall not use CITY’S name or insignia, or distribute publicity pertaining to the services rendered under this Agreement in any magazine, trade paper, newspaper or other medium without the express written consent of CITY.
E. NO PLEDGING OF CITY’S CREDIT.
Under no circumstances shall CONSULTANT have the authority or power to pledge the credit of CITY or incur any obligation in the name of CITY.
F. OWNERSHIP OF MATERIAL.
All material including, but not limited to, computer information, data and source code, sketches, tracings, drawings, plans, diagrams, quantities, estimates, specifications, proposals, tests, maps, calculations, photographs, reports and other material developed, collected, prepared (or caused to be prepared) under this Agreement shall be the property of CITY, but CONSULTANT may retain and use copies thereof subject to Section V.D of this Exhibit “A”.
CITY shall not be limited in any way in its use of said material at any time for any work, whether or not associated with the City project for which the Services are performed. However, CONSULTANT shall not be responsible for, and City shall indemnify CONSULTANT from, damages resulting from the use of said material for work other than PROJECT, including, but not limited to, the release of this material to third parties for work other than on PROJECT.
G. NO THIRD PARTY BENEFICIARY.
This Agreement shall not be construed or deemed to be an agreement for the benefit of any third party or parties, and no third party or parties shall have any claim or right of action hereunder for any cause whatsoever.
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H. NOTICES.
Notices are to be sent as follows:
CITY: Sharon Goei, Community Development Director
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
CONSULTANT: Jennifer Duffy, President
Hello Housing
121 San Anselmo Avenue, #2440
San Anselmo, CA 94979
I. FEDERAL FUNDING REQUIREMENTS.
If the box to the left of this sentence is checked, this Agreement involves federal funding and the requirements of this Section V.I. apply.
If the box to the left of this sentence is checked, this Agreement does not involve federal funding and the requirements of this Section V.I. do not apply.
1. DBE Program
CONSULTANT shall comply with the requirements of Title 49, Part 26, Code of Federal Regulations (49 CFR 26) and the City-adopted Disadvantaged Business Enterprise programs.
2. Cost Principles
Federal Acquisition Regulations in Title 48, CFR 31, shall be used to determine the allowable cost for individual items.
3. Covenant against Contingent Fees
The CONSULTANT warrants that he/she has not employed or retained any company or person, other than a bona fide employee working for the CONSULTANT, to solicit or secure this Agreement, and that he/she has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift or any other consideration, contingent upon or resulting from the award or formation of this Agreement. For breach or violation of this warranty, the Local Agency shall have the right to annul this Agreement without liability or, at its discretion, to deduct from the agreement price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift or contingent fee.
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EXHIBIT “B”
SCOPE OF SERVICES
BELOW MARKET RATE (BMR) HOUSING PROGRAM ADMINISTRATOR
1. BMR Program Administration Setup
a. Design and set up a formal BMR interest list in a database administered by the CONSULTANT and owned by the City.
b. Review and organize Gilroy BMR homeowner files, rental files (possible future), loan files, and the City’s existing digital inventory, and create a system for ongoing administration and monitoring, including an easily accessible list of BMR portfolio units showing their expiration date, and accompanying City down payment assistance loans. c. Review existing BMR Re-Sale, Deed of Trust, Promissory Notes, and Developer Affordable Housing Agreement templates and suggest modifications that align with industry best practices.
d. Establish a point of contact with HOA presidents for all BMR developments, local Escrow, Appraisal, Real Estate professionals involved in BMR resale transactions, and Property Managers for 100% affordable developments.
e. Create flow charts and protocols for BMR home transfers, BMR acquisition, residence owners’ refinances, capital improvement process, loan payoff/subordination, default remedies, and other processes (noted above in qualifications) associated with the BMR program.
f. Provide a dedicated webpage for the Gilroy BMR program, separately for current Residence Owners and applicants. This webpage should include frequently asked questions, online application forms (e.g., pre-qualification), available properties, upcoming orientations, etc., and other relevant information.
Deliverables: Updated BMR Agreement and document templates, flow charts, and protocols; web content
2. BMR Program Administration
a. BMR Inquiries: The CONSULTANT will respond within 24 hours to calls, emails, and in-person inquiries from current BMR Residence Owners, housing portfolio loan holders, etc.
b. BMR Eligibility List: The CONSULTANT will maintain a list of qualified buyers.
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c. BMR Acquisition and Resale Coordination: The CONSULTANT will work with City and County staff to administer the BMR Preservation Program and with Residence Owners and their Realtors and escrow teams to manage the complete BMR resale process. d. BMR Residence Owners Misc. Management: The CONSULTANT will guide current Residence Owners through the refinance process, capital improvement permitting process, loan payoff, equity share calculation inquiries, agreement questions, etc. e. BMR Program Marketing: The CONSULTANT will conduct monthly virtual program orientations, separately in English and Spanish, and quarterly in-person program orientations. The CONSULTANT will also create flyers for available units and post them on the CONSULTANT's Gilroy BMR webpage and the CONSULTANT's social media accounts. The CONSULTANT will table at local Gilroy events at least twice per year and outreach to local businesses to promote the program.
f. BMR Program Reports: The CONSULTANT will provide written quarterly reports to staff and the City Council on the general status of the BMR program administration, including:
i. General Program Activity
ii. BMR compliance (see item #3)
iii. Loan activity (see item #4)
iv. Current inventory of all affordable units within Gilroy City limits (including notation of units in default or foreclosure, etc.)
v. Resale value of all BMR homes as requested by the County, annually vi. Other information as needed for County and State reporting g. Weekly virtual meeting with the CITY, quarterly in-person meetings with the CITY as needed, and annual in-person meetings with City Council.
Deliverables: Quarterly BMR Program Reports, weekly customer service requests tracking, monthly virtual Program Orientations, separately in English and Spanish, quarterly in-person Program Orientations, weekly city staff meetings, and in-person marketing as specified above. Resale, etc., documents/agreements drafted and recorded as necessary
3. Annual BMR Compliance Monitoring
a. BMR Homeowner Certification: The CONSULTANT will coordinate with homeowners annually via email or U.S. Postal Service mail to certify that the Residence Owner continues to comply with the signed BMR Re-Sale Agreement, including living in the BMR home as their principal residence. The CONSULTANT will work with the City to remedy potential BMR defaults in accordance with the BMR Re-Sale Agreement.
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b. 100% Affordable Developments annual recertification, including vacancy and rent information reporting.
Deliverables: Annual Compliance Reports
4. Loan Administration
a. The CONSULTANT will maintain an updated database, to be owned by the City, of all down payment assistance and other housing loans (borrower name and address, loan amount, interest rate, loan term, loan distribution date, and due date). This database will also include the principal and interest received from loan payoffs and any principal written off due to foreclosure or other default.
b. The CONSULTANT will monitor existing down payment assistance and other housing loans annually to ensure that the borrower complies with the loan agreement (e.g., current homeowner insurance, the Residence Owner continues to reside on the property).
In case of default, the CONSULTANT will contact the owner and work with the City to see that the loan is repaid, and with the City’s permission, will, in certain circumstances, process a loan modification.
c. The CONSULTANT will process all reconveyance documents, subordinations, and legal recordings required when down payment assistance and other housing loans are paid off or refinanced (on an as-needed basis).
d. The CONSULTANT will process all documents required, income calculations for qualifications, etc., for new City down payment assistance loans.
Deliverables: The existing loan database and updated list are provided as loans are paid off and new loans are created. Loan documents drafted and recorded as necessary.
5. BMR Home Sales/Resales/Acquisition (on an as-needed basis) a. BMR Available Unit Marketing: The CONSULTANT will work with each Developer, Homeowner, and/or the City to market the availability of new and resale BMR homes via Multiple Listing Service and flyer distribution to the general public and on the CONSULTANT's BMR website to eligible households who have expressed interest in the BMR program. This task will include providing marketing materials, including flyers in English and Spanish, to City staff for the City’s website, to place on the CONSULTANT's BMR program website, and CONSULTANT's social media accounts. b. Sales/Rental Prices: The CONSULTANT will keep current and publish on the CONSULTANT's Gilroy BMR webpage, updated Santa Clara County income limits, and other information necessary to set the sales prices of new and existing BMR homes being offered for resale up to date. The CONSULTANT will provide literature showing rent amount/income eligibility per income category/occupancy standards/bedroom count information for rental units (city to provide a sample document), provided in English and Spanish annually or as updated by HCD.
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c. Homeowner Eligibility: The CONSULTANT will submit the data on each eligible applicant to the City for approval before formalizing any Agreement. d. BMR Homeowner Documents: The CONSULTANT will coordinate with the Developer, lender, Title Company, and homeowner and review all required documents to ensure that each BMR Residence Owner household meets the requirements of the BMR program. The CONSULTANT will prepare and record all legal documents required for each BMR homebuyer. The CONSULTANT will create both a hard file and an electronic version of pertinent documents for each Residence Owner transaction. Hard files, including all original recorded documents, will be kept in Gilroy’s office in the Housing and Community Services Division storage area.
e. BMR Preservation Program: The CONSULTANT will work with City and County staff to implement the BMR Preservation Program by coordinating with the CITY to purchase available resale BMR Residences with County loan or City funds, including setting up escrow and drafting purchase agreements, etc. The CONSULTANT will work with a local Realtor to manage the rehab of the property, market to income-qualified households, conduct a lottery, and set up escrow for resale (see d. for additional resale requirements), etc.
Deliverables: Marketing materials (English & Spanish); Sales prices & related information (upon request); HCD/Santa Clara County Rent Limits annual document, homeowner eligibility data; BMR Homeowner documentation/files, BMR Preservation Program acquisitions and resale transaction documentation.
6. Housing Fund / BMR Programs: The CONSULTANT will work with City staff to recommend, develop, and implement programs using the City of Gilroy Housing Trust Fund and Deferred Down Payment Assistance Loan cash funds. City Council will approve any new programs under this task.
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EXHIBIT “C”
MILESTONE SCHEDULE
ONBOARDING OF THE BELOW MARKET RATE (BMR) HOUSING PROGRAM CONSULTANT shall conduct onboarding of the comprehensive BMR program beginning contract effective date, July 1, 2026, and ending within 60 days after issuance. During this onboarding process, the CONSULTANT shall generate the following deliverables for the BMR Housing Program:
• Create and host a custom City of Gilroy webpage linked to City of Gilroy HCS Below Market Rate webpage for the program, clarifing program information, contact information, application links, and provide downloadable access to key forms for program participants. • Conduct a comprehensive review of the current program guidelines, application guides, developer agreements and loan documents to determine if there might be any recommendations for consideration based on best practices or trends that they have seen that may improve the program. This review will also incorporate approved adjustments in administration processess determined in partnership with the city to ensure public facing materials align with any new administration practices.
• Within the first 30 days, CONSULTANT will interview key city staff to understand if there are any policy or programmatic shifts that may need to be memorialzed in existing documents as part of the onboarding process.
• CONSULTANT team will host portfolio transition meetings and work with the CITY and the City's Fiscal Year 2026 BMR Program Admistrator, as necessary, to ensure customer files and applicant information is transitioned effectively and with sensitivity to personal and financial information.
• A full inventory of current tools and forms utilized in the program will be used to build out outdated templates, forms, and applications, including building an outline preapplication and purchase application platform to support ownership and rental eligibility review practices.
• All draft froms and public access links will be reviewed, approved, and tested before publishing.
• Index of all BMR units (homeownership and tax credit apartment developments), including owners/property managers, deed restriction details, and loan terms and amounts.
All pertinant current homeownership and tax credit apartment development files will be digitized and a Gilroy data storing system will be built out to include data tracking fields in consultants Homekeeper database.
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• Draft and send an introduction letter to all BMR homeowners, HOA Board Chairs, Tax Credit Apartment Developments, property owners, as well as any applicant interest list or wait list announcing the change in the CONSULTANT.
• Correspondence with existing program partners (SCC Office of Supportive Housing, Lenders, Appraisers, Escrow Services, Agents) will be conducted to ensure a seamless transition and minimal disruption in support services.
• Estabilish initial ongoing meetings with key personnel associated with existing program partners to ensure effective communication and points of contact are established.
BMR PROGRAM ADMINISTRATION
In addition to these milestones, other deliverables by the CONSULTANT are expected to be delivered during the following timeframes:
1. BMR Program Reports: The CONSULTANT will provide written quarterly reports to staff and the City Council on the general status of the BMR program administration, including:
a. General BMR Program Activity,
b. Monthly open customer service requests tracking,
c. Monthly virtual Program Orientations, separately in English and Spanish, d. Quaterly in-person Program Orientations, and
e. In-person marketing as specified in Scope of Services.
Below data will be delivered to staff during weekly meetings (or via email in between meetings as necessary) as updates to status occurs.
2. BMR compliance as updates occur (see item #3 in Scope of Services - Deliverables)
3. Loan activity as updates occur (see item #4 in Scope of Services - Deliverables)
4. Current inventory of all affordable units within Gilroy City limits (including notation of units in default or foreclosure, etc.) as updates occur.
5. Miscellaneous Reporting and Meeting Requirments:
a. Resale value of all BMR homes as requested by the County, annually. b. Other information as needed for County and State reporting. c. Weekly virtual meeting with Gilroy city staff, quarterly in-person meetings with staff as needed, and annual in-person meetings with City Council.
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EXHIBIT “D”
PAYMENT SCHEDULE
The CONSULTANT will submit monthly invoices of $14,000 per month for year one and $14,560 per month for year two. Other fees, such as the Unit Rehab Coordination and Management will be added services, as requested by the CITY.
The one-time Program Setup Fee of $15,000 shall be paid upon completion of the setup services and acceptance by the City, following receipt of a valid invoice from the CONSULTANT.
If the CITY executes the three one-year extension options, the monthly fee is $15,142 for year three, $15,748 for year 4, and $16,378 for year 5. Other fees will be added for services as requested by the CITY. Years 2-5 rates include the 4% cost-of-living* (COLA) adjustment.
The CONSULTANT will not invoice for cost incurred for basic office functions such as phone lines, postage, photocopying and other office equipment.
FIVE- YEAR CONTRACT "NOT TO EXCEED" SUMMARY
Year Period Annual Cost Setup Other Total
1 7/1/2026-6/30/2027 $168,000 $15,000 $9,000 $192,000
2 7/1/2027-6/30/2028 $174,720 $0 $9,360 $184,080
[Total for 2-Year Contract $376,080]
3 7/1/2028-6/30/2029 $181,709 $0 $9,734 $191,443
4 7/1/2029-6/30/2030 $188,977 $0 $10,124 $199,101
5 7/1/2030-6/30/2031 $196,536 $0 $10,529 $207,065
Grand Total $973,689
A detailed breakdown of the fees is provided below.
PROGRAM SETUP
Digitization of BMR files, create service files for $4,000 one-time fee all BMR programs and loan participants,
build out online file directory
Build program specific webpage, online Pre-application $2,500 one-time fee and Purchase Application
Revise existing Program manuals, forms and $4,500 one-time fee documents to include current administrative
practices, logos and contact info and
recommendations based on best practices
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Send out introduction communications to all $1,000 one-time fee BMR Owner's, Property Managers and existing
program partners - coordinate meetings to further
introduce our team and key points of contact.
Build out BMR Program Application Workshop Materials $3,000 one-time fee TOTAL $ 15,000
PROGRAM ADMINISTRATION
Program Administration Total (Year 1) $14,000 per month / $168,000 per year Program Administration Total (Year 2) $14, 560 per month / $174,720 per year In addition to the deliverables in the Scope of Services, the following tasks are included with the monthly fee:
• Field and track inquiries from the public, triage response and share actions with the City • General portfolio reporting on status, inquiries, trends and resolutions • Review and update, as necessary BMR Program Policies, Guidelines, Procedures and Agreements
• Ownership Monitoring, data collection in CRM database, follow-up tracking and reporting • BMR Rental Compliance monitoring audits for each development • Maintain and update web page with updated income eligibility tables, programmatic information and relevant BMR ownership and rental housing information • Develop and maintain BMR Interest List
• Develop and disseminate marketing materials for use by the CITY, for the CONSULTANT's e-newsletter blasts, social media, interest lists and for peer organizations. • Identify and onboard preferred lenders and HUD approved homebuying counseling agencies conduct training on the program throughout the year around sale campaigns. • Provide annual trainings to Property Management teams on annual compliance and recertification activities.
• Coordinate with Development Sales Teams to facilitate closing process workflow, communication protocols, marketing collateral and status updates for new BMR pipeline. • Meetings with City staff to review program status, transaction status and inquiries. Produce reports as requested.
• Ongoing training and oversite of the CONSULTANT team.
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PROGRAM TRANSACTIONAL FEES
New BMR Ownership Sales (Paid by Owner) 3% of sales price / Max $18,000 Ownership Resales (Paid by Owner) 6% of sales price / Max $36,000 BMR Preservation Activities: City Buyback, 6% per sales price / Max $40,000 New Resale (Built into Resale Price )
3% of Resale Restriction Price & 3% of New Sales Price
Unit Rehab Coordination and Management $225 per hour
(Dependent on Scope of Rehab Activities)
Refinance, Subordination Requests, Loan Payoffs $1,200 per transaction (Paid by Lender/Owner) Other Fees Rates*
REIMBURSABLE COSTS
Language Translation Services actual cost plus 10%
including ASL interpretation services
(excluding English/Spanish deliverables in the Scope of Services) HOURLY CONSULTING FEES* (for services outside base scope described above) President $ 250
Program Manager $ 175
Program Specialist $ 175
Loan Closing Specialist $ 135
Construction Project Manager $ 225
*These fees are subject to an annual COLA of 4%, beginning July 1, 2027.
