Half Moon Bay City Council
May 17, 2022

CITY COUNCIL AGENDA

REGULAR MEETING

CITY OF HALF MOON BAY
TUESDAY, MAY 17, 2022
REMOTE PARTICIPATION (SEE NEXT PAGE) Debbie Ruddock, Mayor Deborah Penrose, Vice Mayor
Robert Brownstone, Councilmember
Joaquin Jimenez, Councilmember
Harvey Rarback, Councilmember
7:00 PM
This agenda contains a brief description of each item to be considered. Those wishing to address the City Council on any matter not listed on the Agenda, but within the jurisdiction of the City Council to resolve, may come forward to the podium during the Public Forum portion of the Agenda and will have a maximum of three minutes to discuss their item.

Those wishing to speak on a Public Hearing matter will be called forward at the appropriate time during the Public Hearing consideration.

Please Note: Anyone wishing to present materials to the City Council, please submit seven copies to the City Clerk.

Copies of written documentation relating to each item of business on the Agenda are on file in the Office of the City Clerk at City Hall and the Half Moon Bay Library where they are available for public inspection. If requested, the agenda shall be available in appropriate alternative formats to persons with a disability, as required by Section 202 of the Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12132.) Information may be obtained by calling 650-726- 8271.

In compliance with the Americans with Disabilities Act, special assistance for participation in this meeting can be obtained by contacting the City Clerk’s Office at 650-726-8271. A 48-hour notification will enable the City to make reasonable accommodations to ensure accessibility to this meeting (28 CFR 35.102-35.104 ADA Title II). http://hmbcity.com/
1 SPECIAL REMOTE PARTICIPATION PROTOCOLS
This meeting will be held entirely by teleconference. All Councilmembers and staff will only participate via the Zoom platform using the process described below. The meeting is being conducted pursuant to recent amendments to the teleconference rules required by the Ralph M. Brown Act allowing teleconferencing during a proclaimed state of emergency when local officials have recommended social distancing (AB 361). The purpose of AB 361 is to provide the safest environment for the public, elected officials, and staff while allowing for continued operation of the government and public participation during the COVID‐19 pandemic.

This meeting will be conducted via Zoom Webinar and live Spanish interpretation will be available within the Zoom platform. Members of the public are welcome to login into the webinar as Attendees. During any public comment portions, attendees may use the “raise your hand” feature and will be called upon and unmuted when it is their turn to speak. The meeting will also be streamed on Channel 27, on pacificcoast.tv, and on Facebook at www.facebook.com/cityofhalfmoonbay. Please click to join the webinar: https://us06web.zoom.us/j/95535614263 or join by phone at 669-900-9128, using Webinar ID 955-3561-4263. If joining by phone, use *9 to raise your hand, *6 to mute and unmute.

CALL TO ORDER / ROLL CALL

APPROVAL OF AGENDA

PUBLIC FORUM

PROCLAMATIONS AND PRESENTATIONS

MIDCOAST COMMUNITY COUNCIL UPDATE

RESOURCE CONSERVATION DISTRICT UPDATE

MAYOR'S ANNOUNCEMENTS OF COMMUNITY ACTIVITIES AND COMMUNITY SERVICE

REPORT OUT FROM RECENT CLOSED SESSION MEETINGS

CITY MANAGER UPDATES TO COUNCIL

ASSISTANT CITY CLERK INTRODUCTION

1. CONSENT CALENDAR

1.A WAIVE READING OF RESOLUTIONS AND ORDINANCES

1.B WARRANTS FOR THE MONTH OF APRIL 2022
Staff Recommendation: Accept warrants list for the month of April 2022.

STAFF REPORT
ATTACHMENT 1
2 1.C SUBCONTRACT AGREEMENT BETWEEN ADVOCATES FOR HUMAN POTENTIAL, INC. AND

THE CITY OF HALF MOON BAY FOR GRANT FUNDING FOR THE CRISIS ASSISTANCE

RESPONSE AND EVALUATION SERVICES (CARES) PROGRAM PILOT
Staff Recommendation: Adopt a resolution authorizing the City Manager to execute an agreement with Advocates for Human Potential, Inc. for grant funding for the Crisis Assistance Response and Evaluation Services program pilot.

STAFF REPORT

RESOLUTION
ATTACHMENT 2

1.D DISPLAY OF THE LGBTQ+ PROGRESS FLAG FOR THE MONTH OF JUNE 2022 AT CITY HALL TO

COMMEMORATE LGBTQ HISTORY MONTH
Staff Recommendation: Authorize the display of the LGBTQ Progress Flag at City Hall for the month of June 2022.

STAFF REPORT

RESOLUTION

1.E PROFESSIONAL SERVICES AGREEMENT CONTRACT AWARD FOR THE PILARCITOS AVENUE/KEHOE WATERCOURSE OUTFALL REPAIR PROJECT (CIP NO. 1005) Staff Recommendation: Adopt a resolution authorizing the City Manager to award and execute a Professional Services Agreement (PSA) for the Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project (CIP No. 1005) to the most qualified and responsive proposer, Schaaf and Wheeler Consulting Civil Engineers of Santa Rosa, CA, in the total amount of $217,653.

STAFF REPORT

RESOLUTION
ATTACHMENT 2
ATTACHMENT 3
3 1.F QUARTERLY FINANCIAL REPORT FOR THE THIRD QUARTER OF FISCAL YEAR 2021-22 Staff Recommendation: Accept the Quarterly Financial Report for the 3rd Quarter of Fiscal Year 2021-22.

STAFF REPORT
ATTACHMENT 1

1.G TREASURER’S REPORT FOR THE QUARTER ENDING MARCH 31, 2022 Staff Recommendation: By motion, accept the Treasurer’s Report for the quarter ending March 31, 2022.

STAFF REPORT
ATTACHMENT 1

1.H RECEIPT OF LEGISLATIVE POSITION LETTERS
Staff Recommendation: Receive and file support letter sent for Assembly Bills 1944 and 2153 and Senate Bill 907.

STAFF REPORT
ATTACHMENT 1

1.I RE-RATIFICATION OF RESOLUTION TO CONTINUE HOLDING PUBLIC MEETINGS REMOTELY (AB 361)
Staff Recommendation: By motion, in accordance with Assembly Bill 361, re-ratify the findings in Resolution No. 2021-80 to continue conducting the City’s Council, Commission, and Committee meetings remotely due to health and safety concerns to the public due to COVID19.

STAFF REPORT
4 2. ORDINANCES AND PUBLIC HEARINGS

2.A ADJUSTMENTS TO COST OF SERVICES SCHEDULE (USER FEES) FOR FY 2022-23 Staff Recommendation: Conduct a public hearing and adopt a resolution authorizing adjustments to the Cost of Services Schedule (User Fees) for Fiscal Year 2022-23.

STAFF REPORT

RESOLUTION

3. RESOLUTIONS AND STAFF REPORTS

3.A OPERATION OF E-BIKES AND OTHER DEVICES ON TRAILS AND PATHS Staff Recommendation: Conduct a study session and, by motion, direct staff to return to the City Council on June 21, 2022 for introduction of an Ordinance amending the Half Moon Bay Municipal Code to regulate motorized vehicles on paths and trails within the City.

STAFF REPORT
ATTACHMENT 1
ATTACHMENT 2
ATTACHMENT 3

COMMISSION / COMMITTEE UPDATES

CITY COUNCIL REPORTS / FUTURE ITEMS

ADJOURNMENT
5 BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY
AGENDA REPORT
For meeting of:           May 17, 2021
TO:    Honorable Mayor and City Council
VIA:    Bob Nisbet, City Manager
From:    Lisa Lopez, Administrative Services Director

TITLE: WARRANTS FOR THE MONTH OF APRIL 2022
______________________________________________________________________________ RECOMMENDATION:

Accept the warrants list for the month of April 2022.

STRATEGIC ELEMENT:

This recommendation supports the Fiscal Sustainability and Inclusive Governance Element.

DISCUSSION:

During this month, we processed 5 check runs. The first was on April 4, totaling $35,240.74. The second was on April 7, totaling $277,141.86. The third was on April 14, totaling $117,833.14.

The fourth was on April 21, totaling $526,100.53. The fifth was on April 28, totaling $892,596.81.  The total for the month was $1,848,913.08.

The City processed payments related to 16 capital improvement projects, in a total amount of $313,749.86. These projects include: Sewer Lift Upgrades, Street Resurfacing, HWY 1 Safety/Traffic Reduction Improvements, HWY1 Safety/Congestion, Citywide Sidewalk Assessment, Poplar Complete Street Project, Urban Forest Management Program, ADA Transition, Facility Management Asset, Parks Master Plan Implementation, Carter Park Improvement, Bikeway Connectivity Project‐ North, Main Street Bridge Rehabilitation, Climate Action and Adaption, Corp Yard Improvements, Inflow and Infiltration Program.

Staff is also including a list of all payments above $30,000 processed during this reporting period, as listed in the table below.

ATTACHMENTS:

Check Disbursement List by Check Date
6 City of Half Moon Bay Check Register - Summary HMB Page: 1 Check Issue Dates: 4/1/2022 - 4/30/2022 May 09, 2022 02:25PM Report Criteria:

Report type: SummaryCheck.Check number = {<>}5872
Check Number Vendor Number Payee Check Issue Date Amount Description 50805 2022 ACC BUSINESS 04/07/2022 766.92 INTERNET SERVICE50806 3926 ALTA LANGUAGE SERVICES INC. 04/07/2022 66.00 BILINGUAL TESTING50807 481 BIG CREEK LUMBER 04/07/2022 4,038.79 DISCOUNT MAINT SUPPLIES50808 866 BOYS & GIRLS CLUB OF THE COASTSIDE 04/07/2022 240.00 EVENT CENTER RENTAL50809 3532 CALIFORNIA COMPUTER AIDED DESIGN SOLS. 04/07/2022 14,682.00 FY22/23 ANNUAL SEWER ASSESSMENT50810 5223 CAPITAL ONE TRADE CREDIT 04/07/2022 94.39 REC MAINT SUPPLIES 50811 4193 CASELLE INC. 04/07/2022 7,488.00 ERP CONTRACT SUPPORT & MAINTENANCE 50812 5381 CRESENCIA OROZCO 04/07/2022 580.00 RESERVATION REFUND 03/19/22 GRAND OAK 50813 5326 DON FOWLER CONSTRUCTION 04/07/2022 12,459.80 RETENTION, SHERIFF SUBSTATION RENOVATION PROJECT50814 4428 ELSA HERNANDEZ 04/07/2022 300.00 DEPOSIT REFUND 03/26/22 OAK ROOM 50815 5386 ESTEFANIA VILLALOBOS 04/07/2022 500.00 DEPOSIT REFUND 04/02/22 GRAND OAK50816 4212 GOLDEN BAY CONSTRUCTION 04/07/2022 60,989.29 MAR'22, SIDEWALK REPLACEMENT PROJECT50817 4633 GRANICUS 04/07/2022 1,419.37 GRANICUS SERVICE 50818 76 HALF MOON BAY BUILDING & GARDEN 04/07/2022 54.65 MAINT SUPPLIES50819 4267 IMPEC GROUP INC. 04/07/2022 16,145.74 MAR'22, FY21/22 JANITORIAL & MAINTENANCE SERVICES50820 5383 IRENE ARELLANO 04/07/2022 500.00 DEPOSIT REFUND 03/26/22 DEPOT ROOM50821 5382 JENNIFER MINEER 04/07/2022 100.00 DEPOSIT REFUND 03/22/22 DAY ROOM S50822 5385 JUAN CARLOS 04/07/2022 500.00 DEPOSIT REFUND 04/02/22 DEPOT ROOM50823 4619 JULISSA ACOSTA 04/07/2022 1,500.00 EDUCATION REIMBURSEMENT 50824 291 LAURIE BECKER 04/07/2022 863.10 INSTRUCTOR PAYMENT ZUMBA POS 02/28/2250825 3746 MALCOLM C SMITH 04/07/2022 1,100.00 MAR'22, COMMUNICATION CONSULTANT 50826 4551 MARICELA GUTIERREZ 04/07/2022 300.00 DEPOSIT REFUND 03/19/22 COMMUNITY ROOM 50827 1206 MARK THOMAS & CO. INC. 04/07/2022 13,711.56 FEB'22, HWY1 SOUTH SAFETY AND OPERATIONAL IMPROVEM50828 3872 MUNICIPAL FINANCIAL SERVICES 04/07/2022 750.00 EVALUATION OF WASTEWATER RATES AND CHARGES 50829 457 OFFICE DEPOT INC. 04/07/2022 115.92 CDD OFFICE SUPPLIES50830 137 PACIFIC GAS & ELECTRIC 04/07/2022 2,500.00 #123018320 EP 880 STONE PINE ROAD50831 3359 PACIFICA COMMUNITY TELEVISION 04/07/2022 14,500.00 FY21/22 Q3 RECORDING SERVICE50832 3479 PARKEON INC 04/07/2022 91.32 MAINT SERVICE50833 3956 PENINSULA MUNICIPAL ENGINEERING INC. 04/07/2022 35,132.00 FEB'22, MAIN STREET BRIDGE MANAGEMENT SUPPORT50834 4339 PLAN JPA 04/07/2022 950.00 GENERAL LIABILITY CLAIMS50835 3951 PUBLIC PARKING ASSOCIATES INC 04/07/2022 165.00 MAINT SERVICE50836 5020 QUADIENT LEASING USA, INC. 04/07/2022 493.65 LEASE PAYMENT50837 3131 ROBERT W. SMITH 04/07/2022 546.00 INSTRUCTOR PAYMENT- ORCHESTRA 01/05/22-03/30/2250838 5380 ROBERTO RONQUILLO 04/07/2022 800.00 DEPOSIT REFUND 03/19/22 DEPOT ROOM50839 3101 SHRED-IT USA LLC 04/07/2022 165.00 RECORDS MANAGEMENT50840 5301 SUBURBAN PROPANE LP 04/07/2022 1,949.27 PROPANE M = Manual Check, V = Void Check
7 City of Half Moon Bay Check Register - Summary HMB Page: 2 Check Issue Dates: 4/1/2022 - 4/30/2022 May 09, 2022 02:25PM Check Number Vendor Number Payee Check Issue Date Amount Description 50841 1497 TURBO DATA SYSTEMS 04/07/2022 973.09 CITATION PROCESSING50842 5384 WAVELENGTH AUTOMATION, INC. 04/07/2022 2,844.00 CAPITOLTRACK UNLIMITED SUBSCRIPTION 50843 3871 WEST COAST ARBORISTS INC 04/07/2022 12,192.00 MAR'22, FY21/22 TREE MAINTENANCE50844 5190 Wood Consulting Services 04/07/2022 3,680.00 MAR'22, ECONOMIC DEVELOPMENT CONSULTATION50845 5210 YUPANA INC 04/07/2022 60,895.00 RETENTION, PELICAN POINT PUMP STATION GENERATOR REP50846 4270 4LEAF INC. 04/14/2022 15,136.12 MAR'22, FY21/22 PLAN REVIEW AND BUILDING INSPECTIONS50847 3332 AMERICAN PORTABLES 04/14/2022 4,385.75 APR'22, FY21/22 PORTABLE RESTROOM FACILITIES50848 2407 ARAMARK 04/14/2022 527.41 LATE PAYMENT CHARGE50849 4300 AT&T 04/14/2022 1,943.08 PHONE SERVICE50850 5168 BLEYLE ELEVATOR, INC 04/14/2022 190.00 MAINT SERVICE50851 5223 CAPITAL ONE TRADE CREDIT 04/14/2022 44.61 REC MAINT SUPPLIES 50852 51 COASTSIDE COUNTY WATER DISTRICT 04/14/2022 9,202.01 LIFT STATION FAIRWAY50853 197 COASTSIDE PRINTERS 04/14/2022 235.16 CDD LABELS50854 3975 COLANTUONO HIGHSMITH WHATLEY PC 04/14/2022 15,487.27 LEGAL SERVICES -SAM50855 4398 ELS ARCHITECTURE & URBAN DESIGN 04/14/2022 12,098.62 MAR'22, ARCHITECTURAL DESIGN FOR CORP YARD 50856 3446 FLYERS ENERGY, LLC 04/14/2022 2,133.80 VEHICLE FUEL50857 4319 GUADALUPE LOPEZ 04/14/2022 450.00 CLASS REFUND 04/11/22-04/15/22 WINTER SPRING50858 5388 HALF MOON BAY DOWNTOWN ASSOCIATION INC. 04/14/2022 5,000.00 HMB WINE & JAZZ FESTIVAL50859 3429 HUE & CRY 04/14/2022 212.95 SECURITY SERVICE50860 5387 JELANI GIVNER 04/14/2022 225.00 CLASS REFUND 04/11/22-04/15/22 PEACE THROUGH FOOD50861 4293 LOCKWORKS UNLIMINTED INC 04/14/2022 1,120.00 IT MAINT SERVICE50862 2573 MARIAN POTT 04/14/2022 1,911.00 INSTRUCTOR PAYMENT DOG TRAINING 03/02/22-04/06/2250863 4551 MARICELA GUTIERREZ 04/14/2022 100.00 DEPOSIT REFUND 03/19/22 COMMUNITY ROOM 50864 4642 MARIK ENTERPRISES, LLC 04/14/2022 130.00 PRE-EMPLOYMENT REPORT50865 4489 MTA PARTS INC. 04/14/2022 145.25 VEHICLE PARTS50866 2330 NORCAL HR DIRECTORS 04/14/2022 175.00 HR SPRING MEETING REGISTRATION50867 5338 PETER TAPPEINER 04/14/2022 532.00 RESERVATION REFUND 04/12/22, 04/19/22, 04/26/22 50868 29 READYREFRESH 04/14/2022 50.04 WATER FOR CORP YARD50869 5178 REDGWICK CONSTRUCTION COMPANY 04/14/2022 25,150.22 RETENTION, HWY1 SOUTH SAFETY AND OPEARTIONAL IMPRO50870 2385 RON CARDOZA 04/14/2022 4,140.00 MAINT SERVICE50871 5354 SAE COMMUNICATIONS 04/14/2022 14,875.00 APR'22, CITYWIDE CRISIS COMMUNICATIONS PLAN50872 217 SAN MATEO COUNTY 04/14/2022 82.25 MICROWAVE SERVICE50873 4487 THE HOME DEPOT PRO 04/14/2022 943.18 MAINT SUPPLIES50874 4429 WESTERN EXTERMINATOR COMPANY 04/14/2022 1,207.42 MAR'22, FY21/22 PEST MANAGEMENT PROGRAM50875 3954 ALTA PLANNING & DESIGN 04/21/2022 12,188.46 MAR'22, PACIFIC COAST BIKEWAY CONNECTIVITY NORTH PRO50876 18 ANDREINI BROTHERS INC. 04/21/2022 1,106.44 MAINT SERVICE50877 2407 ARAMARK 04/21/2022 260.69 MAINT SERVICE50878 2912 BARTEL ASSOCIATES LLC 04/21/2022 3,365.00 MAR'22, FY21/22 OPEB ACTUARIAL VALUATION50879 4115 BIG BELLY SOLAR INC 04/21/2022 1,271.01 APR'22, SMART TRASH RECEPTACLES50880 5222 BOUCHER LAW 04/21/2022 2,060.00 JAN'22, LABOR & EMPLOYMENT LAW MATTERS M = Manual Check, V = Void Check
8 City of Half Moon Bay Check Register - Summary HMB Page: 3 Check Issue Dates: 4/1/2022 - 4/30/2022 May 09, 2022 02:25PM Check Number Vendor Number Payee Check Issue Date Amount Description 50881 5209 BRUCE RUSSELL 04/21/2022 414.00 SEWER REFUND FY20/21 2ND PAYMENT50882 5208 CARNOUSTIE LLC 04/21/2022 2,898.00 SEWER REFUND FY20/21 2ND PAYMENT (7 LOTS)50883 5389 CHRISTINA JEWELS KRZASZCZAK 04/21/2022 525.00 MAKE IT MAIN ST SUPPLIES50884 4567 CONTI CORPORATION 04/21/2022 840.00 AV MAINT SERVICE50885 3643 CORODATA RECORDS MANAGEMENT INC 04/21/2022 298.04 RECORDS MANAGEMENT50886 2941 CSG CONSULTANTS INC. 04/21/2022 2,831.25 MAR'22, NPDES STORMWATER SERVICES50887 4484 CSW/STUBER-STROEH ENGINEERING GROUP INC 04/21/2022 1,500.00 MAR'22, POPLAR STREET TRAFFIC CALMING AND SAFETY PR50888 4398 ELS ARCHITECTURE & URBAN DESIGN 04/21/2022 9,788.38 APR'22, CARTER PARK IMPROVEMENTS50889 321 FOLGER GRAPHICS INC. 04/21/2022 2,454.72 RECREATION PRINTING50890 76 HALF MOON BAY BUILDING & GARDEN 04/21/2022 19.67 MAINT SUPPLIES50891 5329 INTEGRAL CONSULTING INC. 04/21/2022 19,818.50 FEB'22-MAR'22, SOUTH HMB SLR VULNERABILITY 50892 2699 KONICA MINOLTA BUSINESS SOLUTIONS 04/21/2022 2,273.21 APR'22, FY21/22 KONICA MINOLTA LEASE50893 4028 LORAL LANDSCAPING INC. 04/21/2022 2,000.00 APR'22, FY21/22 LANDSCAPE AND MAINTENANCE SERVICES50894 1206 MARK THOMAS & CO. INC. 04/21/2022 6,081.94 FEB'22, HWY1 NORTH SAFETY & OPERATIONAL IMPROVEMEN50895 3934 MITEL 04/21/2022 2,830.74 SHERIFF SUBSTATION PHONE SERVICE50896 4566 PACIFIC COAST TRANE 04/21/2022 1,891.00 MAINT SERVICE50897 137 PG&E 04/21/2022 9,698.32 NW HWY1 & MAIN ST50898 5219 RED CAR ANALYTICS 04/21/2022 470.00 MAR'22, HMB LIBRARY ZERO NET ENERGY SUPPORT SERVICE50899 5141 SAN MATEO COUNTY 04/21/2022 25,000.00 FY21/22 FLOOD AND SEA LEVEL RISE RESILIENCY DIST50900 159 SEWER AUTHORITY MID-COASTSIDE 04/21/2022 391,576.12 APR'22, FY21/22 SEWER COLLECTIONS 50901 1760 STEPFORD 04/21/2022 15,115.00 JUN'22, FY21/22 IT SERVICES50902 1423 THE GRAPHIC WORKS 04/21/2022 152.45 PRINTING SERVICE50903 407 UNITED RENTALS NORTHWEST INC. 04/21/2022 660.91 MAINT REPAIR 50904 3004 VERIZON WIRELESS 04/21/2022 615.68 MOBILE SERVICES50905 3871 WEST COAST ARBORISTS INC 04/21/2022 6,096.00 MAR'22, FY21/22 TREE MAINTENANCE50906 2022 ACC BUSINESS 04/28/2022 766.92 INTERNET SERVICE50907 4470 ADRIANA RIVAS 04/28/2022 500.00 GRAND OAK DEPOSIT REFUND 04/19/22 50908 5391 ANA BECERRA 04/28/2022 500.00 DEPOSIT REFUND TRAIN DEPOT 04/16/2250909 2407 ARAMARK 04/28/2022 260.69 MAINT SERVICE50910 481 BIG CREEK LUMBER 04/28/2022 1,266.01 DISCOUNT MAINT SUPPLIES50911 5168 BLEYLE ELEVATOR, INC 04/28/2022 825.00 MAINT SERVICE50912 5222 BOUCHER LAW 04/28/2022 647.50 FEB'22, CLASSIFICATION & COMPENSATION STUDY 50913 1925 CITY OF BURLINGAME 04/28/2022 6,587.64 FEB'22 SMCO BID50914 76 HALF MOON BAY BUILDING & GARDEN 04/28/2022 154.11 MAINT SUPPLIES 50915 89 HALF MOON BAY COASTSIDE CHAMBER OF COM 04/28/2022 12,467.00 FEB'22 OOC BID50916 1853 HDL SOFTWARE LLC 04/28/2022 9,470.77 FY21/22 HDL TOT & BUSINESS LICENSE MANAGEMENT 50917 1283 KATHY OLER 04/28/2022 2,161.82 MAY'22, TEMPORARY CITY PARKING LOT RENTAL50918 1283 KATHY OLER 04/28/2022 1,047.28 JAN'22-APR'22 RENT INCREASE, $261.82 x 450919 3922 LLOYD A MCVICKER 04/28/2022 3,360.00 MAY'22 ANNEX RENT50920 4293 LOCKWORKS UNLIMINTED INC 04/28/2022 375.42 MAINT SERVICE M = Manual Check, V = Void Check
9 City of Half Moon Bay Check Register - Summary HMB Page: 4 Check Issue Dates: 4/1/2022 - 4/30/2022 May 09, 2022 02:25PM Check Number Vendor Number Payee Check Issue Date Amount Description 50921 3069 MANAGED HEALTH NETWORK 04/28/2022 304.00 EAP50922 3726 NICHOLAS TRANSLATIONS & INTERPRETATIONS 04/28/2022 380.00 TRANSLATION SERVICES50923 4566 PACIFIC COAST TRANE 04/28/2022 1,053.00 MAINT SERVICE50924 3479 PARKEON INC 04/28/2022 129.85 MAINT SERVICE50925 5020 QUADIENT LEASING USA, INC. 04/28/2022 425.34 LEASE PAYMENT50926 252 RICE TRUCKING-SOIL FARM INC. 04/28/2022 935.70 MAINT SUPPLIES50927 216 SAN MATEO COUNTY SHERIFF'S OFFICE 04/28/2022 832,583.25 Q4, FY21/22 LAW ENFORCEMENT UAAL CREDIT50928 5156 SUSTAINABLE SAN MATEO COUNTY 04/28/2022 3,000.00 FY22/23 SUSTAINABLE SAN MATEO COUNTY CONTRIBUTION50929 3519 SWCA INCORPORATED 04/28/2022 8,630.51 MAR'22, CORP YARD ON-CALL ENVIRONMENTAL CONSULTING 50930 3162 WHELEN CONSTRUCTION 04/28/2022 4,765.00 CORP YARD ROOF INSTALL50957 3923 WELLS FARGO 04/04/2022 35,240.74 03/10/22 AMZN/ENVELOPE CRI V Grand Totals:
127 1,848,913.08
Report Criteria:

Report type: SummaryCheck.Check number = {<>}5872
M = Manual Check, V = Void Check
10 BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: Matthew Chidester, Deputy City Manager
TITLE: SUBCONTRACT AGREEMENT BETWEEN ADVOCATES FOR HUMAN POTENTIAL, INC. AND THE CITY OF HALF MOON BAY FOR GRANT FUNDING FOR THE CRISIS

ASSISTANCE RESPONSE AND EVALUATION SERVICES (CARES) PROGRAM PILOT ______________________________________________________________________________ RECOMMENDATION:

Adopt a Resolution authorizing the City Manager to execute an agreement with Advocates for Human Potential, Inc. (AHP) for grant funding for the Crisis Assistance Response and Evaluation Services (CARES) program pilot.

FISCAL IMPACT:

The agreement provides grant funding of $180,000 towards the CARES pilot program, which will be included in the FY 2022-23 Recommended Budget. The City previously budgeted $75,000 for this program, and received a match of $75,000 from the County of San Mateo, bringing the total project budget to $330,000.

STRATEGIC ELEMENT:

This recommendation supports the Healthy Communities and Public Safety Element of the Strategic Plan.

BACKGROUND:

On March 16, 2022, the City launched the CARES program pilot, which was funded through City general funds and a matching contribution from the County of San Mateo. The initial pilot is operated through a contract with El Centro de Libertad, and planned to respond 40 hours per week, for seven months from March through October 2022.

In December of 2021, staff submitted an application for the California Department of Health Care Services Behavioral Health Mobile Crisis and Non-Crisis Services Mobile Crisis grant program, which a one-year behavioral health justice intervention services (BHJIS) project intended to support local and statewide efforts to improve first responder, emergency medical services, law enforcement, and community efforts to address behavioral health crises. 11 The application requested $180,000, to be added to the $150,000 already budgeted for the CARES pilot and allow the program to expand to seven days per week and extend to February 14, 2023, which was the end of the BHJIS grant program. The grant funding would also allow the City to hire a third-party firm to assist in data collection and analysis, and complete a program evaluation at the end of the pilot. The BHJIS grant requires monthly participation in coaching calls and quarterly participation in virtual and in-person learning collaboratives with the other recipients of the grant.

On February 28, 2022, the City received notification that the CARES program would be awarded the full $180,000 grant request, and staff began working with Advocates for Human Potential, Inc. (AHP), the State’s third-party non-profit administrator of the grant, on the scope of work and deliverables for the grant. In order to finalize the grant, AHP must enter into a subcontract with the City.

DISCUSSION:

The attached Subcontract Agreement requires the City to implement a crisis response program, and is for a term beginning February 15, 2022, and ending February 14, 2023, for total consideration of $180,000.

The Statements of Work (SOW) (Attachment D) in the agreement continues to current pilot program on a 40 hours-per-week basis through September 15, 2022, and then expands the program to 80 hours-per-week through February 14, 2023. The expanded program will include two shifts with minor overlap, seven days per week of response, and will allow better coverage of peak hours of need based on 911 call data provided by San Mateo County Public Safety Communications.

The funding will allow the City to expand and improve its data collection in the pilot program through a third-party professional program evaluation firm, which will help inform expansion and long-term implementation of mobile crisis response services in Half Moon Bay. The data will also add to the body of research around this growing practice, with unique experience from Half Moon Bay being a smaller, more rural community and our contract with the San Mateo County sheriff’s Office for law enforcement.

The Grant funding is intended to fund direct response and program evaluation and will be reimbursed to the City on a quarterly basis. The City also continues to explore additional grant funding for the long-term implementation of the program following the pilot. Staff will bring an amendment and extension to the El Centro contract for operating the CARES team following approval and execution of this grant agreement.

ATTACHMENTS:

1. Resolution authorizing the City Manager to execute an agreement with Advocates for Human Potential, Inc. (AHP) for grant funding for the Crisis Assistance Response and Evaluation Services (CARES) program pilot.