RESOLUTION NO. 2026-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY
AMENDING THE BUDGET FOR THE CITY OF GILROY FOR 2026-
2027 IN THE HOUSING TRUST FUND AND THE LOS ARROYOS
FUND AND APPROPRIATING PROPOSED EXPENDITURE
AMENDMENTS
WHEREAS, the City Administrator prepared and submitted to the City Council a budget for the City of Gilroy for Fiscal Years 2025-2026 and 2026-2027, the City Council carefully examined, considered, and adopted the same on June 2, 2025; and WHEREAS, City Staff has prepared and submitted to the City Council a proposed budget amendment for Fiscal Year 2026-2027 in the staff report dated April 20, 2026, for the Below Market Rate (BMR) Housing Program Administration, a portion of a one-time onboarding fee; and
WHEREAS, the City Council has carefully examined and considered the same and is satisfied with said budget amendments.
NOW, THEREFORE, BE IT RESOLVED THAT the expenditure appropriations for Fiscal Year 2026-2027 in the Housing Trust Fund (Fund 250) are hereby increased by $6,240 and in the Los Arroyos Fund (Fund 255) by $5,760.
PASSED AND ADOPTED by the City Council of the City of Gilroy at a regular meeting duly held on the 20th day of April 2026 by the following roll call vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
APPROVED:
______________________________
Greg Bozzo, Mayor
ATTEST:
Kim Mancera, City Clerk
Resolution No. 2026-XX
Award the BMR Program Administrator Contract and Budget Amendment City Council Regular Meeting | April 20, 2026
CERTIFICATE OF THE CLERK
I, KIM MANCERA, City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 2026-XX is an original resolution, or true and correct copy of a City Resolution, duly adopted by the City Council of the City of Gilroy at a Regular Meeting held on April 20, 2026, with a quorum present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this Date.
____________________________________
Kim Mancera
City Clerk of the City of Gilroy
(Seal)
7.2. City of Gilroy
STAFF REPORT
Agenda Item Title: Award a contract to 17 Mile Construction in the amount of $198,900 for tenant improvements at 641 Old Gilroy St
(Jessup Property); Approve a project contingency of $19,100, and Approve a total project expenditure of $218,000
Meeting Date: April 20, 2026
From: Matt Morley, City Administrator
Department: Public Utilities
Submitted by: Karl Bjarke, Interim Public Utilities Director Prepared by: Izabela Cirloganu, Management Analyst
STRATEGIC PLAN GOALS: Maintain and Improve City Infrastructure
RECOMMENDATION
1. Award a Public Works contract in the amount of $198,900 to 17 Mile Construction for the tenant improvement project at 641 Old Gilroy St.;
2. Approve a project contingency of $19,100 for a total project authorization of $218,000; and
3. Authorize the City Administrator to execute the contract documents and approve any future change orders within the project contingency.
EXECUTIVE SUMMARY
The property at 641 Old Gilroy Street (Jessup Property) was purchased last year by the City to relocate the Utilities Department Operations team to the building. The Utilities Department staff conducted a procurement process to solicit bids for tenant improvements at the Jessup Property. The project will prepare the site for occupancy by the Water and Wastewater Operations staff by addressing building repairs, code compliance items, and functional upgrades to the office spaces.
Staff received and evaluated four bid submittals to determine the lowest responsive and
7.2. responsible bid. 17 Mile Construction submitted the lowest responsive bid and demonstrated the ability to complete the work within the project scope and timeline.
The proposed contract amount of $198,900 is within the project budget of $220,000.
Approval of this contract will allow the City to proceed with the planned improvements and support utility operations at the site.
BACKGROUND
This past summer, the City acquired the property at 641 Old Gilroy Street (Jessup Property). The site, which contains an administrative building and an industrial warehouse, is adjacent to the existing Corporation Yard, providing an opportunity to expand and enhance municipal operations on a larger footprint.
The property will serve as dedicated office space for the Utilities Department’s Water and Wastewater Sections. It includes the two buildings mentioned above, totaling approximately 8,666 square feet on a nearly one-acre paved parking area. The site was originally developed in the late 1970s and early 1980s, with subsequent improvements made by the previous owner's commercial operation.
The front building (1,666 square feet) will house the Water Section operations team and includes three office rooms, a kitchen, and a restroom. The rear building (approximately 7,000 square feet) includes a hangar/warehouse and approximately 1,680 square feet of office space, consisting of three office rooms, a kitchen, two restrooms, and a designated area for a future locker room.
Due to the age and condition of the buildings, renovations are necessary to make the spaces functional, compliant, and suitable for staff occupancy. Utilities staff, together with the City Building Official and Facilities staff, conducted walkthroughs and developed a list of required improvements. The scope of work includes flooring, drywall repair, interior painting, lighting replacement, new cabinets, backsplash, and countertop upgrades, minor plumbing, kitchen installation, concrete staining, ADA ramp reconstruction, and other general improvements to prepare the space for office use.
ANALYSIS
Pursuant to the City's purchasing policy, the Utilities Department conducted an informal public works project bid solicitation process and received four bids. The contract is to be awarded to the lowest responsive and responsible bidder.
Received bids were evaluated for completeness, responsiveness to the Scope of Work, and cost. 17 Mile Construction submitted the lowest responsive and responsible bid at $198,900 and demonstrated the capacity to perform the work as specified.
7.2. A summary of the bids received is provided below:
Company Name Type of Proposal Amount Quoted
17MileConstruction Lump Sum $ 198,900
Method Construction Itemized by Area $ 203,376
Manning Development Fully Itemized $ 217,869
Strawn Lump Sum $ 218,922
Based on this evaluation, the staff recommends awarding the contract to 17 Mile Construction as the lowest responsive and responsible bidder.
ALTERNATIVES
The alternative would be to reject all quotes and not award the contract. Staff does not recommend this option, as it would delay the project and require restarting the procurement process. In addition, staff have found it challenging to attract qualified contractors for projects at or below the $220,000 threshold who are also willing to comply with prevailing wage requirements. Smaller tenant improvement projects of this size often generate limited contractor interest, and rebidding may result in fewer responses, higher costs, or further delays in completing the necessary improvements.
FISCAL IMPACT/FUNDING SOURCE
Staff recommends awarding this project to 17 Mile Construction for $198,900 and authorizing a contingency amount of $19,100 (approximately 10%). Staff budgeted funding for this project within the Water Fund (705) and Wastewater Fund (700) under the Repair and Maintenance approved budget for FY 26. If approved, the total authorized amount for this project, including the contingency, is $218,000.
Costs will be shared equally between the two funds, with each fund contributing $109,000 toward the total project amount.
PUBLIC OUTREACH
N/A
NEXT STEPS
Upon Council approval, the contract will be executed. Staff will coordinate with the contractor to complete the following next steps: obtain and submit a payment bond in the amount of 100 percent of the contract value; verify the contractor's registration with the Department of Industrial Relations (DIR) and register the project; and finalize the selection and approval of finishes and colors.
7.2. Attachments:
1. 17 Mile Construction Services Inc. -Signed Agreement
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AGREEMENT FOR SERVICES
(For contracts over $5,000 – NON-DESIGN, NON-ENGINEERING TYPE CONTRACTOR) This AGREEMENT made this day of April, 2026, between:
CITY: City of Gilroy, having a principal place of business at 7351 Rosanna Street, Gilroy, California
and CONTRACTOR: 17 Mile Construction Services, Inc., having a principal place of business at 26600 Pancho Way, Carmel CA 93923.
ARTICLE 1. TERM OF AGREEMENT
This Agreement will become effective on May 1, 2026 and will continue in effect through July 31, 2026 unless terminated in accordance with the provisions of Article 7 of this Agreement.
Any lapse in insurance coverage as required by Article 5, Section D of this Agreement shall terminate this Agreement regardless of any other provision stated herein. ______ Initial
ARTICLE 2. INDEPENDENT CONTRACTOR STATUS
It is the express intention of the parties that CONTRACTOR is an independent contractor and not an employee, agent, joint venturer or partner of CITY. Nothing in this Agreement shall be interpreted or construed as creating or establishing the relationship of employer and employee between CITY and CONTRACTOR or any employee or agent of CONTRACTOR. Both parties acknowledge that CONTRACTOR is not an employee for state or federal tax purposes.
CONTRACTOR shall not be entitled to any of the rights or benefits afforded to CITY’S employees, including, without limitation, disability or unemployment insurance, workers’ compensation, medical insurance, sick leave, retirement benefits or any other employment benefits. CONTRACTOR shall retain the right to perform services for others during the term of this Agreement.
ARTICLE 3. SERVICES TO BE PERFORMED BY CONTRACTOR
A. Specific Services
CONTRACTOR agrees to: Perform the services as outlined in Exhibit “A” (“Specific Provisions”) and Exhibit “B” (“Scope of Services”), within the time periods described in Exhibit “C” (“Milestone Schedule”).
B. Method of Performing Services
CONTRACTOR shall determine the method, details and means of performing the above-described services. CITY shall have no right to, and shall not, control the manner or determine the method of accomplishing CONTRACTOR’S services.
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C. Employment of Assistants
CONTRACTOR may, at the CONTRACTOR’S own expense, employ such assistants as CONTRACTOR deems necessary to perform the services required of CONTRACTOR by this Agreement, subject to the prohibition against assignment and subcontracting contained in Article 5 below. CITY may not control, direct, or supervise CONTRACTOR’S assistants in the performance of those services. CONTRACTOR assumes full and sole responsibility for the payment of all compensation and expenses of these assistants and for all state and federal income tax, unemployment insurance, Social Security, disability insurance and other applicable withholding.
D. Place of Work
CONTRACTOR shall perform the services required by this Agreement at 641 Old Gilroy St Gilroy California and at such times as CONTRACTOR shall determine is necessary to properly and timely perform CONTRACTOR’S services.
ARTICLE 4. COMPENSATION
A. Consideration
In consideration for the services to be performed by CONTRACTOR, CITY agrees to pay CONTRACTOR the amounts set forth in Exhibit “D” (“Payment Schedule”). In no event however shall the total compensation paid to CONTRACTOR exceed $198,900 (one hundred ninety-eight thousand nine hundred and 00/100) for the entire duration of the contract.
B. Invoices
CONTRACTOR shall submit invoices for all services rendered.
C. Payment
Payment shall be due according to the payment schedule set forth in Exhibit “D”. No payment will be made unless CONTRACTOR has first provided City with a written receipt of invoice describing the work performed and any approved direct expenses (as provided for in Exhibit “A”, Section IV) incurred during the preceding period. If CITY objects to all or any portion of any invoice, CITY shall notify CONTRACTOR of the objection within thirty (30) days from receipt of the invoice, give reasons for the objection, and pay that portion of the invoice not in dispute. It shall not constitute a default or breach of this Agreement for CITY not to pay any invoiced amounts to which it has objected until the objection has been resolved by mutual agreement of the parties.
D. Expenses
CONTRACTOR shall be responsible for all costs and expenses incident to the performance of services for CITY, including but not limited to, all costs of equipment used or provided by CONTRACTOR, all fees, fines, licenses, bonds or taxes required of or imposed against CONTRACTOR and all other of CONTRACTOR’S costs of doing business. CITY shall not be Docusign Envelope ID: 5FC79DF0-9C41-4274-AA09-6A63D1D56B02
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responsible for any expenses incurred by CONTRACTOR in performing services for CITY, except for those expenses constituting “direct expenses” referenced on Exhibit “A.” ARTICLE 5. OBLIGATIONS OF CONTRACTOR
A. Tools and Instrumentalities
CONTRACTOR shall supply all tools and instrumentalities required to perform the services under this Agreement at its sole cost and expense. CONTRACTOR is not required to purchase or rent any tools, equipment or services from CITY.
B. Workers’ Compensation
CONTRACTOR agrees to provide workers’ compensation insurance for CONTRACTOR’S employees and agents and agrees to hold harmless, defend with counsel acceptable to CITY and indemnify CITY, its officers, representatives, agents and employees from and against any and all claims, suits, damages, costs, fees, demands, causes of action, losses, liabilities and expenses, including without limitation reasonable attorneys’ fees, arising out of any injury, disability, or death of any of CONTRACTOR’S employees.
C. Indemnification of Liability, Duty to Defend
As to all liability, to the fullest extent permitted by law, CONTRACTOR shall defend, through counsel approved by CITY (which approval shall not be unreasonably withheld), indemnify and hold harmless CITY, its officers, representatives, agents and employees against any and all suits, damages, costs, fees, claims, demands, causes of action, losses, liabilities and expenses, including without limitation attorneys’ fees, arising or resulting directly or indirectly from any act or omission of CONTRACTOR or CONTRACTOR’S assistants, employees or agents, including all claims relating to the injury or death of any person or damage to any property.
D. Insurance
In addition to any other obligations under this Agreement, CONTRACTOR shall, at no cost to CITY, obtain and maintain throughout the term of this Agreement: (a) Commercial Liability Insurance on a per occurrence basis, including coverage for owned and non-owned automobiles, with a minimum combined single limit coverage of $1,000,000 per occurrence for all damages due to bodily injury, sickness or disease, or death to any person, and damage to property, including the loss of use thereof. As a condition precedent to CITY’S obligations under this Agreement, CONTRACTOR shall furnish written evidence of such coverage (naming CITY, its officers and employees as additional insureds on the Comprehensive Liability insurance policy referred to in (a) immediately above via a specific endorsement) and requiring thirty (30) days written notice of policy lapse or cancellation, or of a material change in policy terms.
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E. Assignment
Notwithstanding any other provision of this Agreement, neither this Agreement nor any duties or obligations of CONTRACTOR under this Agreement may be assigned or subcontracted by CONTRACTOR without the prior written consent of CITY, which CITY may withhold in its sole and absolute discretion.
F. State and Federal Taxes
As CONTRACTOR is not CITY’S employee, CONTRACTOR shall be responsible for paying all required state and federal taxes. Without limiting the foregoing, CONTRACTOR acknowledges and agrees that:
• CITY will not withhold FICA (Social Security) from CONTRACTOR’S payments;
• CITY will not make state or federal unemployment insurance contributions on CONTRACTOR’S behalf;
• CITY will not withhold state or federal income tax from payment to CONTRACTOR;
• CITY will not make disability insurance contributions on behalf of CONTRACTOR;
• CITY will not obtain workers’ compensation insurance on behalf of CONTRACTOR.
ARTICLE 6. OBLIGATIONS OF CITY
A. Cooperation of City
CITY agrees to respond to all reasonable requests of CONTRACTOR and provide access, at reasonable times following receipt by CITY of reasonable notice, to all documents reasonably necessary to the performance of CONTRACTOR’S duties under this Agreement.
B. Assignment
CITY may assign this Agreement or any duties or obligations thereunder to a successor governmental entity without the consent of CONTRACTOR. Such assignment shall not release CONTRACTOR from any of CONTRACTOR’S duties or obligations under this Agreement.
ARTICLE 7. TERMINATION OF AGREEMENT
A. Sale of CONTRACTOR’s Business/ Death of CONTRACTOR.
CONTRACTOR shall notify CITY of the proposed sale of CONTRACTOR’s business no later than thirty (30) days prior to any such sale. CITY shall have the option of terminating this Agreement within thirty (30) days after receiving such notice of sale. Any such CITY termination pursuant to this Article 7.A shall be in writing and sent to the address for notices to CONTRACTOR set forth in Exhibit A, Subsection V.H., no later than thirty (30) days after CITY’ receipt of such notice of sale.
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If CONTRACTOR is an individual, this Agreement shall be deemed automatically terminated upon death of CONTRACTOR.
B. Termination by City for Default of CONTRACTOR
Should CONTRACTOR default in the performance of this Agreement or materially breach any of its provisions, CITY, at CITY’S option, may terminate this Agreement by giving written notification to CONTRACTOR. For the purposes of this section, material breach of this Agreement shall include, but not be limited to the following:
1. CONTRACTOR’S failure to professionally and/or timely perform any of the services contemplated by this Agreement.
2. CONTRACTOR’S breach of any of its representations, warranties or covenants contained in this Agreement.
CONTRACTOR shall be entitled to payment only for work completed in accordance with the terms of this Agreement through the date of the termination notice, as reasonably determined by CITY, provided that such payment shall not exceed the amounts set forth in this Agreement for the tasks described on Exhibit C” which have been fully, competently and timely rendered by CONTRACTOR. Notwithstanding the foregoing, if CITY terminates this Agreement due to CONTRACTOR’S default in the performance of this Agreement or material breach by CONTRACTOR of any of its provisions, then in addition to any other rights and remedies CITY may have, CONTRACTOR shall reimburse CITY, within ten (10) days after demand, for any and all costs and expenses incurred by CITY in order to complete the tasks constituting the scope of work as described in this Agreement, to the extent such costs and expenses exceed the amounts CITY would have been obligated to pay CONTRACTOR for the performance of that task pursuant to this Agreement.
C. Termination for Failure to Make Agreed-Upon Payments Should CITY fail to pay CONTRACTOR all or any part of the compensation set forth in Article 4 of this Agreement on the date due, then if and only if such nonpayment constitutes a default under this Agreement, CONTRACTOR, at the CONTRACTOR’S option, may terminate this Agreement if such default is not remedied by CITY within thirty (30) days after demand for such payment is given by CONTRACTOR to CITY.
D. Transition after Termination
Upon termination, CONTRACTOR shall immediately stop work, unless cessation could potentially cause any damage or harm to person or property, in which case CONTRACTOR shall cease such work as soon as it is safe to do so. CONTRACTOR shall incur no further expenses in connection with this Agreement. CONTRACTOR shall promptly deliver to CITY all work done toward completion of the services required hereunder, and shall act in such a manner as to facilitate any the assumption of CONTRACTOR’s duties by any new CONTRACTOR hired by the CITY to complete such services.