2. Draft Subcontract Agreement with AHP
12 RESOLUTION NO. C-2022-__

A RESOLUTION OF THE CITY COUNCIL OF HALF MOON BAY AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH ADVOCATES FOR HUMAN POTENTIAL, INC. (AHP) FOR

GRANT FUNDING FOR THE CRISIS ASSISTANCE RESPONSE AND EVALUATION SERVICES (CARES)

PROGRAM PILOT
WHEREAS, the City submitted a grant proposal to the California Department of Health Care Services Behavioral Health Mobile Crisis and Non-Crisis Services Mobile Crisis grant program for the behavioral health justice intervention services (BHJIS) project; and WHEREAS, the grant proposal was for $180,000, to expand and extend the Crisis Assistance Response and Evaluation Services (CARES) program pilot; and WHEREAS, the grant would allow the pilot, which is currently planned to respond 40 hours per week, for seven months from March through October 2022, to expand to 80 hours per week beginning in September 2022 and extend the program pilot through February 14, 2023; and WHEREAS, the grant would reimburse costs expended to El Centro de Libertad as well as allow for a third-party professional program evaluator; and WHEREAS, the State has awarded the City the BHJIS grant, and requires the City to enter into a subcontractor agreement with Advocates for Human Potential, the State’s third-party nonprofit administrator of the grant.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute an agreement with Advocates for Human Potential, Inc. (AHP) for grant funding for the Crisis Assistance Response and Evaluation Services (CARES) program pilot.
******************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 17th day of May, 2022 by the City Council of Half Moon Bay by the following vote:

AYES, Councilmembers:

NOES, Councilmembers:

ABSENT, Councilmembers:

ABSTAIN, Councilmembers:

ATTEST: APPROVED:
______________________________ _______________________________ Jessica Blair, City Clerk Debbie Ruddock, Mayor
13 Subcontract Cover Sheet
(This Page is not part of the Subcontract Agreement and is for Summary/Reference Purposes Only) SUBCONTRACT AGREEMENT **********

SUMMARY COVER SHEET
Subcontract ID: 7460-CA MOBILE CRISIS (BHJIS)-HMBCity-01G Subcontract Effective
Date:

February 15, 2022
Contractor: ADVOCATES FOR HUMAN POTENTIAL, INC. (AHP)
490-B Boston Post Road, Sudbury, MA 01776-3365
Tel: (978) 443-0055 ♦ Fax: (978) 261-1467
AHP Contracting Officer: Charles Galland, COO
[email protected]/978-261-1425
AHP Project Director: Monica Reeves
131 N. El Molino, Suite 380
Pasadena, CA 91101
Tel: 978-261-1483 (o)/ [email protected]
AHP Direct Staff Contact: Monica Reeves
Tel: 978-261-1483 (o)/ [email protected]
Subcontractor: CITY OF HALF MOON BAY (“HMBCITY”)
ATTN: Bob Nisbet, City Manager
501 Main Street, Half Moon Bay, CA 94019
Email address: [email protected]
Prime Contract
Identification:

Client: California Department of Health Care Services
Agreement No.: 21-10349
Contract Title: “Behavioral Health Mobile Crisis and Non-Crisis Services (Mobile Crisis)”
Subcontract Type: Deliverable Base Type Contract
Period of Performance: February 15, 2022 through February 14, 2023 Consideration/Budget: Professional Services NTE $180,000.00 Billing Terms: Quarterly Invoicing, as per Attachment E-Payment Schedule Payment Terms: Payment remitted ten (10) business days after receipt of undisputed invoice.
14

SUBCONTRACT AGREEMENT
7460-CA MOBILE CRISIS (BHJIS)-HMBCity-01G
This Subcontract is entered into by and between ADVOCATES FOR HUMAN POTENTIAL, INC., with offices located at 490-B Boston Post Road, Sudbury, MA 01776, ("AHP" or the "Contractor"), and CITY OF HALF MOON BAY, with offices at 501 Main Street, Half Moon Bay, CA 94019 (“HMBCITY" or "Subcontractor").

WITNESSETH:

WHEREAS, AHP desires to obtain the Subcontractor’s services to support “Behavioral Health Mobile Crisis and Non-Crisis Services (Mobile Crisis)” Project No.:
21-10349 (the “Prime Contract”) under Subcontract ID: 7460-CA MOBILE CRISIS (BHJIS)-HMBCity-01G, hereinafter the “Subcontract,” and the Subcontractor desires to assist AHP in its business by performing such services; NOW, THEREFORE, based upon the foregoing premises, and in consideration of the mutual covenants and agreements herein set forth, the parties agree as follows:

This Subcontract, and its Attachments, (“Agreement”) constitutes the entire agreement and understanding between the parties as to the matters set forth herein. It supersedes all prior understandings, written or oral, between the parties with respect to the subject matter hereof and has been induced by no representations, statements, or agreements other than those herein expressed. By accepting this Agreement, the Subcontractor agrees to be bound by all terms and conditions and provisions that may be incorporated by reference, and all other Attachments to this Agreement.

IN WITNESS THEREOF, the parties hereto have executed this Agreement by their duly authorized respective officers as of the day and year last written below.

ADVOCATES FOR HUMAN
POTENTIAL, INC.

By:
________________________________

CHARLES GALLAND, CHIEF

OPERATING OFFICER
Date: __________________________

CITY OF HALF MOON BAY
Signature of Authorized Entity
Representative
Print or Type Name of Person Signing
Representative Title
Date: __________________________

ADDITIONAL SIGNATORY PAGE DIRECTLY FOLLOWS
Robert Nisbet
City Manager
15

CITY OF HALF MOON BAY

Signature of Authorized Entity Representative
Print or Type Name of Person Signing
Representative Title
Date: _________________________

CITY OF HALF MOON BAY

Signature of Authorized Entity Representative
Print or Type Name of Person Signing
Representative Title
Date: _________________________

CITY OF HALF MOON BAY

Signature of Authorized Entity Representative
Print or Type Name of Person Signing
Representative Title
Date: _________________________
16

TABLE OF CONTENTS
7460-CA MOBILE CRISIS (BHJIS)-HMBCity-01G
SECTION PAGE NO.

SECTION 1. PRIVITY OF CONTRACT ......................................................................... 4 SECTION 2. NATURE OF THE SUBCONTRACT ......................................................... 4 Type of Subcontract ........................................................................................................ 4 Funding ........................................................................................................................... 4 SECTION 3. SUBCONTRACTOR PERFORMANCE AND DELIVERY.......................... 4 Period of Performance .................................................................................................... 4 Time of the Essence........................................................................................................ 5 Delivery Schedule ........................................................................................................... 5 Inspection and Acceptance ............................................................................................. 5 SECTION 4. STATEMENT OF WORK .......................................................................... 6 SECTION 5. SUBCONTRACTOR TRAVEL .................................................................. 6 SECTION 6: CONTRACT ADMINISTRATION DATA.................................................... 6 Contractor Representatives............................................................................................. 6 Subcontractor Representatives ....................................................................................... 7 Compensation, Billing Instructions, and Payment.................................................... 7 Final Payment and Closeout ........................................................................................... 8 Key Personnel................................................................................................................. 8 SECTION 7: CHANGES AND MODIFICATIONS .......................................................... 9 SECTION 8: CONFIDENTIAL INFORMATION.............................................................. 9 Non-Disclosure of Confidential (Proprietary) Information ................................................ 9 Non-Disclosure of Confidential Research and Statistical Data......................................10 Personally Identifiable Information ................................................................................10 SECTION 9. INTELLECTUAL PROPERTY................................................................. 10 SECTION 10: TERMINATION FOR CAUSE ............................................................... 11 SECTION 11: POLICIES AND CODES....................................................................... 12 SECTION 12: DATA COLLECTION AND PERFORMANCE....................................... 12 SECTION 13: ORGANIZATIONAL CONFLICT OF INTEREST................................... 13 SECTION 14: INSURANCE ........................................................................................ 14 SECTION 15: INDEMNIFICATION.............................................................................. 15 SECTION 16: DISPUTES/APPLICABLE LAWS ......................................................... 15 Disputes ........................................................................................................................15 Applicable Laws ............................................................................................................16 SECTION 17: CERTIFICATIONS................................................................................ 16 SECTION 18: RECORDS AND RECORD KEEPING .................................................. 18 SECTION 19: EXPENSE ALLOWABILITY/FISCAL DOCUMENTATION.................... 18 SECTION 20: RECOVERY OF OVERPAYMENTS...................................................... 19 SECTION 21: BEST EFFORTS................................................................................... 19 Best Efforts....................................................................................................................19 LIST OF ATTACHMENTS........................................................................................... 20 Attachment A – Standard Subcontract Terms and Conditions Attachment B – Special Subcontract Terms and Conditions Attachment C – Subcontractor's Certification
Attachment D – Subcontractor’s Statement of Work
Attachment E – Payment Schedule
17

SECTION 1. PRIVITY OF CONTRACT
This Agreement is funded in whole or in part with funds from AHP’s client, State of CA Department of Health Care Services (“DHCS” or “Client”) which includes funding through DHCS’s “Behavioral Health Mobile Crisis and Non-Crisis Services (Mobile Crisis).” Neither the Client (nor the US Government), nor any of its departments, agencies, or employees is or will be a party to this Agreement or any lower-tier subcontract. No privity between the Client, (or the US Government), and Subcontractor is established by this Agreement.

Except as authorized by AHP, Subcontractor shall not communicate with the Client/US Government regarding any matter which is within the scope of AHP's responsibility under the Prime Contract, or regarding matters within the scope of this Agreement.

Authorization by AHP shall not be unreasonably withheld. In addition, Subcontractor shall not communicate with the Client/US Government regarding any matter of dispute with AHP, which shall be resolved strictly through the Disputes provisions of this Subcontract.

SECTION 2. NATURE OF THE SUBCONTRACT

2.1Type of Subcontract
This is a Deliverable Base type Agreement. Subcontractor’s accounting system must be capable of allocating and segregating costs applicable to this Subcontract.

2.2 Funding
All amounts under this Agreement reference US dollars. No costs will be incurred except those specifically proposed by the Subcontractor to AHP, and Subcontractor shall perform the work within the funding allocations/budget, specified in Attachment E.

This Subcontract is entered into, and the obligation of funds is made, based upon the appropriation under the Prime Contract. Should this appropriation or any funds allocated to the Prime Contract be reduced subsequent to this Agreement, or should the scope of the work, or Statement of Work be redirected by the Client so as to affect the work envisioned to be subcontracted, AHP shall have the right to renegotiate this Agreement or to effect a termination (at its discretion) pursuant to the termination section of this Agreement.

2.3 This Agreement hereby incorporates by reference the Application by Subcontractor as well as Notice of Funding Opportunity.

Total funds currently available for payment and allotted to this Agreement are ONE HUNDRED EIGHTY THOUSAND DOLLARS AND NO CENTS ($180,000.00).

SECTION 3. SUBCONTRACTOR PERFORMANCE AND DELIVERY

3.1 Period of Performance
The Base performance period is February 15, 2022 through February 14, 2023, unless sooner terminated in accordance with the terms of this Agreement. Any extensions to the period of performance will be supported by a written modification to the Agreement, and any changes or additions to the Statement of Work/ deliverables/days of performance shall be determined at that time. 18

Whenever Subcontractor knows, or reasonably should know, that any actual or potential condition is delaying, or threatens to delay, the timely performance of work, it shall, within five (5) calendar days, provide AHP with written notice, including all relevant information with respect to the condition(s) and delay.

3.2Time of the Essence
TIME IS OF THE ESSENCE in Subcontractor’s performance of its obligations under this Agreement.

3.3 Delivery Schedule
Satisfactory performance of deliverables shall be deemed to occur upon delivery and acceptance by the Project Director of the items as described in the Statement of Work (SOW). All deliverables shall be submitted as directed by the Project Director. In no event shall Subcontractor submit a deliverable directly to the Client/US Government, unless specifically directed to do so by the Project Director or his/her designee.

Upon request, a copy of all written deliverables shall also be delivered to:

Mr. Charles Galland, Chief Operating Officer, General Counsel Advocates for Human Potential, Inc.
490-B Boston Post Road, Sudbury, MA 01776
[email protected]

3.4 Inspection and Acceptance
(a) Inspection and acceptance of work will be made by the AHP Project Director, or his/her duly authorized representative. The responsibilities of the AHP Project Director includes continuous monitoring of Subcontractor's performance and providing technical inspection and acceptance as required under the prime contract. (b) Inspection and acceptance will be performed at Advocates for Human Potential, Inc., 490-B Boston Post Road, Sudbury, MA 01776, or at such other place(s) as AHP may designate in writing.
(c) Subcontractor shall tender for acceptance those items that conform to the requirements of this Agreement. AHP reserves the right to inspect or test any supplies or services tendered under this Agreement, to the extent practicable at all reasonable places and times. The Client also has the right to inspect and evaluate the work performed or being performed under this Agreement. Inspections and tests will be performed in a manner that will not unduly delay the work. AHP may require repair or replacement of non-conforming supplies or re-performance of nonconforming services at no increase in contract price. Upon submission, AHP shall have ten (10) business days to inspect Subcontractor’s work. Should AHP and/or client find the material unsatisfactory, AHP shall notify Subcontractor of the defects within the 10-day period.

Subcontractor shall have 10 business days to cure said defects associated with Subcontractor’s work/product. If inspection or evaluation is to be performed on the premises of Subcontractor or its lower-tier Subcontractor(s), Subcontractor shall furnish (and require its subcontractors to furnish) all reasonable facilities and assistance for the safety and convenience of these duties.
19

SECTION 4. STATEMENT OF WORK
Independently, and not as an agent of the Contractor, the US Government, or the Client, Subcontractor shall furnish to AHP all the services, qualified personnel, material, equipment, and facilities, not otherwise provided by AHP or the Client, as needed to perform the Statement of Work in Attachment D.
(a) Subcontractor shall maintain an internal quality control program adequate to ensure that the requirements of this Agreement are met. The work shall be performed in accordance with high standards of professional skill, and upon delivery and acceptance of the deliverables, AHP shall pay the Subcontractor in accordance with the payment provisions of this Agreement.

SECTION 5. SUBCONTRACTOR TRAVEL
(a) Travel is is not authorized under this Agreement.
(b) If travel is authorized above, refer to Travel Reimbursement Information in Attachment B-Special Subcontract Requirements.

SECTION 6: CONTRACT ADMINISTRATION DATA

6.1 Contractor Representatives
(a) The following individual is designated as AHP’s Contracting Officer, and is authorized to direct or negotiate any changes in the statement of work, modify or extend the period of performance, change the delivery schedule, authorize reimbursement to Subcontractor of any costs incurred during the performance of this contract, or otherwise change any terms and conditions of this Agreement:

Mr. Charles Galland, Chief Operating Officer, General Counsel Advocates for Human Potential, Inc.
490-B Boston Post Road, Sudbury, MA 01776
[email protected] /(978) 443-0055 x425
(b) The following individual(s) is/are designated for purposes of administering the contractual progress of the Agreement, and for purposes of providing technical direction and guidance:

Monica Reeves, Project Director
Advocates for Human Potential, Inc.
131 N. El Molino, Suite 380
Pasadena, CA 91101
978-261-1483
[email protected]
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6.2 Subcontractor Representatives
(a) The following individual is designated as Subcontractor’s Contracting Officer and is authorized to conduct business, negotiate modifications and changes to any terms and conditions of this Agreement:
__________________________________________
__________________________________________
(b) The following individual is designated as Subcontractor's Project Manager for purposes of administering this Agreement:
__________________________________________
__________________________________________

6.3 Compensation, Billing Instructions, and Payment
(a) This is a Deliverable Based type Agreement. Subcontractor shall be reimbursed in accordance with Attachment E. In addition, all Subcontractor costs are subject to allowability and reasonableness and any restrictions contained in the Prime Contract, and/or under the Federal Acquisition Regulation (“FAR”) if specified. (b) Invoices may be submitted quarterly, as per payment schedule and shall provide sufficient detail, including at least the following information on each invoice:
i. Subcontractor's name
ii. Subcontractor’s TIN/EIN
iii. Subcontract Agreement ID: 7460-CA MOBILE CRISIS (BHJIS)-HMBCity01G iv. Invoice No.
v. Invoice date
vi. AHP’s Project & Billing Number(s) applicable to the tasks/deliverables invoiced, as per the Statement of Work attached
vii. Amount Due on the Invoice.
viii.Other substantiating documentation or information as may be requested by AHP
ix. An original signature of an authorized official of Subcontractor, with the following certification: “I hereby certify that all payments requested are for appropriate purposes and in accordance with the terms and conditions set forth in the Agreement between the parties.”
x. Name/title/telephone number of the person to contact in case of questions about the invoice
xi. Name, title, phone number, and mailing address of official to whom payment is to be sent.
(c) The cost of overnight or courier delivery of invoices is not allowed.

Robert Nisbet, City Manager
Matthew Chidester, Deputy City Manager
21

(d) Invoices shall be sent electronically to: [email protected] . Upon receipt of an Invoice, proper in form, and accepted and approved by AHP (approval of the Invoice shall mean that AHP’s Project Director has reviewed, accepted, and signed the Invoice), payment shall be remitted via First Class Mail within 10 business days after receipt of undisputed invoice. When requested, AHP will inform Subcontractor whether or not a specific Subcontractor invoice has been paid, or when AHP reasonably expects the Client to pay the Subcontractor invoice. All payment questions shall be addressed to AHP Accounts Payable at (978) 443-0055.
(e) Subcontractor's right to payment shall be contingent upon the Project Director’s review of the deliverables, together with any attachments, and that the review shall demonstrate the achievement of satisfactory performance against the Statement of Work in Attachment D. Should Subcontractor’s lack of satisfactory performance endanger AHP’s successful prosecution of its Prime contract responsibilities, a cure notice shall be issued to Subcontractor. Subcontractor shall respond in three days with a plan to cure such notice. Should the cure not be feasible, or if the cure fails within the agreed upon time frame, AHP may terminate the Agreement immediately upon written notice.
(f) Supporting Documentation: Subcontractor shall provide supporting documentation for invoices as may be requested by AHP, or as may be necessary for compliance with AHP’s billing to the Client.
(g) In satisfaction of the Subcontractor's obligation to complete the task(s) called for in Attachment D, "Statement of Work," the Subcontractor shall provide within the period of performance of this Agreement, the deliverable(s) specified. If at the end of the period of performance, the Subcontractor has not completed the deliverable(s), the fee may be reduced. In the event that the term of this Agreement expires before the Subcontractor has provided the deliverable(s), AHP shall have the right to extend the term of the Agreement to the extent necessary to permit the Subcontractor to provide the deliverable(s) specified.

6.4 Final Payment and Closeout
Subcontractor must invoice for all final costs within ninety (90) days following completion of this Agreement, and will provide all documentation necessary for a timely closeout of this Agreement including the submission of a "Final Invoice," a "Release of Claims," “Assignment of Refunds,” and/or other closeout documents as may be required or reasonably requested by AHP. Payment of the invoice may be withheld, pending completion and acceptance by AHP of all work performed, submission of all required documentation and/or substantiation of all work performed or delivered, as per 6.3(g), and submission of all required administrative forms and technical reports. These rights and obligations shall survive the termination of this Subcontract.

6.5 Key Personnel
Subcontractor shall provide the skilled personnel and management necessary to meet the requirements of the Statement of Work. AHP’s Project Director shall have right to disapprove all personnel proposed by Subcontractor to perform under this Agreement.

Other than personnel set forth below , prior to staffing any future Key positions, Subcontractor, if so directed by the Project Director, shall submit the names below, and 22

provide any other requested data for the proposed Key personnel to the Project Director. Should Project Director deem any individuals who have been submitted as unacceptable, Subcontractor shall immediately remove any personnel deemed unacceptable from the assignment and replace him/her with an individual of acceptable qualifications, subject to the same submission requirement and right of disapproval above. Subcontractor shall bear all costs associated with such removal and replacement.

Key personnel essential to the work being performed is/are: Not applicable for this contract.

No removals, replacements, or diversions of key personnel shall be made without the written consent of AHP’s Project Director.

SECTION 7: CHANGES AND MODIFICATIONS
(a) AHP may at any time make unilateral changes, within the general scope of this Agreement, in the definition, time of performance, or quantity of services to be performed.
(b) If any change causes an increase or decrease in the budgeted cost for performance of any part of the work under this Agreement, Subcontractor shall propose a new budget. Upon agreement of a revised price, a modification will be issued. Subcontractor must assert any claim for adjustment under this clause within thirty (30) days from the date of receipt.
(c) Failure to agree to any adjustment on a timely request that is submitted within the thirty (30) day period allowed shall be deemed a dispute concerning a question of fact within the meaning of the Clause of this Agreement entitled "Disputes." Notwithstanding any failure to agree to any such adjustment, Subcontractor shall diligently proceed with the work as changed.
(d) AHP and/or DHCS may collect additional applicant documentation, signatures, missing items, or omitted information during the response review process. AHP and/or DHCS will advise the applicant orally, by fax, email or in writing of any documentation that is required and the submission timeline. Failure to submit the required documentation by the date and time indicated may cause DHCS to deem a response nonresponsive and eliminate it from further consideration.

SECTION 8: CONFIDENTIAL INFORMATION
(a) Non-Disclosure of Confidential (Proprietary) Information: During the term of this Agreement, Subcontractor and its employees, consultants and/or lower tiered subcontractors, may receive or have access to data and information that is proprietary to AHP, DHCS, including the identity of AHP and/or DHCS clients or grantees. All such data and information made available to, disclosed to, or otherwise made known to Subcontractor, its employees, consultants and/or lower tiered subcontractors as a result of services under this Agreement shall be considered and kept confidential by the Subcontractor, and may be used only for purposes of performing the obligations 23

hereunder. Subcontractor, its employees, consultants and/or lower tiered subcontractors shall not reveal, publish or otherwise disclose such information to any third party without the prior written consent of AHP. Subcontractor shall take all reasonable precautions to prevent any other person with whom it is or may become associated from acquiring confidential proprietary information at any time. Disclosure of the information is for purposes of completing performance under this Agreement, and shall in no way be construed to grant any rights to otherwise use this information, nor shall Subcontractor take action to obtain licenses, patents, trademarks, copyrights, or other rights to said information. Upon the expiration or earlier termination of this Agreement, or at any time that AHP so instructs, Subcontractor agrees to deliver to AHP all proprietary information supplied and delivered, (including all copies, materials, print and electronic, collected and created by Subcontractor in performance of services for AHP), and Subcontractor shall make no further use or utilization of the information.

The foregoing obligations shall not apply to information which: (a) is or becomes generally available to the public other than as a result of a disclosure by Subcontractor; (b) becomes available to Subcontractor on a non-confidential basis from a third party source which is not prohibited from disclosing such information by a legal, contractual or fiduciary agreement to a third party; (c) Subcontractor develops independently without use of AHP’s Confidential Information, as demonstrated by written records and evidence; or (d) is required by law to be disclosed, provided Subcontractor notifies AHP promptly and gives AHP an opportunity to seek an appropriate protective order. These obligations of confidentiality and non-disclosure shall be flowed down to consultants and/or lower tiered subcontractors, and shall survive the termination of this Agreement. (b) Non-Disclosure of Confidential Research and Statistical Data: Subcontractor, and its employees, consultants and/or lower tiered subcontractors, shall be subject to all applicable Federal/state requirements concerning the protection of confidentiality of research and statistical information identifiable to a private person, and will comply with all established procedures to safeguard privacy and confidentiality. (c) Personally Identifiable Information: Subcontractor shall, and shall ensure that each of its subcontractor, if applicable, shall, maintain reasonable security of all personally identifiable information (including but not limited to personal health information), and comply with all applicable legal requirements relating to such information, including requirements relating to safeguarding, storing, transmitting, sharing, and destroying such information, and breach notification requirements as required in Business Associate Addendum in Attachment B-Special Subcontract Requirements.

Subcontractor shall not, and shall ensure that each of its subcontractor shall not, share personally identifiable information (including but not limited to personal health information) (excluding the personally identifiable information of Subcontractors or its subcontractors’ directors, officers, employees, agents, affiliates, and designees, in connection with Subcontractor’s performance under this Agreement).

SECTION 9: INTELLECTUAL PROPERTY
(a) As between AHP and Subcontractor, AHP’s ideas and requirements whether written formally or provided verbally to the Subcontractor are owned by AHP or DHCS. 24

(a) All writings or works of authorship, ideas, discoveries, inventions, patents, products, or other information, including without limitation, specifications, program codes, source code, framework, JAR files, ZIP files, Library’s files, scripts, and all related documentation, data or technical information produced or authored by the Subcontractor or any of its employees in the course of performing the work hereunder, together with any copyright, trademarks (including goodwill), and any other rights in intellectual property and rights in the physical embodiment in the same ("Works"), are works made for hire and the property of DHCS. To the extent that any Works may not, by operation of law, be works made for hire, this Agreement will constitute an irrevocable assignment by the Subcontractor to DHCS of the ownership of, and all rights of copyright, trademarks (including goodwill), and any other rights in intellectual property and rights in the physical embodiment of the Works, and DHCS will have the right to obtain and hold in its name all registrations which may be available in the Works. Subcontractor agrees to give DHCS or its designees all assistance reasonably required to perfect such rights. The Subcontractor will turn over all Works to DHCS or its designee when the Subcontractor ceases to perform services for AHP or upon AHP's earlier request.
(b) In performing services under this Agreement, Subcontractor will not design or develop any items that infringe one or more patents or other intellectual property rights of any third party. If Subcontractor becomes aware of any possible infringement in the course of performing the Work, Subcontractor shall immediately so notify AHP in writing.
(c) This Section is subject to any contrary or additional provisions contained in the SPECIAL SUBCONTRACT TERMS AND CONDITIONS, or under FAR clause 52.227- 14, Rights in Data, together with any Alternates, if specified. (d) This Section shall survive the expiration or termination of this Agreement.

SECTION 10: TERMINATION FOR CAUSE
(a) AHP, or at the direction of the Prime Contractor, may terminate if Subcontractor fails to comply with any terms, conditions, requirements, failure of achievement in any or all deliverables, satisfactory performance, or provisions of the Agreement. AHP shall notify Subcontractor in writing of its failure to comply. Should Subcontractor not remedy such failure within ten (10) business days (Remedy Period), the agreement may be terminated. Upon notification or any time during the Remedy Period, Subcontractor may request additonal time in order to cure the default and so long as Subcontractor is working in Good Faith and Prime Contractor approves, the cure period may be extended to at least thirty (30) business days.
(b) In the event that this Agreement is terminated for cause pursuant to Paragraph (a) above, then the Prime Contractor nor AHP shall not be liable for any work that is not performed in accordance with the Subcontract. The Prime Contractor through AHP will pay the Subcontractor for work that has been performed in accordance with this Subcontract and the Subcontractor shall transfer to the Prime Contractor or AHP all work that has been completed and paid for under this Agreement. 25

(c) This Agreement may be terminated immediately upon notification by either party following a material breach of this Agreement.

SECTION 11: POLICIES AND CODES

11.1 Subcontractor shall comply with al California and federal law, regulations, and published guidelines, to the extent that these authorities contain requirements applicable to Subcontractor’s performance under this Agreement. These authorities include, but are not limited to, Title 42, United States Code (USC) Chapter 6A Part B and Title 45, Code of Federal Regulations (CFR) Parts 75 and 96.

11.2 AHP may perform inspections, review procedures, documents pertaining to the Statement of Work and other elements of this Agreement, perform onsite visits, desk reviews in order to ensure Contractor’s comply with 11.1 and 11.2 as well as protect against fraud, waste and abuse.

11.3 In the event Contractor does not comply with 11.1 and 11.2 above, AHP shall hold Subcontractor in non-compliance under Section 9.

11.4 DHCS or AHP shall review Subcontractor’s records to ensure funds were properly used.

SECTION 12: DATA COLLECTION AND PERFORMANCE

12.1 a. Planning Grants
Subcontractor must submit substantiating documentation of their efforts throughout the contract period, which may include implementation/action plan drafts and community needs assessments.
b. Implementation Grants
Subcontractors for Implementation Grants must include data on the performance measures identified in their contracts. Potential performance measures include:
• The number of individuals served/impacted by each CCMU o Percentage treated and released by CCMU
o Percentage referred to services in the community
o Percentage admitted to psychiatric hospital
o Percentage involuntarily admitted to hospital
o Percentage taken to the Emergency Department
• Average and median response time of each CCMU
• Primary diagnoses of clients served
• Primary reason for CCMU dispatch
o e.g., Risk of self-harm, risk of violence to others, other erratic behavior • Percentage with co-occurring mental health and substance use disorder diagnoses • Health insurance statuses of clients served
• Number of CCMU dispatches
o Percent of all crisis calls (911 or other) resulting in CCMU dispatch • Number of initial mental health or substance use calls routed through police to CCMU • Number of crisis calls when CCMU engages/requests police response • Demographic data of clients served:
o Number of clients served who are aged 5 and under/5-9/10-14/15-19/20- 25/26- 34/35-44/45-54/55-64/65-74/75-84/85 and over/unknown
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o Number of clients served who are male/female/transgender/non-binary or gender queer/unknown
o Number of clients served who are American Indian or Alaska Native/Asian American/ Black or African American/Native Hawaiian or Pacific Islander/More than one race/White/unknown
o Number of clients served who are Latinx or Chicanx or Hispanic/Not Latinx or Chicanx or Hispanic/unknown
o Number of clients served who speak a language other than English at home • Percentage of individuals who receive crisis follow-up care within 48 hours • Percentage of families engaged collaboratively in the crisis intervention process • Percentage of crisis encounters resolved successfully within two hours • Satisfaction with services (how likely are they to recommend)

12.2 Monitoring and Site Inspection
a. The Subcontractor shall be subject by AHP for compliance with the provisions of this Agreement. Such monitoring activities shall include, but are not limited to, inspection of the Subcontractor’s services, procedures, books, and records, as AHP deems appropriate. AHP may conduct monitoring activities at any time during the Subcontractor’s normal business hours.
b. AHP shall conduct a review of the Subcontractor’s records to determine if any of the claimed expenditures were an improper use of grant funds. c. The refusal of Subcontractor to permit access to physical facilities and/or inspection of any documents, files, books, or records necessary for AHP to complete its monitoring and inspection activities constitutes an express and immediate material breach of this contract and will be a sufficient basis to terminate the contract for cause.

SECTION 13: ORGANIZATIONAL CONFLICT OF INTEREST
Subcontractor warrants to the best of its knowledge and belief at this time, there are no relevant facts or circumstances which could give rise to an organizational conflict of interest, (“OCI”) as defined in FAR Subpart 9.5, or that Subcontractor has disclosed all such relevant information, and will disclose any actual or potential OCI that is discovered, including a description of activities that Subcontractor has taken or proposes to take, after consultation with the AHP Contracting Officer, to avoid the conflict. During the term of this Agreement, Subcontractor shall not enter into other contracts or arrangements or otherwise engage in work that will conflict with the parties’ relationship of trust and cooperation or that may otherwise conflict with the Subcontractor's obligations.
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SECTION 14: INSURANCE
(a) Subcontractor shall continuously maintain for the duration of this Agreement, the following insurance at, or in excess of, the limits detailed below:
• Worker's compensation and employer's liability insurance as required by the state or province where the work is performed.
• Comprehensive automobile and vehicle liability insurance covering claims for injuries to members of the public and/or damages to property of others arising from use of motor vehicles, including on-site and off-site operations, and owned, nonowned, or hired vehicles, with $1,000,000 combined single limits. • Subcontractor must furnish to AHP a certificate of Insurance stating that commercial general liability insurance of not less thatn $1,000,000 per occurrence for bodily injury and property damage liability combined is presently in effect for the Subcontractor. The commercial general liability insurance policy shall include cover for liabilities arising out of premises, operations, independent contractors, products, completed operations, personal and advertising injury, and liability assumed under an insured agreement. The commercial general liability insurance shall apply to each insured against whom claim is made or suit is brought subject to the Subcontractor’s limit of liability.
• Insurance appropriate and sufficient in type and amount to cover any software and data to be developed under this Agreement, and property insurance sufficient to cover the cost of any AHP, Client or other property under the Agreement that may be in the control of the Subcontractor.
(b) All policies, except Workers’ Compensation and Employer’s Liability, shall be endorsed to name AHP as an Additional Insured with respect to the work to be performed by Subcontractor. All such insurance must be primary and non-contributory and required to respond and pay prior to any other insurance or self-insurance available.
(c) Subcontractor shall immediately deposit with AHP upon request a Certificate of Insurance attesting to the above coverage and naming AHP as an additional insured party under such policies. The Subcontractor agrees that the insurance required herein will remain in effect at all times during the term of the Agreement. In the event said insurance coverage expires at any time or times during the term of this Agreement, the Subcontractor agrees to provide, at least 30 calendar days before said expiration date, a new certificate of insurance evidencing insurance coverage as provided herein for not less than the remainder of the term of the Agreement or for a period of not less than one year. AHP may, in addition to any other remedies it may have, terminate this Agreement on the occurrence of such event.
(d) Insurance Indemnification. Subcontractor shall indemnify AHP for any costs and expenses incurred, including reasonable attorneys’ fees, judgments, settlements or penalties, as a result of any claim or liability resulting from the failure of Subcontractor (or its lower tier subcontractors or consultants) to maintain the insurance policies required by this section.
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(e) AHP will not be responsible for any premiums, deductibles or assessments on the insurance policy.

SECTION 15: INDEMNIFICATION
(a) Subcontractor shall indemnify and hold harmless AHP and DHCS and its officers, employees and agents for any costs and expenses incurred, including reasonable attorneys’ fees, judgments, settlements or penalties, against all liabilities, claims, suits, demands or liens for damages to persons or property, (“Claims”), (unless such Claims arise from the gross negligence or willful misconduct of AHP), arising out of, resulting from, or relating to, the following:
 Any act, omission, or statement of the Subcontractor, or any person employed by or engaged under contract with the Subcontractor that results in injury (including death), loss, or damage to any person or property;
 Any failure on the part of the Subcontractor to comply with applicable government requirements and requirements of law;
 the failure to maintain the insurance policies required by this section or the work performed, inclusive of Intellectual property infringement, if applicable, under this Subcontract. Insurance coverage that may be required shall in no way lessen or limit the liability of Subcontractor under the terms of this obligation.  Any failure on the part of the Subcontractor to satisfy all claims for labor, equipment, materials and other obligations relating to the performance of the work hereunder;
 Any actual or alleged direct or contributory infringement of, or inducement to infringe, any United States or foreign patent, trademark or copyright, arising out of the performance of this Agreement, provided the Subcontractor is reasonably notified of such claims and proceedings; and
 Any actual or alleged unauthorized use or disclosure of any trade secret, confidential information or other proprietary interest, Work product, or other information owned by the Government, Client or AHP under the terms of this Agreement.
(b) Subcontractor shall indemnify under this clause for any of the above acts attributable to its employees, consultants, agents, and/or lower-tiered subcontractors engaged in performance of the work under this Agreement.
(c) This indemnification shall survive the expiration or termination of the Agreement.

SECTION 16: DISPUTES/APPLICABLE LAWS

16.1 Disputes
Any dispute arising out of, or relating to, this Agreement that is not resolved by the good faith efforts of the parties, shall be settled by submission to a panel consisting of one arbitrator under the Commercial Rules of the American Arbitration Association (“AAA”).

The parties shall bear equally the costs assessed by the AAA, and judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction. Venue 29

for the arbitration shall be the state of California at the election of AHP. The decision of the arbitrator shall be final, conclusive, and unappealable, except in the event of fraud or the arbitrator’s failure to disclose a material conflict of interest. The prevailing party, in addition to any damages awarded by the arbitrator, shall be entitled to costs and reasonable attorneys’ fees, the amount of which shall be determined by the arbitrator, in the event the parties are unable to agree.

16.2 Applicable Laws
Subcontractor agrees to comply with the applicable provisions of Federal, State and local laws or ordinances, and all orders, rules, and regulations issued thereunder, and in such a manner that the name of the other party will not be discredited. Where a FAR provision or clause, or any other Federal statute, regulation, or clause is incorporated in or applicable to this Agreement or work being performed under it, Federal law shall govern the interpretation and application thereof. If Federal law is not applicable, the appropriate law of the State of California shall apply, exclusive of that body of laws known as conflicts of law. This Section shall survive the expiration or termination of the Agreement.

SECTION 17: CERTIFICATIONS
By signature to this Agreement, Subcontractor makes the following Representations and Certifications:
(a) Debarment and Suspension: Neither Subcontractor nor any of its principals is presently debarred, suspended, proposed for debarment, declared ineligible nor voluntary excluded by any Federal department or agency from participating in transactions. Any change in the debarred or suspended status of the Subcontractor during the life of this Subcontract will be reported immediately to AHP. Subcontractor shall incorporate this Debarment and Suspension certification into any subcontract that they may enter into as a part of this Subcontract. (b) Prohibition To Perform Duties: Subcontractor is not prohibited, precluded, or restricted from performing the duties required under the Statement of Work, due to previous employment obligations, restrictions, commitments, or agreements Subcontractor has with any other federal, state and local government agency. (c) Federal Civil Rights Act/Equal Opportunity: Subcontractor will conform to the provisions of Title VI of the Federal Civil Rights Act of 1964, section 2000d as amended and will not discriminate against any employee or applicant for employment because of age, race, religion, creed, color, sex, or national origin. (d) Labor Laws: Subcontractor certifies that it is in compliance with all applicable labor laws, including but not limited to the Walsh-Healy Act and the Contract Work Hours and Safety Standards Act (41 U.S.C. 51-58) regarding overtime compensation. (e) Americans with Disabilities Act: Subcontractor agrees to ensure that deliverables developed and produced, pursuant to this Agreement shall comply with the accessibility requirements of Sections 7405 and 11135 of the California Government Code, Section 508 of the Rehabilitation Act and Americans with Disabilities Act of 1973 as amended (29 U.S.C 794(d), regulations implementing the Rehabilitation Act 30

of 1973 as set forth in in Part 1194 of Title 36 of the Federal Code of Regulations, and the Americans with Disabilities Act of 1990(42 U.S.C. 12101 et seq. and 28 CFR Part 35). In 1998, Congress amended the Rehabilitation Act of 1973 to require Federal agencies to make their electronic and information technology (EIT) accessible to people with disabilities. California Government Code Sections 7405 and 11135 codifies section 508 of the Rehabilitation ACT of 1973 requiring accessibility of EIT. (f) Employee Compliance: Subcontractor will require all employees, entities and individuals providing services in connection with the performance of this Subcontract to comply with the provisions of this Agreement and with all Federal, State, and local laws and regulations in connection with this work.
(g) Code of Ethics: Subcontractor has a Code of Ethics addressing at least the following areas: accurate accounting records and reporting; gifts and entertainment to Government customers; hiring of former government employees; protection of Government proprietary and source selection information; extending and receiving business courtesies; and personal and organization conflicts of interest. (h) Age Discrimination Act of 1975 (45 CFR Part 90)
(i) Section 1557 of the Affordable Care Act.
(j) Trafficking Victims Protection Act of 2000 (22 USC 7104(G), as amended and 2 CFR Part 175
(k) Clean Air Act (42 USC 7401-7671q) and the Federal Water Pollution Control ACT (33 USC 1251-1387), as amended.
(l) Byrd Anti-Lobbying Amendment (31 USC 1352): The Subcontractor shall certify to DHCS that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an office or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or any other award covered by 31 USC 1352. The Subcontractor shall also disclose to DHCS any lobbying with non-Federal funds that takes place in connection with obtaining any Federal Award.
(m)Confidentiality of Alcohol and Drug Abuse Patient Records: (42 CFR Part 2, Subparts A-E). The Subcontractor shall comply with the regulation set forth in 42 CFR part 2, including the responsibility for assuring the security and confidentiality of all electronically transmitted patient material.
(n) Certification and Attestation: As a requirement to be eligible for the PWI grant funding, the Subcontractor, attested to its eligibility to receive funding, Attestation Letter attached hereto as Attachment F. Any misrepresentation contained within the Attestation Letter shall be considered a material breach. (o) Standard Funding Restrictions: Exceed Salary Limitation: The Consolidated Appropriations Act, 2016 (Pub. L.113- 76) signed into law on January 10, 2016, limits the salary amount that may be awarded and charged to SAMHSA grants and cooperative agreements. Award funds may not be used to pay the salary of an individual at a rate in excess of Executive Level II. The Executive Level II salary can be found in SAMHSA’s standard terms and conditions for all awards at 31

https://www.samhsa.gov/grants/grantsmanagement/notice-award-noa/standard-termsconditions. This amount reflects an individual’s base salary exclusive of fringe and any income that an individual may be permitted to earn outside of the duties to the applicant organization. This salary limitation also applies to sub awards/subcontracts under a SAMHSA grant or cooperative agreement. The Federal Executive Level II Salary Cap is currently $199,300.
• Pay for any lease beyond the project period.
• Pay for the purchase or construction of any building or structure to house any part of the program.
• Make direct payments to individuals to enter treatment or continue to participate in prevention or treatment services.
• No out-of-state travel is permitted with these funds. *SAMHSA funds were granted to the State and all funding restrictions are applicable to this funding opportunity and all sub-contracts.

SECTION 18: RECORDS AND RECORD KEEPING
a. The Subcontractor shall retain all financial records, supporting documents, statistical records, and all other records pertinent to the grant in accordance with 45 CFR section 75.361.
b. AHP, SAMHSA, the Inspector General, the Controller General and DHCS, or any of its authorized representatives, have the right to access any documents, papers, or other records of the Subcontractor which are pertinent to the grant, for the purpose of performing audits, examinations, excerpts, and transcripts.

The right to access records also includes timely and reasonable access to the Subcontractor’s personnel for the purpose of interview and discussion related to the requested documents.
c. The right to access records is not limited to the required retention period but lasts as long as the records are retained by the Subcontractor.

SECTION 19: EXPENSE ALLOWABILITY/FISCAL DOCUMENTATION
a. Invoices, received from a Subcontractor and accepted and/or submitted for payment by AHP, shall not be deemed evidence of allowable agreement costs. b. The Subcontractor shall maintain for review and audit and supply to AHP upon request, adequate documentation of all expenses claimed pursuant to this Agreement to permit a determination of expense allowability. c. If the allowability or appropriateness of an expense cannot be determined by AHP because invoice detail, fiscal records, or backup documentation is nonexistent or inadequate according to generally accepted accounting principles or practices, all questionable costs may be disallowed and payment me be withheld by AHP. Upon receipt of adequate documentation supporting a disallowed or questionable expense, reimbursement may resume for the amount substantiated and deemed allowable.
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d. If Travel is a reimbursable expense, receipts must be maintained to support the claimed expenditures. For more information on allowable travel and per diem expenses and required documentation, see Attachment B, “Travel Reimbursement Information”.
e. Costs and/or expenses deemed unallowable are subject to recovery by AHP.

See Section 20 Recovery of Overpayments” for more information. f. Country organizations may utilize their existing DHCS certified indirect cost rates for per Behavioral Health Information Notice 20-020.

SECTION 20: RECOVERY OF OVERPAYMENTS
a. Subcontractor agrees that claims based upon a contractual agreement or an audit finding and/or an audit finding that is appealed and upheld, will be recovered by AHP by one of the following options:

1. Subcontractor’s remittance to AHP of the full amount of the audit exception within 30 days following AHP request for payment;

2. A repayment schedule which is agreeable to both AHP and the Subcontract. b. AHP reserves the right to select which option will be employed and AHP will notify the Subcontractor in writing of the claim procedure to be utilized. c. Interest on the unpaid balance of the audit finding or debt will accrue at a rate equal to the monthly average of the rate received on investments in the Pooled Money Investment Fund commencing on the date that an audit or examination finding is mailed to the Subcontractor, beginning 30 days after the Subcontractor’s receipt of AHP’s demand for repayment.
d. If the Subcontractor has filed a valid appeal regarding the report of audit findings, recovery of the overpayments will be deferred until a final administrative decision on the appeal has been reached. If the Subcontractor loses the final administrative appeal, the Subcontractor shall repay, to AHP, the over-claimed or disallowed expenses, plus accrued interest. Interest accrues from the Subcontractor’s first receipt of AHP’s notice requesting reimbursement of questioned audit costs or disallowed expenses.

SECTION 21: BEST EFFORTS

21.1 Best Efforts
During the term of this Agreement, Subcontractor shall use Best Efforts in order to satisfy all the requirements of the work to be performed under Section 4 and Attachment A of this Agreement.
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THIS AGREEMENT CONSISTS OF TWENTY (20) TYPEWRITTEN PAGES, TOGETHER

WITH THE ATTACHMENTS IDENTIFIED BELOW, WHICH ARE HEREBY INCORPORATED INTO THIS AGREEMENT.

LIST OF ATTACHMENTS
TITLE No. of PAGES
Attachment A—Standard Subcontract Terms and Conditions 1 Attachment B—Special Subcontractor Terms and Conditions 30 Attachment C—Subcontractor’s Certification 4
Attachment D—Subcontractor’s Statement of Work
Attachment E—Payment Schedule
34 ATTACHMENT A STANDARD SUBCONTRACT TERMS AND CONDITIONS

ATTACHMENT A-STANDARD SUBCONTRACT TERMS AND CONDITIONS
Headings: Headings are for convenience of reference only and shall in no way affect interpretation of this Agreement.

Independent Contractor: Subcontractor is engaged as an
independent contractor, and this Agreement shall not be construed as creating any other relationship. Subcontractor shall comply with all laws, and assume all risks incident to its status as independent contractor, and necessary to comply with specific requirements of this Agreement, including, but not limited to, payment of all applicable federal/state income taxes, associated payroll/business taxes, and licenses and fees.

No Agency: Subcontractor, its employees, agents or assigns, shall not represent, act or purport to act, or be deemed to be an agent, representative, or employee of AHP, or commit or obligate AHP to any other person or party.

Lower-Tier Consultants/Subcontractors: AHP’s prior written approval is required to obtain services of consultants or lowertier Subcontractors; provided, however, that this limitation shall not apply to the purchase of standard commercial supplies.

No Assignment: This Agreement is for professional services, and the Agreement, or any duties/obligations imposed shall not be assigned, delegated or otherwise transferred.

Changes to be Made in Writing: Unless otherwise specified that AHP may make a unilateral modification, no understanding, agreement, modification, change order, or other matter affecting this Agreement shall be binding, unless in writing, signed by both parties’ Contracting Officer. No handwritten changes shall be effective unless initialed by each Contracting Officer.

Limitation of Liability upon Termination: AHP’s maximum aggregate liability to Subcontractor is limited to the total dollar amount of work properly performed by Subcontractor up to the effective date of termination, together with any authorized travel, or authorized expenses incurred under the Agreement that cannot be canceled. AHP is not liable for any special, indirect, incidental, consequential, or punitive damages, nor for any loss of goodwill, profits, data, or loss of use arising out of, resulting from, or in any way connected with the performance or breach of this Agreement, even if advised of the possibility of such damages.

Force Majeure: Neither party shall be liable to the other for loss or damages due to failure or delay in rendering performance caused by circumstances beyond its reasonable control, if such failure could not have been overcome by the exercise of due diligence, due care, or foresight. Causes may include, but are not limited to, acts of God or a public enemy; wars; acts of terrorism; riots; fires; floods; epidemics; quarantine restrictions; labor disputes; strikes; defaults of subcontractors/vendors; failure/delays in transportation; unforeseen freight embargoes; unusually severe weather; or any law/order/regulation/request of a state or local government entity, the US Government, or of any agency, court, commission, or other instrumentality of any such governments. Times of performance under this Agreement may be appropriately extended for excused delays if the party whose performance is affected promptly notifies the other of the existence and nature of such delay.

Scientific Misconduct: Subcontractor shall immediately report to AHP any instance of scientific misconduct or fraud related to performance of work under this Agreement.

Warranty: Unless a different warranty is specified,
Subcontractor warrants all services provided and products delivered will be free from defect in materials and/or
workmanship, and will be fit for the purpose intended, and will conform to the specifications of the statement of work. In the event of a breach AHP may complete the work and seek all remedies available in law or equity.

Notices: Notices shall be in writing, sent by USPS Certified MailRRR, or any overnight delivery/courier service, and notice shall be deemed given when personally delivered, (or three (3) days after being sent by prepaid certified U.S. mail).

Litigation: Subcontractor shall provide written notice to AHP of any litigation that relates to the services under this contract, or that has the potential to impair its ability to fulfill this contract, including but not limited to financial, legal or other situations.

Publicity: Without prior written approval of the other, neither party shall use the other's name or make reference to the other party or any of its employees in publications, news releases, advertising, speeches, technical papers, photographs, sales promotions, or publicity purposes of any form related to this work or data developed hereunder, unless disclosure of such materials is required by legal, accounting, or regulatory requirements beyond the disclosing party’s reasonable control. Use of either party's name may be made in internal documents, annual reports, proposals, etc. which may identify the existence of the project by title, principal investigator or project director, sponsor, period of funding, amount of award and brief abstract of the project. This Section shall survive expiration/termination of this Agreement.

Restrictions on Hiring: During the period of this Agreement, and for a period of two (2) years after its termination, neither party shall directly or indirectly, induce or solicit (or authorize or assist in the taking of any such actions by any third party) any employee or consultant of the other party to leave his/her business association with that party. Parties are not be restricted in the right to solicit or recruit generally in the media.

Survival: Except as otherwise stated, sections that by their terms impose continuing obligations or establish continuing rights shall be deemed to survive the expiration/termination of this Agreement.

Validity and Waiver: The invalidity in whole or in part of any provision of this Agreement shall not affect the validity of other provisions. Waiver of a breach of any provision shall not constitute a waiver of any subsequent breach of that provision, or a breach of any other provision. AHP’s failure to enforce any provision of this Agreement shall not be construed as a waiver. Only AHP’s Contracting Officer has the authority to waive any term or condition of this Subcontract on behalf of AHP.

Interpretation: This Agreement shall be interpreted and construed in accordance with its fair meaning, and not strictly for or against either party, regardless of who may have drafted it or any specific provision.

Third Party Beneficiaries: This Agreement shall not be construed so as to give any person or entity, other than the parties, any legal or equitable claim or right.

Counterparts/Other Instruments: The parties may execute this contract in multiple counterparts, each of which is deemed an original and all of which constitute only one agreement. The parties shall properly make, execute, and deliver such other and further instruments as may be reasonable, necessary, desirable, or convenient to give full force and effect to this Agreement.

Binding Effect: This Agreement shall be binding upon the parties, their successors and assigns.
35 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 1 of 30

ATTACHMENT B

1. Federal Equal Opportunity Requirements
a. The Subcontractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, national origin, physical or mental handicap, disability, age or status as a disabled veteran or veteran of the Vietnam era. The Subcontractor will take affirmative action to ensure that qualified applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, national origin, physical or mental handicap, disability, age or status as a disabled veteran or veteran of the Vietnam era. Such action shall include, but not be limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and career development opportunities and selection for training, including apprenticeship. The Subcontractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Federal Government or AHP, setting forth the provisions of the Equal Opportunity clause, Section 503 of the Rehabilitation Act of 1973 and the affirmative action clause required by the Vietnam Era Veterans' Readjustment Assistance Act of 1974 (38 U.S.C. 4212). Such notices shall state the Subcontractor's obligation under the law to take affirmative action to employ and advance in employment qualified applicants without discrimination based on their race, color, religion, sex, national origin physical or mental handicap, disability, age or status as a disabled veteran or veteran of the Vietnam era and the rights of applicants and employees.
b. The Subcontractor will, in all solicitations or advancements for employees placed by or on behalf of the Subcontractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, national origin physical or mental handicap, disability, age or status as a disabled veteran or veteran of the Vietnam era. c. The Subcontractor will send to each labor union or representative of workers with which it has a collective bargaining agreement or other contract or understanding a notice, to be provided by the Federal Government or the State, advising the labor union or workers' representative of the Subcontractor's commitments under the provisions herein and shall post copies of the notice in conspicuous places available to employees and applicants for employment. d. The Subcontractor will comply with all provisions of and furnish all information and reports required by Section 503 of the Rehabilitation Act of 1973, as amended, the Vietnam Era Veterans' Readjustment Assistance Act of 1974 (38 U.S.C. 4212) and of the Federal Executive Order No. 11246 as amended, including by Executive Order 11375, ‘Amending Executive Order 11246 Relating to Equal Employment Opportunity,‘ and as supplemented by regulation at 41 CFR part 60, “Office of the Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor,” and of the rules, regulations, and relevant orders of the Secretary of Labor.
e. The Subcontractor will furnish all information and reports required by Federal Executive Order No. 11246 as amended, including by Executive Order 11375, ‘Amending Executive Order 11246 Relating to Equal Employment Opportunity,‘ and as supplemented by regulation at 41 CFR part 60, “Office of Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor,” and the Rehabilitation Act of 1973, and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to its books, records, and accounts by the State and its designated representatives and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders.
f. In the event of the Subcontractor's noncompliance with the requirements of the provisions herein or with any federal rules, regulations, or orders which are referenced herein, this Agreement may be cancelled, terminated, or suspended in whole or in part and the 36 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 2 of 30 Subcontractor may be declared ineligible for further federal and state contracts in accordance with procedures authorized in Federal Executive Order No. 11246 as amended and such other sanctions may be imposed and remedies invoked as provided in Federal Executive Order No. 11246 as amended, including by Executive Order 11375, ‘Amending Executive Order 11246 Relating to Equal Employment Opportunity,‘ and as supplemented by regulation at 41 CFR part 60, “Office of Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor,” or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law.
g. The Subcontractor will include the provisions of Paragraphs a through g in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Federal Executive Order No. 11246 as amended, including by Executive Order 11375, ‘Amending Executive Order 11246 Relating to Equal Employment Opportunity,‘ and as supplemented by regulation at 41 CFR part 60, “Office of Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor,” or Section 503 of the Rehabilitation Act of 1973 or (38 U.S.C. 4212) of the Vietnam Era Veteran's Readjustment Assistance Act, so that such provisions will be binding upon each subcontractor or vendor. The Subcontractor will take such action with respect to any subcontract or purchase order as the Director of the Office of Federal Contract Compliance Programs or AHP may direct as a means of enforcing such provisions including sanctions for noncompliance provided, however, that in the event the Subcontractor becomes involved in, or is threatened with litigation by a subcontractor or vendor as a result of such direction by AHP, the Subcontractor may request in writing to AHP, who, in turn, may request the United States to enter into such litigation to protect the interests of the State and of the United States.

2. Travel and Per Diem Reimbursement
(Applicable if travel and/or per diem expenses are authorized to be reimbursed with Agreement funds.)
Reimbursement for travel and/or per diem expenses from AHP under this Agreement shall, unless otherwise specified in this Agreement, be at the rates currently in effect, as established by the California Department of Human Resources (CalHR), for nonrepresented state employees as stipulated in DHCS’ Travel Reimbursement Information Exhibit in Attachment B-Special Subcontract Requirements. If the CalHR rates change during the term of the Agreement, the new rates shall apply upon their effective date and no amendment to this Agreement shall be necessary.

Exceptions to California Department of Human Resources (CalHR) rates may be approved by AHP upon the submission of a statement by the Subcontractor indicating that such rates are not available to the Subcontractor. No travel outside the State of California shall be reimbursed without prior authorization from DHCS. Verbal authorization should be confirmed in writing. Written authorization may be in a form including fax or email confirmation.

3. Procurement Rules
Applicable to agreements in which equipment/property, commodities and/or supplies are furnished by AHP or DHCS or expenses for said items are reimbursed by funds with state or federal funds provided under this Agreement.
a. Equipment/Property definitions
Wherever the term equipment and/or property is used, the following definitions shall apply:
(1) Major equipment/property: A tangible or intangible item having a base unit cost of $5,000 or more with a life expectancy of one (1) year or more and is either furnished by DHCS or the cost is reimbursed through this Agreement. Software and videos are examples of intangible items that meet this definition.
(2) Minor equipment/property: A tangible item having a base unit cost of less than $5,000 37 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 3 of 30 with a life expectancy of one (1) year or more and is either furnished by DHCS or the cost is reimbursed through this Agreement.
b. Government and public entities (including state colleges/universities and auxiliary organizations), whether acting as a contractor and/or subcontractor, may secure all commodities, supplies, equipment and services related to such purchases that are required in performance of this Agreement. Said procurements are subject to Paragraphs d through h of Provision 3. Paragraph c of Provision 3 shall also apply, if equipment/property purchases are delegated to subcontractors that are nonprofit organizations or commercial businesses. c. In special circumstances, determined by AHP (e.g., when AHP has a need to monitor certain purchases, etc.), AHP may require prior written authorization and/or the submission of paid vendor receipts for any purchase, regardless of dollar amount. AHP reserves the right to either deny claims for reimbursement or to request repayment for any Subcontractor purchase that AHP determines to be unnecessary in carrying out performance under this Agreement. d. The Subcontractor must maintain a copy or narrative description of the procurement system, guidelines, rules, or regulations that will be used to make purchases under this Agreement.

AHP and the State reserves the right to request a copy of these documents and to inspect the purchasing practices of the Subcontractor at any time.
e. For all purchases, the Subcontractor must maintain copies of all paid vendor invoices, documents, bids and other information used in vendor selection, for inspection or audit.

Justifications supporting the absence of bidding (i.e., sole source purchases) shall also be maintained on file by the Subcontractor for inspection or audit. f. AHP may, with cause (e.g., with reasonable suspicion of unnecessary purchases or use of inappropriate purchase practices, etc.), withhold, cancel, modify, or retract the delegated purchase authority granted under Paragraphs b and/or c of Provision 3 by giving the Subcontractor no less than 30 calendar days written notice.

4. Equipment/Property Ownership / Inventory / Disposition (Applicable to agreements in which equipment/property is furnished by DHCS and/or AHP when said items are purchased or reimbursed by DHCS with state or federal funds provided under this Agreement.)
a. Wherever the term equipment and/or property is used in Provision 4, the definitions in Paragraph a of Provision 3 shall apply.

Unless otherwise stipulated in this Agreement, all equipment and/or property that is purchased/reimbursed with Agreement funds or furnished by AHP under the terms of this Agreement shall be considered state equipment and the property of AHP and DHCS. (1) Reporting of Equipment/Property Receipt - AHP requires the reporting, tagging and annual inventorying of all equipment and/or property that is furnished by AHP or purchased/reimbursed with funds provided through this Agreement.

Upon receipt of equipment and/or property, the Subcontractor shall report the receipt to the AHP. To report the receipt of said items and to receive property tags, Subcontractor shall use a form or format designated by AHP. If the appropriate form does not accompany this Agreement, Subcontractor shall request a copy from AHP. (2) Annual Equipment/Property Inventory - If the Subcontractor enters into an agreement with a term of more than twelve months, the Subcontractor shall submit an annual inventory of state equipment and/or property to the AHP using a form or format designated by AHP.

If an inventory report form does not accompany this Agreement, Subcontractor shall 38 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 4 of 30 request a copy from AHP. Subcontractor shall:
(a) Include in the inventory report, equipment and/or property in the Subcontractor's possession and/or in the possession of a subcontractor (including independent consultants).
(b) Submit the inventory report to AHP according to the instructions appearing on the inventory form or issued by AHP.
(c) Contact AHP to learn how to remove, trade-in, sell, transfer or survey off, from the inventory report, expired equipment and/or property that is no longer wanted, usable or has passed its life expectancy. Instructions will be supplied by AHP. b. Title to state equipment and/or property shall not be affected by its incorporation or attachment to any property not owned by the State.
c. Unless otherwise stipulated, AHP or DCHS shall be under no obligation to pay the cost of restoration, or rehabilitation of the Subcontractor's facility which may be affected by the removal of any state equipment and/or property.
d. The Subcontractor shall maintain and administer a sound business program for ensuring the proper use, maintenance, repair, protection, insurance and preservation of state equipment and/or property.
(1) In administering this provision, AHP may require the Subcontractor to repair or replace, to AHP’s satisfaction, any damaged, lost or stolen state equipment and/or property. In the event of state equipment and/or miscellaneous property theft, Subcontractor shall immediately file a theft report with the appropriate police agency or the California Highway Patrol and Subcontractor shall promptly submit one copy of the theft report to AHP.
e. Unless otherwise stipulated by the Program funding this Agreement, equipment and/or property purchased/reimbursed with agreement funds or furnished by AHP under the terms of this Agreement, shall only be used for performance of this Agreement or another DHCS agreement. f. Within sixty (60) calendar days prior to the termination or end of this Agreement, the Subcontractor shall provide a final inventory report of equipment and/or property to AHP and shall, at that time, query DHCS as to the requirements, including the manner and method, of returning state equipment and/or property to AHP. Final disposition of equipment and/or property shall be at AHP expense and according to AHP instructions. Equipment and/or property disposition instructions shall be issued by AHP immediately after receipt of the final inventory report. At the termination or conclusion of this Agreement, AHP OR DHCS may at its discretion, authorize the continued use of state equipment and/or property for performance of work under a different DHCS agreement.

5. Subcontract Requirements
a. AHP reserves the right to approve or disapprove the selection of subcontractors and with advance written notice, require the substitution of subcontractors and require the Subcontractor to terminate subcontracts entered into in support of this Agreement. (1) Upon receipt of a written notice from AHP requiring the substitution and/or termination of a subcontract, the Subcontractor shall take steps to ensure the completion of any work in progress and select a replacement, if applicable, within 30 calendar days, unless a longer period is agreed to by DHCS. 39 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 5 of 30 b. Actual subcontracts (i.e., written agreement between the Subcontractor and a subcontractor) of $5,000 or more are subject to the prior review and written approval of AHP. AHP may, at its discretion, elect to waive this right. All such waivers shall be confirmed in writing by AHP. c. Subcontractor shall maintain a copy of each subcontract entered into in support of this Agreement and shall, upon request by AHP, make copies available for approval, inspection, or audit.
d. AHP assumes no responsibility for the payment of subcontractors used in the performance of this Agreement. Subcontractor accepts sole responsibility for the payment of subcontractors used in the performance of this Agreement.
e. The Subcontractor is responsible for all performance requirements under this Agreement even though performance may be carried out through a subcontract. f. The Subcontractor shall ensure that all subcontracts for services include provision(s) requiring compliance with applicable terms and conditions specified in this Agreement. g. The subcontractor agrees to maintain and preserve, until three years after termination of Agreement No. 21-10349 and final payment from AHP, to permit AHP or DHCS or any duly authorized representative, to have access to, examine or audit any pertinent books, documents, papers and records related to this subcontract and to allow interviews of any employees who might reasonably have information related to such records. h. Unless otherwise stipulated in writing by AHP, the Subcontractor shall be the subcontractor's sole point of contact for all matters related to performance and payment under this Agreement.
i. Subcontractor shall, as applicable, advise all subcontractors of their obligations pursuant to the following numbered provisions of this Exhibit: 1, 2, 3, 4, 5, 6, 7,8, 10, 11, 12, 13, 14, 17, 19, 20, 24, 32 and/or other numbered provisions herein that are deemed applicable.