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ARTICLE 8. GENERAL PROVISIONS
A. Amendment & Modification
No amendments, modifications, alterations or changes to the terms of this Agreement shall be effective unless and until made in a writing signed by both parties hereto.
B. Americans with Disabilities Act of 1990
Throughout the term of this Agreement, the CONTRACTOR shall comply fully with all applicable provisions of the Americans with Disabilities Act of 1990 (“the Act”) in its current form and as it may be amended from time to time. CONTRACTOR shall also require such compliance of all subcontractors performing work under this Agreement, subject to the prohibition against assignment and subcontracting contained in Article 5 above. The CONTRACTOR shall defend with counsel acceptable to CITY, indemnify and hold harmless the CITY OF GILROY, its officers, employees, agents and representatives from and against all suits, claims, demands, damages, costs, causes of action, losses, liabilities, expenses and fees, including without limitation reasonable attorneys’ fees, that may arise out of any violations of the Act by the CONTRACTOR, its subcontractors, or the officers, employees, agents or representatives of either.
C. Attorneys’ Fees
If any action at law or in equity, including an action for declaratory relief, is brought to enforce or interpret the provisions of this Agreement, the prevailing party will be entitled to reasonable attorneys’ fees, which may be set by the court in the same action or in a separate action brought for that purpose, in addition to any other relief to which that party may be entitled.
D. Captions
The captions and headings of the various sections, paragraphs and subparagraphs of the Agreement are for convenience only and shall not be considered nor referred to for resolving questions of interpretation.
E. Compliance with Laws
The CONTRACTOR shall keep itself informed of all State and National laws and all municipal ordinances and regulations of the CITY which in any manner affect those engaged or employed in the work, or the materials used in the work, or which in any way affect the conduct of the work, and of all such orders and decrees of bodies or tribunals having any jurisdiction or authority over the same. Without limiting the foregoing, CONTRACTOR agrees to observe the provisions of the Municipal Code of the CITY OF GILROY, obligating every contractor or subcontractor under a contract or subcontract to the CITY OF GILROY for public works or for goods or services to refrain from discriminatory employment or subcontracting practices on the basis of the race, color, sex, religious creed, national origin, ancestry of any employee, applicant for employment, or any potential subcontractor.
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F. Conflict of Interest
CONTRACTOR certifies that to the best of its knowledge, no CITY employee or office of any public agency interested in this Agreement has any pecuniary interest in the business of CONTRACTOR and that no person associated with CONTRACTOR has any interest that would constitute a conflict of interest in any manner or degree as to the execution or performance of this Agreement.
G. Entire Agreement
This Agreement supersedes any and all prior agreements, whether oral or written, between the parties hereto with respect to the rendering of services by CONTRACTOR for CITY and contains all the covenants and agreements between the parties with respect to the rendering of such services in any manner whatsoever. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein, and that no other agreement, statement or promise not contained in this Agreement shall be valid or binding.
No other agreements or conversation with any officer, agent or employee of CITY prior to execution of this Agreement shall affect or modify any of the terms or obligations contained in any documents comprising this Agreement. Such other agreements or conversations shall be considered as unofficial information and in no way binding upon CITY.
H. Governing Law and Venue
This Agreement shall be governed by and construed in accordance with the laws of the State of California without regard to the conflict of laws provisions of any jurisdiction. The exclusive jurisdiction and venue with respect to any and all disputes arising hereunder shall be in state and federal courts located in Santa Clara County, California.
I. Notices
Any notice to be given hereunder by either party to the other may be effected either by personal delivery in writing or by mail, registered or certified, postage prepaid with return receipt requested.
Mailed notices shall be addressed to the parties at the addresses appearing in Exhibit “A”, Section V.H. but each party may change the address by written notice in accordance with this paragraph.
Notices delivered personally will be deemed delivered as of actual receipt; mailed notices will be deemed delivered as of three (3) days after mailing.
J. Partial Invalidity
If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions will nevertheless continue in full force without being impaired or invalidated in any way.
K. Time of the Essence
All dates and times referred to in this Agreement are of the essence.
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L. Waiver
CONTRACTOR agrees that waiver by CITY of any one or more of the conditions of performance under this Agreement shall not be construed as waiver(s) of any other condition of performance under this Agreement.
Executed at Gilroy, California, on the date and year first above written.
CONTRACTOR: CITY:
17 Mile Construction Services Inc. CITY OF GILROY
By: By:
Name: Matt Carley Name: Matt Morley
Title: Managing Partner Title: City Administrator
Social Security or Taxpayer
Identification Number 85-1012823
Approved as to Form ATTEST:
City Attorney City Clerk
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EXHIBIT “A”
SPECIFIC PROVISIONS
I. PROJECT MANAGER
CONTRACTOR shall provide the services indicated on the attached Exhibit “B”, Scope of Services (“Services”). (All exhibits referenced are incorporated herein by reference.) To accomplish that end, CONTRACTOR agrees to assign Matt Carley, who will act in the capacity of Project Manager, and who will personally direct such Services.
Except as may be specified elsewhere in this Agreement, CONTRACTOR shall furnish all technical and professional services including labor, material, equipment, transportation, supervision and expertise to perform all operations necessary and required to complete the Services in accordance with the terms of this Agreement.
II. NOTICE TO PROCEED/COMPLETION OF SERVICE
A. NOTICE TO PROCEED
CONTRACTOR shall commence the Services upon delivery to CONTRACTOR of a written “Notice to Proceed”, which Notice to Proceed shall be in the form of a written communication from designated City contact person(s). Notice to Proceed may be in the form of e-mail, fax or letter authorizing commencement of the Services. For purposes of this Agreement, Izabela Cirloganu shall be the designated City contact person(s). Notice to Proceed shall be deemed to have been delivered upon actual receipt by CONTRACTOR or if otherwise delivered as provided in the Section V.H. (“Notices”) of this Exhibit “A”.
B. COMPLETION OF SERVICES
When CITY determines that CONTRACTOR has completed all of the Services in accordance with the terms of this Agreement, CITY shall give CONTRACTOR written Notice of Final Acceptance, and CONTRACTOR shall not incur any further costs hereunder. CONTRACTOR may request this determination of completion when, in its opinion, it has completed all of the Services as required by the terms of this Agreement and, if so requested, CITY shall make this determination within two (2) weeks of such request, or if CITY determines that CONTRACTOR has not completed all of such Services as required by this Agreement, CITY shall so inform CONTRACTOR within this two (2) week period.
III. PROGRESS SCHEDULE
The schedule for performance and completion of the Services will be as set forth in the attached Exhibit “C”.
IV. PAYMENT OF FEES AND DIRECT EXPENSES
Payments shall be made to CONTRACTOR as provided for in Article 4 of this Agreement.
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Direct expenses are charges and fees not included in Exhibit “B”. CITY shall be obligated to pay only for those direct expenses which have been previously approved in writing by CITY.
CONTRACTOR shall obtain written approval from CITY prior to incurring or billing of direct expenses.
Copies of pertinent financial records, including invoices, will be included with the submission of billing(s) for all direct expenses.
V. OTHER PROVISIONS
A. STANDARD OF WORKMANSHIP
CONTRACTOR represents and warrants that it has the qualifications, skills and licenses necessary to perform the Services, and its duties and obligations, expressed and implied, contained herein, and CITY expressly relies upon CONTRACTOR’S representations and warranties regarding its skills, qualifications and licenses. CONTRACTOR shall perform such Services and duties in conformance to and consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California.
Any plans, designs, specifications, estimates, calculations, reports and other documents furnished under this Agreement shall be of a quality acceptable to CITY. The minimum criteria for acceptance shall be a product of neat appearance, well-organized, technically and grammatically correct, checked and having the maker and checker identified. The minimum standard of appearance, organization and content of the drawings shall be that used by CITY for similar purposes.
B. RESPONSIBILITY OF CONTRACTOR
CONTRACTOR shall be responsible for the professional quality, technical accuracy, and the coordination of the Services furnished by it under this Agreement. CONTRACTOR shall not be responsible for the accuracy of any project or technical information provided by the CITY. The CITY’S review, acceptance or payment for any of the Services shall not be construed to operate as a waiver of any rights under this Agreement or of any cause of action arising out of the performance of this Agreement, and CONTRACTOR shall be and remain liable to CITY in accordance with applicable law for all damages to CITY caused by CONTRACTOR’S negligent performance of any of the services furnished under this Agreement.
C. RIGHT OF CITY TO INSPECT RECORDS OF CONTRACTOR
CITY, through its authorized employees, representatives or agents, shall have the right, at any and all reasonable times, to audit the books and records (including, but not limited to, invoices, vouchers, canceled checks, time cards, etc.) of CONTRACTOR for the purpose of verifying any and all charges made by CONTRACTOR in connection with this Agreement. CONTRACTOR shall maintain for a minimum period of three (3) years (from the date of final payment to CONTRACTOR), or for any longer period required by law, sufficient books and records in accordance with standard California accounting practices to establish the correctness of all charges submitted to CITY by CONTRACTOR, all of which shall be made available to CITY at the CITY’s offices within five (5) business days after CITY’s request.
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D. CONFIDENTIALITY OF MATERIAL
All ideas, memoranda, specifications, plans, manufacturing procedures, data (including, but not limited to, computer data and source code), drawings, descriptions, documents, discussions or other information developed or received by or for CONTRACTOR and all other written and oral information developed or received by or for CONTRACTOR and all other written and oral information submitted to CONTRACTOR in connection with the performance of this Agreement shall be held confidential by CONTRACTOR and shall not, without the prior written consent of CITY, be used for any purposes other than the performance of the Services, nor be disclosed to an entity not connected with the performance of the such Services. Nothing furnished to CONTRACTOR which is otherwise known to CONTRACTOR or is or becomes generally known to the related industry (other than that which becomes generally known as the result of CONTRACTOR’S disclosure thereof) shall be deemed confidential. CONTRACTOR shall not use CITY’S name or insignia, or distribute publicity pertaining to the services rendered under this Agreement in any magazine, trade paper, newspaper or other medium without the express written consent of CITY.
E. NO PLEDGING OF CITY’S CREDIT.
Under no circumstances shall CONTRACTOR have the authority or power to pledge the credit of CITY or incur any obligation in the name of CITY.
F. OWNERSHIP OF MATERIAL.
All material including, but not limited to, computer information, data and source code, sketches, tracings, drawings, plans, diagrams, quantities, estimates, specifications, proposals, tests, maps, calculations, photographs, reports and other material developed, collected, prepared (or caused to be prepared) under this Agreement shall be the property of CITY, but CONTRACTOR may retain and use copies thereof subject to Section V.D of this Exhibit “A”.
CITY shall not be limited in any way in its use of said material at any time for any work, whether or not associated with the City project for which the Services are performed. However, CONTRACTOR shall not be responsible for, and City shall indemnify CONTRACTOR from, damages resulting from the use of said material for work other than PROJECT, including, but not limited to, the release of this material to third parties for work other than on PROJECT.
G. NO THIRD PARTY BENEFICIARY.
This Agreement shall not be construed or deemed to be an agreement for the benefit of any third party or parties, and no third party or parties shall have any claim or right of action hereunder for any cause whatsoever.
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H. NOTICES.
Notices are to be sent as follows:
CITY: Izabela Cirloganu
City of Gilroy
7351 Rosanna Street
Gilroy, CA 95020
CONTRACTOR: Matt Carley
17 Mile Construction Services, Inc.
26600 Pancho Way
Carmel, CA 93923
I. FEDERAL FUNDING REQUIREMENTS.
If the box to the left of this sentence is checked, this Agreement involves federal funding and the requirements of this Section V.I. apply.
If the box to the left of this sentence is checked, this Agreement does not involve federal funding and the requirements of this Section V.I. do not apply.
1. DBE Program
CONTRACTOR shall comply with the requirements of Title 49, Part 26, Code of Federal Regulations (49 CFR 26) and the City-adopted Disadvantaged Business Enterprise programs.
2. Cost Principles
Federal Acquisition Regulations in Title 48, CFR 31, shall be used to determine the allowable cost for individual items.
3. Covenant against Contingent Fees
The CONTRACTOR warrants that he/she has not employed or retained any company or person, other than a bona fide employee working for the CONTRACTOR, to solicit or secure this Agreement, and that he/she has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift or any other consideration, contingent upon or resulting from the award or formation of this Agreement. For breach or violation of this warranty, the Local Agency shall have the right to annul this Agreement without liability or, at its discretion, to deduct from the agreement price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift or contingent fee.
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J. PREVAILING WAGE
CONTRACTOR agrees and acknowledges that it is its obligation to determine whether, and to what extent, any work performed is or any workers employed relative to any construction to be performed under this Agreement are subject to any Codes, Ordinances, Resolutions, Rules and other Regulations and established policies of CITY and the laws of the State of California and the United States, including, without limitation, the California Labor Code and Public Contract Code relating to public contracting and prevailing wage requirements ("Prevailing Wage Laws ). To the extent Prevailing Wage Laws apply to work performed or workers employed for the purpose of performing work under this Agreement, CONTRACTOR shall fully comply with and ensure that all workers and/or subcontractors are informed of and comply with all Prevailing Wage Laws and specifically any applicable requirement of California Labor Code Sections 1720 et seq. and 1770 et seq. and the regulations thereunder, which require the payment of prevailing wage rates based on labor classification, as determined by the State of California, and the performance of other requirements on certain "public works" or "maintenance" projects. It is the duty of CONTRACTOR to post a copy of applicable prevailing wages at the job site. Prevailing wage information may be obtained at www.dir.ca.gov.
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EXHIBIT “B”
Scope of Work for Tenant Improvement at 641 Old Gilroy St.
The City of Gilroy Utilities Department is undertaking a tenant improvement project at the property located at 641 Old Gilroy Street to renovate and prepare two adjacent buildings for office use. The project will not structurally alter any of the existing buildings; instead, it will repair and enhance the current layout to better accommodate the daily administrative and operational activities for Utilities staff.
The property consists of two adjacent buildings. The front building, which faces Old Gilroy Street, will be renovated and configured to serve as office space for the City’s Water Section team. The building is approximately 1,664 sf.
The second building, adjacent to the front one, is a 7,000 sf metal warehouse that includes approximately 2,000 sf of office space. This area will be improved to accommodate the City’s Wastewater Section team.
A. Water Section Office Area
The Water Section office area will include the following improvements: framing and drywall repair to the exposed areas, updated flooring, patching and painting of the entire space, recessed light installation. The following are specific scope items:
1) Provide wall and floor framing where the drywall and flooring are currently exposed (area next to the entrance, area next to the second door)
2) Remove one door and its frame, then patch and finish the drywall so it matches the existing interior wall texture.
3) Provide drywall repair where needed.
4) Create the same finish texture for the ceiling and walls. 5) Prime all surfaces. Paint should be two coats with the color and sheen provided by the Contract Manager. Walls and Ceiling will be painted one color.
a) The paint brand should be Dunne Edwards or Sherwin Williams, as approved by the Contract Manager.
6) Prime and paint all interior doors and windows sills. Color and sheen choices will be provided by the Contract Manager.
7) Furnish and install 60 4” LED Downlight with Selectable CCT Can Lights. Install dimmers; one per room.
a) If the number of lights need to be reduced, details on the lighting plan should be discussed with the Contract Manager.
8) Furnish and install emergency ballasts (for night lighting). 9) Install commercial vinyl flooring per the specs provided by the City. a) Commercial sheet vinyl Visionary Collection by Mohawk or commercial grade vinyl plank. Colors choices will be selected by the Contract Manager. b) Finish with 4” baseboard in all rooms. Color choice will be selected by the Contract Manager.
10) Install a new sink, all appurtenant plumbing, laminate kitchen counter, kitchen fronts, and backsplash. Items will be provided by the City.
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B. Wastewater Section Office Area
The Wastewater Section office area will include improvements such as framing and drywall repair, install flooring, patching, painting, minor plumbing area and recess cans installation. The following are specific scope items:
1) Provide and install sheetrock 8 ft in height in the locker room. Tape and finish at the top to transition to the existing wall area. Leave the beams of the ceiling exposed. Beams and the plywood ceiling will be primed and painted.
2) Polish and provide a concrete stain floor coating with rubber base only for the locker room. 3) Frame and infill two door openings and match the existing drywall texture. 4) Frame and install a new door and install one new building standard door, install frame and hardware. Hardware will be provided by the City.
5) Install commercial vinyl flooring per the specs provided by the City in 3 rooms (two offices and a conference room). Hallway, kitchen and bathroom are not included. a. Commercial sheet vinyl Visionary Collection by Mohawk or commercial plank vinyl.
If the brand is changed, the decision must be approved by the Contract Manager. b. Install 4” baseboard in all rooms.
6) Provide water and sewer connections for the breakroom and sink. 7) Install the kitchen cabinets, counter, sink and backsplash. Remove the existing sink in the hangar area, by the entrance and install a new one. Items will be provided by the City. 8) Furnish and install 6 4-foot LED light fixtures and 1 standard switch for the locker area 9) Furnish and install 55 4-inch LED Downlights with selectable CCT Can Lights recessed light fixtures and dimmable switches.
a. If the number of lights needs to be reduced, details on the lighting plan should be discussed with the Contract Manager.
10) Prime all surfaces (minus the two-bathrooms existing plastic baseboards which are in good condition). Paint should be two coats with the color and sheen provided by the Contract Manager. Walls and Ceiling will be painted one color. Missing ceiling tiles will be provided by the Contract Manager.
a. The paint brand should be Dunne Edwards or Sherwin Williams, as approved by the Contract Manager.
11) Prime and paint all interior doors and windows sills. Color and sheen choices will be provided by the Contract Manager.
C. Front Office ADA Ramp (ramp specs are attached to the Scope of Work) 1) Demolish the existing ramp and remove the concrete from the site. 2) Provide plan for new ramp and landing showing dimensions and slopes for City’s review and approval.
3) Construct new ramp and landing expansions, including handrails per approved plan. 4) Landing shall be 5’X5’ and the ramp shall be 4’ wide with a 6” curb 5) Remove and reconstruct the current step at the kitchen entry to ensure compliance with state requirements.
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Additional:
1) Provide all required progressive clean up and dump fees(this includes mopping all hard surface flooring, haul off all remaining waste and construction debris) 2) A permit with the City is required for the ADA ramp. Utilities Department will pay for the permit application fees; however, the drawings and the permit submittal are the contractor’s responsibility.
3) Some landscaping adjacent to the new concrete ramp will need to be removed. No repairs or re-planting is included.
4) A City inspector will visit the site and provide the notice to proceed before pouring the concrete for the ramp. Any additional fees for the inspection will be supported by the Utilities Department.
Supplemental Conditions:
A. The Contractor must provide an experienced, competent Superintendent who is responsible for effectively supervising all work in progress. In addition to supervision or work in progress, the Superintendent must be capable of instructing his subordinates in correct and proper installation techniques.
B. The Contractor shall be solely and completely responsible for conditions of the jobsite, including safety of all persons and property during performance of the work. This requirement shall apply continuously and not be limited to normal working hours.Safety provisions shall conform to U.S. Department of Labor, the California Occupational Safety and Health Act (OSHA), and all other applicable Federal, State, County, and local laws, ordinances, codes, the requirements set forth below, and any regulations that may be detailed in other parts of these Contract Documents. Where any of these are in conflict, the more stringent requirement shall be followed.
C. The Contractor is responsible for its and its subcontractor’s compliance with the provisions of Section 1776 of the Labor Code.
D. Work Hours: Normal working hours shall be limited to eight (8) hours per day, typically between 7:00 a.m. or 8:00 a.m. and 4:00 p.m. or 5:00 p.m., depending on the start time, and forty (40) hours per week. No overtime is allowed.
E. Upon contract award and prior to issuance of the Notice to Proceed, the Contractor shall furnish a Payment Bond in the amount of 100% of the total contract value.
F. Contractor must be registered with the Department of Industrial Relationships (DIR). The City Facilities Manager will register the Project once the City Council approves the contract.
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EXHIBIT “C”
MILESTONE SCHEDULE
The project is scheduled to begin mobilization on May 1, 2026, with the City providing site access.
The anticipated project completion date is July 31, 2026; however, this timeline is dependent on the issuance of the permit for the ADA ramp.
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EXHIBIT “D”
PAYMENT SCHEDULE
The total contract amount is $198,900 (one hundred ninety-eight thousand nine hundred dollars).
The Contractor shall submit invoices bi-weekly for work completed. The City will review and process each invoice and issue payment within two weeks of receipt, or sooner when feasible.
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8.1. City of Gilroy
STAFF REPORT
Agenda Item Title: Public Hearing to Establish a List of Properties Subject to the Weed Abatement Program and Adoption of a Resolution
Authorizing the Fire Chief to Abate the Nuisance Arising Out of Weeds Growing and Refuse Accumulating Upon Property
in the City of Gilroy Pursuant to Section 12.51 of the Gilroy Code
Meeting Date: April 20, 2026
From: Matt Morley, City Administrator
Department: Community Development
Submitted by: Sharon Goei, Community Development Director Prepared by: Jonathan Crick, Fire Marshal
STRATEGIC PLAN GOALS: Not Applicable
RECOMMENDATION
Adopt a Resolution of the City Council of the City of Gilroy authorizing the Fire Chief to abate the nuisance arising out of weeds growing and refuse accumulating upon property in the City of Gilroy, pursuant to Section 12.51 of the Gilroy City Code.
EXECUTIVE SUMMARY
The Weed Abatement Program is an annual process required under the Gilroy Municipal Code and State Health and Safety Code to mitigate fire hazards caused by unmanaged vegetation and refuse on private property. This report presents the 2026 commencement list of 118 properties with a history of non-abatement, outlines the notification steps taken by the County and City, and requests Council approval to authorize the Fire Chief to abate nuisance conditions where compliance is not achieved by the May 15, 2026, deadline. Adoption of the resolution will allow the County, under its existing agreement with the City, to conduct inspections, issue notices, perform abatement where necessary, and recover associated costs through administrative fees and future tax assessments.
8.1. BACKGROUND
On February 9, 2026, the City Council adopted Weed Abatement Resolution 2026-06 declaring weeds and refuse as a public nuisance. This annual process complies with both the City Code and State Health and Safety Code, which require that, prior to authorizing the abatement of a lot, the City hold a public hearing of the subject properties. The City of Gilroy, via the annual resolution, identifies those properties and owners with a history of non-abatement, and this list serves as the commencement list for the County’s inspection and abatement program. The abatement program continues to be implemented under an agreement with the Santa Clara County Agricultural Commissioner’s Office for the Vegetation Management Program.
ANALYSIS
All subject property owners identified on the commencement list have been mailed a public hearing notice, as well as the abatement instructions and the fee costs. The abatement notice is sent to property owners after City Council adoption of the Weed Declaration Resolution. As part of the notification, property owners receive notice that the annual Abatement Deadline is May 15, 2026. A second notice was sent out approximately 30 days prior to the May 15th deadline. If the property owner fails to complete abatement of their lot by May 15, 2026, the owner will be assessed fees for the failed inspection, in addition to the initial inspection fee, and will receive a notice requiring that the abatement be completed within two weeks.
Lots in the Wildland Urban Interface Hazardous Fire Areas, primarily homes on the hillside, pose an immediate concern with potential wildfires. Therefore, these owners will not receive the additional 2-week grace period. If these lots are not abated by the May 15th deadline, the County will complete a work order to have the lot abated by their contractor. The County will then assess an abatement administrative fee, in addition to the cost of the abatement. The abatement administrative fee and cost of abatement will be in addition to the inspection fee and the failed inspection fee.
At the conclusion of the abatement period, a public hearing (tax lien hearing) will be held on August 3, 2026, to add the fees as a tax assessment for the following year’s property taxes. Prior to the City Council tax lien assessment hearing, property owners with an assessment will be notified of the pending action. They can request an administrative meeting/review with the County’s Program Manager and the City’s Fire Marshal, should they disagree with the assessment. The administrative meeting/review can be held in person, virtually, or by phone. The purpose is to eliminate assessments that were incorrectly made through an error or incorrectly applied to the wrong property owner.
A listing of the properties and owners that have been noticed is attached and on file with the City Clerk. It is also posted at the City’s Fire Stations. Lots in which weeds
8.1. and/or rubbish have been abated by the May 15th deadline and are maintained in an abated condition through the fire season, will only be assessed the $296 inspection fee.
Following the adoption of the Weed Declaration Resolution by the City Council, this year’s weed abatement notices went out to property owners in March 2026. This year’s commencement listing consists of 118 properties, identified by assessor parcel number (APN). As part of the inspection process, which will occur shortly after May 15, 2026, the County will maintain current photos and documentation of their inspections.
Property owners who missed the deadline will receive subsequent notices and associated fees. Lots that need immediate abatement (e.g., those located in Wildland Urban Interface Hazardous Fire Areas) will be abated by the County. A comprehensive report of abated lots and associated fees will be presented to the City Council at the tax lien assessment hearing on August 3, 2026.
The agreement with the County requires properties that have failed inspections within the past three years to remain on the commencement list. A property with no violations within a consecutive three-year period will be removed from the commencement list.
However, the County does provide for some lots to be removed from the commencement list if the property has been completely redeveloped and there is no unmanaged weed hazard. The commencement list length fluctuates from year to year. The commencement list changed from 174 lots for 2019 to 146 lots for 2020, 150 for 2021, 146 for 2022, 166 lots for 2023,154 lots for 2024, 129 for 2025 and 118 lots for 2026.
Any owner that objects to their property being on the commencement list can object as part of this public hearing. Such lots can be removed from the commencement list if there is adequate reason (i.e., the lot has been redeveloped and there is no weed hazard). Any objections will be evaluated for conformance to the agreement and an adjustment will be made if appropriate. Otherwise, the commencement list should be approved by the City Council so the program can proceed. Owners with concerns that cannot meet the deadline due to site conditions can contact the County and/or City Fire Marshal’s office.
The County also provides a website for the public to notify them of weed complaints (https://weedabatement.santaclaracounty.gov/home). Lots that are reported or identified to be out of compliance with weed and refuse requirements that are not on the commencement list will also be sent a warning notice to comply. Administrative citations can be issued by the Fire Marshal’s office, and lots can be added to the abatement program for the following year. If an unlisted lot has unmitigated weeds and refuse, that lot can be scheduled for a separate public hearing to allow the County to abate the lot this year and assess fees for cost recovery. Voluntary compliance is encouraged.
The information provided above demonstrates that the Weed Abatement Program continues to serve as an effective partnership between the City and Santa Clara County in reducing hazardous fire conditions and ensuring consistent compliance across the community. The commencement list reflects the County’s criteria for identifying
8.1. properties with prior non-compliance, while the established inspection and notification process offers property owners multiple opportunities to achieve voluntary abatement.
Approval of the resolution will affirm the City Council’s authorization for the Fire Chief to proceed with enforcement actions as needed and will enable the County to implement inspections, documentation, and abatement in accordance with the program’s established standards, ensuring continuity, cost recovery, and timely mitigation of fire hazards.
ALTERNATIVES
The Council could choose not to approve the resolution to establish the commencement list. The burden of both managing this program and abating the properties would revert back to the City of Gilroy, requiring additional resources to be needed and no funding available. This alternative is not recommended.
FISCAL IMPACT/FUNDING SOURCE
As long as the County recovers its expenses for the program using the fees assessed, the County bears the entire cost of the program. If there is a shortfall in cost recovery, the City would be requested to provide its proportionate share of the shortfall.
Historically, the process has generally operated through full cost recovery handled by the County.
PUBLIC OUTREACH
In March of 2026, the County of Santa Clara mailed abatement notices and instructions to property owners identified on the commencement list. In coordination with Gilroy Fire Operations and Gilroy Fire Prevention staff, the City’s Communication and Engagement Manager provides public education and outreach using the Gilroy Email Express, the City’s website, and various social media platforms.
NEXT STEPS
The property owners on the commence report (list of properties), will have received at least two written notifications from the County Weed Abatement Program (one in March 2026 and another in May 2026). May 15, 2026, is the date set for the weed abatement deadline. After this date, City and County staff will report non-compliant conditions for weed abatement. Lots reported or identified as out of compliance with weed and refuse requirements that are not on the commencement list will also be sent a notice to comply. If an unlisted lot has unmitigated weeds and refuse, that lot can be scheduled for a separate public hearing to allow the County to abate the lot this year and assess fees for cost recovery. The third and final step in the process will occur on August 3, 2026, with the Public Hearing for a list of properties to be sent to the County Property Tax Assessor who will then place any fees on the next property tax bill as an assessment.
8.1. Attachments:
1. Resolution
2. 2026 Commencement Report
RESOLUTION NO. 2026-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GILROY ORDERING THE FIRE CHIEF TO ABATE THE
NUISANCE ARISING OUT OF WEEDS GROWING AND REFUSE
ACCUMULATING UPON PROPERTY IN THE CITY OF
GILROY, PURSUANT TO SECTION 12.51 OF THE GILROY
CITY CODE
WHEREAS, pursuant to Article III of Chapter 12 of the Gilroy City Code, on February 9, 2026, the City Council adopted Resolution No. 2026-06 declaring that weeds growing and refuse accumulating in the City of Gilroy constitute public nuisances; and WHEREAS, the Chief of the Fire Department of the City of Gilroy has caused notice of the adoption of Resolution No. 2026-06 and notice of a public hearing on the proposed order to abate said nuisances to be given to all of the affected property owners at their stated mailing addresses on the latest tax assessor’s roll, and has also caused notice to be given by posting and publication in the manner and form provided in Sections 12.48, 12.49 and 12.53 of the Gilroy City Code; and
WHEREAS, said public hearing was duly held on April 20, 2026, pursuant to said resolution in the time and manner required by law, and any objections raised to the proposed destruction or removal of said weeds and refuse were duly considered by the City Council.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL AS
FOLLOWS:
1. That the Chief of the Fire Department is hereby ordered to abate the nuisances on the properties described in Exhibit “A” attached hereto, or cause the sameto be abated, by having refuse removed and weeds destroyed and/or removed by cutting, discing, chemical spraying or any other method as may be determined by the Chief of the Fire Department or his authorized Contractor. Such abatement shall be performed before May 15, 2026.
2. That any property owner shall have the right to destroy and/or remove weeds growing and refuse accumulating on his property or have the same destroyed or removed at their expense prior to the arrival of the Chief of the Fire Department or his authorized representatives or contractors to remove them. Any property found with weeds after May 15, 2026, shall be subject to the costs of further inspection and /or abatement by the City or the County and its authorized contractor. Sites found after such date that constitute a fire hazard shall also be subject to administrative citation.
3. That the Chief of the Fire Department or his authorized contractors (County) shall keep an account of the costs of destroying and/or removing said weeds and refuse and embody such account in a report and assessment list to be presented to the City Council and filed with the City Clerk. Such report shall refer to and sufficiently describe each separate lot or parcel of land
Resolution No. 2026-XX
Weed Abatement Resolution
City Council Regular Meeting | April 20, 2026
and, for each, shall state the costs of destroying or removing weeds, removing refuse, or both, and the costs which are proposed to be assessed against the lot or parcel.
PASSED AND ADOPTED this 20th day of April 2026, by the following roll call vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
APPROVED:
Greg Bozzo, Mayor
ATTEST:
Kim Mancera, City Clerk
Resolution No. 2026-XX
Weed Abatement Resolution
City Council Regular Meeting | April 20, 2026
CERTIFICATE OF THE CLERK
I, Kim Mancera, City Clerk of the City of Gilroy, do hereby certify that the attached Resolution No. 2026-XX is an original resolution, or true and correct copy of a City Resolution, duly adopted by the Council of the City of Gilroy at a Regular Meeting of said held on Council held Monday, April 20, 2026, with a quorum present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this Date.