6. Income Restrictions
Unless otherwise stipulated in this Agreement, the Subcontractor agrees that any refunds, rebates, credits, or other amounts (including any interest thereon) accruing to or received by the Subcontractor under this Agreement shall be paid by the Subcontractor to AHP so that AHP can pay DHCS, to the extent that they are properly allocable to costs for which the Contractor has been reimbursed by AHP under this Agreement.

1. Audit and Record Retention
a. The Subcontractor shall maintain books, records, documents, and other evidence, accounting procedures and practices, sufficient to properly reflect all direct and indirect costs of whatever nature claimed to have been incurred in the performance of this Agreement, including any matching costs and expenses. The foregoing constitutes "records" for the purpose of this provision.
b. The Subcontractor's facility or office or such part thereof as may be engaged in the performance of this Agreement and his/her records shall be subject at all reasonable times to inspection, audit, and reproduction.
c. Subcontractor agrees that AHP, the Department of General Services, the Bureau of State Audits, or their designated representatives including the Comptroller General of the United States shall have the right to review and to copy any records and supporting documentation 40 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 6 of 30 pertaining to the performance of this Agreement. Subcontractor agrees to allow the auditor(s) access to such records during normal business hours and to allow interviews of any employees who might reasonably have information related to such records. Further, the Subcontractor agrees to include a similar right of the State to audit records and interview staff in any subcontract related to performance of this Agreement. (GC 8546.7, CCR Title 2, Section 1896.77)
d. The Subcontractor shall preserve and make available his/her records (1) for a period of three years from the date of final payment under this Agreement, and (2) for such longer period, if any, as is required by applicable statute, by any other provision of this Agreement, or by subparagraphs (1) or (2) below.
(1) If this Agreement is completely or partially terminated, the records relating to the work terminated shall be preserved and made available for a period of three years from the date of any resulting final settlement.
(2) If any litigation, claim, negotiation, audit, or other action involving the records has been started before the expiration of the three-year period, the records shall be retained until completion of the action and resolution of all issues which arise from it, or until the end of the regular three-year period, whichever is later. e. The Subcontractor may, at its discretion, following receipt of final payment under this Agreement, reduce its accounts, books and records related to this Agreement to microfilm, computer disk, CD ROM, DVD, or other data storage medium. Upon request by an authorized representative to inspect, audit or obtain copies of said records, the Subcontractor must supply or make available applicable devices, hardware, and/or software necessary to view, copy and/or print said records. Applicable devices may include, but are not limited to, microfilm readers and microfilm printers, etc.
f. The Subcontractor shall, if applicable, comply with the Single Audit Act and the audit requirements set forth in 2 C.F.R. § 200.501 (2014).

2. Site Inspection
AHP, DHCS and or SAMHSA has the right at all reasonable times to inspect or otherwise evaluate the work performed or being performed hereunder including subcontract supported activities and the premises in which it is being performed. If any inspection or evaluation is made of the premises of the Subcontractor, the Subcontractor shall provide and shall require subcontractors to provide all reasonable facilities and assistance for the safety and convenience of the authorized representatives in the performance of their duties. All inspections and evaluations shall be performed in such a manner as will not unduly delay the work.

3. Federal Contract Funds
a. It is mutually understood between the parties that this Agreement may have been written before ascertaining the availability of congressional appropriation of funds, for the mutual benefit of both parties, in order to avoid program and fiscal delays which would occur if the Agreement were executed after that determination was made. b. This agreement is valid and enforceable only if sufficient funds are made available to the State by the United States Government for the fiscal years covered by the term of this Agreement. In addition, this Agreement is subject to any additional restrictions, limitations, or conditions enacted by the Congress or any statute enacted by the Congress which may affect the provisions, terms or funding of this Agreement in any manner. c. It is mutually agreed that if the Congress does not appropriate sufficient funds for the program, the Agreement shall be amended to reflect any reduction in funds. 41 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 7 of 30 d. AHP and DHCS has the option to invalidate or cancel the Agreement with 30 days advance written notice or to amend the Agreement to reflect any reduction in funds.

4. Intellectual Property Rights
a. Ownership
(1) Except where AHP has agreed in a signed writing to accept a license, AHP or DHCS shall be and remain, without additional compensation, the sole owner of any and all rights, title and interest in all Intellectual Property, from the moment of creation, whether or not jointly conceived, that are made, conceived, derived from, or reduced to practice by Subcontractor or AHP and which result directly or indirectly from this Agreement. (2) For the purposes of this Agreement, Intellectual Property means recognized protectable rights and interest such as: patents, (whether or not issued) copyrights, trademarks, service marks, applications for any of the foregoing, inventions, trade secrets, trade dress, logos, insignia, color combinations, slogans, moral rights, right of publicity, author’s rights, contract and licensing rights, works, mask works, industrial design rights, rights of priority, know how, design flows, methodologies, devices, business processes, developments, innovations, good will and all other legal rights protecting intangible proprietary information as may exist now and/or here after come into existence, and all renewals and extensions, regardless of whether those rights arise under the laws of the United States, or any other state, country or jurisdiction.
(a) For the purposes of the definition of Intellectual Property, “works” means all literary works, writings and printed matter including the medium by which they are recorded or reproduced, photographs, art work, pictorial and graphic representations and works of a similar nature, film, motion pictures, digital images, animation cells, and other audiovisual works including positives and negatives thereof, sound recordings, tapes, educational materials, interactive videos and any other materials or products created, produced, conceptualized and fixed in a tangible medium of expression. It includes preliminary and final products and any materials and information developed for the purposes of producing those final products. Works does not include articles submitted to peer review or reference journals or independent research projects. (3) In the performance of this Agreement, Subcontractor will exercise and utilize certain of its Intellectual Property in existence prior to the effective date of this Agreement. In addition, under this Agreement, Subcontractor may access and utilize certain of AHP’s Intellectual Property in existence prior to the effective date of this Agreement. Except as otherwise set forth herein, Subcontractor shall not use any of AHP’s Intellectual Property now existing or hereafter existing for any purposes without the prior written permission of AHP. Except as otherwise set forth herein, AHP shall not give any ownership interest in or rights to its Intellectual Property to the other Party. If during the term of this Agreement, Subcontractor accesses any third-party Intellectual Property that is licensed to AHP, Subcontractor agrees to abide by all license and confidentiality restrictions applicable to AHP in the third-party’s license agreement.
(4) Subcontractor agrees to cooperate with AHP in establishing or maintaining AHP’s and/or DHCS exclusive rights in the Intellectual Property, and in assuring AHP’s or DHCS’ sole rights against third parties with respect to the Intellectual Property. If the Subcontractor enters into any agreements or subcontracts with other parties in order to perform this Agreement, Subontractor shall require the terms of the Agreement(s) to include all Intellectual Property provisions. Such terms must include, but are not limited to, the subcontractor assigning and agreeing to assign to AHP and/or DHCS all rights, title and interest in Intellectual Property made, conceived, derived from, or reduced to practice by the subcontractor, Contractor or AHP and which result directly or indirectly from this Agreement or any subcontract.
42 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 8 of 30 (5) Subcontractor further agrees to assist and cooperate with AHP/DHCS in all reasonable respects, and execute all documents and, subject to reasonable availability, give testimony and take all further acts reasonably necessary to acquire, transfer, maintain, and enforce AHP’S Intellectual Property rights and interests.
b. Retained Rights / License Rights
(1) Except for Intellectual Property made, conceived, derived from, or reduced to practice by Subcontractor or AHP and which result directly or indirectly from this Agreement, Subcontractor shall retain title to all of its Intellectual Property to the extent such Intellectual Property is in existence prior to the effective date of this Agreement. Subcontractor hereby grants to DHCS, without additional compensation, a permanent, non-exclusive, royalty free, paid-up, worldwide, irrevocable, perpetual, non-terminable license to use, reproduce, manufacture, sell, offer to sell, import, export, modify, publicly and privately display/perform, distribute, and dispose Subcontractor’s Intellectual Property with the right to sublicense through multiple layers, for any purpose whatsoever, to the extent it is incorporated in the Intellectual Property resulting from this Agreement, unless Subcontractor assigns all rights, title and interest in the Intellectual Property as set forth herein.
(2) Nothing in this provision shall restrict, limit, or otherwise prevent Subcontractor from using any ideas, concepts, know-how, methodology or techniques related to its performance under this Agreement, provided that Subcontractor’s use does not infringe the patent, copyright, trademark rights, license or other Intellectual Property rights of AHP or third party, or result in a breach or default of any provisions of this Exhibit or result in a breach of any provisions of law relating to confidentiality.
c. Copyright
(1) Subcontractor agrees that for purposes of copyright law, all works [as defined in Paragraph a, subparagraph (2)(a) of this provision] of authorship made by or on behalf of Subcontractor in connection with Subcontractor’s performance of this Agreement shall be deemed “works made for hire”. Subcontractor further agrees that the work of each person utilized by Subcontractor in connection with the performance of this Agreement will be a “work made for hire,” whether that person is an employee of Subcontractor or that person has entered into an agreement with Subcontractor to perform the work. Subcontractor shall enter into a written agreement with any such person that: (i) all work performed for Subcontractor shall be deemed a “work made for hire” under the Copyright Act and (ii) that person shall assign all right, title, and interest to AHP and/or DHCS to any work product made, conceived, derived from, or reduced to practice by Subcontractor or AHP and which result directly or indirectly from this Agreement.
(2) All materials, including, but not limited to, visual works or text, reproduced or distributed pursuant to this Agreement that include Intellectual Property made, conceived, derived from, or reduced to practice by Contractor or AHP and which result directly or indirectly from this Agreement, shall include AHP’s or DHCS’ notice of copyright, which shall read in 3mm or larger typeface: “© [Enter Current Year e.g., 2010, etc.], This material may not be reproduced or disseminated without prior written permission from AHP.” This notice should be placed prominently on the materials and set apart from other matter on the page where it appears. Audio productions shall contain a similar audio notice of copyright. d. Patent Rights
With respect to inventions made by Subcontractor in the performance of this Agreement, which did not result from research and development specifically included in the Agreement’s scope of work, Subcontractor hereby grants to AHP and/or DHCS a license as described under Section b of this provision for devices or material incorporating, or made through the use of such inventions. If such inventions result from research and development work specifically 43 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 9 of 30 included within the Agreement’s scope of work, then Subcontractor agrees to assign to AHP and/or DHCS, without additional compensation, all its right, title and interest in and to such inventions and to assist AHP and/or DHCS in securing United States and foreign patents with respect thereto.
e. Third-Party Intellectual Property
Except as provided herein, Subcontractor agrees that its performance of this Agreement shall not be dependent upon or include any Intellectual Property of Subcontractor or third party without first: (i) obtaining AHP’s prior written approval; and (ii) granting to or obtaining for AHP and/or DHCS, without additional compensation, a license, as described in Section b of this provision, for any of Subcontractor’s or third-party’s Intellectual Property in existence prior to the effective date of this Agreement. If such a license upon the these terms is unattainable, and AHP determines that the Intellectual Property should be included in or is required for Subcontractor’s performance of this Agreement, Subcontractor shall obtain a license under terms acceptable to AHP and/or DHCS.
f. Warranties
(1) Subcontractor represents and warrants that:
(a) It is free to enter into and fully perform this Agreement. (b) It has secured and will secure all rights and licenses necessary for its performance of this Agreement.
(c) Neither Subcontractor’s performance of this Agreement, nor the exercise by either Party of the rights granted in this Agreement, nor any use, reproduction, manufacture, sale, offer to sell, import, export, modification, public and private display/performance, distribution, and disposition of the Intellectual Property made, conceived, derived from, or reduced to practice by Subcontractor or DHCS or AHP and which result directly or indirectly from this Agreement will infringe upon or violate any Intellectual Property right, non-disclosure obligation, or other proprietary right or interest of any third-party or entity now existing under the laws of, or hereafter existing or issued by, any state, the United States, or any foreign country. There is currently no actual or threatened claim by any such third party based on an alleged violation of any such right by Subcontractor.
(d) Neither Subcontractor’s performance nor any part of its performance will violate the right of privacy of, or constitute a libel or slander against any person or entity. (e) It has secured and will secure all rights and licenses necessary for Intellectual Property including, but not limited to, consents, waivers or releases from all authors of music or performances used, and talent (radio, television and motion picture talent), owners of any interest in and to real estate, sites, locations, property or props that may be used or shown.
(f) It has not granted and shall not grant to any person or entity any right that would or might derogate, encumber, or interfere with any of the rights granted to AHP or DHCS in this Agreement.
(g) It has appropriate systems and controls in place to ensure that state funds will not be used in the performance of this Agreement for the acquisition, operation or maintenance of computer software in violation of copyright laws. (h) It has no knowledge of any outstanding claims, licenses or other charges, liens, or encumbrances of any kind or nature whatsoever that could affect in any way Subcontractor’s performance of this Agreement.
44 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 10 of 30 (2) AHP NOR DHCS MAKE NO WARRANTY THAT THE INTELLECTUAL PROPERTY

RESULTING FROM THIS AGREEMENT DOES NOT INFRINGE UPON ANY PATENT,

TRADEMARK, COPYRIGHT OR THE LIKE, NOW EXISTING OR SUBSEQUENTLY ISSUED.
g. Intellectual Property Indemnity
(1) Subcontractor shall indemnify, defend and hold harmless AHP and DHCS and its licensees and assignees, and its officers, directors, employees, agents, representatives, successors, and users of its products, (“Indemnitees”) from and against all claims, actions, damages, losses, liabilities (or actions or proceedings with respect to any thereof), whether or not rightful, arising from any and all actions or claims by any third party or expenses related thereto (including, but not limited to, all legal expenses, court costs, and attorney’s fees incurred in investigating, preparing, serving as a witness in, or defending against, any such claim, action, or proceeding, commenced or threatened) to which any of the Indemnitees may be subject, whether or not Subcontractor is a party to any pending or threatened litigation, which arise out of or are related to (i) the incorrectness or breach of any of the representations, warranties, covenants or agreements of Subcontractor pertaining to Intellectual Property; or (ii) any Intellectual Property infringement, or any other type of actual or alleged infringement claim, arising out of AHP’s use, reproduction, manufacture, sale, offer to sell, distribution, import, export, modification, public and private performance/display, license, and disposition of the Intellectual Property made, conceived, derived from, or reduced to practice by Subcontractor or DCHS or AHP and which result directly or indirectly from this Agreement. This indemnity obligation shall apply irrespective of whether the infringement claim is based on a patent, trademark or copyright registration that issued after the effective date of this Agreement. AHP reserves the right to participate in and/or control, at Subcontractor’s expense, any such infringement action brought against AHP.
(2) Should any Intellectual Property licensed by the Subcontractor to AHP under this Agreement become the subject of an Intellectual Property infringement claim, Subcontractor will exercise its authority reasonably and in good faith to preserve AHP’s right to use the licensed Intellectual Property in accordance with this Agreement at no expense to AHP. AHP shall have the right to monitor and appear through its own counsel (at Subcontractor’s expense) in any such claim or action. In the defense or settlement of the claim, Subcontractor may obtain the right for AHP to continue using the licensed Intellectual Property; or, replace or modify the licensed Intellectual Property so that the replaced or modified Intellectual Property becomes non-infringing provided that such replacement or modification is functionally equivalent to the original licensed Intellectual Property. If such remedies are not reasonably available, AHP shall be entitled to a refund of all monies paid under this Agreement, without restriction or limitation of any other rights and remedies available at law or in equity.
(3) Subcontractor agrees that damages alone would be inadequate to compensate AHP or DHCS for breach of any term of this Intellectual Property Exhibit by Subcontractor.

Subcontractor acknowledges AHP or DHCS would suffer irreparable harm in the event of such breach and agrees AHP shall be entitled to obtain equitable relief, including without limitation an injunction, from a court of competent jurisdiction, without restriction or limitation of any other rights and remedies available at law or in equity. h. Federal Funding
Based upon this Agreement is funded by the federal government, AHP and DHCS may acquire and maintain the Intellectual Property rights, title, and ownership which results directly or indirectly from the Agreement; except as provided in 37 Code of Federal Regulations part 401.14; however, the federal government shall have a non-exclusive, nontransferable, irrevocable, paidup license throughout the world to use, duplicate, or dispose of such Intellectual Property 45 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 11 of 30 throughout the world in any manner for governmental purposed and to have the permit others to do so.

5.Air or Water Pollution Requirements
Any federally funded agreement and/or subcontract in excess of $100,000 must comply with the following provisions unless said agreement is exempt by law. a. Government contractors agree to comply with all applicable standards, orders, or requirements issued under section 306 of the Clean Air Act (42 USC 7606) section 508 of the Clean Water Act (33 U.S.C. 1368), Executive Order 11738, and Environmental Protection Agency regulations.
b. Institutions of higher education, hospitals, nonprofit organizations and commercial businesses agree to comply with all applicable standards, orders, or requirements issued under the Clean Air Act (42 U.S.C. 7401 et seq.), as amended, and the Clean Water Act (33 U.S.C. 1251 et seq.), as amended.

6.Prior Approval of Training Seminars, Workshops or Conferences Subcontractor shall obtain prior AHP approval of the location, costs, dates, agenda, instructors, instructional materials, and attendees at any reimbursable training seminar, workshop, or conference conducted pursuant to this Agreement and of any reimbursable publicity or educational materials to be made available for distribution. The Subcontractor shall acknowledge the support of the State whenever publicizing the work under this Agreement in any media. This provision does not apply to necessary staff meetings or training sessions held for the staff of the Subcontractor to conduct routine business matters.

7. Confidentiality of Information
a. The Subcontractor and its employees, agents, or subcontractors shall protect from unauthorized disclosure names and other identifying information concerning persons either receiving services pursuant to this Agreement or persons whose names or identifying information become available or are disclosed to the subcontractors as a result of services performed under this Agreement, except for statistical information not identifying any such person.
b. The Subcontractor and its employees, agents shall not use such identifying information for any purpose other than carrying out the subcontractor's obligations under this Agreement. c. The Subcontractor and its employees, agents shall promptly transmit to the AHP Contract Office or Project Manager all requests for disclosure of such identifying information not emanating from the client or person.
d. The Subcontractor shall not disclose, except as otherwise specifically permitted by this Agreement or authorized by the client, any such identifying information to anyone other than AHP without prior written authorization from the AHP Contract Office or Project Manager, except if disclosure is required by State or Federal law.
e. For purposes of this provision, identity shall include, but not be limited to name, identifying number, symbol, or other identifying particular assigned to the individual, such as finger or voice print or a photograph.
f. As deemed applicable by AHP/DHCS, this provision may be supplemented by additional terms and conditions covering personal health information (PHI) or personal, sensitive, and/or confidential information (PSCI). Said terms and conditions will be outlined in one or more 46 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 12 of 30 exhibits that will either be attached to this Agreement or incorporated into this Agreement by reference.

8.Documents, Publications and Written Reports
(Applicable to agreements over $5,000 under which publication, written reports and documents are developed or produced. Government Code Section 7550.) Any document, publication or written report (excluding progress reports, financial reports, and normal contractual communications) prepared as a requirement of this Agreement shall contain, in a separate section preceding the main body of the document, the number and dollar amounts of all agreements and subcontracts relating to the preparation of such document or report, if the total cost for work by nonemployees of the State exceeds $5,000.

9.Human Subjects Use Requirements
(Applicable only to federally funded agreements/grants in which performance, directly or through a subcontract/subaward, includes any tests or examination of materials derived from the human body.) By signing this Agreement, Subcontractor agrees that if any performance under this Agreement or any subcontract or subagreement includes any tests or examination of materials derived from the human body for the purpose of providing information, diagnosis, prevention, treatment or assessment of disease, impairment, or health of a human being, all locations at which such examinations are performed shall meet the requirements of 42 U.S.C. Section 263a (CLIA) and the regulations thereunder.

10. Debarment and Suspension Certification
(Applicable to all agreements funded in part or whole with federal funds.) a. By signing this Agreement, the Subcontractor agrees to comply with applicable federal suspension and debarment regulations including, but not limited to 2 CFR 180, 2 CFR 376 b. By signing this Agreement, the Subcontractor certifies to the best of its knowledge and belief, that it and its principals:
(1) Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded by any federal department or agency; (2) Have not within a three-year period preceding this application/proposal/agreement been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State or local) violation of Federal or State antitrust statutes; commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, tax evasion, receiving stolen property, making false claims, obstruction of justice, or the commission of any other offense indicating a lack of business integrity or business honesty that seriously affects its business honesty; (3) Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal, State or local) with commission of any of the offenses enumerated in Paragraph b(2) herein; and
(4) Have not within a three-year period preceding this application/proposal/agreement had one or more public transactions (Federal, State or local) terminated for cause or default. (5) Have not, within a three-year period preceding this application/proposal/agreement, engaged in any of the violations listed under 2 CFR Part 180, Subpart C as supplemented by 2 CFR Part 376. 47 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 13 of 30 (6) Shall not knowingly enter into any lower tier covered transaction with a person who is proposed for debarment under federal regulations (i.e., 48 CFR part 9, subpart 9.4), debarred, suspended, declared ineligible, or voluntarily excluded from participation in such transaction, unless authorized by the State.
(7) Will include a clause entitled, "Debarment and Suspension Certification'' that essentially sets forth the provisions herein, in all lower tier covered transactions and in all solicitations for lower tier covered transactions.
c. If the Subcontractor is unable to certify to any of the statements in this certification, the Subcontractor shall submit an explanation to AHP and the DHCS Program Contract Manager. d. The terms and definitions herein have the meanings set out in 2 CFR Part 180 as supplemented by 2 CFR Part 376.
e. If the Subcontractor knowingly violates this certification, in addition to other remedies available to the Federal Government, the DHCS may terminate this Agreement for cause or default.

11. Smoke-Free Workplace Certification
(Applicable to federally funded agreements/grants and subcontracts/subawards, that provide health, day care, early childhood development services, education or library services to children under 18 directly or through local governments.)
a. Public Law 103-227, also known as the Pro-Children Act of 1994 (Act), requires that smoking not be permitted in any portion of any indoor facility owned or leaSed or contracted for by an entity and used routinely or regularly for the provision of health, day care, early childhood development services, education or library services to children under the age of 18, if the services are funded by federal programs with directly or through state or local governments, by federal grant, contract, loan or loan guarantee. The law also applies to children’s services that are provided in indoor facilities that are constructed, operated, or maintained with such federal funds. The law does not apply to children’s services provided in private residences; portions of facilities used for inpatient drug or alcohol treatment; service providers whose sole source of applicable federal funds is Medicare or Medicaid; or facilities where WIC coupons are redeemed.
b. Failure to comply with the provisions of the law may result in the imposition of a civil monetary penalty of up to $1,000 for each violation and/or the imposition of an administrative compliance order on the responsible party.
c. By signing this Agreement, Subcontractor or Grantee certifies that it will comply with the requirements of the Act and will not allow smoking within any portion of any indoor facility used for the provision of services for children as defined by the Act. The prohibitions herein are effective December 26, 1994.
d. Subcontractor or Grantee further agrees that it will insert this certification into any subawards (subcontracts or subgrants) entered into that provide for children’s services as described in the Act.

12. Covenant Against Contingent Fees
The Subcontractor warrants that no person or selling agency has been employed or retained to solicit/secure this Agreement upon an agreement of understanding for a commission, percentage, brokerage, or contingent fee, except bona fide employees or bona fide established commercial or selling agencies retained by the Subcontractor for the purpose of securing business. For breach or violation of this warranty, AHP shall have the right to annul this Agreement without liability or in its discretion to deduct from the Agreement price or consideration, or otherwise recover, the fully amount of such commission, percentage, and brokerage or contingent fee. 48 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 14 of 30

13. Payment Withholds
(Applicable only if a final report is required by this Agreement. Not applicable to government entities) Unless waived or otherwise stipulated in this Agreement, AHP may, at its discretion, withold 10 percent (10%) of the face amount of the Agreement, 50 percent (50%) of the final invoice, or $3,000 whichever is greater, until AHP receives a final report that meets the terms, conditions and/or scope of work requirements of this Agreement.

14. Officials Not to Benefit
No members of or delegate of Congress or the State Legislature shall be admitted to any share or part of this Agreement, or to any benefit that may arise therefrom. This provision shall not be construed to extend to this Agreement if made with a corporation for its general benefits.

15. Four-Digit Date Compliance
(Applicable to agreements in which Technology (IT) services are provided to AHP or if IT equipment is procured.)
Subcontractor warrants that it will provide only Four-Digit Compliant (as defined below) Deliverables and/or services to the State. “Four Digit Date compliant” Deliverables and services can accurately process, calculate, compare, and sequence date data, including without limitation date data arising out of or relating to leap years and changes in centuries. This warranty and representation is subject to the warranty terms and conditions of this Agreement and does not limit the generality of warranty obligations set forth elsewhere herein.

16. Prohibited Use of State Funds for Software
(Applicable to agreements in which computer software is used in performance of the work.) Subcontractor certifies that it has appropriate systems and controls in place to ensure that state funds will not be used in the performance of this Agreement fo the acquisition, operation or maintenance of computer software in violation of copyright law.

17. Use of Small, Minority Owned and Women’s Businesses (Applicable to that portion of an agreement that is federally funded and entered into with institutions of higher education, hospitals, nonprofit organizations or commercial businesses.) Positive efforts shall be made to use small businesses, minorty-owned firms and women’s business enterprised, whenever possible (i.e. procurement of goods and/or services). Subcontractors shall take all of the following steps to further this goal.

1. Ensure that small businesses, minority-owned firms, and women’s business enterprises are used to the fullest extent practicable.

2. Make information on forthcoming purchasing and contracting opportunities available and arrange time frames for purchases and contracts to encourage and facilitate participation by small businesses, minority-owned firms, and women’s business enterprises.

3. Consider in the contract process whether firms competing for larger contracts intended to subcontract with small businesses, minority-owned firms, and women’s business enterprises.

4. Encourage contracting with consortiums of small businesses, minority-owned firms, and women’s business enterprises when a contract is too large for one of these firms to handle individually.

5. Use the services and assistance, as appropriate, of such organizations as the Federal Small Business Administration and the U.S. Department of Commerce’s Minority Business Development Agency in the solicitation and utilization of small businesses, minority-owned firms, and women’s business enterprises.

18. Alien Ineligibility Certification
(Applicable to sole proprietors entering federally funded agreements.) By signing this Agreement, the Subcontractor certifies that he/she is not an alien that is ineligible for state and local benefits, as defined in Subtitle B of the Personal Responsibility and Work Opportunity Act. (8 U.S.C. 1601,et seq.)

19. Union Organizing
(Applicable only to grant agreements.)
49 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 15 of 30 Subgrantee, by signing this Agreement, hereby acknowledges the applicability of Government Code Sections 16645 through 16649 to this Agreement. Furthermore, Subgrantee, by signing this Agreement hereby certifies that:
a. No state funds disbursed by this grant will be used to assist, promote, or deter union organizing.
b. Subgrantee shall account for state funds disbursed for a specific expenditure by this grant, to show those funds were allocated to that expenditure.
c. Subgrantee shall, where state funds are not designated as described in herein, allocate, on a pro-rata basis, all disbursements that support the grant program. d. If Subgrantee makes expenditures to assist, promote or deter union organizing, Subgrantee will maintain records sufficient to show that no state funds were used for those expenditures, and that Subgrantee shall provide those records to the Attorney General upon request.

20. Agreement Uniformity (Fringe Benefit Allowability)
(Applicable only to nonprofit organizations.)
Pursuant to the provisions of Article 7 (commencing with Section 100525) of Chapter 3 of Part 1 of Division 101 of the Health and Safety Code, DHCS sets forth the following policies, procedures, and guidelines regarding the reimbursement of fringe benefits. a.As used herein fringe benefits shall mean an employment benefit given by one’s employer to an employee in addition to one’s regular or normal wages or salary. b.As used herein, fringe benefits do not include:

1. Compensation for personal services paid currently or accrued by the Subcontractor for services of employees rendered during the term of this Agreement, which is identified as regular or normal salaries and wages, annual leave, vacation, sick leave, holidays, jury duty and/or military leave/training.

2. Directors and executive committee member’s fees.

3. Incentive awards and/or bonus incentive pay.

4. Allowances for off-site pay.

5. Location allowances.

6. Hardship pay.

7. Cost-of-living differentials.
c. Specific allowable fringe benefits include:

1. Fringe benefits in the form of employer contributions for the employer’s portion of payroll taxes (i.e., FICA, SUI, SDI), employee health plans (i.e. health, dental and vision), unemployment insurance, worker’s compensation insurance, and the employer’s share of pension/retirement plans, provided they are granted in accordance with established written organization policies and meet all legal and Internal Revenue Service requirements. d. To be an allowable fringe benefit, the cost must meet the following criteria:

1. Be necessary and reasonable for the performance of the Agreement.

2. Be determined in accordance with generally accepted accounting principles.

3. Be consistent with policies that apply uniformly to all activities of the Subcontract. e. Subcontractor agrees that all fringe benefits shall be at actual cost.

21. Suspension or Stop Work Notification
a. AHP may, at any time, issue a notice to suspend performance or stop work under this Agreement. The initial notification may be a verbal or written directive issued by the funding Program’s Contract Manager. Upon receipt of said notice, the Subcontractor is to suspend and/or stop all, or any part, of the work called for by this Agreement. a. Written confirmation of the suspension or stop work notification with directions as to what work (if not all) is to be suspended and how to proceed will be provided within 30 working days of 50 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 16 of 30 the verbal notification. The suspension or stop work notification shall remain in effect until further written notice is received from AHP. The resumption of work (in whole or part) will be at AHP’s discretion and upon receipt of written confirmation. (1) Upon receipt of a suspension or stop work notification, the Subcontractor shall immediately comply with its terms and take all reasonable steps to minimize or halt the incurrence of costs allocable to the performance covered by the notification during the period of work suspension or stoppage.
(1) Within 90 days of the issuance of a suspension or stop work notification, AHP shall either:
(a) Cancel, extend, or modify the suspension or stop work notification; or (a) Terminate the Agreement as provided for in the Cancellation / Termination clause of the Agreement.
b. If a suspension or stop work notification issued under this clause is canceled or the period of suspension or any extension thereof is modified or expires, the Subcontractor may resume work only upon written concurrence of AHP.
c. If the suspension or stop work notification is cancelled and the Agreement resumes, changes to the services, deliverables, performance dates, and/or agreement terms resulting from the suspension or stop work notification shall require an amendment to the Agreement. d. If a suspension or stop work notification is not canceled and the Agreement is cancelled or terminated pursuant to the provision entitled Cancellation / Termination, AHP shall allow reasonable costs resulting from the suspension or stop work notification in arriving at the settlement costs.
e. AHP shall not be liable to the Subcontractor for loss of profits because of any suspension or stop work notification issued under this clause.

22. Public Communications
“Electronic and printed documents developed and produced, for public communications shall follow the following requirements to comply with Section 508 of the Rehabilitation Act and the American with Disabilities Act:

A. Ensure visual-impaired, hearing impaired and other special needs audiences are provided material information in formats that provide the most assistance in making informed choices.”

23. Compliance with Statutes and Regulations
a. The Subcontractor shall comply with all California and federal law, regulations, and published guidelines, to the extent that these authorities contain requirements applicable to Subcontractor’s performance under the Agreement.
b. These authorities include, but are not limited to, Title 2, Code of Federal Regulations (CFR) Part 200, subpart F, Appendix II; Title 42 CFR Part 431; subpart F; Title 42 CFR Part 433, subpart D; Title 42 CFR 434; Title 45 CFR Part 75, subpart D; and title 45 CFR Part 95, subpart F. To the extent applicable under federal law, this Agreement shall incorporate the contractual provisions in these federal regulations and they shall supersede any conflicting provisions in this Agreement.

24. Lobbying Restrictions and Disclosure Certification
(Applicable to federally funded agreements in excess of $100,000 per Section 1352 of the 31, U.S.C.) a. Certification and Disclosure Requirements

1. Each person (or recipient) who requests or receives a contract or agreement, subcontract, grant or subgrant, which is subject to Section 1352 of the 31, U.S.C., are which exceeds $100,000 at any tier, shall file a certification (in the form set 51 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 17 of 30 forth in Attachment 1, consisting of one page, entitled “Certification Regarding Lobbying”) that the recipient has not made, and will not make, any payment prohibited by Paragraph b of this provision.

2. Each recipient shall file a disclosure (in the form set forth in Attachment2, entitled “Standard Form-LLL ‘disclosure of Lobbying Activities”) if such recipient has made or has agreed to make any payment using nonappropriated funds (to include profits from any covered federal action) in connection with an agreement, or grant or any extension or amendment of that agreement, or grant, which would be prohibited under Paragraph b of this provision if paid for with appropriated funds.

3. Each recipient shall file a disclosure form at the end of each calendar quarter in which there occurs any event that requires disclosure or that materially affect the accuracy of the information contained in any disclosure from previously filed by such person under Paragraph a(2) herein. An event that materially affects the accuracy of the information reported includes:
a. A cumulative increase of $25,000 or more in the amount paid or expected to be paid for influencing or attempting to influence a covered federal action;
b. A change in the person(s) or individual(s) influencing or attempting to influence a covered federal action; or
c. A change in the officer(s), employee(s), or member(s) contacted for the purpose of influencing or attempting to influence a covered federal action.

4. Each person (or recipient) who requests or receives from a person referred to in Paragraph a(1) of this provision a contract or agreement, subcontract, grant or subgrant exceeding $100,000 at any tier under a contract or agreement, or grant shall file a certification, and a disclosure form, if required, to the next tier above.

5. All disclosure forms (but not certifications) shall be forwarded from tier to tier until received by the person referred to in Paragraph a(1) of this provision. That person shall forward all disclosure forms to AHP Contract Office or Project Manager. b. Prohibition
Section 1352 of Title 31 U.S.C., provides in part that no appropriated funds may be expended by the recipient of a federal contract or agreement, grant, loan or cooperative agreement to pay any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with any of the following covered federal actions: the awarding of any federal contract or agreement, the making of any federal grant, the making of any federal loan, entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, or agreement, grant, loan or cooperative agreement.

25. Avoidance of Conflicts of Interest by Subcontractor

1. AHP intends to avoid any real or apparent conflict of interest on the part of the Subcontractors, or employees, officers and Directors of the subcontractors. This AHP reserves the right to determine, at its sole discretion, whether any information, assertion or claim received from any source indicates the existence of a real or apparent conflict of interest; and, if a conflict is found to exist, to require the Subcontractor to submit additional information or a plan for resolving the conflict, subject to AHP review and prior approval.

2. Conflicts of interest include, but are not limited to:
a. An instance where the subcontractor has an interest, financial or otherwise, whereby the use or disclosure of information obtained while performing services under the Agreement would allow for private or personal benefit or for any purpose that is contrary to the goals and objectives of the Agreement.
b. An instance where the subcontractor's employees, officers, or Directors use their positions for purposes that are, or give the appearance of being, motivated by a desire for private gain for themselves or others, such as those with whom they have family, business or other ties.
52 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 18 of 30

3. If AHP is or becomes aware of a known or suspected conflict of interest, the Subcontractor will be given an opportunity to submit additional information or to resolve the conflict. A Subcontractor with a suspected conflict of interest will have five (5) working days from the date of notification of the conflict by AHP to provide complete information regarding the suspected conflict. If a conflict of interest is determined to exist by AHP and cannot be resolved to the satisfaction of AHP, the conflict will be grounds for terminating the Agreement. AHP may, at its discretion upon receipt of a written request from the Subcontractor, authorize an extension of the timeline indicated herein.

26. Subcontractor Conduct and Filing Requirements
A. When a Subcontractor performs work on DHCS premises, the Subcontractor shall follow and adhere to all DHCS policies and procedures including, but not limited to, those governing health and safety, nondiscrimination, appropriate vehicle use, travel reimbursement, security and confidentiality of information, incompatible activities, acceptable employee conduct, information technology protocols and requirements, workplace violence prevention, and conflict of interest filing instructions (if applicable). Subcontractors may not access DHCS confidential, personal, or sensitive information until they have been trained on the DHCS policies and procedures for information privacy and security and sign a Confidentiality Statement. The training may be accomplished through on-line Privacy/Security Training on the DHCS intranet.

B. Certain Subcontractors designated by the DHCS’ Conflict of Interest Code are required to complete and file a Statement of Economic Interests, Form 700. The Subcontractor agrees that if the Director of DHCS or his/her designee determines that a Statement of Economic Interests, Form 700, is required based upon the nature of the services that are to be performed, the Subcontractor shall be so notified by DHCS and the Subcontractor shall obtain a Form 700 and filing instructions from DHCS’ Personnel Office or the Fair Practices Commission and fully complete the Form 700. The Subcontractor shall file the completed Form 700 in a timely manner with the DHCS Personnel Office and submit a copy to the DHCS Program Contract Manager. Failure to obtain, complete or file a Form 700 in a timely manner as instructed by DHCS, may result in immediate contract termination or Subcontract substitution/replacement.

27. Prohibited Follow-on Subcontracts
A. No person, firm or subsidiary thereof who has been awarded a subcontract agreement may submit a bid for, nor be awarded an agreement for, the provision of services, procurement of goods or supplies, or any other related action which is required, suggested, or otherwise deemed appropriate in the end production of this Subcontract agreement.

B. Paragraph A does not apply at any person, firm or subsidiary thereof who is awarded a subcontract agreement which totals more than 10 percent of the total monetary value of the consulting services agreement.

C. Paragraphs A and B do not apply to subcontract agreements subject to Chapter 10 (commencing with Section 4525) of Division 5 of Title 1 of the Government Code. 53 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 19 of 30 State of California
Department of Health Care Services

CERTIFICATION REGARDING LOBBYING
The undersigned certifies, to the best of his or her knowledge and belief, that:

1. No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress, an officer of employee of Congress, or an employee of a Member of Congress in connection with the making, awarding, or entering into of this Federal contract, Federal grant, or cooperative agreement, and the extension, continuation, renewal, amendment, or modification of this Federal contract, grant or cooperative agreement.

2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing for influencing or attempting to influence an officer or employee of any agency of the United States Government, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant or cooperative agreement, the undersigned shall complete and submit Standard Form LLL, “Disclosure of Lobbying Activities” in accordance with its instructions.

3. The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontractors, subgrants, and contracts under grants and cooperative agreements) of $100,000 or more, and that all subrecipients shall certify and disclose accordingly.

This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S.C., any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.
____________________________________ ___________________________________ Name of Subcontractor Printed Name of Person Signing for Subcontractor ________________________________________ ________________________________________ Contract/Grant Number Signature of Person Signing for Subcontractor ________________________________________ ________________________________________ Date Title
After execution by or on behalf of Subcontractor, please return to:

California Department of Health Care Services

City of Half Moon Bay Robert Nisbet
City Manager
21-10349
54 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 20 of 30

CERTIFICATION REGARDING LOBBYING
Complete this form to disclose lobbying activities pursuant to 31 U.S.C. 1352

1. Type of Federal
Action:
a. Contract
b.Grant
c.Cooperative agreement
d. Loan
e. Loan guarantee
f. Loan insurance

2. Status of Federal Action:
a. bid/offer/application
b. initial award
c. post-award

3. Report Type:
a.Initial filing
b.Material change
For Material Change Only:

Year_____ Quarter______
Date of Last Report______

4. Name and Address of Reporting
Entity:

Prime
Subawardee

Tier_____, if known
Congressional District, if known:

5. If Reporting Entity in No. 4 is a Subawardee, Enter Name and Address of Prime:

Congressional District, if known:

6. Federal Department/Agency: 7. Federal Program Name/Description:

CFDA Number, if applicable, _______

8. Federal Action Number, if known: 9. Award Amount, if known:
$
10a. Name and Address of Lobbying
Registrant
(If individual, last name, first name, MI):
b. Individuals Performing Services (including address if different from 10a.
(Last name, First name, MI):

11. Information requested through this form
is authorized by title 31 U.S.C. section 1352.

This disclosure of lobbying activities is a
material representation of fact upon which
reliance was placed by the tier above when
this transaction was made or entered into.

This disclosure is required pursuant to 31
U.S.C. 1352. This information will be
available for public inspection. Any person
that fails to file the required disclosure shall
be subject to a not more than $100,000 for
each such failure.

Signature:__________________________________
Print Name:_________________________________
Title:______________________________________
Telephone No. ______________________________
Date: ______________________________________
55 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 21 of 30

INSTRUCTIONS FOR COMPLETION OF SF-LLL, DISCLOSURE OF LOBBYING ACTIVITIES This disclosure form shall be completed by the reporting entity, whether subawardee or prime Federal recipient, at the initiation or receipt of a covered Federal action, or a material change to a previous filing, pursuant to U.S.C. section 1352. The filing of a form is required for each payment or agreement to make payment to any lobbying entity for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with a covered Federal action.

Complete all items that apply for both the initial filing and material change report. Refer to the implementing guidance published by the Office of Management and Budget for additional information.

1. Identify the type of covered Federal action for which lobbying activity is and/or has been secured to influence the outcome of a covered Federal action.

2. Identify the status of the covered Federal action.

3. Identify the appropriate classification of this report. If this is a followup report caused by a material change to the information previously reported, enter the year and quarter in which the change occurred. Enter the date and of the last previously submitted report by this reporting entity for this covered Federal action.

4. Enter the full name, address, city, State and zip code of the reporting entity. Include Congressional District, if known. Check the appropriate classification of the reporting entity that designates if it is, or expects to be a prime or subaward recipient. Identify the tier of the subawardee, e.g. the first subawardee of the prime is the first tier.

Subawards include but are not limited to subcontracts, subgrants and contract awards under grants.

5. If the organization filing the report in item 4 checks “Subawardee”, then enter the full name, address, city, State and zip code of the prime Federal recipient. Include Congressional District, if known.

6. Enter the name of the Federal agency making the award or loan commitment. Include at least one organizational level below agency name, in known. For example, Department of Transportation, United States Coast Guard.

7. Enter the Federal program name or description for the covered Federal action (item 1). If known, enter the full Catalog of Federal Domestic Assistance (CFDA) number for grants, cooperative agreements, loans, and loan commitments.
8 Enter the most appropriate Federal identifying number available for the Federal action identified in Item 1 (e.g.

Request for Proposal (RFP) number; Invitation for Bid (IFB); grant announcement number; the contract, grant or loan award number; the application/proposal control number assigned by the Federal agency). Include prefixes, e.g. “RFPDE-90-001”.

9. For a covered Federal acton where there has been an award or loan commitment by the Federal agency, enter the Federal amount of the award/loan commitment for the prime entity identified in item 4 or 5.

10. (a) Enter the full name, address, city, State and zip code of the lobbying registrant under the Lobbying Disclosure Act of 1995 engaged by the reporting entity identified in item 4 to influence the covered Federal action. (b) Enter the full names of the individual(s) performing services, and include full address if different from 10(a).

Enter Last Name, First Name, and Middle Initial (MI).

11. The certifying official shall sign and date the form, print his/her name, title and telephone number.

According to the Paperwork Reduction Act, as amended, no persons are required to respond to a collection of information unless it dispalys a valid OMB Control Number. The valid OMB control number for this information collection is OMN No. 0348-0046. Public reporting burden for this collection of information is estimated to average 10 minutes per response, including time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding the burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to the Office of Management and Budget, Paperwork Reduction Project (0348-0046), Washington, DC 20503.
56 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 22 of 30 Travel Reimbursement Information
(Lodging and Per Diem Reimbursement - Effective for travel on/after January 1, 2021)

1. The following rate policy is to be applied for reimbursing the travel expenses of persons under contract.

The terms "contract" and/or "subcontract" have the same meaning as "grantee" and/or "subgrantee" where applicable.
a. Reimbursement for travel and/or per diem shall be at the rates established for nonrepresented/excl used state employees. Exceptions to California Department of Human Resources (CalHR) lodging rates may be approved by the Department of Health Care Services (DHCS) upon the receipt of a statement on/with an invoice indicating that State employee travel rates are not available.
b. Short Term Travel is defined as a 24-hour period, and less than 31 consecutive days, and is at least 50 miles from the main office, headquarters, or primary residence. Starting time is whenever a contract or subcontract employee leaves his or her home or headquarters. "Headquarters" is defined as the place where the contracted personnel spend the largest portion of their working time and returns to upon the completion of assignments.

Headquarters may be individually established for each traveler and approved verbally or in writing by the program funding the agreement. Verbal approval shall be followed up in writing or email.
c. Contractors on travel status for more than one 24-hour period and less than 31 consecutive days may claim a fractional part of a period of more than 24 hours. Consult the chart appearing on Page 2 of this document to determine the reimbursement allowance. All lodging reimbursement claims must be supported by a receipt*. If a contractor does not or cannot present receipts, lodging expenses will not be reimbursed. 1) Lodging (withreceipts*):

Travel LocationI Area Reimbursement
Rate
AH counties (except the counties identified below) $ 90.00 plus tax Counties of Sacramento, Napa, Riverside $ 95.00 plus tax Marin $110.00plustax
CountiesofLosAngeles (except CityofSanta
Monica), Orange, Ventura, and Edwards AFB
$120.00 plustax
CountiesofMontereyandSanDiego $125.00 plus tax
CountiesofAlameda,SanMateo,andSantaClara $140.00plustax CityofSanta Monica $150.00plustax
San Francisco $250.00 plustax
Reimbursementforactual lodgingexpensesthatexceedtheaboveamountsmaybe allowedwiththe advance approval ofthe Deputy Directorof DHCSorhisor herdesignee. Receipts are required. *Receipts from Internet lodging reservation services such as Priceline.com which require prepayment for that service, ARE NOT ACCEPTABLE LODGING RECEIPTS and are not reimbursable without a valid lodging receipt from a lodging establishment

2.) Meal/Supplemental Expenses: With substantiating receipts, a contractor may claim actual expenses. Incurred up to the following maximum reimbursement rates for each full 24-hour period of travel.
57 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 23 of 30 Meals/Expense Reimbursement Rate
Breakfast $7.00
Lunch $11.00
Dinner $23.00
Incidental expenses $5.00
d. Out-of-state travel may only be reimbursed if such travel is necessitated by the scope or statement of work and has been approved in advance by the program with which the contract is held. For out-of-state travel, contractors may be reimbursed actual lodging expenses, supported by a receipt, and may be reimbursed for meals and supplemental expenses for each 24-hour period computed at the rates listed in c. (2) above. For all outof-state travel, contractors/subcontractors must have prior DHCS written or verbal approval. Verbal approval shall be confined in writing (email or memo). e. In computing allowances for continuous periods of travel of less than 24 hours, consult the Per Diem Reimbursement Guide.
f. No meal or lodging expenses will be reimbursed for any period of travel that occurs within normal working hours unless expenses are incurred at least 50 miles from headquarters.

2. If any of the reimbursement rates stated herein is changed by CalHR, no formal contract amendment will be required to incorporate the new rates. However, DHCS shall inform the subcontractor, in writing, of the revised travel reimbursement rates and the applicable effective date of any rate change. At DHCS' discretion, changes or revisions made by DHCS to this exhibit, excluding travel reimbursement policies established by CalHR may be applied retroactively to any agreement to which a Travel Reimbursement Information exhibit is attached, incorporated by reference, or applied by DHCS program policy. Changes to the travel reimbursement rates stated herein may not be applied earlier than the date a rate change is approved by CalHR.

3. For transportation expenses. The subcontractor must retain receipts for parking; taxi, airline, bus, or rail tickets; car rental; or any other travel receipt pertaining to each trip for attachment to an invoice as substantiation for reimbursement. Reimbursement may be requested for commercial carrier fares; private car mileage; parking fees; bridge tolls; taxi, bus, or streetcar fares; and auto rental fees when substantiated by a receipt.

4. Auto mileage reimbursement: If a subcontractor uses his/her or a company car for transportation, the rate of reimbursement will be 0.56 cents maximum per mile. If a subcontractor uses his/her or a company car "in lieu or airfare, the air coach fare will be the maximum paid by the State. The subcontractor must provide a cost comparison upon request by the State. Gasoline and routine automobile repair expenses are not reimbursable.

5. The subcontractor is required to furnish details surrounding each period of travel. Travel expense reimbursement detail may include, but not be limited to purpose of travel, departure and return times, destination points, miles driven, mode of transportation, etc. Reimbursement for travel expenses may be withheld pending receipt of adequate travel documentation.

6. Subcontractors are to consult with program funding the contract to obtain specific invoicing procedures.
58 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 24 of 30 Per Diem Reimbursement Guide
Length of
travel
period:

And this condition exists:

Meal allowed
with receipt:

Less than
24 hours
• Trip begins at or before 6:00 a.m. and ends at or after 9:00 a.m.
• Trip ends at least one hour after the regularly scheduled workday ends or begins at or before 4:00 p.m. and ends
after 7:00 p.m.

Lunch or Incidentals cannot be claimed on one-day trips.

Breakfast
Dinner
24 hours or
more
• Trip begins at or before 6:00 a.m
• Trip begins at or before 11:00 a.m.

Breakfast
Lunch
• Trip begins at or before 5:00 p.m. Dinner
More than
24 hours
• Trip ends at or after 8:00 a.m.
• Trip ends at or after 2:00 p.m.

Breakfast
Lunch
• Trip ends at or after 7:00 p.m Dinner
The following meals may not be claimed for reimbursement: meals provided by the State, meals included in hotel expenses or conference fees, meals included in transportation costs such as airline tickets, or meals that are otherwise provided. Snacks and/or continental breakfasts such as rolls, juice, and coffee are not considered to be a meal.

No meal expense may be claimed for reimbursement more than once in any given 24-hour period. 59 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 25 of 30 Business Associate Addendum

1. This Agreement has been determined to constitute a business associate relationship under the Health Insurance Portability and Accountability Act (HIPAA) and its implementing privacy and security regulations at 45 Code of Federal Regulations, Parts 160 and 164 (collectively, and as used in this Agreement)

2. The term "Agreement" as used in this document refers to and includes both this Business Associate Addendum and the contract to which this Business Associate Agreement isattached as an exhibit, ifany.

3. For purposes of this Agreement, the term "Business Associate" shall have the same meaning as set forth in 45 CFR section 160.103.

4. Subcontractor, the Covered Entity, understands that Business Associate may create, receive, maintain, transmit to DHCS or aggregate certain information pursuant to the terms of this Agreement, some of which information may constitute Protected Health Information (PHI) and/or confidential information protected by Federal and/or state laws.

4.1 As used inthis Agreement and unless otherwise stated, the term "PHI" refers to and includes both "PHI" as defined at 45 CFR section 160.103 and Personal Information (Pl) as defined in the Information Practices Act (IPA) at California Civil Code section 1798.3(a).

PHI includes information in any form, including paper, oral, and electronic.

4.2 As used in this Agreement, the term "confidential information" refers to information not otherwise defined as PHI in Section 4.1 of this Agreement, but to which state and/or federal privacy and/or security protectionsapply.

5. Business Associate is acting on DHCS’s behalf and provides services or arranges, performs or assists in the performance of functions or activities on behalf of DHCS, and may create, receive, maintain, transmit, aggregate, use or disclose PHI (collectively, "use or disclose PHI") in order to fulfill Business Associate's obligations under this Agreement. Business Associate and Subcontractor are each a party to this Agreement and are collectively referred to as the "parties."

6.The terms used inthis Agreement, but not otherwise defined, shall have the same meanings as those terms in HIPAA and/or the IPA. Any reference to statutory or regulatory language shall be to such language as in effect or as amended.

7. Permitted Uses and Disclosures of PHI by Business Associate. Except as otherwise indicated in this Agreement, Business Associate may use or disclose PHI, inclusive of de-identified data derived from such PHI, only to perform functions, activities or services specified in this Agreement on behalf of Covered Entity, provided that such use or disclosure would not violate HIPAA or other applicable laws if done by Business Associate.

7.1 Specific Use and Disclosure Provisions. Except as otherwise indicated in this Agreement, Business Associate may use and disclose PHI if necessary for the proper management and administration of the Business Associate or to carry out the legal responsibilities of the Business Associate. Business Associate may disclose PHI for this purpose if the disclosure is required by law, or the Business Associate obtains reasonable assurances from the person to whom the information is disclosed that it will be held confidentially and used or further disclosed only as required by law or for the purposes for which it was disclosed to the person. The person shall notify the Business Associate of any instances of which the person is aware that the confidentiality of the information has been breached, unless such person is a treatment provider not acting as a business associate of Business Associate.

8. Compliance with other Applicable Law

8.1 To the extent that other state and/or federal laws provide additional, stricter and/or more protective (collectively, more protective) privacy and/or security protections to PHI or other confidential information covered under this Agreement beyond those provided through 60 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 26 of 30 HIPAA, Business Associate agrees:

8.1.1 To comply with the more protective of the privacy and security standards set forth in applicable state or federal laws to the extent such standards provide a greater degree of protection and security than HIPAA or are otherwise more favorable to the individuals whose information is concerned: and

8.1.2 To treat any violation of such additional and/or more protective standards as a breach or security incident, as appropriate, pursuant to Section 18. of this Agreement.

8.2 Examples of laws that provide additional and/or stricter privacy protections to certain types of PHI and/or confidential information, as defined in Section 4. of this Agreement, include, but are not limited to the Information Practices Act. California Civil Code sections 1798-1798.78, Confidentiality of Alcohol and Drug Abuse Patient Records, 42 CFR Part 2, Welfare and Institutions Code section 5328, and California Health and Safety Code section 11845.5.

8.3 If Business Associate is a Qualified Service Organization (QSO) as defined in 42 CFR section 2.11, Business Associate agrees to be bound by and comply with subdivisions (2)(i) and (2)(ii) under the definition of QSO in 42 CFR section 2.11.

9. Additional Responsibilities of Business Associate

9.1 Nondisclosure. Business Associate shall not use or disclose PHI or other confidential information other than as permitted or required by this Agreement or as required by law.

9.2 Safeguards andSecurity.

9.2.1 Business Associate shall use safeguards that reasonably and appropriately protect the confidentiality, integrity, and availability of PHI and other confidential data and comply, where applicable, with subpart C of 45 CFR Part 164 with respect to electronic protected health information, to prevent use or disclosure of the information other than as provided for by this Agreement. Such safeguards shall be based on applicable Federal Information Processing Standards (FIPS) Publication 199 protection levels.

9.2.2 Business Associate shall, at a minimum, utilize an industry-recognized security framework when selecting and implementing its security controls, and shall maintain continuous compliance with its selected framework as it may be updated from time to time. Examples of industry-recognized security frameworks include but are not limited to

9.2.2.1 NIST SP 800-53 - National Institute of Standards and Technology Special Publication 800-53

9.2.2.2 FedRAMP - Federal Risk and Authorization Management Program

9.2.2.3 PCI-PCI Security Standards Council

9.2.2.4 ISO/ESC 27002 - International Organization for Standardization/International Electrotechnical Commission standard 27002

9.2.2.5 IRSPUB 1075 -Internal Revenue Service Publication 1075

9.2.2.6 HITRUSTCSF-HITRUSTCommonSecurity Framework

9.2.3 Business Associate shall employ FIPS 140-2 compliant encryption of PHI at rest and in motion unless Business Associate determines it is not reasonable and 61 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 27 of 30 appropriate to do so based upon a risk assessment, and equivalent alternative measures are in place and documented as such. In addition, Business Associate shall maintain, at a minimum, the most current industry standards for transmission and storage of PHI and other confidential information.

9.2.4 Business Associate shall apply security patches and upgrades, and keep virus software up-to­ date, on all systems on which PHI and other confidential information may be used.

9.3 Business Associate's Agent. Business Associate shall ensure that any agents, subcontractors, subawardees, vendors or others (collectively, "agents") that use or disclose PHI and/or confidential information on behalf of Business Associate agree to the same restrictions and conditions that apply to Business Associate with respect to such PHI and/or confidential information.

10. Mitigation of Harmful Effects. Business Associate shall mitigate, to the extent practicable, any harmful effect that is known to Business Associate of a use or disclosure of PHI and other confidential information in violation of the requirements of this Agreement.

11. Access to PHI. BusinessAssociate shall make PHI available in accordance with 45 CFR section 164.524.

12. Amendment of PHI. Business Associate shall make PHI available for amendment and incorporate any amendments to protected health information in accordance with 45 CFR section 164.526.

13. Accounting for Disclosures. Business Associate shall make available the information required to provide an accounting of disclosures in accordance with 45 CFR section 164.528.

14. Compliance with DHCS Obligations. To the extent Business Associate is to carry out an obligation of DHCS under 45 CFR Part 164, Subpart E, comply with the requirements of the subpart that apply to AHP in the performance of such obligation.

15. Access to Practices, Books and Records. Business Associate shall make its internal practices, books, and records relating to the use and disclosure of PHI on behalf of Covered Entity available to Covered Entity upon reasonable request, and to the federal Secretary of Health and Human Services for purposes of determining DHCS' compliance with 45 CFR Part 164, Subpart E.

16. Return or Destroy PH Ion Termination; Survival. At termination of this Agreement, if feasible, Business Associate shall return or destroy all PHI and other confidential information received from, or created or received by Business Associate on behalf of, Covered Entity that Business Associate still maintains in any form and retain no copies of such information. If return or destruction is not feasible, Business Associate shall notify Covered Entity of the conditions that make the return or destruction infeasible, shall determine the terms and conditions under which Business Associate may retain the PHI. If such return or destruction is not feasible, Business Associate shall extend the protections of this Agreement to the information and limit further uses and disclosures to those purposes that make the return or destruction of the information infeasible

17. Special Provision for SSA Data. If Business Associate receives data from or on behalf of Covered Entity that was verified by or provided by the Social Security Administration (SSA data) and is subject to an agreement between Covered Entity, Business Associate shall provide, upon request by Covered Entity, a list of all employees and agents and employees who have access to such data.

18. Breaches and Security Incidents. Business Associate shall implement reasonable systems for the discovery and prompt reporting of any breach or security incident, and take the following steps:

18.1 Notice to OHCS.
62 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 28 of 30

18.1.1 Business Associate shall notify Covered Entity Immediately upon the discovery of a suspected breach or security incident that involves SSA data. This notification will be provided by email upon discovery of the breach. If Business Associate is unable to provide notification by email, then Business Associate shall provide notice by telephone to Covered Entity.

18.1.2 Business Associate shall notify Covered Entity within 24 hours by email (or by telephone if Business Associate is unable to email Covered Entity) of the discovery of the following, unless attributable to a treatment provider that is not acting as a business associate of Business Associate:

18.1.2.1 Unsecured PHI if the PHI is reasonably believed to have been accessed or acquired by an unauthorized person;

18.1.2.2 Any suspected security incident which risks unauthorized access to PHI and/or other confidential information;

18.1.2.3 Any intrusion or unauthorized access, use or disclosure of PHI in violation of this Agreement; or

18.1.2.4 Potential loss of confidential lnformation affecting this Agreement.

Upon discovery of a breach or suspected security incident, intrusion or unauthorized access, use or disclosure of PHI, Business Associate shall take:

18.1.2.5 Prompt action to mitigate any risks or damages involved with the security incident or breach; and

18.1.2.6 Any action pertaining to such unauthorized disclosure required by applicable Federal and State law.

18.2 Investigation. Business Associate shall immediately investigate such security incident or confidential breach.

18.3 Complete Report. To provide a complete report of the investigation to Covered Entity contacts within ten (10) working days of the discovery of the security incident or breach. This "Final PIR" must include any applicable additional information not included in the Initial Form. The Final PIR Form shall include an assessment of all known factors relevant to a determination of whether a breach occurred under HIPAA and other applicable federal and state laws. The report shall also include a full, detailed corrective action plan, including its implementation date and information on mitigation measures taken to halt and/or contain the improper use or disclosure. If Covered Entity requests information in addition to that requested through the PlR form, Business Associate shall make reasonable efforts to provide Covered Entity with such information . A "Supplemental PIR" may be used to submit revised or additional information after the Final PIR is submitted. Covered Entitywill review and approve or disapprove Business Associate's determination of whether a breach occurred, whether the security incident or breach is reportable to the appropriate entities, if individual notifications are required, and Business Associate's corrective action plan.

18.3.1 If Business Associate does not complete a Final PIR within the ten (10) working day timeframe, BusinessAssociateshallrequestapprovalfrom Covered Entity withintheten(10)working day timeframe of a new submission timeframe for the FinalPIR.

18.4 Notification of Individuals. If the cause of a breach is attributable to Business Associate or its agents, other than when attributable to a treatment provider that is not acting as a business associate of Business Associate, Business Associate shall notify individuals accordingly and shall pay all costs of such notifications, as well as all costs associated 63 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 29 of 30 with the breach. The notifications shall comply with applicable federal and state law.

DHCS shall approve the time, manner and content of any such notifications andtheir reviewandapprovalmustbeobtainedbeforethenotifications aremade.

18.5 Responsibility for Reporting of Breaches to Entitles Other than Covered Entity . If the cause of a breach of PHI is attributable to Business Associate or its agents, other than when attributable to a treatment provider that is not acting as a business associate of Business Associate, Business Associate isresponsible for allrequiredreporting of the breachas requiredbyapplicablefederal and statelaw.

19. Responsibility of Covered Entity. Covered Entity agrees to not request the Business Associate to use or disclose PHIin any manner that would not be permissible under HIPAA and/or other applicablefederal and/or state law.