Kim Mancera
City Clerk of the City of Gilroy (Seal)
Situs APN CITY/STATE
2026 WEED ABATEMENT PROGRAM
CITY OF GILROY
COMMENCEMENT REPORT Exhibit A
1 VERBENA DR 783-03-070 GOLDEN OAKS INVESTMENT P.O. BOX 616 AROMAS CA 950042 8351 WINTER CT 783-03-077 SUNSET HILLS DEVELOPMENT LLC 575 SOUTHSIDE DR STE C GILROY CA 950203 8341 WINTER CT 783-03-081 CLAYTON JOHNSON ENTERPRISES 650 B FREMONT AVENUE #344LOS ALTOS CA 940244 HECKER PASS 783-04-032 HOEY RANCH COMPANY 2485 HECKER PASS HWY GILROY CA 95020-88025 820 SUNRISE DR 783-20-049 YANG, DI P 2478 N STEVENS AVE ROSEMEAD CA 91770-29476 1885 HOLLYHOCK LN 783-45-014 ROSS, RICHARD JOHN III 1885 HOLLYHOCK LN GILROY CA 95020-00007 1920 MANTELLI DR 783-45-016 SEVILLA, JERRY M AND CUNANAN , PO BOX 5175 ARAMCO MC DHAHRAN SAUDI 313118 HOLLYHOCK LN 783-45-044 ENTERPRISE REI 8 LLC 10440 S DE ANZA BLVD STE CUPERTINO CA 950149 2280 CORAL BELL CT 783-46-026 BHAGAVAN,l KISHEN TRUSTEE 1240 MONTE VERDE CT LOS ALTOS CA 9402410 STRAWBERRY LN 783-46-079 LE, ANH 682 KAWEAH AVE CLOVIS CA 9361911 SUNFLOWER CL 783-47-003 ENTERPRISE REI 8 LLC 24168 BIG BASIN WY SARATOGA CA 9507012 1463 PHEASANT DR 783-50-058 PALMER, MARY L 1463 PHEASANT DR GILROY CA 95020-821913 8745 WILD IRIS DR 783-52-032 VARGAS, ANABEL AND GOMEZ , 1355 ST FRANCIS ST REDWOOD CITY CA 9406114 1350 PEREGRINE DR 783-55-021 TORRES, ALICIA S 1350 PEREGRINE DR GILROY CA 95020-000015 9246 DOVE CT 783-57-004 AYALA, DANIEL J AND ELIZABETH L 9246 DOVE CT GILROY CA 95020-000016 9231 N EGRET CT 783-58-044 CODIGA, RICHARD AND SCOTT- 9231 N EGRET CT GILROY CA 95020-000017 2363 BANYAN ST 783-64-029 ISSAKHANI, MEDIKO AND ROBERT 606 ALTINO BLVD SAN JOSE CA 9513618 2333 BANYAN ST 783-64-032 GHARIBADEH, RAMSIN 3344 MEADOWLANDS LN SAN JOSE CA 95135-162419 2354 BANYAN ST 783-65-022 KARBALAEINEMATMOEINI, 2121 CRUDEN BAY WAY GILROY CA 95020-000020 9141 GUNNERA LN 783-65-023 HU KAI AND CEN YINGYING 9141 GUNNERA LN GILROY CA 9502021 1820 CAROB CT 783-72-017 NGUYEN, HENRY H ET AL 6971 SPUMANTE WAY GILROY CA 95020-000022 1810 CAROB CT 783-72-018 OPINSKI, ROSE 2626 FALLBROOK DR MERCED CA 9534023 9145 TEA TREE WY 783-72-020 SANDHU, SUKHWINDER 39463 GALLAUDET DR UNIT FREMONT CA 9453824 9035 TEA TREE WY 783-72-025 ATLLURI, SASI K AND SURAPANENI , 1923 Saint Andrews Circle Gilroy CA 95020-3008 24 records of 118 Santa Clara County Weed Abatement Program Page 1
Situs APN CITY/STATE
2026 WEED ABATEMENT PROGRAM
CITY OF GILROY
COMMENCEMENT REPORT Exhibit A
25 9025 MIMOSA CT 783-72-027 KOLLAREDDY USHARANI ET AL 7948 MCCLELLAN RD APT 1 CUPERTINO CA 9501426 8955 MIMOSA CT 783-72-036 INNEH, EMMANUEL AND JENNIFER 8955 MIMOSA CT GILROY CA 95020-779727 2203 BANYAN CT 783-72-040 ROBLES RONALD E AND MARIA R 1225 VIENNA DR #251 SUNNYVALE CA 9408928 9210 MAHOGANY CT 783-72-045 NGUYEN PHU AND DOAN LILY 3339 VANGORN WAY SAN JOSE CA 95121-255529 2273 BANYAN CT 783-72-051 PREMNATH, FLEMING J AND 1690 CIVIC CENTER DR UNIT SANTA CLARA CA 95050-417430 2283 BANYAN CT 783-72-052 LAM, HWAI TAI C 211 ELMWOOD STREET MOUNTAIN VIEW CA 9404331 95 FARRELL AVE 790-07-085 KUANG, WEIWEI 1952 EISENHOWER DR SANTA CLARA CA 95054-162132 103 FARRELL AVE 790-07-086 KUANG, WEIWEI 1952 EISENHOWER DR SANTA CLARA CA 95054-162133 111 FARRELL AVE 790-07-087 KUANG, WEIWEI 1952 EISENHOWER DR SANTA CLARA CA 95054-162134 119 FARRELL AVE 790-07-088 KUANG, WEIWEI 1952 EISENHOWER DR SANTA CLARA CA 95054-162135 171 RONAN AVE 790-15-009 NGUYEN, THUAN TRONG AND LE , 3295 KLOETZE LN SAN JOSE CA 95148-000036 1375 1ST ST 790-39-019 S A PROPERTIES GROUP LLC 5820 STONERIDGE MALL RD PLEASANTON CA 9458837 7733 MONTEREY RD 799-03-054 7711 MONTEREY RD LLC 5655 SILVER CREEK VALLEY SAN JOSE CA 9513838 7711 MONTEREY RD 799-03-055 7711 MONTEREY RD LLC 5655 SILVER CREEK VALLEY SAN JOSE CA 9513839 EIGLEBERRY ST 799-10-042 BAINS, JAGJIT SINGH 3435 HARBOR CT SAN JOSE CA 95127-431140 CHURCH ST 799-11-069 GOLDEN BRIDGE PROPERTIES LLC 1669 2 HOLLENBECK AVE SUNNYVALE CA 9408741 7421 HANNA ST 799-18-031 JEUNG, MICHAEL A ET AL 7421 HANNA ST GILROY CA 95020-572342 6700 CHURCH ST 799-33-001 MONSEF, CYRUS 6700 CHURCH ST GILROY CA 95020-650843 FILBRO DR 799-44-093 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 9584344 ROYAL WA 799-44-094 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 9584345 ROYAL WA 799-44-095 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 9584346 ROYAL WA 799-44-096 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 9584347 ROYAL WA 799-44-097 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 9584348 ROYAL WA 799-44-098 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 95843 48 records of 118 Santa Clara County Weed Abatement Program Page 2
Situs APN CITY/STATE
2026 WEED ABATEMENT PROGRAM
CITY OF GILROY
COMMENCEMENT REPORT Exhibit A
49 THOMAS RD 799-44-109 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 9584350 321 W LUCHESSA AVE 799-44-110 JEN HOLDCO 23 LLC 2603 CAMINO RAMON STE SAN RAMON CA 9584351 1410 1ST ST 808-01-021 EAGLE LLC 41368 DANZON CT FREMONT CA 9453952 7890 SANTA TERESA BL 808-01-022 EAGLE LLC 41368 DANZON CT FREMONT CA 9453953 1490 1ST ST 808-01-023 EAGLE LLC 41368 DANZON CT FREMONT CA 9453954 PONDEROSA DR 808-01-024 PIROZZOLI, MONICA TRUSTEE & ET 366 5TH ST GILROY CA 9502055 LUCHESSA AV 808-19-030 CHRISTOPHER, DONALD C ET AL 305 BLOOMFIELD AVE GILROY CA 9502056 6482 GREENFIELD DR 808-20-008 SUNER CORPORATION 9761 ZUNI LN GILROY CA 95020-000057 10 W LUCHESSA AVE 808-21-009 YAHYA, NAAIM A TRUSTEE & ET AL 1835 SULLIVAN CT MORGAN HILL CA 9503758 6301 BERRYBUSH CT 808-40-024 WARVI JOHN E 6301 BERRYBUSH CT GILROY CA 95020-950459 MONTEREY Rd 808-49-078 YAHYA NAAIM A TRUSTEE & ET AL 1835 SULLIVAN CT MORGAN HILL CA 9503760 VINTNER ST 808-58-005 CHRISTOPHER, DONALD C ET AL 305 BLOOMFIELD AVE GILROY CA 9502061 2740 HECKER PASS RD 810-20-033 OWENS FINANCIAL GROUP INC PO BOX 2400 WALNUT CREEK CA 94595-040062 2480 HECKER PASS HW 810-20-037 HOEY, JAMES W TRUSTEE & ET AL 2480 HECKER PASS HWY GILROY CA 95020-000063 2300 HECKER PASS HW 810-20-039 SYNGENTA FLOWERS LLC PO BOX 500 SLATER IA 5024464 6675 EAGLE RIDGE CT 810-60-018 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270865 6685 EAGLE RIDGE CT 810-60-019 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270866 6695 EAGLE RIDGE CT 810-60-020 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270867 6694 EAGLE RIDGE CT 810-60-021 SHAPELL INDUSTRIES INC 6800 KOLL CENTER PKWY PLEASANTON CA 9456668 6535 EAGLE RIDGE CT 810-72-021 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270869 6615 EAGLE RIDGE CT 810-72-029 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270870 6625 EAGLE RIDGE CT 810-72-030 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270871 6635 EAGLE RIDGE CT 810-72-031 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270872 6645 EAGLE RIDGE CT 810-72-032 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 92708 72 records of 118 Santa Clara County Weed Abatement Program Page 3
Situs APN CITY/STATE
2026 WEED ABATEMENT PROGRAM
CITY OF GILROY
COMMENCEMENT REPORT Exhibit A
73 6651 EAGLE RIDGE CT 810-72-033 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270874 6655 EAGLE RIDGE CT 810-72-034 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270875 6671 EAGLE RIDGE CT 810-72-035 DO & PARTNERS LLC 9419 GERANIUM CIR FOUNTAIN VALLEY CA 9270876 MONTEREY RD 835-01-034 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 6817977 MONTEREY RD 835-01-035 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 6817978 FOREST ST 835-01-050 LEAVESLEY & FOREST LLC 611 S WESTLAKE AVE LOS ANGELES CA 9005779 MURRAY AVE 835-01-059 HIGHLY VISUAL LLC 8840 FOREST ST GILROY CA 9502080 LEAVESLEY RD 835-01-064 LEAVESLEY & FOREST LLC 611 S WESTLAKE AVE LOS ANGELES CA 9005781 MONTEREY RD 835-02-014 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 6817982 SAN YSIDRO AVE 835-04-064 J FILICE & SONS LTD 751 B FIRST ST GILROY CA 9502083 LAS ANIMAS AV 835-04-067 MONTANO, LYDIA R AND ALFRED JR 15191 KARL AVE MONTE SERENO CA 95030-222984 MURRAY AVE 835-04-068 MONTANO, LYDIA R AND ALFRED JR 15191 KARL AVE MONTE SERENO CA 95030-222985 9096 SAN YSIDRO AVE 835-04-087 QUALITY CONSTRUCTION 453 RAVENSDALE DR MOUNTAIN VIEW CA 9404386 9090 SAN YSIDRO AVE 835-04-088 QUALITY CONSTRUCTION 453 RAVENSDALE DR MOUNTAIN VIEW CA 9404387 9120 MURRAY AVE 835-05-004 SENCION CRYSTAL 9120 MURRAY AVE GILROY CA 9502088 315 LAS ANIMAS AVE 835-05-006 315 LAS ANIMAS LP 445 CENTRAL AVE STE 200 HIGHLAND PARK IL 6003589 FORREST ST 835-31-032 8805 FORREST QOZB LLC PO BOX 787 DIABLO CA 9452890 MONTEREY HW 841-02-046 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 6817991 395 LEWIS ST 841-03-062 NGUYEN HUNG Q AND LE HONG T ET 11485 NEW AVE GILROY CA 9502092 SOUTH FW 841-10-039 Pacific Gas and Electric Co. ATTN: 300 LAKESIDE DRIVE OAKLAND CA 94612-353493 430 OLD GILROY ST 841-11-075 LETTERFORMS INC 3843 CONCORD BLVD CONCORD CA 9451994 SOUTH FW 841-14-058 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 6817995 SOUTH FW 841-14-059 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 6817996 SOUTH FW 841-14-060 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 68179 96 records of 118 Santa Clara County Weed Abatement Program Page 4
Situs APN CITY/STATE
2026 WEED ABATEMENT PROGRAM
CITY OF GILROY
COMMENCEMENT REPORT Exhibit A
97 MONTEREY RD 841-14-072 UNION PACIFIC RAILROAD 1400 DOUGLAS ST. STOP 1690 OMAHA NE 6817998 5870 MONTEREY RD 841-14-080 GARLIC FARM TRUCK CENTER LLC 5000 E 2ND ST UNIT G BENECIA CA 9451099 6900 CAMERON BLV 841-17-100 MCCARTHY GILROY LLC 210 ALMENDRA AVE LOS GATOS CA 95030-7211100 VENTURE WA 841-17-121 UNITED NATURAL FOODS WEST INC P.O. BOX 990 MINNEAPOLIS MN 55406101 PACHECO PASS HW 841-18-082 AMAZON DATA SERVICES INC PO BOX 80416 SEATTLE WA 98108-0416102 951 RENZ LN 841-18-095 GILROY LOGISTICS LLC 19700 S VERMONT AVE UNIT TORRANCE CA 90502103 981 RENZ LN 841-18-096 GILROY LOGISTICS LLC 19700 S VERMONT AVE UNIT TORRANCE CA 90502104 402 HADLEY CT 841-53-032 MARQUEZ, PRISCILLA A 402 HADLEY CT GILROY CA 95020-5839105 HOOVER CT 841-53-066 NGUYEN, THU TAM 2673 MCLAUGHLIN AVE SAN JOSE CA 95121-2752106 HOLLOWAY RD 841-70-005 PARKS JOHN TRUSTEE 17036 AVALON BLVD CARSON CA 90746107 SILACCI WY 841-70-012 NAZEMI MOHAMMED H AND PO BOX 3249 SANTA CLARA CA 95055108 850 HOLLOWAY RD 841-70-026 GILROY PARTNERS LLC 67 MOUNTAIN BLVD UNIT 201WARREN NJ 07059109 6970 CAMINO 841-70-049 TEMPLE GILROY LLC 527 SIMAS DR MILPITAS CA 95035-4723110 5885 ROSSI LN 841-72-001 SIEMPRE SOBRE EL DINERO LLC 190 N MONTGOMERY ST SAN JOSE CA 95110111 5885 ROSSI LN 841-72-001112 560 ROSSI CT 841-72-008 PULMUONE FOODS USA INC 2315 MOORE AVE FULLERTON CA 92833113 5855 ROSSI LN 841-72-009 PULMUONE FOODS USA INC 2315 MOORE AVE FULLERTON CA 92833114 5835 ROSSI LN 841-72-010 PULMUONE FOODS USA INC 2315 MOORE AVE FULLERTON CA 92833115 5815 ROSSI LN 841-72-011 PULMUONE FOODS USA INC 2315 MOORE AVE FULLERTON CA 92833116 E LUCHESSA AVE 841-73-005 BERRY JAMIESON LLC PO BOX 1802 GILROY CA 95021117 5980 TRAVEL PARK CR 841-75-011 HOANG, VINCE AN TRI 5240 MONTEVERDE LN LINCOLN CA 95648118 300 OBATA CT 841-79-006 SEALAKE CORPORATION 20310 ARGONAUT DR SARATOGA CA 95070-4304 118 records of 118 Santa Clara County Weed Abatement Program Page 5
8.2. City of Gilroy
STAFF REPORT
Agenda Item Title: Amend Chapter 15, Section 15.11 of the Gilroy City Code by Adding Reference to California Vehicle Code Section 22358 et seq. Allowing the City Council to Reduce Prima Facie Speed Limits in School Zones from 25 mph to 15 mph or 20 mph per Assembly Bill 382
Meeting Date: April 20, 2026
From: Matt Morley, City Administrator
Department: Public Works
Submitted by: John Doughty, Public Works Director
Prepared by: John Doughty, Public Works Director
STRATEGIC PLAN GOALS: Not Applicable
RECOMMENDATION
1. Conduct a Public Hearing;
2. Introduce and waive the first reading of the Ordinance amending Chapter 15, Section 15.11 of the Gilroy City Code adding reference to California Vehicle Code Section 22358 et seq. allowing the City Council to reduce prima facie speed limits in school zones from 25 mph to 15 mph or 20 mph per Assembly Bill 382;
3. Direct staff to place the Ordinance for adoption at the May 18, 2026 meeting; and
4. Adopt a resolution approving a budget amendment adding $150,000 from Fund 220 (Vehicle Registration Fee) to Capital Project Number 801120 (Citywide Safety Improvements).
EXECUTIVE SUMMARY
Assembly Bill 382 was adopted by the California Legislature and signed into law by Governor Newsom in late 2025 and became effective on January 1, 2026. AB 382 provides the City Council the opportunity to reduce speed limits in school zones from 25
8.2. miles per hour to 15 or 20 miles per hour in advance of a January 1, 2031 mandate. In light of the recent tragedy near Las Animas Elementary School and consistent with the City Council's commitment to the community, staff is seeking approval of a minor City Code amendment to facilitate the potential lowering of school zone speed limits.
BACKGROUND
Until recently, California law established a prima facie speed limit of 25 miles per hour (mph) when approaching or passing a school building or school grounds that are contiguous to or not separated from a highway. The City was permitted to reduce this limit only when supported by an engineering and traffic survey.
Assembly Bill (AB) 382, signed into law on October 10, 2025, and effective as of January 1, 2026 significantly revises these rules. The bill authorizes local agencies, by ordinance or resolution, to establish reduced school zone speed limits without requiring an engineering and traffic survey. AB 382 standardizes and lowers the default statewide school-zone speed limit (to 20 mph), expands flexibility for localities (15 mph or 25 mph buffer zones), and clarifies “school zone” boundaries and “children present” rules – simplifying and strengthening pedestrian safety protections around schools.
A "school zone," was formerly defined as “an area of roadway within 500 feet of school grounds in any direction, unless otherwise posted, marked with appropriate signs giving notice of the area” has been simplified by AB382. A “school zone” is now defined as any area within 500 feet of school grounds in any direction, unless otherwise posted.
Assembly Bill 382 amended section 22358.4 of the California Vehicle Code as of January 1, 2026, to allow local governments to establish a 15 miles per hour (mph) prima facie speed limit by local resolution in: qualifying school zones in a residence district; on a two-lane roadway; and with a posted speed limit of 30 mph or slower.
Assembly Bill 382 also amended section 22352.5 of the California Vehicle Code as of January 1, 2026, to allow local governments to reduce speed limits in school zones to 20 miles per hour (mph). AB 382 defines “school zone” as any segment of highway within 500 feet of a school’s grounds (unless otherwise posted), giving clearer and uniform spatial boundaries.
Effective January 1, 2031, or when approved by resolution or ordinance by a local government before that date, the standard prima facie speed limit of 25 mph when school children are present, should now be posted at 20 mph when accompanied by one of the following signs: (1) when school children are present, (2) when beacons are flashing, or (3) during designated hours around school times.
ANALYSIS
8.2. Section 15.11 of the Gilroy Municipal Code describes City Council procedures for establishing speed limits on City streets. Notably, except as provided specifically by the California Vehicle Code, speed limits can only be changed by Council resolution based upon an engineering and traffic survey. Assembly Bill 382 created a new vehicle code section 22358.4 which is not specifically referenced in Section 15.11. The purpose of this Municipal Code Amendment is to add specific reference to Vehicle Code Section 22358 et seq., which in turn provides the City Council authority to set lower prima facie speed limits in school zones.
ALTERNATIVES
The City Council could choose not to amend the City Code. This alternative is not recommended as it would delay consideration of reducing speed limits. This action, combined with new signage and parent, driver, and student education, could reduce the potential for future accidents near schools.