20. Audits, Inspection andEnforcement

20.2 If Business Associate is the subject of an audit, compliance review, investigation or any proceeding that is related to the performance of its obligations pursuant to this Agreement, or is the subject of any judicial or administrative proceeding alleging a violation of HIPAA, Business Associate shall promptly notify Covered Entity unless it is legally prohibited from doing so.

21.Termination

21.1 Termination for Cause. Upon Covered Entity’s knowledge of a violation of this Agreement by Business Associate, Covered Entity may in its discretion:

21.1.1 Provide an opportunity for Business Associate to cure the violation and terminate this Agreement ifBusiness Associate does not do so within the time specified by Covered Entity; or

21.1.2 Terminate this Agreement if Business Associate has violated a material term of this Agreement.

21.2 Judicial or Administrative Proceedings. Covered Entity may terminate this Agreement if Business Associate is found to have violated HIPAA, or stipulates or consents to any such conclusion, in any judicial or administrative proceeding.

22. Miscellaneous Provisions

22.1 Disclaimer. Covered Entity makes no warranty or representation that compliance by Business Associate with thisAgreement will satisfy BusinessAssociate's business needs or compliance obligations. Business Associate is solely responsible for all decisions made by Business Associate regarding the safeguarding of PHI and other confidential information.

22.2. Amendment.

22.2.1 Any provision of this Agreement which is in conflict with current or future applicable Federal or State laws is hereby amended to conform to the provisions of those laws.

Such amendment of this Agreement shall be effective on the effective date of the laws necessitating it and shall be binding on the parties even though such amendment may not have been reduced to writing and formally agreed upon and executed by the parties.

22.2.2 Failure by Business Associate to take necessary actions required by amendments to this Agreement under Section 22.2.1 shall constitute a material violation of this Agreement.
64 ATTACHMENT B | SPECIAL SUBCONTRACT TERMS AND CONDITIONS Page 30 of 30

22.3 Assistance In Litigation or Administrative Proceedings.Business Associate shall make itself and its employees and agents available to Covered Entity at no cost to Covered Entity to testify as witnesses, or otherwise, in the event of litigation or administrative proceedings being commenced against Covered Entity, its directors, officers and/or employees based upon claimed violation of HIPAA, which involve inactions or actions by the Business Associate.

22.4 No Third-Party Beneficiaries. Nothing in this Agreement is intended to or shall confer, upon any thirdpersonanyrightsorremedieswhatsoever.

22.5 Interpretation. The terms and conditions in this Agreement shall be interpreted as broadly as necessary to implement and comply with HIPAA and other applicable laws.

22.6 No Waiver of Obligations. No change, waiver or discharge of any liability or obligation hereunder on any one or more occasions shall be deemed a waiver of performance of any continuing or other obligation, or shall prohibit enforcement of any obligation, on any other occasion.
65 ATTACHMENT C SUBCONTRACTOR CERTIFICATION
Attachment C
Subcontractor Certification
Subcontractor Certification Clause
CCC 04/2017

CERTIFICATION
I, the official named below, CERTIFY UNDER PENALTY OF PERJURY that I am duly authorized to legally bind the prospective Subcontractor to the clause(s) listed below.

This certification is made under the laws of the State of California.

By (Authorized Signature)
____________________________________________________________________________ Printed Name and Title of Person Signing

SUBCONTRACTOR CERTIFICATION CLAUSES
PART I - STATEMENT OF COMPLIANCE:

Subcontractor has, unless exempted, complied with the nondiscrimination program requirements. (GC 12990 (a-f) and CCR, Title 2, Section 11102) (Not applicable to public entities.)
PART II - DRUG-FREE WORKPLACE REQUIREMENTS:

Subcontractor will comply with the requirements of the Drug-Free Workplace Act of 1990 and will provide a drug-free workplace by taking the following actions:
a) Publish a statement notifying employees that unlawful manufacture, distribution, dispensation, possession or use of a controlled substance is prohibited and specifying actions to be taken against employees for violations. b) Establish a Drug-Free Awareness Program to inform employees about:

1. the dangers of drug abuse in the workplace;

2. the person's or organization's policy of maintaining a drug-free workplace;

3. any available counseling, rehabilitation and employee assistance programs; and,

4. penalties that maybe imposed uponemployees for drugabuse violations. 66 ATTACHMENT C SUBCONTRACTOR CERTIFICATION
c) Every employee who works on the proposed Agreement will:

1. Receive a copy of the company's drug-free policystatement; and,

2. agree to abide bythe terms ofthe company's statementas a condition of employment on the Agreement.

Failuretocomplywiththese requirements may result in suspensionof payments undertheAgreement or termination of the Agreement or bothand Subcontractor may be ineligiblefor award of any future State agreements ifthe department determinesthat anyofthefollowing hasoccurred: (1)the Subcontractor hasmade falsecertification, or violated thecertification byfailingtocarry outthe requirementsasnoted above.(GC8350etseq.)
NATIONAL LABOR RELATIONS BOARD CERTIFICATION:

Subcontractor certifies that no more than one (1) final unappealable finding of contempt of court by a Federalcourthasbeen issuedagainstSubcontractor within the immediately precedingtwo-year period becauseofSubcontractorsfailuretocomply with anorderof a FederalcourtwhichordersSubcontractor to comply with an order of the National Labor Relations Board. (PCC 10296) (Not applicable to public entities.)
SUBCONTRACTS FOR LEGAL SERVICES $50,000 OR MORE-PRO BONO REQUIREMENT Subcontractor hereby certifies that subcontractor will comply with the requirements of Section 6072 of the Business and Professions Code, effective January 1,2003.

Subcontractor agrees to make a good faith effort to provide a minimum number of hours of pro bono legal services during each year of the Agreement equal to the lessor of 30 multiplied by the number of full-time attorneys in the firm's offices in the State, with the number of hours prorated on an actual day basis for any Agreement period of less than a full year or 10% of its Agreement with the State.

Failure to make a good faith effort may be cause for non-renewal of a state contract for legal services and may be taken into account when determining the award of future contracts with the State for legal services.

EXPATRIATE CORPORATIONS:

Subcontractor hereby declares that it is not an expatriate corporation or subsidiary of an expatriate corporation within the meaning of Public Contract Code Section 10286 and 10286.1, and is eligible to contract with the State of California.

SWEATFREE CODE OF CONDUCT:
a. All Subcontractors contracting for the procurement or laundering of apparel, garments or corresponding accessories, or the procurement of equipment, materials, or supplies, other than procurement related to a public works Agreement, declare under penalty of perjury that no apparel, garments or corresponding accessories, equipment, materials, or supplies furnished to the state pursuant to the Agreement have been laundered or produced in whole or in part by sweatshop labor, forced labor, convict labor, indentured labor under penal sanction, abusive forms of child labor or exploitation of children in sweatshop labor, or with the benefit of sweatshop labor, forced labor, convict labor, indentured labor under penal sanction, abusive forms of child labor or exploitation of children in sweatshop labor. The subcontractor further declares under penalty of perjury that they adhere to the Sweatfree Code of Conduct as set forth on the California Department of Industrial Relations website located at www.dir.ca.gov and Public Contract Code Section 6108. a. The subcontractor agrees to cooperate fully in providing reasonable access to the 67 ATTACHMENT C SUBCONTRACTOR CERTIFICATION
subcontractor's records, documents, agents or employees, or premises if reasonably required by authorized officials of the contracting agency, the Department of Industrial Relations, or the Department of Justice to determine the subcontractor's compliance with the requirements under paragraph (a).

DOMESTIC PARTNERS
For agreements of $100,000 or more, Subcontractor certifies that Subcontractor is in compliance with Public Contract Code section 10295.3.

GENDER IDENTITY
For agreements of $100,000 or more, Subcontractor certifies that Subcontractor is in compliance with Public Contract Code section 10295.35.

DOING BUSINESS WITH THE STATE OF CALIFORNIA
The following laws apply to persons or entities doing business with the State of California.

CONFLICT OF INTEREST:

Subcontractor needs to be aware ofthe following provisions regardingcurrentorformer state employees. If Subcontractor has any questions on the status of any person rendering services or involved with the Agreement, the awarding agency must be contacted immediately for darification. a. Current StateEmployees(PCC 10410):

1. Noofficeror employeeshallengage in any employment, activity or enterprise from which the officer or employee receives compensation or has a financial interest andwhich is sponsored or funded by any state agency, unlessthe employment, activity or enterprise is required as a conditionofregularstate employment.

2. Noofficer oremployee shall contract onhisor herown behalf asan independentcontractorwith any state agency to provide goods or services.
b. Former State Employees (PCC 10411):

1. Forthe two-year periodfrom the date heor she left state employment, no former state officer or employee may enter into an Agreement in which he or she engaged in any of the negotiations, transactions, planning, arrangements or any part of the decisionmaking process relevant to the Agreement while employed in any capacity byanystate agency.

2. For thetwelve-month periodfromthe date heorshe left state employment, no former state officer or employee may enter into an Agreement with any state agency if he or she was employed by that state agency in a policy-making position in the same general subject area as the proposed Agreement within the 12-month period prior to his or her leavingstate service.

IfSubcontractor violates any provisions of above paragraphs, suchaction by Subcontractorshallrenderthis Agreement void.(PCC10420)
Members of boards and commissions are exemptfrom this section ifthey do not receivepayment otherthan payment of each meetingofthe boardor commission, paymentfor preparatory timeandpaymentfor perdiem. (PCC 10430(e))
LABOR CODE/WORKERS COMPENSATION:

Subcontractor needsto beaware ofthe provisionswhich requireevery employer to be insuredagainstliabilityfor Worker's Compensationortoundertake self-insurance in accordance with the provisions, and Subcontractor affirms to comply with such provisions before commencing the performanceofthe work of this Agreement. 68 ATTACHMENT C SUBCONTRACTOR CERTIFICATION
(LaborCodeSection3700)
AMERICAN WITH DISABLITIES ACT:

Subcontractor assurestheStatethat it complies withtheAmericans with Disabilities Act (ADA) of 1990, which prohibits discrimination on the basis of disability, as well as all applicable regulations and guidelines issued pursuant to the ADA. (42 U.S.C. 12101 et seq.)
SUBCONTRACTORS NAME CHANGE:

An amendment is requiredto change the Subcontractor's name as listed onthis Agreement. Upon receipt of legal documentation of the name change the State will process the amendment. Payment of invoices presented with a new name cannot be paid prior to approval of said amendment.

CORPORATE QUALIFICATION TO DO BUSINESS IN CALIFORNIA:
a) When agreementsareto beperformed in the state by corporations, the contracting agencies will be verifying that the subcontractor is currently qualified to do business in California in order to ensure that all obligations due to the state are fulfilled. b) "Doing business" is defined in R&TC Section 23101 as actively engaging in any transaction for the purpose of financial or pecuniary gain or profit. Although there are some statutory exceptions to taxation, rarely will a corporate subcontractor performing within the state not be subject to the franchise tax.
c) Bothdomestic andforeign corporations (those incorporated outside of California) must be in good standing in order to be qualified to do business in California. Agencies will determine whether a corporation is in good standing by calling the Office of the Secretary ofState.

RESOLUTION:

A county, city,district, or other local public body must provide the State with a copy of a resolution, order, motion, or ordinance of the local governing body which by law has authority to enter into an agreement, authorizing execution of the agreement.

AIR OR WATER POLLUTION VIOLATION:

Under the State laws. the Subcontractor shall not be:(1) in violation of any order or resolution not subject to review promulgated by the State Air Resources Board or an air pollution control district; (2) subject to cease and desist order not subject to review issued pursuant to Section 13301 of the Water Code for violation of waste discharge requirements or discharge prohibitions; or (3) finally determined to be in violation of provisions of federal law relating to air or water pollution.

PAYEE DATA RECORD FORM STD. 204:

This form must be completed by all subcontractors that are not another state agency or other government entity.

1.CALIFORNIA CIVIL RIGHTS LAWS: For Agreement executed or renewed after January 1, 2017, the subcontractor certifies compliance with the Unruh Civil Rights Act (Section 51 of the Civil Code) and the Fair Employment and Housing Act (Section 12960 of the Government Code); and

2.EMPLOYER DISCRIMINATION POLICIES For Agreements executed or renewed after January 1, 2017, if a con Subcontractor has an internal policy against a sovereign nation or peoples recognized by the United States government, the Subcontractor certifies that such policies are not used in violation of the Unruh Civil Rights Act (Section 51 of the Civil Code) and the Fair Employment and Housing Act (Section 12960 of the Government Code).
69 ATTACHMENT D STATEMENT OF WORK
Behavioral Health Justice Intervention Services (BHJIS)

STATEMENTS OF WORK (SOW)
Agency Name: City of Half Moon Bay
Implementation SOW Start Date: February 15, 2022
Implementation SOW End Date: February 14, 2023
Item Billing Code
and
Time Period
Description/Deliverable Amount Due
Date

1. 7460.01-003
Quarter 2
2/15/22-
3/31/22
Activities/Deliverables
a. Project Implementation Plan ($2,112.11)
Contract with El Centro to complete the BHJIS Project
Implementation Plan.
b. Administrative Staffing ($1,496.74)
Contract with El Centro to provide overall project
oversight and management of the grant (“El Centro
Contract”).
c. Direct Services:

Co-Response Interventions ($10,357.14)
Acquire and maintain infrastructure and resources for
startup of direct service team:
• One-time repairs and preparation of existing
van @ $4,642.26
• Prorated gas, maintenance, roadside
assistance, insurance for van @ $638.00
• Office lease costs prorated @ $1276.88
• Office supplies @ $600.00
• Annual general liability, professional liability,
workers compensation insurance @ $3,200.00
Technology Support to Teams ($300.00)
• Purchase mobile phone service plans for four
(4) phones @ $300.00 per month
d. Capacity Building:

Collaboration, coordination, and planning with system
partners ($528.03)
Ongoing Costs El Centro Contract
Quarterly and Final Reporting ($1,320.06)
Ongoing Costs El Centro Contract
$16,114.08 3/31/22

2. 7460.01-003
Quarter 3
4/1/22-
6/30/22
Activities/Deliverables
a. Administrative Staffing ($5,369.60)
Ongoing Costs El Centro Contract
b. Direct Services:

Co-Response Interventions ($3,928.75)
Maintain infrastructure and resources for direct service team:
• Purchase Gas, maintenance, roadside assistance,
insurance for van @ $1,275.75
• Office space lease costs @ $2,553.00 for
quarter.
$12,838.48 6/30/22
70 ATTACHMENT D STATEMENT OF WORK
• Purchase dedicated office supplies @ $100.00
Technology Support to Teams ($900.00)
• Purchase mobile phone service plans for four (4)
staff @ $300.00 per month
e. Capacity Building:

Collaboration, coordination, and planning with system
partners ($528.03)
Ongoing Costs El Centro Contract
Coaching and Learning Collaboratives ($792.04)
Ongoing Costs El Centro Contract
Quarterly and Final Reporting ($1,320.06)
Ongoing Costs El Centro Contract
Year 1 Total $28,952.56

3. 7460.01.003
Quarter 4
7/1/22-
9/30/22
Activities/Deliverables
a. Administrative Staffing ($5,105.61)
Ongoing Costs El Centro Contract
b. Direct Services
Co-Response Interventions ($10,078.28)
• Contract with El Centro to recruit and hire one (1)
full time employee (Emergency Medical
Technician) and one (1) full time employee (SUD
Counselor) (“El Centro Contract 2”).
• Maintain non-technology infrastructure and
resources for direct service team:
o Purchase Gas, maintenance, roadside
assistance, insurance for van @ $1,275.75
o Office space lease costs @ $2,553.00
o Office supplies @ $100.00
Technology Support to Teams ($900.00)
• Purchase mobile phone service plans for four (4)
staff @ $300.00 per month
c. Capacity Building:

Collaboration, coordination, and planning with system
partners ($528.03)
Ongoing Costs El Centro Contract
Coaching and Learning Collaboratives ($2,112.11)
Ongoing Costs El Centro Contract
Quarterly and Final Reporting ($1,320.06)
Ongoing Costs El Centro Contract
$20,044.09 9/30/22

4. 7460.01-003
Quarter 5
10/1/22-
12/31/22
Activities/Deliverables
a. Administrative Staffing ($5,369.60)
Ongoing Costs El Centro Contract
b. Direct Services:

Co-Response Interventions ($71,573.92)
• Ongoing Costs El Centro Contract 2
• Maintain infrastructure and resources for direct
service teams:
$83,808.54 12/31/22
71 ATTACHMENT D STATEMENT OF WORK
o Purchase Gas, maintenance, roadside
assistance, insurance for van @ $1,275.75
o Office space lease costs @ $2,553.00
o Office supplies @ $100.00
Technology Support to Teams ($900.00)
• Purchase mobile phone service plans for four (4)
staff @ $300.00 per month
c. Capacity Building:

Training ($3,324.89)
Contract with El Centro to purchase and participate in
Crisis Intervention Training update for El Centro
management staff (“El Centro Contract 3”).

Collaboration, coordination, and planning with system
partners ($528.03)
Ongoing Costs El Centro Contract
Coaching and Learning Collaboratives ($792.04)
Ongoing Costs El Centro Contract
Quarterly and Final Reporting ($1,320.06)
Ongoing Costs El Centro Contract

5. 7460.01-003
Quarter 6
1/1/23-
2/14/23
Activities/Deliverables
a. Administrative Staffing ($2,552.79)
Ongoing Costs El Centro Contract
b. Direct Services:

Co-Response Interventions ($38,911.76)
• Ongoing Costs El Centro Contract 2
• Maintain infrastructure and resources for direct
service teams:
o Purchase Gas, maintenance, roadside
assistance, insurance for van prorated @
$637.50
o Office space prorated lease costs @ $1,276.88
o Office supplies @ $100.00
Technology Support to Teams ($450.00)
• Purchase mobile phone service plans for four (4)
staff @ $300.00 per month
c. Capacity Building:

Collaboration, coordination, and planning with system
partners ($528.03)
Ongoing Costs El Centro Contract
Coaching and Learning Collaboratives ($2,112.11)
Ongoing Costs El Centro Contract
Quarterly and Final Reporting ($2,640.12)
Ongoing Costs El Centro Contract
$47,194.81 2/14/23
Year 2 Total $151,047.44
CONTRACT TOTAL $180,000.00
72 ATTACHMENT E PAYMENT SCHEDULE

ATTACHMENT E

PAYMENT SCHEDULE

SUBCONTRACTOR FUNDING/BUDGET
City of Half Moon Bay
Quarter #/Date Range Invoice Description Amount of
Invoice
Quarter 2: 02/15/22 – 3/31/22 Progress Report detailing progress made towards Deliverable 1
$16,114.08
Quarter 3: 04/01/22 – 6/30/22 Progress Report detailing progress made towards Deliverable 2
$12,838.48
Quarter 4: 07/01/22 – 9/30/22 Progress Report detailing progress made towards Deliverable 3
$20,044.09
Quarter 5: 10/01/22 – 12/31/22 Progress Report detailing progress made towards Deliverable 4
$83,808.54
Quarter 6: 1/1/23 – 2/14/23 Progress Report detailing progress made towards Deliverable 5
$47,194.81
Total Deliverables and Other Directs $180,000.00
73 BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: Jessica Blair, Communications Director/City Clerk TITLE: DISPLAY OF THE LGBTQ FLAG FOR THE MONTH OF JUNE 2022 AT CITY HALL TO

COMMEMORATE PRIDE MONTH
______________________________________________________________________________ RECOMMENDATION:

Authorize the display of the LGBTQ Progress Flag at City Hall for the month of June 2022.

FISCAL IMPACT:

There is no fiscal impact associated with this item.

STRATEGIC ELEMENTS:

This recommendation supports the Inclusive Governance element of the Strategic Plan.

BACKGROUND:

The City Council of the City of Half Moon Bay wishes to express its support for Pride Month and the Lesbian, Gay, Bisexual, Transgender, and Queer (LGBTQ) community in the United States, and specifically on the Coastside.

The display of the LGBTQ Pride Flag, also known as the Rainbow Flag, and the newer Progress Flag, serves to express the City’s official commemoration of this important event in U.S. history and its commitment to celebrating diversity.

DISCUSSION:

The City Council has adopted a flag policy to establish clear guidelines on the display of all flags, including commemorative or ceremonial flags, at City Hall. The policy established that the City’s flagpoles are not intended to be a forum for free expression by the public.

ATTACHMENT:

LGBTQ Progress Flag Resolution
74 RESOLUTION NO. C-2022-__

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AUTHORIZING THE DISPLAY OF THE LGBTQ FLAG FOR THE MONTH OF JUNE 2022 AT CITY HALL TO

COMMERORATE LGBTQ PRIDE MONTH
WHEREAS, the City Council of the City of Half Moon Bay wishes to express our support for Pride Month and the Lesbian, Gay, Bisexual, Transgender, and Queer (LGBTQ) community in the United States, and
WHEREAS, the display of the LGBTQ Progress Flag serves to express the City’s official commemoration of this important event in U.S. history and its commitment to celebrating diversity, and
WHEREAS, the City’s flagpoles are not intended to be a forum for free expression by the public, and
WHEREAS, the LGBTQ Progress Flag will be flown for the month of June 2022 at City Hall.

NOW, THEREFORE BE IT RESOLVED, that the City Council of the City of Half Moon Bay hereby authorizes the display of the Progress Flag on the City flagpole located in front of City Hall for the month of June 2022 to celebrate and honor LGBTQ Pride month. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 17th day of May 2022 by the City Council of Half Moon Bay by the following vote:

AYES, Councilmembers:

NOES, Councilmembers:

ABSENT, Councilmembers:

ABSTAIN, Councilmembers:

ATTEST: APPROVED:
___________________________ _____________________________ Jessica Blair, City Clerk Debbie Ruddock, Mayor
75

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: John Doughty, Public Works Director
Maz Bozorginia, City Engineer
Denice Hutten, Associate Engineer
TITLE: PROFESSIONAL SERVICES AGREEMENT CONTRACT AWARD FOR THE

PILARCITOS AVENUE/KEHOE WATERCOURSE OUTFALL REPAIR PROJECT (CIP NO. 1005)
_____________________________________________________________________________ RECOMMENDATION:

Adopt a Resolution, authorizing the City Manager to award and execute a Professional Services Agreement (PSA) for the Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project (CIP No. 1005) to the most qualified and responsive proposer, Schaaf and Wheeler Consulting Civil Engineers of Santa Rosa, CA, in the total amount of $217,653.

FISCAL IMPACT:

The FY 21-22 budget has allocated sufficient funds for this contract award, potential contract changes and project management as planned Capital Improvement Project CIP No. 1005.

STRATEGIC ELEMENT:

This action supports the Infrastructure and Environment, Healthy Communities and Public Safety Elements of the Strategic Plan.

BACKGROUND:

The Pilarcitos Avenue storm drain culvert is a 24-inch diameter concrete culvert located at the southerly terminus of Pilarcitos Avenue in the Casa del Mar Subdivision. The 160-foot-long culvert is the final pipe in a network of underground storm drainpipes that collect stormwater runoff from the Subdivision. The culvert discharges the stormwater into the Kehoe watercourse, an intermittent watercourse that runs east to west along the southerly border of the Casa del Mar subdivision.

The Pilarcitos Avenue culvert is in need of repair because its end section—a section about 4 feet long--has detached and fallen into the Kehoe watercourse. There is localized bank and 76

channel erosion in the area of the fallen end section and some concern that the erosion might imminently encroach into private property.

The Kehoe watercourse has been a subject of concern for many years. The channel is incising, and its banks are actively eroding. While the City plans to implement a larger project to stabilize the Kehoe watercourse in upcoming fiscal years, this smaller Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project (Project) has been programed for the current 2021-2022 Fiscal Year Capital Improvement Program.

For the Pilarcitos Avenue Outfall Repair Project, the City anticipates a design that will: provide protection for a 100-year storm event; retain the natural features of the watercourse; prevent negative local and system-wide hydrologic effects; be minimally invasive to minimize disturbance, permitting and mitigation requirements; minimize hard treatments such as concrete and riprap; and, utilize soft treatments—such as vegetation and plantings--to the greatest extent feasible.

Repair work in the Kehoe watercourse will require a number of environmental assessments and permits. The watercourse may be considered jurisdictional under the US Army Corps, California Department of Fish and Wildlife and the Regional Water Quality Control Board. The Project will also require a California Coastal Commission Coastal Development Permit (CDP). A Biological Resource Evaluation (BRE) for the Project was prepared and distributed in October 2021.

In February 2022, the City solicited a request for qualifications/request for proposals for engineering design services for the Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project. The general consultant scope of work is: asses the existing condition of the Pilarcitos Avenue outfall culvert; provide design alternatives for the culvert repair; provide plans, specifications and engineer’s cost estimate for the chosen outfall repair design alternative; provide necessary biological assessments; and, obtain required environmental permitting for the repair.

On March 23, 2022, the city received proposals from three well-qualified firms, each with a history of successful partnerships on prior projects with the City. Two of the firms teamed up with environmental sub-consultants to complete the environmental assessments and permitting portions of the work, while one of the firms proposed to complete the environmental assessments and jurisdictional permitting with its in-house professional staff.

On April 26-28, a City selection committee conducted interviews with each of the proposing firms including members of their environmental assessment and permitting teams. The firms were scored according to a selection matrix that included points for: technical qualifications; experience and performance record; understanding of project; work approach; knowledge of agency regulations and local conditions; schedule of deliverables; and, overall “best fit” for this particular project.

After careful consideration, Schaaf and Wheeler Consulting Engineers was determined to be the most qualified and responsive primary consultant for the Project. The Schaaf and Wheeler team 77

includes the environmental consulting firm of SWCA for biological assessments and environmental permitting work, Kier + Wright for survey and Cornerstone Earth Group for geotechnical review.

City staff met with S&W and SWCA project managers on May 3, 2022, to discuss the pending award of the PSA contract. Upon City staff’s request, S&W and SWCA agreed to make minor modifications to their proposal including an additional task to provide support for the Project Coastal Development Permit. City Planning Staff have historically provided the CDP support inhouse but since there is vacant position the bandwidth is not available to do so on this project.

The design and permitting phases of the project are scheduled to be complete by early summer, 2023. Project construction is anticipated in late summer, 2023. City staff will return to Council for award of the construction-related contracts in 2023.

DISCUSSION:

Schaaf and Wheeler (S&W) specializes in water resources and has completed many outfall design and erosion stabilization projects in the greater Bay Area. Schaaf and Wheeler (S&W) has also partnered with the City on several prior projects including the recent Ocean Colony Pump Station Rehabilitation Project, Kehoe Watercourse Hydrology Study (2015), and the Storm Drain Master Plan Phase I (2016).

S&W’s environmental sub-consultant, SWCA, prepared the Biological Resource Evaluation for the Project and has also worked extensively with the City on both public and private development projects. SWCA has assisted the City with CDP applications on past projects and is well-qualified to provide CDP staff support for the Planning Commission.

Schaaf and Wheeler provides a highly skilled multi-disciplinary team with experience working with and within the City. City staff recommends the City Council to adopt a Resolution authorizing the City Manager to award and execute a Professional Services Agreement (PSA) for the Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project (Project) (CIP No. 1005) to the most qualified and responsive proposer, Schaaf and Wheeler Consulting Civil Engineers of Santa Rosa, CA, in the total amount of $217,653.
.

ATTACHMENTS:

1. Resolution

2. Schaaf and Wheeler Project Proposal

3. Schaaf and Wheeler Project Cost Estimate
78 Resolution No. C-2022-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY

AUTHORIZING THE CITY MANAGER TO AWARD AND EXECUTE A PROFESSIONAL SERVICES

AGREEMENT FOR THE PILARCITOS AVENUE/KEHOE WATERCOURSE OUTFALL REPAIR PROJECT WHEREAS, the City has invited and opened three (3) proposals at the scheduled time, date and place as set forth in the Public Contract Code for the Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project;
WHEREAS, following review of the three proposals and conducting interviews of each team, the most qualified and responsible proposal was determined to be submitted by Schaaf and Wheeler Consulting Engineers of Santa Rosa, California, in the total amount of $217,653; and
WHEREAS, sufficient funds are allocated in the City approved Capital Improvement Program for Fiscal Year 2021-2022 for the recommended contract award.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby accepts all proposals and authorizes the City Manager to award and execute a Professional Services Agreement for the Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project to the most qualified and responsible bidder, Schaaf and Wheeler Consulting Engineers of Santa Rosa, California, in the total amount of $217,653. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 17th day of May 2022 by the City Council of Half Moon Bay by the following vote:

AYES, Councilmembers:

NOES, Councilmembers:

ABSENT, Councilmembers:

ABSTAIN, Councilmembers:

ATTEST: APPROVED:
___________________________ _____________________________ Jessica Blair, City Clerk Debbie Ruddock, Mayor
79 Project Approach and Scope
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Project Approach and Scope
Schaaf & Wheeler’s approach and proposed scope for the Pilarcitos Avenue/Kehoe Watercourse Outfall Repair Project is described below.

Management
Efficient and effective project management will be a key factor in completing the project on time.

Schaaf & Wheeler’s project management approach includes:

1. Developing a team of qualified staff that is familiar with the project and associated requirements:
a. Project Manager, Benjamin L. Shick, PE has been working for the City since 2015 and has successfully completed the design of multiple storm drain pipe, channel, and outfall improvement projects. Ben also has extensive experience managing projects that require biological assessments and environmental permitting. b. Schaaf & Wheeler completed the Keho Ditch Hydrology and Hydraulics Study for the City.
c. SWCA completed the Biological Resources Evaluation for the project in 2021 and has extensive experience working with the City.
d. Kier + Wright completed the topographic surveying of the Kehoe Watercourse that was utilized for the Kehoe Ditch Hydrology and Hydraulics Study. Kier + Wright will expand the survey data to include detailed topography near the storm drain outfall.

2. Outlining critical tasks and phases of work that will impact the schedule (data needs, surveying/basemapping, preliminary design, and environmental permitting).

3. Developing detailed and robust construction documents that accurately reflect existing site conditions.

4. Maintaining close coordination with the City during permitting, design, bid, and construction support.

Condition assessment
Schaaf & Wheeler’s staff is NASSCO PACP (Pipeline Assessment Certification Program) certified and has extensive experience evaluating storm drain infrastructure and recommending repairs. Schaaf & Wheeler will visit the site with City staff to evaluate and document the existing conditions. Schaaf & Wheeler’s subconsultant, Subtronic Corporation, will CCTV inspect the existing storm drain culvert to determine the extent of required repairs. 80 Project Approach and Scope
Schaaf & Wheeler 2
Schaaf & Wheeler’s subconsultant,
Kier + Wright, will perform
topographic surveying at the storm
drain outfall location and
surrounding channel. Kier + Wright
previously surveyed cross sections
of the channel upstream and
downstream of the project site to
develop the hydraulic models used
for the Kehoe Ditch Hydrology and
Hydraulics Study.

Schaaf & Wheeler will expand on
the previous hydraulic analysis to
evaluate the conditions at the storm
drain outfall. Erosion within the
channel will be evaluated to
determine the size and extent of the required outfall and surrounding protection measures.

Design Alternatives
Following the condition assessment and discussions with City staff, Schaaf & Wheeler will develop design alternatives to repair the storm drain culvert and outfall.

Schaaf & Wheeler will work with SWCA to develop alternatives that will be minimally invasive, minimize permitting and mitigation requirements, and provide protection from the 100-year storm event. The
goal will be to
develop alternatives
that retain the
natural features of
the watercourse,
minimize hard
treatments such as
concrete and riprap,
and utilize soft
treatments to the
extent feasible.

The proposed
alternatives will
include recommendations for repairing the storm drain pipe, outfall, and surrounding channel/banks. It is understood that the project will not extend upstream or downstream of the storm drain outfall.
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Environmental & Permitting
Phase 1: Jurisdictional Delineation
SWCA understands that a jurisdictional delineation will be required for the project because the project will include impacts to waters of the U.S., waters of the state, and a stream feature under CDFW’s jurisdiction under Section 1600 of the California Fish and Game Code. For the jurisdictional delineation task, a SWCA biologist, will conduct a background investigation to determine historic and current wetland features of the project and surrounding areas, including delineations performed for previous City infrastructure projects. This will include a review of published soil surveys, historical and current aerial wetland photography, previous biological reports, and records from the National Wetlands Inventory (NWI).

Based on the results of the background investigation and desktop analysis, two SWCA biologists will conduct a formal jurisdictional waters delineation for the purpose of identifying and recording potentially jurisdictional waters within the project area. The delineation will occur concurrently with the BRE field visit. The delineation will follow technical criteria, field indicators, and recommended methods for identifying wetlands and delineating their upland boundaries as established in the 1987 Corps Wetlands Delineation Manual and the Arid West Region supplement to the manual. Jurisdictional areas within the survey areas, including Waters of the U.S. (as defined by the USACE), state jurisdictional areas (as defined by CDFW and the RWQCB), and coastal wetlands (as defined by the California Coastal Commission), will be identified, delineated, and characterized.

SWCA will collect data on plants, hydrology, and soils and record the information on routine wetland data sheets. For non-wetlands or other waters, SWCA will record the width of the feature at the ordinary high water mark (OHWM), the characteristics of the feature that identify the OHWM, plant species in and adjacent to the feature, and other characteristics that would help determine if the feature is jurisdictional. The connectivity of the features in the project area with other Waters of the U.S. will also be assessed to determine the extent of USACE jurisdiction. Sample points and identified jurisdictional boundaries will be mapped and the resulting acreages quantified using a GPS capable of determining positional sub-meter accuracy.

A preliminary jurisdictional wetland delineation (PJD) report will be prepared that will include maps of potentially jurisdictional features and a discussion of temporary and permanent impact acreages. The report will include a discussion of field methods and potential avoidance measures, representative photographs, and GIS maps of potentially jurisdictional wetland features. SWCA will electronically submit the draft PJD report to the City for review.

SWCA will respond to City comments on the PJD report and will prepare a Public Draft of the PJD report for submittal to the USACE. SWCA will prepare a final delineation report for submittal to the USACE based on one round of formal comments received from the USACE or comments made during the USACE field visit.

Assumptions:
 SWCA field staff will have full right of entry/access to all survey areas.  The formal jurisdictional waters delineation will be conducted by two SWCA biologists.  All deliverables will be submitted electronically.
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 One round of consolidated comments from the City will be responded to for the PJD.

Should additional revisions be necessary following review, response to additional comments can be provided under a separate scope and cost estimate.  Up to 4 staff hours have been included to respond the comments from the City.  One round of consolidated comments from the USACE will be responded to for the PJD.

Should additional revisions be necessary following review, response to additional comments can be provided under a separate scope and cost estimate.  Up to 4 staff hours have been included to respond the comments from the USACE.  Field meetings with agency personnel are not included in this scope of work. If field meetings are required, SWCA can provide such services under a separate scope of work and cost estimate.

Phase 2: CEQA Notice of Exemption/Initial Study Checklist Based on SWCA’s understanding of the project scope and potential environmental resources we assume that the project will qualify for Class 1 Categorical Exemption (CE) pursuant to CEQA, applicable for maintenance of existing facilities. SWCA assumes that to use a Class 1 exemption the project scope will consist of repair and minor alteration of an existing culvert/stormwater conveyance with no expansion of the existing use. Furthermore, SWCA assumes that the exceptions to using a CE (CEQA Guidelines Section 153200.2) are not triggered by the project (e.g., significant effects to environmental resources would be avoided with implementation of avoidance and minimization measures).

SWCA will prepare a CEQA Notice of Exemption, which will be supported and accompanied by a brief Initial Study (IS) checklist to provide documentation that there would be no potentially significant effects on the environment from the project, either individually or cumulatively. The brief IS checklist will include a project description, identification of the environmental setting, and review of potential environmental effects using the checklist provided in Appendix G of the State CEQA Guidelines.

An SWCA environmental planer will also be available for attendance at one City Planning Commission meeting to provide technical support, as needed.

Assumptions
 CE exceptions (CEQA Guidelines Section 153200.2) will not be triggered by the project and there will be no significant impacts to biological or cultural resources  The IS checklist will be provided in brief format with references to biological and cultural technical resource studies (i.e., Biological Resources Evaluation [BRE] previously prepared for the project and biological and cultural technical studies described in Phase 3 below)  Additional technical studies (e.g., air quality/greenhouse gas assessment, noise study, traffic impact assessment, water supply assessment, etc.) will not be required.  A total of 42 staff hours are provided for this task. Should additional support be needed for coordination or technical documentation, such services can be provided under a separate scope of work and cost estimate.

Phase 3, Task 1: Permit Applications
The project will result in impacts/fill to water features identified in the BRE as USACE, RWQCB, and/or CDFW jurisdictional. A such, SWCA will prepare a USACE Pre-Construction Notification 83 Project Approach and Scope
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for a Nationwide Permit (NWP) 7 (outfall structures), a RWQCB Section 401 Water Quality Certification application, and a CDFW Lake and Streambed Alteration Agreement (LSAA) Notification. SWCA will prepare draft permit applications for City review and will revise the applications to respond to any comments made by the City before preparing final applications for agency submittal.

We suggest a pre-filing meeting with the RWQCB following completion of the jurisdictional delineation as the RWQCB, although no longer requiring such a meeting, strongly recommends project proponents initiate a pre-filing meeting. Once the project reaches 60% engineering for design (i.e., typical minimum design threshold to base permitted impacts on), SWCA will prepare one Administrative Draft of each required permit application for City review. A final draft of each permit application will be prepared and submitted the applicable agencies following one round of City comment review on Administrative Draft permit applications. Permits will be prepared in accordance with agency guidance including maps and drawings as appropriate.

Once permits are submitted, SWCA will follow-up regularly with the regulatory agencies to keep the permitting process on track.

The project is also anticipated to require a Coastal Development Permit (CDP) in compliance with the City’s Local Coastal Program (LCP). In support of CDP issuance, SWCA will prepare the draft Staff Report and Planning Resolution documents for City review. SWCA will also prepare supporting documentation such as technical information, maps, and avoidance and minimization measures to facilitate completion of the CDP permit application. Technical information will be based upon information already prepared in the biological and cultural resource technical tasks and resource permitting outlined in this proposal. Two SWCA representatives will also be available to attend one CDP application kickoff meeting and one City Planning Commission meeting to coordinate needs of the CDP application and outline expectations and roles. SWCA assumes that completion of CDP tasks will be dependent on issuance of agency resource permits (e.g., Clean Water Act [CWA] Section 404/401, CDFW LSAA) and associated permit measures.

Assumptions:
 All deliverables to the City will be submitted electronically.  One copy of the Streambed Alteration Notification will be submitted to the CDFW, and the USACE PCN and RWQCB WQC application will be submitted electronically.  One round of consolidated comments from the City will be responded to for the draft permit applications. Should additional revisions be necessary following review, response to additional comments can be provided under a separate scope and cost estimate.  Up to 8 staff hours have been included to respond the comments from the City on the draft CDFW, and the USACE PCN and RWQCB WQC permit applications.  Up to 10 staff hours have been included for agency coordination, including the interagency pre-filing meeting.  A total of 12 staff hours have been provided to update the previously prepared BRE, required as an attachment to the CDFW Streambed Alteration Notification, to account for changes in project description and project impact calculations.  SWCA will not prepare the project diversion/dewatering plan required as part of CDFW LSAA Notification and RWQCB WQC applications.
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 A total of 39 staff hours have been provided to prepare the CDP Staff Report and Planning Resolution documents. Included in these hours is 6 hours to respond to one round of City comments on the CDP Staff Report and Planning Resolution.  Technical information prepared to support the CDP application will be populated from the technical tasks described in this proposal.
 Two SWCA representative will attend two virtual or in-person meetings for the CDP application kickoff and City Planning Commission meeting.  The permit application fees will be paid directly by the City.  This scope of work does not include coordination for mitigation, or mitigation fees.

SWCA can provide an amended to scope of work to conduct these services, as needed.  Annual reports are not included but can be provided in a separate scope and cost.

Phase 3, Task 2: Biological Assessments
Based on the findings of the BRE and the associated supporting documentation required for USACE NWP compliance, SWCA will prepare two Biological Assessments (BAs) suitable for use in Endangered Species Act (ESA) Section 7 consultation, one for the USFWS and one for the National Oceanic and Atmospheric Administration (NOAA) Fisheries, and with sufficient information to support the agencies’ preparation of a Biological Opinion, No Effect Determination, or a concurrence on a Not Likely to Adversely Affect Determination. Based on review of the proposed project and knowledge of the project site we anticipate either a No Effect or Not Likely to Adversely Affect Determination to be the appropriate finding. The BAs will include a physical and biological overview of the project area, identification of any federally listed species that may be present, and a determination of project effects to federally listed species.

SWCA will submit an electronic copy of the Draft BAs for review by the City and respond to the City’s comments and submit the Final Draft BAs electronically within 1 week of receipt of comments. SWCA will submit the BAs as part of the NWP package to the USACE and will respond to one round of review from the USFWS and NOAA Fisheries.

Assumptions:
 The BAs will rely upon information collected during the field visit for the BRE (Phase 2, Task 2).
 This task does not include field surveys in support of the BA.  All deliverables will be submitted electronically.
 One round of consolidated comments from the City will be responded to for the BAs.

Should additional revisions be necessary following review, response to additional comments can be provided under a separate scope and cost estimate.  Up to 8 staff hours have been included to respond to comments from the City.  Up to 8 staff hours have been included to respond to comments from the USFWS and NOAA Fisheries.

Phase 3, Task 3: National Historic Preservation Act Section 106 Compliance National Historic Preservation Act (NHPA) Section 106 compliance will be required for the project as part of the USACE NWP application. SWCA will work with the City and initiate 85 Project Approach and Scope
Schaaf & Wheeler 7
consultation with the State Historic Preservation Officer (SHPO) to develop the Area of Potential Effect (APE) for both direct and indirect effects. SWCA will conduct a records search for the proposed project area at the California Historical Resources Information System’s Northwest Information Center, located at Sonoma State University. Specifically, SWCA will obtain records of cultural resources located within a 0.5-mile radius surrounding the project area, as well as copies of previous studies that intersect the project area. Upon confirmation that the APE is acceptable, the records search and initial Native American consultation efforts will occur prior to initiation of fieldwork, which will maximize efficiency of work efforts and continued consultation with SHPO and tribal representatives.

SWCA will assist the City with Native American consultation, in compliance with Assembly Bill (AB) 52, as applicable. In coordination with the City, SWCA will contact the Native American Heritage Commission (NAHC) to request a Sacred Lands File search and a list of Native American contacts. This list will be supplemented with any tribal representatives who have submitted requests to the City to be included in consultation through AB 52. Upon receipt of the Sacred Lands File search, SWCA will prepare and mail letters to each of the tribal contacts, requesting information, in writing, concerning Native American religious or cultural resources within or immediately adjacent to the project area. Up to two calls will be made to each of the Native American groups on the NAHC list to document good-faith efforts to follow-up.

SWCA will conduct a Cultural Resources Phase I Survey of the area of direct impacts associated with the proposed project. SWCA will survey the APE for evidence of cultural resources. Upon completion of the field survey, SWCA will prepare a Cultural Resources Phase I Survey Report, which will document the results of the records search, Native American consultation up to the date of the report, and field survey. The report will include maps depicting the area surveyed for cultural resources. Locations of sensitive archaeological sites or tribal cultural resources may be depicted or described in the report and will be considered confidential, in which case the report may not be distributed to the public. Following response to one round of City comments, SWCA will finalize the Phase I Survey Report for ultimate submittal to the USACE and SHPO.

SWCA understands that a federal nexus is anticipated, requiring compliance with Section 106 of the NHPA. In addition to requiring identification and evaluation of historical resources that may be affected by a proposed project, compliance with Section 106 entails consultation with interested members of the public, including individuals, organizations, and agencies (such as the California Office of Historic Preservation). SWCA will assist the lead agency with Section 106 compliance by contacting any interested parties, on its behalf, who may have knowledge of cultural resources in the project area. Under this task, SWCA will prepare draft letters to be sent to interested parties and will place one round of follow-up phone calls.

If the project APE is found to contain historic properties, as described under Section 106 of the NHPA, additional cultural studies would be necessary. SWCA can prepare the analysis and facilitate consultation with SHPO and interested parties, and conduct required tasks such as archaeological delineation (Extended Phase I), evaluation (Phase II testing), and data recovery; preparation of a Finding of Effects; and a Memorandum of Agreement. Such support would be provided at additional cost.

Assumptions:
 SWCA field staff will have full right of entry/access to all survey areas. 86 Project Approach and Scope
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 SWCA assumes that the area of direct impacts for the survey will be up to 1 acre.  One round of consolidated comments from the City will be responded to for the Phase I Survey Report. Should additional revisions be necessary following review, response to additional comments can be provided under a separate scope and cost estimate.  Up to 4 staff hours have been included to respond the comments from the City.  No more than 6 hours of labor for revisions to the Cultural Resources Technical Report will be necessary following review by USACE and/or SHPO. All reports will be transmitted electronically; no hard copies will be provided.
 The CHRIS records search will be conducted at standard rates (no rush request required) and the direct cost will not exceed $750.
 The cultural resources survey will be negative. No archaeological or built environment resources will be identified which require recordation or evaluation.  SWCA will provide up to 8 hours of Section 106 agency consultation support.  One (1) draft and one (1) final version of the report will be required. All reports will be transmitted electronically; no hard copies will be provided.

Phase 3, Task 4: Restoration and Monitoring Plan
The SWCA team has experience in all forms of restoration and mitigation to fulfill the project needs for restoration and revegetation once the outfall repair work is complete. Early restoration planning provides opportunities to dispel many of the public and agency concerns and generate positive stakeholder relations, paving a permitting pathway for environmentally sensitive projects. Our knowledge of local and regional native plant species and strong relationships with the local regulatory agencies help provide our clients with restoration and revegetation plans that are both practical to execute and reliable in efficacy.

SWCA understands that the project will require development of a Restoration and Monitoring Plan (RMP) to satisfy measures to be listed in project permits (e.g., CWA Section 404/401, CDFW LSAA Notification, CDP). SWCA will prepare an RMP that will detail post-construction restoration methods including revegetation of impacted areas, tree replanting methods, restoration of the site to pre-construction contours, any irrigation requirements, fertilization, topsoil preservation, seed mixes, and the success criteria for evaluating restoration efforts. The RMP will also include a preliminary restoration planting figure that identifies the locations of planting zones and associated plant palettes for the project. The RMP will also detail a multiyear (five years or longer) plan to conduct annual monitoring and maintenance of all plantings, including provisions for assessing relative condition of plantings, and for ongoing irrigation, weed management, small mammal/herbivory control, and replacement plantings, as needed.

The revegetation information summarized in the RMP will then be used to develop a final planting plan and specifications for a qualified contractor to implement the revegetation components of the project. This individual plan sheet will be provided by SWCA for incorporation into the overall construction document set by the project engineer. The planting plan will detail the number and size/form (seeds versus seedlings, container sizes, etc.) of each plant species designated for planting; the distribution of plantings by species; notes regarding obtaining and preparing planting materials (on-site collection of seeds or cuttings, nurserygrown stock, plant tubes/cages, etc.); soil preparation and fertilization (only if necessary), planting, and any plant caging requirements.
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Assumptions:
 Due to the unknown extent and type of revegetation that will be required, an irrigation plan is not currently included in this scope of work but can be provided under a separate contract if required for the project (based upon the watering needs of the vegetation that is installed for the project).
 The RMP and subsequent planting plan and specifications will each be revised up to two (2) times based upon feedback from the City and regulatory agencies.  A base map and titleblock for the construction plans will be provided to SWCA in Autocad format by the project engineer.
 Any required revegetation will be located immediately adjacent to the outfall and will be covered by the base map developed by the project engineer, and no other restoration / mitigation locations will need to be identified or developed for the project.

Bid Documents
Once a design alternative is selected by the City and project team, Schaaf & Wheeler will proceed with preparing detailed design documents for the proposed improvements. It is anticipated that design documents will be submitted to the City at the 65%, 95%, and final bid document stages.

The 65% bid documents will be utilized for environmental permitting purposes. Once all permits are received, the final bid documents will be developed. The final bid documents will be adjusted to include permit requirements and constraints. The permits will also be included as attachments to the technical specifications.

Schaaf & Wheeler’s geotechnical subconsultant, Cornerstone Earth Group, will provide geotechnical support services during design. Cornerstone will provide peer review of the design and will be available to review and respond to geotechnical related questions during the permitting process. This scope does not include geotechnical investigations or borings; however, they can be provided for an additional fee if deemed necessary.

Construction Support Services
Construction support services are not included within this scope of services; however, it can be provided for an additional scope and fee upon request.
88 Hourly Rate $250 $200 $185
Task 1 Project Meetings 8 0 8 3,480 $ - $ - $ - $ - $ - $ 3,480 $ A Kickoff Meeting & 3 Progress Meetings (virtual) 8 8 3,480 $ - $ 3,480 $ Task 2 Condition Assessment 16 0 24 8,440 $ - $ 8,500 $ 1,020 $ 3,450 $ 649 $ 22,059 $ A Site Visit 8 8 3,480 $ 1,020 $ 51 $ 4,551 $
B Topographic Surveying 2 500 $ 8,500 $ 425 $ 9,425 $
C CCTV Inspection 2 500 $ 3,450 $ 173 $ 4,123 $
D Hydraulic Analysis 4 16 3,960 $ - $ 3,960 $
Task 3 Design Alternatives 10 16 40 13,100 $ - $ - $ - $ - $ - $ 13,100 $ A Develop Design Alternatives 8 16 32 11,120 $ - $ 11,120 $ B Prepare Summary Memorandum 2 8 1,980 $ - $ 1,980 $
Task 4 Environmental Permitting 16 40 0 12,000 $ 112,919 $ - $ 1,370 $ - $ 5,714 $ 132,003 $ A Jurisdictional Delineation $ 9,201 - $ 460 $ 9,661 $
B CEQA Notice of Exemption / Initial Study
Checklist $ 6,880 - $ 344 $ 7,224 $
C Permit Applications 16 40 12,000 $ 37,350 $ 1,370 $ 1,936 $ 52,656 $ D Biological Assessments $ 18,780 - $ 939 $ 19,719 $
E
National Historic Preservation Act Section 106
Compliance $ 15,177 - $ 759 $ 15,936 $
F Restoration and Monitoring Plan $ 25,531 - $ 1,277 $ 26,808 $ Task 5 65% Design 11 24 34 13,840 $ - $ - $ 1,720 $ - $ 86 $ 15,646 $ A Prepare 65% Plans 4 8 32 8,520 $ 1,720 $ 86 $ 10,326 $ B Prepare 65% Estimate 1 2 620 $ - $ 620 $
C Prepare 65% Technical Specifications 6 16 4,700 $ - $ 4,700 $ Task 6 95% Design 18 24 44 17,440 $ - $ - $ - $ - $ - $ 17,440 $ A Prepare 95% Plans 8 12 40 11,800 $ - $ 11,800 $
B Prepare 95% Estimate 2 370 $ - $ 370 $
C Prepare 95% Technical Specifications 6 12 3,900 $ - $ 3,900 $ D Prepare 95% Front End Documents 4 2 1,370 $ - $ 1,370 $ Task 7 Final Bid Documents 18 24 25 13,925 $ - $ - $ - $ - $ - $ 13,925 $ A Prepare Final Plans 8 12 24 8,840 $ - $ 8,840 $
B Prepare Final Estimate 1 185 $ - $ 185 $
C Prepare Final Technical Specifications 6 12 3,900 $ - $ 3,900 $ D Prepare Final Front End Documents 4 1,000 $ - $ 1,000 $ TOTAL 97 128 175 82,225 $ 112,919 $ 8,500 $ 4,110 $ 3,450 $ 6,449 $ $ 217,653 SWCA - Environmental Permitting Kier & Wright - Surveying Cornerstone - Geotec Subtronic - CCTV Inspection City of Half Moon Bay
Pilarcitos Ave/Kehoe Watercourse
Outfall Repair Project
Schaaf & Wheeler
Fee Proposal - May 6, 2022
Assistant Engineer
Schaaf & Wheeler SubtotalTotal
Project ManagerAssociate Engineer
Subconsultant Markup (5%)
89

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: Lisa Lopez, Administrative Services Director
Kenneth Stiles, Senior Accountant
TITLE: QUARTERLY FINANCIAL REPORT FOR THE THIRD QUARTER OF FISCAL YEAR 2021- 22 ______________________________________________________________________________ RECOMMENDATION:

Accept the Quarterly Financial Report for the 3rd Quarter of Fiscal Year 2021-22 FISCAL IMPACT:

There is no fiscal impact with the acceptance of this report.

STRATEGIC ELEMENT:

This recommendation supports the Fiscal Sustainability and Inclusive Governance Elements of the Strategic Plan.

BACKGROUND:

One of the City Council strategic priorities includes planning for and implementing long-term financial stability. A key component of this goal includes preparing a quarterly financial report that would provide readers with an executive summary of the City’s current financial conditions as it relates to the annual operating budget to ensure accountability and transparency in managing public funds.

DISCUSSION:

As stated in the attached report, although revenues have and will continue to be impacted due to COVID-19, the fiscal condition of the City appears to be better that what was initially anticipated in May 2019. With the information available, staff holds no great concern for financial stability for the current fiscal year; however, will continue to monitor any changes that may impact the City. In addition, although revenues are performing well, staff recommends no further adjustments as the budget for next fiscal year is in development.

ATTACHMENT:

Third Quarter Financial Report as of March 31, 2022
90 CITY OF HALF MOON BAY
Quarterly Financial Report
March 31, 2022 – 75% of Year Complete
Prepared By:

Administrative Services Department
91 Funds Actual % of Budget Actual % of Budget
General Fund 14,741,017 75% 15,121,291 70.5%
Special Revenue Funds 5,980,121 49% 3,878,971 23.5%
Sewer Operations 5,114,869 76% 5,192,436 77.6%
Sewer Capital 183,346 102% 2,881,107 60.7%
Internal Service Funds 1,373,111 99% 932,247 56.1%
Pension Stabilization Fund 1,043,727 100% 1,041,748 100.0% TOTAL FOR ALL FUNDS 28,436,190 69% 29,047,800 55.7%
Revenues Expenditures
0% 20% 40% 60% 80% 100%
General Fund
Special Revenue Funds
Sewer Operations
Sewer Capital
Internal Service Funds
Revenue & Expenditure Summary
Revenues to Budget Expenditures to Budget
92 Department Budget Actual % of
Budget
Prior Year
Actual
Prior Year
% of Actuals
Transient Occupancy Tax 7,200,000 5,501,484 76% 2,567,846 $ 53% Property Taxes 3,349,286 2,215,448 66% 2,228,349 $ 62%
Sales & Use Tax 2,983,400 1,859,601 62% 1,574,743 $ 57% Franchise Tax 838,900 346,483 41% 323,569 $ 46%
Business License Tax 314,000 288,996 92% 275,850 $ 91%
Charges for Services 1,711,896 1,543,263 90% 1,419,047 $ 70% Interest and Investment 87,700 44,035 50% 60,008 $ -459% Other Revenues 2,430,115 2,560,007 95% 1,523,775 $ 81%
Transfers in 511,395 511,395 100% 528,923 $ 100%
TOTAL 19,556,584 14,740,819 75% 10,502,108 63%
0% 20% 40% 60% 80% 100%
Transient Occupancy Tax
Property Taxes
Sales & Use Tax
Franchise Tax
Business License Tax
Charges for Services
Interest and Investment
General Fund Revenue Summary
Revenues to Budget
75%
93 Department Budget Actual % of
Budget
Prior Year
Actual
Prior Year
% of Actuals
Administrative Services 1,200,519 795,230 66% 858,190 $ 66% City Clerk / Communications 939,293 552,303 59% 526,836 $ 73% City Council 215,739 106,487 49% 103,229 $ 62%
City Managers Office 7,188,100 5,249,863 73% 3,948,178 $ 61% Community Development 1,800,137 1,115,370 62% 1,014,139 $ 72% Public Works 3,411,219 2,021,068 59% 1,957,314 $ 73%
Debt Service 1,371,686 661,448 48% - $ 0%
Non-Departmental - - - $ 0%
Operating Transfers 1,871,542 1,872,144 100% 1,789,178 $ 100% Capital Transfers 3,447,577 2,747,577 80% 1,578,601 $ 100% TOTAL 21,445,811 15,121,489 70.5% 11,775,665 73%
0% 20% 40% 60% 80% 100%
Administrative Services
City Clerk / Communications
City Council
City Managers Office
Community Development
Public Works
Debt Service
Capital Transfers
General Fund Expenditure Summary
Expenditures to Budget
75%
94 GENERAL FUND ANALYSIS:

The General Fund is the primary operating fund of the City and is used to account for most operating activities. Table 1 below provides year-to-date through the second quarter comparable data for the current fiscal year and the prior year.

Through the third quarter, the city received $14.7 million of revenues for the fiscal year.

Revenues have generally increased due to the recovery of tourism and the receipt of the ARPA funds. While last year revenues were 63%, current fiscal year revenues are 75% of budget.

Expenditures through the third quarter total $15.1 million. Although higher than the prior year, the increase is due to the return of spending after a COVID impacted year. Expenditures are tracking at 70.5% of budget.

Revised
Budget
Actuals as of
03/31/2022
% of
Budget
Final
Actuals
Actuals as of
03/31/2021
% of
Actuals
Revenues
Transient Occupancy Tax 7,200,000 5,501,484 76% 4,817,532 2,567,846 53% Property Taxes 3,349,286 2,215,448 66% 3,586,408 2,228,349 62% Sales & Use Tax 2,983,400 1,859,601 62% 2,763,035 1,574,743 57% Franchise Tax 838,900 346,483 41% 707,353 323,569 46%
Business License Tax 314,000 288,996 92% 301,754 275,850 91% Charges for Services 1,711,896 1,543,263 90% 2,039,910 1,419,047 70% Interest and Investment 87,700 44,035 50% (13,081) 60,008 -459% Other Revenues 2,560,007 2,430,115 95% 1,869,968 1,523,775 81% Transfers in 511,395 511,395 100% 528,923 528,923 100%
Total Revenues 19,556,584 14,740,819 75% 16,601,802 10,502,108 63% Expenditures
Administrative Services 1,200,519 795,230 66% 1,295,683 858,190 66% City Clerk / Communications 939,293 552,303 59% 721,317 526,836 73% City Council 215,739 106,487 49% 166,491 103,229 62%
City Managers Office 7,188,100 5,249,863 73% 6,431,717 3,948,178 61% Community Development 1,800,137 1,115,370 62% 1,413,980 1,014,139 72% Public Works 3,411,219 2,021,068 59% 2,698,276 1,957,314 73% Debt Service 1,371,686 661,448 48% - -
Non Departmental - - - -
Operating Transfers 1,871,542 1,872,144 100% 1,789,178 1,789,178 100% Capital Transfers 3,447,577 2,747,577 80% 1,578,601 1,578,601 100% Total Expenditures 21,445,811 15,121,489 70.5% 16,095,243 11,775,665 73% FY 2021-22 FY 2020-21
Table 1: Third Quarter Budget to Actual Comparison
95 Revenues
Table 2 below shows a year-to-date summary of actual revenues through the second quarter for fiscal years 2021-22 and 2020-21.
 Transient Occupancy Tax: The City has received $5.5 million through the third quarter.

This is an increase of $2.9 million from the prior year. The increase in revenue is due to the strong recovery of tourism, a recent increase to the TOT tax rate as approved by voters, and the recent receipt of County funds for the purchase of a hotel. This revenue stream is at 76% of budget compared to the prior year’s 53%. Considering the strong performance, the City is expecting to receive more than the budget.

 Property Taxes: Most property tax funds are received in December and April. $2.2 million in revenues have been received thus far. Property taxes are at 66% of budget as compared to the prior year’s 62%.

 Sales & Use Taxes: The City received $1.8 million of sales taxes. This is an increase of $284 thousand from the prior year. This category is tracking slightly better than anticipated.

 All other revenues: The City received $2.4 million in other revenues. This category generally includes miscellaneous, non-material, or one-time funds. The increase in this category is mostly due to the receipt of $1.5 million in ARPA funds.

Revised
Budget
Actuals as of
03/31/2022
% of
Budget
Actuals as of
03/31/2021
% of
Actuals
Revenues -
Transient Occupancy Tax 7,200,000 5,501,484 76% 2,567,846 53% Property Taxes 3,349,286 2,215,448 66% 2,228,349 62%
Sales & Use Tax 2,983,400 1,859,601 62% 1,574,743 57%
Franchise Tax 838,900 346,483 41% 323,569 46%
Business License Tax 314,000 288,996 92% 275,850 91%
Charges for Services 1,711,896 1,543,263 90% 1,419,047 70% Interest and Investment 87,700 44,035 50% 60,008 -459%
Other Revenues 2,560,007 2,430,115 95% 1,523,775 81%
Transfers in 511,395 511,395 100% 528,923 100%
Total Revenues 19,556,584 14,740,819 75% 10,502,108 63% FY 2021-22 FY 2020-21
Table 2: Third Quarter Revenues
96 Expenditures
Table 3 below shows a summary of second quarter budget-to-actual revenues for fiscal years 2021-22 and 2020-21.

General fund expenditures through the third quarter total $15.1 million or 70.5% of budget.

Operating expenditures are tracking as anticipated.

Budget Adjustments
Table 4 below shows a summary of council actions with potential budgetary effects during the third quarter not reflected in the numbers above.