FISCAL IMPACT/FUNDING SOURCE
Staff is seeking $150,000 from Fund 220 (Vehicle Registration Fee) to fund consultant assistance, signage, and associated yet-to-be-determined school safety improvements.
PUBLIC OUTREACH
N/A
NEXT STEPS
The Public Works Department is planning to return to the City Council on June 15, 2026, with a resolution that, if approved, would begin the process of reducing speed limits in public school zones from 25 mph to 20 mph and/or 15 mph. Public Works is in the process of soliciting consultants to evaluate all Gilroy public school sites to determine appropriate prima facie speed limits for those schools per Assembly Bill 382.
Staff will also be assessing signage needs to implement. Speed limit changes only become effective upon the placement of new signs reflecting revised speed limits. Staff is committed to completing sign replacements prior to the first day of school (August 19).
Following the public school assessment and implementation, staff will initiate evaluation of private school sites.
Attachments:
1. Ordinance For School Speed Limit Reductions
8.2. 2. Resolution Budget Amendment--School Safety Traffic
ORDINANCE 2026-XX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
GILROY AMENDING CHAPTER 15, SECTION 15.11 OF THE
GILROY CITY CODE BY ADDING REFERENCE TO NEW
VEHICLE CODE SECTION 22358.4 WHICH PERMITS THE
LOWERING OF SPEED LIMITS UNDER CERTAIN
CIRCUMSTANCES IN SCHOOL ZONES
WHEREAS, when approaching or passing a school building or school grounds that are contiguous to or not separated from a highway. Local authorities were permitted to reduce this limit only when supported by an engineering and traffic survey; and WHEREAS, Assembly Bill (AB) 382, signed into law on October 10, 2025, and effective as of January 1, 2026 significantly revises these rules. The bill authorizes local agencies, by ordinance or resolution, to establish reduced school zone speed limits without requiring an engineering and traffic survey, and
WHEREAS, Assembly Bill 382 standardizes and lowers the default statewide school-zone speed limit (to 20 mph), expands flexibility for localities (15 mph or 25 mph buffer zones), and clarifies “school zone” boundaries and “children present” rules – simplifying and strengthening pedestrian safety protections around schools; and WHEREAS, Assembly Bill 382 amended section 22358.4 of the California Vehicle Code as of January 1, 2026, to allow local governments to establish a 15 miles per hour (mph) prima facie speed limit by local resolution in: qualifying school zones in a residence district; on a two-lane roadway; and with a posted speed limit of 30 mph or slower; and
WHEREAS, Section 15.11 of the Gilroy City Code describes City Council procedures for establishing speed limits on City streets. Notably, except as provided specifically by the California Vehicle Code, speed limits can only be changed by Council resolution based upon an engineering and traffic analysis.
WHEREAS, Section 15.11 of the Gilroy City Code does not include specific reference to vehicle code section 22358 et. seq.; and
WHEREAS, absent the specific reference, the City Council cannot apply new vehicle code section 22358.4 and set lower prima facie speed limit of 15 mph under Assembly Bill 382.
NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL HEREBY AMENDS THE GILROY CITY CODE AS FOLLOWS:
“15.11 Speed limits—on designated streets.
Upon recommendation of the city engineer or chief of police, and when based on an engineering and traffic survey, the city council may by resolution determine and declare speed limits for designated streets different from those otherwise applicable under Vehicle Code sections 22349,
Ordinance No. 2026-XX
Ordinance Amending GCC Section 15.11
City Council Regular Meeting | April 20, 2026
22352 and 22358 et seq. Each special speed limit shall be effective, and no person shall operate a vehicle in excess thereof, when appropriate signs designating the applicable speed are erected and maintained upon each street or portion thereof where each special speed limit is applicable.
PASSED AND ADOPTED by the City Council of the City of Gilroy at a regular meeting duly held on the 20th day of April 2026 by the following roll call vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
APPROVED:
Greg Bozzo, Mayor
ATTEST:
Kim Mancera, City Clerk
Ordinance No. 2026-XX
Ordinance Amending GCC Section 15.11
City Council Regular Meeting | April 20, 2026
CERTIFICATE OF THE CLERK
I, KIM MANCERA, City Clerk of the City of Gilroy, do hereby certify that the attached Ordinance No. 2026-XX is an original resolution, or true and correct copy of a City Resolution, duly adopted by the Council of the City of Gilroy at a Regular Meeting of said Council held on Monday, Date, with a quorum present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this Tuesday, XXXXX
Kim Mancera
City Clerk of the City of Gilroy
RESOLUTION 2026-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GILROY AMENDING THE FY 26 CAPITAL BUDGET TO
FUND TRAFFIC SAFETY IMPROVEMENTS AT ALL
GILROY PUBLIC SCHOOLS
WHEREAS, City Staff prepared and submitted to the City Council the FY 2024-2028 Capital Improvement Program (CIP); and
WHEREAS, the CIP was subsequently amended to include Project No. 801120 which provides for installation of traffic safety improvements citywide; and WHEREAS, the City Administrator prepared and submitted to the City Council a capital budget for the City of Gilroy for FY2025-26 and FY2026-27, and the City Council carefully examined, considered, and adopted the same on June 2, 2025; and WHEREAS, City Staff has prepared and submitted to the City Council a proposed ordinance to implement Assembly Bill (AB) 382 permitting prima facie reductions in speed limits in school zones; and
WHEREAS, staff is seeking a budget amendment to cover costs associated with implementing speed limit reductions under AB 382.
NOW, THEREFORE, BE IT RESOLVED THAT the expenditure appropriations for Fiscal Year 2025-2026 in Fund 220 (Vehicle Registration Fee) shall be increased by $150,000 for school traffic safety improvements.
PASSED AND ADOPTED This 20th day of April 2026, by the following roll call vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
APPROVED:
Greg Bozzo, Mayor
ATTEST:
Kim Mancera, City Clerk
9.1. City of Gilroy
STAFF REPORT
Agenda Item Title: Receive an Update on Emergency Medical Dispatch (EMD) Services Cost Escalation and Service Delivery Evaluation, and Approval of a Two-year Agreement with the Santa Clara County Communications Department for EMD services, in the Amount of $170,256 for Fiscal Year 2026-27 (FY27) and
$329,803 in FY28
Meeting Date: April 20, 2026
From: Matt Morley, City Administrator
Department: Fire
Submitted by: Rob Fleeup, Fire Chief
Prepared by: Rob Fleeup, Fire Chief
STRATEGIC PLAN GOALS: Maintain and Improve City Infrastructure
RECOMMENDATION
1. Receive an update; and
2. Approve a two-year agreement with Santa Clara County Communications Department for Emergency Medical Dispatch services, in the amount of $170,256 in FY 27 and $329,803 in FY 28, and authorize the City Administrator to execute the contract and associated documents.
EXECUTIVE SUMMARY
This report is to update the City Council on recent developments related to Emergency Medical Dispatch (EMD) services for the City of Gilroy. EMD is currently provided through a contractual agreement with the Santa Clara County Communications Department (County Comm). Recent changes to the County’s cost allocation methodology have resulted in a significant increase in cost for these services.
In March 2025, staff informed the City Council that the County planned to significantly
9.1. increase the cost of EMD services. Through discussions, the County agreed to a phased implementation approach to transition toward full cost recovery based on the new cost allocation model. Through this revision to the cost analysis, the estimated full cost of providing EMD services to Gilroy is approximately $329,802 annually, subject to adjustments based on call volume and operational costs.
Under this approach, the City’s EMD costs increased from $100,878 in FY 2026 to $170,256 in FY 2027. Beginning in FY 2028, the County anticipates implementing a full cost increase based on their estimated operational cost of providing EMD services to the City.
Staff continues to evaluate potential alternatives, including the feasibility of providing EMD services through the City’s Emergency Communications Center (ECC). This evaluation is ongoing and requires coordination between the Fire Department, Police Department, and ECC staff.
BACKGROUND
Emergency Medical Dispatch (EMD) is a structured system used by trained dispatchers to process medical emergency calls. Dispatchers use protocols to determine the nature and priority of medical emergencies, dispatch the appropriate emergency resources, and provide life-saving pre-arrival medical instructions to callers until responders arrive on scene.
Examples of these instructions include CPR guidance, bleeding control, and childbirth assistance.
EMD is widely recognized as an industry standard and is a key component of modern emergency medical service systems.
Since 2003, the City of Gilroy has contracted with County Comm to provide EMD services. Under this model, Gilroy’s ECC receives 911 calls and transfers medical calls to County Comm for medical triage and dispatch protocol processing.
Historically, this arrangement has provided a reliable and cost-effective solution for the City.
ANALYSIS
The projected increase in EMD service costs represents a significant change in the City’s long-standing dispatch service model. As a result, the Fire and Police Departments have begun evaluating whether to continue contracting with County Comm or transition EMD services to the City’s ECC, and which would be the most sustainable long-term solution.
9.1. Providing EMD services internally would require several operational changes, including:
• Dispatcher certification and training for EMD accreditation • Ongoing certification maintenance and quality assurance programs • Implementation of approved dispatch protocols and software systems • Potential staffing adjustments to maintain operational coverage • Integration with existing dispatch technology and CAD systems Fire Department staff have been coordinating with the City’s ECC to determine what infrastructure, staffing levels, and training timelines would be necessary to implement EMD operations internally.
Staff believe it is important to complete this analysis carefully to ensure that any potential operational changes maintain the high level of service expected by the community. Therefore, staff recommends contracting with County Comm for two (2) additional fiscal years to allow more time to fully evaluate EMD operations.
ALTERNATIVES
The Council can choose not to approve the agreement with the County and bring the EMD services in-house. This is not recommended due to the significant investment required to be ready by July 1, 2026.
FISCAL IMPACT/FUNDING SOURCE
The FY 2027 EMD cost is estimated to be $170,256, and the FY 2028 EMD cost is projected to increase to approximately $329,802. These increases represent a phased increase towards the County’s full cost recovery model. These estimated costs are subject to adjustments based on dispatch activity and operational costs. County Comm reviews total calls at the end of each fiscal year and sends the City a true-up invoice if actuals exceed the initial budget.
The FY 2027 Fire Department 1003500 general fund budget includes $88,410 for EMD services, which leaves the Fire Department short $82,000 for EMD services in FY 2027.
The Finance Department will bring forward a comprehensive budget amendment related to the County services impact as part of the upcoming quarterly budget update. This amendment will include the increase to the EMD services agreement.
Fire Department staff will include the FY 2028 EMD service cost in the upcoming biannual budget process.
PUBLIC OUTREACH
This agenda item was included on the publicly posted agenda for this meeting.
9.1. Coordination and discussions have occurred between the Gilroy Fire Department, Gilroy Police Department, the City’s Emergency Communications Center, and the Santa Clara County Communications Department regarding service delivery options and cost impacts.
NEXT STEPS
Staff will continue to evaluate service delivery alternatives in coordination with the Police Department and the ECC.
Upon completion of the operational feasibility review, staff will return to City Council with additional analysis and recommendations.
Attachments:
1. SCC County and City of Gilroy EMD and Tech Services Agreement DRAFT
03.25.26
Agreement between the County of Santa Clara Page 1 of 7 and City of Gilroy for EMD and Technical Services
AGREEMENT BETWEEN THE COUNTY OF SANTA CLARA AND
THE CITY OF GILROY FOR EMERGENCY MEDICAL DISPATCH
AND COMMUNICATIONS TECHNICAL SERVICES
This AGREEMENT (“Agreement”) is entered into by and between the County of Santa Clara (“COUNTY”) and the City of Gilroy (“CITY”), collectively referred to herein as the “Parties” and individually as a “Party.”
RECITALS
The following recitals constitute a substantive portion of the Agreement.
WHEREAS, the CITY wishes to contract with a provider of public safety communications services for the provision of emergency medical dispatch (EMD) and communications technical services on its behalf that are critical to the protection of the lives and property of the residents and employees of the CITY; and,
WHEREAS, the COUNTY is qualified and prepared to provide effective, timely, and efficient EMD and communications technical services for the CITY.
NOW, THEREFORE, the Parties hereto agree as follows:
Article 1. Nature of Services
1.1 Scope of Services
The service obligations of the Parties are described in Exhibit A “Emergency Medical Dispatch Process & Procedural Requirements” and Exhibit B “Communications Technical Services Scope of Work”, which are attached and incorporated herein by this reference.
Article 2. Compensation
2.1 Amount of Payment
The CITY shall compensate the COUNTY for the services provided under this Agreement in accordance with the cost methodology set forth in Exhibit C “EMD Compensation for Services, and Exhibit D “Communications Technical Services Compensation,” which are attached and incorporated into this Agreement.
2.2 Payment Terms
The CITY shall pay the COUNTY within thirty (30) calendar days of receipt of billing for services.
Article 3. Term and Termination
Agreement between the County of Santa Clara Page 2 of 7 and City of Gilroy for EMD and Technical Services
3.1 Term of Agreement
(a) This Agreement is effective from July 1, 2026, through June 30, 2028, unless terminated earlier in accordance with Section 3.2.
3.2 Termination
(a) Termination for Cause
Either Party may terminate this Agreement for cause upon written notice to the other in accordance with Section 6.1 of this Agreement. For purposes of this Agreement, cause includes, but is not limited to, an uncured material breach of this Agreement or a violation of any applicable laws. Such notice will specify the reason for termination and will indicate the effective date of the termination.
(b) Opportunity to Cure
(1) The non-breaching Party will give written notice of a material breach to the breaching Party, specifying the breach.
(2) The breaching Party will not be deemed in default of this Agreement and the nonbreaching Party will not institute proceedings or exercise any remedies against the breaching Party unless the breach has not been cured, corrected, or remedied within:
(A) 15 business days after notice of the breach is provided; or (B) Upon mutual agreement of the Parties, within a longer period as may be reasonably required to cure, correct, or remedy the breach, provided the breaching Party has commenced to cure, correct, or remedy the breach within 15 business days after notice is provided and diligently and continuously pursues such cure, correction, or remedy.
(c) Termination for Convenience
Either Party may terminate this Agreement without cause by giving the other Party ninety (90) calendar days written notice.
(d) Compensation in the Event of Termination
In the event of termination, the COUNTY shall be entitled to compensation due for services performed prior to the effective date of the termination as provided herein.
Article 4. Liabilities and Indemnification
4.1 Mutual Indemnification
In lieu of and notwithstanding the pro-rata risk allocation that might otherwise be imposed
Agreement between the County of Santa Clara Page 3 of 7 and City of Gilroy for EMD and Technical Services
between the Parties pursuant to Government Code Section 895.6, the Parties agree that all losses or liabilities incurred by a Party shall not be shared pro-rata, but instead the COUNTY and the CITY agree that pursuant to Government Code Section 895.4, each of the Parties hereto shall fully indemnify, defend with counsel acceptable to the non-indemnifying Party, whose approval shall not be unreasonably withheld, and hold each of the other Parties, their officers, board members, employees and agents, harmless from any claim, expense or cost, damage or liability imposed for injury (as defined by Government Code Section 810.8) occurring by reason of the negligent acts or omissions or willful misconduct of the indemnifying Party, its officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such Party under this Agreement. No Party, nor any officer, board member, employee or agent thereof shall be responsible for any damage or liability occurring wholly by reason of the negligent acts or omissions or willful misconduct of the other Party hereto, its officers, board members, employees, or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such other Party under this Agreement.
Article 5. Dispute Resolution
In the event of any dispute between the Parties arising from or relating to this Agreement, the Parties will attempt to resolve the dispute initially by informal means. Upon the request of either Party, the contract administrators of each Party will meet to discuss the dispute, will exchange any information that they mutually agree is relevant to the issues in dispute and will use all reasonable efforts to resolve the dispute without the need for further proceedings.
Article 6. Miscellaneous
6.1 Notice
All notices required by this Agreement will be deemed given when in writing and delivered personally, electronically via email, or deposited in the United States mail, postage prepaid, return receipt requested, addressed to the other Party at the address set forth below or at such other address as the Party may designate in writing:
To the CITY:
Attn: Fire Chief
City of Gilroy
7070 Chestnut Street
Gilroy, CA 95020
To the COUNTY:
Attn: Communications Director
County of Santa Clara
Communications Department
2700 Carol Drive
San Jose, CA 95125
Agreement between the County of Santa Clara Page 4 of 7 and City of Gilroy for EMD and Technical Services
6.2 Compliance and Nondiscrimination
The Parties will comply with all applicable Federal, State, and local laws and regulations.
Such laws include but are not limited to the following: Title VII of the Civil Rights Act of 1964 as amended, the Americans with Disabilities Act of 1990, the Rehabilitation Act of 1973 (Sections 503 and 504), the California Fair Employment and Housing Act (Government Code sections 12900 et seq.), and California Labor Code sections 1101 and 1102. The Parties will not discriminate against any subcontractor, employee, or applicant for employment because of age, race, color, national origin, ancestry, religion, sex/gender, sexual orientation, mental disability, physical disability, medical condition, political beliefs, organizational affiliations, or marital status in the recruitment, selection for training including apprenticeship, hiring, employment, utilization, promotion, layoff, rates of pay or other forms of compensation. Nor will the Parties discriminate in the provision of services provided under this Agreement because of age, race, color, national origin, ancestry, religion, sex/gender, sexual orientation, mental disability, physical disability, medical condition, political beliefs, organizational affiliations, or marital status.
6.3 Relationship of Parties; Independent Contractor
COUNTY will perform all work and services described in this Agreement as an independent contractor and not as an officer, agent, servant, or employee of the CITY. None of the provisions of this Agreement is intended to create, nor shall be deemed or construed to create any relationship between the Parties other than that of independent Parties contracting with each other for purpose of effecting the provisions of this Agreement. The Parties are not and will not be construed to be in a relationship of a joint venture, partnership, or employeremployee. Neither Party has the authority to make any statements, representations, or commitments of any kind on behalf of the other Party or to use the name of the other Party in any publications or advertisements, except with the written consent of the other Party or as is explicitly provided in this Agreement.
6.4 Governing Law, Jurisdiction and Venue
This Agreement shall be construed and interpreted according to the laws of the State of California, excluding its conflict of law principles. Proper venue for legal actions shall be exclusively vested in state court in Santa Clara County. The Parties agree that subject matter and personal jurisdiction are proper in state court in Santa Clara County and waive all venue objections.
6.5 Assignment
No assignment of this Agreement or of the rights and obligations hereunder shall be valid without the prior written consent of the other Party.
6.6 Entire Agreement
This Agreement and its Appendices (if any) constitute the final, complete and exclusive statement of the terms of the agreement between the parties. It incorporates and supersedes all
Agreement between the County of Santa Clara Page 5 of 7 and City of Gilroy for EMD and Technical Services
the agreements, covenants and understandings between the parties concerning the subject matter hereof, and all such agreements, covenants and understandings have been merged into this Agreement. No prior or contemporaneous agreement or understanding, verbal or otherwise, of the parties or their agents shall be valid or enforceable unless embodied in this Agreement.
6.7 Amendments
This Agreement may only be amended by a written instrument signed by the Parties.
6.8 Counterparts
This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original, but all of which together shall constitute one and the same instrument.
6.9 Severability
If any provision of this Agreement is found by a court of competent jurisdiction to be void, invalid or unenforceable, the same will either be reformed to comply with applicable law or stricken if not so conformable, so as not to affect the validity or enforceability of this Agreement.
6.10 Waiver
No delay or failure to require performance of any provision of this Agreement shall constitute a waiver of that provision as to that or any other instance. Any waiver granted by a Party shall be in writing and shall apply to the specific instance expressly stated.
6.11 Survival
All provisions of this Agreement allocating liability between the CITY and the COUNTY, payment obligations, and the duty to defend, indemnify and hold harmless shall survive the termination of this Agreement.
6.12 Integration and Order of Precedence
This Agreement, including all Exhibits, represents the entire and integrated contract between the CITY and the COUNTY and supersedes all prior negotiations, representations, or agreements, either written or oral. In the event of a conflict between the provisions of the main body of the Agreement and its Exhibits, the provisions of the main body shall control. In the event of a conflict between Exhibits A through D, the provisions of Exhibits A and C shall control.
6.13 Time of the Essence
The Parties acknowledge that time is of the essence for this Agreement. Either Party’s failure to complete any of the obligations outlined herein during the term of the Agreement shall be
Agreement between the County of Santa Clara Page 6 of 7 and City of Gilroy for EMD and Technical Services
deemed a breach of the Agreement.
6.14 Contract Execution
Unless otherwise prohibited by law or COUNTY policy, the Parties agree that an electronic copy of a signed contract, or an electronically signed contract, has the same force and legal effect as a contract executed with an original ink signature. The term “electronic copy of a signed contract” refers to a transmission by facsimile, electronic mail, or other electronic means of a copy of an original signed contract in a portable document format. The term “electronically signed contract” means a contract that is executed by applying an electronic signature using technology approved by the COUNTY.
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Agreement between the County of Santa Clara Page 7 of 7 and City of Gilroy for EMD and Technical Services
IN WITNESS WHEREOF, the COUNTY and the CITY have caused this Agreement to be executed by their duly authorized representatives effective July 1, 2026.
SIGNATURES:
COUNTY OF SANTA CLARA CITY OF GILROY
__________________________ ________ __________________________ ________ OTTO LEE, PRESIDENT Date MATT MORLEY Date
Board of Supervisors City Administrator
Signed and certified that a copy of this
document has been delivered by electronic
or other means to the President, Board of
Supervisors.
ATTEST: ATTEST:
__________________________ _________________________
CURTIS BOONE KIM MANCERA
Clerk of the Board of Supervisors City Clerk
APPROVED AS TO FORM AND LEGALITY: APPROVED AS TO FORM:
__________________________ __________________________
STEPHANIE M. JACKSON ANDY FABER
Deputy County Counsel City Attorney
Exhibits to this Agreement:
Exhibit A - Emergency Medical Dispatch Process & Procedural Requirements Exhibit B - Communications Technical Services Scope of Work Exhibit C - EMD Compensation for Services
Exhibit D - Communications Technical Services Compensation
Exhibit A of Agreement between the County of Santa Clara Page 1 of 2 and City of Gilroy for EMD and Technical Services
EXHIBIT A
EMERGENCY MEDICAL DISPATCH PROCESS & PROCEDURAL REQUIREMENTS To ensure the safe and efficient transfer of callers requiring Emergency Medical Dispatch (EMD) services from Gilroy Communications to County Communications, Gilroy Communications and County Communications agree to process 9-1-1 and seven-digit calls using the following process and procedural requirements:
1. Gilroy Communications will use a “3-way” telephone call transfer process to route callers to County Communications for EMD services. This process will:
o Use a “one-button” method to minimize transfer time.
o Result in Gilroy Communications Dispatchers:
• Using a scripted transfer statement prior to caller transfer; and • Remaining on the line silently until the provision of a Medical Priority Dispatch System (MPDS) “Determinant” or until call demand requires them to disconnect the call.
2. County Communications will provide Gilroy Communications with continuous (24 hours per day, 7 days per week) EMD services using International Academy of Emergency Dispatch (IAED) certified Emergency Medical Dispatchers. All dispatchers providing EMD services will use the most current version of the MPDS as determined by the IAED.
3. County Communications will use IAED certified Emergency Medical Dispatch Quality (EMD-Q) reviewers to score and calculate protocol compliance reports. The number and method of cases for review will be in accordance with IAED Accreditation requirements.
4. County Communications agrees to participate in periodic “special case” reviews, in the event they are requested by Gilroy Communications.
5. County Communications and Gilroy Communications agree that the determination “EMD Is Unavailable” will occur following a “three-ring” wait time for EMD call transfers to County Communications for 9-1-1 or designated seven-digit numbers.
6. County Communications and Gilroy Communications agree to work together to develop or revise policies and procedures for the receipt and management of callers requiring EMD services following written request by either agency.
7. County Communications will include Gilroy Communications and Gilroy Fire Department personnel in quality improvement feedback processes and the Medical Dispatch Review Committee used to maintain and improve EMD compliance to protocol.
County Communications will also provide quarterly protocol compliance reports reporting:
• Percentage of cases that are High Compliance
• Percentage of cases that are Compliant
Exhibit A of Agreement between the County of Santa Clara Page 2 of 2 and City of Gilroy for EMD and Technical Services
• Percentage of cases that are Partial Compliance
• Percentage of cases that are Low Compliance
• Percentage of cases that are Non-Compliant
8. County Communication will maintain IAED Accredited Center of Excellence (ACE) compliance levels, which are currently:
• Partial Compliance – 10% or less of cases
• Low Compliance – 10% or less of cases
• Non-Compliant – 7% or less of cases
9. County Communications will provide eight updated Field Responder Guides (FRG) license access codes for the “MobileFRG” to Gilroy Fire Department when software revisions occur.
Exhibit B of Agreement between the County of Santa Clara Page 1 of 3 and City of Gilroy for EMD and Technical Services
EXHIBIT B
COMMUNICATIONS TECHNICAL SERVICES SCOPE OF WORK
The City of Gilroy (CITY) two-way radio communications system (hereinafter “Radio System”) is currently comprised of: A single multiple site simulcast transmitter that is combined with a voted receiver system and commonly referred to and identifiable as the South County TAC channel (hereinafter “Simulcast System”), two single radio transmitter site radio systems, that are also using utilize multiple site voted receiver technology, supporting mobile and portable communications for public safety radio channels PD-1 and FD-1, a single site repeated radio channel PD-2, communications support for simplex radio channels PD-3 and FD-2, and three fire station ringdown alerting systems all in operation within the CITY.
The CITY has requested the County of Santa Clara Communications Department (COUNTY) to provide professional engineering and technical support services as required to assist in the design, licensing, procurement, implementation, maintenance, repair, and future upgrades to the Radio System, based on the Communications Department’s proven performance, experience, specially trained and competent workforce that will perform the special services as required by this Agreement.
Under this Agreement, the COUNTY shall provide the CITY the following services upon the CITY’S request:
1. Design and Procurement:
COUNTY will assist CITY with future Radio System design, upgrades and procurement of equipment and services compatible with other similar radio systems currently maintained and operated by the COUNTY.
Quotations for design, engineering, initial implementation, and future upgrade services will be presented to the CITY in writing for approval prior to initiation of work. Cost estimates for COUNTY services, including any sub-contractor work if required, will be included in each quotation for the CITY’s approval prior to initiation of work.
The CITY is responsible for the cost of and contracting for system procurement.
Examples of major components of the Radio System to be purchased under this agreement include but are not limited to:
a. Digital-capable Simulcast VHF Radio Transmitters and Receivers b. Antennas, Cables, Racks, Combining Equipment, and Grounding systems. c. DC Power Supply System
NOTE: Due to the age of the CITY’s communications infrastructure, the COUNTY will repair and maintain the equipment until parts are no longer available or supported by the manufacturer. Services for all legacy equipment will be performed upon request only.
Exhibit B of Agreement between the County of Santa Clara Page 2 of 3 and City of Gilroy for EMD and Technical Services
2. FCC Licensing:
The COUNTY will assist the CITY with FCC licensing requirements.
3. Installation, Programming and System Optimization:
COUNTY will provide the CITY installation, programming, and system optimization services necessary to implement upgrades and/or enhancements to CITY’s Radio System. County will provide annually required preventative maintenance, firmware upgrades, and programming to ensure the radios are operating within FCC requirement and manufacturer specifications. The estimated annual hours for this work are 236 hours.
4. Maintenance, Repair, Enhancements and Modifications to Radio System:
COUNTY will provide maintenance, repairs, modifications, and enhancements to CITY owned Radio System infrastructure equipment charged on a time and material (T&M) cost recovery basis as defined in Exhibit D. Radio System modifications and enhancements will be provided by the COUNTY upon written request and quotation approval from CITY.
5. Annual System-wide Maintenance:
COUNTY will perform system-wide performance maintenance (PM) of the CITY’s preexisting (legacy) and Radio Systems infrastructure equipment on an annual (approximate 12- month interval) basis. PM work will include, but not be limited to, alignment of the two-way radio, microwave, and power plant infrastructure equipment. Fees for PM Service will be charged on a time and material cost recovery basis as defined in Exhibit D and shall include a maximum not-to-exceed cost recovery cap of 80 hours annually. Any identified repair work will be additional and billed separately.
6. Technical Support Services:
COUNTY will provide CITY full-time (24 hours a day, 7 days a week) technical support services for emergency repairs charged on a time and material cost recovery basis as defined in Exhibit D.
CITY may also request repairs or service during the COUNTY’S normal business hours from 7:00 am to 3:30 pm by calling the COUNTY Technical Services Division at (408) 977-3222.
Repair or service requests made after normal business hours, on weekends and on holidays shall be submitted to the COUNTY Watch Commander in Dispatch Operations by calling (408) 294-4424. Depending on the nature and location of the requested repair or service, COUNTY technical support staff shall acknowledge receipt of the service request within 30 minutes, and initial field response will occur within 60 minutes of notification. Actual arrival times on scene will vary based on the location and required travel time.
Current COUNTY performance standards require that public safety radio systems operate 99% of the time without major system problems and 95% of the time without minor systems problems. This standard shall be applied to CITY’s Radio System.
7. Subscribers:
COUNTY will provide programing, optimization, and repair of CITY’s 218 Portable, 110 Mobile, and 1 control station radios. These services will be performed during normal
Exhibit B of Agreement between the County of Santa Clara Page 3 of 3 and City of Gilroy for EMD and Technical Services
operating hours to ensure the radios are operating within FCC and manufacturer specifications.
8. Inspection of Work:
COUNTY shall provide opportunities for CITY, or CITY’s designee to inspect work performed to ensure quality assurance, and quality control are maintained to CITY’s standards and to the COUNTY performance standards set out in this Agreement.
Exhibit C of Agreement between the County of Santa Clara Page 1 of 2 and City of Gilroy for EMD and Technical Services
EXHIBIT C
EMD COMPENSATION FOR SERVICES
Emergency Medical Dispatch (EMD) Cost and Billing Methodology
1. The total COUNTY costs for providing dispatching services are allocated to four service areas (law enforcement, medical, fire, and local government), based on the most recent three-year average number of events. In the month of March, the annual cost for the upcoming fiscal year (FY) will be estimated using the process described in this cost methodology.
2. The following is the computation for estimated costs for dispatching services to be provided by the COUNTY to the CITY in FY 2026-2027:
a. COUNTY will classify costs as follows:
i. Direct Costs: salaries, benefits, and supplies related to Dispatch line staff. ii. Operations Indirect Costs: costs associated with Dispatch management staff. iii. Department Indirect Costs: costs associated with executive management and administrative support staff.
iv. County Indirect Costs: costs associated with County Administration. b. COUNTY allocates salaries and benefits, other operating expenses, and indirect County overhead as follows:
i. Salaries & Benefits
Direct $ 23,487,392
Operations Indirect $ 2,898,110
Department Indirect $ 2,601,709
ii. Other Operating Expenses (Supplies, county radio infrastructure maintenance, etc.) Direct $ 7,142,864
Operations Indirect $ 611,040
Department Indirect $ 948,082
Indirect County Overhead $ 5,491,713
iii. Total Dispatch Cost $ 43,180,910
c. COUNTY allocates all costs to four service areas based on the number of events, averaged over the most recent three fiscal years, for services provided in each service area.
Service Area # of Events % of Total Support Total Cost
Law Enforcement 150,351 41.2% $ 17,809,158
Medical 181,451 49.8% $ 21,471,212
Fire 24,951 6.9% $ 2,984,450
Local Government 7,618 2.1% $ 916,090
Total Dispatch 364,371 100.0% $ 43,180,910
Exhibit C of Agreement between the County of Santa Clara Page 2 of 2 and City of Gilroy for EMD and Technical Services
d. COUNTY allocates EMD medical costs to agencies/departments based on the number of events, averaged over the most recent three fiscal years (FY2023-FY2025) for services provided. Remove County Overhead and General Admin for cities covered by Government Code 51350.
Medical Agency
# of
Events
% of Medical
Support
Operating Cost County
Overhead
Total Area Cost
Gilroy EMD 3,520 1.94% $364,096 $52,427 $416,523
Cost Adjustment/
Reduction
(34,293) ($52,427) ($86,720)
Gilroy Cost $329,803 $329,803
Contract
reduction
(159,547)
Gilroy
Adjusted Cost
$170,256
All Other
Agencies 177,931 98.06% $18,438,839 $2,650,143 $21,054,689 Total Medical 181,451 100.0% $18,768,642 $2,702,570 $21,471,212 e. FY 2026-2027 the CITY’s adjusted estimate of $170,256 is based on medical cost
7.5% of total using the CITY’s 3 years average EMD events. A contract cost reduction is added to this cost compensation. The COUNTY will phase in cost increases until year 2 of the agreement as follows:
3. During the fiscal year, COUNTY shall bill the CITY for EMD dispatching services quarterly based on the estimated cost. The COUNTY shall notify the CITY of any adjustment prior to billing the CITY’s final fourth quarterly installment. Billing questions may be directed by email to Accounts Payable at [email protected].
4. In the first quarter of the following fiscal year, actual costs will be computed using the methodology used for cost estimates and update using the previous year’s event count. Any difference in an increase or decrease cost adjustment will not exceed 5% above or below the previously billed amount.
Fiscal Year Cost Estimate Percent
2026-27 $ 170,256 7.5%
2027-28 $ 329,803 Estimate will be based on actual cost
Exhibit D of Agreement between the County of Santa Clara Page 1 of 2 and City of Gilroy for EMD and Technical Services
EXHIBIT D
COMMUNICATIONS TECHNICAL SERVICES COMPENSATION
The City of Gilroy (CITY) shall compensate the County of Santa Clara Communications Department (COUNTY) for goods and services provided in accordance with the payment terms, conditions and rates set forth in this Exhibit D.
County Communications’ Technical services are billed on a T&M basis as follows:
1. Quotations and Approval:
The COUNTY shall prepare quotations and shall only perform major system installation work and any future system enhancements following the CITY’s written approval.
Quotations will be based on a not-to-exceed estimated amount, with final charges being billed at actual costs. Any increase to the original not-to-exceed estimated amount caused by unforeseen issues must be agreed to in writing by both Parties.
2. System-wide Maintenance:
COUNTY will perform system-wide performance maintenance (PM) of the CITY’s existing (legacy) radio communication infrastructure system equipment and Microwave Network on an annual (approximate 12-month interval) basis. PM work will include, but not be limited to, alignment of the Simulcast (two-way radio) System, Microwave Network, and 48-volt DC power plant infrastructure equipment. Fees for PM Service will be charged on a time and material cost recovery basis with a maximum not-toexceed cost recovery cap of 80 hours annually. Any repair work identified during the PM will be additional and billed separately.
3. Engineering and Technical Support:
COUNTY shall provide CITY engineering and technician support as required to maintain and repair CITY owned equipment as identified through this Agreement based on fiscal year published rates.
All non-regular business hour work will be billed at overtime (1.5 x regular hours) rates with a 4-hour minimum charge of $1,098.00 ($274.50 hourly x 4) for Technician support, if not contiguous with normal business hours. If contiguous with normal business hours (i.e., work begins less than four hours prior to normal business hours or work is initiated before the close of normal business hours), then the 4-hour minimum charge does not apply, and only actual hours worked (regular/overtime) will be billed to the CITY based on when the work is performed.