Revised
Budget
Actuals as of
03/31/2022
% of
Budget
Final
Actuals
Actuals as of
03/31/2021
% of
Budget
Expenditures
Administrative Services 1,200,519 795,230 66% 1,295,683 858,190 66% City Clerk / Communications 939,293 552,303 59% 721,317 526,836 73% City Council 215,739 106,487 49% 166,491 103,229 62%
City Managers Office 7,188,100 5,249,863 73% 6,431,717 3,948,178 61% Community Development 1,800,137 1,115,370 62% 1,413,980 1,014,139 72% Public Works 3,411,219 2,021,068 59% 2,698,276 1,957,314 73% Debt Service 1,371,686 661,448 48% - -
Non-Departmental - - - -
Operating Transfers 1,871,542 1,872,144 100% 1,789,178 1,789,178 100% Capital Transfers 3,447,577 2,747,577 80% 1,578,601 1,578,601 100% Total Expenditures 21,445,811 15,121,489 70.5% 16,095,243 11,775,665 73% Table 3: Third Quarter Expenditures
FY 2021-22 FY 2020-21
Item Major Funding Source Total Fiscal Impact GF Impact No Budgetary Adjustments During the Third Quarter
Total - $ - $
Table 4: Budget Adjustments
97 Conclusion
Table 5 below shows an updated summary of general fund balances for the current fiscal year.

Considering revenue performance through the third quarter, there is no great concern of fiscal instability for the current fiscal year with the information available. The unassigned funds on June 30, 2022, is estimated to be 252 thousand. These funds may formally become assigned for use in the next fiscal year.

Additionally, with the strong fully funded reserves, the City is optimistic regarding the financial stability; however, we will continue to monitor any changes that may impact the City.

FY2021-22
Revised
Beginning Fund Balance 11,140,700
Revenues 19,556,584
Expenditures (21,445,811)
Budget Adjustments -
Net Change to Fund Balance (1,889,227)
Ending Fund Balance 9,251,473
General Fund Reserve (5,399,470)
Economic Uncertainty (3,599,647)
Unassigned 252,356
Table 5: General Fund Balance Summary
98

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: Lisa Lopez, Administrative Services Director
Kenneth Stiles, Senior Accountant
TITLE: TREASURER’S REPORT FOR THE QUARTER ENDING MARCH 31, 2022 ______________________________________________________________________________ RECOMMENDATION:

By motion, accept the Treasurer’s Report for the quarter ending March 31, 2022.

FISCAL IMPACT:

There is no fiscal impact with the acceptance of this report.

STRATEGIC ELEMENT:

This recommendation supports the Fiscal Sustainability and Inclusive Governance Elements of the Strategic Plan.

BACKGROUND:

In accordance with Government Code Section 53600 et seq., the City’s Treasurer is to provide the City Council with a report on investments on a quarterly basis. As shown in the Treasurer’s Report (Attachment 1), the City’s investments are in external investment pools listed at cost, as well as its fair value, not amortized cost, in compliance with Governmental Accounting Standard. The City’s investment practices strictly follow Government Code Section 53600 et seq., the City’s investment policy, and a prudent person’s rule.

DISCUSSION:

The City’s cash and investment portfolio, at fair market value, as of March 31, 2022 is $48.7 million of which $38.9 million is placed with the San Mateo County Treasurer’s Investment Pool and $7.8 million is placed with the State Controller’s Local Agency Investment Fund (LAIF), and $2 million in operating accounts with Wells Fargo Bank. The average weighted yield for the City’s cash and investments are 0.74 % for the quarter.

ATTACHMENT:

Treasurer’s Report for the quarter ending March 31, 2022 99 City of Half Moon Bay
Treasurer's Report
March 31, 2022
Quarterly FYTD
City Fiscal Carrying Fair Quarterly Interest Interest
Treasury Agents Amount Value* Yield * Earnings Earnings Petty Cash $ 836 $ $ 836 $ 836
Wells Fargo Bank:

Checking 1,840,901 1,840,901 1,840,901
Payroll 126,289 126,289 126,289
California State Treasurer:

LAIF - General Fund 7,759,267 7,759,267 7,781,769 * 0.29% 15,506.19 15,506.19 San Mateo County Treasurer
SMCO Pool - General Fund 38,644,548 38,644,548 38,981,529 * 0.87% 238,139.21 238,139.21 U.S. Bank - Investment with Fiscal Agent (Note)
Escrow - B (US Agency Securities) - - 0 - -
Bonds - B (Money Market Mutual Fund) - - - - -
Reserve - B (LAIF) - - 0 - -
Refunding - B (LAIF) - - 0 - -
Refunding - B (Money Market Mutual Fund) - - 0 - -
TOTAL CASH AND INVESTMENTS $ 48,371,840 $ 0 $ 48,371,840 $ 48,731,323 $ 253,645 $ 253,645 Note: B designation refer to Judgment Obligation Bond Series B. In addition, U.S. Bank reserve accounts are primarily invested in LAIF. * Fair Value (GASB 31) includes investment returns which are not yet realized and at amortized costs. Information is obtained from individual institutions' portfolio statements.

2. Investment maturities:

Investments at March 31, 2022 mature as follows:

City Fiscal
Treasury Agents Total
Available immediately $ 48,371,840 $ 0 $ 48,371,840
Maturities less than one year 0 0
Maturities of one to five years
Maturities greater than five years
Total $ 48,371,840 $ 0 $ 48,371,840

3. Investments Sectors, as a percentage of total portfolio and also with investment performance comparisons:

Investment sectors as a % of total portfolio Investment performance comparisons Demand Deposits and Money Market 4.07% YTD
Local Agency Investment Fund 16.04% Date Total Yield Interest San Mateo Co. Investment Pool 79.89% 03/31/20 47,003,194 1.77% 491,733 Fiscal Agent 0.00% 03/31/21 41,807,407 0.93% 257,020
100.00% 03/31/22 48,731,323 0.74% 253,645
I certify that this reports all Government Agency pooled investments and is in conformity with the investment policy of the City of Half Moon Bay as stated in Resolution number C-2014-25 dated June 03, 2014. A copy of this Resolution is available at the office of the City Clerk and on the cities website http://www.hmbcity.com.

The Investment Program provides sufficient cash flow liquidity to meet the estimated expenditures of the next six months, as required by Code Section 53646.

Date
Date

1. Cash and investments were comprised of the following instruments as of March 31, 2022, shown with the carrying amount, fair value, and corresponding yields on investment and interest earnings:

Investment maturities may not exceed five years with the exception of investments as specified in bond debt covenants. Investment yield is ranked after safety and liquidity in making investment decisions.

The City limits market risk by limiting the types and maturities of its investments and by not borrowing against those investments.

Senior Accountant
Administrative Services Director
100
GENERAL FUND 11,310,096.35

RESTRICTED FUNDS
STORM DRAIN OPERATING FUND 352,009
TRAFFIC MITIGATION FUND 4,261,471
LIBRARY 16,961
MAIN STREET BRIDGE 525,199
GAS TAX 1,014,893
STREET AND ROAD FUND 2,616,639
MEASURE A FUND 2,216,123
PARK FACILITY DEVELOPMENT 2,737,599
AFFORDABLE HOUSING 2,167,900
PUBLIC FACILITIES 1,316,740
POLICE SPECIAL REVENUE 706,826
JOB-BOND PROCEED FD 1
MEASURE W FUND 399,296
LOT ACQUISITION/DEVELOPMENT 2,305,411
JOB - DEBT SERVICE FD 6,276
GEN FD CAPITAL PROJECTS 1,867,807
DRAINAGE FUND 1,051,903
LIBRARY CAPITAL 1,348,952

GENERAL LONG TERM DEBT -
SEWER FUNDS 6,067,338
VEHICLE REPLACEMENT 214,978
FURN/FIXT & EQUIP FUND 802,671
RISK MANAGEMENT 3,600,526
RETIREMENT STABILIZATION 1,464,225
TOTAL, RESTRICTED FUNDS 37,061,743.94
GENERAL LEDGER (BOOK) TOTAL 48,371,840.29
BANK BALANCES ON 03/31/2022
WELLS FARGO GENERAL CHECKING 2,168,849
WELLS FARGO PAYROLL CHECKING 136,675
LOCAL AGENCY INVESTMENT FUND (LAIF) 7,759,267
SAN MATEO COUNTY INVESTMENT POOL 38,644,548
Add: PETTY CASH ACCOUNTS 835.65
RECONCILING ITEMS (1,922.72)
Less: OUTSTANDING CHECKS (344,155.65)
Plus: DEPOSITS IN TRANSIT 7,744.30
Plus: VOID CHECKS -
BANK RECONCILIATION TOTAL 48,371,840.29

CITY OF HALF MOON BAY

CASH AND INVESTMENTS REPORT
FOR QUARTER ENDING 03/31/2022
101

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: Jessica Blair, Communications Director / City Clerk TITLE: RECEIPT OF LEGISLATIVE POSITION LETTERS
______________________________________________________________________________ RECOMMENDATION:

Receive and file support letter sent for Assembly Bills 1944 and 2153 and Senate Bill 907.

FISCAL IMPACT:

There is no fiscal impact associated with this item.

STRATEGIC ELEMENT:

This action supports the Inclusive Governance element of the Strategic Plan.

DISCUSSION:

Annually, the City adopts a Legislative Platform to allow staff to send position letters regarding various bills / issues of interest to the City. The 2022 Legislative Platform was adopted by the City Council on March 1, 2022. The platform provides staff direction and allows the City, on the Council’s behalf, to respond in support of or opposition to bills and other legislative and administrative actions. The City Council has delegated its authority to the Mayor and / or City Manager to sign position letters consistent with the legislative platform. Townsend Public Affairs monitors legislation for the City and communicates frequently with staff on bills.

Occasionally, the League of California Cities will send action alerts for bills affecting municipalities. Staff reviews those alerts as well and will take action on any that align with the City’s Legislative Platform.

In the spirit of transparency, when position letters are sent by the City, staff will include them in a City Council agenda packet for viewing by the Council and the community.

ATTACHMENTS:

AB 1944, AB 2153, SB 907 Support Letters
102
City of Half Moon Bay City Hall
501 Main St.

Half Moon Bay, CA 94019
May 10, 2022
The Honorable Alex Lee
California State Assembly
1021 O Street, Suite 6330
Sacramento, CA 95814
Re: AB 1944 (Lee) Local government: open and public meetings (As amended 4.18.22) Letter of Support from the City of Half Moon Bay
Dear Assemblymember Lee,
On behalf of the City of Half Moon Bay, I write to express our support for your bill, AB 1944, which allows members of a local legislative body, upon majority vote, to waive the Brown Act requirements of publishing their private address on the meeting agenda and making addresses open to members of the public. The bill also requires a remote participation option for members of the public to address the body, only during meetings when the legislative body elects to use teleconferencing.

Assembly Bill 1944 builds off of last year’s efforts in AB 361 (R. Rivas) to modify certain Brown Act requirements by providing additional protections and flexibility to local agencies, whether there exists a state of emergency or not. This bill is an important tool for local agencies to be able to utilize in order to preserve their safety, while still ensuring public transparency that is required and deserved by the public.

Thank you for you work on this important policy topic, and I am pleased to support AB 1944.

Sincerely,
Debbie Ruddock
Mayor of Half Moon Bay
CC: Senator Josh Becker
Assemblymember Marc Berman
DocuSign Envelope ID: EDCAFFB7-353D-4DFC-8952-77E6F76C24B8 103
City of Half Moon Bay City Hall
501 Main St.

Half Moon Bay, CA 94019
May 10, 2022
The Honorable Joaquin Arambula
California State Assembly
1021 O Street, Suite 6240
Sacramento, CA 95814
Re: Assembly Bill 2153 (Arambula) California Fruit and Vegetable Supplemental Benefits Expansion Program (As amended 3.22.2022)
Letter of Support from the City of Half Moon Bay
Dear Assemblymember Arambula,
On behalf of the City of Half Moon Bay, I write to express my support for your bill, AB 2153, which would establish the California Fruit and Vegetable Supplemental Benefit Expansion Program.

In establishing the program, the bill would also create the Electronic Benefits Transfer (EBT) Expansion Fund, while also requiring the California Department of Social Services (CDSS) to enroll authorized retailers to enable them to provide supplemental benefits to CalFresh recipients who purchase California-grown fresh fruits and vegetables.

Freshly grown healthy food from California, and access to that food, is something that all people in our State should have. Despite California being at the forefront of food production in the nation, we still have a tremendous amount of food waste – and this program would bring resolve to this issue.

Thank you for your work on this critical bill, and again, I am pleased to support AB 2153.

Sincerely,
Debbie Ruddock
Mayor of Half Moon Bay
CC: Senator Josh Becker
Assemblymember Marc Berman
DocuSign Envelope ID: EDCAFFB7-353D-4DFC-8952-77E6F76C24B8 104
City of Half Moon Bay City Hall
501 Main St.

Half Moon Bay, CA 94019
April 27, 2022
The Honorable Richard Pan
California State Senate
1021 O Street
Sacramento, CA 95814
Re: Senate Bill 907: Electronic Benefits Transfer System: Farmers’ Markets Letter of Support from the City of Half Moon Bay
Dear Senator Pan:

On behalf of the City of Half Moon Bay, I write to express my strong support for SB 907, your bill which would expand equitable access to quality food for Californians.

Specifically, this bill would establish a non-competitive grant program at the Department of Social Services and the Department of Food and Agriculture to expand the use of Electronic Benefits Transfer (EBT) at California certified farmers’ markets.

Currently, only a limited number of certified farmers’ markets offer access to fresh fruits and vegetables to recipients of CalFresh. The system currently in place does a disservice to the many Californians who are recipients of CalFresh, and this bill will tangibly change that system for the better. The recipients of CalFresh should have access to the same quality of foods that those with more resources have, especially since they represent some of California’s more vulnerable populations, including low-income families, senior, and students.

Senate Bill 907 provides a solution to the growing issue of food inequity, and as such, I am pleased to support this bill.

Sincerely,
Debbie Ruddock
Mayor of Half Moon Bay
CC: Senator Josh Becker
Assemblymember Marc Berman
DocuSign Envelope ID: B7CD6ED7-FAA5-4340-ACC1-ACED7EECDD4C 105

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: Jessica Blair, Communications Director / City Clerk TITLE: RE-RATIFICATION OF RESOLUTION TO CONTINUE HOLDING PUBLIC MEETINGS REMOTELY (AB 361)
______________________________________________________________________________ RECOMMENDATION:

By motion, in accordance with Assembly Bill 361, re-ratify the findings in Resolution No. 2021- 80 to continue conducting the City’s Council, Commission, and Committee meetings remotely due to health and safety concerns to the public due to COVID-19.

FISCAL IMPACT:

There is no fiscal impact associated with this item.

STRATEGIC ELEMENT:

This action supports the Inclusive Governance element of the Strategic Plan.

BACKGROUND:

On March 4, 2020, Governor Newsom declared a State of Emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments, and help the state prepare for a broader spread of COVID-19.

Thereafter, on March 17, 2020, the City Council adopted Resolution 2020-16 declaring a local emergency due to COVID-19. The same day, Governor Newsom issued Executive Order N-29- 20, which suspended certain provisions of the Ralph M. Brown Act to allow local legislative bodies to conduct meetings telephonically or by other means. Additionally, the State implemented a shelter-in-place order, requiring all non-essential personnel to work from home.

Staff quickly worked to set up remote meetings via Zoom for all City Council and Planning Commission meetings. The Zoom meetings have allowed the Council, Commissions, and Committees to continue to conduct City business from the safety of members’ homes. The City has been utilizing Zoom for the past 18 months to conduct nearly all public meetings. The usage of Zoom for public meetings has allowed the City to ensure the public’s continued access to government meetings while also ensuring the public’s safety. 106

On June 11, 2021, Governor Newsom issued Executive Order N-08-21, which extended the ability of agencies to hold remote meetings through September 30, 2021, after which agencies anticipated transitioning back to public meetings held in full compliance with the Brown Act. In preparation for the return to in-person meetings, staff has been working on acquiring audio and visual upgrades for City facilities to conduct hybrid meetings. Although hybrid meetings would help to keep the public safe by allowing them to continue accessing the meetings from their own home, Councilmembers, Commissioners, Committee members, and staff would need to meet in person.

Since the Governor issued Executive Order N-08-21, the Delta variant has emerged, causing a spike in cases throughout the state. As a result, the San Mateo County Health Department issued a Health Order requiring masks indoors in public places, regardless of vaccination status, starting August 3, 2021.

On September 16, 2021, Governor Newson signed Assembly Bill 361 (AB 361), which allows cities to continue to meet remotely during proclaimed states of emergency under modified Brown Act requirements that are similar but not identical to the rules and procedures established by the previous Executive Orders.

AB 361 authorizes local agencies to use teleconferencing without complying with the teleconferencing requirements imposed by the Ralph M. Brown Act during a declared state of emergency, when state or local health officials have imposed or recommended measures to promote social distancing during the proclaimed state of emergency, or when there is an imminent risk to the health or safety of attendees.

On October 5, 2021, the City Council adopted Resolution No. 2021-80 under the requirements of AB 361 to continue conducting meetings remotely. AB 361 requires the City Council to make the findings every 30 days, necessitating the need for this item.

On December 15, 2021, a statewide mask mandate went into effect due to a rise in cases across the state.

On January 10, 2022, in response to the surge of COVID-19 cases, Omicron variant, City Hall closed to the public moving services to remote services.

On March 1, 2022, the statewide requirement that unvaccinated individuals mask in indoor public settings moved to a strong recommendation that all persons, regardless of vaccine status, continue indoor masking. The San Mateo Chief Health Officer has likewise recommended the CDC’s masking guidance.
107

DISCUSSION:

AB 361 will allow local legislative bodies to continue to meet remotely after the September 30, 2021 expiration of the Governor’s executive orders. A local agency will be allowed to continue to meet remotely when:
• The local agency holds a meeting during a declared state of emergency • State or local health officials have imposed or recommended measures to promote social distancing
• Legislative bodies declare the need to meet remotely due to present imminent risks to the health or safety of attendees
The City meets the requirements to continue holding meetings remotely to ensure the health and safety of the public due to the following:
• The City is still under a local state of emergency
• County health orders require that all individuals in public spaces maintain social distancing and wear masks
• The City can’t maintain social distancing requirements for the public, staff, Councilmembers, Commissioners, and Committee Members in their meeting spaces The City cannot ensure social distancing requirements are met inside City facilities where the City Council, Planning Commission, Parks and Recreation Commission, Redistricting Advisory Committee, Bicycle and Pedestrian Advisory Committee, and Main Street Bridge Advisory Committee meet.

Councilmembers, Commissioners, Committee Members, and staff sit well within six feet of each other. Moreover, the County’s indoor mask order is still in effect, making it difficult to hear what Councilmembers, Commissioners, Committee Members, staff, and public speakers are saying. Furthermore, while speaking through masks may be understandable in person, picking up speech on microphones for those attending remotely and those watching any livestreams would be difficult.

Per AB 361, the City Council would need to declare every 30 days that the City’s legislative bodies must continue to meet remotely to ensure the health and safety of the public. Staff recommends that the City Council declare these findings are true so these bodies can continue to meet remotely. Staff will return with this resolution for re-ratification at the Council’s 1st Tuesday meeting each month, at which time the Council can reassess as various health orders and COVID-19 parameters change.
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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: May 17, 2022
TO: Honorable Mayor and City Council
VIA: Bob Nisbet, City Manager
FROM: Lisa Lopez, Administrative Services Director
Carol Kim, Accounting Technician
TITLE: ADJUSTMENTS TO COST OF SERVICES SCHEDULE (USER FEES) FOR FY 2022-23 ______________________________________________________________________________ RECOMMENDATION:

Conduct a public hearing and Adopt a Resolution authorizing adjustments to the Cost of Services Schedule (User Fees) for Fiscal Year 2022-23.

FISCAL IMPACT:

Pursuant to State law, the fee schedule allows the City to receive fees for specific services provided. Additionally, the Schedule includes development impact fees that address the “fair share” cost of public facilities, infrastructure, and utilities. Except as otherwise noted, fees collected by the City help fund the City General Fund.

STRATEGIC ELEMENT:

This action supports the Infrastructure and Environment and Fiscal Sustainability Elements of the Strategic Plan.

BACKGROUND/DISCUSSION:

The City’s current user fees and deposit amounts were established through a fee study in 2017, prepared in accordance with State law, that was approved and accepted by City Council. The purpose of this item is to affirm and update certain Administrative, Building, Public Works, Planning, and Public Safety fees.

Most of the fees were set at or about 100-percent cost recovery. With respect to entitlement review and permits, this update is not proposing a change to the City Council cost recovery goal set in 2017. The intent of this item is to ensure that fee and deposit levels remain consistent with the fee study, as well as with the actual City cost to conduct review and inspections of the various types of permits. This update also brings forth new fees or amended fees to implement new City ordinances.
109

Moving forward, staff is recommending the City consider another fee/nexus study in FY 2022- 23 to determine that City fees and deposit amounts are aligned with the current economy in San Mateo County and throughout the State.

Administration: This past year has provided the City an opportunity to revisit fees that either were established and not used or that needed to be created. • While the Professional Dog Walker permit has been set at $200, a permitting process has not been put into place. The Finance team in collaboration with other City departments will work on developing a process for obtaining permits and enforcement. In addition, the City has created a $75 personal dog walker permit for those non-professionals who walk more than 3 or more dogs at a time, consistent with prior Council action in 2020.
• The City has created a replacement fee of $35 for those who have lost their annual permit. This will cover the cost of staff time and materials.

Public Works and Community Development: In 2020, numerous updates were made to user fees for Public Works and Community Development Department permits and inspections.

These changes have been working well and were updated last each year according to the applicable indexes.
• Hourly Billing Rates: Hourly billing rates for Public Works, Building and Planning staff services were increased by 3%, consistent with the City’s annual cost of living increase which applies to all staff positions that charge time for entitlement review. • Permit Fees and Deposits: Fees were adjusted according to the CPI-W of 6.5%, as described later in this report. Deposits do not need to be updated this year. • Development Impact Fees: Each fiscal year Development Impact Fees (DIF) are increased based on the Average Annual California Construction Cost Index. However, this year, due to unusually high inflation, this index was approximately 26% (April to April) as compared to less than 3% the prior year. Staff believes that this increase was anomalous and should not be reflected in FY 22-23 fees. This adjustment would be an excessive burden on the local development community and could also be a constraint to housing development to increase development impact fees so significantly. Instead, for this fiscal year, staff is recommending a one-time use of the CPI-W increase for development impact fees. As previously noted above in this report, updating the City’s fee/nexus study is planned for this year. This study will provide a new baseline for development impact fees, fully loaded staff billing rates, and other costs related to development review.
• New Fees and Rates - Sidewalk and Parklet Activities: In line with the recently approved coastal development permit for the Downtown Sidewalk and Parklet 110

Activities Program, flat fees for compliance review and fee rates for subsequent license agreements are established.

Public Safety: Most Cities adopt similar codes that are complimentary to the penal code and vehicle code in order to specify certain acts. This creates a safer environment for the community and addresses local safety concerns. Parking, traffic, and general safety ordinances follow San Mateo County Sheriff guidelines.

Other Considerations:
• CPI Adjustment: The annual adjustment based on the Consumer Price Index for Urban and Clerical Workers (CPI-W) is 6.5 percent, which was the annual average for the most recent period. The CPI-W adjustment is incorporated into the updated fee schedule broadly, and for permit fees as previously discussed.

Conclusion:

If Council approves this update, new fees will be in effect sixty days from approval, which would occur on July 16, 2022. Fee increases for Administration, Building, Public Works, Development Impact and Planning Fees solely due to annual index adjustments take effect July 1, 2022.

ATTACHMENT:

Resolution including Exhibit A - FY 2022-2023 Fee Schedule 111
Resolution No. C-2022-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AUTHORIZING ADJUSTMENTS TO COST OF SERVICES SCHEDULE (USER FEES) FOR FY 2022-23 WHEREAS, the City conducted a user fee study in 2017; and WHEREAS, based on the fee study, the City Council adopted new user fees for succeeding fiscal years; and
WHEREAS, City staff is to affirm and update certain Administrative, Building, Public Works, and Planning fees associated with staff review and inspection of development entitlements and permits., and adjustments for consumer price index; and WHEREAS, the City Council held a public hearing on May 17, 2022 to consider user fee schedule amendments for Administration, Building, Public Works and Planning Review and Permits.

NOW, THEREFORE, BE IT RESOLVED THAT:

1. The City Council of the City of Half Moon Bay approves the updated user fee schedule as presented in Exhibit A; and

2. New and increased fees shall take effect on July 16, 2022. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 17th day of May 2022 by the City Council of Half Moon Bay by the following vote:

AYES, Councilmembers:

NOES, Councilmembers:

ABSENT, Councilmembers:

ABSTAIN, Councilmembers:

ATTEST: APPROVED:
___________________________ _____________________________ Jessica Blair, City Clerk Debbie Ruddock, Mayor
112
1 Administrative Fees
1 First Returned Item 101-101-4901 Each
2 Each Additional Item 101-101-4901 Each
3 Credit Card Convenience Fee 101-101-4901 2.4% on charges $30.00 and more
2 Duplication
1 Photocopies 101-101-4901 Per page
2 Municipal Code Book 101-101-4901 Per book
3 Bound Reports 101-101-4901 Per report
4 Budget 101-101-4901 Each
5 Comprehensive Financial Report (ACFR 101-101-4901 Each 3 City Clerk
Election Filing Fee 101-110-4901 Each
Candidate Printing Fee 101-110-4901 Deposit
4 Staff Research
1 City Manager's Office 101-120-4443 Per 0.25 hour
2 Finance Department 101-210-4443 Per 0.25 hour
3 City Clerk's Office 101-140-4443 Per 0.25 hour
4 Planning Department 101-710-4443 Per 0.25 hour
5 Building Department 101-720-4443 Per 0.25 hour
6 Public Works Department - Engineering 101-420-4443 Per 0.25 hour 7 Public Works Department - Maintenance 101-430-4443 Per 0.25 hour 8 Police - Sworn 101-310-4203 Per 0.25 hour
9 Police - Non Sworn 101-310-4203 Per 0.25 hour
5 Private Alarm Permits (Chapter 9.10)
1 Alarm Permit 101-310-4202 Each
2 False Alarm Response with Permit
1st & 2nd Alarms 101-310-4202 No fee
3rd Alarm 101-310-4202 Each
4th Alarm 101-310-4202 Each
5th Alarm 101-310-4202 Each
6th Alarm and responses thereafter 101-310-4202 Each
3 False Alarm without Permit
1st & 2nd Alarms 101-310-4202 Each
3rd Alarm 101-310-4202 Each
4th Alarm 101-310-4202 Each
5th Alarm 101-310-4202 Each
6th Alarm and responses thereafter 101-310-4202 Each
6 Film Permit (Chapter 9.74) 101-101-4201 Per day
7 Special Event Permits [1]
1 Block Parties 101-101-4201 Per event
2 Fund Raisers 101-101-4201 Per event
3 Miscellaneous Events 101-101-4201 Per event
4 Carnival/Circus/Parade/Race/Rodeo, etc. 101-101-4201 Each 5 Amusement Concession 101-101-4201 Each
2% 2%
$448.00 $448.00
$448.00 $448.00
$139.00 $148.00
$195.00 $207.00
$54.00 $57.00
$111.00 $118.00
$224.00 $238.00
$224.00 $224.00
$448.00 $448.00
$224.00 $224.00
$280.00 $298.00
$576.00 $576.00
$21.00 $21.00
$46.00 $48.00
$61.00 $61.00
$44.00 $46.00
$53.00 $56.00
$111.00 $118.00
$168.00 $178.00
$0.00 $0.00
$54.00 $57.00
$54.00 $57.00
$25.00
Available online Available online
Available online Available online
$49.00 $52.00
$60.00 $63.00
$62.00 $66.00
$52.00 $55.00
Determined per election Determined per election

AMOUNT AMOUNT
I. ADMINISTRATION
City of Half Moon Bay
Master Fee Schedule
Other Fees, Charges & Services
Fees are increased annually by the annual average CPI-W San Francisco-Oakland-Hayward of the previous year - (excluding Development Impact Fees and Public Safety) SERVICES CODING PREVIOUS FY 21-22 FY 22-23 UNIT / TYPE
Available online Available online
Actual Cost Actual Cost
$0.25 $0.25
$25.00 $25.00
$39.00 $39.00
$25.00

113

AMOUNT AMOUNT

City of Half Moon Bay
Master Fee Schedule
Other Fees, Charges & Services
Fees are increased annually by the annual average CPI-W San Francisco-Oakland-Hayward of the previous year - (excluding Development Impact Fees and Public Safety) SERVICES CODING PREVIOUS FY 21-22 FY 22-23 UNIT / TYPE
8 Poplar Beach Parking [1]
Vehicles less than 20 feet 101-430-4720 Per 12 hours
Horse trailers and vehicles longer than 20 feet 101-430-4720 Per 12 hours Annual Permit 101-430-4720 12 month permit
Nine-month Permit 101-430-4720 9-month (September
through May)
Replacement Parking permit
9 BID Administration for City Hotels 101-210-4443 Per month 10 Street Closure Expense Code
11 Professional Dog Walker permit
Annual (January 1 -
December 31)
12 Personal Dog Walker permit (3-6 dogs)
Annual (January 1 -
December 31)
13 Annual License Agreement
Parklet Activities Space
Sidewalk Activities Space
Other Per City Council approval [1] Fees may be waived by the City Manager for NPDES related volunteer events 0 Building Hourly Rates Per hour
101-720-4422 Per hour
101-720-4422 Per hour
101-720-4422 Per hour
101-720-4422 Per hour
1 Valuation ($)
0 - 500 (Includes basic water heater, furnance replacements and re-roofing with two or fewer 101-720-4422 Per hour fewer inspections)
501 - 2,000
First 500 101-720-4422 Valuation
Each Additional 100 or fraction thereof 101-720-4422
2,001 - 25,000
First 2,000 101-720-4422 Valuation
Each Additional 1,000 or fraction thereof 101-720-4422
25,001 - 50,000
First 25,000 101-720-4422 Valuation
Each Additional 1,000 or fraction thereof 101-720-4422
50,001 - 100,000
First 50,000 101-720-4422 Valuation
Each Additional 1,000 or fraction thereof 101-720-4422
100,000 - 500,000
First 100,000 101-720-4422 Valuation
Each Additional 1,000 or fraction thereof 101-720-4422
500,001 - 1,000,000
$90.00
$823.00 $876.00
$3.00 $3.00
$3.00 $3.00
$658.00 $701.00
$236.00 $251.00
$11.00 $12.00
$181.00 $186.00
Inspection for which no fee is specifically indicated, per hour Hourly rate Hourly rate Building Permit Fee for Alterations, Additions, and New Construction (based on valuation of improvement)
$493.00 $525.00
$5.00 $5.00
$1.00 $1.00
$438.00 $466.00
$15.00 $15.00
$165.00
$10.00 $10.00
Inspection on Sundays and Holidays, per hour 2 x hourly rate 2 x hourly rate Reinspection fees, per hour Hourly rate Hourly rate
$181.00 $186.00
Inspections outside of normal business hours, per hour 1.5 x hourly rate 1.5 x hourly rate $165.00 $165.00
Actual cost Actual cost
$90.00
$200.00
$75.00
II. BUILDING [2] [3][4]
$165.00
$200.00
$30.00
$800.00
$225.00
Per City Council approval
TBD