4. Communications Technical Services Rates:
The rates for engineering and technicalsupport are updated each fiscal year. Effective July 1, 2026, rates for *Communications Technical Services for Fiscal Year 2026-27 are set as follows:
Regular Hours After-hours Rate
o Technician Rate $183.00 / hr. $274.50 / hr.
o Engineering Services $217.00 / hr. $325.50 / hr.
Exhibit D of Agreement between the County of Santa Clara Page 2 of 2 and City of Gilroy for EMD and Technical Services
*Technical rates for subsequent fiscal years will be published annually in June and effective July 1.
5. Billing for Services
The CITY will be billed by the COUNTY on a monthly basis for work performed. All invoices will be submitted to Fire, Police and Public Works Departments:
To the CITY:
Gilroy Fire Department
7070 Chestnut Street
Gilroy, CA 95020
Gilroy Police
Department 7301 Hanna
Street
Gilroy, CA 95020
Gilroy Public Works Department
7351 Rosanna Street
Gilroy, CA 9502
Unless otherwise agreed to by both parties, all payments will be made to the COUNTY within 30 calendar days of date invoiced to:
To the COUNTY:
Attn: Accounts Payable
County of Santa Clara
Communications Department
2700 Carol Drive
San Jose, CA 95125
Monthly billing will include the total amount billed for the month and documentation will provide all invoices for work requested and performed during the billing period, including at minimum an itemized description of services provided by the COUNTY (e.g., breakdown of all services rendered, hours worked and travel time by service location, labor type, and a breakdown of all goods provided/billed by the County).
Billing questions may be directed to Accounts Payable at [email protected].
6. Documentation:
The COUNTY shall maintain documentation of all services requested by the CITY and work performed by the COUNTY under this Agreement as detailed in Exhibit B.
Documentation will include, but not be limited to, Radio System related engineering designs, quotations, FCC licensing, installation, preventative maintenance, and repair services.
The CITY has the right to inspect COUNTY documentation upon request.
10.1. City of Gilroy
STAFF REPORT
Agenda Item Title: Approve the Establishment of a City Council Homelessness Ad Hoc Subcommittee and Appoint up to Three City
Councilmembers to Serve on the Subcommittee, and Provide Direction on the Homebase Proposal and Option
Meeting Date: April 20, 2026
From: Matt Morley, City Administrator
Department: Community Development
Submitted by: Sharon Goei, Community Development Director Prepared by: Sharon Goei, Community Development Director STRATEGIC PLAN GOALS: Promote Safe and Affordable Housing for All
RECOMMENDATION
1. Approve the establishment of a City Council Homelessness Ad Hoc Subcommittee and appoint up to three City Councilmembers to serve on the Subcommittee.
2. Proceed with the Homebase proposal and option of facilitation of six (6) monthly meetings with four (4) virtual and two (2) in-person meetings.
EXECUTIVE SUMMARY
The City received a proposal from Homebase, funded by Destination: Home, to support facilitation of a City Council Ad Hoc Subcommittee to set priorities to address homelessness. Homebase proposes several options for their scope of work and meeting format. Staff recommends that Council create a Homelessness Ad Hoc Subcommittee. Staff also seeks Council direction on the desired Homebase proposal and option.
BACKGROUND
In March 2026, the City received a proposal from Homebase, a national nonprofit focused on responding to homelessness. Homebase has over 35 years of experience
10.1. supporting communities in the design and implementation of programs and best practices toward a comprehensive, coordinated response to address homelessness and reduce poverty.
ANALYSIS
Homebase proposes to support facilitation of a City Council Ad Hoc Subcommittee to set priorities to address homelessness. Homebase proposes assisting in the facilitation of six (6) monthly meetings, with tasks to include development of agenda and meeting materials, facilitation of meetings, note-taking during meetings, and meeting follow-up.
After six meetings conclude, Homebase will document the priorities and any implementation steps outlined by the Ad Hoc Subcommittee. Homebase proposes the above scope of work as Option 1 at $40,469.
As an additional option, indicated as Option 2 in the proposal, Homebase proposes to assist in the facilitation of six (6) meetings over a three-month period, along with three months of implementation support. In comparison to Option 1, in essence, Option 2 includes the same facilitation of meetings except in half of the time, with some additional research and implementation support. Homebase proposes Option 2 at $42,678.
Homebase proposes all meetings in either option to be virtual. Homebase indicated that they can commit to a maximum of two (2) in-person meetings at an additional cost of $7,044 per meeting.
The following summarizes the options, scope of work, meeting format alternatives, and proposed cost by Homebase.
Scope of Work Option Meeting Format Proposed Cost
1 Six (6) virtual $40,469
1A Five (5) virtual and
one (1) in-person $47,513
Facilitation of six (6) monthly meetings
1B Four (4) virtual and
two (2) in-person $54,557
2 Six (6) virtual $42,678
2A Five (5) virtual and
one (1) in-person
Facilitation of six (6) meetings over $49,722
three months with three months of
implementation support
2B Four (4) virtual and
two (2) in-person $56,766
10.1. Through the facilitation of Subcommittee meetings, the goal is to identify strategies and programs that reduce and prevent homelessness in our community.
Staff recommends that Council create a Homelessness Ad Hoc Subcommittee and appoint up to three City Councilmembers to serve on the Subcommittee.
Staff also seeks Council direction on the desired Homebase proposal and option. Staff recommends the monthly meeting option with two (2) in-person meetings, noted as Option 1B above. Based on past experience, a monthly meeting pattern allows adequate time to perform research and collaborate on the development of meeting materials for more productive meetings. For the meeting format, in-person meetings foster deeper engagement and collaboration, while virtual meetings offer accessibility and time efficiency. As homelessness is a multi-faceted issue, staff believes robust discussions would prioritize over meeting accessibility and recommends the maximum of two (2) in-person meetings based on Homebase’s commitment.
ALTERNATIVES
Council may decide not to form an Ad Hoc Subcommittee. Council may also modify or reject the Homebase proposal.
FISCAL IMPACT/FUNDING SOURCE
The proposal by Homebase will be funded by Destination: Home. A nonprofit organization established in 2008, Destination: Home partners with stakeholders across the community to advance strategies that address the root causes of homelessness and advance solutions to end homelessness in Silicon Valley.
Staffing resources for the Ad Hoc Subcommittee, if created, will be necessary to collaborate with and work alongside Homebase.
PUBLIC OUTREACH
This item is included on the publicly posted agenda for this meeting.
NEXT STEPS
If approved, staff will coordinate with Homebase and Destination: Home, then commence the Ad Hoc Subcommittee and begin to schedule meetings.
Attachments:
Homebase Proposal
homebaseccc.org 1
Homebase Proposal for City of
Gilroy
About Homebase
Homebase is a mission-driven nonprofit organization dedicated to building community capacity to end homelessness, reduce poverty, and foster thriving communities. For over thirty years, we have worked at the national, state, and local levels supporting the design and implementation of programs and systems needed to help people experiencing or at risk of homelessness achieve housing stability, improve health and wellness, and maximize economic self-sufficiency. We provide customized assistance grounded in the needs of each community and develop responsive solutions for lasting impact.
Scope of Work
Homebase proposes to undertake the following work to support facilitation of a City of Gilroy City Council ad hoc committee to set priorities to address homelessness.
Ad Hoc Committee Facilitation
To support the City of Gilroy’s goal in setting priorities to address homelessness, Homebase proposes assisting in the facilitation of 6 meetings over an eight-month contract period. Homebase has developed the following options:
Option1: Facilitation of 6 Monthly Meetings
Homebase will assist in the facilitation of 6 monthly two-hour meetings. Tasks for each meeting to include the following:
• Development of agenda and materials for each meeting in consultation with Mayor Bozzo.
• Communication with ad hoc committee members
• Facilitation of ad hoc committee based on consultation with Mayor Bozzo
• Note-taking during ad hoc committee meetings.
• Meeting follow up and next steps.
Homebase Proposal for City of Gilroy
homebaseccc.org 2
After the 6th meeting, Homebase will document the priorities and any implementation steps outlined by the ad hoc committee for the City of Gilroy.
All meetings will be conducted virtually, with the option to hold up to two meetings in person (see budget section).
Option 2: Facilitation of 6 Meetings over 3 months with 3 months of implementation support
Homebase will assist in the facilitation of 6 two-hour meetings. Meetings will take place within a three-month span, allowing for some time for planning before meetings begin. Tasks for each meeting to include the following:
• Development of agenda and materials for each meeting in consultation with Mayor Bozzo.
• Communication with ad hoc committee members
• Facilitation of ad hoc committee based on consultation with Mayor Bozzo
• Note-taking during ad hoc committee meetings.
• Meeting follow up and next steps.
After the 6th meeting, Homebase will document the priorities and any implementation steps outlined by the ad hoc committee for the City of Gilroy.
Homebase will provide up to 4 hours per month of implementation coaching with the City of Gilroy for the remaining 3 months of the contract period. This could include regular weekly or bi-weekly check ins, research support, and discussions with community partners on implementation.
All meetings will be conducted virtually, with the option to hold up to two meetings in person (see budget section).
Proposed Budget
Homebase proposes the following budget based on the options above to fulfill this scope of work. We are happy to adjust the scope and budget to align with City of Gilroy’s needs and goals.
Option1: Facilitation of 6 Monthly Meetings
Homebase proposes a budget of $40,469 to fulfill this scope of work.
Option 2: Facilitation of 6 Meetings over 3 months with 3 months of implementation support
Homebase proposes a budget of $42,678 to fulfill this scope of work.
Homebase Proposal for City of Gilroy
homebaseccc.org 3
As mentioned above all meetings in either option would be virtual. If the City of Gilroy would like to convert a virtual option to an in-person option, Homebase recommends a 3-hour meeting at an additional cost of $7,044 per meeting.
Homebase can only commit to a maximum of 2 in-person meetings for this contract.
Contact
Thank you for your consideration of this proposal. We look forward to continuing to work with City of Gilroy. If you have any questions, please contact Karen Kowal, Senior Directing Analyst – Contract Lead at [email protected] or 415.788.7961 ext. 372.
The information provided in this proposal does not constitute legal advice or advertise legal services. Homebase does not enter into attorney-client relationships.
City of Gilroy
STAFF REPORT
Agenda Item Title: Request to Consider Amending City Zoning Code Section
30.41.31 regarding Performance Standards for Commercial and Industrial Noise Impacting Residentially Zoned
Properties (FAIR Memo – Hilton)
Meeting Date: April 6, 2026
From: Matt Morley, City Administrator
Department: Community Development
Submitted by: Sharon Goei, Community Development Director Prepared by: Michael Fossati, Planning Manager
STRATEGIC PLAN GOALS: Not Applicable
RECOMMENDATION
Council consideration of a future agenda item directing staff to amend Zoning Code Section 30.14.31 (Specific provisions – Noise).
EXECUTIVE SUMMARY
The intent of the staff report is to provide City Council with the current performance standards associated with “Commercial and Industrial Noise Impacting Residentially Zoned Properties” within the Gilroy Zoning Code and for Council to consider whether to direct staff to amend the Zoning Code.
BACKGROUND
Councilmember Zach Hilton provided a FAIR Memo to City Administrator Matt Morley.
See Attachment 1.
ANALYSIS
Under the current Gilroy Zoning Code within Section 30.41.31 (b)(2), “noise emanating from properties that are zoned for uses other than residential is limited to a maximum of 70 dBA (L10) measured at the residential property line. Such noise is limited to the
hours of 7:00 a.m. to 10:00 p.m., and prohibited between the hours of 10:00 p.m. and 7:00 a.m. This requirement is associated with “Commercial and Industrial Noise Impacting Residentially Zoned Properties” zoning regulation.
Per Gilroy Zoning Code Section 30.41.31(a), “L10” means the maximum noise level to be exceeded no more than ten percent (10%) of the time.
In summary, the code section means that if a business (also known as a use) is located within a Commercial or Industrial Zoning District next to a Residential Zoning District, noise from the commercial or industrial property cannot exceed 70 dBA between 7:00 a.m. and 10:00 p.m. Uses within those commercial and industrial areas are also prohibited from creating noise above 70 dBA between 10:00 p.m. and 7:00 a.m., unless the noise occurs less than ten percent (10%) of the time.
According to the current zoning code, noise exceeding 70 dBA between 10:00 p.m. and 7:00 a.m. is not permitted to be continuous. For example, an air conditioner operating above 70 dBA during these hours complies with city regulations if it runs for no more than 10% of the time.
The FAIR Memo (Attachment 1) proposes changes to the current zoning regulation.
If directed by the City Council as a future agenda item, staff will move forward with an analysis for potential code adjustments for Council consideration. Staff would aim to combine any future discussion of this item with other potential code modifications to ensure efficient use of staff time.
ALTERNATIVES
City Council may approve, modify, or disapprove the request for a future agenda item.
FISCAL IMPACT/FUNDING SOURCE
None at this time. If the City Council approves the topic for a future agenda, the fiscal impact will include staff time for drafting the proposed amendment.
PUBLIC OUTREACH
This item was included on the publicly posted agenda for this meeting.
NEXT STEPS
If the City Council approves proceeding with the item, staff will place it on a future agenda.
Attachments:
1. FAIR Memo
2. Gilroy Zoning Code Section 30.41.31 (Specific Provisions - Noise) within Article
30.41 (Performance Standards)
Contact: Zach Hilton
[email protected]
669-270-6232
February 10, 2026
Future City Council Initiated Agenda Item
City Code Chapter 30 Zoning Ordinance- I am requesting to place “City Code Chapter 30 Zoning Ordinance-Section 41 Performance Standards-Noise” on a future agenda with possible action to amend the code by ordinance with the goal of providing clear objective standards, when it comes to Commercial and Industrial Noise Impacting Residentially Zoned Properties. I am proposing two separate changes to the code.
Supporting Documentation:
We will continue to develop more residential units that are mixed use and near existing commercial and industrial developments. There are objective standards that we can put in place to make it clear what noises are allowed and what noises are limited in “Commercial and Industrial Noise Impacting Residentially Zoned Properties”.
Amend the code by ordinance to add under section 30.41.31 the following changes.
• Commercial and Industrial Noise Impacting Residentially Zoned Properties.
Noise emanating from properties that are zoned for uses other than residential is limited to a maximum of 70 60 dBA (L10) or less measured at the residential property line.
Such noise is limited to the hours of 7:00 a.m. to 10:00 p.m., and prohibited between the hours of 10:00 p.m. and 7:00 a.m. the maximum noise level to be exceeded no more than ten percent (10%) of the time.
• Commercial and Industrial Noise Impacting Residentially Zoned Properties. The outside use of power tools, yard, landscaping and similar equipment is prohibited (not subject to the L10) between the hours of 10pm-7am Monday through Friday and 10pm-9am Saturday and Sunday.
The word prohibited is misleading because of the L10 exception that is allowed from 10pm-7am. This happened in 2013 and 2019 when Chapter 30 Zoning code amendments took place and changes were made to Section 41. In 2013 they did a code adoption, and the yard equipment was in it, but just related to residential. The noise for commercial near residential hasn't changed. Then in Oct 2019 the wording for yard equipment in residential areas was removed, but the commercial and industrial impacting residential zones properties stayed the same. Changes are referenced in the current 30.41.31 (Ord. No. 2013-08, § 2 (Exh. A), 8-5-13; Ord. No. 2019-08, § 23, 10-7-19)
Sources Used:
https://www.codepublishing.com/CA/Gilroy/#!/Gilroy30/Gilroy3041.html#30.41.10 1
30.41.31 Specific provisions—Noise.
It shall be unlawful to generate noise within the city limits that exceeds the limits established in this section. (a) Definitions.
“Decibel (dBA)” means a unit measuring the amplitude of sound or noise, weighted to the range of human hearing (A-weighting scale on a sound level meter).
“L10” means the maximum noise level to be exceeded no more than ten percent (10%) of the time. “Noise level” means measurement of sound in decibels (dBA) obtained by using a sound level meter at slow response.
“Sound level meter” means an instrument comprised of a microphone, an amplifier, an output meter and frequency weighing networks, used for measuring sound levels in decibel (dBA) units. (b) Maximum Outdoor Noise Levels.
(1) Residential Noise Impacting Residential Properties. Fixed-source outdoor mechanical equipment installed after July 1, 2007 (e.g., pool, spa, air conditioning or similar equipment) is limited to a maximum of sixty (60) dBA Ldn measured at the property line or seventy (70) dBA (L10) measured at the property line. (2) Commercial and Industrial Noise Impacting Residentially Zoned Properties. Noise emanating from properties that are zoned for uses other than residential is limited to a maximum of 70 dBA (L10) measured at the residential property line. Such noise is limited to the hours of 7:00 a.m. to 10:00 p.m., and prohibited between the hours of 10:00 p.m. and 7:00 a.m.
(c) Exceptions to the Exterior Noise Limits Listed in Subsection (b) of This Section. (1) Persons, equipment, vehicles, alarms or sirens utilized in essential activities necessary to preserve, protect or save lives or property from danger, loss or harm;
(2) Refuse and recycling collection vehicles when operating between the hours of 5:00 a.m. and 6:00 p.m.; (3) Special events operating in compliance with an approved special events permit; and (4) City-approved activities on public properties. (Ord. No. 2013-08, § 2 (Exh. A), 8-5-13; Ord. No. 2019-08, § 23, 10-7-19)
Zoning 30.41 PERFORMANCE STANDARDS
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